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Flashcards in Chapter 3 Deck (65)
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1
Q
20. The advertising business has evolved into four distinct groups. Which of the following is NOT one of these groups?
A
customers
2
Q
21. Advertising is organized around four distinct groups. One of these groups is the advertisers. This group is often referred to as the:
A
clients
3
Q
22. Advertising is organized around four distinct groups. The _____ group includes the photographers, the illustrators, video production houses, and digital service bureaus.
A
suppliers
4
Q
23. Retailers like Victoria's Secret use television, catalogs, the Internet, and magazines to transmit its advertising message to consumers. In terms of the four distinct groups around which advertising is organized, Victoria's Secret uses:
A
media
5
Q
24. Which of the following statements about local advertising is true?
A
Because most consumer sales are made or lost locally, local advertising is critically important.
6
Q
25. When the Ace Hardware Store located in Franklin mails an advertising flyer to all the residents in the community, it is an example of _____ advertising.
A
local
7
Q
26. Which of the following is NOT a type of local advertiser?
A
regional/national companies that specialize in segmentation marketing
8
Q
27. Which of the following businesses is LEAST likely to use local advertising?
A
microsoft
9
Q
28. The three primary types of ads placed in local media are product, classified, and:
A
institutional
10
Q
29. _____advertising promotes a specific good or service and stimulates short-term action while building awareness of the business.
A
product
11
Q
30. Which of the following is an example of product advertising?
A
an ad describing why you should buy Glen Muir organic coups
12
Q
31. CVS pharmacy ran an ad to announce it was selling all of its Easter candy and decorations at half their original prices. How should you classify this ad?
A
as a sale ad
13
Q
32. In the latter half of 2005, BP, the petroleum company, ran a series of commercials in which they asked consumers how they would improve and preserve the natural environment. After each individual's responses, an announcer explained how BP was doing more than its share to protect our environment. These commercials were examples of _____ advertising.
A
institutional
14
Q
33. _____ advertising attempts to create a favorable long-term perception of the business as a whole, not just of a particular good or service.
A
Institutional
15
Q
34. Which of the following is an example of institutional advertising?
A
an ad sponsored by Avon promoting breast cancer prevention
16
Q
35. Advertisers use _____ advertising in the newspaper to locate and recruit new employees, to offer services, or to sell or lease new and used merchandise.
A
classified
17
Q
36. Cooperative advertising serves two key purposes. One of those purposes is to help a manufacturer's distributors, dealers, or retailers make more sales. The second purpose is to:
A
c.
build the manufacturer's brand image
18
Q
1. Hudson Pool and Spa, owned by Jill and Joel Hudson, sells and installs above-ground swimming pools and Beachcomber brand hot tubs. The manufacturer of the Beachcomber hot tub has sent the Hudsons a letter in which it offers to pay 50 percent of the advertising cost if the Hudsons will run a newspaper ad featuring the Beachcomber hot tubs. What type of advertising is the Beachcomber manufacturer suggesting they use?
A

cooperative advertising
19
Q
1. As of January 2005, Pathmark Stores operated 142 supermarkets in the New York-New Jersey and Philadelphia metropolitan areas. Pathmark Stores only advertises in those states where it has stores. The form of advertising that best describes Pathmark's approach to advertising is:
A
regional
20
Q
39. According to the Checklist for Creating Local Advertising, it would be unwise to:
A
use a generalized message that can be reused
21
Q
40. According to the text, local advertisers and national advertisers differ in terms of:
A
focus, time orientation, and resources
22
Q
41. Many experts believe the biggest difference between local advertisers and national advertisers is their:
A
relationships with customers
23
Q
42. Marie Tonsmiere operates a photography studio in Dunsbar County. She is faced with many promotion and advertising decisions on a daily basis. For example, should she offer a family photo discount during November? Tonsmiere's advertising focus is on _____ because of its short-term nature.
A
tactics
24
Q
43. Which of the following is NOT a commonly used method for organizing a centralized advertising department?
A
by method of fee payment
25
Q
44. Toys 'R' Us has divided its advertising department into two sections: Toys 'R' Us United States and Toys 'R' Us International. Toys 'R' Us International is further divided into individual overseas locations including Italy, Germany, France, Hong Kong, Singapore, and Canada. Given these facts, it would appear that the Toys 'R' Us ad department is organized by:
A
geography
26
Q
45. Ericsson is an international telecommunications supplier based in Sweden. It has six product lines: public switches, private branch exchanges, radio communications, defense system, components, and cable and network television systems. If a media representative wanted to sell ad space to the company, he or she must meet with representatives from each of the product lines. Its ad department is organized by:
A
product or brand
27
Q
46. One of the advantages that a company has when it uses a decentralized advertising department is:
A
increased divisional flexibility
28
Q
47. One of the disadvantages that a company has when it uses a decentralized advertising department is:
A
a focus on what is good for the department rather than what is good for the entire organization
29
Q
48. A company that uses a(n) _____ has set up separate ad departments for different divisions, subsidiaries, regions, brands, or other categories that suit the company's needs.
A
decentralized system
30
Q
49. Organizations that use a standardized approach to marketing and advertising in all countries in which they do business are called:
A
global corporations
31
Q
50. An advertiser who uses international media:
A
serves several countries, usually without any change in the advertising
32
Q
51. At one time Parker Pens were advertised in 30 different countries with 30 different ad themes in 30 different languages. At that time, Parker Pens would have been a user of:
A
foreign media
33
Q
52. As defined by the American Association of Advertising Agencies, the _____ is an independent organization of creative people and businesspeople that specialize in developing and preparing advertising plans, advertising, and other promotional tools.
A
advertising agency
34
Q
53. What advantage is associated with the use of an independent advertising agency?
A
an outside, objective viewpoint to the advertiser's business
35
Q
54. The modern _____ advertising agency supplies both advertising and nonadvertising services in all areas of communications and promotion for its clients.
A
full-service
36
Q
55. A full-service advertising agency:
A
supplies both advertising and nonadvertising services in all areas of communications and promotion
37
Q
56. General consumer agencies:
A
represent the widest variety of accounts
38
Q
57. A manufacturer of _____ would be most likely to use a business-to-business agency.
A
robotic equipment used on manufacturing assembly lines
39
Q
58. Flexco manufactures rivets used on heavily loaded conveyor belts which carry ore in underground and surface mining operations. Flexco would most likely hire a(n) _____ agency to create the company's advertising.
A
business-to-business
40
Q
59. Business-to-business advertising agencies frequently charge their clients service fees because:
A
ad rates in trade magazines are lower, and the standard agency commission does not generate enough revenue to cover agency costs
41
Q
60. A(n) _____ is an organization of creative specialists who works for advertisers and occasionally subcontracts to advertising agencies. Its mission is to develop exciting creative concepts and to produce fresh, distinctive advertising messages.
A
creative boutique
42
Q
61. DDB Needham, one of the world's largest ad agencies, formed a company with director Spike Lee called Spike DDb. The purpose of the new company is to develop ways to tap into urban trends and to increase minorities' use of its client's brands. The company is relying on the creative abilities of director Spike Lee to produce fresh, distinctive advertising messages. Spike DDB would be categorized as a(n):
A
creative boutique
43
Q
62. Western International Media buys unsold television and radio media and resells the time and space to advertisers and agencies. Western International Media is an example of a(n):
A
media-buying service
44
Q
63. Digital@JWT is a(n) _____ that designs Web pages, and creates fun, involving, and informational online advertising.
A
interactive agency
45
Q
64. Interactive agencies:
A
design Web pages and ads for the Internet
46
Q
65. Account executives are:
A
the liaisons between the agency and the client
47
Q
66. Account planning:
A
is a hybrid discipline that bridges the gap between the traditional agency research, account management, and creative departments
48
Q
67. _____ must have the skill to condense all that can be said about a product into a few salient and pertinent points.
A
Copywriters
49
Q
68. The _____ is in charge of the nonverbal communication portion of an ad.
A
art director
50
Q
69. What is the most important job performed by an ad agency's traffic department?
A
negotiating media deals
51
Q
70. An ad agency's _____ coordinates all phases of production and makes sure everything is completed before the client and/or media deadlines.
A
traffic department
52
Q
71. In medium- and large-sized advertising agencies, the organization is generally formal and is structured according to the:
A
group or departmental system
53
Q
72. When the advertising agency of Sybill & Li purchased several hours of television time for its customers' commercials from WLOX-TV, the agency received 15 percent of the gross amount charged by the station. The 15 percent:
A
is called a media commission
54
Q
73. If the Hunt-Thomson Agency were to buy an ad in Marie Claire magazine for a company that sells designer turquoise jewelry, the ad would cost $5,000. How much money would the agency send the publication to pay for the ad?
A
$4,250
55
Q
If the Hunt-Thomson Agency were to buy an ad in Marie Claire magazine for a company that sells designer turquoise jewelry, the ad would cost $5,000. How much money would the advertising agency bill the jewelry manufacturer?
A
$5,000
56
Q
75. Hunt-Thomson Agency has designed a full-page magazine ad for Beachcomber hot tubs. The job required the services of a photographer to produce an illustration of people enjoying a soak in a hot tub. The invoice for the artwork from the photographer was for $200. If Hunt-Thompson uses the traditional markup, how much did the advertising agency bill the photographer?
A
$235
57
Q
76. An agency that earns a _____ charges a basic monthly fee for all of its services to the client and retains any media commissions earned.
A
fee-commission combination
58
Q
77. In advertising, a retainer is:
A
the same as a straight fee
59
Q
78. The primary reason that some advertisers set up a wholly owned in-house ad agency is to:
A
save money and tighten control over their advertising
60
Q
79. What is probably the greatest disadvantage associated with in-house ad agencies?
A
loss of objectivity
61
Q
80. Some advertisers ask for or imply that they want to see what the agency will do before they sign on. The agencies this must create a(n):
A
speculative presentation
62
Q
81. What is the most critical factor in the agency-client relationship?
A
the personal chemistry between the client's employees and the agency's staff
63
Q
82. The most commonly cited reason for changing agencies is:
A
dissatisfaction with agency performance
64
Q
83. In the advertising agency business, _____ are people and organizations that provide specialized services.
A
suppliers
65
Q
84. The term media commonly describes:
A
all of the above, specialty advertising items, interactive tv, newspapers, and magazines, direct mail