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Analysis of marketing mix interaction effects and interdependencies: a normative approach

✍ Scribed by Marc Logman; Wilfried Pauwels


Book ID
101288118
Publisher
John Wiley and Sons
Year
1998
Tongue
English
Weight
100 KB
Volume
19
Category
Article
ISSN
0143-6570

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✦ Synopsis


This paper gives a general, theoretical treatment of the interdependency between price and communication expenditures. We analyze how interaction effects (for example the impact of communication on the sales sensitivity to price changes) affect the optimal marketing mix structure (for example the impact of communication expenditures on the optimal price). Moreover, necessary and sufficient conditions are derived for the optimal price to be independent of the communication expenditures and/or for the optimal communication expenditures to be independent of price.


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