Nathan is determining next year's advertising budget by establishing specific marketing objectives,assessing the communication functions that must be performed to accomplish those objectives,determining advertising's role in the total communication mix,establishing specific advertising goals in terms of the levels of measurable communication response required to achieve the marketing objectives,and establishing the budget based on estimates of expenditures required to accomplish the advertising goals.Which advertising budgeting method is Nathan using?
A) percentage-of-sales method
B) objective-and-task method
C) competitive parity method
D) affordability method
E) comparative method

Question

Nathan is determining next year's advertising budget by establishing specific marketing objectives,assessing the communication functions that must be performed to accomplish those objectives,determining advertising's role in the total communication mix,establishing specific advertising goals in terms of the levels of measurable communication response required to achieve the marketing objectives,and establishing the budget based on estimates of expenditures required to accomplish the advertising goals.Which advertising budgeting method is Nathan using? 
A) percentage-of-sales method 
B) objective-and-task method 
C) competitive parity method 
D) affordability method 
E) comparative method

Quizplus · Accepted Answer

Nathan is using the objective-and-task method for advertising budgeting. This method involves determining specific marketing objectives, determining the communication functions necessary to accomplish those objectives, establishing advertising goals, and then determining the budget needed to achieve those goals. The other budgeting methods (percentage-of-sales, competitive parity, affordability, and comparative) do not involve such a detailed analysis and planning process.

Nathan Is Determining Next Year's Advertising Budget by Establishing Specific