Question

Firms that spend the greatest percentage of their revenue on advertising tend to be firms that sell

a. industrial products.
b. homogeneous products.
c. consumer goods for which there are no close substitutes.
d. highly-differentiated consumer goods.

Answer 1

The correct answer is D

Step-by-step explanation:

Product differentiation is the term which is described as the strategy of marketing which focuses on showing off the differences among the product or the competition and the business.

So, the firm or business who spend the highest percentage of the revenue on advertising the product are the firms which sell the highly differentiated goods.