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The Impact of Advertising in Emergent Economic Context: A System Dynamics Simulation Approach

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Electronic Business and Marketing

Part of the book series: Studies in Computational Intelligence ((SCI,volume 484))

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Abstract

The continual changes in the current market have increased complexity in business strategies. Under such dynamic conditions, enterprises need new tools, methods and methodologies to deal with uncertainty, ambiguity and a huge number of interactions. This phenomenon presents important differences in emergent economies but also similarities: the success of a product in the market will depend on product design, an efficient supply chain and also upon the right advertising campaigns in order to improve profit. In parallel, enterprises in emerging economies are involved in a global business where it is necessary to consider the challenging conditions for better decision-making. System dynamics simulation is a tool that can helps enterprises to analyze and observe the effect of business strategies over global performance. Marketing and advertising considered as a business strategy is not an exception to this statement. Thus, in this article is described a methodology and a study case where system dynamics simulation helps a motorcycle distributor enterprise to assess the impact of their advertising strategies in the market share, in order to chose the most suitable strategy through a sensitivity analysis.

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Authors and Affiliations

  1. Postgraduate Department, Instituto Tecnológico de Orizaba, Av. Oriente 9, 852, Orizaba Veracruz, México

    Cuauhtémoc Sánchez Ramírez, Guillermo Cortés Robles & Giner Alor Hernández

Authors
  1. Cuauhtémoc Sánchez Ramírez
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  2. Guillermo Cortés Robles
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  3. Giner Alor Hernández
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Corresponding author

Correspondence to Cuauhtémoc Sánchez Ramírez .

Editor information

Editors and Affiliations

  1. Technology, Advanced Institute of Industrial, Higashi-Oi 1-10-40, Tokyo, 140-0011, Japan

    Tokuro Matsuo

  2. Universidad Carlos III de Madrid, Av. Universidad 30, Leganés, 28911, Spain

    Ricardo Colomo-Palacios

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Ramírez, C.S., Robles, G.C., Hernández, G.A. (2013). The Impact of Advertising in Emergent Economic Context: A System Dynamics Simulation Approach. In: Matsuo, T., Colomo-Palacios, R. (eds) Electronic Business and Marketing. Studies in Computational Intelligence, vol 484. Springer, Berlin, Heidelberg. https://doi.org/10.1007/978-3-642-37932-1_6

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  • DOI: https://doi.org/10.1007/978-3-642-37932-1_6

  • Publisher Name: Springer, Berlin, Heidelberg

  • Print ISBN: 978-3-642-37931-4

  • Online ISBN: 978-3-642-37932-1

  • eBook Packages: EngineeringEngineering (R0)

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