A quantitative analysis of new car sales and advertising in Greece

The purpose of this paper is to investigate empirically the sales-advertising relationship in the Greek car market which operates in an environment characterized by high inflation and depreciating currency. Car manufactures were grouped for this study in three broad categories according to the cars’ country of origin. The results of the analysis suggest that car manufacturers need to reconsider their present advertising strategy by taking into consideration both the effects of advertising on rivals’ sales and the customers’ attitudes to car sales pricing.