Which of the following is an advantage of using the percentage-of-sales method to determine the marketing communications budget?

Which of the following is an advantage of using the percentage-of-sales method to determine the marketing communications budget?



A) The percentage-of-sales method encourages stability when competing firms spend approximately the same portion of their sales on communications.
B) The percentage-of-sales method views sales as the determiner of communications rather than as the result.
C) The percentage-of-sales method leads to a budget set by market opportunities rather than the availability of funds.
D) The percentage-of-sales method encourages experimentation with countercyclical communication or aggressive spending.
E) The percentage-of-sales method encourages building the communication budget by determining what each product and territory deserves.


Answer: A


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