Hudson pool and spa, owned by jill and joel hudson, sells and installs above-ground swimming pools and beachcomber brand hot tubs. the manufacturer of the beachcomber hot tub has sent the hudsons a letter in which it offers to pay 50 percent of the advertising cost if the hudsons will run a newspaper ad featuring the beachcomber hot tubs. what type of advertising is the beachcomber manufacturer suggesting they use?

Answer: Cooperative Advertising Cooperative advertising is the sharing of costs for locally placed advertising between a retailer or wholesaler and a manufacturer. Many manufacturers have a set amount of cooperative advertising funds available per year, distributed as opportunities for collaboration arise. Cooperative advertising can be a very powerful tool for the small business owner, especially one with limited means to support the kind of advertising campaign which can be vital to the survival and success of a business enterprise.