Which of the following is an advantage of the competitive parity method?
A)It makes use of the buildup approach to establishment of promotional budgets.
B)It leads to stability in the marketplace by minimizing marketing warfare.
C)It is based on the fact that advertising and promotions are designed to accomplish specific objectives by addressing certain problems and opportunities.
D)It gives due recognition to the contributions of creative executions and/or media allocations.
E)Under this method, the budget is driven by the objectives to be attained.

Question

Quizplus · Accepted Answer

The competitive parity method helps in minimizing marketing warfare, as it involves setting budgets based on the spending of competitors. This creates stability in the marketplace as firms are not engaging in spending wars to gain an advantage over one another.

Which of the Following Is an Advantage of the Competitive