Chapter 1

Question 1

_ is the structured and composed non personal communication of information, usually paid for and usually persuasive in nature, about products or ideas by identified sponsors through various media.

Answer 1

Advertising

Question 2

Which of the following statements about advertising is true?

Answer 2

Advertising has an identifiable sponsor

Question 3

Since advertising is typically directed to groups of people rather than to individuals, advertising is defined as:

Answer 3

nonpersonal or mass communication

Question 4

When Oren buys a cup of Starbucks coffee to drink and when Joachim buys New York Times newspaper to read on the train, both are acting as:

Answer 4

consumers

Question 5

Which of the following organizations is most likely to benefit from a PSA?

Answer 5

United Way

Question 6

Which of the following is the best example of a good?

Answer 6

greeting cards

Question 7

Which of the following is the best example of a service?

Answer 7

a seminar on how to quit smoking

Question 8

Which of the following is an example of a product?

Answer 8

all of the above: a dog obedience training course, a box of chocolate candy, the script for a new Broadway-bound musical, an idea for a new reality television show

Question 9

Advertising reaches us through various channels of communication referred to as:

Answer 9

media

Question 10

Which of the following is NOT an example of an advertising medium?

Answer 10

word of mouth between consumers

Question 11

Of all the business functions, __ is the only function whose primary role is to bring in revenues.

Answer 11

marketing

Question 12

___ is the process of planning and executing the conception, pricing, distribution, and promotion of ideas, goods and service, to create exchanges that satisfy the perceived needs, wants, and objectives of individuals and organizations.

Answer 12

marketing

Question 13

which of the following is NOT one of the assumptions of the free-market economics that our market-driven society believes in?

Answer 13

presence of opportunity costs

Question 14

as a marketing tool advertising as a marketing tool is used to:

Answer 14

increase product use

Question 15

As a marketing tool, advertising is used for all of the following purposes EXCEPT:

Answer 15

to insure that all products are offered at everyday low prices

Question 16

During the preindustrial age, most advertisements took the form of signs with symbols such as a beer tankard indicating a tavern because:

Answer 16

most people were illiterate and could not read

Question 17

The period in the evolution of advertising that extended from the beginning of recorded history to roughly the start of the nineteenth century was called the

Answer 17

preindustrial age

Question 18

What did the first ad in English advertise?

Answer 18

a prayerbook

Question 19

Which of the following ages in the evolution of advertising was characterized but the Chinese inventing paper, Johannes Guttenberg inventing the printing press, and the Boston Newsletter beginning to carry advertisements that appealed to American colonists?

Answer 19

preindustrial age

Question 20

In the history of advertising, the __ made possible the first advertising formats–posters, handbills,signs, and newspapers.

Answer 20

printing press

Question 21

Benjamin Franklin

Answer 21

was the first American known to use illustrations in ads

Question 22

During the __ age, manufacturers were principally concerned with production. The primary burden of marketing fell on the wholesalers. They used advertising primarily as an information vehicle. Advertising to the consumer was the job of the retailers and the large mail-order catalog companies.

Answer 22

industrializing

Question 23

which of the following statements best describes how Volney b, Palmer influenced advertising?

Answer 23

in 1841, he set up the first professional advertising agency in the United States

Question 24

What role did the firm N.W. Ayer & Son play in the history of U.S. advertising?

Answer 24

it was the first ad agency to charge a commission based on the “net cost of space”

Question 25

Why did magazines become the ideal medium for advertising in the 1840’s?

Answer 25

magazines offered customized capabilities

Question 26

Why is 1896 considered to be an extremely import an year for direct mail advertising and mail-order selling?

Answer 26

The federal government inaugurated rural free mail delivery

Question 27

Which of the following events directly affected the growth of advertising in the nineteenth century?

Answer 27

all of the above: the increased literacy rate in the late 1800’s, the invention of the telegraph, the development of a nationwide railroad system, the inauguration of rural free delivery (RFD)

Question 28

Which of the following factors occurred near the end of the nineteenth century and was most responsible for accelerating the usage of print ads by manufacturers who wished to sell their products?

Answer 28

the nation had reached a 90 percent literacy rate

Question 29

With respect to the evolution of advertising in the United States, the __age started around the turn of the twentieth century and lasted well into the 1970’s.

Answer 29

Industrial

Question 30

A decade after World War I ended, a significant event occurred then caused consumer sales resistance, corporate budged cutting, and advertising expenditures to plummet. This event was:

Answer 30

the stock market crashed on October 29 1929

Question 31

The term__ can be used to explain why automobile manufacturers have continued to produce similar products and yet consumers have developed preferences for specific brands.

Answer 31

product differentiation

Question 32

A products __ is a feature of features that differentiate it from competitive products.

Answer 32

unique selling proposition

Question 33

__ is a process by which marketers searched for unique groups of people whose needs could be addressed through more specialized products.

Answer 33

Market segmentation

Question 34

A(n) __ is an effective way to separate a particular brand from its competitors by associating that brand with a particular set of customer needs that ranked high on the consumers priority list.

Answer 34

positioning strategy

Question 35

For years Levi-Strauss advertised its jeans to baby boomers because that is what most baby boomers wore during the 1960’s, and baby boomers are trying to buy back their youth. Unfortunately, this strategy of making Levi’s baby boomer icon has decreased the brands appeal to today’s teens who perceive the Levi brand as old-fashioned. In this example, a(n) __ did not produce a positive effect.

Answer 35

positioning strategy

Question 36

The __ age has been a period of cataclysmic change, For the first time, people became truly aware of the sensitive environment in which we live and became alarmed by our dependence on vital natural resources.

Answer 36

postindustrial

Question 37

__is a type of marketing used to slow down the demand for certain products, such as energy-consuming goods.

Answer 37

Demarketing

Question 38

There is some of the most beautiful scenery in the world at the Bannff National Park in Canada. Too many tourists have led to potential ecological disasters in the park. In response, park officials are trying to decrease the number of visitors to the park. They could use __ to accomplish this objective.

Answer 38

demarketing

Question 39

An end to the Cold War came as the Berlin Wall came down and Western companies and financiers began to invest heavily in what were once called Warsaw Pact countries. Big multinational companies and their advertising agencies went on a binge, buying other big companies and adding a new term to the financial lexicon. This term was:

Answer 39

megamerger

Question 40

Two related economic factors characterized the marketing world of the late 1980’s and early 1990’s in the United States. One of those factors was:

Answer 40

the gaining of traditional products and a corresponding growth of competition

Question 41

By 2001, a decline in advertising activity imp aced the U.S. economy. The decline resulted from:

Answer 41

a mild recession, a weak stock market, and the bursting of the dot.com bubble

Question 42

In an effort to do a better job of __, companies are now learning that they must be consistent in both what they say and what they do.

Answer 42

relationship marketing

Question 43

What started as the internal manifestation of Tyson’s mission statement–a set of core values that includes being a faith based company–has turned into marketing to “faithful” consumers, with the beef, chicken, and pork marketer recently offering free prayer books with mealtime words of thanks expressed across different beliefs. By being consistent in both what it says and what it does. Tyson is engaged in:

Answer 43

relationship marketing

Question 44

Because of the PC’s, the Internet, CD-ROMs, and cable TV advertising is evolving into a(n):

Answer 44

two-way medium

Question 45

By publicizing the material, social and cultural opportunities of a free enterprise society, advertising has encouraged:

Answer 45

increased productivity by both management and labor