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d.
promotes the product to retailers only.
e.
will be assured of having an effective promotional mix.
112. 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.
113. 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
114. 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 and ___ with the social media campaign.
a.
a pull policy; a push policy.
b.
personal selling; a pull policy.
c.
a push policy; a pull policy.
d.
guerilla marketing; a push policy.
e.
publicity; a push policy.
115. 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.
116. 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
117. 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.
118. 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.
a word-of-mouth pyramid.
e.
personal advertising.
119. 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.
120. The two main reasons for criticism of promotional activities are that promotion
a.
has some flaws, and it is deceptive.
b.
is deceptive, and it causes prices to rise.
c.
pervades our daily lives, and it creates needs in us.
d.
creates needs in us, and it encourages materialism.
e.
has some flaws, and it pervades our daily lives.
121. Promotion can help keep prices lower because
a.
demand for the product does not increase.
b.
promotion of prices intensifies price competition.
c.
promotion of prices leads to nonprice competition.
d.
promotion tends to reduce consumers' price sensitivity.
e.
promotion tends to stabilize a product's price elasticity of demand.
122. A commercial for a weight-loss program that explains that the customer pays only one dollar for every pound he or
she wants to lose but specifies in fine print that the cost of meals is extra exemplifies ____ advertising.
a.
unfair
b.
illegal
c.
deceptive
d.
push
e.
pull
123. 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.
124. 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.
125. 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.
126. Promotion helps consumers because it
a.
costs billions of dollars each year, which stimulates the U.S. economy.
b.
always stresses wholesome values, which benefits society.
c.
persuades consumers to make the right choices.
d.
informs consumers and places them in a position to specify the products that they seek.
e.
tends to be informative and not persuasive.
127. 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.
128. Scenario 16.1
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, 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.
Refer to Scenario 16.1. 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.
129. Scenario 16.1
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, 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.
Refer to Scenario 16.1. Suppose Toyota also offered the dealership salespeople a trip to Hawaii for anyone who could sell
ten of the new vehicles within the first month they were available? This tactic would be an example of ____ marketing,
while the TV commercials described above would be an example of ____ marketing.
a.
pull; push
b.
personal selling; push
c.
pull; sales promotion
d.
push; pull
e.
personal selling; sales promotion
130. Scenario 16.1
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, 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.
Refer to Scenario 16.1. 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.
sales promotion.
b.
word-of-mouth promotion.
c.
product placement.
d.
viral marketing.
e.
publicity.
131. Scenario 16.1
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, 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.
Refer to Scenario 16.1. 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
132. Scenario 16.2
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.
Refer to Scenario 16.2. Since Whizz is a new product, which of the following promotional methods would you least
recommend?
a.
magazine ads.
b.
viral marketing.
c.
television commercials.
d.
a price-reduction sales promotion.
e.
public relations.
133. Scenario 16.2
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.
Refer to Scenario 16.2. 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.
134. Scenario 16.2
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.
Refer to Scenario 16.2. 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
135. Scenario 16.2
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.
Refer to Scenario 16.2. 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
d.
product placement; selective
e.
product placement; primary
136. Today, technology is allowing marketers to be more precise in targeting individual customers.
a.
True
b.
False
137. If integrated marketing communications works as intended, customers should receive clear and consistent messages.
a.
True
b.
False
138. While the specific communication vehicles employed in promotion have not changed, the fundamental role of
promotion is changing.
a.
True
b.
False
139. Communication is a sharing of meaning.
a.
True
b.
False
140. When encoding a message, the source should use signs or symbols that are new to the audience.
a.
True
b.
False
141. 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
142. Signs and symbols that can have more than one meaning should be avoided.
a.
True
b.
False
143. The receiver's response to the decoded message is called noise.
a.
True
b.
False
144. Interference on one's television set during a commercial is an example of noise.
a.
True
b.
False
145. When feedback occurs, the source becomes the receiver.
a.
True
b.
False
146. Rapid feedback enables communicators to quickly improve the effectiveness of their communication.
a.
True
b.
False
147. When an individual goes out and buys a product after having seen or read an advertisement for it, feedback is
occurring.
a.
True
b.
False
148. A communications channel is the vehicle used to transmit the coded message from the source to the receiver.
a.
True
b.
False
149. When a firm uses mass communication, feedback is rapid.
a.
True
b.
False
150. Feedback does not exist for mass communication.
a.
True
b.
False
151. The capacity of a communication channel is determined by the least efficient component of the communication
process.
a.
True
b.
False
152. Channel capacity is determined by the most efficient component of the communication process.
a.
True
b.
False
153. A television advertisement that transmits several types of audio messages and visual materials may be ineffective.
a.
True
b.
False
154. The role of promotion is to communicate.
a.
True
b.
False
155. Firms that link the purchase of their product to philanthropic efforts practice cause-related marketing.
a.
True
b.
False
156. Effective promotional programs require management efforts such as planning, organization, implementation, and
control.
a.
True
b.
False
157. Promotion that focuses on creating awareness is only important when introducing a new product to the market.
a.
True
b.
False
158. A marketer uses pioneer promotion in the introductory stage of the product life cycle, when there are many
competitive brands.
a.
True
b.
False
159. Demand for a product category rather than for a specific brand is called primary demand.
a.
True
b.
False
160. Pioneer promotion neither emphasizes brand names nor compares brands.
a.
True
b.
False
161. Selective demand is demand for a certain brand.
a.
True
b.
False
162. Promotion to encourage trial use attempts to retain loyal customers.
a.
True
b.
False
163. Promotion can assist salespeople in finding likely sales prospects.
a.
True
b.
False
164. A business usually cannot operate at peak efficiency when sales fluctuate significantly.
a.
True
b.
False
165. A reseller advertising a manufacturer's products is viewed as strong manufacturer support.
a.
True
b.
False
166. A promotion mix is a blend of four possible ingredients, which are advertising, personal selling, public relations, and
sales promotion.
a.
True
b.
False
