Advertising and Promotion Final
Test Solutions
Course Introduction
Advertising and Promotion explores the principles, strategies, and techniques used to develop effective advertising campaigns and promotional activities. The course examines the role of advertising within the broader context of marketing communications, emphasizing target audience analysis, message creation, media planning, budgeting, and campaign evaluation. Students will learn about various promotional tools, including digital media, social media, public relations, sales promotion, and sponsorships, and how these methods can be integrated to achieve organizational goals. Emphasis is placed on ethical considerations, global perspectives, and the measurement of campaign effectiveness in ever-evolving markets.
Recommended Textbook
Principles of Marketing 17th Edition by Philip T. Kotler
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20 Chapters
3307 Verified Questions
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Chapter 1: Marketing: Creating Customer Value and Engagement
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152 Flashcards
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Sample Questions
Q1) Renovations of the guest rooms at the Seagull Terrace and plans to add an indoor pool area are examples of the ________ concept.
A) selling
B) marketing
C) product
D) production
E) societal marketing
Answer: C
Q2) In the context of customer relationship groups, a potentially profitable and short-term customer is referred to as a ________.
A) true friend
B) butterfly
C) stranger
D) barnacle
E) market maven
Answer: B
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Page 3
Chapter
Build Customer Engagement, Value, and Relationships
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169 Verified Questions
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Sample Questions
Q1) A product's position is the place it occupies relative to competitors' products in consumers' minds.
A)True
B)False
Answer: True
Q2) Which of the following companies has a market-oriented business definition?
A) An electronics company, whose business definition is: "We produce microchips."
B) A hotel, whose business definition is: "We rent rooms."
C) An apparel company, whose business definition is: "We make and sell women's clothing."
D) A cosmetic company, whose business definition is: "We sell hope and self-esteem."
E) A pizzeria, whose business definition is: "We sell the world's most delicious thin-crust pizzas."
Answer: D
Q3) What is a strategic business unit (SBU)?
Answer: An SBU can be a company division, a product line within a division, or sometimes a single product or brand.
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Page 4
Chapter 3: Analyzing the Marketing Environment
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162 Flashcards
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Sample Questions
Q1) A company's marketing environment excludes the forces outside the marketing department that affect marketing management's ability to build and maintain successful relationships with target customers.
A)True
B)False
Answer: False
Q2) How can marketers reach the Generation Zers effectively?
Answer: The social media will play a crucial marketing role as the kids and tweens grow into teens.
Today's kids are notoriously hard to pin down. The key is to engage these young consumers and let them help to define their brand experiences. Says one expert, "They love sensory overload-bright colors, music videos, a variety of merchandise, the tumult of all that."
Q3) The microenvironment consists of larger societal forces that affect a company, such as demographic, economic, political, and cultural forces.
A)True
B)False
Answer: False
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5
Chapter 4: Managing Marketing Information to Gain Customer Insights
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Sample Questions
Q1) What type of research would be the most useful to determine if a 20-percent decrease in price for a high-end sedan would result in an increase in purchases sufficient to offset the reduced price? Why?
Q2) ________ involves gathering primary data by asking people questions about their knowledge, attitudes, preferences, or buying behavior. It is the most widely used method for primary data collection.
A) Experimental research
B) Causal research
C) Ethnographic research
D) Survey research
E) Exploratory research
Q3) The objective of causal research is to ________.
A) test hypotheses about cause-and-effect relationships
B) gather preliminary information that will help suggest hypotheses
C) describe things, such as the market potential for a product
D) assign a cause to a seemingly random event
E) predict the effect of a random event on unrelated entities
Q4) Experimental research is best suited for gathering descriptive information.
A)True
B)False
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Chapter 5: Consumer Markets and Buyer Behavior
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Sample Questions
Q1) People differ greatly in their readiness to try new products. In each product area, there are "consumption pioneers," also referred to as lagging adopters.
A)True
B)False
Q2) Donna wants to buy a new coat. During the ________ stage of the buyer decision process she will ask her friends to recommend stores that sell good quality winterwear clothing. She will also go through newspapers and magazines to look out for offers and sales on coats.
A) product evaluation
B) alternative evaluation
C) need recognition
D) information search
E) purchase decision
Q3) Asian-American consumers are the least brand conscious of all ethnic groups.
A)True
B)False
Q4) Explain how selective distortion is somewhat controllable by a marketer.
Q5) Describe some important strategies for a marketer of a high-involvement product.
Q6) Identify and describe the stages in the adoption process.
Page 7
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Chapter 6: Business Markets and Business Buyer Behavior
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Sample Questions
Q1) Differences between business markets and consumer markets include all of the following EXCEPT ________.
A) nature of the buying unit
B) market structure and demand
C) number of buyers
D) people who make purchase decisions to satisfy needs
E) types of decisions and the decision process
Q2) In ________, companies work together to facilitate the trading process.
A) reverse auctions
B) trading exchanges
C) procurement
D) supplier selection
E) order-routine specification
Q3) Within the organization, buying activity consists of two major parts: the buying center and the buying decision process.
A)True
B)False
Q4) What are the major characteristics of government markets?
Q5) What is supplier development?
Q6) How do influencers contribute to the purchase decision process?
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Chapter 7: Customer Value-Driven Marketing Strategy:
Creating Value for Target Customers
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Sample Questions
Q1) Which of the following is NOT one of the major variables used in segmenting consumer markets?
A) demographic
B) behavioral
C) ethical
D) geographic
E) psychographic
Q2) Explain the four major steps in designing a customer-driven marketing strategy.
Q3) When segmenting by usage rate, markets can be segmented into nonusers, ex-users, potential users, first-time users, and regular users of a product.
A)True
B)False
Q4) Benefit segmentation requires finding the major benefits people look for in a product class, the kinds of people who look for each benefit, and the major brands that deliver each benefit.
A)True
B)False
Q5) What is product position? What functions do perceptual positioning maps serve?
Q6) Define psychographic segmentation.
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Chapter 8: Products, Services, and Brands: Building Customer Value
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Sample Questions
Q1) Industrial products and services include raw materials, buildings, fixed equipment, supplies, services, and ________.
A) computers and desks
B) electricity
C) groceries
D) insurance
E) employees
Q2) Product mix ________ refers to the number of different product lines the company carries.
A) length
B) height
C) width
D) consistency
E) depth
Q3) A company cannot stretch its product line downward.
A)True
B)False
Q4) Describe the principal functions of packaging.
Q5) What is a product?
Page 10
Q6) What are the desirable qualities for a brand name?
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Chapter 9: Developing New Products and Managing the Product Life Cycle
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Sample Questions
Q1) What causes a specific brand's life cycle to change quickly?
A) costs of raw materials
B) changing demographics
C) shift in company strategy
D) competitive attacks and responses
E) new technology
Q2) Product improvements, product modifications, and original products can all be classified as ________.
A) blueprints
B) new products
C) prototypes
D) product extensions
E) test products
Q3) Marketers can prolong the lives of many products in the maturity or decline stages of the PLC, sometimes even moving these products back into the growth stage. How is this undertaken?
Q4) Why are competitors considered a good external idea source?
Q5) What factors are assessed in test marketing?
Q6) Differentiate between controlled test markets and simulated test markets.
Q7) How might a firm benefit from implementing an "intrapreneurial" program? Page 12
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Chapter 10: Pricing: Understanding and Capturing
Customer Value
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162 Flashcards
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Sample Questions
Q1) Internal factors affecting pricing include the company's overall marketing strategy, objectives, and marketing mix.
A)True
B)False
Q2) Break-even volume is the number of unit sales required for total revenue to cover total cost.
A)True
B)False
Q3) Markup pricing is popular because when all firms in the industry use this pricing method, prices tend to be similar, so price competition is minimized.
A)True
B)False
Q4) ________ refers to the amount of money charged for a product or service.
A) Value
B) Cost
C) Price
D) Wage
E) Salary
Q5) Explain price elasticity. What determines the elasticity of demand?
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Chapter 11: Pricing Strategies: Additional Considerations
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168 Flashcards
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Sample Questions
Q1) Under which type of geographic pricing strategy does each customer take responsibility for the freight charges for the product from the factory to its destination?
A) zone pricing
B) basing-point pricing
C) uniform-delivered pricing
D) dynamic pricing
E) FOB-origin pricing
Q2) A lumber mill takes in logs, turns them into 2 x 4's and other sizes needed for building construction. Wood chips created in the milling process are a(n) ________ that can be sold.
A) bundled product
B) captive product
C) by-product
D) optional product
E) primary product
Q3) What should the price steps of product line pricing take into account?
Q4) Why do businesses use cash discounts when they are in essence losing some money on the sale?
Q5) Why is identifying predatory pricing difficult?
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Chapter 12: Marketing Channels: Delivering Customer Value
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Sample Questions
Q1) Which of the following is true of using trucks as a transportation mode?
A) Transportation via trucks is costlier than by rail or air.
B) Trucks are a specialized means of shipping petroleum, natural gas, and chemicals from sources to markets.
C) Trucks provide in-transit services such as the diversion of shipped goods to other destinations en route.
D) Trucks are highly flexible in their routing and time schedules.
E) Trucks are the slowest mode of transportation and most affected by the weather.
Q2) ________ distribution involves the use of more than one but fewer than all of the intermediaries who are willing to carry a company's products.
A) Exclusive
B) Selective
C) Intensive
D) Indirect
E) Corporate
Q3) How can a company benefit through a just-in-time logistics system?
Q4) Why are companies increasingly turning to third-party logistics providers (3PLs)?
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Chapter 13: Retailing and Wholesaling
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Sample Questions
Q1) What constitutes retail convergence?
Q2) The three types of shopping centers are regional shopping centers, community shopping centers, and neighborhood shopping centers/strip malls. Describe how they are different from each other.
Q3) Independent off-price retailers either are independently owned and run or are divisions of larger retail corporations.
A)True
B)False
Q4) ________ includes all the activities involved in selling products or services directly to final consumers for their personal, nonbusiness use.
A) Franchising
B) Retailing
C) Brokering
D) Wholesaling
E) Disintermediation
Q5) A neighborhood shopping center has from 50 to more than 100 stores.
A)True
B)False
Q6) How do the practices of high-low pricing and everyday low pricing differ?
Page 17
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Chapter 14: Engaging Consumers and Communicating
Customer Value: Integrated Marketing Communications Strategy
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166 Flashcards
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Sample Questions
Q1) Personal communications about a product between target buyers and neighbors, friends, family members, associates, and other consumers, are known as ________.
A) personal selling
B) direct marketing
C) public relations
D) buzz marketing
E) word-of-mouth influence
Q2) A marketing communications director has overall responsibility for the company's communications efforts.
A)True
B)False
Q3) Which of the following is one of the five major promotion tools?
A) market penetration
B) strategic positioning
C) product line filling
D) market diversification
E) direct and digital marketing
Q4) Discuss the advantages and disadvantages of advertising.
Q5) Describe the significance of public relations as a promotion tool. Page 18
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Page 19
Chapter 15: Advertising and Public Relations
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Sample Questions
Q1) When would a marketer most likely use a comparative ad?
Q2) You want to advertise your new product. You want good mass marketing coverage and low cost per exposure. You also want to combine sight, sound, and motion and make the advertisement appealing to the senses. You should choose ________ as your advertising media.
A) newspaper
B) radio
C) magazines
D) television
E) direct mail
Q3) Although television advertising has high absolute costs, its cost per exposure is relatively low.
A)True
B)False
Q4) The aim of advertainment is to make ads so entertaining or useful that people want to watch them.
A)True
B)False
Q5) Describe any three message execution styles.
Q6) Why is reach an important measure for a marketer?
Page 20
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Chapter 16: Personal Selling and Sales Promotion
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Sample Questions
Q1) Training online instead of on-site can cut travel and other training costs, and it takes up less of a salesperson's selling time.
A)True
B)False
Q2) A(n) ________ shows how much time is spent selling, traveling, waiting, taking breaks, and doing administrative chores by the salesperson.
A) customer relationship management tool
B) corporate social networking site
C) time-and-duty analysis tool
D) outsourcing relationship management tool
E) product lifecycle management analysis
Q3) Disadvantages of social selling include ________.
A) its impact on efficiency
B) its ability to provide information
C) its expense and the difficulty of presenting some things via the Internet
D) the ability to spot opportunities
E) its impact on productivity
Q4) Why and how do companies use workload approach?
Q5) How do salespeople qualify prospects?
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Chapter 17: Direct, Online, Social Media, and Mobile Marketing
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Sample Questions
Q1) Explain the goal of viral marketing.
Q2) Because of strict consumer privacy regulations, invasion of privacy is no longer a concern for the direct marketing industry.
A)True
B)False
Q3) Which of the following is the fastest growing form of direct marketing?
A) ambush marketing
B) digital marketing
C) direct-mail marketing
D) kiosk marketing
E) telemarketing
Q4) Which of the following is a major form of direct-response television marketing?
A) telemarketing
B) interactive TV
C) social media
D) digital catalog
E) podcast
Q5) How does online marketing provide flexibility for sellers?
Q6) Why are printed catalogs still thriving in the face of the growing popularity of Web-based catalogs? Page 22
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Chapter 18: Creating Competitive Advantage
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Sample Questions
Q1) Companies that operate large marketing departments, conduct expensive marketing research, spell out elaborate competitive strategies, and spend huge sums on advertising are using ________ marketing strategies.
A) informal
B) formulated
C) entrepreneurial
D) intrepreneurial
E) blue ocean
Q2) Discuss the functions and goals of a competitive intelligence system.
Q3) Before deciding to launch the new line of products, Essential-Beauty conducted extensive market research to make sure the products were optimally positioned. A complete marketing plan including mobile advertising, magazine advertising, event sponsorship, and sales promotions was established long before the products themselves were ready for market. In this case, Essential-Beauty was using ________.
A) cost leadership
B) entrepreneurial marketing
C) intrepreneurial marketing
D) formulated marketing
E) operational excellence
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Page 24
Chapter 19: The Global Marketplace
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Sample Questions
Q1) Countries with ________ economies consist mostly of households with very low family incomes.
A) industrial
B) industrializing
C) raw material exporting
D) emerging
E) subsistence
Q2) Which of the following is the LEAST critical decision a company should make before going abroad?
A) Can the company learn to understand buyer behavior of consumers in other countries?
B) Can the company offer competitively attractive products?
C) Can the company adapt to other countries' business cultures?
D) How many foreign nationals should the company employ?
E) Do the company's managers have the necessary international experience?
Q3) The EU acts as an umbrella organization that oversees GATT and mediates global disputes.
A)True
B)False
Q4) What are two possible risks involved with licensing?
Page 25
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Chapter 20: Sustainable Marketing: Social Responsibility and Ethics
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Sample Questions
Q1) What are the various risks a company takes when producing shoddy, harmful, or unsafe products?
Q2) Hart's Department Store was accused of deceptive promotion. Which of the following best explains what might have happened?
A) Hart's refused to advertise sale prices in the local paper.
B) Hart's advertised a bargain price on an out-of-stock product.
C) Hart's advertised a large price reduction from a phony high retail list price.
D) Hart's used misleading labeling on certain products.
E) Hart's exaggerated its package contents through subtle design.
Q3) Most companies are unlikely to intentionally provide shoddy, harmful, or unsafe products because ________.
A) they won't face liability lawsuits and expensive awards for damages
B) they want to develop long-term relationships with their customers
C) they know that customers will shrug off errors for a while
D) they are confident they can appease consumer groups and regulators
E) it costs more to provide quality products
Q4) How do marketers respond to charges of "commercial noise"?
Q5) How is consumer-oriented marketing different from customer-value marketing?
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