Financial Literacy Chapter 6

Teens have cited ʺfriendsʺ as the strongest influence over their purchase decisions.

A good salesperson will answer a question with a question.

Which of the following should you consider when making a significant purchase?

Identify which method companies are using to compete for your money: ʺ90-days-same-as-cashʺ

Which is not a ʺpower over purchaseʺ tactic?

Repetition has proven to be an ineffective marketing technique.

Identify which method companies are using to compete for your money: TV commercials

Never buy something you do not fully understand.

The amount of stuff a person has is directly related to contentment and happiness.

The process of communicating the value of a product or service to customers

Which of the following is not a form of product positioning?

Young single adults should find an accountability partner with whom to discuss big purchases.

Vocab: To buy an item with credit; paying over time

A spur-of-the-moment, unplanned decision to buy a product or service

Refers to the publicʹs ability to recall and recognize a brand by its logo, jingles, packaging:

What concept is best explained by the statement, ʺMoney spent here cannot be spent thereʺ?

You should never wait overnight before making a big purchase if there is only one item left.

Which of the following is NOT a need?

A man who bought his dream car, drove it home, but then returned it the next day this is...

Zero percent financing is nothing more than a really good marketing tool.

Identify which method companies are using to compete for your money: Car salesman

The purpose of advertising is to:

When a company places an ad and offers no interest on your purchase for three years:

Inflation has no effect on your buying power.

What is a safe assumption to make regarding companies and their marketing practices?

An amount of money you spend, usually $300, that causes some pain to part with

Which of the following is not a common marketing strategy?

An economic system based on a free market, profit motive, open competition and private ownershi

Four common marketing tactics are:

Financial opportunity that is given up because you choose to do something else with your money:

VOCAB: The promotion of a product or service by identifying it with distinct characteristics

Feeling regret or concern after making a large purchase

The persistent increase in the cost of goods and services

Identify which method companies are using to compete for your money

A budget has little effect on financial success unless you develop power overpurchase.