Factors that a firm should consider while developing an advertising policy

A business firm should consider the following factors while developing an advertising policy

  • Advertising elasticity of demand
  • Cost of advertising
  • Target group e.g. the youth, business community, professionals, etc.
  • The appropriate time to advertise
  • Means of advertising e.g. electronic or print media, billboards, field demonstrations and geographical spread
  • Cultural background including religion – which tend to have certain norms and conventions
  • Language – for effective communication – easily understood to avoid communication breakdown


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