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1. A company is considering a marketing campaign for its new product. It can advertise on TV, in Magazines or on Social Media. The company
1. A company is considering a marketing campaign for its new product. It can advertise on TV, in Magazines or on Social Media. The company wants to get the maximum exposure to its ads. Ads on TV, Magazine, and Social Media are expected to yield 1,200,000; 600,000, and 500,000 exposures, respectively. Each advertising option has an advertising cost and planning budget expense per unit. The Advertising Budget per unit for TV, Magazine, and Social Media are $250,000; $200,000; and $150,000, respectively. The company has budgeted $4,000,000 for advertising. The plannig budget per unit for TV, Magazine, and Social Media are $100,000; $40,000; and $30,000, respectively. The company has budgeted $1,000,000 for planning. TheCEO has requested that the company purchase no more than 5 TV ad spots. a. Please construct a color-coded spreadsheet to display this information and use Excel Solver to find the combination of TV, Magazine, and Social Media ads to satisfy the company's marketing objective, given the CEO's constraint. - 20 pts. b. How much could the total expected number of exposures be increased for each additional $1,000 added to the advertising budget? - 20 pts C. Your answer for part a would remain valid for how large of an increase in the advertising budget? - 20 pts d. Would your answer for part a definetly remain valid if both the advertising and planning budget were increased by $100,000 each? - 20 pts e. If $100,000 must be removed from either the advertising or planning budget, from which budget should it be removed to do the least harm? - 20 pts
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