rand managers know that increasing promotional budgets eventually result in diminishing returns. The first one million dollars typically results in a 26% increase in awareness, while the second million results in adding another 18% and the third million in a 5% increase. Andrews's product Alan currently has an awareness level of 77% . While an important product for Andrews, Alan's promotion budget will be reduced to one million dollars for the upcoming year. Assuming that Alan loses one-third of its awareness each year, what will Alan's awareness level be next year?

Select: 1

52%

73%

78%

57%

Q.2 Coat's product manager is under pressure to increase market share, but is uncertain about how to make the product more competitive. The product is reasonably well-positioned in the Thrift segment and enjoys relatively high awareness and accessibility. Which of the following would most likely result in a quick increase in market share?

Select: 1

Increase the unit contribution margin by decreasing the MTBF

Lower the unit selling price to the bottom limit of the segment price range

Re-position the product to the ideal spot within the segment

Increase awareness by 5%