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Principles of Marketing, 17e, Global Edition (Kotler/Armstrong) Chapter 15 Advertising and Public Relations 1) Any paid form of nonpersonal presentation and promotion of ideas, goods, or services by an identified sponsor is called ________. A) sales promotion B) direct marketing C) advertising D) personal selling E) public relations Answer: C AACSB: Analytical thinking Skill: Concept Objective: LO 15.1: Define the role of advertising in the promotion mix. Difficulty: Easy 2) Advertising is used mostly by ________. A) governments B) business firms C) social agencies D) independent professionals E) not-for-profit organizations Answer: B AACSB: Analytical thinking Skill: Concept Objective: LO 15.1: Define the role of advertising in the promotion mix. Difficulty: Easy 3) Marketing management must make important decisions when developing an advertising program. Which of the following is NOT one of those decisions? A) evaluating advertising effectiveness B) developing advertising strategy C) setting advertising objectives D) designing products and distribution E) setting the advertising budget Answer: D AACSB: Analytical thinking Skill: Concept Objective: LO 15.1: Define the role of advertising in the promotion mix. Difficulty: Easy

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4) Competitive parity and task methods are considered when making decisions about ________. A) sales objectives B) budget C) message structure D) media selection E) message effectiveness Answer: B AACSB: Analytical thinking Skill: Concept Objective: LO 15.1: Define the role of advertising in the promotion mix. Difficulty: Easy 5) Advertising is the least used of the major promotion tools, although it has great potential for building consumer awareness and reference. Answer: FALSE AACSB: Written and oral communication Skill: Concept Objective: LO 15.1: Define the role of advertising in the promotion mix. Difficulty: Moderate 6) Advertising is a good way to engage, inform, and persuade, regardless of the objective of the message. Answer: TRUE AACSB: Written and oral communication Skill: Concept Objective: LO 15.1: Define the role of advertising in the promotion mix. Difficulty: Moderate 7) Marketing management must make four important decisions when developing an advertising program. Briefly describe these four decisions. Answer: Marketing management should first set advertising objectives, which can be classified by primary purpose: to inform, persuade, or remind. Next, the advertising budget needs to be determined, which will often depend on the product's stage in the product life cycle. The third step is to develop an advertising strategy, which involves message decisions and media decisions. The last step is to evaluate the effectiveness of the advertising campaign. AACSB: Analytical thinking; Written and oral communications Skill: Concept Objective: LO 15.1: Define the role of advertising in the promotion mix. Difficulty: Moderate

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8) The decisions about impact and engagement of an advertisement fall into the category of ________ decisions. A) sales objectives B) budget C) message D) media E) advertising evaluations Answer: D AACSB: Analytical thinking Skill: Concept Objective: LO 15.2: Describe the major decisions involved in developing an advertising program. Difficulty: Easy 9) An advertising objective is classified by its primary purpose, which is to inform, persuade, or ________. A) reciprocate B) compete C) remind D) explain E) suggest Answer: C AACSB: Written and oral communication Skill: Concept Objective: LO 15.2: Describe the major decisions involved in developing an advertising program. Difficulty: Easy 10) Advertising objectives should be based on the marketing mix, positioning, and ________. A) differentiation B) past decisions about the target market C) costs of different media choices D) ability to create special events E) novelty of the product advertised Answer: B AACSB: Written and oral communication Skill: Concept Objective: LO 15.2: Describe the major decisions involved in developing an advertising program. Difficulty: Easy

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11) Advertising is a good way to ________, inform, and persuade. A) educate B) create C) define D) engage E) harvest Answer: D AACSB: Written and oral communication Skill: Concept Objective: LO 15.2: Describe the major decisions involved in developing an advertising program. Difficulty: Easy 12) Which of the following is most likely an objective of informative advertising? A) build brand preference B) change customer perceptions of brand value C) encourage customers to switch brands D) suggest new uses for a product E) keep the brand in customer minds during off-seasons Answer: D AACSB: Analytical thinking Skill: Concept Objective: LO 15.2: Describe the major decisions involved in developing an advertising program. Difficulty: Challenging 13) When P&G developed the Mr. Clean Magic Eraser, the company needed to explain how the product cleans grime from walls without removing paint. What type of campaign was most likely used by P&G for the Mr. Clean Magic Eraser? A) informative advertising B) persuasive advertising C) reminder advertising D) developmental advertising E) comparative advertising Answer: A AACSB: Reflective thinking Skill: Application Objective: LO 15.2: Describe the major decisions involved in developing an advertising program. Difficulty: Challenging

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14) When the advertising objective is to build primary demand for a new product category, ________ advertising will most likely be used. A) persuasive B) informative C) comparative D) patronage E) institutional Answer: B AACSB: Analytical thinking Skill: Concept Objective: LO 15.2: Describe the major decisions involved in developing an advertising program. Difficulty: Easy 15) Which of the following is an objective of persuasive advertising? A) communicate customer value B) correct false impressions C) describe available services and support D) keep the brand in a customer's mind during off-seasons E) engage customers and create brand community Answer: E AACSB: Analytical thinking Skill: Concept Objective: LO 15.2: Describe the major decisions involved in developing an advertising program. Difficulty: Challenging 16) ________ becomes more important as competition increases. With this type of advertising, a company's objective is to build selective demand. A) Institutional advertising B) Informative advertising C) Reminder advertising D) Not-for-profit advertising E) Persuasive advertising Answer: E AACSB: Analytical thinking Skill: Concept Objective: LO 15.2: Describe the major decisions involved in developing an advertising program. Difficulty: Easy

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17) Persuasive advertising becomes ________ advertising when a company directly or indirectly compares its brand with one or more other brands. A) informative B) reminder C) attack D) covert E) institutional Answer: C AACSB: Analytical thinking Skill: Concept Objective: LO 15.2: Describe the major decisions involved in developing an advertising program. Difficulty: Easy 18) Comparative advertising is also known as ________ advertising. A) attack B) institutional C) covert D) reminder E) informative Answer: A AACSB: Analytical thinking Skill: Concept Objective: LO 15.2: Describe the major decisions involved in developing an advertising program. Difficulty: Easy 19) When Verizon Wireless began offering the iPhone, it used its "Can you hear me now?" slogan to attack AT&T's rumored spotty service. This example best illustrates ________. A) informative advertising B) reminder advertising C) comparative advertising D) covert advertising E) institutional advertising Answer: C AACSB: Analytical thinking Skill: Application Objective: LO 15.2: Describe the major decisions involved in developing an advertising program. Difficulty: Moderate

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20) Encouraging customers to switch brands is most likely the objective of ________ advertising. A) informative B) reminder C) covert D) persuasive E) institutional Answer: D AACSB: Analytical thinking Skill: Concept Objective: LO 15.2: Describe the major decisions involved in developing an advertising program. Difficulty: Moderate 21) Which of the following types of advertising will most likely result in an advertising war? A) covert advertising B) institutional advertising C) informative advertising D) comparative advertising E) reminder advertising Answer: D Skill: Concept Objective: LO 15.2: Describe the major decisions involved in developing an advertising program. Difficulty: Moderate 22) Describing available services and support is most likely a goal of ________ advertising. A) reminder B) competitive C) covert D) attack E) informative Answer: E AACSB: Analytical thinking Skill: Concept Objective: LO 15.2: Describe the major decisions involved in developing an advertising program. Difficulty: Easy

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23) Keeping the brand in a customer's mind during off-seasons is most likely a goal of ________ advertising. A) reminder B) attack C) informative D) covert E) competitive Answer: A AACSB: Analytical thinking Skill: Concept Objective: LO 15.2: Describe the major decisions involved in developing an advertising program. Difficulty: Easy 24) Which of the following is one of the primary goals of reminder advertising? A) maintain customer relationships B) build brand preference C) correct false impressions D) inform the market of a price change E) restore company image Answer: A AACSB: Analytical thinking Skill: Concept Objective: LO 15.2: Describe the major decisions involved in developing an advertising program. Difficulty: Moderate 25) A product in the maturity stage will most likely require ________ advertising. A) informative B) comparative C) persuasive D) reminder E) covert Answer: D AACSB: Analytical thinking Skill: Concept Objective: LO 15.2: Describe the major decisions involved in developing an advertising program. Difficulty: Easy

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26) Advertising has numerous goals. Which of the following is NOT one of those goals? A) to help move consumers through the buying process B) to work with lobbyists and legislators in developing industry regulations C) to move people to immediate action D) to build or strengthen long-term customer relationships E) to engage customers and change the way they think or feel about the brand Answer: B AACSB: Analytical thinking Skill: Concept Objective: LO 15.2: Describe the major decisions involved in developing an advertising program. Difficulty: Moderate 27) After determining its advertising objectives, a company's next step in developing an advertising program is to ________. A) set an advertising budget B) determine the media vehicle C) use cash rebate offers D) evaluate the advertising campaign E) develop a message strategy Answer: A AACSB: Analytical thinking Skill: Concept Objective: LO 15.2: Describe the major decisions involved in developing an advertising program. Difficulty: Easy 28) Which of the following most likely requires the smallest advertising budget? A) products in competitive markets B) undifferentiated brands C) new products D) low-share brands E) mature brands Answer: E AACSB: Analytical thinking Skill: Concept Objective: LO 15.2: Describe the major decisions involved in developing an advertising program. Difficulty: Moderate

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29) With the help of ________ systems, consumers can avoid watching ads. A) USB B) CCTV C) HDMI D) DVR E) XBMC Answer: D AACSB: Information technology Skill: Concept Objective: LO 15.2: Describe the major decisions involved in developing an advertising program. Difficulty: Moderate 30) Which of the following brands most likely requires heavy advertising in order to be set apart from similar products? A) undifferentiated brands B) specialty brands C) international brands D) mature brands E) high-share brands Answer: A Skill: Concept Objective: LO 15.2: Describe the major decisions involved in developing an advertising program. Difficulty: Moderate 31) Brands in a market with many competitors and high advertising clutter must ________. A) have very high prices compared to competitors B) be advertised only through print and social media C) be advertised more heavily to be noticed in the marketplace D) never be advertised using informative advertising E) be advertised only during the mature stage of the product life cycle Answer: C AACSB: Application of knowledge Skill: Concept Objective: LO 15.2: Describe the major decisions involved in developing an advertising program. Difficulty: Moderate

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32) Which of the following would be the most likely result of slashing ad spending for a product? A) increased popularity B) reduced long-term market share C) improved brand image D) increased short-term sales E) increased long-term market share Answer: B Skill: Concept Objective: LO 15.2: Describe the major decisions involved in developing an advertising program. Difficulty: Moderate 33) When the product differs greatly from those of competitors, ________. A) advertising can make customers aware of the product B) firms should advertise similarly to competitors, to remind consumers of the product C) advertising can point out the differences to consumers D) firms should advertise little as the uniqueness will not require education of consumers E) advertising can reaffirm a consumer's decision to purchase Answer: C Skill: Concept Objective: LO 15.2: Describe the major decisions involved in developing an advertising program. Difficulty: Moderate 34) Which of the following is a major element of developing an advertising strategy? A) selecting advertising media B) using sophisticated statistical models C) setting advertising objectives D) evaluating advertising campaigns E) setting the advertising budget Answer: A AACSB: Application of knowledge Skill: Concept Objective: LO 15.2: Describe the major decisions involved in developing an advertising program. Difficulty: Easy

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35) Which of the following statements is true regarding the vital importance of the mediaplanning function? A) With changing technologies, media costs are declining. B) Brand content is usually created in-house by the company. C) Which media to use is sometimes more critical than the creative elements of the messaging. D) Market targeting has declined in importance in the planning stages. E) Because so many consumers use the same mobile and social media applications, messaging can be less focused. Answer: C AACSB: Application of knowledge; Analytical thinking Skill: Concept Objective: LO 15.2: Describe the major decisions involved in developing an advertising program. Difficulty: Easy 36) To break through the clutter, many marketers have subscribed to a new merging of advertising and entertainment, dubbed ________. A) Madison & Vine B) Wall St. & Fifth Ave C) buzz marketing D) podcasting E) webisodes Answer: A AACSB: Application of knowledge Skill: Concept Objective: LO 15.2: Describe the major decisions involved in developing an advertising program. Difficulty: Easy 37) The aim of ________ is to make an advertisement so useful or entertaining that people want to watch it. A) branded entertainment B) advertainment C) viral marketing D) buzz marketing E) word-of-mouth advertising Answer: B AACSB: Application of knowledge Skill: Concept Objective: LO 15.2: Describe the major decisions involved in developing an advertising program. Difficulty: Easy

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38) In addition to advertainment, advertisers are creating content that ________. A) provides much more information than ads did in the past B) they expect to go viral C) helps the advertiser save money D) looks less like ads and more like short films or shows E) confuses viewers about whether they are ads Answer: D AACSB: Application of knowledge Skill: Concept Objective: LO 15.2: Describe the major decisions involved in developing an advertising program. Difficulty: Moderate 39) Product placement in television programs and movies is an example of ________. A) branded entertainment B) advertainment C) direct marketing D) buzz marketing E) sales promotion Answer: A AACSB: Application of knowledge Skill: Concept Objective: LO 15.2: Describe the major decisions involved in developing an advertising program. Difficulty: Moderate 40) Pepsi being prominently featured on episodes of Empire is an example of ________. A) advertainment B) buzz marketing C) personal selling D) sales promotion E) product placement Answer: E AACSB: Analytical thinking Skill: Application Objective: LO 15.2: Describe the major decisions involved in developing an advertising program. Difficulty: Moderate

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41) Which term refers to the general idea that will be communicated to consumers through an advertisement? A) advertising appeal B) message strategy C) consumer-generated message D) creative concept E) message execution Answer: B AACSB: Application of knowledge Skill: Concept Objective: LO 15.2: Describe the major decisions involved in developing an advertising program. Difficulty: Easy 42) The first step in creating effective advertising messages is ________. A) selecting specific media vehicles B) planning a message strategy C) determining return on advertising investment D) choosing media timing E) executing the message Answer: B AACSB: Written and oral communication Skill: Concept Objective: LO 15.2: Describe the major decisions involved in developing an advertising program. Difficulty: Easy 43) Developing an effective message strategy begins with identifying ________ that can be used as advertising appeals. A) consumer trends B) competitors' weaknesses C) competitors' strengths D) customer benefits E) consumer emotions Answer: D AACSB: Application of knowledge Skill: Concept Objective: LO 15.2: Describe the major decisions involved in developing an advertising program. Difficulty: Easy

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44) ________ tend to be straightforward outlines of benefits and positioning points that the advertiser wants to stress. A) Promotion mix plans B) Message strategy statements C) Creative concept strategies D) Advertainment statements E) Branded entertainment plans Answer: B AACSB: Application of knowledge Skill: Concept Objective: LO 15.2: Describe the major decisions involved in developing an advertising program. Difficulty: Easy 45) After creating a message strategy statement, the advertiser must develop a compelling ________ that will bring the message strategy to life in a distinctive and memorable way. A) creative concept B) customer strategy C) customer benefit D) execution style E) media vehicle Answer: A AACSB: Application of knowledge Skill: Concept Objective: LO 15.2: Describe the major decisions involved in developing an advertising program. Difficulty: Easy 46) Which of the following are the three characteristics that an advertising appeal should have? A) engaging, informative, and stylish B) trendy, compelling, and appealing C) meaningful, believable, and distinctive D) unique, emotional, and entertaining E) humorous, memorable, and interesting Answer: C AACSB: Application of knowledge Skill: Concept Objective: LO 15.2: Describe the major decisions involved in developing an advertising program. Difficulty: Easy

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47) In its advertisements, Timex promotes its affordable and sturdy watches. Fossil emphasizes style and fashion in its advertisements, and Rolex stresses luxury and status. These are all examples of ________ appeals. A) rational B) reminder C) believable D) entertainment E) distinctive Answer: E AACSB: Analytical thinking Skill: Application Objective: LO 15.2: Describe the major decisions involved in developing an adve...