Product effort and promotion effort hypotheses: An empirical investigation
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Product effort and promotion effort hypotheses described in marketing literature suggest that competitive marketing strategy, and consequently the relative importance of various marketing activities, will vary with the nature of the product and the market. The study reported, deals with empirical testing of the product and promotion effort hypotheses, and the assessment of the relative importance of marketing decision variable. Toward this end, the study employs dummy variable-multiple regression analysis in the context of two broad classes of business-consumer nondurables and capital goods businesses. The report differs from previously published studies in that real world data, descriptive of marketing activity and performance, is used in place of opinions of maragers. While the stated hypotheses are generally supported by this study, the observed results differ from previously reported findings in regard to the relative importance of marketing decision variables for the two classes of businesses examined. © 1985 Academy of Marketing Science.
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