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MRK 2102 - Exam #1 Practice Flashcards | StudBud
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MRK 2102 - Exam #1 Practice
MRK 2102 - Exam #1 Practice
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1
___ supply agencies with artwork and illustrations for advertisements.
Art intermediaries
Art warehouses
Production houses
Art studios
2
During the 1980s, many companies begin using more sales promotions because sale promotions
used celebrity endorsements to advantage
added value to brands
were more cost-effective
reached a broader audience
3
What era of advertising was characterized by a concerted effort on growth and acquisitions leading to megamergers?
preindustrial
industrial
postindustrial
golden
4
Advertising is considered a nonpersonal form of communication because it is most often
directed to groups of people rather than individuals
meant to inform rather than persuade
a form of communication that is not mediated
free to those who view the advertisement
5
What did the first newspaper ad advertise?
a reward for a stolen horse
a new edition of the Bible
a piece of land
a traveler's inn
6
Which is the BEST example of a service?
a splint to treat a sports injury
canned goods donated to a food pantry
a seminar on how to plan for retirement
wrapping paper sold at a school fundraiser
7
The Federal Trade Commission (FTC) regulates the marketplace by
limiting the information that is provided to consumers
enforcing state consumer protection laws
expanding externalities in the marketing process
eliminating practices that are deceptive or unfair
8
The most commonly cited reason for changing agencies is
poor communication
the loss of subjectivity
internal environmental changes
dissatisfaction with agency conduct
9
A decentralized advertising system is first broken up by
product or brand
sub-function of advertising
end user
separate departments
10
Which statement about word-of-mouth advertising is true?
It has a structured form and generally predictable results.
It is a highly effective paid form of advertising.
It is not an advertising medium.
It is becoming an advertising medium because of social media.
11
A function of cooperative advertising is to
lower the manufacturer’s variable costs.
ensure that franchisees advertise.
build the manufacturer’s brand image.
reduce dependence on institutional advertising.
12
____ made possible the first advertising formats: posters, handbills, signs, and newspapers
The quill pen
Laser engraving
Silk screening
The printing press
13
Many advertising organizations say that applying the term “unfair” to an advertisement is
necessary to protect consumers from harmful products
acceptable for advertising directed to children
vague & can be interpreted however an individual wants
only reasonable when advertising commercial products
14
Much of the state legislation that deals with advertising is based on the
self-regulation codes of advertising organizations
federal government’s “General Code of Advertising Ethics.”
U.S. Supreme court’s “code of commercial speech.
“truth-in-advertising” model developed by Printer’s Ink
15
As a marketing tool, advertising is primarily used to
create feedback
control viral commericalization
encourage buyers to compare prices
increase product use
16
Organizations that use a standardized approach to marketing & advertising in all countries they do business in are
global marketers
interactive marketer
foreign marketers
international exporters
17
The ____ age started at the end of World War II and lasted until about 1979.
industrial
golden
preindustrial
postindustrial
18
What have ad agencies found to be the best source for finding new business?
cold calling businesses in the community
asking their employees about people they know socially in the community
looking for new clients through an Internet search
asking other ad agencies for leads
19
What is a current trend seen in advertising?
an increased use of commissions by large advertisers
an increase in the importance of traditional media
the emergence of consultancies
the decrease of audience empowerment
20
What best describes advertising?
unemotional
unsponsored
persuasive
spontaneous
21
In advertising, a retainer is
the same as a straight fee
the cost of reserving TV & radio time
a commission paid to media-buying services
a commission that is paid on a monthly rate
22
Which statement about how advertising affects price is most accurate?
Advertising has had a significant impact on the prices charged by utilities
The consumer who buys the product pays for the advertising
Advertising always increases the price of a product
Advertising has a strong effect on the price of agricultural products
23
Non-advertising services include
planning ads
performing research
selecting media
creating trade-show exhibits
24
Art studios, web design houses, and research companies are all _____ in the advertising business.
sponsors
suppliers
producers
sources
25
Which term refers to the distinctive benefits that make a product different than any other?
economic advantage
perceptual value
benefit segmentation
unique selling proposition
26
Which statement is accurate regarding account planning?
It is creative development function of advertising.
It is a method used to benchmark competitors’ promotions.
It bridges the gap between management and creatives.
It does not involve conducting consumer research.
27
What is an example of a method advertisers use to demonstrate social responsibility?
providing pro bono work to nonprofit groups
creating markets for new products
joining self-regulatory agencies
relying on comparative advertising
28
Which term BEST refers to items such as coffee, hand lotion, laundry soap, and packaged lunchmeat?
customized packaged goods
branded products
consumer packaged goods
serviceable goods
29
___ has indirect control over ads through its authority to license or revoke the license of all broadcasting stations
The Advertising Self-Regulatory Council
The Better Business Bureau
The Federal Trade Commission
The Federal Communications Commission
30
Consumer advocate groups are most likely to
investigate advertising complaints received from the public
issue trademarks & copyrights
substantiate ads
sponsor competitor boycotts
31
What is the largest of the U.S. business-monitoring organizations?
Consumer Protection Agency
Better Business Bureau
U.S. Chamber of Commerce
American Association of Consumers
32
In a decentralized system, the ____ of each division or brand is responsible for that group’s advertising.
creative manager
brand manager
marketing manager
general manager
33
Externalities are best described as
unseen opportunity costs
added value
tangible factors that hinder communication
social costs
34
An advertiser who uses international media
focuses on low-end, relatively unknown products
develops a different ad for the local media of each country
is limited to using newspapers & magazines
uses the same ad in several countries
35
Which statement demonstrates that people tend to act in their self-interest?
Externalities are social costs
A wide variety of sellers encourages market-responsive products
People always want more for less
A wide variety of buyers helps sellers find customers
36
Through the issuance of ___, the government provides incentives to invent, invest in, and disclose new technology.
patents
copyrights
trademarks
differential advantages
37
What is probably the greatest disadvantage associated with in-house ad agencies?
reluctant acknowledgement by the mass media
loss of objectivity
loss of revenues
adherence to the organizational mission
38
General consumer agencies
provide advertising primarily for trade publications
represent the widest variety of accounts
do not operate internationally
concentrate on institutional advertising accounts
39
What task would be performed by an interactive agency?
develop customer relationship marketing programs to work with customers
design web pages & ads for the Internet
purchase media time & space in bulk
create ads for nontraditional media like subway stations or taxicabs
40
Which specialized service creates online ads?
Internet boutiques
web design houses
production houses
art agencies
41
Which image best depicts the chain reaction of economic events that takes place once a company begins to advertise?
a dart hitting the center of a bullseye
a family walking along a beach
a group of carefully aligned dominoes being knocked over
the opening break shot in billards
42
What is the most likely advantage of using an independent advertising agency instead of an in-house agency?
organizational vision
greater experience
distribution control
reduced overhead
43
Which is the largest advertising medium in terms of advertising revenues?
radio
television
the Internet
magazines
44
Creative boutiques usually provide
research
sales expertise
marketing
original concepts
45
Socially responsible advertisers will
realize their primary responsibility is to increase profits
focus on profit before product
follow the lead of their competitors
do what society views as best for the welfare of people in general
46
An ad agency’s traffic department
maintains the agency's position as a facilitating intermediary
develops the client's channel of distribution
negotiates long-term media deals
coordinates all phases of ad production
47
A large advertising agency that is divided into a number of “little” agencies is most likely structured according to
the group system
media availability
geographical location
industry
48
A manufacturer of _____ would be most likely to use a business-to-business agency.
greeting cards
designer apparel
X-ray machines
personal laptops
49
Beginning in the 1840s, _____ permitted advertising on a national scale with high-quality reproduction
newspapers
store signs
magazines
direct mailings
50
____ must have the skill to condense all that can be said about a product into a few salient and pertinent points.
Copywriters
Account directors
Communication specialists
Advertising planners