Question 1

A kitchen appliance manufacturer attempts to create a distinctive competitive position based on design features, pricing, distribution, and promotion or advertising strategy.In this way, the company is making an external-positioning decision.

Accepted Answer

The company is actively attempting to position themselves in the market through external factors such as design, pricing, distribution, and promotion. This is an example of external positioning.

Question 2

KidsCause, a metropolitan outreach organization that collects and donates toys for needy children, buys airtime on WXXY (a local TV station) to promote its annual toy collection.Amazing Ads, a local ad agency, shoots the video and produces the 30-second commercial and Downtown Deli donates sandwiches for volunteers on the days they collect, wrap, and distribute toys.In this promotional effort, who is the client?

Accepted Answer

KidsCause is the client, as they are the organization promoting their annual toy collection through the commercial. The other entities are involved in supporting the effort by providing services and resources to KidsCause.

Question 3

Public service announcements (PSAs)

Accepted Answer

PSAs are typically broadcast for free as a public service, unlike traditional ads which are paid for.

Question 4

The mayor of a midsize Southern city appears on local television, saying that she should be re-elected because she has brought jobs to the metropolitan area.Obviously, this effort is mass-mediated and is an attempt to persuade.But for it to be considered advertising, which other condition must be met?

Accepted Answer

For the message to be considered advertising, the airtime must be paid for. If the message is presented as a regular news story or interview, it would not qualify as advertising.

Question 5

In the advertising industry, the term social meaning refers to the perception by consumers that a brand provides satisfaction that is greater than the cost incurred to acquire the product or service.

Accepted Answer

Social meaning in advertising refers to the cultural and social significance that consumers associate with a brand, not just the perceived value or satisfaction relative to cost.

Question 6

In some indirect ways, advertising can affect gross domestic product.It acts to increase product demand when it helps to introduce new products, thereby increasing sales, which in turn affects GDP.

Accepted Answer

Advertising can help to introduce new products to the market and increase product demand, leading to higher sales and therefore increasing GDP.

Question 7

Essentially, the difference between value and symbolic value is that the first term refers to ads aimed at consumers, and the second term refers to ads aimed at businesses.

Accepted Answer

The statement is incorrect. Value and symbolic value refer to different types of messaging in advertising, regardless of the target audience. Value messaging emphasizes the practical or functional benefits of a product or service, while symbolic messaging emphasizes the emotional, social, or cultural meanings associated with them. Both types of messaging can be used in both consumer and business-to-business advertising.

Question 8

To survive in today's marketplace, contemporary businesses and organizations are strongly focusing on one single concept-communication.

Accepted Answer

The answer of To survive in today's marketplace, contemporary businesses...

Question 9

When a brand is perceived by consumers as providing some form of satisfaction that is beyond the cost to purchase the brand, it is said to have brand equity.

Accepted Answer

The answer of When a brand is perceived by consumers...

Question 10

When an organization creates large-scale demand for its brand, the quantity of product produced is increased, and unit production costs increase.

Accepted Answer

When an organization creates large-scale demand, it often benefits from economies of scale, which typically lead to a decrease in unit production costs as production increases.

Question 11

A late-night television commercial for kitchen knives urges viewers to "call this toll-free number in the next 30 minutes to receive a free cutting board" and assures them that "operators are on duty." This is an example of a direct response ad.

Accepted Answer

The commercial is urging viewers to take immediate action by calling the toll-free number within the next 30 minutes to receive a free gift. This is the hallmark of a direct response ad, which seeks to generate an immediate response from the audience.

Question 12

Consumers' perceptions can be based on tangible differences or on image and style factors with brand differentiation.

Accepted Answer

Consumers may form perceptions about different brands based on tangible differences like price, quality, features etc. or on image and style factors like brand personality, advertising, packaging etc. Both types of factors can lead to brand differentiation in the mind of consumers.

Question 13

Gross domestic product, or GDP, is the measure of the total value of goods and services produced by a given company.

Accepted Answer

Gross domestic product (GDP) is actually the measure of the total value of goods and services produced within a country's borders. It is not a measure of a company's production specifically, but rather the overall production of a country's economy.

Question 14

Organizations that have tried to stimulate primary demand in mature product categories have had considerable success.

Accepted Answer

In mature product categories, primary demand is typically stable or declining, as the market is saturated and most consumers already have the product. Efforts to stimulate primary demand in such categories often face challenges and limited success.

Question 15

The fundamental purpose of marketing (and the advertising that is used in marketing) is to generate revenue.

Accepted Answer

The ultimate goal of marketing and advertising is to increase sales and generate revenue for the company.

Question 16

It is evident that firms have not fully exploited all the opportunities that ____ marketing has to offer via communication through devices like smartphones and digital tablet-like devices.

Accepted Answer

The use of devices like smartphones and digital tablets suggests that the opportunities for marketing are focused on mobile devices, making B the best choice for the blank. Direct marketing, choice A, may or may not involve mobile devices specifically, while local marketing, choice C, tends to rely on reaching consumers near the point of purchase, and trade channel marketing, choice D, is focused on relationships with distributors and suppliers rather than end users.

Question 17

Emphasizing performance features of a product through advertising is rarely enough to create a difference in the mind of the consumer between an organization's brands and its competitors.

Accepted Answer

The answer of Emphasizing performance features of a product through...

Question 18

Delayed response advertising attempts to develop recognition and approval of a brand over time, relying on imagery and message themes that emphasize the benefits and satisfying characteristics of a brand.

Accepted Answer

Delayed response advertising is a strategy that aims to build brand recognition and approval over time through imagery and message themes that highlight the benefits and appealing characteristics of a brand. This approach is in contrast to direct response advertising, which seeks to generate an immediate response from the target audience.

Question 19

Which of the following is true regarding advertising?

Accepted Answer

Advertising is a crucial aspect of global commerce and impacts our daily experiences as consumers. It influences our choices and perceptions of products, services, and brands, thus playing an integral role in shaping our culture and society. While increasing product sales is one of its primary objectives, advertising serves various other purposes such as promoting social causes, shaping attitudes, and creating brand awareness. Moreover, advertising is prevalent across cultures and transcends language barriers. Hence, option C is the correct answer. The other options are incorrect as they either present a narrow perspective of advertising's role or are factually incorrect.

Question 20

Nowadays, advertising is virtually the only promotional tool that is used to attract, impress, and persuade consumers.

Accepted Answer

While advertising is one promotional tool used to attract consumers, there are many other methods such as personal selling, public relations, and sales promotion.

Quiz 1: The World of Advertising and Integrated Brand Promotion