Craft marine is a medium sized manufacturer of freshwater


Craft Marine is a medium sized manufacturer of freshwater fishing and ski boats (last year sales = $100 million). Its boats are sold in the mid-section of the U.S. (e.g., from Texas up through Missouri, Illinois, Wisconsin, Michigan, and Minnesota). Last year, Craft spent $2.5 million on advertising. This year, Craft is planning to expand distribution to the east and west coasts (where it is not well-known), by adding new dealers. Given this scenario, what should Craft take into consideration when determining its advertising budget for the coming year? Draw upon your understanding of consumer behavior to discuss and explain the concepts and logic that should drive the decision making process in this particular case.

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Operation Management: Craft marine is a medium sized manufacturer of freshwater
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