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Open Access Publications from the University of California

Marketing Spending and Brand Performance Volatility

  • Author(s): Fischer, Marc
  • Shin, Hyun
  • Hanssens, Dominique M
  • et al.

If company revenues fluctuate, the resulting volatility makes it more difficult to project the company’s future revenues and earnings and ensure steady cash-flow. This lessens investor confidence and, as such, can harm the financial health of a brand. So, effective marketing can have undesired financial side effects.

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