Which of the following budgeting methods assumes that competitors' sales are due to their communications and that they are using dollars efficiently?
A) Competitive parity
B) All-you-can-afford
C) Objective-and-task
D) Share-of-market
E) Percentage-of-sales

Question

Quizplus · Accepted Answer

Competitive parity assumes that competitors' sales are due to their communications and that they are using dollars efficiently, and sets the firm's promotion budget based on matching or mirroring competitors' spending.

Which of the Following Budgeting Methods Assumes That Competitors' Sales