The Conversation

Cutting marketing spending often backfires on businesses – new research could help investors distinguish shortsighted cuts from smart ones

Businesses are often tempted to cut their marketing budgets for the short-term savings it provides – but those cuts can cause problems in the long term. A new study my colleague Tarun Kushwaha and I published in The Journal of Marketing proposes a method for predicting whether these counterproductive cuts will take place up to a year in advance.


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