The coronavirus is wreaking havoc on the American and world economy. Forecasters are predicting a global recession. The stock market has whipsawed, adding to the economic jitters many are experiencing. In such trying times, brands suffer from declining sales revenue and cash shortages. Often, they consider slashing their advertising budgets as a result. But is such a move wise?
Managers and analysts wonder what the short- and long-term effects might be. A historical analysis of research on advertising in recessions, published in the September 2009 issue of the Journal of Advertising Research (JAR) concluded with sound advice still relevant...