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Identify and briefly describe each of the five promotional elements.

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The promotional mix is the combination o...

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Public relations refers to


A) a seller-directed flow of communication, often in a face-to-face encounter, designed to promote a product with the purpose of making a sale.
B) an individualized communications program specifically designed for a single customer because the item being sold is unique to that person.
C) a mass selling approach that has been tailored to meet the more select needs of a target market based on age, gender, ethnicity, or occupation.
D) a form of communication that is intended to counteract any negative information or misinformation that has been instigated by competitors or disgruntled customers.
E) a form of communication management that seeks to influence the feelings, opinions, or beliefs held by customers, prospective customers, stockholders, suppliers, employees, and other publics about a company and its products or services.

F) A) and B)
G) All of the above

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Ann's young son suffers from allergies and complains about his watery eyes and drowsiness. Ann feels bad because she thought there was nothing she could do to help him. When Ann saw the ad for a new drug that counters these symptoms in Martha Stewart Living magazine, she vowed to ask his doctor about this product on her son's next visit. Ann is at which stage in the hierarchy of effects?


A) She is the trial stage and will move to the interest stage soon.
B) She has moved quickly from the awareness stage to the interest stage.
C) She was in the consumer development stage and will more than likely move to the transition stage.
D) She is in the evaluation stage and will move to the interest stage soon.
E) She was in the interest stage and then moved quickly to the diffusion stage.

F) B) and C)
G) C) and D)

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During the planning phase of an IMC program, a firm will identify the target audience, specify the promotion objectives, set the budget, __________, design the promotion, and schedule the promotion.


A) pretest the promotion
B) state the mission
C) identify possible advertising or promotional firms
D) carry out the promotion
E) select the right promotional tools

F) B) and C)
G) A) and B)

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After a receiver responds to a message, the sender's interpretation of the response indicating whether the message was decoded and understood as intended during the communications process is referred to as


A) encoding.
B) receiver response.
C) feedback.
D) noise.
E) message loop.

F) None of the above
G) B) and C)

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What three product characteristics should be considered when selecting promotional tools? For each characteristic, give an example of a product where the characteristic is very important.

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Three specific characteristics that shou...

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The European Union passed a consumer privacy law, called the __________, after several years of discussion with the Federation of European Direct Marketing and the U.K.'s Direct Marketing Association.


A) Personal Identity Law
B) Intellectual Property Act
C) Data Protection Directive
D) Credit Protection Act
E) Shared Information Act

F) A) and D)
G) A) and C)

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Amazon.com, a successful online retailer, manages an extensive customer database that is used to determine which products are suggested to each customer. Some data are best collected from the customer; other data are best collected from the businesses where purchases are made. Which of the following customer data are best collected from Amazon?


A) lifestyles
B) brand
C) demographics
D) media use
E) competitive products purchased

F) A) and E)
G) All of the above

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The promotional objective of the growth stage of the product life cycle is to __________ consumers.


A) inform
B) remind
C) update
D) persuade
E) sway

F) B) and C)
G) C) and D)

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Which method of promotion budgeting would most likely be used by small businesses?


A) all-you-can-afford budgeting
B) percentage of sales budgeting
C) competitive parity budgeting
D) objective and task budgeting
E) linear forecast budgeting

F) A) and D)
G) B) and E)

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Explain what the hierarchy of effects is. List and explain the five stages.

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The hierarchy of effects is the sequence...

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Like personal selling, __________ has the advantage of being customized to match the needs of specific target markets. Messages can be developed and adapted quickly to facilitate one-to-one relationships with customers.


A) advertising
B) a sales promotion
C) publicity
D) direct marketing
E) a public service announcement

F) C) and E)
G) C) and D)

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What stage of the product life cycle spends little money in the promotional mix?


A) decline
B) maturity
C) growth
D) introduction
E) reminder

F) C) and E)
G) C) and D)

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Imagine you have overheard the owner of a medium-sized manufacturing company saying, "We had a good year, and I think next year will be even better. I'm going to raise this year's promotion budget to 4.5 percent of last year's gross dollar sales. That will let me do more advertising than the 3.5 percent I budgeted last year." From this information, the manufacturer is using __________ budgeting.


A) percentage of sales
B) competitive parity
C) all-you-can-afford
D) objective and task
E) linear forecast

F) A) and B)
G) All of the above

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Coupons, rebates, samples, and sweepstakes are all examples of


A) endorsements.
B) sponsorships.
C) free publicity.
D) purchase aids.
E) sales promotions.

F) B) and E)
G) A) and B)

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Communication with consumers who are not in the target audience is referred to as


A) excess coverage.
B) wasted coverage.
C) exhaustive coverage.
D) squandered coverage.
E) dissipated coverage.

F) B) and C)
G) A) and C)

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The term receivers refers to


A) only those consumers who read, hear, or see a message about a product or service and then choose to buy it.
B) consumers who read, hear, or see the message sent by a source during the communication process.
C) a firm that obtains a basic message or theme from its advertising agency and translates that vision into a usable IMC campaign.
D) promotional firms that select the best channels through which to convey advertising messages.
E) customers who read, hear, or see the message sent by a source and misinterpret or reinterpret the message to fit their individual beliefs.

F) All of the above
G) C) and D)

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A small film company is releasing a documentary about the efforts of a group dedicated to saving endangered species. However, the firm has little resources to promote the film. Which promotional element should it employ?


A) Hire a salesperson to speak to environmental groups.
B) Ask local radio and television stations to run a favorable story about the film.
C) Advertise on billboards in each local market.
D) Invite students to participate in a contest to win free tickets.
E) Send postcards to all people within a 25-mile radius of a theater showing the movie.

F) B) and D)
G) D) and E)

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The __________ element of the marketing mix consists of communication tools, including advertising, personal selling, sales promotion, public relations, and direct marketing.


A) product
B) price
C) place
D) promotion
E) advertising

F) None of the above
G) A) and E)

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In the feedback loop, the impact the message has on the receiver's knowledge, attitude, or behaviors during the communications process is referred to as


A) feedback.
B) a field of experience.
C) noise.
D) a response.
E) a hierarchy of effects.

F) A) and E)
G) None of the above

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