When Gillette introduced its Venus razor for women several years ago, it spent $100 million on advertising and other promotions and successfully boosted its market share. As an advertising consultant, you would advise Gillette to now:

When Gillette introduced its Venus razor for women several years ago, it spent $100 million on advertising and other promotions and successfully boosted its market share. As an advertising consultant, you would advise Gillette to now:


a. double its advertising budget in order to double its market share.
b. maintain the current advertising budget and continue to focus on brand awareness and market share gains.
c. slowly increase the amount spent on advertising and promotion to offset competitive advertisements.
d. shift the budget dollars from advertising to sales promotion and personal selling due to a change in the product life cycle stage.
e. focus on maintaining market share and spend proportionately less on advertising because additional expenditures would reap diminishing benefits.


ANSWER: e