mgt111-2 - October 12, 2008 From: Claire Saltzman Subject:...

Info iconThis preview shows pages 1–2. Sign up to view the full content.

View Full Document Right Arrow Icon
October 12, 2008 From: Claire Saltzman Subject: Best Global Brands To: Professor Ron Schloemer 1. When a recession occurs, companies such as Coca-Cola cut back spending in marketing costs. Cutting down on the marketing budget for a period of time is a way for companies to save money. Companies view cutting back in advertisement and product price as a way to maintain financial stability. Companies like Coca-Cola and Visa are willing to take this cut back risk because they believe this decision is unlikely to hurt product quality in the short run. 2. Other companies like Louis Vuitton react differently than Coca-Cola and view recession as an opportunity to increase advertisement. These brands look at historical trends and believe expanding advertisement will actually increase consumer popularity over time. Ads are cheap due to other companies pulling back and so companies who expand advertisement will receive better deals and win a greater market share. Brands who expand in advertisement instead of cutting back strive to
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Image of page 2
This is the end of the preview. Sign up to access the rest of the document.

This note was uploaded on 05/17/2011 for the course BUS 111 taught by Professor Schlommer during the Spring '11 term at Miami University.

Page1 / 2

mgt111-2 - October 12, 2008 From: Claire Saltzman Subject:...

This preview shows document pages 1 - 2. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online