Advertising spend on industry ?advertising-to-sales ratio

Assignment Help Operation Management

Reference no: EM132119836

?Geico, the number two auto insurer with ?$15 billion in revenue last? year, spent ?$1.1 billion on advertising and plans to continue spending the same percentage of sales on advertising next year. The average? advertising-to-sales ratio for Geico's industry is 0.4 percent of sales. If Geico projects ?$21 billion in sales next? year, using the?percentage-of-sales method of advertising? budgeting, how much will the company budget for advertising if basing it on projected? sales? How much would Geico budget if the company based its advertising spend on the industry?advertising-to-sales ratio? Is Geico consistent with the average industry spend on? advertising?

The? advertising-to-sales ratio for the last year is (rounding to four decimal places)

Reference no: EM132119836

Questions Cloud

Large percentage of minors by orders : John’s product will probably be bought by a large percentage of minors by orders taken over his internet site.

Directing the team through five stages of team development : Your charge is to reach the goal of improving customer service by directing the team through the five stages of team development.

Exception to employment-at-will doctrine did henderson : In a lawsuit against Wannisky, which legal exception to the employment-at-will doctrine did Henderson use? Explain.

Positive and negative impacts of downsizing and automation : What are the positive and negative impacts of downsizing and automation?

Advertising spend on industry ?advertising-to-sales ratio : How much would Geico budget if the company based its advertising spend on the industry?advertising-to-sales ratio?

Particularly relevant at each level of public health pyramid : Identify at least on sampling issue that would be particularly relevant at each level of the public health pyramid.

Risk management documentation : Describe how you will file and store your risk management documentation so that it can be easily accessed by those who need it.

What percentage of auto insurance rates : What percentage of auto insurance rates would be less than $1200? What percentage of auto insurance rates would be between $1100 and $1500?

What are the benefits of each promotional mix element : What are the benefits of each promotional mix element? List all the people who will need to know your risk management processes.

User Account

All Pages