Exam 1 Advertising

Firms communicate over devices like smart phones and tablets to develop opportunities in:
broadcast media.
mobile marketing.
personal selling.
print media.

mobile marketing

Which of the following is true regarding advertising?
Advertising is external to the social interaction process.
Advertising is solely responsible for the increase of product sales.
Advertising must consider audience categories for its communications.
Advertising is a simple communication process.

Advertising must consider audience categories for its communications.

Public service announcements (PSAs):
are a type of advertising that are run by nonprofit organizations.
are commercial the way that ads are.
attempt only to persuade and not to inform.
are not "paid media" like advertisements are.

are not "paid media" like advertisements are.

A broad, unpaid message reminding consumers to wear their seat belt is an example of:
a mobile advertisement.
influencer marketing.
personal selling.
a public service announcement.

a public service announcement.

Which of the following is an essential criterion for communication to be considered an advertisement?
The communication must be noncommercial.
It must be paid communication.
The message conveyed must have a headline.
It must involve face-to-face communication.

It must be paid communication.

Based on the criteria that define advertising, which of the following examples would be considered advertising?
A candidate for city council going door-to-door urging people to vote for her
A car manufacturer stating the efficiency of its product to motivate customers to make a purchase
A public service announcement about the dangers of talking on the phone while driving
An actor being interviewed on television about his campaign to aid people with physical disabilities

A car manufacturer stating the efficiency of its product to motivate customers to make a purchase

Integrated brand promotion (IBP) is:
the collaboration of two or more brands within a single advertisement with the intent of sharing costs.
the coordination of a number of promotional tools to create pervasive brand exposure.
a company's decision to focus on a wide range of traditional advertising forms to replace nontraditional forms.
a unique concept seen mainly in local advertising campaigns.

the coordination of a number of promotional tools to create pervasive brand exposure.

Which of the following is true of integrated brand promotion (IBP)?
It is a simple process.
It uses promotional tools that do not need to be evaluated.
It prevents the exposure of a brand.
It creates synergy by having a consistent image or message.

It creates synergy by having a consistent image or message.

The two basic sections of the mass-mediated communication model are:
primary demand and selective demand.
advertiser and consumer.
internal position and external position.
production and reception.

production and reception.

In the model of mass-mediated communication, the:
producers of the message control the reception of the content.
producers of the message control the interpretation of the content.
consumers interpret ads in a way that makes sense to them individually and serves their needs.
receivers' interpretations are invariably compatible with what the producer intended to convey.

consumers interpret ads in a way that makes sense to them individually and serves their needs.

There is a production source, a message, encoding, and decoding in a model of:
mass-mediated communication.
cooperative advertising.
a focus group.
a sponsorship.

mass-mediated communication.

The promotional tool used most often to communicate with members of a trade channel is personal selling. Which of the following is a reason behind this?
Personal selling is the most inexpensive form of communication.
Members of trade channels are the most conspicuous audience.
Members of trade channels are the target audience for producers of only household products.
The target audience is fairly small and easy to identify.

The target audience is fairly small and easy to identify.

Members of trade channels include:
not-for-profit businesses.
retailers.
household consumers.
government officials.

retailers

Which of the following is considered as a member of a trade channel?
Wholesalers
Household consumers
Government employees
Philanthropic groups

Wholesalers

Which of the following is an example of international advertising?
Crispy Cracks promoting their new line of cracker at the Olympics
Flextronic advertising its flat-screen TVs in different states of a country
DetergentPro creating different versions of its new detergent ad for various countries
Tennis Fashion Inc. featuring its "unicorn" logo on gear worn by tennis players

DetergentPro creating different versions of its new detergent ad for various countries

When national companies share the expenses of advertising with local merchants, they are taking part in:
brand extensions.
international advertising.
cooperative advertising.
trade channeling.

cooperative advertising.

Which of the following is one of the four areas of responsibility in the marketing mix?
Privacy
Permissions
People
Promotions

Promotions

Which of the following is an example of a brand extension?
The manufacturers of Cocoa Flakes, a popular cereal, launches a cookie called "Cocoa Crunch" in a new product category.
Tracker, a company selling security systems, advertises its product on a local television network.
Dog Handler, a manufacturer of leashes for dogs, collaborates with a competitor to expand its market base.
Blossoms, a women's perfume line, advertises its new line through sales promotions and point-of-purchase advertising at department stores.

The manufacturers of Cocoa Flakes, a popular cereal, launches a cookie called "Cocoa Crunch" in a new product category.

Market segmentation is the process of:
creating advertising strategies to reach out to a wide consumer base.
creating a new product line that is relatively different from the firm's existing product line.
identifying competitors in the market that could be possible threats to the success of the company.
dividing a large, diverse market into smaller markets based on similarities.

dividing a large, diverse market into smaller markets based on similarities.

What is the attempt to create a perceived distinction between an organization's brand and a competitor's brand called?
Differentiation
Market analysis
Co-op advertising
Market segmentation

Differentiation

Effective internal positioning is achieved by:
distributing products to a market that is wider than those of one's competitors.
using advertising to compare a product's distinctions from those of one's rival firms.
developing brand features and values that are distinctive from the competition.
developing significantly different products within the existing product line of the firm.

developing significantly different products within the existing product line of the firm.

Which of the following is true of inelasticity of demand?
The supply of the product is greater than its demand.
Consumers are not deterred by price increases.
Customers have low brand loyalty.
It leads firms to decrease profit margins.

Consumers are not deterred by price increases.

What type of advertising tries to create brand awareness and develop preference over a period of time, as well as emphasize the benefits of using that brand?
Co-op advertising
Direct response advertising
Primary demand advertising
Delayed response advertising

Delayed response advertising

What type of advertising conveys the specific values, benefits, and features of products offered by a company?
Advocacy advertising
Corporate advertising
Brand advertising
Institutional advertising

Brand advertising

Bella's, a department store, has launched a series of advertisements inviting people to do their holiday shopping at their store. This is an example:
institutional advertising.
delayed response advertising.
corporate advertising.
advocacy advertising.

institutional advertising.

The purchase of certain products, such as cars, shoes, and sunglasses, indicates being part of a particular class. This indicates that these brands have:
economies of scale.
social meaning.
internal positioning.
low brand equity.

social meaning.

The combination of numerous promotional tools with a branding perspective is known as:
integrated brand promotion.
a marketing mix.
cooperative advertising.
market segmentation.

integrated brand promotion.

Which of the following is a difference between IBP and IMC?
IBP ignores the importance of communication whereas IMC does not.
IBP focuses more on the need for coordinated and synergistic messages.
IMC emphasizes the brand, whereas IBP does not.
IBP goes beyond the parameters of IMC.

IBP goes beyond the parameters of IMC.

In today's world, what three elements do marketers want to build and maintain through their promotional and advertising efforts?
Awareness, preference, and identity
Attention, curiosity, and response
Demand, value, and interaction
Information, message, and communication

Awareness, preference, and identity

Which of the following has demonstrated itself to be the most important form of control that consumers have over communication and information creation?
Web advertising
Social media
Interactive television
Direct marketing

Social media

Websites visited by people with similar interests where they can post personal experiences, facts, and opinions are known as what?
Paywalls
Blogs
Infomercials
Creative boutiques

Blogs

Which of the following is true of crowdsourcing?
It refers to managing the supply chain system in a way that will most effectively reach the target markets.
It aims at getting consumers more involved with a brand and committed to it.
It indicates the process of describing the firm's objectives for the brand in the near term and long term.
It refers to passive advertising that is generally intrusive.

It aims at getting consumers more involved with a brand and committed to it.

With increase in fragmentation and media clutter:
integrated brand promotion is all the more important.
the probability of any one advertisement making a real difference has increased manifold.
there are very few media choices available to advertisers.
promotion options are no longer attractive to advertisers.

integrated brand promotion is all the more important.

What is used by organizations to get consumers committed to brands in a way that passive advertising cannot?
Co-op advertising
Phishing
Crowdsourcing
Broadcasting

Crowdsourcing

Promotion and advertising agencies who work with advertisers refer to the advertisers as:
consultants.
facilitators.
sponsors.
clients.

clients

What term is a general description for all groups in the marketing channel of distribution that buy products to make them available to customers?
Sponsor
Media buyer
Media specialist
Trade reseller

Trade reseller

Which of the following is one of the areas on which the federal government spends most of its advertising and promotion dollars?
The internal revenue service
Political campaigns
Armed forces recruitment
Trade and commerce

Armed forces recruitment

Which of the following best describes digital/interactive agencies?
They focus on ways to use new media for direct marketing and for communications to target markets.
They implement direct response campaigns using all forms of media.
They design direct marketing campaigns that mainly use emails and telemarketing.
They specialize in buying media time and space and offer media strategies to advertisement agencies.

They focus on ways to use new media for direct marketing and for communications to target markets.

An advertising department that exists within a larger firm is also known as what?
Creative boutique
Full-service agency
Interactive agency
In-house agency

In-house agency

Which of the following acts as a support to direct marketing agencies and follow-up on the delivery of their direct mail?
Creative boutiques
In-house agencies
Media specialists
Fulfillment centers

Fulfillment centers

Which of the following specializes in such activities as creating, point-of-purchase materials, incentive programs, and in-store merchandising?
Database agencies
Sales promotion agencies
Fulfillment centers
Event-planning agencies

Sales promotion agencies

Which of the following specialize in securing locations, scheduling dates, and taking care of the other details necessary to hold a promotional activity?
Event-planning agencies
Creative boutiques
Fulfillment centers
Direct marketing agencies

Event-planning agencies

The visual impression of advertising material is often created by:
sales promotion agencies.
fulfillment centers.
designers.
bloggers.

designers

The graphic or visual symbol or mark that identifies a company is known as a:
patent.
blog.
logo.
slogan.

logo

Tasks such as pinpointing a brand's benefits, identifying its target audiences, and determining competitive positioning, and then putting all of that information into a comprehensive plan are all part of what type of services?
Administrative services
Creative services
Account services
Media planning and buying services

Account services

Who coordinates the research effort of an advertising or promotion agency?
graphic designer
media specialist
account planner
fulfillment center

account planner

Which of the following services of an advertising agency involves expressing the benefits of a company's brand in ways that are memorable and interesting?
Creative services
Billing services
Administrative services
Media buying services

Creative services

Which services department of an advertising agency typically includes the company's art directors, illustrators, and copywriters?
Creative
Production
Marketing
Account

Creative

What type of marketing is focused on providing information to decision makers?
Administrative marketing
Creative marketing
Target marketing
Content marketing

Content marketing

A compensation system that is based on reaching specific objectives of the client is known as what type of system?
Pay-for-results
Markup charge
Commission
Fee-based

Pay-for-results

A regional fast food chain called Platters is interested in opening a restaurant in a new market. The company plans to hire the services of a firm to collect the data needed to expand into the new market. In such a scenario, which of the following firms' services would it hire?
A marketing research firm to conduct surveys to understand the potential market
An advertising agency to create innovative ads
A consultant to create message strategies and message themes
Media organizations for placing ads in broadcast and print media to create awareness for the restaurant

A marketing research firm to conduct surveys to understand the potential market

Advertisers and their agencies turn to external facilitators the most for:
consumer research.
media buying.
assessing the effectiveness of promotional programs.
production processes.

production processes.

Who can provide the physical facilities that are needed for broadcasting, such as crews, stages, sets, and equipment?
Production houses
Creative boutiques
Fulfillment centers
Interactive agencies

Production houses

Which of the following is considered a type of support media that is available to advertisers?
Magazines
Premiums
Broadband
Cable

Premiums

Which of the following best describes a media conglomerate?
It is a firm that operates multiple combinations of media.
It is a firm that is a specialist in one particular form of media.
It is a firm that specializes solely in buying media time and space.
It is a firm that uses print media instead of broadcast media

It is a firm that operates multiple combinations of media.

Which of the following is an example of outdoor support media?
Podcasts
Billboards
Catalogs
Public relations

Billboards

Which of the following is an example of interactive media?
Banners
Electronic directories
Catalogs
Social media

Social media

Which of the following is a major factor that gave rise to advertising?
The industrial revolution
The rise of socialism
The reduced importance of branding
The rise of social media

The industrial revolution

The foundation was established for advertising to become an important part of the business environment when the Western world turned to what as the basis of economics?
Socialism
Communism
Capitalism
Syndicalism

Capitalism

During the 1840s, what emerged as a way for individuals to reduce the risk of the loss of personal wealth when investing in business ventures?
Creation of business insurance
Principle of limited liability
Concept of dividend distribution
Process of double taxation

Principle of limited liability

Which of the following was a result of the principle of limited liability gaining acceptance in the 1840s?
Lower number of businessmen investing money in ventures
Higher risk for investors in business ventures
Lower risk of losing shares in a corporation for businessmen
Large amounts of capital available to fund the Industrial Revolution

Large amounts of capital available to fund the Industrial Revolution

National firms started putting names on their products because:
it would increase the economies of scale of their products.
their incomes were protected by the principle of unlimited liability.
they could charge higher prices for the identical products.
strict government regulations required them to do so.

they could charge higher prices for the identical products.

By the late 1800s, manufacturers were developing brand names. This helped marketers:
steer clear from advertising their products.
lower their economies of scale.
gain power.
lower their prices of products.

gain power.

How did early marketers establish a degree of power with their brands?
By getting consumers to identify them and pay higher prices for them
By creating normal and ordinary products so that consumers would easily accept them
By motivating general stores and grocers to replace branded products with unmarked products
By reducing their prices of products

By getting consumers to identify them and pay higher prices for them

Which of the following is true about advertisements in the preindustrialization era?
The advertisements were published in magazines.
The advertisements in dailies were the most popular.
The advertisements ushered in a dominant consumer culture.
The advertisements' messages tended to be informational.

The advertisements' messages tended to be informational.

During what era did advertisements appear in dailies?
Preindustrialization
P.T. Barnum
Industrialization
The 1920s

Industrialization

How was the "insider" character of advertisement in the 1990s different than that of the 1960s?
In the 1960s, only a select group were insiders, and in the 1990s everyone was an insider.
In the 1960s, there was more cynicism, and in the 1990s insider status was considered a serious advantage.
In the 1960s, the emphasis was self-parody, while in the 1990s fun was made of silly ads from the previous era.
In the 1960s, the approach was ironic, and in the 1990s it was not.

In the 1960s, only a select group were insiders, and in the 1990s everyone was an insider.

During what time period were newsbooks the primary media for advertisements?
Pre-1800
1800-1875
1875-1918
1918-1929

Pre-1800

The newspaper circulation expanded in America in large part because of:
traveling circuses, carnivals, and theatrical performances.
increased interest among readers for television program listings.
railroads and expanding urban centers.
highly differentiated but unbranded products.

railroads and expanding urban centers.

Which of the following is true about advertising in the industrialization era?
Banks considered advertising to be a sign of financial weakness.
Strict laws on advertising prevented advertisers from lying about their products.
Advertising was considered prestigious by most segments in a society.
Advertisements appeared solely in the form of newsbooks.

Banks considered advertising to be a sign of financial weakness.

By the early 1900s, the "power of advertising" was based on the reality that consumers:
believe that branding is no longer the norm.
like durable, reliable products with a no-frills advertising style.
are willing to pay more money for brands.
see advertising suspiciously, as it tempts them into excessive consumption.

are willing to pay more money for brands.

Ads for products during the "P.T. Barnum Era" (1875-1918) were characterized by:
a bold and garish style filled with incredible claims.
a no-frills advertising style.
simple ads with information and truthful claims.
informational messages in the dailies.

a bold and garish style filled with incredible claims.

Why did women become the primary target for advertisers in the 1920s?
They enjoyed a significantly higher standard of living than men.
They made most of the purchasing decisions for the household.
Public pleasure was considered more of a sin than in the Victorian era.
The chain of needs existed mainly for women and not men.

They made most of the purchasing decisions for the household.

Ads in the 1920s showed slices of life in a way that depicted:
garish designs illustrating unrealistic situations.
ads that were purely informational in nature.
how consumers should fit in.
less visual ads than in the past.

how consumers should fit in.

Which of the following advertising agencies dominated the 1920's ad industry?
Doyle Dane Bernbach
J. Walter Thompson
Leo Burnett
Wells Rich and Green

J. Walter Thompson

Which of the following types of advertisements evolved during the 1920s?
Demonstration
Research-based
Endorsement
Slice-of-life

Slice-of-life

uring which era were big businesses and advertising viewed with suspicion?
The Depression (1929-1941)
1920s (1918-1929)
The P.T. Barnum Era (1875-1918)
The Designer Era (1980-1992)

The Depression (1929-1941)

Which of the following is true about advertising during the Great Depression?
Advertising found respectability, fame, and glamour during this era.
Consumers believed that ads helped them choose the right product.
Advertisers implemented a tough, no-frills style.
Consumers believed blindly in advertisements and brands.

Advertisers implemented a tough, no-frills style.

Beginning in 1938, the U.S Congress began to pass real advertising reforms, including a law banning "deceptive acts of commerce." This meant that advertisers were now:
expected to promote family values.
banned from advertising cigarettes and alcohol.
held liable for making false claims.
banned from using inappropriate sexual content.

held liable for making false claims.

For advertisers, one main difference between the period immediately after World War I and the period immediately following World War II was that, after World War II:
advertising was distrusted by people.
rigid government regulations were established for ads.
ads were classy and sophisticated.
ads were subtle and clutter-free.

advertising was distrusted by people.

During which of the following eras did consumer culture become the new normal, an enduring facet of society?
The Depression (1929-1941)
World War II and the 1950s (1942-1960)
The Preindustrialization Era (Pre-1800)
The Era of Industrialization (1800-1875)

World War II and the 1950s (1942-1960)

During the 1950s, Americans began to fear:
that they were being manipulated by subliminal advertising.
that ads were not based on modern science.
purchasing unbranded goods.
that the consumer culture was disappearing.

that they were being manipulated by subliminal advertising.

How were women depicted by advertisers in the 1950s?
As free spirits with new-found equality and respect
As prominent members of the business community
As leading men in large multinational companies
As following sexual norms and traditional gender roles

As following sexual norms and traditional gender roles

What impact did James Vicary's claim about the effect of subliminal messages in advertising have?
It led more companies to seek out marketers to advertise their products.
It gave marketers more power over retailers in the price and placement of products.
It contributed to the fear and hysteria over advertising that existed at that time.
It led to the establishment of a governmental regulatory body to oversee advertising.

It contributed to the fear and hysteria over advertising that existed at that time.

Which of the following is true about advertisements in the 1960s?
The emphasis in advertising turned from creative products to ancillary services.
Advertising discouraged consumption and was no longer a symbol of consumption.
The advertisements were bold, garish, and carnival-esque.
There was an emphasis on inspiration, intuition, and art.

There was an emphasis on inspiration, intuition, and art.

Which of the following were among the four agencies most noted for their role in the creative revolution of the 1960s?
Doyle Dane Bernbach and Wells Rich and Green
J. Walter Thompson and N. W. Ayer
BBDO
Ted Bates agency and Lord and Thomas

Doyle Dane Bernbach and Wells Rich and Green

By the late 1960s, advertisers had realized that advertisements had become:
uncreative.
ineffective to increase the sale of products.
a symbol of consumption.
purely informational in nature.

a symbol of consumption.

In the 1970s, advertising of the time reflected that America was in an age of what?
Self-doubt
Class consciousness
Suffrage
National pride

Self-doubt

What became the most prominent word of the 1970s, a word that was integrated into the promotional themes of the decade?
"We"
"Society"
"Me"
"Modern"

"Me"

During the 1970s, what body demanded that the advertising industry meet a higher standard of both disclosure and honesty?
National Security Council
Federal Reserve Board
Action for Children's Television
Federal Trade Commission

Federal Trade Commission

What was the goal of the women who formed Action for Children's Television?
To limit the advertising that was aimed at children
To provide more educational programming for children
To ensure that every household with a child also had a television
To increase the number of infomercials promoting children's well-being

To limit the advertising that was aimed at children

Ads in the designer era were marked by:
social-class consciousness.
values that limited consumption and considered it irreligious.
rebellion, youth, and revolution.
values that conflicted with traditional American values.

social-class consciousness.

Which of the following is true about the designer era of advertising?
It was marked by the advent of the Internet.
Ads no longer reflected traditional values.
Consumers preferred unbranded products over branded products.
Ads promoted consumption in a direct, but conservative way.

Ads promoted consumption in a direct, but conservative way.

One of the changes seen in advertising during the 1980s was the:
increased influence of British agencies.
fear of subliminal advertising.
advent of documentary advertising.
separation of business and politics.

increased influence of British agencies.

In the mid-1990s, William T. Esrey, chairman and CEO of Sprint, announced that clients were going to hold ad agencies more closely accountable than ever before. He said this because:
billing scandals had undermined the confidence of advertisers in their agencies.
interactive media was being replaced by the wide range of traditional media.
the technology to measure the impact of advertising had improved.
the fundamental reasons to advertise had changed.

the technology to measure the impact of advertising had improved.

Advertisements focused on hygiene in the 1920s and again in the COVID era. This reflects what force that affects advertising and IBP?
Cyclical nature of history
Contemporary culture
International pressure
Technology

Cyclical nature of history

Which of the following is true about advertising during the period between 2000 to the present?
Traditional advertising gained a stronger foothold than ever before.
Interactive media hindered the direct measurement of ad exposure and impact.
Consumer-generated content and ad blockers became key aspects of the IBP industry.
The Internet was able to yield precise measurements of ROI in advertisement.

Consumer-generated content and ad blockers became key aspects of the IBP industry.

In today's age of Web 2.0:
companies find consumers primarily through mass exposure.
firms have replaced all pull strategies with push strategies.
consumers have much lesser access to information.
consumers can communicate with each other.

consumers can communicate with each other.

Many advertisements reflected what shift in their messaging during the COVID era?
From informational to entertaining
From product promotion to functional
From problems to remedies
From sex appeal to traditional values

From product promotion to functional

Which of the following is true of branded entertainment?
It merges entertainment with advertising and brand promotion.
It is a subset of product placement.
It relies on television programming to create entertainment connected to a brand.
It is also known as consumer-generated content.

It merges entertainment with advertising and brand promotion.