Advertising and Promotion Exam Questions
Course Introduction
Advertising and Promotion explores the strategic role of advertising and promotion within the broader context of marketing communications. The course covers key concepts such as campaign planning, creative strategy, media selection, budgeting, message development, and evaluation of effectiveness. Students will examine the integration of traditional and digital platforms, understanding consumer behavior, and regulatory and ethical considerations. By analyzing case studies and industry practices, learners gain practical insights into how businesses and organizations craft compelling messages, select communication channels, and measure the impact of their promotional efforts in dynamic market environments.
Recommended Textbook Principles of Marketing 17th Edition by Philip T. Kotler
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Page 2
Chapter 1: Marketing: Creating Customer Value and Engagement
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Sample Questions
Q1) Which of the following statements is true of the production concept?
A) It considers customer focus and value to be the paths to sales and profits.
B) It follows the customer-centered sense-and-respond philosophy.
C) It takes an outside-in perspective.
D) It calls for sustainable marketing.
E) It leads to companies focusing too narrowly on their own operations.
Answer: E
Q2) Explain how storing customer information in a database might better prepare carmaker Kia in customer relationship management.
Answer: Managing detailed information about customers may allow Kia to design new models based on customer demographics and desires for specific features. These "touch points" can be the key to long-term customer loyalty.
Q3) A firm that uses the selling concept takes a(n) ________ approach.
A) outside-in
B) niche marketing
C) inside-out
D) societal marketing
E) customer-driven
Answer: C
Page 3
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Chapter
Build Customer Engagement, Value, and Relationships
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Sample Questions
Q1) A product's position is the place it occupies relative to competitors' products in consumers' minds.
A)True
B)False
Answer: True
Q2) According to the Boston Consulting Group approach, ________ serves as a measure of company strength in the market.
A) relative market share
B) product development
C) market diversification
D) product attribute
E) market segmentation
Answer: A
Q3) What are the components of a company's marketing mix?
Answer: A company designs an integrated marketing mix made up of factors under its control-product, price, place, and promotion (the four Ps).
Q4) What does a market segment consist of?
Answer: A market segment consists of consumers who respond in a similar way to a given set of marketing efforts.
4
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Chapter 3: Analyzing the Marketing Environment
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Sample Questions
Q1) Funco Inc., a toy manufacturer, sold plastic racing cars that were manufactured with toxic materials, which threatened the health of several children. Which purpose of government regulation to protect consumers is involved?
A) misleading customers in their advertising
B) deceiving consumers through their packaging
C) making shoddy products
D) deceiving consumers through their pricing
E) invading consumer privacy
Answer: C
Q2) A company's marketing environment excludes the forces outside the marketing department that affect marketing management's ability to build and maintain successful relationships with target customers.
A)True
B)False
Answer: False
Q3) Millennials comprise the most financially affluent group in America today.
A)True
B)False
Answer: False
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Page 5
Chapter 4: Managing Marketing Information to Gain Customer Insights
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Sample Questions
Q1) Which of the following is true of ethnographic research?
A) It is a type of experimental research that involves evaluating group responses.
B) It involves sending observers to watch and interact with consumers in their natural environments.
C) It is a traditional quantitative research approach.
D) Information used in this mode of research is mainly derived from secondary data sources.
E) It is a form of survey research.
Q2) Competitor intelligence can be collected from people inside the company, such as executives, engineers, purchasing agents, and the sales force, as well as customers.
A)True
B)False
Q3) For international researchers, ________ is the most obvious obstacle.
A) language
B) technology
C) infrastructure
D) motivation
E) political risk
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Chapter 5: Consumer Markets and Buyer Behavior
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Sample Questions
Q1) A marketer of women's hair care products targeting Chinese customers created an advertising message that told women their hair could be worn any way they wanted as opposed to wearing it straight. The message suggested the women did not need to conform to the mainstream media definition of beauty. It is most accurate to say that this ad was based on an understanding of customers' ________.
A) social class
B) life-cycle stage
C) self-concept
D) status
E) role
Q2) Which of the following terms refers to a specific mix of human traits that may be attributed to a particular brand?
A) brand perception
B) brand identity
C) brand personality
D) brand concept
E) brand equity
Q3) Explain why selective attention is not controllable by a marketer.
Q4) Identify and describe the stages in the adoption process.
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Chapter 6: Business Markets and Business Buyer Behavior
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Sample Questions
Q1) Under ________, buyers share sales and inventory information directly with key suppliers who monitor and replenish the buyer's stock automatically as needed.
A) supplier selection
B) proposal solicitation
C) general need specification
D) vendor-managed inventory
E) procurement
Q2) A new task situation presents ________.
A) low risk for the buyer
B) the fewest decisions for the buyer
C) the least information required
D) the greatest opportunity and the greatest challenge to the marketer
E) the smallest number of decision participants
Q3) Business buyers are subject primarily to economic influences when they make their buying decisions. Emotional or personal factors rarely are involved.
A)True
B)False
Q4) Why is demand in the business market mostly inelastic?
Q5) What are the major characteristics of institutional markets?
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Chapter 7: Customer Value-Driven Marketing Strategy:
Creating Value for Target Customers
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Sample Questions
Q1) Several structural factors affect long-run segment attractiveness. These include all of the following EXCEPT ________.
A) easy entry by new competitors
B) the segment does not match the company's long-run objectives
C) strong and aggressive competitors
D) many substitute products
E) power of buyers
Q2) Stores such as Walmart, Best Buy, PetSmart, David's Bridal, and DSW Shoes use ________ positioning.
A) more for the same
B) more for less
C) same for less
D) less for much less
E) more for more
Q3) How do companies identify attractive market segments? How do they choose a target marketing strategy?
Q4) How does loyalty status enhance a company's understanding of its consumers?
Q5) The relative power of buyers affects segment attractiveness.
A)True
B)False
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Chapter 8: Products, Services, and Brands: Building Customer Value
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Sample Questions
Q1) ________ are consumer products and services with unique characteristics or brand identification for which a significant group of buyers is willing to make a special purchase effort.
A) Shopping products
B) Unsought products
C) Specialty products
D) Capital items
E) Convenience products
Q2) How can service providers use a differentiated offer, delivery, and image to avoid competing solely on price?
Q3) ________ contributes to a product's usefulness as well as to its looks.
A) Sensational style
B) Good design
C) Quality
D) Consistency
E) Packaging
Q4) Give examples of pure tangible goods.
Q5) Companies stretch downward to add prestige to their current products. A)True
B)False
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Chapter 9: Developing New Products and Managing the Product Life Cycle
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Sample Questions
Q1) Which stage in the product life cycle is characterized by rapid market acceptance and increasing profits?
A) introduction
B) maturity
C) growth
D) decline
E) product development
Q2) Neutron Inc. is conducting a business analysis to determine which of the many newly developed apps should be released. To estimate sales, the company must
A) conduct surveys of competitors
B) exclusively consider the government's opinions
C) consider the sales history of similar products
D) apply the PLC concept to industry sales
E) opt for business process reengineering
Q3) Marketers often involve actual customers in product testing.
A)True
B)False
Q4) Explain why the PLC can be applied to more than just brands.
Q5) Why do ad expenditures remain high in the growth stage of the PLC?
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Chapter 10: Pricing: Understanding and Capturing
Customer Value
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Sample Questions
Q1) Effective ________ pricing involves understanding how much value consumers place on the benefits they receive from the product and setting a price that captures that value.
A) competition-oriented
B) cost-based
C) time-based
D) customer-oriented
E) marketer-oriented
Q2) Explain the concept of the price ceiling.
Q3) If demand hardly changes with a small change in price, the demand is ________.
A) variable
B) inelastic
C) highly elastic
D) derived
E) negative
Q4) What is good-value pricing?
Q5) Cost-based pricing is often product driven.
A)True
B)False
Q6) Who typically sets prices in large and small companies? Page 12
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Chapter 11: Pricing Strategies: Additional Considerations
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Sample Questions
Q1) Which of the following best supports a market-penetration strategy for Champion?
A) Production costs increase as sales volume increases.
B) It is very difficult for competitors to enter the market.
C) The cost of producing a smaller volume is negligible.
D) The quality of the products supports high initial prices.
E) The market for the products is highly price sensitive.
Q2) Consumers who have no past experience with a product are more likely to judge it by its price.
A)True
B)False
Q3) When using product bundle pricing, sellers combine several of their products and offer the bundle at an increased price for increased profit.
A)True
B)False
Q4) Casual Comfort sells its catalog items using FOB-origin pricing. Who pays the freight charges?
Q5) When are competitors most likely to react to price changes? How can a firm anticipate the likely reactions of its competitors?
Q6) For what types of products might marketers use market-skimming pricing?
Page 14
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Chapter 12: Marketing Channels: Delivering Customer Value
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Sample Questions
Q1) Multichannel marketing occurs when a single firm sets up two or more marketing channels to reach one or more customer segments.
A)True
B)False
Q2) Describe the types of products that are intensively distributed and provide examples.
Q3) ________ play an important role in matching supply and demand by providing consumers with a broad assortment of products in small quantities.
A) Virtual banks
B) Intermediaries
C) Price consultants
D) Uniform-delivery networks
E) Upstream partners
Q4) Which of the following is a conventional consumer marketing channel?
A) producer to business distributor to end consumer
B) producer to wholesaler to retailer to end consumer
C) producer to end consumer to business customer
D) producer to retailer
E) producer to business distributor to business customer
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Chapter 13: Retailing and Wholesaling
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Sample Questions
Q1) Specialty stores carry ________ with ________ within them.
A) only convenience products; shallow assortments
B) narrow product lines; deep assortments
C) narrow product lines; shallow assortments
D) wide product lines; shallow assortments
E) wide product lines; deep assortments
Q2) Retailers must work to ensure customers identify with their products. Differentiation and positioning are vital to communicating this message.
A)True
B)False
Q3) A neighborhood shopping center has from 50 to more than 100 stores.
A)True
B)False
Q4) Independent off-price retailers either are independently owned and run or are divisions of larger retail corporations.
A)True
B)False
Q5) Compare and contrast specialty stores and convenience stores.
Q6) Describe the differences between chain stores and franchises.
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Chapter 14: Engaging Consumers and Communicating
Customer Value: Integrated Marketing Communications Strategy
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Sample Questions
Q1) Describe the six buyer-readiness stages along with the marketing strategies used at each stage.
Q2) The background for the QuickRelief allergy medication ad appearing in the magazine Better Homes and Gardens shows green grass and lovely flowers. The headline states "QuickRelief is 54% more effective than the leading prescription." At the bottom of the ad, in small print, is an explanation of how the effectiveness of QuickRelief was determined. The ad also shows a package of QuickRelief so consumers can easily recognize it at the store. Identify the different components of the communication model for this advertisement.
Q3) Which of the following is one of the four major communication functions?
A) coordination
B) distribution
C) noise
D) response
E) preference
Q4) When is it advisable to predominantly use sales promotions in a promotion mix?
Q6) Describe the three types of appeals that marketers use. Page 17
Q5) Discuss the percentage-of-sales method used for setting the total budget for advertising.
Q7) Discuss the affordable method of setting the total budget for advertising.
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Chapter 15: Advertising and Public Relations
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Sample Questions
Q1) 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
Q2) The term media multitaskers refers to ________.
A) competing brands which use the same media vehicle
B) people who absorb more than one medium at a time
C) media planners who also head the creative department
D) media planners who use more than one advertising medium
E) ad agencies whose clients are competitors of each other
Q3) A brief glimpse of the latest LG phone on the television series Modern Family is an example of an advertainment.
A)True
B)False
Q4) Describe any three message execution styles.
Q5) Give an example of testimonial evidence and explain the importance of the source.
Q6) Discuss the advantages of using the services of an advertising agency.
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Chapter 16: Personal Selling and Sales Promotion
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Sample Questions
Q1) In a product sales force structure, no single salesperson can become an expert in all of the product categories, so product specialization is required.
A)True
B)False
Q2) Social selling emphasizes personal contact between the company and its customers.
A)True
B)False
Q3) Stahl Inc. has 1,000 A-level accounts, each requiring 30 calls per year, and 3,000 B-level accounts, each requiring 10 calls per year. If each salesperson at Stahl Inc. can make 1,500 sales calls per year, how many salespeople would be needed to meet the total workload?
A) 25
B) 35
C) 40
D) 45
E) 60
Q4) How do successful companies recruit and train their salespeople? What does an effective training program teach salespeople?
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Chapter 17: Direct, Online, Social Media, and Mobile Marketing
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Sample Questions
Q1) Digital catalogs offer all of the following benefits EXCEPT ________.
A) presenting an almost unlimited amount of merchandise
B) offering a broad assortment of presentation formats, including search and video
C) adding and removing products as needed
D) adjusting prices instantly to meet demand
E) touching the product
Q2) By using ________ to contact potential customers, marketers sell directly to consumers.
A) undercover marketing
B) outbound telephone marketing
C) affinity marketing
D) multi-level marketing
E) ambush marketing
Q3) ________ companies use both offline and online marketing channels.
A) Start-up
B) Click-only
C) Omni-channel retailing
D) Brick-and-mortar
E) Brick-only
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Chapter 18: Creating Competitive Advantage
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Q1) Fifty percent of the market is in the hands of Company A, 30 percent is in the hands of Company B, 15 percent is in the hands of Company C, and the remaining 5 percent is in the hands of Company D. Based on these hypothetical numbers, Company D is the market ________.
A) leader
B) challenger
C) follower
D) nicher
E) maven
Q2) As small companies achieve success, they inevitably move toward more ________ marketing. They adopt more-developed marketing tools and adhere to them closely.
A) ambush
B) formulated
C) entrepreneurial
D) intrepreneurial
E) multi-level
Q3) In some markets, competitors live in relative harmony.
A)True
B)False
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Chapter 19: The Global Marketplace
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Sample Questions
Q1) Immediately after deciding which markets to enter, the company should determine
A) the most suitable global communication program
B) how to price its products in different markets
C) the global marketing organization
D) the global marketing program
E) how to enter the market
Q2) Which question should most likely be answered by all companies due to the rapid move toward globalization?
A) How should we eliminate domestic competition?
B) Should we diversify in a new business area in the home country?
C) Who will our global competitors be, and what are their strategies and resources?
D) How should we fulfill our environmental obligations?
E) Which medium of advertising should we use in our home country?
Q3) Oreos are less sweet or less bitter in certain countries. This is an example of straight product extension.
A)True
B)False
Q4) Identify the three major ways a company can manage its international marketing.
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Chapter 20: Sustainable Marketing: Social Responsibility and Ethics
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Sample Questions
Q1) Explain why most marketers avoid deceptive practices.
Q2) Though marketers may make long-term gains with high-pressure selling tactics, this approach can do serious damage to short-term customer relationships.
A)True
B)False
Q3) A company that makes marketing decisions by considering consumers' wants and long-run interests, the company's requirements, and society's long-run interest is said to be practicing consumer-oriented marketing.
A)True
B)False
Q4) The overselling of private goods results in ________ as they require more public services that may not be available.
A) cultural pollution
B) misdirected funding
C) social costs
D) materialism
E) opportunity expenses
Q5) Discuss the ways in which critics accuse marketing of harming the consumer.
Q6) How do marketers respond to critics' accusations of planned obsolescence?
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