Chapter 15

Question 1

Advertising Allowances:

Answer 1

Price reductions to firms further along in the channel to encourage them to advertise or otherwise promote the firm’s products locally.

Question 2

Cooperative Advertising:

Answer 2

Involves producers sharing in the cost of ads with wholesalers or retailers.

Question 3

Product Advertising:

Answer 3

Tries to sell a product.

Question 4

Institutional Advertising:

Answer 4

Promotes an organization’s image, reputation, or ideas rather than a specific product.

Question 5

Pioneering Advertising:

Answer 5

Tries to develop primary demand for a product category rather than demand for a specific brand.

Question 6

Competitive Advertising:

Answer 6

Tries to develop selective demand for a specific firm’s product

Question 7

Direct Type (of competitive advertising):

Answer 7

Aims for immediate buying action.

Question 8

Indirect Type (of competitive advertising):

Answer 8

Points out product advantages to affect future buying decisions.

Question 9

Comparative Advertising:

Answer 9

Means making specific brand comparisons using actual product names.

Question 10

Reminder Advertising:

Answer 10

Tries to keep the product’s name before the public.

Question 11

Copy Thrust:

Answer 11

What the words and illustrations should communicate.

Question 12

Advertising Agencies:

Answer 12

Specialists in planning and handling mass-selling details for advertisers.

Question 13

Corrective Advertising:

Answer 13

Ads to correct deceptive advertising.