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Use the following to answer the questions.
When introducing a new vehicle targeted to the under-30 population, Toyota used several different methods of
communication. First, it did research in several large cities to find out who the opinion leaders were in that age group. By
visiting the local nightlife, one or two people in each city were selected and given a new vehicle to drive for two weeks.
They were told to share information about this new vehicle with their friends. After a few weeks, then a television
campaign was launched with commercials introducing the new vehicle. Toyota also placed ads in magazines that were
targeted to the under-30 age group, and used drive-by billboards in the large cities near the nightclub areas.
149. Refer to Scenario 15.1. Toyota’s act of giving the opinion leaders a new vehicle for two weeks is best described as an
example of
a. advertising.
b. personal selling.
c. sales promotion.
d. buzz marketing.
e. push marketing.
150. Which of the following is the best example of the promotional objective of combating competitive promotional
efforts?
a. Joy advertises that its dish soap has more suds than Dawn, Sunlight, and other leading dish soaps.
b. Joe Boxer and Kmart collaborate to promote Joe Boxer’s lines of clothing and housewares.
c. The Pork Council advertises pork as the “other white meat” and a healthier alternative to beef.
d. After Ford promotes the towing capacity of its F-series trucks, DaimlerChrysler soon emphasizes the towing
capacity of its Dodge trucks.
e. Hyundai offers 10-year/100,000 mile warranties on its vehicles in order to give customers confidence in its brand
name and automotive offerings.
151. ____ is a broad set of communication efforts used to create and maintain favorable relationships between a company
and its stakeholders.
a. Stakeholder management
b. Personal selling
c. Integrated marketing communications
d. Sales promotion
e. Public relations
152. If a manufacturer decides to use a push policy to promote its products, it is most likely to focus its efforts on
a. retailers.
b. wholesalers.
c. ultimate consumers.
d. other producers.
e. institutional users.
153. Albott Laboratories offers ceramic coffee mugs to its physician customers when it promotes a new drug. This
example illustrates Albott’s use of which one of the following elements of the promotion mix?
a. Packaging
b. Personal selling
c. Sales promotion
d. Public relations
e. Telemarketing
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154. In its commercials, the mattress company Sealy focuses on the comfort and quality of its brand of mattress. This
advertisement is best described as being designed to
a. encourage product trial
b. retain loyal customers
c. stimulate primary demand
d. build selective demand
e. facilitate reseller support
155. Refer to Scenario 15.2. The makers of Whizz considered a new promotional method for their product. A small box of
Whizz was placed in the mailbox of college students as they came on campus in the fall. Along with the Whizz, the
students received a coupon for $1.00 off their next purchase. They could receive another coupon for $3.00 off if they went
online and emailed five friends at another college, telling them about Whizz. The friends could then go to a website and
print a coupon for $2.00 off their next purchase. The sample boxes given to the college students are an example of ____,
while the emails to the five friends are an example of ____.
a. sales promotion; advertising
b. sales promotion; personal selling
c. publicity; sales promotion
d. viral marketing; sales promotion
e. sales promotion; viral marketing
156. When encoding the message, the source should use signs that have
a. new and exciting meanings.
b. different meanings to different people.
c. contemporary jargon.
d. meanings that the target market will understand.
e. broad interpretations.
157. You are meeting with the head of a consumer advocacy group that claims your firm’s promotion activities are
causing food prices to rise. Naturally, you disagree with this claim and you are meeting with this individual to make your
case.
Which of the following statements would be a strong defense against this advocacy group’s claim?
a. Prices are rising because our competitors are not socially conscious.
b. Promotion can help keep prices lower by facilitating price competition.
c. We actively promote our products because we have to make a profit.
d. Promotion is not related to economic factors like prices.
e. Our promotion activities create jobs so that people can pay the higher prices.
158. Rob is working on the promotional plan for a new bicycle helmet that has added technology to sense when a bicycler
has fallen and had a head injury. The technology then releases an audible signal that will help others know that there is an
injury which needs treatment. This is considered to be a new product that is in the introduction stage of the product life
cycle. Which type of promotion should Rob focus on?
a. Reminder
b. Competitive
c. Comparative
d. Pioneer
e. Repetitive
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159. Companies tend to view promotion from many vantage points. Which of the following alternatives is most accurate?
a. Promotion costs cause product costs to be higher.
b. Promotion activities make up the bulk of marketing.
c. The role of promotion is to stimulate product demand.
d. Promotion should be directed toward numerous audiences.
e. Most promotional efforts are performed through advertising.
160. If promotion does not do its job of stimulating demand, then the
a. price of the promoted product is likely to increase.
b. price of the promoted product will remain reasonably stable.
c. price of the promoted product will decrease.
d. cost of promotion will decline.
e. cost will remain about the same.
161. Refer to Scenario 15.1. Which of the following is not an integrated communications tactic used by Toyota?
a. word-of-mouth communication
b. advertising
c. publicity
d. personal selling
e. sales promotion
162. Sierra is driving to work on I-95 and notices a billboard for new salads at Wendy’s. She reads the message and sees
the pictures of the new salads. In this case, Sierra is the ____ and Wendy’s is the ____ of this communication.
a. receiver; source
b. audience; promoter
c. decoder; coder
d. communicatee; communicator
e. feedback; noise
163. A person, group, or organization that has a meaning it intends and attempts to share with a receiver or an audience is
a
a. communications channel.
b. source.
c. relay channel.
d. decoder.
e. sender.
164. Sara is concerned about the effectiveness of Magnum, Inc.’s promotional messages, and is seeking an approach with
immediate feedback. Sara is most likely to achieve this through
a. television advertising.
b. newspaper advertising.
c. public relations.
d. sales promotion.
e. personal selling.
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165. If children and teenagers are insisting on wearing expensive name-brand apparel, a criticism of promotion can be
made that promotion
a. forces people to spend too much.
b. forces prices to go up.
c. encourages materialism.
d. creates needs.
e. can be harmful.
166. The overall role of promotion is to ________________and to build and enhance relationships with current and
potential customers.
a. stimulate product demand
b. maximize shareholder wealth
c. achieve a target return
d. minimize the firm’s variable costs
e. protect market share
167. Head nodding, winking, hand gestures, and arm motions are all forms of ____ communication.
a. kinesic
b. spacing
c. proxemic
d. touching
e. tactile
168. Subway is conducting a contest in which customers are asked to name a new sandwich. The winner gets a free
sandwich each day for one year and an appearance in one of the company’s TV commercials. This contest illustrates
Subway’s use of the ____ elements of the promotion mix.
a. Advertising
b. Personal selling
c. Sales promotion
d. Public relations
e. Telemarketing
169. When flat-screen televisions were first introduced, manufacturers tried to increase customer awareness of the new
product by using _____ to build _____.
a. pioneer promotion; selective demand
b. comparative promotion; competitive advantage
c. primary promotion; customer demand
d. repetitive promotion; brand awareness
e. pioneer promotion; primary demand
170. Refer to Scenario 15.2. The makers of Whizz have decided to go to several different colleges and have a contest for
the dirtiest shirt. While at the colleges, they will set up several washing machines near the campus bookstore,
demonstrating the power of Whizz to get these dirty shirts clean. Each contestant in the dirtiest shirt contest will receive a
coupon for a free bottle of Whizz. The winner of the contest will receive a $50 gift card for the college bookstore. This
method of promotion is an example of ____, and is used to stimulate ____ demand.
a. viral advertising; primary
b. sales promotion; selective
c. sales promotion; primary
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d. product placement; selective
e. product placement; primary
171. The Barrister’s Deli decides to run advertisements for its lunch specials on a local FM radio station. Marketing
research later reveals that the restaurant’s target market listens primarily to satellite radio stations. This promotion program
suffered from an error in the selection of
a. shared symbols.
b. targeted customers.
c. communication channel.
d. decoded meanings.
e. noise minimizers.
172. ____ links the purchase of an organization’s products to support of philanthropic organizations favored by the target
market.
a. Promotion
b. Cause-related marketing
c. Charity-related promotion
d. Selective demand promotion
e. Charitable nonprofit marketing
173. Newspaper ads for Blue Haven Pools offer discounted prices during October and discounted cleaning supplies for
hot tubs in March, are examples of which of the following uses of promotion?
a. Retaining loyal customers
b. Promoting new product uses
c. Making salespeople more effective
d. Stimulating primary demand
e. Reducing sales fluctuations
174. When a marketer makes an effort in promotion to point out the strengths and benefits of a specific brand, it is an
attempt to build ____ demand.
a. primary
b. secondary
c. selective
d. economic
e. competitive
175. When a salesperson varies the physical distance between himself and a customer he is using
a. kinesic communication.
b. personal selling.
c. tactile communication.
d. comfort relations.
e. proxemic communication.
176. Which of the following types of promotion informs potential customers about a product and what it is?
a. Reminder
b. Competitive
c. Comparative
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d. Pioneer
e. Repetitive
177. When Hershey Dark Chocolate Kisses were introduced, Hershey promoted directly to consumers and told them to
ask for the product at their favorite stores. This is an example of a ____ policy.
a. reseller promotional
b. push
c. customer promotional
d. pull
e. channel promotional
178. Factors such as climate, seasons, and holidays tend to lead to the promotional objective of
a. combating competitive promotional offers.
b. facilitating reseller support.
c. encouraging product trial.
d. retaining loyal customers.
e. reducing sales fluctuations.
179. A direct-response information form found in a magazine advertisement that allows customers to send for more
information has a primary objective of
a. encouraging product trial.
b. retaining loyal customers.
c. stimulating demand.
d. creating awareness.
e. identifying prospects.
180. The receiver’s response to a message is ____ for the source.
a. feedback
b. the communications channel
c. noise
d. channel capacity
e. decoding
181. Ashley is currently working on a video to introduce a new line of athletic wear for women. She is using signs and
symbols to represent the concept and meaning of the new athletic wear. Ashley is most likely working on the ____ for this
promotional video.
a. the communication strategy
b. the coding process
c. the decoding process
d. the conversion process
e. the communications channel
182. Which of the following is a major goal of integrated marketing communications?
a. To better coordinate the firm’s supply chain.
b. To achieve a specific return on investment.
c. To dispute competitors’ strengths.
d. To control the firm’s marketing environment.
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e. To send a consistent message to consumers.
183. Promotion tends to
a. create needs.
b. capitalize on existing needs.
c. be overly focused on the self-actualization needs.
d. overemphasize physiological and safety needs.
e. avoid focusing on people’s needs.
184. During the decoding process, the
a. intensity of the transmission becomes stronger.
b. receiver attempts to convert signs or symbols into concepts and ideas.
c. source attempts to convert signs or symbols into concepts and ideas.
d. source converts meaning into a series of signs or symbols that represent ideas or concepts.
e. receiver filters noise from the feedback.
185. Generally, promotion mixes for companies with extremely limited promotional budgets tend to concentrate on
a. advertising.
b. publicity.
c. sales promotions.
d. personal selling.
e. distributor incentives.
186. Communication through the use of brochures, annual reports, event sponsorships, and news stores is referred to as
a. advertising.
b. personal selling.
c. sales promotion.
d. publicity.
e. public relations.
187. The Dyson Company, manufacturer of high-priced vacuum cleaners, has developed a promotional program with both
push and pull policies. Dyson only sells its products through retailers who carry high-end household electronics items. For
the push policy, Dyson will most likely use ____________; for the pull policy, Dyson will use ___________.
a. Personal selling done by the retailer; rebates to the customer.
b. A bonus to the retailer for every Dyson vacuum sold; personal selling done by the retailer’s employees.
c. Advertising and personal selling; rebates to the customer.
d. Sales promotion; personal selling done by the retailer’s employees.
e. Direct marketing; discounts to the retailer.
188. H&M, a clothing company, communicates to its target customers by advertising in magazines, offering clothing
information on its website, creating a periodic online newsletter, Facebook, and Twitter. These vehicles through which the
coded message is transmitted from the source, H&M, to the receiver, the prospective customer, is called a(n)
a. field of reference.
b. decoder.
c. encoder.
d. relay channel.
e. communication channel.
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189. Retro64 distributes free downloadable versions of its computer games for a very short time. These efforts have a
primary promotional objective of
a. encouraging product trial.
b. stimulating demand.
c. identifying prospects.
d. creating awareness.
e. reducing sales fluctuations.
190. Reba Vincent is employed as a consultant for Mary Kay Cosmetics. This illustrates
a. personal selling.
b. retailing.
c. public relations.
d. advertising.
e. sales promotion.
191. Hunt’s decided to put a much larger share of its promotion budget into ____ because of the heavy reliance it will be
placing on coupons in the second quarter.
a. advertising
b. sales promotion
c. public relations
d. telemarketing
e. personal selling
192. If a marketer of a perfume ad develops a commercial involving a man being attracted to a woman who wears a
particular perfume, it is attempting to influence one’s need for
a. love and affection.
b. safety.
c. self-esteem.
d. self-actualization.
e. respect from others.
193. An attempt to create a trend or acceptance of a product through word-of-mouth communication is called
a. guerilla marketing.
b. viral marketing.
c. buzz marketing.
d. personal publicity.
e. conversational promotion.
194. Anything that reduces the accuracy and clarity of communication is called
a. distraction.
b. feedback.
c. interference.
d. discordance.
e. noise.
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195. As their meeting concludes, Jamal rises and thanks Gina for taking the time to come by and explain her firm’s new
line of industrial fasteners. A handshake, which is best described as a form of _____ communication, concludes the
session.
a. personal
b. sales promotion
c. tactile
d. proxemic
e. non-verbal communication
196. The use of a pull policy may require heavy expenditures for
a. advertising and sales promotion.
b. public relations and distribution.
c. personal selling and public relations.
d. distribution and advertising.
e. sales promotion and personal selling.
197. Consumers are increasingly going online for information and opinions about goods and services as well as about
companies. Research has shown that _____ is the most important attribute about a ratings website.
a. ease of use
b. the graphic design of the page
c. number of reviews per product
d. number of products reviewed
e. the site’s credibility
198. _____________ is a paid, non-personal communication about an organization and its products transmitted to a target
audience through mass media.
a. Personal selling
b. Sales promotion
c. Merchandising
d. Advertising
e. Public relations
199. Refer to Scenario 15.2. If the manufacturers of Whizz were to partner with Whirlpool to place a bottle of Whizz in
each new washer that is purchased during the first year, this would be an example of
a. advertising.
b. sales promotion.
c. viral marketing.
d. packaging.
e. publicity-based public relations.
200. Which of the following are personal informal exchanges of communication that customers share with one another
about products, brands, and companies?
a. Guerilla communication
b. Word-of-mouth communication
c. Buzz marketing
d. Viral marketing
e. Conversational promotion
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201. Primary demand is defined as
a. demand for a product category.
b. demand for a new product.
c. consumer awareness of a product category.
d. stimulating demand for any products.
e. demand for a particular brand.
202. A consumer contest is an example of
a. personal selling.
b. sales promotion.
c. social media.
d. indirect selling.
e. public relations.
203. Some critics, including consumer groups and government officials, suggest that certain products should not be
promoted because they
a. cost too much.
b. are illegal.
c. are potentially harmful.
d. do not last.
e. are not competitive.
204. Advertising, personal selling, sales promotion, and public relations are called
a. promotion mix ingredients.
b. marketing mix components.
c. characteristics of a product.
d. advertising tools.
e. nonpersonal communication.
205. Kinesic communication is an element in which type of promotional method?
a. Advertising
b. Public relations
c. Personal selling
d. Packaging
e. Sales promotion
206. A common form of tactile communication in U.S. business activities is
a. hugging.
b. kissing.
c. handshaking.
d. eye contact.
e. head nodding.
207. All of the following are reasons a company would likely emphasize personal selling in its promotion mix except
a. the company’s promotion budget is extremely limited
b. the size of the product’s target market is limited
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c. the company’s products are seasonal in nature
d. the company’s customers are concentrated in a small area
e. the company’s products are marketed through only a few wholesalers
208. Research has found that advertising ___________economic growth.
a. reduces
b. slows down
c. is an obstacle to
d. can also bring about
e. is unrelated to
209. Bowflex uses infomercials to demonstrate its fitness products and encourage customers to call and receive a free
video with more information about its products. This promotional effort is directed at
a. creating awareness.
b. encouraging product trial.
c. identifying prospects.
d. stimulating demand.
e. retaining loyal customers.
210. An activity and/or material that offers added value or incentive to resellers, salespeople, or consumers is
a. advertising.
b. personal selling.
c. public relations.
d. sales promotion.
e. packaging.
211. You are working with a sales management consultant on ways to improve your company’s sales performance. Your
company sells high-end consumer products. You and the consultant agree your promotional activities need to include
more direct interaction with your customers. Based on this information, which of the elements of promotion should you
emphasize more?
a. Advertising
b. Sales promotions
c. Personal selling
d. Public relations
e. Discounting
212. The coordination of promotion and other marketing efforts for maximum informational and persuasive impact
defines
a. communication.
b. integrated marketing communications.
c. tactile communication.
d. kinesic communication.
e. proxemic communication.
213. Slow feedback, high absolute-dollar outlay, and difficulty in measuring effects on sales are disadvantages of which
promotion mix ingredient?
a. Advertising
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b. Public relations
c. Sales management
d. Sales promotion
e. Personal selling
214. The process of putting one’s thoughts (meaning) into signs (symbols) is called
a. decoding.
b. noise.
c. interference.
d. transmission.
e. the coding process.
215. The Kia Soul automobile is currently positioned as a vehicle for young adults. Kia’s message to the target market is
that it is exciting, youthful, and trendy. However, Max and his friends who are 20-somethings, just like the music and the
hamster spokes characters. They don’t care about the car itself. The message that Kia originally encoded and the meaning
Max and his friends ultimately decoded
a. probably contain circular feedback.
b. may be different because of noise.
c. are usually exactly the same.
d. rarely are similar because of feedback.
e. are collectively termed the communications channel.
216. Although a radio announcer can read several hundred words a minute, a one-minute advertising message should not
exceed 150 words because most announcers cannot articulate words into understandable messages at faster rates. This
illustrates the ____ consideration in effective communication.
a. transmission load
b. feedback
c. encoding
d. noise
e. channel capacity
217. If Lay’s introduces a new line extension of its famous potato chips, it is likely going to engage in promotions that
focus on _____ in order to have customers start the product adoption process.
a. identifying prospects
b. stimulating demand
c. creating awareness
d. combating competitive promotional efforts
e. retaining loyal customers
218. An advertisement from a ski lodge extolling the benefits of a summer getaway in the mountains uses promotion to
a. combat competitive promotional efforts.
b. stimulate demand.
c. reduce sales fluctuations.
d. encourage product trial.
e. retain loyal customers.
219. The cost of ____ is usually substantially lower than the cost of ____.
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a. stimulating primary demand; stimulating selective demand
b. identifying prospects; encouraging product trial
c. retaining existing customers; acquiring new customers
d. comparative advertising; pioneer promotion
e. personal selling; public relations
220. Channel capacity is determined by the
a. most efficient component of the communication process.
b. least efficient component of the communication process.
c. source.
d. receiver.
e. meanings of the message.
221. Why is face-to-face communication more flexible in comparison with digital, web-based, or telephone
communications when marketing a new or existing product?
222. What are the differences in trying to stimulate primary demand versus selective demand?
223. How does sales promotion differ from promotion in general?
224. What is integrated marketing communications? Explain its purpose.
225. In what ways can promotion be used to reduce sales fluctuations?
226. Explain the communication process.
227. Discuss the impact that social media has had on the strategy for promotion.
228. Identify and describe the four major promotion mix elements.
229. Discuss the major factors that affect the selection of promotion mix elements.
230. Why is public relations an important form of communication about a company? Discuss negative public relations,
and give an example.
231. Select three criticisms of promotion, and provide defenses to rebut them.
232. Compared to advertising, what are the major advantages and limitations of personal selling?
233. Identify the major objectives of promotion.
234. Explain what product placement is and discuss its growing popularity within entertainment media.