Deck 8: Integrated Marketing Communications

Question 1

Which of the following best describes personal selling?

A)Personal selling is a paid form of communications about an organization,its products,or its activities that is transmitted through a mass medium.
B)Personal selling is a nonpaid form of communication that seeks to influence the attitudes,feelings,and opinions of stockholders,suppliers,employees,and political bodies about an organization.
C)Personal selling is face-to-face communication with potential buyers to inform them about and persuade them to buy an organization's product.
D)Personal selling is an activity that offers customers or resellers a direct inducement for purchasing a product.

Answer 1

C

Question 2

Retailers support manufacturers by:

A)featuring brands in their ads to attract buyers.
B)distributing coupons to them.
C)raising the prices of the manufacturers' products.
D)discouraging personal selling.

Answer 2

A

Question 3

Unis Technologies has introduced a new installation program that is the first of its kind and requires a great deal of complex technological understanding.Although it is being marketed as a user-friendly system,consumers are apprehensive about buying it.Unis Technologies' promotion mix will likely:

A)focus heavily on personal selling.
B)contain short-run incentives.
C)rely on sales promotion.
D)rely on advertising.

Answer 3

A

Question 4

_____ is an activity or material that offers customers or resellers a direct inducement for purchasing a product.

A)Sales promotion
B)Advertising
C)Public relations
D)Personal selling

Question 5

Which of the following statements is true of the strategic goal of retaining customers?

A)It costs far more to attract a new customer than to retain an existing customer.
B)Producers tend to seek out new customer segments instead of trying to retain old ones.
C)Interactive modes of communication do not assist marketers in increasing the value of their products.
D)Including salespeople in the supply chain can be obtrusive to retaining consumers and end-users.

Question 6

_____ refers to the combination and types of nonpersonal and personal communication that an organization puts forth during a specified period.

A)The promotion mix
B)The product mix
C)Segment communication
D)Reintermediation

Question 7

If the product of a firm is a new complex technology that requires a great deal of explanation,the promotional mix will likely focus heavily on _____ so that potential buyers can have their questions answered.

A)public relations
B)sales promotion
C)advertising
D)personal selling

Question 8

Donald Inc.is offering its newly launched product at a discounted price for a limited period in an attempt to induce customers to purchase the product.In the context of marketing communication,which of the following strategies is being implemented by Donald Inc.?

A)Public relations
B)Sales promotion
C)Personal selling
D)Direct marketing

Question 9

A paid form of nonpersonal communications about an organization,its products,or its activities that is transmitted through a mass medium to a target audience is called:

A)publicity.
B)advertising.
C)personal selling.
D)direct marketing.

Question 10

_____ is a nonpaid form of nonpersonal communication about an organization and its products that is transmitted through a mass medium in the form of a news story.

A)Advertising
B)Sales promotion
C)Publicity
D)Direct marketing

Question 11

The marketing department of Dimension Inc.notices a decline in the buying patterns of its customers.The company's sales for the month of November were low in comparison to its sales for the previous months.To address this issue and add value to its products,Dimension Inc.decides to offer coupons for its products and schedule a sweepstake for Christmas.Which of the following elements of the promotion mix concept is Dimension Inc.using in this scenario?

A)Personal selling
B)Direct marketing
C)Sales promotion
D)Public relations

Question 12

_____ is a form of direct marketing.

A)Personal selling
B)Advertising
C)Sales promotion
D)Publicity

Question 13

_____ is a paid form of nonpersonal communications that uses media such as outdoor displays,car cards,or directories to reach out to a target audience.

A)Direct marketing
B)Advertising
C)Personal selling
D)Public relations

Question 14

Which of the following strategic goals of marketing communication is most likely to stimulate trial purchases of new products and brands by customers?

A)Creating awareness
B)Retaining customers
C)Building positive images
D)Building channel relationships

Question 15

Marketers who seek to accomplish the strategic goals of marketing communications are:

A)more likely to attract new customers than retain existing customers.
B)less likely to build a relationship with an organization's channel members.
C)less likely to support efforts to create value for existing customers.
D)more likely to use modern technology to stay close to their customers and identify prospects.

Question 16

When retailers feature brands in their advertisements to attract buyers,they are indirectly or directly supporting _____.

A)manufacturers
B)vendors
C)wholesalers
D)consumers

Question 17

Which of the following statements regarding the strategic goals of marketing communications is most accurate?

A)Marketing communications designed to create awareness are especially important for existing products rather than new products.
B)Unlike producers,retail stores and other organizations do not use communications to build positive images.
C)An important goal of marketing communications is to build a relationship with the organization's channel members.
D)It costs far more to retain an existing customer than to attract a new customer.

Question 18

Which of the following products is most likely to contain short-run incentives in its promotion mix?

A)An essential commodity
B)An established product witnessing a seasonal decline in sales
C)A product in the decline stage of the product life cycle
D)A product in the research and development stage of the product life cycle

Question 19

Kinglinks,a cereal manufacturer,wants to promote its new line of protein bars to its target customers using a nonpersonal form of communication.Kinglinks is least likely to rely on _____ as a means of communication.

A)advertising
B)sales promotion
C)public relations
D)direct marketing

Question 20

Marketers who seek to accomplish the strategic goals of marketing communications are:

A)less likely to build relationships with their organizations' channel members.
B)more likely to focus on generating awareness of their existing products rather than their new products.
C)more likely to build positive images for their brands and add meaning to their products.
D)less likely to use modern technology to stay close to their customers and identify prospects.

Question 21

The reinforcement of unfavorable ethnic or racial stereotypes is a legal concern directly associated with:

A)advertising.
B)public relations.
C)sales promotion.
D)personal selling.

Question 22

In the context of marketing communications,which of the following is an ethical and legal concern associated with public relations?

A)Failing to disclose product limitations or safety concerns
B)Using unauthorized mailing lists to reach consumers
C)Paying slotting allowances to gain retail shelf space
D)Paying lip service to worthwhile causes

Question 23

In the context of marketing communications,identify an ethical and legal concern associated with sales promotion.

A)Encouraging materialism and excessive consumption
B)Using unauthorized mailing lists to reach consumers
C)Using economic power to gain favorable publicity
D)Failing to disclose product limitations or safety concerns

Question 24

Which of the following is an ethical and legal concern associated with personal selling?

A)Misrepresenting product health
B)Encouraging materialism and excessive consumption
C)Reinforcing unfavorable ethnic or racial stereotypes
D)Using unauthorized mailing lists to reach consumers

Question 25

From a marketing management perspective,_____ is an important nonpersonal strategic device for maintaining a competitive advantage in a marketplace.

A)direct marketing
B)personal selling
C)advertising
D)telemarketing

Question 26

The specialist viewpoint about the contribution of advertising to the economic health of a firm is primarily concerned with:

A)viewing advertising as a competitive weapon.
B)emphasizing the strategic aspects of the advertising function.
C)measuring the effects of specific ads or campaigns.
D)sales,profits,return on investment,and so forth.

Question 27

With regard to the objectives of advertising,identify the most accurate statement.

A)Advertising is not justified on the basis of the revenue it generates.
B)The advertising outlays should be increased in every market and medium up to the point where the additional cost of gaining more business exceeds the incremental profits.
C)The ultimate goal of the business advertiser is to make sales and profits.
D)Advertising is not subject to the law of diminishing returns.

Question 28

The generalist viewpoint about the contribution of advertising to the economic health of a firm is primarily concerned with:

A)measuring the effects of specific ads or campaigns.
B)emphasizing the strategic aspects of the advertising function.
C)measuring competitor strengths and weaknesses to devise strategic ideas.
D)sales,profits,return on investment,and so forth.

Question 29

_____ is the first stage a firm's marketing communication tools must encourage and allow a potential buyer to experience.

A)Conception
B)Conviction
C)Comprehension
D)Awareness

Question 30

Owing to recent failed campaigns,an established advertising agency is at the risk of reaching bankruptcy.The agency's top-management does not want to release this news as it hopes to recover losses soon.It therefore plans to orchestrate news events to present a false appearance of widespread support for the company's position.This is an example of a legal concern directly related to _____.

A)advertising
B)public relations
C)sales promotion
D)personal selling

Question 31

Ursula,a conventional advertising manager,allocates a sizeable amount of funds toward advertising budgets.She is primarily concerned with the sales figures at the end of every quarter and calculates return on investment for her company's product portfolio.Based on these characteristics,which of the following approaches to advertising does Ursula follow?

A)The generalist viewpoint
B)The specialist viewpoint
C)The consumer attrition perspective
D)The marketing management approach

Question 32

Monarch Inc.manufactures Kuddles fabric softener.The company uses the image of a stuffed bear named Kuddles in television and print ads to promote its product.The bear,which is used for the purpose of sales promotion,also appears on T-shirts and on Monarch Inc's official Website,an online interface that connects the company to its customers.Recently,the Kuddle bear appeared as a spokesperson for a children's literacy campaign sponsored by Kuddles fabric softener.In this scenario,Monarch Inc.is combining all the aspects of marketing communication to present a consistent message through _____.

A)functional department planning
B)traditional marketing communication
C)holistic marketing
D)integrated marketing communication

Question 33

Which of the following is an ethical and legal concern directly associated with advertising?

A)Failing to disclose product limitations or safety concerns
B)Using unauthorized mailing lists to reach consumers
C)Encouraging materialism and excessive consumption
D)Using economic power to gain favorable publicity

Question 34

In the context of marketing communications,identify an ethical and legal concern associated with personal selling.

A)Offering misleading consumer promotions
B)Invading privacy with telemarketing
C)Failing to disclose product safety concerns
D)Creating economic waste with unwanted direct mail

Question 35

Which of the following elements of the promotional mix is most likely to encourage materialism and excessive consumption?

A)Cold calling
B)Advertising
C)Public relations
D)Telemarketing

Question 36

Aster Inc.has developed a new digital three-tier food steamer.Though the product comes with a self-explanatory manual,the controls and the operation of the appliance have to be explained to the customer on a one-to-one basis,in great detail.Which of the following elements of the promotional mix is Aster Inc.most likely to rely on to sell its products?

A)Advertising
B)Public relations
C)Sales promotion
D)Personal selling

Question 37

Which of the following is an ethical and legal concern associated with direct marketing communications?

A)Paying slotting allowances to gain retail shelf space
B)Using consumer database information without consumers' authorization
C)Reinforcing unfavorable ethnic or racial stereotypes
D)Using economic power to gain favorable publicity

Question 38

Which of the following viewpoints about the contribution of advertising to the economic health of a firm sees advertising as a competitive weapon and places emphasis on the strategic aspects of the advertising function?

A)The generalist viewpoint
B)The specialist viewpoint
C)The consumer attrition perspective
D)The marketing management approach

Question 39

Which of the following is a factor that is responsible for hindering the successful implementation of integrated marketing communication?

A)The lack of planning and budget constraints
B)The reluctance of some advertising agencies to broaden their role beyond advertising
C)The lack of vision and visibility
D)The destruction of creativity due to the broadening of scope

Question 40

Forever Ageless,a cosmetic manufacturer,introduces a new range of anti-wrinkle creams.The company pays slotting allowances to a retailer in advance to ensure that its products are placed at the front counter of the store where sales are much greater than along the aisle.This act by Forever Ageless is an ethical and legal concern associated with _____.

A)advertising
B)public relations
C)sales promotion
D)personal selling

Question 41

In the context of determining how much to spend on advertising,which of the following statements is true about the per-unit expenditure approach?

A)This method is popular with higher-priced merchandise.
B)The basic philosophy underlying this approach is that advertising is defensive.
C)This approach is often used in conjunction with the research approach.
D)This approach views sales as a function of advertising,rather than advertising as a function of sales.

Question 42

"Advertising is defensive" is the basic philosophy underlying the _____ to determine the advertising budget.

A)competitive parity approach
B)per-unit expenditure approach
C)all-you-can-afford approach
D)research approach

Question 43

Which of the following methods of determining the advertising budget views advertising as a function of sales,rather than sales as a function of advertising?

A)The per-unit expenditure approach
B)The research approach
C)The competitive parity approach
D)The task approach

Question 44

Marketers who are aware that consistent investment spending is a key factor in advertising are:

A)more likely to cut advertising budgets to fund price promotions.
B)less likely to invest in advertising than discounting.
C)less likely to raid their advertising budgets to increase earnings.
D)more likely to view advertising as a discretionary cost.

Question 45

An advertising expenditure approach that initially formulates advertising goals and defines the tasks to accomplish these goals is known as the _____.

A)objective approach
B)task approach
C)percent-of-sale approach
D)functional approach

Question 46

A local hardware store owner is preparing an annual advertising budget for his firm.While doing so,he considers his competitors' budgets as benchmarks and uses them to make specific allocations to the promotion mix in his budget.He believes that other established hardware firms in the industry know what they are doing and have goals similar to his.Based on these factors,which of the following methods for establishing an advertising budget is he most likely to use?

A)The all-you-can-afford approach
B)The task approach
C)The competitive parity approach
D)The research approach

Question 47

Which of the following is true of the research approach to determining the advertising budget?

A)It attempts to determine retail price by using production costs as a base.
B)It is a less rational approach to the expenditure decision when compared to other models.
C)It is generally more expensive when compared to some other models.
D)It is less desirable as it limits advertising outlays to the amount of available funds.

Question 48

Which of the following statements is true of the all-you-can-afford approach to deciding advertising budget?

A)The advertising budget is established as a predetermined share of profits or financial resources.
B)The advertising goals are formulated and tasks are defined to accomplish these goals.
C)The advertising budget is argued for and presented on the basis of research find­ings.
D)The basic philosophy underlying this approach is that advertising is defensive.

Question 49

The per-unit expenditure method of determining advertising budgets is best exemplified by:

A)a television manufacturer spending a fixed monetary amount on advertising for each unit of the product expected to be sold.
B)the manager of a clothing company estimating the advertising budget on the basis of research findings.
C)a grocer using the availability of current revenues to set the upper limit of the advertising budget.
D)the manager of an automobile manufacturing company taking a percentage figure and applying it to either past or future sales.

Question 50

For any advertised product,it can be assumed that a point is eventually reached at which additional advertising produces little or no additional sales.This is proof that advertising is:

A)subject to the law of diminishing returns.
B)governed by the law of accelerating change.
C)nonmeasurable in the context of sales numbers and figures.
D)subject to the law of increasing returns.

Question 51

In which of the following approaches of determining advertising expenditure does the availability of current revenues set the upper limit of the advertising budget?

A)The per-unit expenditure approach
B)The all-you-can-afford approach
C)The competitive parity approach
D)The research approach

Question 52

Which of the following statements about the various methods of establishing advertising budgets is true?

A)The per-unit expenditure approach is most popular in retailing.
B)The percent-of-sales method is popular with higher-priced merchandise.
C)The all-you-can-afford approach to budgeting is essentially a "followership" strategy.
D)The task approach is often used in conjunction with the research approach.

Question 53

Identify a true statement about the per-unit expenditure method of determining advertising budget.

A)It bases its advertising budgets on those of competitors or other members of the industry.
B)It attempts to determine the retail price by using production costs as a base.
C)It sets the advertising budget as a predetermined share of profits or financial resources.
D)It involves arguing for and presenting the advertising budget on the basis of research findings.

Question 54

Which of the following methods of determining advertising expenditure establishes the advertising budget as a predetermined share of profits or financial resources?

A)The per-unit expenditure
B)The all-you-can-afford approach
C)The competitive parity approach
D)The research approach

Question 55

Which of the following is most likely to help a product gain market share in the long run?

A)Practicing the art of discounting
B)Viewing advertising as a discretionary cost
C)Investing more in advertising and less in discounting
D)Raiding advertising budgets to increase earnings

Question 56

With regard to determining how much to spend on advertising,which of the following observations is true of the percent-of-sales approach?

A)This approach views sales as a function of advertising rather than advertising as a function of sales.
B)This approach attempts to determine the retail price by using production costs as a base.
C)The basic philosophy underlying this approach is that advertising is defensive.
D)This approach is popular in retailing.

Question 57

As one of the marketing managers of a retail firm,Katie has to decide the size of the advertising budget for a hair care product.Although the product performed well the previous year,there was a considerable fall in its market shares recently.To address this problem,Katie decides to implement discounting strategies and focus on short-term profits.Which of the following measures is Katie most likely to implement?

A)Cutting advertisement budgets to fund price promotions
B)Minimizing quarterly earnings
C)Viewing advertising as a nondiscretionary cost
D)Abstaining from raiding advertisement budgets to increase earnings

Question 58

Which of the following is a method of determining advertising budget that uses a "followership" technique that assumes that the other firms in the industry know what they are doing and have similar goals?

A)The per-unit expenditure approach
B)The task approach
C)The competitive parity approach
D)The research approach

Question 59

In which of the following methods of determining the advertising budget does a seller realize that a reasonably competitive price must be established for a product in question and therefore attempts to cost out the gross margin?

A)The competitive parity approach
B)The all-you-can-afford approach
C)The per-unit expenditure approach
D)The percent-of-sales approach

Question 60

Identify the correct statement about the percent of sales method of determining advertising budget.

A)It is characterized by a set of complex calculations that lack simplicity.
B)It is based on the premise that advertising is needed to generate sales.
C)It attempts to determine retail prices by using production costs as a base.
D)It is most suitable for automobiles and appliances owing to its complicated framework.

Question 61

Which of the following statements is an advantage of using magazines as an advertising medium?

A)It has a short lead time for ad placement.
B)It has the potential of segmentation.
C)It is location specific.
D)It provides selective reader exposure.

Question 62

Which of the following is an advantage of using radio as an advertising medium?

A)It provides local coverage and is flexible.
B)It faces no competition from competing advertisements.
C)It appeals to the senses and provides a combination of sight,sound,and motion.
D)It gains more attention from an audience than television.

Question 63

Which of the following is an example of a sales promotional tool aimed at final consumers or users?

A)Training materials
B)Coupons
C)Merchandising aids
D)Portfolios

Question 64

Which of the following is an advantage of magazines over newspapers as an advertising medium?

A)Long closing periods
B)Intense coverage of local markets
C)High believability of printed word
D)Reproduction quality

Question 65

In terms of the advertising communication process,translating a product idea or marketing message into an effective ad is called:

A)encoding.
B)allocating.
C)disseminating.
D)positioning.

Question 66

One of the major objectives of trade promotions is to:

A)increase a manufacturer's inventories.
B)increase a distributor's or retailer's inventories.
C)discourage advertising and consumer sales promotions.
D)reward a consumer for brand loyalty.

Question 67

A group of university students is asked to fill a survey that requires them to rank five different television advertisements on mobile software in the market in order of their preference.The survey mentions that the parameters on which the advertisements are to be rated include their credibility,the interest-level they generate,and their attractiveness.The survey the students fill is a typical example of a(n):

A)opinion test.
B)recall test.
C)awareness test.
D)recognition test.

Question 68

Bonuses,meetings,and portfolios are examples of sales promotion activities primarily aimed at:

A)middlemen.
B)a company's own sales force.
C)retailers.
D)final consumers.

Question 69

Southern Elegance,a catering company,is planning to advertise its services to businesses in the area.It wants to use an advertising medium which is low in cost,has high frequency,is widely used,has well-segmented audiences,and low production costs.Which of the following media is Southern Elegance most likely to use?

A)Direct mail
B)Outdoor
C)Television
D)Radio

Question 70

As Ted strolls through the city mall,a market researcher stops him and asks him to list the brands of candy bars that come to his mind in the first 30 seconds.Ted is then given a few advertising slogans and is asked to match them to their respective candy bar brands.In this scenario,which of the following is being used by the market researcher to evaluate specific advertising effectiveness?

A)Opinion test
B)Theater test
C)Awareness
D)Attitude

Question 71

_____ involve aiming promotional efforts directly at customers to encourage them to ask a retailer for a product.

A)Profile marketing strategies
B)Pull marketing strategies
C)Parallel marketing strategies
D)Cloud marketing strategies

Question 72

Which of the following sales promotional tools is aimed at middlemen?

A)Bonuses
B)Coupons
C)Training materials
D)Price deals

Question 73

The number of different targeted audience members exposed at least once to an advertiser's message within a predetermined time frame is known as:

A)average frequency.
B)reach.
C)width.
D)depth.

Question 74

The number of times,on average,that audience members are exposed to an advertisement within a given time period is known as:

A)average frequency.
B)reach intensity.
C)frame rate.
D)time to target market.

Question 75

Which of the following is a sales promotional activity aimed at a company's own sales force?

A)Price deals
B)Samples
C)Coupons
D)Bonuses

Question 76

Venus Inc. ,a producer of high-end computer software,provides merchandising aids to its distributors in the form of interactive videos on the application of the software.It offers distribution allowances to resellers for putting up special counter displays of its exclusive range of products.It aims to accelerate the sales of its newly launched product through these measures.In this scenario,Venus Inc.is employing a _____.

A)profile marketing strategy
B)push marketing strategy
C)pull marketing strategy
D)target marketing strategy

Question 77

Which of the following statements is true of the cost per thousand (CPM)method of measuring efficiency in the advertising industry?

A)It refers to the dollar cost of reaching 1,000 prospects.
B)Its chief disadvantage relates to its complexity.
C)It does not allow for a common base of comparison between differing media types.
D)It strongly discounts the positive effects theory.

Question 78

Distribution allowances are typical examples of _____.

A)push strategies
B)pull strategies
C)mixed promotional strategies
D)profile strategies

Question 79

Which of the following is a type of promotion that is typically aimed at distributors and retailers of products who make up the distribution channel?

A)Trade promotions
B)Rebates and refunds
C)Consumer promotions
D)Premiums

Question 80

Consumer promotions on a product are primarily meant to:

A)discourage customers to trade up.
B)encourage retailers to place more emphasis on selling a product.
C)induce customers to try a product.
D)increase a manufacturer's inventories and reduce a distributor's or retailer's inventories.