Deck 7: Marketing,Advertising,and Imc Planning

Question 1

Because Google e-mails Gmail customers with suggestions about new applications and products based on their Internet searches,it has a basic transactional relationship with its users.

Answer 1

False

Question 2

One of the benefits of bottom-up marketing is that it allows advertisers to use multiple action programs.

Answer 2

False

Question 3

With integrated marketing communications,advertisers are able to cultivate identical relationships with all stakeholders.

Answer 3

False

Question 4

A magazine that writes a feature about Amazon is a stakeholder for the company.

Question 5

Endcap promotions are messages communicated through packaging and distribution.

Question 6

Corporate objectives are often stated in terms of profit or return on investment.

Question 7

The ratio of perceived benefits to the price of the product is called value.

Question 8

The principal benefit of integrated marketing communications (IMC)is cost-efficiency.

Question 9

A database of customer behavior containing information on customer demographics can be used as the basis for planning future marketing and communications activities.

Question 10

The first step in traditional top-down planning is to determine specific marketing objectives.

Question 11

By definition,marketing plans should be short and specific.

Question 12

The two types of marketing objectives are positioning and segmentation.

Question 13

A product's position in the market is based on consumer perceptions.

Question 14

According to the advertising pyramid,the first task of advertising is to communicate enough information about the product to develop consumer conviction.

Question 15

The advertising pyramid reflects the traditional mass-marketing approach.

Question 16

A creative strategy is a written statement that serves as the creative team's guide for producing an ad.

Question 17

Dove soap sells itself as the soap for women with dry skin.The positioning strategy for Dove is most likely based on the use/application approach.

Question 18

To influence customers' perceptions,marketers must understand that every corporate activity has a message component.

Question 19

Transactional marketing involves creating,maintaining,and enhancing long-term relationships with customers and stakeholders rather than making a single sale.

Question 20

The advertising plan is a natural outgrowth of the marketing plan.

Question 21

What is the first step in the traditional top-down marketing plan?

A) developing marketing tactics
B) forming a marketing strategy
C) conducting a situation analysis
D) evaluating potential marketing objectives
E) establishing beneficial advertising objectives

Question 22

Why would a company set need-satisfying objectives?

A) to modify the hierarchical structure from transformational to transactional
B) to shift the organization's focus from production to the target market
C) to take advantage of a consumer-oriented economic trend
D) to provide equity to every stakeholder of the firm
E) to stir demand in a static environment

Question 23

In 2015,Diet Mountain Dew suffered a 2.8 percent decline in sales.A(n)_____ noted that overall sales of carbonated beverages also that declined that year and allowed the advertisers to set informed marketing objectives.

A) situation analysis
B) integrated product survey
C) market survey
D) product audit
E) stakeholder audit

Question 24

The three steps involved in the objective/task method are defining objectives,determining strategy,and estimating cost.

Question 25

Mountain Dew has set a(n)_____ objective to increase its share of the market by 5 percent within the next two years.

A) sales-target
B) target market
C) need-satisfying
D) market tracking
E) environmental

Question 26

In consumer goods marketing,increases in market share are closely related to increases in marketing budgets.

Question 27

The written marketing plan must reflect the goals of top management and

A) align with the company's mission and capabilities.
B) be approved by all stakeholders of the company.
C) be benchmarked against others in competing industries.
D) emphasize the development of transactional relationships.
E) begin with a situation analysis that identifies the product's strengths.

Question 28

The _____ for an organization assembles all the pertinent facts about the organization,the markets it serves,and its products,services,customers,and competition.

A) vision
B) marketing plan
C) advertising plan
D) marketing mix
E) competitive strategy

Question 29

The objective/task method of setting budgets is also known as the budget-buildup method.

Question 30

_____ objectives can be categorized as either general need-satisfying objectives or specific sales-target objectives.

A) Environmental
B) Functional
C) Corporate
D) Marketing
E) Entrepreneurial

Question 31

The traditional _____ method of developing a marketing plan has four main elements: situation analysis,marketing objectives,marketing strategy,and marketing tactics (or action programs).

A) hierarchical
B) IMC
C) bottom-up
D) top-down
E) functional

Question 32

Assume a bakery that wholesales gourmet pies and cakes to upscale restaurant chains has developed marketing objectives.Which of the following is the sales-target objective for the bakery to use?

A) to increase cheesecake sales to the point where demand exceeds supply every week
B) to increase sales of pecan pies by 3 percent during the next six months
C) to raise net profit by 50 percent during the next three weeks
D) to have most of the staff attend a marketing seminar
E) to build a website that attracts new customers

Question 33

Which of the following states how a firm is going to accomplish its marketing objectives?

A) SWOT analysis
B) situation analysis
C) stakeholder analysis
D) marketing strategy
E) marketing mix

Question 34

The two main components of an advertising strategy are the segmentation strategy and the message strategy.

Question 35

Harry & David is a catalog retailer that specializes in fruit gifts,but it does not see itself as just a merchant of fruit.By setting _____ objectives,the retailer views itself as a gift provider and acts accordingly.

A) need-satisfying
B) sales-driven
C) sales-target
D) production-oriented
E) environmental

Question 36

_____ objectives can be stated in terms of profit,return on investment,net worth,growth,or corporate reputation.

A) Environmental
B) Functional
C) Corporate
D) Operational
E) Entrepreneurial

Question 37

In order to create a new marketing plan for Mountain Dew,the company has completed a detailed SWOT analysis to assess the current strengths,weaknesses,opportunities,and threats to the brand.The next step in creating a marketing plan will be to

A) decide which advertising media will best reach its target markets.
B) evaluate potential marketing objectives.
C) establish advertising strategy.
D) design marketing tactics.
E) determine specific marketing objectives.

Question 38

Baxter International is the world's largest manufacturer of IV solutions in flexible containers.Which of the following would most likely reveal relevant facts about the firm's history,growth,and market share?

A) situation analysis
B) BCBG matrix
C) market survey
D) product audit
E) market analysis

Question 39

Pyramid Breweries Co.has stated that partnering with committed wholesalers capable of delivering first class customer service is an important _____ objective for the company if the microbrewery is to maintain its reputation for customer satisfaction.

A) corporate
B) entrepreneurial
C) advertising
D) logistical
E) stakeholder

Question 40

Small firms with limited capital typically budget using an all-available-funds method.

Question 41

Clos du Bois wine pursues an advertising campaign that targets the gay and lesbian community.Its ad in gay publications features a wine cork emblazoned with the Gay Pride rainbow.Gay publications are examples of _____ for Clos du Bois wine.

A) reference groups
B) target audiences
C) target markets
D) stakeholders
E) environmental curators

Question 42

In 2009,Mountain Dew introduced radical new _____,including the "Dewmocracy" campaign that asked consumers to choose new flavors.

A) marketing objectives
B) creative mechanisms
C) tactics
D) strategic postures
E) organizational positions

Question 43

Smaller companies typically use a bottom-up marketing format plan because

A) handling daily problems leaves little time for formal planning.
B) they don't need to create a competitive advantage in the market.
C) long-term strategies are needed to keep a business focused on the future.
D) failure to have a mission is one of the major reasons for small-business failure.
E) bottom-up planning allows more time for development of a customer relationship strategy.

Question 44

_____ determine the specific short-term actions to be taken,internally and externally,by whom and when.

A) Corporate objectives
B) Tactics
C) Organizational structures
D) Environmental objectives
E) Strategic postures

Question 45

Silly Putty has been around for years as a gag gift sold in specialty stores.It has always avoided direct confrontation with other toy companies by finding a market that was small enough to defend and never really acting like a market leader.Which of the following strategies has Silly Putty most likely followed?

A) aggressive
B) flanking
C) defensive
D) circumventing
E) guerrilla

Question 46

Clos du Bois wine pursues an advertising campaign targeting the gay and lesbian community that has been remarkably successful.Its ad in gay publications features a wine cork emblazoned with the Gay Pride rainbow-an instantly recognizable symbol in the gay community.What approach to positioning is the winery using?

A) use/application
B) product class
C) product user
D) product competitor
E) price/quality

Question 47

Randall Grahm,the owner of Bonny Doon Vineyards,made a name for his wines by injecting an irreverent sense of humor into everything associated with the winery.One of the _____ he used was to host a black mask dinner this fall to celebrate "the death of wine corks" when his company decided to use screw tops.

A) marketing objectives
B) control mechanisms
C) action programs
D) strategic postures
E) organizational structures

Question 48

Starbucks expanded from bottled Frappuccino to two canned products-Doubleshot and Starbucks Iced Coffee.While all are coffee-based products,each has a slightly different consumer base.Doubleshot is advertised as a morning beverage,Frappuccino as an afternoon treat,and Starbucks Iced Coffee as an all-day product.What approach to positioning is Starbucks most likely using?

A) cultural symbol
B) product class
C) use/application
D) product competitor
E) price/quality

Question 49

The _____ marketing strategy reverses the traditional model and is used by smaller companies to keep their product focused on a single concept.

A) relationship
B) transformational
C) bottom-up
D) transactional
E) top-down

Question 50

_____ is the ratio of perceived benefits to the price of the product.

A) Net worth
B) Contribution margin
C) ROI
D) Retained earning
E) Value

Question 51

_____ involves creating,maintaining,and enhancing long-term relationships with customers that result in exchanges of information.

A) Market exchange
B) Strategic collaboration
C) Relationship marketing
D) Creative partnering
E) Transactional marketing

Question 52

Besides its signature product,the My-Tee T-shirt Company makes a line of skirts,shoes,tank tops,and accessories that retail from $32 to $78.Publicists and buyers browse My-Tee's online and storefront showrooms for the latest trends and clothing lines.The company's promotional strategy relies on publicity.Celebrities have been photographed in My-Tee clothing,which helped the company earn $1 million in sales last year.This is a brief description of My-Tee's

A) advertising mix.
B) marketing mix.
C) marketing objectives.
D) organizational strategy.
E) product differentiation.

Question 53

When Joe Coulombe designed his chain of grocery stores,Trader Joe's,he decided he wanted to attract well-educated,adventurous,particular shoppers,which became his company's

A) marketing mix.
B) advertising mix.
C) product concept.
D) target market.
E) segmentation variable.

Question 54

Hops Grillhouse & Brewery,formerly known as Hops Restaurant/Bar/Brewery,unveiled a multimillion dollar brand strategy featuring a new menu intended to "capture consumer preferences for high quality,freshness,and grilled tastes as well as an array of aromas,textures,and price points." Its product mix of handcrafted beer and superior food is unlike that offered by other similar restaurant chains.This description relates to the restaurant's _____ strategy.

A) segmentation design
B) positioning
C) market segmentation
D) marketing mix
E) diversification

Question 55

Roy Harold purchased a new washer/dryer for his apartment.Shortly after the appliances had been installed,a store representative called Harold and asked if he was satisfied with the washer/dryer and the installation.The store representative also asked Harold to call if he had any further needs.This is most likely an example of which relationship level?

A) reactive relationship
B) basic transactional relationship
C) accountable relationship
D) proactive relationship
E) partnership

Question 56

As the leading manufacturer of bleach in the nation,Clorox must guard itself against challenges from detergent manufacturers who are using bleach as a detergent additive.According to Jack Trout and Al Reis's Marketing Warfare,which type of strategy should Clorox use?

A) protective
B) aggressive
C) defensive
D) offensive
E) guerrilla

Question 57

Kotler and Armstrong have identified five levels of relationships that can be formed between a company and its various stakeholders.Charlotte purchased a book on how to crochet from a website.After purchasing the book,she was pleased to receive regular e-mails from the site offering her other products that she might be interested in.The e-mails also tell her about current trends in yarn and offer troubleshooting advice as well as free patterns.The relationship between Charlotte and the website is at what level?

A) reactive relationship
B) basic transactional relationship
C) accountable relationship
D) proactive relationship
E) partnership

Question 58

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

Question 59

_____ refers to the place a brand occupies competitively in the minds of consumers.

A) Product segmentation
B) Product placement
C) Positioning
D) The perceptual pyramid
E) The strategic map

Question 60

When Southwest Airlines runs an ad stating,"Some airlines run ads that talk to business travelers.We running an ad that says WE LISTEN to them," it shows the company views its passengers as

A) reference groups.
B) target audiences.
C) target markets.
D) stakeholders.
E) environmental curators.

Question 61

The price of a bottle of Chivas Regal Scotch,the use of UPS by Lands' End,and the workmanship found in a well-crafted wicker rocking chair are all examples of which type of company/brand-related messages that are sent to company stakeholders?

A) planned
B) functional
C) unplanned
D) product
E) service

Question 62

The FoldzFlat Pen,which folds in half to the size of a business card,makes a perfect "billboard" on which to print advertising and company logos.The pen can be shaped into a bookmark,a business card,a race car,or a skateboard.Its manufacturer wants to advertise this new product to people in the specialty products industry.Which method of setting an advertising budget should the firm typically use for this new product?

A) percentage-of-sales
B) self-defense
C) objective/task
D) share-of-market/share-of-voice
E) budget buildup

Question 63

A firm that has used the share-of-market/share-of-voice method for allocating advertising funds for a number of years will most likely have a tendency to

A) become overly competitive in all marketing activities.
B) rely too heavily on the budget-buildup method.
C) maintain a lower percentage of media exposure than its competitors.
D) be bold in its attempt to link advertising dollars with sales objectives.
E) overreact if competitors increase their advertising budgets.

Question 64

Which of the following statements about the relationship of advertising to sales and profits is most likely true?

A) Market share increases are more directly related to marketing budget increases than to price reductions.
B) In most cases, sales will remain constant even if there are additional advertising investments.
C) There will be no sales for an organization without online advertising.
D) The durability of advertising is long-term rather than short-term.
E) There is no saturation level for advertising.

Question 65

In 2016,after years of development,a small Montana guest ranch decided to launch a unique social website for seniors to watch live cameras documenting the activities of the ranch for a small monthly fee.With no advertising budget,the ranch owner took horses and donkeys around to senior centers,gave away coupons for free membership to visitors,went to parades,and posted heavily on social media.In addition,the ranch spent any revenue from visitors to promote the website.The ranch used the _____ method to raise awareness of their website.

A) percentage-of-sales
B) all available funds
C) objective/task
D) share-of-market
E) budget buildup

Question 66

Eby-Brown,a large distributor of candies and snacks to convenience stores in the eastern United States,describes itself as "a service-oriented company." Its corporate guidelines state,"Without our customers,we don't exist as an organization.So our priority in life is to make sure that our customers are happy,that we're taking good care of them,and addressing their needs." What type of relationship does Eby-Brown most likely strive to maintain with its customers?

A) reactive relationship
B) basic transactional relationship
C) accountable relationship
D) proactive relationship
E) partnership

Question 67

According to the advertising pyramid,the second task of advertising is to

A) communicate enough product information to persuade some people to believe in its value.
B) express the quantitative objectives in the marketing plan in specific, measurable goals.
C) acquaint a portion of the market with a product's existence.
D) persuade customers to buy larger sizes or multiple units of the product.
E) accelerate sales by implementing a variety of sales promotions.

Question 68

Mood-lites are colored lightbulbs that were developed according to research on how colors affect moods.According to the advertising pyramid,the first task of the initial advertising for Mood-lites was to create

A) awareness.
B) action.
C) conviction.
D) brand loyalty.
E) intent to buy.

Question 69

Mood-lites are colored lightbulbs that were developed according to research on how colors affect moods.In allocating funds for advertising the new lightbulbs,the manufacturer decided to budget a certain proportion of last year's sales for advertising expenditures.Which allocation method was the manufacturer using?

A) percentage-of-sales
B) self-defense
C) objective/task
D) share-of-market/share-of-voice
E) budget buildup

Question 70

The percentage-of-sales method is

A) expensive and complicated to implement.
B) the simplest to use of all budgeting methods.
C) based on the average of the previous five years' sales.
D) generally linked to future tax audits and investigations.
E) a bold attempt to link advertising dollars with sales objectives.

Question 71

A full-page ad that Dell ran in Fortune magazine about the firm's latest laptop is an example of which type of company/brand-related message being sent to company stakeholders?

A) planned
B) inadvertent
C) unplanned
D) product
E) service

Question 72

What is the greatest shortcoming of the percentage-of-sales method of setting the advertising budget?

A) The percentage-of-sales method is too expensive to be used by small business owners.
B) The percentage-of-sales method violates the principle that marketing activities should stimulate sales rather than occur as a result of sales.
C) The percentage-of-sales method assumes that a certain level of spending is needed to sell a certain number of units of a product.
D) The percentage-of-sales method encourages top management to think of growth in terms of percentages.
E) The percentage-of-sales method assumes the marketplace will be dynamic.

Question 73

Because drugstore chains realize that nearly three-fourths of the visitors to a drugstore are there just to pick up a prescription,drugstores have found it profitable to stock a variety of products that have typically been found in supermarkets and convenience stores.Stakeholders receive a(n)_____ message when they go to a drugstore to pick up a prescription and are able to buy milk and bread without having to go to another store.

A) planned
B) functional
C) unplanned
D) product
E) service

Question 74

What should be the advertising manager's first step when asked to develop an advertising plan?

A) selecting the target audience
B) developing marketing objectives
C) determining the most cost-effective media
D) establishing an advertising budget
E) reviewing the company's marketing plan

Question 75

Which of the following is a potential problem with the objective/task method of setting a budget?

A) It does not permit the quick and ready measurement of the success of an ad campaign.
B) It assumes that marketing activities result from demand.
C) It requires determining in advance the amount of money needed to reach a specific goal.
D) It assumes a static external environment and renders marketing strategies inflexible.
E) It is rarely used by major advertisers and is therefore unfamiliar and alienating to consumers.

Question 76

When used to determine how to allocate funds for advertising,the _____ method has three steps-defining objectives,determining strategy,and estimating cost.

A) unit-of-sales
B) share-of-market/share-of-voice
C) percentage-of-sales
D) percentage-of-profit
E) objective/task

Question 77

The two sub-strategies of the advertising strategy are the

A) stakeholder strategy and the creative strategy.
B) message strategy and the media strategy.
C) creative strategy and media strategy.
D) planning strategy and the implementation strategy.
E) customer-satisfaction strategy and the profit strategy.

Question 78

Which type of brand message is exemplified by negative consumer posts on a company's Facebook page?

A) planned
B) functional
C) unplanned
D) product
E) service

Question 79

In creating an advertising plan for its new electric car,the Lightning Bug,Volkswagen sets an objective to motivate two-thirds of consumers who are convinced the Lightning Bug is a practical alternative to hybrids to take a test drive.Taking a test drive demonstrates the _____ level of the advertising pyramid.

A) conviction
B) comprehension
C) action
D) brand loyalty
E) awareness

Question 80

Jerome stopped at Brewster's and purchased a chocolate ice cream cone.As he was exiting the store,the cone developed a leak and dripped ice cream all over his expensive suit.At that point,he swore to never buy Brewster's ice cream again.In terms of the messages that stakeholders receive,Jerome received a(n)_____ message.

A) planned
B) functional
C) unplanned
D) product
E) service