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When managing budgets and bidding strategies in Search Engine Marketing (SEM), there are a few key principles to keep in mind. Firstly, setting a clear budget based on your advertising goals is crucial. Determine how much you're willing to spend and allocate funds accordingly. Next, carefully select your bidding strategy, whether manual bidding, automated bidding, or a combination of both. Monitor your campaigns regularly and adjust bids based on performance data. Additionally, consider using bid modifiers to optimize for specific targeting criteria. Lastly, remember to analyze your return on investment (ROI) and make data-driven decisions to improve your SEM efforts continuously.