Determinaçao do orçamento promocional: um caso especifico

Abstract

By using the concept of advertising elasticity and the theoretical framework of microeconomics, the article attempts to answer the question "Houi much to spend in advertising?" in business situations in which the price is predeiermined, the variable cost is constant and the firm has a fixed contribution margin to cover its overhead and promotional costs and have the desired profits.

Advertising elasticity; profit maximizaiion; contribution margin; promotional budget