Question 1

Most advertisers do not design their messages with the intention to mislead or deceive consumers or run sweepstakes with no intention of awarding prizes.

Accepted Answer

While there may be some advertisers who engage in unethical practices, most reputable companies aim to create honest and compelling advertisements that accurately represent their products or services. Similarly, sweepstakes and contests are typically designed to increase brand awareness and engage consumers, not cheat them out of potential prizes. However, it is still important for consumers to exercise caution and do their research before making any purchase or entering any sweepstakes.

Question 2

The American Advertising Federation requires that members of the team creating ads should be given permission to express internally their ethical concerns.

Accepted Answer

The American Advertising Federation's Ethical Guidelines state that members of the team creating ads should have the "right of conscience," which allows them to express their ethical concerns internally.

Question 3

Advertising has been guilty of stereotyping women and ethnic groups in the past and, in some cases, still does so.

Accepted Answer

Women and ethnic groups have been historically misrepresented and stereotyped in advertising, and although progress has been made, the issue still persists.

Question 4

The global campaign launched by the American Advertising Federation (AAF) was targeted at members of the creative teams in ad agencies who were primarily responsible for the message and presentation.

Accepted Answer

The American Advertising Federation (AAF) primarily serves a broad audience within the advertising industry, including advertisers, agencies, media companies, and students, rather than launching campaigns targeted specifically at members of creative teams in ad agencies.

Question 5

Which of the following statements is true of advertising and promotion?

Accepted Answer

Advertising and promotion are highly visible business activities as they are designed to reach a wide audience and increase brand awareness. Their visibility is essential for their success as they seek to capture the attention of potential consumers.

Question 6

It is illegal for tobacco companies to target advertising and promotion for new brands to African Americans.

Accepted Answer

The answer of It is illegal for tobacco companies to...

Question 7

Critics of advertising argue that consumers ignore ads for products and services they do not really need or that fail to interest them.

Accepted Answer

The answer of Critics of advertising argue that consumers ignore...

Question 8

Critics argue that a major contributor to materialism is advertising that shows no direct link between the ownership of a product and social acceptance.

Accepted Answer

Critics argue that advertising often promotes materialism by suggesting a direct link between the ownership of a product and social acceptance, implying that buying certain products can improve one's social status or popularity.

Question 9

The decrease in newspaper subscriptions has led some papers to reduce their publication schedules and begin charging or increasing rates for online subscriptions.

Accepted Answer

This statement is true. Many newspapers have responded to the decrease in subscriptions by reducing how often they publish printed editions and by either charging for or increasing rates for online subscriptions.

Question 10

Those who believe that materialism is a part of the Protestant ethic are likely to deny material possessions as evidence of success.

Accepted Answer

Those who believe in the Protestant ethic see hard work and earning money as evidence of success and fulfillment of one's social and moral duties. Material possessions are not denied or rejected in this context, but they are not viewed as the ultimate goal or source of happiness or fulfillment.

Question 11

Large advertisers usually sell more of a product or service and have lower production costs.

Accepted Answer

Large advertisers have more resources to invest in marketing and tend to have economies of scale, allowing them to reduce production costs per unit. This often results in higher sales volumes and profits.

Question 12

Advertising not only informs customers of available goods and services but also facilitates entry into markets for a firm or a new product or brand.

Accepted Answer

Advertising is an important tool for creating awareness about a product or brand, which can help facilitate entry into a market. By promoting the benefits, features, and value of a product or service, advertising can help attract customers and build brand recognition, which can ultimately lead to increased sales and market share. Therefore, advertising not only informs customers but also plays a crucial role in market entry and brand building.

Question 13

According to the Children's Advertising Review Unit (CARU), parents, and not advertisers, are responsible for protecting children from their own susceptibilities while viewing advertisements.

Accepted Answer

The Children's Advertising Review Unit (CARU) holds advertisers accountable for ensuring that advertisements directed at children are not deceptive, unfair, or inappropriate for their age group. CARU provides guidelines that advertisers should follow to protect children from their own susceptibilities while viewing advertisements.

Question 14

An action that is legal is always ethical.

Accepted Answer

Legal actions may not always be ethical, as legality is determined by laws and regulations, while ethics refer to moral principles and values. Some actions may be legal but still unethical or immoral, such as certain business practices, environmental policies, or human rights violations.

Question 15

Critics argue that advertising plays a major role in influencing and transmitting social values.

Accepted Answer

Advertising often reflects and reinforces social values, stereotypes, and norms, and can thus impact individuals' perceptions and behaviors related to gender roles, beauty standards, consumerism, and more.

Question 16

The International Advertising Association has been running a campaign for several years to convince consumers around the world of the economic value of advertising.

Accepted Answer

The statement accurately describes the International Advertising Association's campaign.

Question 17

The problem of untruthful or fraudulent advertising and promotion hardly exists in specific areas at the local level such as mail order or telemarketing.

Accepted Answer

Untruthful or fraudulent advertising and promotion is a problem in all areas of marketing and sales, including mail order and telemarketing.

Question 18

Defenders of advertising say it is unrealistic to attribute a firm's market dominance and barriers to entry solely to advertising.

Accepted Answer

Many factors contribute to a firm's success, including product quality, pricing strategy, distribution channels, and more. While advertising can certainly play a role in building brand awareness and driving sales, it is not the only factor that determines a firm's market position.

Question 19

There is a general agreement that advertising questions existing stereotypes and creates greater social awareness.

Accepted Answer

Advertising often reinforces existing stereotypes rather than questioning them, and it tends to prioritize selling products over creating social awareness.

Question 20

Sixty-five percent of consumers who responded to a recent Media/Harris Poll said they trust advertising most of the time.

Accepted Answer

The statement's accuracy cannot be verified without a specific reference to the mentioned Media/Harris Poll, and trust levels in advertising vary widely among different surveys and over time.

Quiz 21: Evaluating the Social, Ethical, and Economic Aspects of Advertising and Promotion