1) A company can use direct marketing to build a favorable image.
2) Classified advertisements primarily include newspaper display advertising done by
marketers of branded products or services that are sold on a national level.
3) One of the advantages of direct mail advertising is that it is clutter-free.
4) The survey of buying power index is conducted for every major metropolitan market
in the United States.
5) A major advantage of public relations is the potential for completing the
communications process.
6) Account planners work with the client as well as other agency personnel including
the account executives and media specialists.
7) High levels of fear in an advertisement can produce inhibiting effects; the receiver
may emotionally block the message by tuning it out.
8) In the top-down approach, the budgetary amount is established usually at the
departmental level.
9) According to the Children’s Advertising Review Unit (CARU), parents, and not
advertisers, are responsible for protecting children from their own susceptibilities while
viewing advertisements.
10) Demographic data can provide insight into the living standards and lifestyles in a
particular country to help companies plan ad campaigns.
11) A disadvantage of the decentralized system is that each brand does not receive
concentrated managerial attention, resulting in slower response to both problems and
opportunities.
12) The lack of audience information is a greater problem for big advertisers/markets
than it is for small advertisers/markets.
13) Unlike nonprofit organizations, profit centric organizations do not use
telemarketing.
15) Psychoanalytic theory was pioneered by _____.
A.Abraham Maslow
B.Sigmund Freud
C.Ivan Pavlov
D.David McClelland
E.Victor Vroom
16) Which of the following is true of telemarketing as an advertising medium?
A.It is not used by for-profit organizations to screen and qualify prospects.
B.It is considered an ineffective medium of direct selling by most national advertisers.
C.It is typically expensive and increases advertising overheads substantially.
D.It is typically used by nonprofit organizations to solicit funds.
E.It is considered to be an important component of sales promotion.
17) Which of the following has been cited as a disadvantage of using the Internet?
A.Inability to tailor messages
B.Lack of sales potential
C.Limited exposure
D.Potential for deception
E.Lack of creativity
18) Advertisers can measure the relative effectiveness of a direct marketing program
quickly by using:
A.cost per thousand (CPM).
B.the breakeven point.
C.reach and frequency.
D.cost per order (CPO).
E.net sales.
19) Which of the following is a disadvantage of using a centralized organizational
system?
A.Longer response time
B.Allows for very little top-management involvement
C.Involvement of a huge number of people in making program decisions
D.Prohibits communications
E.Discontinuity in staff
20) Tia saw a television commercial that claimed a specific brand of pain reliever to be
much more effective than any other brand available in the market. After watching the
entire message, Tia stated, “This painkiller cannot be more effective than mine.” In this
scenario, Tia is expressing:
A.a counterargument.
B.a support argument.
C.source bolstering.
D.negative dissonance.
E. positive dissonance.
21) The _____ gave the Federal Trade Commission (FTC) the power to issue
cease-and-desist orders and levy fines on violators.
A.Central Hudson Test
B.National Advertising Review Board
C.Lanham Act
D.Wheeler-Lea Amendment
E.Sherman Antitrust Act
22) One of the criticisms of advertising is that:
A.it perpetuates stereotypes.
B.it is not aggressive enough.
C.it lacks detailed information.
D.it discourages capitalism.
E.it is unable to control other media content.
23) Consumer juries and portfolio tests are examples of:
A.single-source real world methods.
B.posttest field methods.
C.pretest laboratory methods.
D.posttest laboratory methods.
E.pretest field methods.
24) Which of the following statements is true of the use of catalogs in the
direct-marketing industry?
A.One of the disadvantages of catalogs is that they can be used only in the form of
traditional hard copies; they cannot be used in conjunction with the Internet.
B.The number of catalogs mailed and the number of traditional catalog shoppers has
increased in the recent years.
C.The emotional appeal of a traditional catalog exceeds that of online catalogs, and
ultimately is one of the best ways to drive consumers online.
D.Catalogs are ineffective due to their limited segmentation characteristics.
E.Catalogs are designed for stimulating an immediate purchase behavior in customers;
however, they are ineffective in attracting publicity.
25) Tara argues that ads with sex appeals are in bad taste and ineffective in influencing
the target audience. Amy disagrees and is of the opinion that these ads are effective as
long as they fulfill the marketing objective. Which of the following statements is likely
to strengthen Amy’s argument?
A.Ads with sex appeal have high stopping power.
B.Ads with sex appeal are enjoyed by men and women equally.
C.Ads with sex appeal are dismissed by conservatives.
D.Ads with sex appeal objectify women and demean them.
E.Ads with sex appeal could distract viewers from the product.
26) Which of the following is true of magazine advertising in relation to the problem of
clutter?
A.Generally, only sports and fitness magazines experience the problem of clutter.
B.Magazine publishers do not attempt to control the clutter problem.
C.It is not as serious an issue for magazines as for radio or TV.
D.The problem of clutter is usually solved with split runs.
E.Typically, magazine readers are less tolerant toward clutter.
27) What is the next stage in the IMC planning process, once marketing and
communication objectives have been set?
A.Budget determination
B.Developing the advertising message
C.Reviewing the marketing plan
D.Recruitment of marketing and promotion personnel
E.Development of the IMC program
28) According to Young’s model of the creative process, the _____ step deals with
gathering raw material and information through background research and getting
absorbed in the problem.
A.problem detection
B.illumination
C.immersion
D.reality
E.incubation
29) An organization wants to screen leads and qualify potential buyers before
salespeople call on them. Which of the following is the most cost efficient method to do
this?
A.Increase advertising in mass media.
B.Use alternate channels such as retailing.
C.Appoint external consultants to screen leads.
D.Use direct marketing techniques such as telemarketing.
E.Hire highly qualified salespeople who can convince prospective customers.