68) ________ are consumer promotion offers to consumers of savings off the regular price of a
product, flagged on the label or package.
A) Coupons
B) Rebates
C) Price packs
D) Premiums
E) Samples
69) Premiums, as a consumer promotion tool, are defined as ________.
A) offers to consumers of savings off the regular price of a product, flagged on the label or
package
B) certificates entitling the bearer to a stated saving on the purchase of a specific product
C) programs providing rewards related to the consumer’s frequency and intensity in purchasing
the company’s products or services
D) merchandise offered at a relatively low cost or free as an incentive to purchase a particular
product
E) values in cash or in other forms that are proportional to patronage of a certain vendor or group
of vendors
70) ________ is a consumer promotion tool that involves inviting prospective purchasers to try
the product without cost in the hope that they will buy.
A) Sampling
B) Premium
C) Cross-promotion
D) Free trial
E) Rebate
71) Which of the following consumer promotion tools involves using one brand to advertise
another noncompeting brand?
A) tie-in promotion
B) frequency programs
C) specialty advertising
D) cross-promotion
E) patronage awards
72) Which of the following consumer promotion tools refers to explicit or implicit promises by
sellers that the product will perform as specified or that the seller will fix it or refund the
customer’s money during a specified period?
A) product warranties
B) coupons
C) free trials
D) rebates
E) patronage awards
73) Which of the following terms describes the practice of retailers purchasing a greater quantity
during a sales promotion period than they can immediately sell?
A) diverting
B) panic buying
C) straight rebuy
D) buyout
E) forward buying
74) Which of the following retailer practices involves buying more units than needed of a
product under a sales promotion in a region where the manufacturer offers a promotion deal and
shipping the surplus to their stores in nondeal regions?
A) diverting
B) panic buying
C) hoarding
D) stockpiling
E) forward buying
75) A ________ is a salesforce promotion tool that aims at inducing the sales force or dealers to
increase their sales results over a stated period, with prizes (money, trips, gifts, or points) going
to those who succeed.
A) trade show
B) frequency program
C) sales contest
D) sweepstake
E) patronage award
76) ________ is the time necessary to prepare a promotional program prior to launching it.
A) Sell-in time
B) Link time
C) Setup time
D) Lead time
E) Hold time
77) ________ begins with the promotional launch and ends when approximately 95 percent of
the deal merchandise is in the hands of consumers.
A) Lead time
B) Hold time
C) Setup time
D) Link time
E) Sell-in time
78) Becoming part of a personally relevant moment in consumers’ lives through ________ can
broaden and deepen a company or brand’s relationship with the target market.
A) advertisements
B) events and experiences
C) sales promotions
D) public relations
E) direct marketing efforts
79) Rolex calls itself the “Official Timekeeper” of the Wimbledon and Australian Open lawn
tennis championships, by virtue of its sponsorships of the marquee events. What is the most
likely objective for Rolex’s sponsorship deal with these events?
A) to permit merchandising or promotional opportunities
B) to express commitment to the community or on social issues
C) to create experiences and evoke feelings
D) to identify with a particular target market or lifestyle
E) to increase salience of company or product name
80) Mountain Dew is a brand known for sponsorships of adventure events such as snowboarding
and skateboarding competitions. What is the most likely objective of Mountain Dew’s
sponsorship of these events?
A) to enhance corporate image
B) to express commitment to the community or on social issues
C) to entertain key clients or reward key employees
D) to create perceptions of key brand image associations
E) to become part of a personally relevant moment in consumers’ lives
81) Audi models featured prominently in the 2010 blockbuster Iron Man 2, including main
character Tony Stark’s personal R8 Spyder. Which of the following is the most rational
explanation for Audi’s decision to associate itself with the movie?
A) to express commitment to the community or on social issues
B) to identify with a particular target market or lifestyle
C) to create experiences and evoke feelings
D) to become part of a personally relevant moment in consumers’ lives
E) to entertain key clients or reward key employees
82) JBJ Sports is a leading sports goods maker from Atlanta. It has recently initiated a program
in association with the Children of God Foundation, which bids to raise funds to promote
nutritional awareness and education of young children from Bangladesh. The company plans to
donate $1 for every item it sells in the North American market. Also, JBJ has roped in
professional sports teams associated with it to wear the Children of God logo on their team gear.
Which of the following best describes the motivation for JBJ’s involvement in the program?
A) entertaining key clients or rewarding key employees
B) expressing commitment to the community or on social issues
C) permitting merchandising or promotional opportunities
D) stimulating quicker or greater purchase of particular brands
E) identifying with a particular target market or lifestyle
83) Which of the following factors forms the basis of assessing sponsorship activities through
supply-side methods?
A) consumers’ brand knowledge
B) impact on sponsor’s bottom line
C) extent of media coverage
D) brand exposure reported by consumers
E) sales pattern of sponsored products
84) Which of the following parameters forms the basis for measuring sponsorship effectiveness
using demand-side methods?
A) impact on market share of sponsor
B) amount of time a brand is clearly visible on a television screen
C) amount of relevant newsprint mentioning the sponsor
D) influence on consumers’ brand knowledge of the sponsor
E) net impact on the sponsor’s bottom line
85) ________ is a marketing communications tool that includes a variety of programs to promote
or protect a company’s image or individual products.
A) Public relations
B) Advertising
C) Sales promotion
D) Personal selling
E) Direct marketing
86) Which of the following functions of public relations departments involves presenting news
and information about the organization in the most positive light?
A) corporate communications
B) product publicity
C) lobbying
D) counseling
E) press relations
87) Which of the following describes the public relations function of lobbying?
A) sponsoring efforts to publicize specific products
B) advising management about public issues, and company positions and image during good
times and bad
C) presenting news and information about the organization in the most positive light
D) dealing with legislators and government officials to promote or defeat legislation and
regulation
E) promoting understanding of the organization through internal and external communications
88) What function does a company’s public relations department perform when it promotes
understanding of the organization through internal and external communications?
A) lobbying
B) corporate communications
C) press relations
D) product publicity
E) counseling
89) When a public relations department of a company advises management about public issues,
and company positions and image during good times and bad, it is performing the function of
________.
A) counseling
B) corporate communications
C) product publicity
D) lobbying
E) press relations
90) ________ refers to the task of securing editorial space—as opposed to paid space—in print
and broadcast media to promote or “hype” a product, service, idea, place, person, or
organization.
A) Advertising
B) Media planning
C) Communication design
D) Publicity
E) Copy testing
91) Which of the following is a medium of visual identity for a company?
A) annual reports
B) dress codes
C) press releases
D) seminars
E) trade shows
92) The easiest measure of marketing public relations effectiveness is ________.
A) the resultant effect on the company’s sales figures
B) the effect it has on its market capitalization
C) the number of exposures carried by the media
D) the changes observed in consumers’ brand knowledge
E) the impact it has on the company’s market share
93) An advertising objective is a specific communications task and achievement level to be
accomplished with a specific audience in a specific period of time.
94) Persuasive advertising aims to create brand awareness and knowledge of new products or
new features of existing products.
95) Reinforcement advertising aims to stimulate repeat purchase of products and services.
96) If the product class is mature, then the advertising objective is to convince the market of the
brand’s superiority.
97) Established brands usually are supported with lower advertising budgets, measured as a ratio
to sales.
98) Brands in highly-differentiated product classes require heavy advertising to establish a
unique image.
99) Print advertising (newspapers and magazines) is generally acknowledged as the most
powerful advertising medium.
100) Although newspapers are timely and pervasive, magazines are typically more effective at
building user and usage imagery.
101) Researchers studying print advertisements report that the picture, headline, and copy matter
in that order.
102) Puffery refers to simple exaggerations in advertisements that are not meant to be believed
and are considered illegal.
103) Reach of an advertising message is most important when launching new products, flanker
brands, extensions of well-known brands, or infrequently purchased brands.
104) The higher the forgetting rate associated with a brand, product category, or message, the
lower the warranted level of repetition.
105) The rationale behind place advertising is that marketers are better off reaching people where
they work, play, and shop.
106) Outdoor advertising is more effective at creating new brand associations than enhancing
brand awareness or brand image.
107) The macroscheduling decision calls for allocating advertising expenditures within a short
period to obtain maximum impact.
108) The forgetting rate is the rate at which the buyer forgets the brand; the higher the forgetting
rate, the more continuous the advertising should be.
109) Concentrated advertising is well suited for products with one selling season or related
holiday.
110) An advertiser makes “local buys” when it buys TV time in just a few markets or in regional
editions of magazines.
111) Sales promotion consists of a collection of incentive tools designed to mainly stimulate
long-term brand associations of products or services with consumers or the trade.
112) Sales promotions often attract brand switchers, who are primarily looking for low price,
good value, or premiums.