Management question bank CHAPTER 18 Advertising and Public Relations

16. Advertising is a promotion mix ingredient that is a _________ communication.

17. Advertising that aims to create a more favorable view of a company as a whole in the eyes of various stakeholders is called __________ advertising.

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a) institutional

b) product

c) organizational

d) pioneer

e) advocacy

18. First Union Bank airs a series of radio ads that claim, “We are the friendly bank.” This campaign would best be described as __________ advertising.

a) pioneer

b) target

c) product

d) institutional

e) comparative

19. The University of Iowa runs a series of ads throughout the Midwest on how friendly and helpful its faculty, staff, and students are as well as how outstanding its academic programs are. This type of promotion would best be characterized as

a) public relations.

b) product advertising.

c) advocacy advertising.

d) institutional advertising.

e) comparative advertising.

20. When a company promotes its position on a public issue, this is specifically referred to as ______ advertising.

a) institutional

b) product

c) advocacy

d) issue

e) competitive

21. When Anheuser-Busch ran an advertising campaign featuring the slogan, “Know when to say when,” it was using

a) competitive advertising.

b) public relations.

c) product advertising.

d) public service awareness.

e) advocacy advertising.

22. A television advertisement showing the safety features of the Volvo “Cross Country” Wagon would be best classified as which of the following?

a) Product advertising

b) Pioneer advertising

c) Defensive advertising

d) Societal marketing

e) Publicity

23. The two major types of product advertising are

a) institutional and advocacy.

b) pioneer and competitive.

c) competitive and comparative.

d) advocacy and competitive.

e) informative and comparative.

24. Advertising that focuses on stimulating demand for a product category is called _____ advertising.

a) pioneer

b) competitive

c) institutional

d) categorical

e) product

25. Which of the following lists forms of competitive advertising?

a) Pioneer, comparative, reminder

b) Reminder, repetitive, reinforcement

c) Comparative, reminder, reinforcement

d) Institutional, product, comparative

e) Product, pioneer, reminder

26. What type of advertising points out a brand’s features and advantages that fit consumers but may not be available in other brands?

a) Reminder

b) Reinforcement

c) Competitive

d) Defensive

e) Institutional

27. Coors advertises that its beer is the only one that is kept cold from the brewery to the store. This type of advertising is called

a) pioneer.

b) competitive.

c) comparative.

d) defensive.

e) institutional.

28. Troy Products Company advertises a specific product heavily, and Carbone Products Company wants to offset the effects of that advertising. In this case, Carbone would most likely employ ___________ advertising.

a) competitive

b) pioneer

c) institutional

d) primary

e) target

29. Soft drink companies advertise that their products beat the competition in national “taste tests,” and they refer to the rival brands by name. This type of advertising is best described as

a) pioneer.

b) competitive.

c) comparative.

d) defensive.

e) selective.

30. Brands that are promoted through comparative advertising are most likely to be

a) market leaders.

b) brands that are attempting to compete with market leaders.

c) primarily services rather than tangible goods.

d) attempting to compete on a nonprice basis.

e) competing in a less competitive market.

31. Advertising that lets consumers know that an established brand still offers certain uses, characteristics, and advantages is _____ advertising.

a) repetitive

b) reminder

c) pioneer

d) competitive

e) reinforcement

32. An ad for a multivitamin that claims, “We still bring you everything you need to get through your day in one vitamin,” would most likely be considered ______ advertising.

a) reinforcement

b) competitive

c) comparative

d) reminder

e) institutional

33. Reinforcement advertising is primarily targeted at

a) new potential target markets.

b) users of competitors’ brands and products.

c) anyone who uses that type of product.

d) all the stakeholders of an organization.

e) the current users of a particular product.

34. Dial Soap’s advertising slogan “Aren’t you glad you use Dial? Don’t you wish everybody did?” exemplifies the use of ___________ advertising.

a) reinforcement

b) offensive

c) comparative

d) institutional

e) defensive

35. The target audience for an advertising campaign is the

a) information base on which to develop the campaign.

b) geographic distribution of persons.

c) people toward whom the advertisements are directed.

d) overall goal of the advertising campaign.

e) sales objective to be achieved by the campaign.

36. The first stage in the development of any advertising campaign is

a) creating the message.

b) setting the budget.

c) identifying the advertising target audience.

d) defining the advertising objectives.

e) creating the advertising platform.

37. The last stage in the development of any advertising campaign is

a) creating the advertising platform.

b) developing the media plan.

c) creating the advertising message.

d) evaluating the effectiveness of advertising.

e) defining the advertising objectives.

38. After the target audience for an advertising campaign has been identified and analyzed, marketers should then proceed by

a) creating the advertising platform.

b) determining the financial resources available.

c) defining the advertising objectives.

d) developing a media plan.

e) creating an advertising message.

39. After the advertising budget is determined, the next step in creating an advertising campaign is

a) creating the advertising message.

b) creating the advertising platform.

c) evaluating the advertising objectives.

d) executing the campaign.

e) developing the media plan.

40. The step in developing an advertising campaign that directly precedes campaign execution is

a) defining advertising objectives.

b) creating the advertising platform.

c) evaluating advertising effectiveness.

d) developing a media plan.

e) creating the advertising message.

41. Suppose State Farm Insurance stated, “We want our advertising to increase our customer base for home and automobile insurance 10 percent by the end of the fiscal year.” This would be considered a(n)

a) target audience goal.

b) advertising platform.

c) percent-of-sales approach.

d) advertising objective.

e) media plan goal.

42. When developing an advertising campaign, benchmarks need to be included in the

a) campaign platform.

b) evaluation of the advertising effectiveness.

c) statement of advertising objectives.

d) media plan.

e) budget.

43. Why should a benchmark statement be included in advertising objectives?

a) Shareholders want to see where a company is in relation to competition.

b) It is useful in determining whether retailers have increased their sales over the year.

c) It gives an indication of how the advertising message is best presented.

d) Without a reference point, it is difficult to determine to what degree objectives have been accomplished.

e) Objectives become more easily attainable when such a statement is included.

44. The owner of a professional baseball team asks the account representative of an advertising agency to develop an advertising campaign to bring more teenagers to the ballpark. At this point, the account representative logically begins to discuss establishing __________ for the campaign.

a) the target audience

b) a budget

c) a media plan

d) objectives

e) advertising directives

45. Advertising campaign objectives that are aimed at making customers’ attitudes more favorable are stated in ________ terms.

a) communication

b) sales

c) demand

d) market

e) survey

46. If an advertising campaign is aimed at increasing brand awareness and consumers’ knowledge of a product’s features, the advertising objective should be stated in terms of

a) market share.

b) dollar sales.

c) unit sales.

d) communication.

e) long-run goals.

47. An advertising platform is the

a) basic issue or selling point that an advertiser wishes to include in an advertising campaign.

b) objective of the advertising campaign, stated in precise and measurable terms.

c) form in which the basic issues of the campaign should be presented.

d) broad objectives of the advertising campaign.

e) consumer advertising research conducted.

48. The basic issues or selling points that an advertiser wants to include in an advertising campaign is (are) the

a) advertising objectives.

b) target audience objectives.

c) media plan.

d) advertising message.

e) advertising platform.

49. Before launching a new advertising campaign, marketers for Healthy Choice frozen dinners must determine the selling points that they want to include in the advertisements. The identification and organization of these selling points is called the

a) advertising appropriation.

b) objective-and-task approach.

c) advertising platform.

d) advertising objective.

e) advertising budget.

50. Frederick Griffith of Griffith’s department stores tells his marketing director that he is tired of the constant price-centered advertising by the firm’s agency. “We have the best customer service in town, and I feel that is what we should be hanging our hats on,” he states. This statement is most appropriate for use in which of the following stages of campaign development?

a) Determining the appropriations

b) Creating the platform

c) Identifying the target

d) Defining objectives

e) Developing the media plan

51. An advertising platform should consist of issues that are important to consumers. Selling features should be important to consumers and should be features that

a) competitive products lack.

b) can be seen easily in a photograph.

c) are familiar concepts to those in the target market.

d) competitive products have as well.

e) are reasonably inexpensive to develop.

52. The most effective method of determining platform issues is to use a survey of

a) personnel within the firm.

b) individuals at the advertising agency.

c) customers.

d) marketers in the industry.

e) advertising experts.

53. What is an advertising platform most commonly based upon?

a) The opinions of employees within the firm or the advertising agency

b) Data collected from past marketing research about the brand

c) Customer surveys about what they consider the most important issues

d) Retailer information about potential consumers of the product

e) The advertising appropriation for that particular ad campaign

54. The total amount of money a marketer allocates for advertising for a specific time period is the

a) marketing budget.

b) advertising appropriation.

c) objective-and-task approach.

d) promotion grant.

e) finances for advertising.

55. Advertising appropriations are largest for which type of product?

a) Business products

b) Convenience goods

c) High-priced products

d) Specialty goods

e) Infrequently purchased goods

56. Sony Corporation has a particular approach for determining its advertising appropriation. A problem with this technique, however, is that the people in the marketing department have difficulty estimating the level of effort needed to achieve certain goals. This problem is characteristic of the __________ approach.

a) reliable-appropriation

b) match-competition

c) arbitrary

d) objective-and-task

e) percent-of-sales

57. The main problem with using the objective-and-task approach to setting an advertising budget is that

a) sales create advertising rather than advertising creates sales.

b) it often results in overspending or underspending of the firm’s resources.

c) it does not achieve full potential in terms of stimulating demand.

d) the marketer may experience difficulty when trying to estimate accurately the level of effort needed to achieve goals.

e) it is difficult to determine the objectives of the campaign.

58. Danielle Robinson, account representative for EXpert Advertising, tells D’Orazio Tile Products that she is proposing to use 5 full-page, four-color ads in home-decorating magazines to achieve an increase in consumer and builder inquiries of 15 percent. This approach is an example of which of the following methods of determining advertising expenditure levels?

a) Competitive parity

b) Percent of sales

c) Arbitrary

d) Affordability

e) Objective-and-task

59. To determine how much money to spend on advertising, marketers for a new brand of caffeinated energy drink decided that they wanted the advertising to create awareness of the new flavor in 80 percent of the energy drink market within one month of introduction. The marketers then determined how much it would cost to reach this goal. This is an example of which one of the following approaches to determining advertising budgets?

a) Objective-and-task

b) Percent of sales

c) Competition matching

d) Arbitrary allocation

e) Past-year comparison

60. When using the percentage-of-sales approach for determining the advertising appropriation, marketers

a) base their funding on a percentage of the competitors’ sales.

b) multiply the firm’s past sales by a set percentage they want to spend.

c) set sales objectives for the upcoming period and base appropriations on these goals.

d) multiply the firm’s past sales plus a factor for expected changes in sales times a standard percentage.

e) use an industry standard to determine what percentage of their profits they want to allocate to advertising.

61. If Target were to base its advertising appropriation on the amount that WalMart spends, it would be using the ______ approach.

a) objective-and-task

b) percent-of-sales

c) industry-standard

d) arbitrary

e) competition-matching

62. Colin McKinney, director of marketing for Greenwald Industrial Products, complains to his advertising director that the continuing slump in orders has apparently been perpetuated by the firm’s failure to have the necessary advertising expenditures. Based on this information, Greenwald is most likely using the __________ approach to determine its advertising expenditures.

a) percent-of-sales

b) objective-and-task

c) competition-matching

d) arbitrary

e) judgmental

63. When the CEO or chief financial officer of a company states how much the company should spend on advertising for the coming period, the company is using the

a) arbitrary approach.

b) executive decision process.

c) objective-and-task approach.

d) percentage-of-sales approach.

e) competition-matching approach.

64. An advantage of the arbitrary approach for determining the advertising appropriation is that it is

a) objective.

b) unique.

c) profitable.

d) effective.

e) expedient.

65. After developing the budget for advertising GEO automobiles, marketing managers at General Motors then determined what proportion of that budget would be spent on magazine, television, and radio advertisements based on the cost effectiveness of each. This subsequent allocation of the budget is known as a(n) _________ plan.

a) advertisement-allocation

b) media

c) arbitrary allocation

d) objective-and-task

e) percent-of-sales

66. A list of the exact magazines, newspapers, and television stations in which an advertisement will appear, along with the dates and times, is a(n)

a) advertising plan.

b) media plan.

c) advertising message.

d) advertising appropriation.

e) media platf67. The primary goal of a media planner is to

a) choose the best commercial spots available.

b) develop a message that works well with the firm’s target market.

c) achieve the appropriate message reach and frequency.

d) use a wide variety of media to ensure the entire target audience is exposed.

e) reach the largest number of people in the target market within the budget constraints.

68. The percentage of consumers in the target audience actually exposed to a particular advertisement in a stated period of time is the definition of

a) frequency.

b) exposure.

c) reach.

d) targeting.

e) push.

69. The maker of Huggies diapers is developing a media plan that involves trying to expose its target audience to its new advertisement about ten times. This is advertising

a) reach.

b) repetition.

c) frequency.

d) targeting.

e) exposure.

70. Which of the following statements applies to media planning?

a) Characteristics of the product are the most important consideration in selecting the media for a campaign.

b) The message content affects the types of media used for an advertising campaign.

c) The location of the advertising target is irrelevant in media planning.

d) Total media dollars spent on advertising have decreased over the last 30 years.

e) Regardless of the message to be conveyed, newspapers are one medium that is appropriate for almost any circumstances.

71. A tool that allows an advertiser to compare the costs of several media vehicles within a specific medium relative to the number of persons reached by each vehicle is called a(n)

a) cost comparison indicator.

b) media comparison selector.

c) unit-price selector.

d) cost/person index.

e) vehicle/price indicator.

72. Domino’s is looking into magazine advertising for its pizza. The company wants to reach as many people as possible, but due to budget constraints Domino’s must reach consumers as efficiently as possible. What can Domino’s use to evaluate various magazines?

a) A cost comparison indicator

b) The total circulation of the magazines

c) A list of the costs of a one-page ad in various magazines

d) The advertising appropriations for each magazine

e) An index of advertisement exposure

73. The cost per thousand (CPM) indicator shows

a) the cost to expose 1,000 people to a television commercial.

b) the cost to expose 1,000 people to a one-page magazine advertisement.

c) the return on investment marketers get for their advertising dollar.

d) the cost to expose a million people to any type of advertisement.

e) how one media source compares to a different source for reaching target markets.

74. The three general types of media schedules are

a) pulsing, beating, and continuous.

b) short, medium, and long-term.

c) morning, afternoon, and evening.

d) pulsing, continuous, and flighting.

75. A schedule in which advertisements run for set periods of time, alternating with periods in which no ads run is known as

a) continuous.

b) skipping.

c) pulsing.

d) flighting.

e) intervals.

76. Subway decided to run its new commercials several times a day for three weeks and then not at all for two weeks. It will then run the commercials again for three more weeks. Subway is using a _____ schedule for its advertising.

a) flighting

b) varying

c) continuous

d) pulsing

e) beating

77. If during an advertising campaign a certain portion of advertising runs continuously, and then during specific periods additional advertising is used to intensify the level of communication, a(n) ______ media schedule is being used.

a) beating

b) alternating

c) flighting

d) continuous with emphasis

e) pulsing

78. During the duration of an advertising campaign, Verizon Wireless ran television advertisements at a steady rate throughout the week and intensified its message with newspaper advertising in many major newspapers in the Sunday paper. Verizon Wireless used a(n)______ media schedule.

a) flighting

b) continuous

c) pulsing

d) alternating

e) multimedia

79. Brian and Tiffany are discussing the media plan for the opening of their new bar/laundromat called Soap and Suds. He tells her that while he agrees that __________ has tremendous impact, he does not feel that the upfront costs for such a campaign are in the modest budget that presently exists.

a) radio

b) outdoor

c) television

d) direct mail

e) newspaper

80. As Oscar Meyer puts together its advertising campaign for the summer, it will need to keep in mind that its desire to use outdoor advertising will have strong effects on its selection of the advertising

a) message.

b) budget.

c) platform.

d) audience analysis.

e) objectives.

81. A marketer that wanted to include detailed information in advertisements would most likely use

a) radio.

b) television.

c) outdoor displays.

d) magazines.

e) mass transit.

82. The verbal portion of an advertisement, including headlines, body, and signature, is called the

a) artwork.

b) copy.

c) storyboard.

d) layout.

e) script.

83. An ad’s ___________ is designed to attract readers’ attention and develop interest so that they will read the entire advertisement.

a) signature

b) layout

c) headline

d) artwork

e) subheadline

84. Why is the headline of a print advertisement such a critical component of the copy?

a) It determines the final layout design.

b) It is often the only part of the advertisement that is read.

c) It takes up the most space.

d) It links the copy to the signature.

e) It links the artwork to the signature.

85. As Will Marcum reads the copy for South Beach Hotel’s upcoming magazine ad in Southern Living, he worries that no one will spend the time to read all the details of the facilities his resort has to offer. Wanting to have the greatest impact, Will focuses his creative efforts on the

a) copy.

b) body.

c) text.

d) signature.

e) headline.

86. The identification of an advertisement’s sponsor is the

a) copy.

b) signature.

c) trademark.

d) layout.

e) subheadline.

87. The advertising department for the Pennzoil Corporation is working on a print advertisement for a new product. At this point, the layout contains a phrase to attract attention, an additional phrase to provide an explanation, an illustration to show the product, and a paragraph to explain the advantages and benefits of the product. What other important element should be included?

a) Headline

b) Subheadline

c) Signature

d) Artwork

e) Body copy

88. Rachel is considering advertising her new restaurant on the radio to attract more customers. She knows that in order to attract listeners’ attention on the radio it will be important for her to

a) use a high level of repetition.

b) buy a really long time slot to get all the information in.

c) be both informal and conversational in tone.

d) use a quick speaker to attract attention to the commercial.

e) say the restaurant’s name and location three separate times.

89. Chelsea Collins walks her client, Kaptain Korn president Steve Gonski, through her agency’s proposed television campaign for the product’s introduction. In doing so, she moves from square to square on the

a) copy.

b) storyboard.

c) illustrations chart.

d) artwork.

e) media plan.

90. When a copywriter and an artist combine the copy with the visual material for a television commercial, it usually is done through use of a

a) parallel format.

b) commercial layout.

c) layout procedure.

d) storyboard.

e) visual-impact process.

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