1) In the psychographic approach to segmentation, determination of lifestyles is usually
based on an analysis of the activities, interests, and opinions (AIOs) of consumers.
2) The front cover of a magazine is considered editorial space and off limits to
advertisers.
3) Publicity, public relations, and corporate advertising are integral parts of the overall
promotional effort.
4) Concept testing is a method of pretesting finished ads.
5) The Federal Trade Commission (FTC) is responsible for protecting businesses, and
not consumers, from anticompetitive behavior and unfair and deceptive practices.
6) In-house agencies are preferred by some companies because they keep the marketing
communications function more closely tied to top management.
7) For many products, the impression or image that the ad creates determines the
communication effectiveness more than the actual words of the message do.
8) Direct broadcast by satellite employs low-cost satellite dishes.
9) The exact size of the evoked set varies from one consumer to another and depends on
factors such as the importance of the purchase.
10) Not all marketing transactions involve the exchange of money for a product or
service.
11) When a brand moves to the maturity stage, advertising is primarily used as a
reminder to keep consumers aware of the brand.
12) The receiver’s perception of the source of the message may also affect the ability to
communicate.
13) Personal selling is typically controlled by the advertising department.
14) The unique selling proposition (USP) must be one that the competition either
cannot or does not offer.
15) In a typical target marketing process, the stage of segmenting the market is
immediately followed by positioning one’s product or service through effective
marketing strategies.
16) In the _____ method of budget determination, advertising is considered an
investment, similar to plant and equipment.
A.payout planning
B.objective and task
C.ROI budgeting
D.competitive parity
E.percentage-of-sales
17) _____ includes those marketing activities that provide extra value or incentives for
purchasing a product, such as coupons and premiums.
A.Direct marketing
B.Advertising
C.Public relations
D.Sales promotion
E.Publicity
18) A commercial for a floor cleaner shows a young mother cleaning her kitchen floor
after feeding her toddler. The commercial is considered to be effective because it
utilizes high source similarity. This is an example of a _____ commercial.
A.comparative
B.reputational
C.slice-of-life
D.spokesperson-oriented
E.power-based
19) According to the market coverage alternatives, _____ involves ignoring segment
differences and offering just one product or service for the entire market.
A.bait-and-Switch marketing
B.concentrated marketing
C.micro-marketing
D.neuromarketing
E.undifferentiated marketing
20) Which of the following is a disadvantage of MPR?
A.It is not a cost-effective way to reach the market.
B.It fails to achieve credibility.
C.It is difficult to tie in slogans and other advertising devices.
D.It fails to break through the clutter.
E.It does help in improving ROI.
21) The state of Colorado runs an ad which shows an obviously scared third grader
getting ready to go on stage for his first public stage appearance. He is dressed as a
carrot. The ad tells the reader that being a third grader is much more stressful than we
remember and causes us to feel great sympathy for the child dressed in the ridiculous
costume. The tag line at the end of the ad reads, “Your kids need a carefree Colorado
vacation as much as you do.” This is an example of a:
A.dramatization technique.
B.testimonial technique.
C.fear technique.
D.personality symbol technique.
E. scientific evidence technique.
22) Defining the communications goals to be accomplished and estimating the costs
associated with the performance of the necessary strategies and activities are steps in
the _____ method of budgeting.
A.competitive parity
B.payout planning
C.ROI
D.return on investment
E.objective and task
23) _____ is a heuristic in which consumers make a selection on the basis of an overall
impression or summary evaluation of the various alternatives under consideration.
A.Affect referral decision rule
B.Bait-and-switch advertising
C.Guerilla advertising
D.The mirror image rule
E.Cognitive appraisal theory of emotion
24) Brand identity is best defined as:
A.a method of defining the percentage of loyal, impulsive, and need-based customers
for a particular product.
B.the process of taking the help of commercial market research agents to conduct a
thorough market research before entering a market with unique products.
C.a combination of the name, logo, symbols, design, packaging, and image of
associations held by consumers.
D.the process of creating new product lines within a company to expand and develop
the company’s product portfolio.
E.a combination of print, guerilla, broadcast, and outdoor advertising to promote a
company’s products.
25) Which of the following types of message structure should a marketer use if
immediate behavior is not an objective and if repeated exposure will give the target
audience an opportunity to draw its own conclusions?
A.An open-ended message
B.A close-ended message
C.A primacy message
D.A refutational appeal
E.A fear appeal
26) _____ refers to the relationship between the price paid for advertising time and the
size of the audience delivered and is also used to compare media vehicles.
A.Net contribution margin
B.Net cost
C.Absolute cost
D.Relative cost
E.Cost per media (CPM)
27) Which of the following is true of source derogation?
A.They are positive thoughts about the spokesperson in an ad.
B.They generally lead to a reduction in message acceptance.
C.They enhance brand recognition.
D.They are considered to be a useful tool for measuring consumer loyalty.
E.They are one of the least important types of emotional responses to an ad.
28) What advantage does distribution of coupons through direct mail have over other
forms of coupon delivery?
A.Precise reach
B.Lower cost
C.Lower redemption rate
D.Lower economies of scale
E.Cooperative advertising opportunities
29) Complete _____ of international advertising is likely when market and media
conditions are similar from one country to another, when a company has only one or a
few international agencies handling all of its advertising, when it can use standardized
advertising, or when it desires a consistent image worldwide.
A.localization
B.globalization
C.decentralization
D.centralization
E.regionalization
30) Which of the following is best suited to worldwide appeals?
A.Products that are steeped in the cultural heritage of a country
B.High-tech products with a strong local touch
C.Products that appeal to a market segment with widely differing tastes, interests,
needs, and values
D.Brands or messages that require translation into different languages
E.Products with a nationalistic flavor if the country has a reputation in the field
31) The designated market area (DMA) of Boston has approximately 3 million
television households. Audience research shows that 45 percent of these households had
their TV sets turned on during a particular Saturday evening and 300,000 households
were watching Sports Stories, a sports news program. The share of audience for Sports
Stories in the Boston DMA is _____.
A.32
B.35.5
C.26
D.22.2
E.20.2
32) An advertisement for Flora Gardening Supplies begins with a discussion of how
beautiful and enjoyable gardens can be. It ends with the directive to visit the company
website and guarantees that the online experience will convince consumers to buy the
company’s products. By placing the strongest point at the end of the ad, Flora is hoping
to benefit from the:
A.primacy effect.
B.recency effect.
C.sleeper effect.
D.credibility effect.
E.compliance hierarchy.
33) Which of the following components is most likely to be reflected in an
informational advertisement?
A.Elevation of social status from using the product
B.Celebrities who use the product
C.Performance and availability of the product
D.Attractive appearance of the product
E.Emotional fulfillment from using the product
34) Which of the following statements is true of international sales promotions?
A.In countries with low literacy rates, distributing coupons through print media is
considered extremely effective.
B.Sales promotion is the only marketing mix element that is unaffected by the presence
of legal restrictions and regulations.
C.Free samples and demonstrations are widely used as effective promotional tools in
developing countries.
D.Sales promotions must be done on a global basis for legal reasons.
E.The economic environment does not influence the use or choice of sales promotions.
35) Which of the following is the best example of corporate advertising?
A.Saturn Inc.’s use of a popular actress as a spokesperson
B.Mars and Gray promoting its concern for the environment
C.Crest Golf’s signing of pro-golfer Bryan Raymond as a spokesperson
D.W&W conducting a contest to choose a new color for their candies
E.Haven Funeral Home giving out free calendars to all of its clients