Advertising Management Study Guide Questions
Course Introduction
Advertising Management explores the strategic and operational aspects of creating, implementing, and evaluating advertising campaigns within various media channels. The course covers fundamental principles of advertising, consumer behavior, market segmentation, media planning, creative message development, budgeting, and performance metrics. Students will gain an understanding of the decision-making processes involved in advertising management, including agency-client relationships, legal and ethical considerations, and the integration of advertising within the broader context of marketing communications. Through case studies and real-world examples, the course prepares students to effectively manage advertising efforts in both traditional and digital environments.
Recommended Textbook
M Advertising 2nd Edition by William Arens
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Page 2
Chapter 1: The Evolution of Advertising
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Q1) During the _____ age, manufacturers were principally concerned with production, and the primary burden of marketing fell on the wholesalers.
A) preindustrial
B) postindustrial
C) industrializing
D) industrial
E) isolation
Answer: C
Q2) Of all the business functions, _____ is the only function whose primary role is to bring in revenue.
A) finance
B) operations management
C) human resource management
D) marketing
E) accounting
Answer: D
Q3) When did the preindustrial age begin and end in the Western hemisphere?
Answer: The preindustrial age extended from the beginning of recorded time to the start of the nineteenth century.
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Page 3
Chapter 2: The Environment of Advertising
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Q1) Externalities are best described as:
A) social costs.
B) unseen opportunity costs.
C) factors used to increase advertising reach.
D) tangible factors that hinder communication.
E) inexpensive ways to increase perceptual value to a product.
Answer: A
Q2) With respect to offensiveness in advertising, Benetton ads frequently come under attack for the usage of nudity and sexual innuendo. Experts would most likely agree that the ultimate regulator of such ads is the fact that:
A) universal laws completely control this form of advertising.
B) moral standards are higher overseas than in the United States.
C) trends and personal tastes are objective and quantifiable metrics.
D) such companies tend to lose money and shift their marketing strategies.
E) the marketplace has the ultimate veto power on the success or failure of such ads.
Answer: E
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4
Chapter 3: The Business of Advertising
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Q1) Ford, GE, and McDonald's are global advertisers that use a standardized approach to marketing and advertising in all countries.
A)True
B)False
Answer: True
Q2) Which of the following is an example of product advertising?
A) An ad for Circuit City explaining how to help the environment by recycling printer cartridges
B) An ad for American Express explaining how important small businesses are to national economic health
C) An ad for Toyota announcing that new car buyers can receive $3,000 off any new model
D) An ad announcing GE provides appliances for homes built by Habitat for Humanity
E) An ad for Avon cosmetics announcing that it will donate $100,000 to breast cancer research
Answer: C
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Chapter 4: Segmentation, Targeting, and the Marketing Mix
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Q1) A promotion was launched to position French's as a fun line of condiments for a variety of everyday usage occasions. Its promotions showed vignettes of families, children, and older Americans enjoying foods flavored with French's Deli Style, Dijon Style, and Honey Mustard flavors as well as its Classic Yellow mustard. The fact that all of these mustards have the French's brand is an example of:
A) individual branding.
B) regional branding.
C) psychological branding.
D) private labeling.
E) family branding.
Q2) Discuss the push and the pull strategy with respect to the product life cycle.
Q3) Advertising for a movie that describes the film as a "family-filled riot of fun" is relying on benefit segmentation.
A)True
B)False
Q4) Consumers are mostly immune to psychological pricing.
A)True
B)False
Q5) What are the two steps that make up the market segmentation process?
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Chapter 5: Communication and Consumer Behavior
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Q1) Distinguish between the FCB grid and the Kim-Lord grid.
Q2) Advertisers have three habit-related goals. Which of the following promotions is intended to help the advertiser meet the goal of habit acquisition?
A) For every ten cups of coffee you purchase at a local convenience store, you get one free.
B) A sales clerk gives out free samples of Bush's brand home style chili at Sam's Club.
C) Reynar, a long-time Crest toothpaste user, receives a coupon for a free trial-size of Rembrandt toothpaste in the mail.
D) The Mystery Book Club offers six free books to new members tied to a contract to purchase more in the future.
E) The new Kroger supermarket is holding a grand opening with numerous buy-one-get-one-free items to attract shoppers from other supermarkets.
Q3) Define consumer behavior.
Q4) In terms of needs and wants, Carla wants something to eat and needs a Big Mac.
A)True
B)False
Q5) What are the three personal processes in the consumer decision process?
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Page 7
Chapter 6: Account Planning and Research
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Q1) Aided recall tests, unaided recall tests, attitude tests, inquiry tests, and sales tests are methods used for posttesting ads.
A)True
B)False
Q2) There is no one best method for pretesting advertising variables.
A)True
B)False
Q3) Forrester Research carried out an evaluation of ShoeSource.com. Users of the ShoeSource Web site were asked questions about the ease of using the Web site and their perceptions of the site. Which research method was most likely used to learn consumer's perceptions of ShoeSource.com?
A) Experimental
B) Simulation
C) Observation
D) Ethnographic
E) Survey
Q4) Distinguish between marketing research and advertising research.
Q5) Advertising research can be used in basically four different categories of advertising decision making. List and briefly describe each.
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Chapter 7: Marketing, Advertising, and Imc Planning
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Q1) After decades of fabulous growth, the trade show industry is experiencing business decline. A report by the National Trade Show Industry stated, "The trade show industry will face more competition for marketing dollars in the next five years than it has in the last 25 years." This statement is best described as a(n) _____.
A) situation analysis
B) external market analysis
C) market survey
D) product audit
E) stakeholder audit
Q2) A creative strategy is a written statement that serves as the creative team's guide for producing an ad.
A)True
B)False
Q3) Which of the following best describes the target market of Mountain Dew?
A) Young, health-conscious women
B) Mature, professional males
C) Young, active adult males
D) Pre-teen children
E) Latino women
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Page 9
Chapter 8: Creating Ads: Strategy and Process
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Q1) An ad for Shiny Toothpaste states, "Nine out of ten dentists recommend Shiny Toothpaste to their patients. Why don't you give it a try?" This ad would be more likely to appeal to _____ than to _____ thinkers.
A) functional; hierarchical
B) value-based; fact-based
C) transformational; transactional
D) transactional; transformational
E) fact-based; value-based
Q2) In advertising, the decoding of messages is the responsibility of the creative team.
A)True
B)False
Q3) What is creativity? What is the role of creativity in advertising?
Q4) In advertising, it is important for the creative who plays the role of the Hunter to look in new and uncommon places for information.
A)True
B)False
Q5) Discuss the roles of a copywriter and an art director.
Q6) How do creatives establish credibility for an advertised good or service?
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Chapter 9: Creative Execution: Art and Copy
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Q1) In an ad for Fidelity Investment Bank, _____ copy is most likely used because the ad explains how to create your own IRA account and to get the maximum benefits from it.
A) straight-sell
B) market-oriented
C) sales-oriented
D) institutional
E) picture-caption
Q2) All that appears on a typical radio script is the ad dialog.
A)True
B)False
Q3) Banner advertising is the dominant approach used in Internet advertising. A)True
B)False
Q4) What kind of headline is used in the Quaker Instant Grits ad that tells readers to "Ham and Cheese It Up?"
Q5) Imagine you are creating a commercial for a hybrid car and need background music. What are the three sources you can use to locate the appropriate music? Which method would most likely be the least expensive?
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Chapter 10: Print Advertising
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Q1) A tearsheet is:
A) a perforated, preprinted insert.
B) another term for an ad paste-up.
C) a guarantee that the ad will receive run-of-paper (ROP) positioning.
D) a page that verifies that an ad ran as it was supposed to.
E) the receipt that the media salesperson gives to the advertiser.
Q2) How often must a newspaper be published to be considered a daily?
Q3) Vertical publications cover a specific industry in all of its aspects.
A)True
B)False
Q4) Guaranteed circulation in magazines:
A) equals the delivered circulation.
B) is the number of copies of the magazine sold on newsstands.
C) is the minimum number of copies of the magazine that the publisher expects to circulate.
D) is the maximum number of magazines that will be distributed through all channels.
E) equals the primary circulation plus pass-along readership minus a safety measure of 10 percent.
Q5) Describe the two basic types of newspaper formats.
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Chapter 11: Broadcast, Cable, and Satellite Media: Television and Radio
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Q1) Why would radio be a poor advertising medium for a fabric store trying to increase its market by carrying a new line of brightly-colored upholstery fabric?
A) Radio is too selective.
B) Radio is programmed to suit listeners' moods.
C) Radio is very expensive compared to other media.
D) Radio is only a sound medium.
E) Radio lacks creative flexibility.
Q2) Why is most network TV advertising sold on a participating basis?
A) Most advertisers find the full network lineup coincides most effectively with their target markets.
B) Smaller advertisers are able to buy a limited amount of time and still have nationwide coverage.
C) Network advertising requires only a short lead-time due to the flexibility of the medium.
D) All advertisers receive an identical number of commercial slots from the FCC.
E) All commercials have to be approved by the FCC.
Q3) On what basis do most advertisers on network television buy their advertising?
Q4) Briefly describe the group that watches the most broadcast television.
Q5) What is a TAP package?
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Chapter 12: Digital Interactive Media
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Q1) The interactive nature of the Internet makes it difficult to differentiate between content creators and consumers.
A)True
B)False
Q2) One of the primary differences between the Internet and traditional media is the cost of time and/or space.
A)True
B)False
Q3) When Larina visited a Web site called BrilliantButCanceled.com, she saw a small icon on the right side of the page, which asked her to click on it to learn more about the college programs provided by the University of Phoenix. The correct name for this icon is a(n):
A) button.
B) portal.
C) banner.
D) interstitial.
E) sponsored Web site.
Q4) What is AdSense? How does AdSense work? What are its benefits?
Q5) What are the concerns about behavioral tracking?
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Chapter 13: Out-Of-Home, Direct-Mail, and Promotional Products
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Q1) The Highway Beautification Act of 1965 controls all outdoor advertising.
A)True
B)False
Q2) What is the most commonly used type of out-of-home media?
A) Airport advertising
B) Transit advertising
C) Bulletin structures
D) On-premise signage
E) Street furniture
Q3) Transit ads cost more than any other medium.
A)True
B)False
Q4) Explain the difference between the daily estimated circulation (DEC) and TAB Out of Home Ratings methods of measuring the reach of out-of-home displays.
Q5) Large bulletin structures work best in places where traffic is heavy and visibility is good.
A)True
B)False
Page 15
Q6) What does it mean to buy 100 gross rating points?
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Chapter 14: Media Planning and Buying
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Q1) The two major components of media objectives are audience objectives and:
A) message-distribution objectives.
B) continuity objectives.
C) mission objectives.
D) environmental objectives.
E) marketing mix objectives.
Q2) Companies practicing integrated marketing communications should be concerned about everything that carries a message to and/or from customers and other stakeholders.
A)True
B)False
Q3) Telmar software is most likely used to help media planners:
A) calculate the reach and frequency of print ads.
B) negotiate with media vehicles for appropriate rates.
C) monitor the creative development process in ad agencies.
D) determine the potential effectiveness of marketing plans.
E) measure audience responses to public relations activities.
Q4) Why do media planners often use a mixed media approach?
Q5) What is the primary function of media objectives?
Q6) What two methods do advertisers use to accumulate reach?
Page 16
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Chapter 15: IMC: Direct Marketing, Personal Selling, Packaging, and Sales Promotion
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Q1) Which statement about direct marketing is most likely true?
A) Many customers dislike the clutter associated with direct marketing.
B) Direct marketing lacks the flexibility needed by today's firms.
C) Direct marketing hinders firms from gathering customer data.
D) Only print media can be used for direct marketing efforts.
E) Direct marketing results are difficult to measure.
Q2) Which of the following is the best example of direct-response broadcast advertising?
A) An e-mail offering for a trial magazine subscription
B) A glossy catalog featuring children's clothing
C) An infomercial for exercise equipment
D) A telemarketing call about a credit card
E) A product placement during a TV show
Q3) What is the greatest strength of personal selling?
A) Historically positive reputation
B) Minimal labor requirements
C) Low overall costs
D) Personal nature
E) Sale immediacy
Q4) What is slippage? How common is it?
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Chapter 16: IMC: Public Relations, Sponsorship, and Corporate Advertising
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Q1) An article about how fashion retailer Vanity Stores has launched a text messaging-based sweepstakes to promote singer Carrie Underwood's new album is an example of publicity.
A)True
B)False
Q2) Ambush marketing involves an official event sponsor placing its logos in all areas of a stadium.
A)True
B)False
Q3) The Florida Swimming Pool Association hired a full-time government relations specialist whose job will be to support or thwart legislation that affects the association's members. One of the specialist's first jobs is to deal with a proposed law requiring hard-wire alarm systems in all pools. This government relations specialist will most likely be engaged in:
A) reputation management.
B) lobbying.
C) crisis management.
D) consumerism.
E) press agentry.
Q4) Why do public relations (PR) practitioners often engage in speechwriting?
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Chapter 17: Producing ADS
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Q1) When used in reference to producing a radio commercial, the term "board" refers to the:
A) group of people who are brought together during the preproduction phase of a commercial.
B) final recording of the ad before it is duplicated on dubs.
C) equipment for recording and channeling sounds to the appropriate recording devices.
D) place where the sound engineer sits to control the sounds generated in the sound studio.
E) group of creatives that is responsible for editing the finished commercial.
Q2) Which of the following activities does NOT take place during the classic manual print preproduction process?
A) Creating a job jacket
B) Hiring any extra personnel
C) Deciding what equipment is needed
D) Preparing mechanicals
E) Selecting typeface
Q3) Any artwork or type that is comprised of a solid color is called line art.
A)True
B)False
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