Investor sentiment and advertising expenditure
Embargo Lift Date
MetadataShow full item record
A strategic issue facing marketing managers is ‘how much and when’ to spend on advertising. We argue that investor sentiment in the stock market may influence advertising expenditure by affecting firms' ability to raise new funds. We show that during periods of low (high) investor sentiment, firms decrease (increase) their advertising expenditure, even though the effectiveness of advertising is greater (lower) during such periods. We also find that these results are stronger for financially constrained firms that rely more on external financing. Our findings suggest that marketing managers can improve the efficiency of their advertising expenditure by raising (reducing) it during periods of low (high) sentiment.
Showing items related by title, author, creator and subject.
How has alcohol advertising in traditional and online media in Australia changed? Trends in advertising expenditure 1997-2011White, V.; Faulkner, A.; Coomber, K.; Azar, D.; Room, R.; Livingston, M.; Chikritzhs, Tanya; Wakefield, M. (2015)Introduction and Aims - The aim of this study was to determine changes in advertising expenditures across eight media channels for the four main alcohol beverage types and alcohol retailers in Australia. Design and Methods ...
The advertised diet: an examination of the extent and nature of food advertising on Australian televisionRoberts, M.; Pettigrew, Simone; Chapman, K.; Quester, P.; Miller, C. (2013)Issues addressed: The aim of the present study was to describe food advertising and expenditure on Australian television, and to conduct an audit to assess what proportion of food and beverage television advertisements ...
Kulkarni, K.; Kalro, A.; Sharma, D.; Sharma, Piyush (2019)Viral advertising is the most popular manifestation of viral marketing phenomena. The purpose of this study is to demonstrate sentiment analysis as a promising tool to quantify consumer responses towards branded viral ...