Basic Macro and Microeconomic Policies Assignment

Basic Macro and Microeconomic Policies - Assignment Example Cost extravagances in the airline industry had brought financial costs up decreasing profits but did not automatically mean an increase in sales. Accounting problems and financial data were overlooked or neglected during the dot-com bust. First, too much money was spent on advertising which focused on selling and not marketing. Second, too much advertising money could have been saved if ads were focused on market segments. Cost extravagances in the airline industry had brought financial costs up decreasing profits but did not automatically mean an increase in sales. First, too much money was spent on advertising which focused on selling and not marketing in both online and offline advertising(Churchill,1995). The prior selling attitude of companies as the strove to increase net profits had been to prioritize the seller’s aim to generate profits. The sad thing about this is that the customers’ needs and wants were put to second place or just simply not taken up. Thus, mo ney was spent paying computer programmers large sums of money to make websites that would catch the eyes of prospective computer users. To prove that this type of strategy to increase sales was effective, the companies targeted all computers users whether they were inside the United States or in the United Kingdom or elsewhere. Unfortunately, there is no logic that increased advertising on the internet will automatically translate to increased sales.