Archive for August 2020

Which of the following is not characteristic of perfect competition?

Which of the following is not characteristic of perfect competition?



a. many buyers and sellers
b. ability to control price
c. standardized (identical) products
d. free entry and exit of firms

Answer: b. ability to control the price

Which of the following firms is most likely to be a perfectly competitive firm?


a. one of the three largest Us automakers
b. one of the cellphone service carriers
c. a public school operated by the government
d. a soybean farmer

Answer: d. a soybean farmer

What are aperiodic sounds?

What are aperiodic sounds?



Answer: They do not occur every T seconds; they are irregular. Speech sounds include sound when air is pushed through the vocal folds.

A nurse is caring for a client who has sickle cell anemia and is taking hydroxyurea. Which of the following findings should the nurse report to the provider

A nurse is caring for a client who has sickle cell anemia and is taking hydroxyurea. Which of the following findings should the nurse report to the provider 



Answer:

Hemoglobin 7.0 g/dL
Platelets 75000/mm3
Potassium 5.2 mEq/L


Hemoglobin 7.0 g/dL is correct. A hemoglobin level of 7.0 g/dL indicates hydroxyurea toxicity, and the nurse should report it to the provider.

Creatinine 1 mg/dL is incorrect. A creatinine level of 1 mg/dL is within the expected reference range.

RBC 4.7 million/mm3 is incorrect. A RBC 4.7 million/mm3 is within the expected reference range.

Platelets 75,000/mm3 is correct. A platelet level of 75,000/mm3 indicates hydroxyurea toxicity, and the nurse should report it to the provider.

Potassium 5.2 mEq/L is correct. A potassium level of 5.2 mEq/L indicates tumor lysis syndrome, and the nurse should report it to the provider.

You are given an unknown organism to identify. It is unicellular and heterotrophic. It is motile, using many short extensions of the cytoplasm, each featuring the 9 + 2 filament pattern. It has well-developed organelles and three nuclei, one large and two small. This organism is most likely to be a member of which group?

You are given an unknown organism to identify. It is unicellular and heterotrophic. It is motile, using many short extensions of the cytoplasm, each featuring the 9 + 2 filament pattern. It has well-developed organelles and three nuclei, one large and two small. This organism is most likely to be a member of which group?



Answer: ciliates

How do humans combat infection by the Plasmodium parasite?

How do humans combat infection by the Plasmodium parasite?



Answer: Cytotoxic T cells destroy infected liver cells by recognizing a Plasmodium protein bound to an HLA protein on the surface of those cells.

According to the school of ethical universalism,

According to the school of ethical universalism,


Answer: to the extent there is common moral agreement about right and wrong actions and behaviors across multiple cultures and countries, there exists a set of universal ethical standards to which all societies, all companies, and all individuals can be held accountable.

According to the school of ethical universalism,

According to the school of ethical universalism,



Answer: universal ethical principles or norms put limits on what actions and behaviors fall inside the boundaries of what is right and which ones fall outside—such universal norms include honesty, respecting the rights of others, practicing the Golden Rule, and not acting in a manner that harms others or pillages the environment.

If one concurs with the school of ethical universalism, then one believes that

If one concurs with the school of ethical universalism, then one believes that



Answer: many basic moral standards travel well across cultures and countries and really do not vary significantly according to local cultural beliefs, social mores, religious convictions, and/or the circumstances of the situation.

According to the ethical relativism school of thinking,

According to the ethical relativism school of thinking,



Answer: there can be no one-size-fits-all set of authentic ethical norms against which to gauge the conduct of company personnel.

An increase in income taxes​ _______, everything else remaining the same.

An increase in income taxes​ _______, everything else remaining the same.



A.
sometimes increases the multiplier and sometimes decreases the multiplier
B.
makes the multiplier smaller
C.
makes the multiplier larger
D.
has no effect on the multiplier


Answer: B.
makes the multiplier smaller

Which of these is a behavior providers should adopt to improve patient safety?

Which of these is a behavior providers should adopt to improve patient safety?



Follow written safety protocols, even if they slow you down

Safety protocols are in place for a reason, and you should follow them, even if they slow you down. Sometimes there will be a problem with a policy or procedure, in which case you should report it, rather than inventing a "workaround" (a method to circumvent a problem without fixing it). Likewise, you should speak up if you believe any colleague — supervisors included — is threatening patient safety. Part of patient-centered care is respecting patient autonomy, even if it means considering different treatment approaches than what you would normally consider "best practice."

Economic cost can best be defined as

Economic cost can best be defined as



  1. the opportunity cost of using a resource already owned by the firm.
  2. the income the firm must provide to resource suppliers to attract resources from alternative uses.
  3. any contractual obligation that results in a flow of money expenditures from an enterprise to resource suppliers.
  4. those payments for resources that involve an obvious cash transaction.



Answer: the income the firm must provide to resource suppliers to attract resources from alternative uses.

Issued in 1974, 45 CFR 46 raised to regulatory status:

Issued in 1974, 45 CFR 46 raised to regulatory status:



Answer: US Public Health Service Policy (45 CFR 46 raised to regulatory status the US Public Health Service policy of 1966 "Clinical research and investigation involving human beings".)

Blood returns to the heart via the _____.

Blood returns to the heart via the _____.



A aorta
B pulmonary arteries
C pulmonary veins
D aorta and pulmonary arteries
E aorta and pulmonary vein


Answer: C

Which of the following would imply elastic demand?

Which of the following would imply elastic demand?


a. Price is low relative to purchasing power
b. Nondurable product
c. Low inflation rate
d. Many substitute products
e. All of these choices


ANSWER: d

All of the following factors directly affect the elasticity of demand EXCEPT:

All of the following factors directly affect the elasticity of demand EXCEPT:


a. a product's other uses.
b. inputs needed to manufacture the product.
c. availability of substitute goods.
d. price relative to a consumer's purchasing power.
e. product durability.


ANSWER: b

When Nesco brand food hydrators sold for $59.99, Nesco sold 90 dehydrators. When the company dropped the price of its dehydrators to $44.95, it sold 145 dehydrators. Demand for the food dehydrators appears to be:

When Nesco brand food hydrators sold for $59.99, Nesco sold 90 dehydrators. When the company dropped the price of its dehydrators to $44.95, it sold 145 dehydrators. Demand for the food dehydrators appears to be:


a. elastic.
b. inelastic.
c. unitary.
d. symmetrical.
e. asymmetrical.


ANSWER: a

When the NES Group lowered the price of its professional-grade meat slicers from $2,300 to $1,125, demand doubled from four units sold per month to eight units per month. However, total revenue dropped. This is an example of:

When the NES Group lowered the price of its professional-grade meat slicers from $2,300 to $1,125, demand doubled from four units sold per month to eight units per month. However, total revenue dropped. This is an example of:


a. substitute goods
b. unitary elasticity
c. elastic demand
d. consumer shortage
e. inelastic demand


ANSWER: e

If price goes up or down and revenue stays the same:

If price goes up or down and revenue stays the same:


a. elasticity is universal.
b. elasticity is quantum.
c. elasticity is solitary.
d. elasticity is unitary.
e. None of the above.


ANSWER: d

If price ___ and revenue ___ , demand is elastic.

If price ___ and revenue ___ , demand is elastic.


a. stays the same; stays the same
b. goes down; goes down
c. goes down; goes up
d. goes down; stays the same
e. goes up; stays the same


ANSWER: c

What happens when demand is elastic?

What happens when demand is elastic?


a. As price goes up, revenue goes down.
b. As price goes down, revenue goes down.
c. As price goes up, revenue goes up.
d. As price goes up, revenue does not change.
e. As price goes down, revenue does not change.


ANSWER: a

While the sales of the Apple iPhone have been great from the beginning, when Apple released its iPhone 4S and cut the price of the iPhone 4 from $399 to $199, sales exploded with one million iPhone 4 models sold the first weekend. Demand for the iPhone appears to be:

While the sales of the Apple iPhone have been great from the beginning, when Apple released its iPhone 4S and cut the price of the iPhone 4 from $399 to $199, sales exploded with one million iPhone 4 models sold the first weekend. Demand for the iPhone appears to be:


a. unitary.
b. predictable.
c. synergistic.
d. inelastic.
e. elastic.



ANSWER: e

Bottles of Pure Hawaiian Air contain air that smells like the floral bouquet that greets tourists as they get off the plane in Hawaii. When a tourist shop began selling Pure Hawaiian Air, it charged $5 per bottle and could not keep up with the demand. It has since raised the price to $7. Now the shop is still selling all the bottles of Pure Hawaiian Air it carries, but the owner is not forced to reorder on a daily basis. The $7 price is probably a(n):

Bottles of Pure Hawaiian Air contain air that smells like the floral bouquet that greets tourists as they get off the plane in Hawaii. When a tourist shop began selling Pure Hawaiian Air, it charged $5 per bottle and could not keep up with the demand. It has since raised the price to $7. Now the shop is still selling all the bottles of Pure Hawaiian Air it carries, but the owner is not forced to reorder on a daily basis. The $7 price is probably a(n):


a. supply schedule.
b. symmetrical price.
c. price equilibrium.
d. inventory equalizer.
e. inelastic price.


ANSWER: c

The ___ is the quantity of a product that will be sold in the market at various prices for a specified period, and ___ is the quantity of a product that will be offered to the market by suppliers at various prices for a specified period.

The ___ is the quantity of a product that will be sold in the market at various prices for a specified period, and ___ is the quantity of a product that will be offered to the market by suppliers at various prices for a specified period.


a. demand; inventory
b. demand; supply
c. supply; demand
d. inventory; demand
e. inventory; supply


ANSWER: b

Peggy's Twist Shack sells softserve ice cream. Peggy graphed the demand per week for vanilla ice cream cones. The graph indicates a demand schedule that slopes downward and to the right. This graph indicates that the quantity of vanilla ice cream cones demanded increases as:

Peggy's Twist Shack sells softserve ice cream. Peggy graphed the demand per week for vanilla ice cream cones. The graph indicates a demand schedule that slopes downward and to the right. This graph indicates that the quantity of vanilla ice cream cones demanded increases as:


a. cost increases.
b. supply decreases.
c. price increases.
d. price decreases.
e. supply increases.


ANSWER: d

Most demand curves slope:

Most demand curves slope:


a. horizontally
b. upward and to the right
c. downward and to the left
d. vertically
e. downward and to the right


ANSWER: e

Although many factors can influence price, the primary determinants are:

Although many factors can influence price, the primary determinants are:


a. costs of manufacturing and distribution
b. the demand for the good and the cost to the seller
c. demand by the consumer and perceived quality
d. distribution and promotion strategies
e. stage of the product life cycle and costs to the consumer


ANSWER: b

Which of the following statements describes an advantage of status quo pricing?

Which of the following statements describes an advantage of status quo pricing?


a. Status quo pricing is derived from actual costs of manufacturing.
b. Status quo pricing maintains the organization's differential advantage.
c. Status quo pricing is active, not reactive.
d. Status quo pricing causes price wars.
e. Status quo pricing requires little planning.


ANSWER: e

Dixie Furniture Company has recently moved to a new, larger location. At this new location, it has been unable to attract sufficient customers. Its owner did not have the cash to pay the current loan installment due on the building and inventory, so he decided to reduce all merchandise prices by at least 50 percent for a weekend sale to earn enough to make his loan payment. His pricing objective can be classified as:

Dixie Furniture Company has recently moved to a new, larger location. At this new location, it has been unable to attract sufficient customers. Its owner did not have the cash to pay the current loan installment due on the building and inventory, so he decided to reduce all merchandise prices by at least 50 percent for a weekend sale to earn enough to make his loan payment. His pricing objective can be classified as:


a. market share maximization.
b. satisfactory profits.
c. asset maximization.
d. sales maximization.
e. target ROI.


ANSWER: d

At the end of the summer, the Bloomin' Garden Center reduced the price on all of its plants, fertilizer, and potting soil by 50 percent in order to liquidate this inventory. What type of pricing strategy is being used in this example?

At the end of the summer, the Bloomin' Garden Center reduced the price on all of its plants, fertilizer, and potting soil by 50 percent in order to liquidate this inventory. What type of pricing strategy is being used in this example?


a. Supply oriented
b. Sales maximization
c. Target return on investment
d. Satisfactory profit
e. Profit maximization


ANSWER: b

At a price of $1,192,057, the Bugatti Veyron may be the most expensive street-legal car on the market today. Obviously, Bugatti is NOT using a(n) ___ pricing objective in setting the price for this car.

At a price of $1,192,057, the Bugatti Veyron may be the most expensive street-legal car on the market today. Obviously, Bugatti is NOT using a(n) ___ pricing objective in setting the price for this car.


a. inelastic or supply-oriented
b. market share or sales maximization
c. profit maximization or target return on investment
d. status quo or satisfactory profits
e. demand-oriented or supply-oriented


ANSWER: b

Britney is fifteen years old and wants to open her own business selling cupcakes to local coffee shops and restaurants. She is having a tough time deciding whether to base her pricing objectives on market share, dollar sales, or unit sales. Regardless of which she chooses, her pricing objective can be categorized as:

Britney is fifteen years old and wants to open her own business selling cupcakes to local coffee shops and restaurants. She is having a tough time deciding whether to base her pricing objectives on market share, dollar sales, or unit sales. Regardless of which she chooses, her pricing objective can be categorized as:


a. status quo.
b. profit oriented.
c. need oriented.
d. cost oriented.
e. sales oriented.


ANSWER: e

Thompson Pool and Patio is known for quality pool installations, excellent customer service, and reasonable prices. If you want to have a Thompson pool, you will have to wait about six months due to demand for their product. While Thompson could probably price its product higher, given the demand, they don't. Instead, the company sets its price so that it will earn a reasonable level of profits. Thompson seems to base its pricing policy on:

Thompson Pool and Patio is known for quality pool installations, excellent customer service, and reasonable prices. If you want to have a Thompson pool, you will have to wait about six months due to demand for their product. While Thompson could probably price its product higher, given the demand, they don't. Instead, the company sets its price so that it will earn a reasonable level of profits. Thompson seems to base its pricing policy on:


a. profit maximization.
b. earning satisfactory profits.
c. creating retained earnings.
d. making the most money as possible.
e. decreasing consumer demand.


ANSWER: b

When Insight Research Associates quotes a marketing research project, management will first estimate the cost to conduct the research and produce and deliver the final client report. The next step in determining the price is to add 30 percent to that cost estimate. This becomes the price estimate given to the potential research client. This suggests that Insight Research Associates uses a(n) ___ pricing objective.

When Insight Research Associates quotes a marketing research project, management will first estimate the cost to conduct the research and produce and deliver the final client report. The next step in determining the price is to add 30 percent to that cost estimate. This becomes the price estimate given to the potential research client. This suggests that Insight Research Associates uses a(n) ___ pricing objective.


a. profit-oriented
b. market share maximization
c. status quo
d. sales maximization
e. supply-demand equalization


ANSWER: a

When Apple, Inc. originally introduced its iPhone, it was priced at what many believed to be about as high as the market would allow. Within weeks, Apple lowered the price of the iPhone. It appears that Apple entered the market with a ___ approach to pricing the iPhone.

When Apple, Inc. originally introduced its iPhone, it was priced at what many believed to be about as high as the market would allow. Within weeks, Apple lowered the price of the iPhone. It appears that Apple entered the market with a ___ approach to pricing the iPhone.


a. market share pricing
b. profit maximization
c. demand-oriented
d. sales maximization
e. status quo pricing


ANSWER: b

For convenience, pricing objectives can be divided into three categories. They are:

For convenience, pricing objectives can be divided into three categories. They are:


a. refundable, competitive, and attainable
b. perceived, actual, and unique-situational
c. differentiated, niche, and undifferentiated
d. profit oriented, sales oriented, and status quo
e. monopolistic, fixed, and variable


ANSWER: d

Which of the following is not a real trend that has affected the consumer market?

Which of the following is not a real trend that has affected the consumer market?


a. The increased availability of bargain-priced private and generic brands has put downward pressure on overall prices.
b. Buyers evaluate the price of new products against the value of existing products.
c. Many firms are trying to maintain or regain their market share by raising prices.
d. The Internet has made comparison shopping easier.
e. The United States was in a recession from late 2007 until 2009.


ANSWER: c

Revenue:

Revenue:


a. equals quantity sold times profit margin
b. equals price minus costs
c. equals return on investment
d. is synonymous with profit
e. equals price of goods times quantity sold


ANSWER: e

Which of the following statements is NOT true about price?

Which of the following statements is NOT true about price?


a. Price can relate to anything with perceived value, not just money.
b. Price is that which is given up in an exchange to acquire a product.
c. Price means the same thing to the consumer and the seller.
d. The price paid is based on the satisfaction consumers expect to receive from a product.
e. Customers are interested in obtaining a perceived reasonable price.


ANSWER: c

At Walmart, Randi saw a bag of daffodil flower bulbs and a box of plant fertilizer. The items, which were sold together, retailed at $28.50 but were marked down to $19.99. The $19.99 is the:

At Walmart, Randi saw a bag of daffodil flower bulbs and a box of plant fertilizer. The items, which were sold together, retailed at $28.50 but were marked down to $19.99. The $19.99 is the:


a. revenue.
b. price.
c. profit.
d. liquidity value.
e. amortized value.



ANSWER: b

Price is best described as:

Price is best described as:


a. that which is given up in exchange to acquire a good or service
b. money exchanged for a good or service
c. the psychological results of purchasing
d. the cost in dollars for a good or service as set by the producer
e. the value of a barter good in an exchange


ANSWER: a

General Motors is offering the sales force at Meers Furniture Emporium a $100 reward for each Chevy Volt sold in the next 30 days. What type of trade sales promotion is the $100?

General Motors is offering the sales force at Meers Furniture Emporium a $100 reward for each Chevy Volt sold in the next 30 days. What type of trade sales promotion is the $100?


a. A trade allowance
b. Push money
c. A selling deal
d. Premium payment
e. A direct commission


ANSWER: b

Lopez is the largest Hispanic-owned meat processor in the United States. To assist retailers in marketing its products, Lopez provides point-of-sale materials and offers special introductory discounts to retailers. Lopez uses:

Lopez is the largest Hispanic-owned meat processor in the United States. To assist retailers in marketing its products, Lopez provides point-of-sale materials and offers special introductory discounts to retailers. Lopez uses:


a. functional marketing.
b. relationship selling.
c. consumer promotions.
d. startup marketing.
e. trade promotions.


ANSWER: e

Which of the following statements about online sales promotions is true?

Which of the following statements about online sales promotions is true?




a. Internet sales promotions are more effective and cost-efficient at generating responses than their off-line counterparts.
b. One of the few types of sales promotion that cannot be used online is sampling.
c. Online coupons have lower redemption rates than off-line coupons.
d. Loyalty marketing programs are ineffective when used at Web sites to encourage traffic.
e. There is no way for a marketer to build long-term, mutually beneficial relationships with customers online.


ANSWER: a

Point-of-purchase promotions work best for:

Point-of-purchase promotions work best for:



a. high-involvement products.
b. purchases that require extensive decision making.
c. complex products that require technical knowledge to operate.
d. impulse buys.
e. expensive products like perfume and jewelry.


ANSWER: d

___ are promotional exhibits set up at the retailer's location to build traffic, advertise the product, or induce impulse buying. They are targeted to consumers.

___ are promotional exhibits set up at the retailer's location to build traffic, advertise the product, or induce impulse buying. They are targeted to consumers.




a. Point-of-purchase displays
b. Freestanding inserts
c. Indirect demonstrations
d. Direct demonstrations
e. Freestanding kiosks


ANSWER: a

Club Penguin is an online role-playing game for kids aged 6 to 14 operated by the Walt Disney Company. Players pay a monthly fee to gain access to all of Club Penguin's feature, although free memberships with limited access to games is also available. Disney offers free membership to Club Penguin in the hope that kids who like the game will ask their parents to pay for the full version. Disney is using which sales promotion tool?

Club Penguin is an online role-playing game for kids aged 6 to 14 operated by the Walt Disney Company. Players pay a monthly fee to gain access to all of Club Penguin's feature, although free memberships with limited access to games is also available. Disney offers free membership to Club Penguin in the hope that kids who like the game will ask their parents to pay for the full version. Disney is using which sales promotion tool?


a. Sponsorship
b. Sampling
c. Trade promotions
d. In-pack couponing
e. Premiums


ANSWER: b

Which of the following statements about contests and sweepstakes is true?

Which of the following statements about contests and sweepstakes is true?


a. Contests depend on luck, and participation is free.
b. Contests are generally effective tools for creating long-term relationships with customers.
c. Sweepstakes are promotions that require participants to exhibit some skill.
d. Sweepstakes usually draw about ten times more participants than contests.
e. Contests and sweepstakes are not useful for creating interest and publicity.


ANSWER: d

The Pillsbury Bake-Off requires people to submit a recipe using Pillsbury baking products. Finalists are brought to Pillsbury kitchens to bake their recipes so the winner of a cash prize can be chosen. This is an example of a:

The Pillsbury Bake-Off requires people to submit a recipe using Pillsbury baking products. Finalists are brought to Pillsbury kitchens to bake their recipes so the winner of a cash prize can be chosen. This is an example of a:


a. contest.
b. sales promotion game.
c. sweepstakes.
d. push money deal.
e. P-O-P (participant of Pillsbury).


ANSWER: a

Co-branded credit cards are used in conjunction with:

Co-branded credit cards are used in conjunction with:


a. self-perpetuating premiums.
b. loyalty marketing programs.
c. trade consumer promotions.
d. consumer discount programs.
e. functional consumer discounts.


ANSWER: b

Jack's Pet Store offers customers who purchase pet food a "Baker's Dozen" card. After customers purchase 12 bags of pet food from Jack's, they get the 13th bag free. The Baker's Dozen card is an example of a:

Jack's Pet Store offers customers who purchase pet food a "Baker's Dozen" card. After customers purchase 12 bags of pet food from Jack's, they get the 13th bag free. The Baker's Dozen card is an example of a:


a. directed coupon mailing.
b. sweepstakes.
c. loyalty marketing program.
d. trade sales promotion.
e. sampling program.


ANSWER: c

When Rick purchased a Xerox color printer for his law office, he was able to mail in a proof-of-purchase and his cash register receipt to receive a check from Xerox for $200. Rick received a:

When Rick purchased a Xerox color printer for his law office, he was able to mail in a proof-of-purchase and his cash register receipt to receive a check from Xerox for $200. Rick received a:


a. premium.
b. trade allowance.
c. purchase allowance.
d. rebate.
e. functional discount.


ANSWER: d

Martina buys cola every week at the grocery store, but she always buys whatever is on sale. Coca-Cola, Pepsi, RC Cola—it doesn't matter to her. She is happy with whatever costs the least. Martina would be characterized as a:

Martina buys cola every week at the grocery store, but she always buys whatever is on sale. Coca-Cola, Pepsi, RC Cola—it doesn't matter to her. She is happy with whatever costs the least. Martina would be characterized as a:


a. loyal customer.
b. competitor's customer.
c. price buyer.
d. cherry picker.
e. freeloader.


ANSWER: c

All of the following would be a target for a trade sales promotion offered by Rubbermaid, a manufacturer of storage and organization products, EXCEPT:

All of the following would be a target for a trade sales promotion offered by Rubbermaid, a manufacturer of storage and organization products, EXCEPT:


a. a retailer called The Container Store.
b. a kitchen department in a large discount store.
c. a wholesaler of plastic storage bins.
d. a Rubbermaid distributor.
e. a consumer who needs to organize her college dorm room.


ANSWER: e

What are the two types of sales promotion?

What are the two types of sales promotion?


a. Consumer and trade
b. Informative and reminder
c. Start-up and continual
d. Adoptive and diffusive
e. Personal and impersonal


ANSWER: a

How do public relations professionals use Internet Web sites?

How do public relations professionals use Internet Web sites?


a. To introduce new products
b. To promote existing products
c. To obtain consumer feedback
d. To showcase upcoming events
e. To do all of these things


ANSWER: e

BMW of North America sponsored an instructional driving school for teenagers in major cities across the U.S. Teens received a training session that included driving techniques and accident avoidance skills.This is an example of:

BMW of North America sponsored an instructional driving school for teenagers in major cities across the U.S. Teens received a training session that included driving techniques and accident avoidance skills.This is an example of:


a. event advocacy
b. lobbying
c. product placement
d. consumer education
e. issue sponsorship


ANSWER: d

Stormbreaker, a new spy movie, details the story of Alex Rider who, after the death of his uncle, is recruited as an M16 spy. Armed with a special set of gadgets, Rider's mission is to save millions of lives. In James Bond fashion, the Cross pen serves as one of the key gadgets in the film. The maker of the Cross pen paid to have its pen featured in this movie. This is an example of:

Stormbreaker, a new spy movie, details the story of Alex Rider who, after the death of his uncle, is recruited as an M16 spy. Armed with a special set of gadgets, Rider's mission is to save millions of lives. In James Bond fashion, the Cross pen serves as one of the key gadgets in the film. The maker of the Cross pen paid to have its pen featured in this movie. This is an example of:


a. advertising.
b. a sales promotion.
c. paid-for public relations.
d. product placement.
e. lobbying.


ANSWER: d

Publicity:

Publicity:


a. will never damage a company because it performs the information task of promotion.
b. is free communication.
c. is not persuasive with customers.
d. has to be purchased from the mass media.
e. has many internal costs to the company associated with it.


ANSWER: e

__ is the element in the promotional mix that evaluates public attitudes, identifies issues that may elicit public concern, and executes programs to gain public understanding and acceptance.

__ is the element in the promotional mix that evaluates public attitudes, identifies issues that may elicit public concern, and executes programs to gain public understanding and acceptance.


a. Personal selling
b. Advertising
c. Mass communications
d. Public relations
e. Sales promotion


ANSWER: d

The Tween Scene is a retail store catering to 8- to 12-year-old boys and girls. It advertises regularly both on radio and in the daily newspaper. The month prior to the beginning of each new school year, the store buys extra advertising space and time. This is an example of a(n) ___ scheduling plan.

The Tween Scene is a retail store catering to 8- to 12-year-old boys and girls. It advertises regularly both on radio and in the daily newspaper. The month prior to the beginning of each new school year, the store buys extra advertising space and time. This is an example of a(n) ___ scheduling plan.


a. continuous
b. replication
c. interval
d. seasonal
e. pulsing


ANSWER: e

Meek's Hunting Emporium is a retail store that carries all the products hunters need or think they need. It has set up an advertising plan that allows it to advertise every day prior to the opening of quail-, deer-, and turkey-hunting seasons on four local radio stations, as well as in the local newspapers. This is an example of a:

Meek's Hunting Emporium is a retail store that carries all the products hunters need or think they need. It has set up an advertising plan that allows it to advertise every day prior to the opening of quail-, deer-, and turkey-hunting seasons on four local radio stations, as well as in the local newspapers. This is an example of a:


a. message execution plan.
b. media profile.
c. reach program.
d. media schedule.
e. frequency timetable.


ANSWER: d

In the 1960s, there were only three television networks and most consumers only received these three channels plus a local channel. Now, consumers have more than 1,600 channels to choose from. This is an example of which problem facing media planners?

In the 1960s, there were only three television networks and most consumers only received these three channels plus a local channel. Now, consumers have more than 1,600 channels to choose from. This is an example of which problem facing media planners?


a. Media fragmentation
b. Flighted media
c. Effective frequency
d. Effective reach
e. Media consolidation


ANSWER: a

Because Samuel Cabot, Inc., a manufacturer of premium-grade wood stains, wants to spend its promotional budget on timely advertisements that target a large out-of-home audience and have low unit and production costs, it should use ___ advertising.

Because Samuel Cabot, Inc., a manufacturer of premium-grade wood stains, wants to spend its promotional budget on timely advertisements that target a large out-of-home audience and have low unit and production costs, it should use ___ advertising.


a. newspaper
b. radio
c. television
d. magazine
e. creative


ANSWER: b

Billboard advertisements often have to compete for a driver's attention with traffic, passengers, radio, or other billboards. Billboard advertising would be described as:

Billboard advertisements often have to compete for a driver's attention with traffic, passengers, radio, or other billboards. Billboard advertising would be described as:


a. lacking any geographic selectivity.
b. the most flexible advertising medium.
c. having a high noise level.
d. having a low noise level.
e. being a great channel for informative ads.


ANSWER: c

Prices on items sold by supermarkets change frequently, and they often offer special sales to match or beat the prices of their competitors. Therefore, ___ would be a major consideration when a supermarket selects an advertising vehicle.

Prices on items sold by supermarkets change frequently, and they often offer special sales to match or beat the prices of their competitors. Therefore, ___ would be a major consideration when a supermarket selects an advertising vehicle.


a. audience duplication
b. noise level
c. life span
d. cost per contact
e. flexibility


ANSWER: e

Media vehicles like People magazine and The Chicago Tribune appeal to a wide cross section of the population. In contrast, Self magazine and The Food Network have high levels of:

Media vehicles like People magazine and The Chicago Tribune appeal to a wide cross section of the population. In contrast, Self magazine and The Food Network have high levels of:


a. longevity.
b. audience selectivity.
c. geographic selectivity.
d. flexibility.
e. market singularity.


ANSWER: b

Arkadium creates games adults and kids can play on the Internet. While people play these games, advertising creatively appears in or around the game. Their clients include General Motors, NBC, Warner Bros., and more. Arkadium is creating ___ to reach target markets for its clients.

Arkadium creates games adults and kids can play on the Internet. While people play these games, advertising creatively appears in or around the game. Their clients include General Motors, NBC, Warner Bros., and more. Arkadium is creating ___ to reach target markets for its clients.



a. an infomercial
b. a videomercial
c. a relationship tool
d. advergaming
e. an interconnect


ANSWER: d

Outdoor advertising is:

Outdoor advertising is:




a. inflexible and high-cost.
b. inflexible and low-cost.
c. flexible and high-cost.
d. flexible and low-cost.
e. not an actual medium.


ANSWER: d

Which of the following statements about the selection of media for advertising is true?

Which of the following statements about the selection of media for advertising is true?




a. Creative planning for an ad that goes on a billboard is the same as the planning for an ad that runs on television.
b. The media selection is typically unrelated to the advertising objectives.
c. The appeal and executional style of the ad often affect the media selection.
d. Creative work is finished before the media are selected.
e. Media selection is the first step in developing an advertising campaign.


ANSWER: c

___ is the series of decisions advertisers make regarding the selection and use of media, allowing the marketer to optimally and cost-effectively communicate the message to the target audience.

___ is the series of decisions advertisers make regarding the selection and use of media, allowing the marketer to optimally and cost-effectively communicate the message to the target audience.


a. Promotional implementation
b. Marketing mix planning
c. Media planning
d. Media reach and frequency strategy
e. Media targeted selection


ANSWER: c

Which of the following statements is NOT true about post-campaign evaluation?

Which of the following statements is NOT true about post-campaign evaluation?


a. Marketers spend little time studying advertising effectiveness because there are so many variables that shape the effectiveness of an ad.
b. Testing ad effectiveness can be done either before or after the campaign.
c. Most advertising campaigns aim to create an image for the product instead of asking for action, so their real effect is unknown.
d. Even if an ad campaign has been particularly successful, advertisers will typically conduct a post-campaign evaluation.
e. Evaluating an advertising campaign can be the most demanding task facing advertisers.


ANSWER: a

IBM runs television ads that show how their information technology services can help a small Internet start-up prepare for and solve any problems that may arise in its daily operations. This is an example of a:

IBM runs television ads that show how their information technology services can help a small Internet start-up prepare for and solve any problems that may arise in its daily operations. This is an example of a:


a. unique selling proposition.
b. advertising objective.
c. media profile.
d. basis for comparative advertising.
e. basis for product identification.


ANSWER: a

Many advertisements use celebrities who are liked by many people in hopes that consumers will buy the product that the celebrity endorses. Using celebrities to influence consumers to buy the product is an example of which advertising appeal?

Many advertisements use celebrities who are liked by many people in hopes that consumers will buy the product that the celebrity endorses. Using celebrities to influence consumers to buy the product is an example of which advertising appeal?


a. Consciousness
b. Love or romance
c. Fun and pleasure
d. Admiration
e. Resonance


ANSWER: d

Allstate Insurance has mostly ditched its famous "in good hands" ads in favor of a character called "Mayhem," who shows up in your life at random — and trashes it. What kind of advertising appeal were these ads using?

Allstate Insurance has mostly ditched its famous "in good hands" ads in favor of a character called "Mayhem," who shows up in your life at random — and trashes it. What kind of advertising appeal were these ads using?


a. Fear
b. Consequences
c. Health
d. Vanity and egotism
e. Consciousness


ANSWER: a

Ads for Brita water filters describe how one Brita pitcher filter can reduce waste by effectively replacing as many as 300 standard plastic water bottles. What kind of appeal is this ad using?

Ads for Brita water filters describe how one Brita pitcher filter can reduce waste by effectively replacing as many as 300 standard plastic water bottles. What kind of appeal is this ad using?


a. Environmental Consciousness
b. Vanity and Egotism
c. Health
d. Profit
e. Admiration


ANSWER: d

A newspaper ad for General Mills cereal highlights its BoxTop Redemption program in which General Mills donates cash to schools when the schools redeem box tops from General Mills cereal. This ad focuses on:

A newspaper ad for General Mills cereal highlights its BoxTop Redemption program in which General Mills donates cash to schools when the schools redeem box tops from General Mills cereal. This ad focuses on:


a. a product attribute.
b. production implementation.
c. a product mission.
d. creating product loyalty.
e. a product benefit.


ANSWER: e

The UPS Store's advertising "What Brown Can Do for You" whiteboard campaign tells business consumers that when it comes to getting their products delivered somewhere, UPS can help. The advertising is focusing on:

The UPS Store's advertising "What Brown Can Do for You" whiteboard campaign tells business consumers that when it comes to getting their products delivered somewhere, UPS can help. The advertising is focusing on:


a. creating advertising appeal.
b. production implementation.
c. a product mission.
d. creating product loyalty.
e. a product benefit.


ANSWER: e

Ads for Yoplait Greek Yogurt highlight that the product has twice the protein and three times the calcium of other yogurts. This advertising highlights:

Ads for Yoplait Greek Yogurt highlight that the product has twice the protein and three times the calcium of other yogurts. This advertising highlights:


a. product attributes.
b. the creation of brand loyalty.
c. how negative consumers' attitudes are modified.
d. product benefits.
e. loyalty rewards.


ANSWER: a

DAGMAR is an acronym for:

DAGMAR is an acronym for:


a. Defining and Achieving Goals Means Advertising Reach.
b. Developing Aggressive Markets.
c. Designing Advertising with Market Research.
d. Defining Advertising Goals for Measured Advertising Results.
e. Developing Aggressive Growth Markets and Revenues.


ANSWER: d

One method used for setting advertising objectives is:

One method used for setting advertising objectives is:


a. campaign budgeting.
b. objective and task.
c. the DAGMAR approach.
d. percentage of sales.
e. contribution margin.


ANSWER: c

Before any creative work can begin on an advertising campaign, it is important to:

Before any creative work can begin on an advertising campaign, it is important to:


a. determine what goals or objectives the advertising should achieve.
b. set the marketing budget.
c. decide what executional style to use in the ads.
d. see if sales promotion is more important.
e. hire a spokesperson.


ANSWER: a

An advertising campaign:

An advertising campaign:


a. may contain a wide variety of themes and slogans.
b. extends for a defined period of time.
c. continues for the life of the product.
d. starts with determining which media will be used.
e. rarely has a specific budget.


ANSWER: b

Which of the following statements about comparative advertising is true?

Which of the following statements about comparative advertising is true?


a. Comparative advertising is highly effective in Arabic countries.
b. The FCC is the only federal agency that has any regulatory power over comparative advertising.
c. Comparative advertising is often used for products experiencing strong growth.
d. Comparative advertising is regulated by the FTC in the United States.
e. Comparative advertising is illegal in the United States.


ANSWER: d

Around election time every year, we see ads on television claiming that one candidate is superior to another in terms of experience, capability, and/or ethics. Sometimes opponents are named and even vilified in these ___ ads.

Around election time every year, we see ads on television claiming that one candidate is superior to another in terms of experience, capability, and/or ethics. Sometimes opponents are named and even vilified in these ___ ads.


a. differential
b. cooperative
c. advocacy
d. comparative
e. image



ANSWER: d

Cranium, the Seattlebased toy company, has recently introduced Giggle Gear, a toy designed to let kids' imagination run wild. With the face and headpieces that make up Giggle Gear, kids can change themselves into aliens, fairies, bugs, and robots. What type of advertising will this company be using to promote this new toy?

Cranium, the Seattlebased toy company, has recently introduced Giggle Gear, a toy designed to let kids' imagination run wild. With the face and headpieces that make up Giggle Gear, kids can change themselves into aliens, fairies, bugs, and robots. What type of advertising will this company be using to promote this new toy?


a. Pioneering
b. Innovative
c. Promotional
d. Start-up
e. Comparative


ANSWER: a

Instead of sending artfully arranged flower bouquets, an entrepreneur has developed fresh fruit bouquets and is marketing them under the name Edible Arrangements. The premium fruit is cut to mimic flowers, arranged in a basket, and carefully delivered to the recipient's home. One of the problems is convincing people that it is not a novelty product, but an attractive way to show how you feel about someone. Edible Arrangements will be using ___ advertising to promote its fruit bouquets.

Instead of sending artfully arranged flower bouquets, an entrepreneur has developed fresh fruit bouquets and is marketing them under the name Edible Arrangements. The premium fruit is cut to mimic flowers, arranged in a basket, and carefully delivered to the recipient's home. One of the problems is convincing people that it is not a novelty product, but an attractive way to show how you feel about someone. Edible Arrangements will be using ___ advertising to promote its fruit bouquets.


a. pioneering
b. innovative
c. introductory
d. start-up
e. focused


ANSWER: a

Exxon Mobil has launched a series of ads promoting its commitment to alternative energy sources during a time when the company is recording record profits while consumers struggle with high gas prices and environmentalists are concerned that burning fossil fuels is contributing to the acceleration of global warming. This is an example of ___ advertising.

Exxon Mobil has launched a series of ads promoting its commitment to alternative energy sources during a time when the company is recording record profits while consumers struggle with high gas prices and environmentalists are concerned that burning fossil fuels is contributing to the acceleration of global warming. This is an example of ___ advertising.


a. global
b. homogeneous
c. pioneering
d. advocacy
e. image


ANSWER: d

DuPont has an advertisement that shows police officers describing how they were shot at close range in the line of duty. The advertisement explains that the lives of these public servants were saved by Kevlar bullet-proof vests and that Kevlar was invented by DuPont. This is an example of ___ advertising.

DuPont has an advertisement that shows police officers describing how they were shot at close range in the line of duty. The advertisement explains that the lives of these public servants were saved by Kevlar bullet-proof vests and that Kevlar was invented by DuPont. This is an example of ___ advertising.


a. publicity
b. attribute
c. image
d. pioneering
e. institutional


ANSWER: e

How can advertising affect consumers?

How can advertising affect consumers?


a. It can change cultural practices and conventions
b. It can change strongly held values
c. It can manipulate society against its will
d. It can change negative attitudes to positive ones
e. It can make people buy things they do not want


ANSWER: d

When Gillette introduced its Venus razor for women several years ago, it spent $100 million on advertising and other promotions and successfully boosted its market share. As an advertising consultant, you would advise Gillette to now:

When Gillette introduced its Venus razor for women several years ago, it spent $100 million on advertising and other promotions and successfully boosted its market share. As an advertising consultant, you would advise Gillette to now:


a. double its advertising budget in order to double its market share.
b. maintain the current advertising budget and continue to focus on brand awareness and market share gains.
c. slowly increase the amount spent on advertising and promotion to offset competitive advertisements.
d. shift the budget dollars from advertising to sales promotion and personal selling due to a change in the product life cycle stage.
e. focus on maintaining market share and spend proportionately less on advertising because additional expenditures would reap diminishing benefits.


ANSWER: e

Why do companies with new brands that have a small market share tend to spend proportionately more for advertising and sales promotions compared to those with a large market share for existing products?

Why do companies with new brands that have a small market share tend to spend proportionately more for advertising and sales promotions compared to those with a large market share for existing products?


a. As a result of experiential marketing research
b. To create the appropriate level of institutional advertising
c. To determine which executional appeal is the most effective
d. To achieve a certain minimum level of exposure to measurably affect purchase habits
e. To prevent product cannibalization


ANSWER: d

The advertising response function helps marketers:

The advertising response function helps marketers:


a. create ads that will be noticed by consumers each time the ad runs.
b. use their advertising budgets wisely.
c. calculate the break-even points for each product being advertised.
d. determine the reach and frequency of specific media.
e. select an executional appeal appropriate to the product being advertised.


ANSWER: b

Why do many brands with a large market share spend proportionally less on advertising compared to brands with small market share?

Why do many brands with a large market share spend proportionally less on advertising compared to brands with small market share?


a. Beyond a certain volume of promotion, diminishing returns set in.
b. Certain industries have a practice of spending a low amount of dollars, relative to sales, on advertising.
c. There is no minimum level of exposure for advertising to have an effect on sales.
d. Advertising will not stimulate economic growth for the industry.
e. The firms with large market share do not have to advertise anymore.


ANSWER: a
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