To survive in today’s marketplace, contemporary businesses and organizations are
strongly focusing on one single conceptcommunication.
a. True
b. False
The ___was established as part of the Dodd-Frank Wall Street Reform and Consumer
Protection Act of 2010.
a. Library of Congress
b. Federal Communications Commission
c. Consumer Finance Protection Agency
d. National Consumer Agency
The director of a promotional agency has several clients who are skeptical about using
branded entertainment. Which of the following should he tell his clients about branded
entertainment in order to convince them to use it?
a. “Branded entertainment began with the birth of television and the first variety showit
is very effective.”
b. “It does not matter if your target audience is using DVRthey would still receive your
promotional message.”
c. “Branded entertainment lowers the stakes and raises the potential payoutit is the best
option for your promotion.”
d. “If you use it, you will be able to measure the success of your advertising efforts
much more easily.”
Scenario2-6
Pink Inc. has approached Ripple Effects with the layout of an advertisement for its new
product that it plans to advertise. Ripple Effects has agreed to provide Pink Inc. with the
cast and crew required to create the advertisement, choosing the location and the set up.
Pink Inc. has employed Glamour, an advertising agency, to make the message theme of
the advertisement more innovative. Glamour has charged the firm $50,000 per hour for
its services.
Pink Inc. has chosen to advertise using key chains and complementary pens with the
firm’s logos on them. The type of media chosen by Pink Inc. is referred to as ____.
a. infomercials
b. print media
c. interactive media
d. support media
Three teenage girls who hang around together all start to smoke cigarettes, and
eventually start to drink beer on weekends. With reference to recent research results of
the Federal Trade Commission, the cause for the teenage girls’ habits:
a. would most strongly influenced by families, friends, and peers.
b. have been influenced by advertisements portraying it as cool.
c. stem from hereditary traits.
d. directly relate to advertising campaigns of criminally negligent firms.
Scenario 17-1
If you walk into a Cracker Barrel Old Country Store, you”ll see many items once found
in general stores, like porcelain signs, ceramic jugs, tin boxes, and Coca-Cola trays and
plaques. Since 2004, Coca-Cola Co. has maintained a larger display of unique
Coca-Cola memorabilia at the Cracker Barrel in Nashville, right next to the Opryland
Hotel. Visitors will find a number of rare holiday paintings, prints, and calendars
featuring the familiar Santa Claus figure and a bottle of Coke. In 1931, the company
had commissioned professional illustrator Haddon Sundblom to create illustrations for
its advertising. This resulted in the warm and jolly image of Santa that has endured in
American culture ever since. The soft drink has been served in Cracker Barrel stores for
40 years, so this is a natural connection for both brands. In fact, for its 40th anniversary
in 2009, Cracker Barrel featured Black Cherry Coke in limited-edition glasses bearing
logos of both brands.
(http://www.crackerbarrel.com/about-decor.cfm?doc_id=51. Accessed January 17,
2011.)
(original press release by Jim Taylor, “Rare CocaColaHoliday Artwork on Display at
Cracker Barrel Old Country Store,”
http://www.crackerbarrel.com/mediaroomnewsreleases, November 15, 2004.)
If Coca-Cola employed someone to call on frequent buyers of its memorabilia to
guarantee their satisfaction and update their needs; but not necessarily to pitch new
products or close another sale, this employee would be considered as a(n):
a. order taker.
b. missionary salesperson.
c. system solutions person.
d. creative salesperson.
Scenario3-5
Jerome Brown is a student of marketing and advertising at a small college in the
Midwest. He has been given the task of researching the history of modern advertising as
a part of a group presentation. Jerome is sitting in the school’s library, carefully looking
at a wide variety of magazine ads of different time periods of the 20thcentury to try to
understand how advertising has evolved. Here are some descriptions of the ads that he
found:
Ads that first showed the “male” domain as the office and the “feminine” space as the
home were a part of the _____ era.
a. World War II and the 1950s
b. Great Depression
c. 1920s
d. peace, love, and the creative revolution
How did early marketers establish a degree of power with their brands?
a. By getting consumers to identify them and pay higher prices for them
b. By creating normal and ordinary products so that consumers would easily accept
them
c. By motivating general stores and grocers to replace branded products with unmarked
products
d. By reducing their prices of products
When consumers act as the final judge and jury through their feedback on the quality of
a new idea, they are taking part in a(n):
a. observation analysis.
b. concept test.
c. direct response
d. tracking study.
Scenario 14-3
With social media websites such as Facebook and Twitter garnering so much attention
from consumers and businesses alike, it is hard to believe that only 20 percent of small
businesses are utilizing the sites to help promote their products and services. But this
figure is precisely what was reported in a 2009 study conducted by MerchantCircle, a
social network for small businesses. When the survey results were released in 2010,
experts were not surprised to see the percentage of social media users increase to nearly
50 percent. According to Darren Waddell, vice president of marketing at
MerchantCircle, companies are turning to social media for advertising because it is
relevant and an inexpensive way to reach target consumers. Rather than pouring large
sums of money into traditional marketing, business owners are finding more creative
ways to promote their brand. One of the more common practices for small business
owners utilizing social media is including URLs on business cardsof all sites, Facebook
(no surprise) was the most common site to make it onto business cards.
(Jon Swartz, “More Small Businesses Use Facebook, Twitter to Promote.” USA Today,
July 21, 2010.)
One small business owner found that when he started using Facebook, he began
establishing stronger relationships with some of his less consistent customers. This was
because he started a business page on Facebook and all his customers liked this page.
They held discussions on it, and invited other potential customers to join in. Even the
less consistent customers became regular visitors of this page. In advertising terms, this
Facebook page would be called _____media.
a. owned
b. earned
c. paid
d. derived
The most creative advertising results from individual effort rather than teamwork;
teamwork does not generate synergy in advertising.
a. True
b. False
When formulating a positioning strategy, a multiple-benefits approach is strongly
suggested to satisfy many markets at the same time, because it alerts consumers to a
wide array of diverse functions and positive consequences related to the product.
a. True
b. False
Scenario 13-4
Considering the slow economy and the new focus on simple home decor, a greenhouse
named Gretta’s Garden, located in a central business district, decides to sign up “garden
club” members to get discounts on flowers, shrubs, vegetable plants, houseplants, and
all related accessories. Members may also attend free lectures and hands-on workshops
run by local horticulturists, or relax with a glass of tea or wine in the lush, landscaped
courtyard. Gretta’s Garden has conducted market research and found that most
customers live no more than three miles away, are in blue-collar as well as white-collar
jobs, and represent a diverse range of ethnic and lifestyle segments. Its customer base is
not strongly female, as one might expect, but is about 40 percent male.
Gretta’s Garden also consults with a media outlet about advertising its products. The
salesperson with this firm explains that considering the growing/planting season, they
will need to decide soon, because ads must be submitted at least 60 days before they
run, and the ad material cannot be changed after the submission. Which media type is
the salesperson most likely talking about?
a. Television
b. Radio
c. Newspaper
d. Magazine
Which of the following is the primary reason for direct marketing to grow in
popularity?
a. It uses only one type of media to get a response.
b. It has a long-term sales promotion goal.
c. It has an immediate measurement of response
d. It relies on technology rather than human behavior
The first regulatory initiative by the federal authorities was the Pure Food and Drug Act
that required manufacturers to list the active ingredients of their products on their
labels.
a. True
b. False
In today’s world of marketing, the fields of advertising, branding, and entertainment are
converging.
a. True
b. False
Which of the following serves as a solution to a simple consumption problem and
occurs in settings where a decision isn”t involving?
a. Extended problem solving
b. Habit
c. Conversion
d. Brand loyalty
Firms that track single-source data collect data from:
a. individual cities.
b. international research bodies.
c. government research bodies.
d. individuals or households.
Various personnel view ads in different ways. People in the creative department tend to
see an advertisement as a way to:
a. go easy on their ambitions.
b. showcase a personal ideology.
c. grow the market share for the brand.
d. reflect the client’s thinking.
The issue featured in_____ is directly relevant to the business operations of the
organization.
a. cause-related advertising
b. advocacy advertising
c. philanthropy
d. community marketing
A young man tends to buy things that allow him to experience pleasure, avoid guilt, feel
pride, or relieve fear. In doing so, he chooses products based on:
a. emotional benefits.
b. rituals.
c. cognitive dissonance.
d. life-stage variables.
Though, there appears to be some strong resistance, market research has indicated that
63 percent of consumers don”t mind ___advertising.
a. transit
b. aerial
c. billboard
d. cinema
Scenario 18-1
The brewing companies in the U.S. love to use public relations to keep their company
names in the minds of Americans and to promote their many brands of beer and ale.
Both traditional and innovative public relations activitiesusing both traditional and
innovative mediahelp to promote a positive public image, create brand awareness,
highlight the product line, and act as cost-effective ways to enhance the overall IBP
campaign. And these brewers use a variety of objectives and tools that support the field
of public relations.
A large brewing company has its public relations staff create an interactive website
aimed at men and women in their 20s and early 30s. It offers interesting facts about the
history of beer, the making of beer, the definition of various brewing terms, the
difference between hops and malt, etc. It includes games like crossword puzzles, word
jumbles, and trivia contests related to beer. The objective of such PR initiatives is to:
a. counteract negative publicity about beer.
b. disseminate internal information about the beer industry.
c. lobby politicians for favorable outcomes for the beer industry.
d. promote goodwill toward beer drinkers.
Kristen Cross, an actress, was interviewed by news reporters about what she thought
her fans should know about her new movie. This would be considered as an
advertisement.
a. True
b. False
You are working on a new media plan. You remind yourself that the true power of a
media plan rests on the _____, that is, knowing what you are trying to do with your
media, and matching those objectives with your media choices.
a. share of volume
b. media class
c. media continuity
d. media strategy
The most complex and demanding type of creative selling is seen in telemarketing
efforts directed toward consumers at home.
a. True
b. False
Scenario4-4
Joe Rowan walked into Pederson Toyota one day and began looking at price stickers on
Toyota Camrys. He was interested in that model because he had seen a number of
television and magazine ads describing the car’s features and reputation for reliability
and the fact that it displayed the slogan ” The best car in the world” urged him to look at
the cars. After closely examining the stickers, Joe noticed a line that said “Dealer
Promotion Allowance$125.00.” Joe asked a salesperson what that meant. The salesman
replied that it was a charge that helped the dealership pay for local advertising to
encourage consumers to shop at that particular dealer. After further discussion, Joe
learned that almost 5 percent of the cost of the vehicle comes from expense for national
and local advertising.
Joe saw a television ad that stated the Toyota Camry was “the world’s best car for
reliability.” The use of such absolute superlatives in advertising is:
a. an illegal use of advertising language.
b. unethical but legal.
c. a legal and quite common use of exaggeration.
d. unfair advertising but not deceptive advertising.
The basic idea of cultural branding is to find some rift in the seams of society and then
use it to offer a solution in the form of a branded good.
a. True
b. False
Few companies use purchase intent as the criterion in setting ad objectives because it
tends to be much less accurate in predicting sales than other factors, such as attitude.
a. True
b. False
Which method hopes to zero in on the emotional components of ads by having
respondents turn dials to show their like or dislike while viewing commercials?
a. Single-source tracking
b. Eye-tracking system
c. Pre- and post-exposure attitude measurement
d. Frame-by-frame testing
With the merger of movies, music, gaming, and other entertainment, media planning no
longer involves numbers, schedules, and deadlines.
a. True
b. False
Scenario2-6
Pink Inc. has approached Ripple Effects with the layout of an advertisement for its new
product that it plans to advertise. Ripple Effects has agreed to provide Pink Inc. with the
cast and crew required to create the advertisement, choosing the location and the set up.
Pink Inc. has employed Glamour, an advertising agency, to make the message theme of
the advertisement more innovative. Glamour has charged the firm $50,000 per hour for
its services.
Glamour is an example of a _____.
a. media specialist
b. direct marketing agency
c. creative boutique
d. digital/interactive agency
Product placement in video games has great potential, considering that about 60 million
U.S. households have at least some gaming capability.
a. True
b. False
____ has emerged as the most significant form of consumer control over information
creation and communication.
a. Web advertising
b. Social media
c. Interactive television
d. Direct marketing
A(n) ____ entitles a buyer to a designated reduction in price for a product or service.
a. coupon
b. off-invoice allowance
c. bill-back allowance
d. slotting fee