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ISSN 2063-5346
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Consumer Behaviour and the Marketing Strategy Development’s and Analytics

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Dr. S. V. Akilandeeswari, Dr. R. Bala Murugan, Prabhakar S, Dr. M. Jansirani, Rosana Marianela Palacios, Dr. Kapil Kumar
» doi: 10.48047/ecb/2023.12.si4.862

Abstract

The technology-based global competition environment that pushes businesses to constructive transformation in order to ensure customer satisfaction has further increased the importance of marketing capabilities in business strategies. A significant number of studies conducted in different countries have shown that marketing spending is an investment that creates value for the company and has a positive impact on firm profitability, firm value or firm sales. This study contributes to the literature by summarizing the research findings on the effects of marketing investments on business performance. The relationship between market share and profitability has been widely discussed. Our findings suggest that businesses with relatively large market shares tend to have above-average rates of investment turnover, particularly working capital. Also, the ratio of marketing expense to sales is generally lower for high-share businesses than for those with small market shares. These differences are indications of economies of scale that may go along with strong market positions.

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