Test 2

Question 1

Advertisers are companies that sponsor advertising for themselves and their products.

Answer 1

True

Question 2

Local advertising is also referred to as retail advertising.

Answer 2

True

Question 3

One of the primary differences between national and local advertisers is that local advertisers plan strategically, while national advertisers think tactically.

Answer 3

False

Question 4

A chain store, like Target, may maintain a completely staffed advertising department consisting of artists, copywriters, and production specialists to handle production, mediaplacement, and marketing support services.

Answer 4

True

Question 5

In a centralized advertising system, the company sets up seperate ad departments for different divisions, subsidiaries, regions, brands, or other categories that suit the company’s needs.

Answer 5

False

Question 6

Advertising agencies do work for the media.

Answer 6

True

Question 7

The straight-fee method of pricing the services of an ad agency is also called the incentive system.

Answer 7

False

Question 8

The music playing when you walk into a store is an example of stimulus.

Answer 8

True

Question 9

According to the theory of operant conditioning, positive reinforcement increases the likelihood of a reinforced behavior.

Answer 9

True

Question 10

Attitude is not the natural extension of learning.

Answer 10

True

Question 11

Reference groups are a network of trusted vendors or clients

Answer 11

False

Question 12

Consumers use physiological screens to organize information received through stimuli.

Answer 12

False

Question 13

To identify markets, marketers group consumers based on different categories: behavioristic, geographic, demographic, and psychographic.

Answer 13

True

Question 14

Marketers rely on demographic segmentation to define population groups by age and ethnicity characteristics.

Answer 14

True

Question 15

In the maturity stage of the product life cycle, the market is growing with competing products.

Answer 15

True

Question 16

A total product concept refers to the prototype model of a product before it goes into production.

Answer 16

False

Question 17

If the supply of a product is stable, but demand for the product increases, the price of the product is likely to decrease.

Answer 17

False

Question 18

If the demand of a product drops below the available supply, the price tends to fall.

Answer 18

True

Question 19

Booklets, catalogs, brochures, sales kits, and annual reports are examples of personal selling.

Answer 19

False

Question 20

Eliseo can purchase the same toilet paper from a variety of stores. This is an example of exclusive distribution.

Answer 20

False

Question 21

In the advertising agency business, ______ are people and organizations that provide specialized services.

Answer 21

Suppliers

Question 22

Rosina always picks up a Bab’s Bagels on her way to work. If the shop she stops at is out of Bab’s Bagels, she skips the bagel and just has coffee. In this instance, she displays _______ for Bab’s bagels through her behavior.

Answer 22

brand loyalty

Question 23

The main downside to an in-house ad agency is

Answer 23

loss of objectivity

Question 24

The primary reason some advertisers set up a wholly owned in-house ad agency is to

Answer 24

tighten control over their advertising

Question 25

One of the disadvantages for a company that uses a decentralized advertising department is

Answer 25

focus on what is good for the department rather than what is good for the entire organization.

Question 26

According to Maslow's hierarchy of needs model, what is the highest need?

Answer 26

self-actualization need

Question 27

When Gwendolyn walked into the restaurant, she noticed how the dim lighting made the restaurant feel more romantic. The lighting is an example of a(n)

Answer 27

stimulus

Question 28

What function in a company is used to plan and execute the conception, pricing, promotion, and distribution of its products?

Answer 28

marketing

Question 29

A chain of surfboard retailers sets up stores along the coast. This is an example of _______ segmentation.

Answer 29

Geographic

Question 30

Denzil believes that both Delight Sandwich Bread and Babita Bread are tasty and healthy, and will pay full price to purchase one of those instead of purchasing another brand for a lower price. In this instance, Denzil is a(n)

Answer 30

repertoire user

Question 31

A health food restaurant chain sells its turkey burgers and veggie burgers to health-conscious adults. Additionally, this restaurant modifies its menu depending on the local tastes and preferences of the country where it is located. Which market segmentation strategy does the restaurant employ?

Answer 31

psychographic segementation

Question 32

______ segmentation enables marketers to view people as individuals with feelings and inclinations.

Answer 32

psychographic

Question 33

The ______ refers to the consumer's perception of the product as a bundle of values of utilitarian and symbolic values that satisfy functional, social, psychological , and other wants and needs.

Answer 33

product concept

Question 34

A publisher lowers its price when selling a new book to a retail bookstore in exchange for the bookstore placing the book on the store's "must read" list for the month. This is an example of

Answer 34

a push strategy

Question 35

If products are not revitalized, they will enter the _______ stage of the product life cycle due to obsolescence, new tech, or changing consumer tastes.

Answer 35

decline

Question 36

Macy sells accounting software by meeting with representatives from businesses to discuss their needs and what Macy has to offer. What is this an example of?

Answer 36

personal selling

Question 37

A high-end perfume is only sold at a specific chain of department stores. This is an example of ______ distribution.

Answer 37

exclusive

Question 38

A clothing company allows customers to purchase its products through its website. This represents ______ distribution.

Answer 38

direct

Question 39

Consumer demand for a whole product category and not just the company's own brand is called _______ demand.

Answer 39

primary

Question 40

_______ segmentation is based on variables such as user status, usage rate, purchase occasion, and benefits sought.

Answer 40

behavioristic