Temporal Causality and the Dynamic Interactions Among Marketing Activity Within a Multivariate Cointegrated System‪.‬

INTRODUCTION Basically, two approaches have been used in the past to estimate the relationship among sales (demand) and marketing-mix variables at various levels of aggregation. Most commonly, a regression model is estimated which includes e.g., advertising expenditure (or a proxy) among its explanatory variables and appropriate dynamics. The list of such studies is rather long; only Clarke (1976) reviews 69 of them. The second, and more recent, approach is to estimate a Box-Jenkins time series model as was done by Helmer and Johansson (1977), Hanssens (1980), Bhattacharyya (1982), and Heyse and Wei (1985).