79. Generally, promotion mixes for companies with extremely limited promotional budgets tend to concentrate on:
a. national advertising.
b. publicity.
c. sales promotions.
d. personal selling.
e. distributor incentives.
80. If a firm’s promotional budget were extremely limited, for which of the following reasons would it be more likely to
rely on personal selling as its main promotional tool?
a. People are more likely to believe a human being than a print ad.
b. TV and radio ads are not feasible for smaller companies.
c. It can achieve more sales through business customers than through individual consumers.
d. It is easier to measure a salesperson’s effects on sales than advertising’s effects on sales.
e. The firm is charging a higher price to cover the expensive salaries of its salespeople.
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81. Organizations that sell products to industrial markets or a few wholesalers tend to frequently focus their promotion
efforts on:
a. national advertising.
b. word-of-mouth communication.
c. public relations.
d. sales promotion.
e. personal selling.
82. 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 pull policy, Dyson will most likely use _____.
a. rebates to the customer
b. personalsellingdonebytheretailer’semployees
c. advertising and a bonus to the retailer for every vacuum cleaner sold
d. sales promotion
e. discounts to the retailer
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83. If the push policy is used in promoting a product, the firm:
a. promotes directly to consumers, wholesalers and retailers.
b. promotes only to the next marketing institution down the marketing channel.
c. Intends to pull the goods down through the channel by creating demand at the consumer level.
d. will focus on persuading consumers to seek its products in retail stores.
e. will develop strong consumer demand for its products.
84. 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.
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85. 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. sales promotion
d. pull
e. pioneer promotion
86. Ralph Lauren is planning a promotion where it will showcase all of its clothing lines to buyers at retail stores. It also
plans to develop a direct marketing campaign that will use social media to introduce its new seasonal styles. Ralph
Lauren is using _____ with the retail showcase.
a. embedded marketing
b. a pull policy
c. a push policy
d. guerilla marketing
e. loyalty marketing
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87. 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.
88. Which of the following is a personal informal exchange of communication that customers share with one another
about products, brands, and companies?
a. Guerilla marketing
b. Word-of-mouth communication
c. Product placement
d. Embedded communication
e. Conversational promotion
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89. 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.
90. Andrea receives an e-mail from her sister-in-law that is actually a recommendation for a website with a
demonstration of a new home hair-coloring system. She later discovers that her sister-in-law received a free trial kit
for passing Andrea’s and four other friends’ e-mail addresses along to the marketer. This is known as:
a. viral marketing.
b. buzz marketing.
c. guerilla marketing.
d. selective demand.
e. personal advertising.
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91. 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.
92. Promotion can help keep prices lower because:
a. demand for the product does not increase.
b. promotion of prices intensifies price competition.
c. promotion discourages materialism.
d. promotion tends to reduce consumers’ price sensitivity.
e. promotion tends to stabilize a product’s price elasticity of demand.
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93. 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.
Scenario 15.1
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, 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.
94. Refer to Scenario 15.1. If Toyota offers the dealership salespeople a trip to Hawaii for anyone who could sell ten
of the new vehicles within the first month of their availability, the promotion tactic would be an example of _____
marketing.
a. direct
b. buzz
c. pull
d. push
e. viral
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95. 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. product placement.
b. personal selling.
c. loyalty marketing.
d. buzz marketing.
e. embedded marketing.
96. Refer to Scenario 15.1. Suppose that Toyota has decided to contract with the producer of the next James Bond 007
movie to use one of its new vehicles in a chase scene. This would best be an example of:
a. personal selling.
b. word-of-mouth promotion.
c. product placement.
d. viral marketing.
e. buzz marketing.
Chapter 15 – Integrated Marketing Communications
Scenario 15.2
Use the following to answer the questions.
The manufacturers of Whizz, a new laundry detergent, are developing their promotional plan for the first year. They
know they want to use an integrated communications strategy and are considering the use of advertising through
TV and magazines, coupons, public relations, sales promotion, and viral marketing. They are not sure when to use
each of these methods however, and have asked for your advice.
97. 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. buzz marketing.
b. sales promotion.
c. viral marketing.
d. word-of-mouth promotion.
e. loyalty marketing.
98. 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 _____.
a. viral advertising
b. sales promotion
c. embedded marketing
d. product placement
e. direct marketing
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99. 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 emails to the five friends are an example of
_____.
a. advertising
b. personal selling
c. sales promotion
d. embedded marketing
e. viral marketing
100. Today, the sharing of information and use of technology to facilitate communication between buyers and sellers are
essential for successful customer relationship management.
a. True
b. False
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101. A major goal of integrated marketing communications is to send a consistent message to customers.
a. True
b. False
102. While the specific communication vehicles employed in promotion have not changed, the fundamental role of
promotion is changing.
a. True
b. False
103. Communication is a sharing of meaning.
a. True
b. False
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104. When encoding a message, the source should use signs or symbols that are new to the audience.
a. True
b. False
105. Encoding is the process by which a receiver takes the coded message received from the source and converts it into
ideas and concepts.
a. True
b. False
106. Signs and symbols that can have more than one meaning should be avoided.
a. True
b. False
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107. The receiver’s response to the decoded message is called noise.
a. True
b. False
108. Radio or television transmission difficulties are sources of noise.
a. True
b. False
109. Rapid feedback enables communicators to quickly improve the effectiveness of their communication.
a. True
b. False
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110. A communications channel is the vehicle used to transmit the coded message from the source to the receiver.
a. True
b. False
111. When a firm uses mass communication, feedback is rapid.
a. True
b. False
112. Feedback does not exist for mass communication.
a. True
b. False
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113. Channel capacity is determined by the most efficient component of the communication process.
a. True
b. False
114. A television advertisement that transmits several types of audio messages and visual materials may be ineffective.
a. True
b. False
115. The role of promotion is to communicate.
a. True
b. False
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