Which of the following is recommended regarding the communications budget?
A)The budget should be set based on what is left over after the firm pays for operating expenses and planned profits.
B)The budget should be set based on a percentage of the previous year's sales.
C)The budget should be set based on promotional spending behavior demonstrated by the competition.
D)The firm's communication objectives should drive the budget.
E)The budget should be increased by a fixed percent every year.

Question

Quizplus · Accepted Answer

The firm's communication objectives should drive the budget. This approach ensures that the budget is directly aligned with the goals of the communication plan and helps to avoid the risk of overspending or wasting resources on ineffective communication tactics. The budget should be tailored to specific communication objectives, such as increasing brand awareness or driving sales, and adjusted as needed based on the results of previous campaigns.

Which of the Following Is Recommended Regarding the Communications Budget