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Promotion to earn more awareness

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Reference no: EM131609066

Baldwin's Elite product Buzz has an awareness of 72%. Baldwin's Buzz product manager for the Elite segment is determined to have more awareness for Buzz than Andrews' Elite product Able. She knows that the first $1M in promotion generates 22% new awareness, the second million adds 23% more and the third million adds another 5%. She also knows one-third of Buzz's existing awareness is lost every year. Assuming that Able's awareness stays the same next year (77%), out of the promotion budgets below, what is the minimum Baldwin's Elite product manager should spend in promotion to earn more awareness than Andrews' Able product?

Reference no: EM131609066

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