Business, 05.12.2019 17:31 juliannabartra

Brand managers know that increasing promotional budgets eventually result in diminishing returns. the first one million dollars typically results in a 26% increase in awareness, while the second million results in adding another 18% and the third million in a 5% increase. andrews’s product able currently has an awareness level of 78% . while an important product for andrews, able’s promotion budget will be reduced to one million dollars for the upcoming year. assuming that able loses one-third of its awareness each year, what will able’s awareness level be next year?

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