Principles of Marketing, Student Value Edition Plus MyLab Marketing with Pearson eText -- Access Card Package (17th Edition)
Principles of Marketing, Student Value Edition Plus MyLab Marketing with Pearson eText -- Access Card Package (17th Edition)
17th Edition
ISBN: 9780134642321
Author: Philip T. Kotler, Gary Armstrong
Publisher: PEARSON
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Chapter 2, Problem 2.13AC
Summary Introduction

Case summary:

Company A has profits of more than $50 billion on sales of $182 billion and Company M has profits of $30 billion on sales of $88 billion.

Characters in case:

Company A and Company M

Introduction:

Net profit margin is the amount left after the deduction of all expenses, interest, and preferred stock dividend.

Net marketing contribution is calculated to determine whether the marketing strategy is available to cover the cost which is associated with the company’s sales and marketing.

Return on marketing investment refers to the overall performance of the campaign of the market.

Market return on sales is determined to calculate the difference between the two companies.

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