One of the most challenging tasks for any firm, including in fine fettle, is determining how much to spend on promotion. four basic methods are used for determining a firm's promotional budget: the affordable method, the percentage-of-sales method, the competitive-parity method, and the objective-and-task method.

The correct answer is the definition of the four basic methods used for determining a firm's promotional budget.

Explanation:

There must be a launch budget to support an initial campaign for a product or service. Or a relaunch or an exercise budget understood as the allocation intended to sustain a normal advertising campaign, under normal conditions. The most common methods to reach the advertising budget are:

1. Method of the money available: many companies determine the advertising budget based on what they can pay.

2. Method of percentage on sales: Many companies establish their advertising expenses based on a specific percentage of their current or future sales.

3. Competitive parity method: specifically calculating to match competitors' expenses.

4. Objective and task method: Seeks that advertisers develop their budget through: a. the definition of the advertising objective. b. The determination of the tasks that must be developed to achieve those objectives. c. The stimulation of the costs involved in these tasks. The sum of these costs will result in the budget to be proposed.

5. Other decision models: Advertising researchers have recently proposed more advanced models of budgeting. These models require estimating the advertising function of sales response, showing the relationships between the different possible levels of expenses and advertising and the resulting sales. The advertising budget must be given by the conditions of the company, the market and the objectives. This helps to understand the series of problems when a serious and conscious agency gets in touch with the user who is sometimes unscrupulous, who is fooled by the apparent, and sometimes external aspects of advertising, and is unable to face the study of the campaign with due rigor. Clear objectives What exactly is intended of advertising? What increases the circle of customers? What creates a lasting memory of the brand, or rather that drives the housewife to purchase the product? Here is an enumeration of the specific reasons that the publicist can and should help formulate in terms as defined as possible.

answer; (15,000)workers each

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