Final answer:
The general trend is that as ad spending increases, sales increase. The effectiveness of advertising campaigns depends on consumers' approval and resulting sales of advertised products.
Explanation:
The general trend of proportion of ad spending to sales:
- As ad spending increases, sales increase.
- There is a positive relationship between the degree of concentration of market power and the fraction of total costs devoted to advertising.
- Consumers' approval and resulting sales of advertised products determine the effectiveness of advertising campaigns.
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