An organisation increases its advertising expenditures in the test market city of its competitor in order to jeopardise the test market results of its competitor's new product. This is an example of a:
A) maturation effect.
B) history effect.
C) mortality effect.
D) cohort effect.

Question

Quizplus · Accepted Answer

This is an example of a history effect where an external event affects the results of a test market, in this case, the increased advertising expenditures by the competitor.

An Organisation Increases Its Advertising Expenditures in the Test Market