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The president of your small company wants to better understand the basis on which you select your promotion mix. You indicate that the selection of promotion-mix ingredients and the degree to which they are used depend on all of the following except the


A) organizational resources.
B) nature of the target market.
C) characteristics of the product.
D) personal preferences of the marketers.
E) feasibility of various promotion methods.

F) A) and E)
G) A) and D)

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Organizations that sell to small business-to-business markets and those that use only a few wholesalers to market their products will probably focus on ____ as their promotional tool.


A) advertising
B) publicity
C) sales promotion
D) trade shows
E) personal selling

F) A) and B)
G) B) and D)

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A firm with a limited budget for promotion will probably rely on advertising because personal selling is so expensive.

A) True
B) False

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Primary-demand advertising is


A) promotion of specific brands of goods or services.
B) image-building advertising.
C) advertising aimed at stimulating demand for an entire industry.
D) product-related advertising aimed at a company's primary target market.
E) aimed mainly at children who are in primary school.

F) A) and D)
G) C) and D)

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Institutional advertising is by far the most common type of advertising and receives the largest share of advertising expenditures.

A) True
B) False

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All of the following are benefits of advertising except


A) effects of certain products may be exaggerated.
B) it is not expensive in reaching a large number of people.
C) it lowers prices due to competition.
D) it pays for news and entertainment programming.
E) it provides job opportunities.

F) A) and B)
G) A) and C)

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Network time can be effectively used by independent local firms.

A) True
B) False

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____ is essential to the selling process because it leaves a good impression and eases the way toward future sales.


A) Answering objections
B) Making the presentation
C) Closing the sale
D) Prospecting
E) Following up

F) None of the above
G) A) and B)

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Under the traditional compensation method, an advertising agency receives ____ percent of the client's media expenditures.


A) 6
B) 10
C) 12
D) 15
E) 18

F) C) and D)
G) A) and C)

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General Motors Corporation and Ford Motor Company frequently advertise that their cars beat the competition in price, durability, and warranties. This type of advertising is called ____ advertising.


A) primary-demand
B) institutional
C) comparative
D) reminder
E) immediate-response

F) C) and E)
G) A) and B)

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Companies that need to contact millions of potential customers will emphasize sales promotion and advertising because of the relatively low cost per person reached.

A) True
B) False

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The use of social media has minimally decreased in the last few years.

A) True
B) False

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R&P Inc. R&P Inc. is an emerging company that wants to focus on personal selling, sales promotion, and public relations activities. R&P's management understands that personal selling is about the personal communication aimed at customers, but they feel that determining more specifics about the products they sell will allow them to better achieve their goal. Another important route they would like to take is to learn more about the various types of sales promotion. Finally, management would like to focus more on publicity-based PR. By concentrating on these areas, the company believes that it will be able to successfully create a promotional campaign. -Refer to R&P Inc. R&P management could use sales promotions for any of the following objectives except


A) to attract new customers.
B) to boost sales to current customers.
C) to reinforce advertising.
D) to steady increasing sales patterns.
E) to improve shelf space and displays.

F) D) and E)
G) B) and E)

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A major disadvantage of using newspapers for advertising is their short life spans.

A) True
B) False

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When the campaign with the slogan "The Other White Meat" encouraged Americans to increase pork consumption, this was an example of ____ advertising.


A) selective-demand
B) institutional
C) immediate-response
D) primary-demand
E) reminder

F) A) and D)
G) A) and C)

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If Amazon.com struck a deal with FedEx such that it could guarantee one-day delivery of certain customers' orders, it should use promotional activities to


A) position the product.
B) stabilize sales.
C) provide information.
D) increase awareness of the product.
E) offer a discount on the cost of shipping.

F) C) and D)
G) C) and E)

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When the United Way sends out brochures discussing the charitable activities and organizations it supports, it is using


A) media relations.
B) promotion.
C) integrated marketing communications.
D) infomercials.
E) solicitation.

F) A) and C)
G) A) and E)

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Determining the location and demographics of people in the advertising target, the content of the message, and the characteristics of the audiences reached by various media is done when creating the advertising message.

A) True
B) False

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Why is the ability of the salesperson to handle objections so important in the selling process?

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The major arguments against advertising are that it is wasteful and that it can be deceptive.

A) True
B) False

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