Professional Documents
Culture Documents
3. An important section in an advertising plan is a budgeting or information section, which states the cost of
implementing this plan.
a. True
b. False
ANSWER: True
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: True / False
HAS VARIABLES: False
LEARNING OBJECTIVES: AIBP.OGUI.19.8-5
NATIONAL STANDARDS: United States - BUSPROG: Analytic
STATE STANDARDS: United States - OH - DISC: DISC: PromotionMarketing P - DISC: Promotion
KEYWORDS: Bloom's: Knowledge
DATE CREATED: 12/17/2017 11:26 PM
DATE MODIFIED: 12/17/2017 11:26 PM
5. Ethnocentrism is the tendency to view and value things from the perspective of one’s own culture.
a. True
b. False
ANSWER: True
POINTS: 1
DIFFICULTY: Moderate
QUESTION TYPE: True / False
HAS VARIABLES: False
LEARNING OBJECTIVES: AIBP.OGUI.19.8-1
NATIONAL STANDARDS: United States - BUSPROG: Diversity STATE
STATE STANDARDS: United States - OH - DISC: Promotion
KEYWORDS: Bloom's: Knowledge
DATE CREATED: 12/17/2017 11:27 PM
DATE MODIFIED: 12/17/2017 11:27 PM
6. The self-reference criterion is the unconscious reference to one’s own cultural values, experiences, and
knowledge as a basis for decisions.
a. True
b. False
ANSWER: True
POINTS: 1
DIFFICULTY: Moderate
QUESTION TYPE: True / False
HAS VARIABLES: False
LEARNING OBJECTIVES: AIBP.OGUI.19.8-1
NATIONAL STANDARDS: United States - BUSPROG: Analytic STATE
STATE STANDARDS: United States - OH - DISC: Promotion
KEYWORDS: Bloom's: Comprehension
DATE CREATED: 12/17/2017 11:27 PM
7. The competition’s strengths, weaknesses, tendencies, and any threats they pose are included in the competitor
analysis.
a. True
b. False
ANSWER: True
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: True / False
HAS VARIABLES: False
LEARNING OBJECTIVES: AIBP.OGUI.19.8-3
NATIONAL STANDARDS: United States - BUSPROG: Analytic
STATE STANDARDS: United States - OH - DISC: DISC: PromotionMarketing P - DISC: Promotion
KEYWORDS: Bloom's: Knowledge
DATE CREATED: 12/17/2017 11:28 PM
DATE MODIFIED: 12/17/2017 11:28 PM
8. A historical background is a key element in an advertising plan, one that should include the history of all main players,
the industry, the brand, and the corporate culture.
a. True
b. False
ANSWER: True
POINTS: 1
DIFFICULTY: Moderate
QUESTION TYPE: True / False
HAS VARIABLES: False
LEARNING OBJECTIVES: AIBP.OGUI.19.8-3
NATIONAL STANDARDS: United States - BUSPROG: Analytic
STATE STANDARDS: United States - OH - DISC: DISC: PromotionMarketing P - DISC: Promotion
KEYWORDS: Bloom's: Comprehension
DATE CREATED: 12/17/2017 11:27 PM
DATE MODIFIED: 12/17/2017 11:27 PM
9.
a. True
b. False
ANSWER: True
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: True / False
HAS VARIABLES: False
LEARNING OBJECTIVES: AIBP.OGUI.19.8-1
NATIONAL STANDARDS: United States - BUSPROG: Analytic
STATE STANDARDS: United States - OH - DISC: DISC: PromotionMarketing P - DISC: Promotion
KEYWORDS: Bloom's: Comprehension
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DATE CREATED: 12/17/2017 11:28 PM
DATE MODIFIED: 12/17/2017 11:28 PM
10. Companies use advertising objectives because it is important to lay the framework for the subsequent tasks in
an advertising plan.
a. True
b. False
ANSWER: True
POINTS: 1
DIFFICULTY: Moderate
QUESTION TYPE: True / False
HAS VARIABLES: False
LEARNING OBJECTIVES: AIBP.OGUI.19.8-1
NATIONAL STANDARDS: United States - BUSPROG: Analytic
STATE STANDARDS: United States - OH - DISC: DISC: PromotionMarketing P - DISC: Promotion
KEYWORDS: Bloom's: Comprehension
DATE CREATED: 12/17/2017 11:28 PM
DATE MODIFIED: 12/17/2017 11:28 PM
11. Since advertising is only one variable in an entire marketing mix, it is solely responsible for selling the product.
a. True
b. False
ANSWER: False
POINTS: 1
DIFFICULTY: Moderate
QUESTION TYPE: True / False
HAS VARIABLES: False
LEARNING OBJECTIVES: AIBP.OGUI.19.8-2
NATIONAL STANDARDS: United States - BUSPROG: Analytic
STATE STANDARDS: United States - OH - DISC: DISC: PromotionMarketing P - DISC: Promotion
KEYWORDS: Bloom's: Comprehension
DATE CREATED: 12/17/2017 11:29 PM
DATE MODIFIED: 12/17/2017 11:29 PM
12. Viewing advertising strictly from a communications perspective opens marketers to a broader range of advertising
strategies.
a. True
b. False
ANSWER: True
POINTS: 1
DIFFICULTY: Moderate
QUESTION TYPE: True / False
HAS VARIABLES: False
LEARNING OBJECTIVES: AIBP.OGUI.19.8-2
NATIONAL STANDARDS: United States - BUSPROG: Analytic STATE
STATE STANDARDS: United States - OH - DISC: Strategy
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KEYWORDS: Bloom's: Comprehension
DATE CREATED: 12/17/2017 11:29 PM
DATE MODIFIED: 12/17/2017 11:29 PM
13. Some advocate sales objectives while others push communications objectives, although both can be done.
a. True
b. False
ANSWER: True
POINTS: 1
DIFFICULTY: Moderate
QUESTION TYPE: True / False
HAS VARIABLES: False
LEARNING OBJECTIVES: AIBP.OGUI.19.8-2
NATIONAL STANDARDS: United States - BUSPROG: Analytic
STATE STANDARDS: United States - OH - DISC: DISC: PromotionMarketing P - DISC: Promotion
KEYWORDS: Bloom's: Comprehension
DATE CREATED: 12/17/2017 11:29 PM
DATE MODIFIED: 12/17/2017 11:29 PM
14. Objectives for advertising should be measurable, and this is noted in evaluation components of an ad plan.
a. True
b. False
ANSWER: True
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: True / False
HAS VARIABLES: False
LEARNING OBJECTIVES: AIBP.OGUI.19.8-8
NATIONAL STANDARDS: United States - BUSPROG: Analytic
STATE STANDARDS: United States - OH - DISC: DISC: PromotionMarketing P - DISC: Promotion
KEYWORDS: Bloom's: Knowledge
DATE CREATED: 12/17/2017 11:29 PM
DATE MODIFIED: 12/17/2017 11:30 PM
16. The agency’s crucial role is to translate the current market and marketing status of a firm and its advertising
objectives into advertising strategy and, ultimately, finished advertisements and IBP materials.
a. True
b. False
ANSWER: False
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: True / False
HAS VARIABLES: False
LEARNING OBJECTIVES: AIBP.OGUI.19.8-9
NATIONAL STANDARDS: United States - BUSPROG: Analytic
STATE STANDARDS: United States - OH - DISC: DISC: PromotionMarketing P - DISC: Promotion
KEYWORDS: Bloom's: Knowledge
DATE CREATED: 12/17/2017 11:30 PM
DATE MODIFIED: 12/17/2017 11:30 PM
17. A percentage-of-sales approach to budgeting calculates the amount spent by competitors and market
share.
a. True
b. False
ANSWER: False
POINTS: 1
DIFFICULTY: Moderate
QUESTION TYPE: True / False
HAS VARIABLES: False
LEARNING OBJECTIVES: AIBP.OGUI.19.8-5
NATIONAL STANDARDS: United States - BUSPROG: Analytic
STATE STANDARDS: United States - OH - DISC: DISC: PromotionMarketing P - DISC: Promotion
KEYWORDS: Bloom's: Comprehension
DATE CREATED: 12/17/2017 11:31 PM
DATE MODIFIED: 12/17/2017 11:31 PM
18. Share of voice, or share of market, is a method that bases an ad budget on whatever significant competitors are
spending.
a. True
b. False
ANSWER: True
POINTS: 1
DIFFICULTY: Moderate
QUESTION TYPE: True / False
HAS VARIABLES: False
LEARNING OBJECTIVES: AIBP.OGUI.19.8-5
Copyright Cengage Learning. Powered by Cognero. Page 6
NATIONAL STANDARDS: United States - BUSPROG: Analytic
STATE STANDARDS: United States - OH - DISC: DISC: PromotionMarketing P - DISC: Promotion
KEYWORDS: Bloom's: Knowledge
DATE CREATED: 12/17/2017 11:31 PM
DATE MODIFIED: 12/17/2017 11:31 PM
19. One of the most challenging tasks is budgeting the funds for an advertising and IBP effort, but response models
can help professionals make more decisions based on data.
a. True
b. False
ANSWER: True
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: True / False
HAS VARIABLES: False
LEARNING OBJECTIVES: AIBP.OGUI.19.8-5
NATIONAL STANDARDS: United States - BUSPROG: Analytic
STATE STANDARDS: United States - OH - DISC: DISC: PromotionMarketing P - DISC: Promotion
KEYWORDS: Bloom's: Comprehension
DATE CREATED: 12/17/2017 11:31 PM
DATE MODIFIED: 12/17/2017 11:31 PM
20. An advertising response function is a mathematical relationship that associates dollars spent on advertising and
sales generated.
a. True
b. False
ANSWER: True
POINTS: 1
DIFFICULTY: Moderate
QUESTION TYPE: True / False
HAS VARIABLES: False
LEARNING OBJECTIVES: AIBP.OGUI.19.8-3
NATIONAL STANDARDS: United States - BUSPROG: Analytic
STATE STANDARDS: United States - OH - DISC: DISC: PromotionMarketing P - DISC: Promotion
KEYWORDS: Bloom's: Knowledge
DATE CREATED: 12/17/2017 11:31 PM
DATE MODIFIED: 12/17/2017 11:32 PM
21. Every precaution should be taken to avoid having to radically alter a budget after it is submitted.
a. True
b. False
ANSWER: True
POINTS: 1
DIFFICULTY: Moderate
QUESTION TYPE: True / False
HAS VARIABLES: False
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LEARNING OBJECTIVES: AIBP.OGUI.19.8-5
NATIONAL STANDARDS: United States - BUSPROG: Analytic
STATE STANDARDS: United States - OH - DISC: DISC: PromotionMarketing P - DISC: Promotion
KEYWORDS: Bloom's: Comprehension
DATE CREATED: 12/17/2017 11:32 PM
DATE MODIFIED: 12/17/2017 11:32 PM
23. Two important elements to the execution of an advertising plan are determining the copy strategy and devising a
media plan.
a. True
b. False
ANSWER: True
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: True / False
HAS VARIABLES: False
LEARNING OBJECTIVES: AIBP.OGUI.19.8-7
NATIONAL STANDARDS: United States - BUSPROG: Analytic
STATE STANDARDS: United States - OH - DISC: DISC: PromotionMarketing P - DISC: Promotion
KEYWORDS: Bloom's: Knowledge
DATE CREATED: 12/17/2017 11:32 PM
DATE MODIFIED: 12/17/2017 11:33 PM
24. The various forms of brand promotion that will supplement the advertising effort each need to be spelled out in the
ad plan.
a. True
b. False
ANSWER: True
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: True / False
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HAS VARIABLES: False
LEARNING OBJECTIVES: AIBP.OGUI.19.8-3
NATIONAL STANDARDS: United States - BUSPROG: Analytic STATE
STATE STANDARDS: United States - OH - DISC: Promotion
KEYWORDS: Bloom's: Comprehension
DATE CREATED: 12/17/2017 11:33 PM
DATE MODIFIED: 12/17/2017 11:33 PM
25. There is only one way to measure success in advertising and integrated brand promotion.
a. True
b. False
ANSWER: False
POINTS: 1
DIFFICULTY: Moderate
QUESTION TYPE: True / False
HAS VARIABLES: False
LEARNING OBJECTIVES: AIBP.OGUI.19.8-3
NATIONAL STANDARDS: United States - BUSPROG: Analytic
STATE STANDARDS: United States - OH - DISC: DISC: PromotionMarketing P - DISC: Promotion
KEYWORDS: Bloom's: Comprehension
DATE CREATED: 12/17/2017 11:33 PM
DATE MODIFIED: 12/17/2017 11:33 PM
26. Using response models to aid in the budgeting process has been a widespread practice among larger firms for
many years.
a. True
b. False
ANSWER: True
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: True / False
HAS VARIABLES: False
LEARNING OBJECTIVES: AIBP.OGUI.19.8-5
NATIONAL STANDARDS: United States - BUSPROG: Analytic
STATE STANDARDS: United States - OH - DISC: DISC: PromotionMarketing P - DISC: Promotion
KEYWORDS: Bloom's: Knowledge
DATE CREATED: 12/17/2017 11:34 PM
DATE MODIFIED: 12/17/2017 11:34 PM
27. It is important for an advertiser and agency to align around evaluation criteria upfront.
a. True
b. False
ANSWER: True
POINTS: 1
DIFFICULTY: Easy
29. An agency’s role is to translate the current market and marketing status of a firm and its advertising objectives into
advertising strategy and, ultimately, finished advertisements and IBP materials.
a. True
b. False
ANSWER: True
POINTS: 1
DIFFICULTY: Moderate
QUESTION TYPE: True / False
HAS VARIABLES: False
LEARNING OBJECTIVES: AIBP.OGUI.19.8-7
NATIONAL STANDARDS: United States - BUSPROG: Analytic
STATE STANDARDS: United States - OH - DISC: DISC: PromotionMarketing P - DISC: Promotion
KEYWORDS: Bloom's: Comprehension
DATE CREATED: 12/17/2017 11:35 PM
DATE MODIFIED: 12/17/2017 11:35 PM
30. Apple uses a wide array of options to create interest and communicate the value proposition for its brands like the
iPad and iPhone. Which of the following would NOT be included in Apple’s advertising plan?
a. Billboard ads
b. Manufacturing schedule
c. Product placement
31. Which of the following is a part of the situational analysis component of an advertising plan?
a. Executive summary
b. Response models
c. Historical context
d. Copy strategy
ANSWER: c
POINTS: 1
DIFFICULTY: Moderate
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVES: AIBP.OGUI.19.8-3
NATIONAL STANDARDS: United States - BUSPROG: Analytic
STATE STANDARDS: United States - OH - DISC: DISC: PromotionMarketing P - DISC: Promotion
KEYWORDS: Bloom's: Knowledge
DATE CREATED: 12/17/2017 11:36 PM
DATE MODIFIED: 12/17/2017 11:37 PM
33. In an advertising plan, the _______ is the section in which the client and the agency lay out the key factors that
define the current conditions and then explain the importance of each factor.
a. execution
b. strategy
c. situation analysis
d. evaluation
ANSWER: c
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVES: AIBP.OGUI.19.8-3
NATIONAL STANDARDS: United States - BUSPROG: Analytic
STATE STANDARDS: United States - OH - DISC: DISC: PromotionMarketing P - DISC: Promotion
KEYWORDS: Bloom's: Knowledge
DATE CREATED: 12/17/2017 11:38 PM
DATE MODIFIED: 12/17/2017 11:39 PM
34. In the introduction of an advertising plan, the _____ comes before the overview.
a. situation analysis
b. executive summary
c. strategy
d. objectives
ANSWER: b
POINTS: 1
DIFFICULTY: Moderate
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVES: AIBP.OGUI.19.8-1
NATIONAL STANDARDS: United States - BUSPROG: Analytic
STATE STANDARDS: United States - OH - DISC: DISC: PromotionMarketing P - DISC: Promotion
KEYWORDS: Bloom's: Comprehension
DATE CREATED: 12/17/2017 11:39 PM
DATE MODIFIED: 12/17/2017 11:39 PM
35. A food company researches perceived healthy choices. The target markets that are ultimately chosen based on this
research should be defined in the _____ section of the ad plan.
a. situational analysis
b. competitor analysis
c. executive summary
d. secondary media
ANSWER: a
POINTS: 1
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DIFFICULTY: Difficult
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVES: AIBP.OGUI.19.8-3
NATIONAL STANDARDS: United States - BUSPROG: Analytic STATE
STATE STANDARDS: United States - OH - DISC: Customer
KEYWORDS: Bloom's: Application
DATE CREATED: 12/17/2017 11:40 PM
DATE MODIFIED: 12/17/2017 11:40 PM
37. In advertising, relying only on one’s own personal values, experiences, and backgrounds to make promotional
decisions refers to a concept called ___________ and can be bad for global advertising.
a. ethnocentrism
b. purchase intent
c. share of voice
d. self-reference criterion
ANSWER: d
POINTS: 1
DIFFICULTY: Difficult
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVES: AIBP.OGUI.19.8-1
NATIONAL STANDARDS: United States - BUSPROG: Analytic STATE
STATE STANDARDS: United States - OH - DISC: Customer
KEYWORDS: Bloom's: Application
DATE CREATED: 12/17/2017 11:41 PM
DATE MODIFIED: 12/17/2017 11:42 PM
40. What part of an overall situation analysis relates to copy strategy, a media plan, and integrated brand
promotion?
a. historical context
b. industry analysis
c. competitor analysis
d. execution
ANSWER: d
POINTS: 1
DIFFICULTY: Moderate
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
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LEARNING OBJECTIVES: AIBP.OGUI.19.8-3
NATIONAL STANDARDS: United States - BUSPROG: Analytic
STATE STANDARDS: United States - OH - DISC: DISC: PromotionMarketing P - DISC: Promotion
KEYWORDS: Bloom's: Knowledge
DATE CREATED: 12/17/2017 11:44 PM
DATE MODIFIED: 12/17/2017 11:45 PM
43. Top-of-mind awareness means that when he says safety, she thinks of Volvo:
a. first.
b. rarely.
c. somewhere on her list of brands.
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d. some later day when a friend buys one.
ANSWER: a
POINTS: 1
DIFFICULTY: Moderate
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVES: AIBP.OGUI.19.8-1
NATIONAL STANDARDS: United States - BUSPROG: Analytic STATE
STATE STANDARDS: United States - OH - DISC: Customer
KEYWORDS: Bloom's: Application
DATE CREATED: 12/17/2017 11:46 PM
DATE MODIFIED: 12/17/2017 11:47 PM
44. To determine the public’s knowledge of a product, a marketer may ask consumers to name five technology
companies. Apple is the brand most often listed first; this is considered to demonstrate:
a. top-of-the-mind awareness.
b. purchase intent.
c. ethnocentrism.
d. market awareness.
ANSWER: a
POINTS: 1
DIFFICULTY: Moderate
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVES: AIBP.OGUI.19.8-1
NATIONAL STANDARDS: United States - BUSPROG: Analytic STATE
STATE STANDARDS: United States - OH - DISC: Customer
KEYWORDS: Bloom's: Application
DATE CREATED: 12/17/2017 11:47 PM
DATE MODIFIED: 12/17/2017 11:47 PM
45. _______ can be increased with in-package coupons and rebates on initial purchase.
a. Repeat purchase
b. Information-density
c. Brand-switching
d. Visual imagery
ANSWER: b
POINTS: 1
DIFFICULTY: Moderate
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVES: AIBP.OGUI.19.8-1
NATIONAL STANDARDS: United States - BUSPROG: Analytic
STATE STANDARDS: United States - OH - DISC: DISC: PromotionMarketing P - DISC: Promotion
KEYWORDS: Bloom's: Comprehension
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DATE CREATED: 12/17/2017 11:48 PM
DATE MODIFIED: 12/17/2017 11:48 PM
46. In theory, of the major options for advertising objectives, _______ asks the least of consumers.
a. trial usage
b. purchase
c. repeat purchase
d. brand awareness
ANSWER: d
POINTS: 1
DIFFICULTY: Difficult
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVES: AIBP.OGUI.19.8-1
NATIONAL STANDARDS: United States - BUSPROG: Analytic
STATE STANDARDS: United States - OH - DISC: DISC: PromotionMarketing P - DISC: Promotion
KEYWORDS: Bloom's: Comprehension
DATE CREATED: 12/17/2017 11:48 PM
DATE MODIFIED: 12/17/2017 11:49 PM
47. A food manufacturer surveys consumers, asking them if they plan on buying dinner at one of its outlets soon. What
is the manufacturer researching?
a. Brand awareness
b. Purchase intent
c. Self-reference criterion
d. Top-of-the-mind awareness
ANSWER: b
POINTS: 1
DIFFICULTY: Difficult
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVES: AIBP.OGUI.19.8-1
NATIONAL STANDARDS: United States - BUSPROG: Analytic STATE
STATE STANDARDS: United States - OH - DISC: Customer
KEYWORDS: Bloom's: Application
DATE CREATED: 12/17/2017 11:50 PM
DATE MODIFIED: 12/17/2017 11:50 PM
48. A shoe company would like men to at least buy their boots once and see how they like it. Which of the following is
more likely to be the company’s objective?
a. Purchase intent
b. Trial usage
c. Repeat purchase
d. Build-up purchase
ANSWER: b
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POINTS: 1
DIFFICULTY: Moderate
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVES: AIBP.OGUI.19.8-1
NATIONAL STANDARDS: United States - BUSPROG: Analytic
STATE STANDARDS: United States - OH - DISC: DISC: PromotionMarketing P - DISC: Promotion
KEYWORDS: Bloom's: Application
DATE CREATED: 12/17/2017 11:50 PM
DATE MODIFIED: 12/17/2017 11:51 PM
52. Costs associated with advertising that are not directly accounted for are prominent examples of .
a. principal finances
b. ancillary costs
c. major finances
d. primary costs
ANSWER: b
POINTS: 1
DIFFICULTY: Moderate
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVES: AIBP.OGUI.19.8-3
NATIONAL STANDARDS: United States - BUSPROG: Analytic
STATE STANDARDS: United States - OH - DISC: DISC: PromotionMarketing P - DISC: Promotion
KEYWORDS: Bloom's: Knowledge
DATE CREATED: 12/17/2017 11:56 PM
DATE MODIFIED: 12/17/2017 11:57 PM
53. ACEO announces that sales went up significantly last year, and themarketing director is happy because this means
her budget will also go up. This indicates that the firm is using the ________ to set the advertising budget.
a. objective-and-sales approach
b. share-of-market approach
c. percentage-of-sales approach
d. advertising response function
ANSWER: c
POINTS: 1
DIFFICULTY: Moderate
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
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LEARNING OBJECTIVES: AIBP.OGUI.19.8-5
NATIONAL STANDARDS: United States - BUSPROG: Analytic
STATE STANDARDS: United States - OH - DISC: DISC: PromotionMarketing P - DISC: Promotion
KEYWORDS: Bloom's: Application
DATE CREATED: 12/17/2017 11:57 PM
DATE MODIFIED: 12/17/2017 11:57 PM
55. Which budgeting method monitors the amount spent by significant competitors and then allocates an equal or
proportionate amount as its advertising dollars?
a. Share-of-voice approach
b. Objective-and-task approach
c. Advertising response function
d. Percentage-of-sales approach
ANSWER: a
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVES: AIBP.OGUI.19.8-5
NATIONAL STANDARDS: United States - BUSPROG: Analytic
STATE STANDARDS: United States - OH - DISC: DISC: PromotionMarketing P - DISC: Promotion
KEYWORDS: Bloom's: Knowledge
DATE CREATED: 12/17/2017 11:58 PM
DATE MODIFIED: 12/17/2017 11:59 PM
56. One problem with marketers who rely on a share-of-voice budget plan is that they assume that:
a. their competition doesn’t know how to allocate its advertising dollars.
b. their sales figures should automatically dictate their advertising figures.
Copyright Cengage Learning. Powered by Cognero. Page 20
c. they know how much competitors are really spending.
d. their ad is distinct, unique, and superior among all others in the field.
ANSWER: c
POINTS: 1
DIFFICULTY: Moderate
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVES: AIBP.OGUI.19.8-5
NATIONAL STANDARDS: United States - BUSPROG: Analytic
STATE STANDARDS: United States - OH - DISC: DISC: PromotionMarketing P - DISC: Promotion
KEYWORDS: Bloom's: Comprehension
DATE CREATED: 12/17/2017 11:59 PM
DATE MODIFIED: 12/18/2017 12:00 AM
57. The __________ is calculated to lead to a point where an optimal advertising expenditure results in an optimal sales
level and, in turn, an optimal profit.
a. objective-and-task method
b. share-of-market method
c. percentage-of-sales system
d. response model
ANSWER: d
POINTS: 1
DIFFICULTY: Difficult
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVES: AIBP.OGUI.19.8-5
NATIONAL STANDARDS: United States - BUSPROG: Analytic
STATE STANDARDS: United States - OH - DISC: DISC: PromotionMarketing P - DISC: Promotion
KEYWORDS: Bloom's: Comprehension
DATE CREATED: 12/18/2017 12:00 AM
DATE MODIFIED: 12/18/2017 12:01 AM
58. The budgeting method that specifically relates spending to goals is the:
a. share-of-market approach.
b. percentage-of-sales approach.
c. objective-and-task approach.
d. share-of-voice approach.
ANSWER: c
POINTS: 1
DIFFICULTY: Moderate
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVES: AIBP.OGUI.19.8-5
NATIONAL STANDARDS: United States - BUSPROG: Analytic
STATE STANDARDS: United States - OH - DISC: DISC: PromotionMarketing P - DISC: Promotion
Copyright Cengage Learning. Powered by Cognero. Page 21
KEYWORDS: Bloom's: Comprehension
DATE CREATED: 12/18/2017 12:01 AM
DATE MODIFIED: 12/18/2017 12:02 AM
60. Within the advertising plan, what does a build-up analysis actually build up?
a. The backlog of consumer profiles to be used
b. The expenditure level for tasks to be done
c. The sales expected to be seen
d. The goals and objectives to be pursued
ANSWER: b
POINTS: 1
DIFFICULTY: Moderate
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVES: AIBP.OGUI.19.8-5
NATIONAL STANDARDS: United States - BUSPROG: Analytic
STATE STANDARDS: United States - OH - DISC: DISC: PromotionMarketing P - DISC: Promotion
KEYWORDS: Bloom's: Comprehension
DATE CREATED: 12/18/2017 12:03 AM
DATE MODIFIED: 12/18/2017 12:03 AM
61. The strategy section of an advertising plan is the mechanism that states:
a. why the advertising is needed for this product or service.
b. what goals need to be reached.
c. how things will be done so that objectives are achieved.
d. who will handle various promotional tasks.
ANSWER: c
POINTS: 1
Copyright Cengage Learning. Powered by Cognero. Page 22
DIFFICULTY: Moderate
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVES: AIBP.OGUI.19.8-6
NATIONAL STANDARDS: United States - BUSPROG: Analytic
STATE STANDARDS: United States - OH - DISC: DISC: PromotionMarketing P - DISC: Promotion
KEYWORDS: Bloom's: Knowledge
DATE CREATED: 12/18/2017 12:04 AM
DATE MODIFIED: 12/18/2017 12:04 AM
62. The ways in which the media objectives will be accomplished are described in the
a. copy strategy section.
b. build-up analysis.
c. objective-and-task method.
d. media plan.
ANSWER: d
POINTS: 1
DIFFICULTY: Moderate
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVES: AIBP.OGUI.19.8-7
NATIONAL STANDARDS: United States - BUSPROG: Analytic
STATE STANDARDS: United States - OH - DISC: DISC: PromotionMarketing P - DISC: Promotion
KEYWORDS: Bloom's: Knowledge
DATE CREATED: 12/18/2017 12:05 AM
DATE MODIFIED: 12/18/2017 2:23 AM
64. In a ______, the objectives state what the advertiser intends to accomplish in headlines, subheads, and text, while
Copyright Cengage Learning. Powered by Cognero. Page 23
the methods describe how the objectives will be achieved.
a. media plan
b. budgetary plan
c. copy strategy
d. build-up analysis
ANSWER: c
POINTS: 1
DIFFICULTY: Moderate
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVES: AIBP.OGUI.19.8-7; 8-4
NATIONAL STANDARDS: United States - BUSPROG: Analytic
STATE STANDARDS: United States - OH - DISC: DISC: PromotionMarketing P - DISC: Promotion
KEYWORDS: Bloom's: Comprehension
DATE CREATED: 12/18/2017 12:06 AM
DATE MODIFIED: 12/18/2017 12:08 AM
65. A canned soup manufacturer and its agency are nailing down the responsibilities of each side as they begin their
planning effort. In a nutshell, the agency will:
a. translate goals into strategies and create promotions and finished ads for the product.
b. decide how they should grade themselves.
c. leave it up to the client to decide the advertising plan.
d. determine how long they will have to achieve the agreed on objectives.
ANSWER: a
POINTS: 1
DIFFICULTY: Moderate
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVES: AIBP.OGUI.19.8-4
NATIONAL STANDARDS: United States - BUSPROG: Analytic
STATE STANDARDS: United States - OH - DISC: DISC: PromotionMarketing P - DISC: Promotion
KEYWORDS: Bloom's: Application
DATE CREATED: 12/18/2017 12:08 AM
DATE MODIFIED: 12/18/2017 12:08 AM
Scenario 8-1
You are owner of a 19-person advertising agency in a major market. You've been invited to pitch the Girl Powers
account, the largest female-only fitness center chain in the region, one that could quickly grow into a national franchise.
If you land the account, it will be your biggest revenue producer by far. You'll be able to staff up, move to a nicer space,
and buy some decent office furniture. It also will put you, personally, in a position to make money by selling out to a
larger agency someday. Considering the importance of the pitch to Girl Powers execs, you have decided to spearhead
the pitch yourself.
67. (Scenario 8-1) You begin with crucial information that Girl Powers execs need to know, even if they remember
nothing else; this overview is in the ________ section.
a. situation analysis
b. execution
c. strategy
d. executive summary
ANSWER: d
POINTS: 1
DIFFICULTY: Moderate
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
PREFACE NAME: New Preface
LEARNING OBJECTIVES: AIBP.OGUI.19.8-1
NATIONAL STANDARDS: United States - BUSPROG: Analytic
STATE STANDARDS: United States - OH - DISC: DISC: PromotionMarketing P - DISC: Promotion
KEYWORDS: Bloom's: Application
DATE CREATED: 12/18/2017 12:09 AM
DATE MODIFIED: 12/18/2017 12:11 AM
68. (Scenario 8-1) One of the main tasks will be to work with the marketing director at Girl Powers to determine exactly
what she wants from its new advertising campaign. Which elements identify the specific goals that you will ask her to
provide in concrete terms?
a. strategies
b. tactics
c. objectives
d. executions
ANSWER: c
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
69. (Scenario 8-1) In the past, Girl Powers has set sales objectives for its advertising. You feel that this doesn't take into
account the overall complexities presented in the analysis. Therefore, you are recommending combining sales objectives
with:
a. ethnocentrism.
b. marketing incentives.
c. communications objectives.
d. self-reference criteria.
ANSWER: c
POINTS: 1
DIFFICULTY: Moderate
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVES: AIBP.OGUI.19.8-3
NATIONAL STANDARDS: United States - BUSPROG: Analytic
STATE STANDARDS: United States - OH - DISC: DISC: PromotionMarketing P - DISC: Promotion
KEYWORDS: Bloom's: Application
DATE CREATED: 12/18/2017 12:14 AM
DATE MODIFIED: 12/18/2017 12:15 AM
70. (Scenario 8-1) The folks at Girl Powers initially consider using an advertising budgeting method that identifies a
mathematical relationship associating ad dollars spent with sales generated. This would be the:
a. product reactance approach.
b. ethnocentric method.
c. advertising response function.
d. share-of-m a r ke t approach.
ANSWER: c
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVES: AIBP.OGUI.19.8-5
NATIONAL STANDARDS: United States - BUSPROG: Analytic
STATE STANDARDS: United States - OH - DISC: DISC: PromotionMarketing P - DISC: Promotion
KEYWORDS: Bloom's: Application
DATE CREATED: 12/18/2017 12:15 AM
DATE MODIFIED: 12/18/2017 12:15 AM
71. (Scenario 8-1) It is ultimately decided that the ad budget will base spending on what needs to be accomplished from
Scenario 8-2
Following the announcement that the world's largest e-tailer, Amazon.com, had made a profit for the first time since it
started business in the early 1990s, the company saw more than 90 percent of its market value disappear as part of the
dot-com collapse. It is questionable whether or not Amazon figured out a profitable business model after changing its
tune several times over those early years. Then it began circling back somewhat to an earlier focus on becoming the
Walmart of the Internet. It said it wanted to sell huge volumes of merchandise cheaply, and in the process eke out
enough of a profit to satisfy Wall Street.
Although investors had to wait some time for the e-tailer to work out the kinks, and it's uncertain how much longer
they'll remain patient, Amazon's mainstay retail business may see further improvements as it grows. As we all have now
witnessed, unlike brick-and-mortar retailers who must build new stores, stock them, and hire people to staff them,
Amazon has been able to open new stores with minimal additional cost. Some years ago, it reported turning over its
inventory 17 times a year—close to double that of traditional retailers at the time. And on average, it reported having
gotten paid 32 days before it must pay its suppliers—in essence, providing millions of dollars in cash flow.
72. (Scenario 8-2) Amazon.com began by facing a myriad of problems since its inception, with perhaps the biggest
obstacle being the demise of hundreds of dot-com companies in the late 1990s and early 2000. Those dot-com
companies that did survive initially had a difficult time making a profit, and over time, a few began to face new
competition. The issue as to who will supply online consumers has been continually evolving and changing since then.
This type of information would most likely be noted in the section of an ad plan.
a. historical context
b. purchase intent
c. market analysis
d. budgeting
ANSWER: a
POINTS: 1
DIFFICULTY: Moderate
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
PREFACE NAME: New Preface
73. (Scenario 8-2) In the early days of Internet shopping, people were skeptical about the idea of buying things over the
computer, largely due to their worries about privacy issues combined with their habitual patterns of purchasing at retail
outlets. Some concerns remain today. But many years after the shake-out of companies in the dot-com world, players
that survived have come back stronger. And new players have come onto the scene. The demand is obviously there, and
this has instilled a feeling of trust in millions of customers who make purchases online. The concept of customers having
enhanced trust in e-tailing would most likely be contained in the section of the advertising plan.
a. budget analysis
b. market analysis
c. industry analysis
d. competitor analysis
ANSWER: b
POINTS: 1
DIFFICULTY: Moderate
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVES: AIBP.OGUI.19.8-1
NATIONAL STANDARDS: United States - BUSPROG: Analytic
STATE STANDARDS: United States - OH - DISC: DISC: PromotionMarketing P - DISC: Promotion
KEYWORDS: Bloom's: Application
DATE CREATED: 12/18/2017 12:18 AM
DATE MODIFIED: 12/18/2017 12:18 AM
74. (Scenario 8-2) Amazon was one of the first online retailers to launch advanced technology to track consumer visits
and suggest products whenever they returned to the site. This ability to find out what customers have bought in the
past, and project that they will buy similar items in the future, has been a key factor underlying Amazon's strategy and
growth. When Amazon asks customers if they plan on buying certain products in the future, it is measuring:
a. share of market.
b. brand awareness.
c. share of voice.
d. purchase intent.
ANSWER: d
POINTS: 1
DIFFICULTY: Moderate
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVES: AIBP.OGUI.19.8-6
NATIONAL STANDARDS: United States - BUSPROG: Analytic STATE
STATE STANDARDS: United States - OH - DISC: Customer
KEYWORDS: Bloom's: Application
Copyright Cengage Learning. Powered by Cognero. Page 28
DATE CREATED: 12/18/2017 12:19 AM
DATE MODIFIED: 12/18/2017 12:19 AM
75. (Scenario 8-2) Like many firms, Amazon has refined its priorities over the years. Many firms begin by setting as their
advertising objective something that is often disputed by communications-oriented marketers. They choose as
their primary advertising objective.
a. stimulating trial use
b. boosting sales
c. establishing brand recall
d. identifying purchase intent
ANSWER: b
POINTS: 1
DIFFICULTY: Moderate
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVES: AIBP.OGUI.19.8-2
NATIONAL STANDARDS: United States - BUSPROG: Analytic
STATE STANDARDS: United States - OH - DISC: DISC: PromotionMarketing P - DISC: Promotion
KEYWORDS: Bloom's: Application
DATE CREATED: 12/18/2017 12:20 AM
DATE MODIFIED: 12/18/2017 12:20 AM
76. (Scenario 8-2) When dealing with its advertising agency, Amazon wants a strategy that maximizes media
expenditures to target the appropriate markets. It is Amazon’s primary responsibility to bring forth a well-articulated
statement of the brand's , a key concept in reaching and informing the customer through promotion.
a. analysis
b. awareness
c. competition
d. value
ANSWER: d
POINTS: 1
DIFFICULTY: Difficult
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVES: AIBP.OGUI.19.8-4
NATIONAL STANDARDS: United States - BUSPROG: Analytic
STATE STANDARDS: United States - OH - DISC: DISC: PromotionMarketing P - DISC: Promotion
KEYWORDS: Bloom's: Application
DATE CREATED: 12/18/2017 12:21 AM
DATE MODIFIED: 12/18/2017 12:21 AM
Scenario 8-3
After working as an account executive in an advertising agency for 20 years, you've decided you want to own your own
business. You buy Springfield Hardware, a neighborhood hardware store, from a man who has owned and run the
business for the past 52 years. He sells you the store and its entire inventory, but with one warning—he wasn't much on
paperwork, so there won't be a lot of records to be found. You buy the store and begin to create your ad plan.
Copyright Cengage Learning. Powered by Cognero. Page 29
77. (Scenario 8-3) Due to the lack of records, you have no way of knowing what Springfield Hardware has gone through
over the years. You can only guess about the hardware needs of the local population, and the store’s target market and
customer base. This will be a major hindrance in writing the sections of your situation analysis.
a. overview and executive summary
b. industry analysis and historical context
c. strategy and execution
d. historical context and market analysis
ANSWER: d
POINTS: 1
DIFFICULTY: Moderate
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
PREFACE NAME: New Preface
LEARNING OBJECTIVES: AIBP.OGUI.19.8-3 and 8-7
NATIONAL STANDARDS: United States - BUSPROG: Analytic
STATE STANDARDS: United States - OH - DISC: DISC: PromotionMarketing P - DISC: Promotion
KEYWORDS: Bloom's: Application
DATE CREATED: 12/18/2017 12:21 AM
DATE MODIFIED: 12/18/2017 12:22 AM
78. (Scenario 8-3) There is one thing you’d like to see as a result of your ad campaign—you want local residents not only
to know your name, but also to think of it first when they need a hardware store. When you think of hardware, think of
Springfield. Which concept defines this objective?
a. top-of-mind awareness
b. purchase intent
c. trial usage
d. repeat purchase
ANSWER: a
POINTS: 1
DIFFICULTY: Moderate
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVES: AIBP.OGUI.19.8-4
NATIONAL STANDARDS: United States - BUSPROG: Analytic
STATE STANDARDS: United States - OH - DISC: DISC: PromotionMarketing P - DISC: Promotion
KEYWORDS: Bloom's: Application
DATE CREATED: 12/18/2017 12:23 AM
DATE MODIFIED: 12/18/2017 12:23 AM
79. (Scenario 8-3) Your goals are very important at this stage, and you want to avoid budgeting methods that neglect to
consider goals. This means that you can cross off one approach that is notorious for failing to relate advertising dollars to
advertising objectives, and since you have no past records, this method would be impossible to implement anyway.
Which of the following methods is this?
a. share-of-market approach
b. share-of-voice approach
Copyright Cengage Learning. Powered by Cognero. Page 30
c. percentage-of-sales approach
d. objective-and-task approach
ANSWER: c
POINTS: 1
DIFFICULTY: Moderate
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVES: AIBP.OGUI.19.8-5
NATIONAL STANDARDS: United States - BUSPROG: Analytic
STATE STANDARDS: United States - OH - DISC: DISC: PromotionMarketing P - DISC: Promotion
KEYWORDS: Bloom's: Application
DATE CREATED: 12/18/2017 12:24 AM
DATE MODIFIED: 12/18/2017 12:24 AM
80. (Scenario 8-3) You're currently deciding exactly where and when ads will be placed, and determining the strategy
behind each placement. This takes a while—with the explosion of Internet sites, outdoor advertising, and innovative
promotions, the options are almost unlimited. In this way, you are:
a. setting up account services.
b. creating a media plan.
c. devising a budgeting method.
d. doing advertising research.
ANSWER: b
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVES: AIBP.OGUI.19.8-7
NATIONAL STANDARDS: United States - BUSPROG: Analytic
STATE STANDARDS: United States - OH - DISC: DISC: PromotionMarketing P - DISC: Promotion
KEYWORDS: Bloom's: Application
DATE CREATED: 12/18/2017 12:25 AM
DATE MODIFIED: 12/18/2017 12:25 AM
81. (Scenario 8-3) You decide that as soon as you are financially able, you will hire an agency to put together an
advertising plan for you. Unfortunately, you realize that even if you do hire an agency, you will still have to provide the
agency with statements regarding:
a. the value proposition and the marketing mix.
b. the budget recommendation and the ad strategy.
c. the competition and the media plan.
d. the ad design and ad placement.
ANSWER: a
POINTS: 1
DIFFICULTY: Difficult
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
Copyright Cengage Learning. Powered by Cognero. Page 31
LEARNING OBJECTIVES: AIBP.OGUI.19.8-7
NATIONAL STANDARDS: United States - BUSPROG: Analytic
STATE STANDARDS: United States - OH - DISC: DISC: PromotionMarketing P - DISC: Promotion
KEYWORDS: Bloom's: Application
DATE CREATED: 12/18/2017 12:26 AM
DATE MODIFIED: 12/18/2017 12:26 AM
Scenario 8-4
American Express is dissatisfied with the degree of penetration of its Gold Rewards Plus card in the U.S. market.
Marketing managers at American Express feel that the firm needs to increase advertising to small entrepreneurial
businesses to encourage more acceptance of the card for use in purchasing office supplies and durable goods like
computers and office furniture. American Express feels that to accomplish the goal of increased penetration in this
sector, the budget should be based on communications objectives aimed at certain target markets.
82. (Scenario 8-4) Within various sections of the _______ portion of its advertising plan, American Express explains
how and why Visa has been more successful at penetrating the small business market because of lower fees.
a. evaluation
b. execution
c. strategy
d. situation analysis
ANSWER: d
POINTS: 1
DIFFICULTY: Moderate
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
PREFACE NAME: New Preface
LEARNING OBJECTIVES: AIBP.OGUI.19.8-3
NATIONAL STANDARDS: United States - BUSPROG: Analytic
STATE STANDARDS: United States - OH - DISC: DISC: PromotionMarketing P - DISC: Promotion
KEYWORDS: Bloom's: Application
DATE CREATED: 12/18/2017 12:26 AM
DATE MODIFIED: 12/18/2017 12:28 AM
83. (Scenario 8-4) Within the ______ portion of its advertising plan, American Express suggests that the most
important outcome of the campaign will be for Visa customers to start switching to American Express in this market
segment.
a. strategy
b. execution
c. situation analysis
d. objectives
ANSWER: d
POINTS: 1
DIFFICULTY: Moderate
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVES: AIBP.OGUI.19.8-1
84. (Scenario 8-4) American Express marketers say they do not use the ______ advertising budgeting method, because
if sales begin to decrease in this segment, so will their budget.
a. share-of-market
b. percentage-of-sales
c. share-of-voice
d. objective-and-task
ANSWER: b
POINTS: 1
DIFFICULTY: Moderate
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVES: AIBP.OGUI.19.8-5
NATIONAL STANDARDS: United States - BUSPROG: Analytic
STATE STANDARDS: United States - OH - DISC: DISC: PromotionMarketing P - DISC: Promotion
KEYWORDS: Bloom's: Application
DATE CREATED: 12/18/2017 12:30 AM
DATE MODIFIED: 12/18/2017 12:31 AM
85. (Scenario 8-4) The marketers are keenly aware that many budgeting methods fail to address the objectives originally
set and relate these to the dollars to be spent. Which budgeting technique is American Express ultimately most likely to
use, based on this awareness and the information in this scenario?
a. Share-of-market approach
b. Objective-and-task approach
c. Percentage-of-sales approach
d. Share-of-voice approach
ANSWER: b
POINTS: 1
DIFFICULTY: Moderate
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVES: AIBP.OGUI.19.8-5
NATIONAL STANDARDS: United States - BUSPROG: Analytic
STATE STANDARDS: United States - OH - DISC: DISC: PromotionMarketing P - DISC: Promotion
KEYWORDS: Bloom's: Application
DATE CREATED: 12/18/2017 12:31 AM
DATE MODIFIED: 12/18/2017 12:32 AM
86. (Scenario 8-4) American Express has decided to do a specific type of analysis that focuses on reach, frequency, time
frame, production costs, media expenditures, and other specific elements. These factors are always included in a(n)
analysis.
Copyright Cengage Learning. Powered by Cognero. Page 33
a. market
b. situation
c. build-up
d. industry
ANSWER: c
POINTS: 1
DIFFICULTY: Moderate
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVES: AIBP.OGUI.19.8-5
NATIONAL STANDARDS: United States - BUSPROG: Analytic
STATE STANDARDS: United States - OH - DISC: DISC: PromotionMarketing P - DISC: Promotion
KEYWORDS: Bloom's: Application
DATE CREATED: 12/18/2017 12:32 AM
DATE MODIFIED: 12/18/2017 12:33 AM
Scenario 8-5
Helene Curtis is preparing to introduce a new brand of all-natural-ingredient shampoo into the market. In test
marketing, many consumers liked the product, but their comments indicated that it is different enough from existing
brands that significant promotion and information will be needed to convince them to switch from their current brands.
Helene Curtis has always used an objective-and-task approach to develop advertising budgets. Due to these research
results, the firm must now do a detailed build-up analysis.
87. (Scenario 8-5) Helene Curtis has once again decided to use objective-and-task budgeting to set the advertising
expenditures. This is the only budgeting method that focuses specifically on advertising spending:
a. as leading to advertising sales.
b. as calculated by a mathematical formula.
c. as determined by percentage of gross profit.
d. as related to advertising objectives.
ANSWER: d
POINTS: 1
DIFFICULTY: Moderate
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
PREFACE NAME: New Preface
LEARNING OBJECTIVES: AIBP.OGUI.19.8-5
NATIONAL STANDARDS: United States - BUSPROG: Analytic
STATE STANDARDS: United States - OH - DISC: DISC: PromotionMarketing P - DISC: Promotion
KEYWORDS: Bloom's: Application
DATE CREATED: 12/18/2017 12:33 AM
DATE MODIFIED: 12/18/2017 12:34 AM
88. (Scenario 8-5) The advertising agency for Helene Curtis is in the process of doing a build-up analysis. This means it is:
a. isolating the key costs in moving from awareness to preference to purchase of the shampoo.
b. determining the cost of building up awareness of the new shampoo to a predetermined level.
c. adding up each cost associated with a task identified in the advertising plan for the shampoo.
Copyright Cengage Learning. Powered by Cognero. Page 34
d. determining the approximate time frame that will be necessary to meet all advertising objectives in
promoting the shampoo.
ANSWER: c
POINTS: 1
DIFFICULTY: Difficult
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVES: AIBP.OGUI.19.8-5
NATIONAL STANDARDS: United States - BUSPROG: Analytic
STATE STANDARDS: United States - OH - DISC: DISC: PromotionMarketing P - DISC: Promotion
KEYWORDS: Bloom's: Application
DATE CREATED: 12/18/2017 12:34 AM
DATE MODIFIED: 12/18/2017 12:35 AM
89. (Scenario 8-5) Which element of the build-up analysis will identify the demographic and geographic exposure that
the advertising for the shampoo hopes to achieve?
a. Frequency
b. Media
c. Production
d. Reach
ANSWER: d
POINTS: 1
DIFFICULTY: Moderate
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVES: AIBP.OGUI.19.8-5
NATIONAL STANDARDS: United States - BUSPROG: Analytic
STATE STANDARDS: United States - OH - DISC: DISC: PromotionMarketing P - DISC: Promotion
KEYWORDS: Bloom's: Application
DATE CREATED: 12/18/2017 12:36 AM
DATE MODIFIED: 12/18/2017 12:36 AM
90. (Scenario 8-5) The build-up analysis will also address costs not listed elsewhere, particularly those associated with
advertising to the trade and doing specialized research. Which factor does this involve?
a. Ancillary costs
b. Production costs
c. Media expenditures
d. Promotional costs
ANSWER: a
POINTS: 1
DIFFICULTY: Difficult
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVES: AIBP.OGUI.19.8-5
NATIONAL STANDARDS: United States - BUSPROG: Analytic
Copyright Cengage Learning. Powered by Cognero. Page 35
STATE STANDARDS: United States - OH - DISC: DISC: PromotionMarketing P - DISC: Promotion
KEYWORDS: Bloom's: Application
DATE CREATED: 12/18/2017 12:36 AM
DATE MODIFIED: 12/18/2017 12:37 AM
91. (Scenario 8-5) The number of exposures required to accomplish the advertising objectives for the shampoo, referred
to as , will also be included in the build-up analysis for Helene Curtis.
a. execution
b. production
c. frequency
d. reach
ANSWER: c
POINTS: 1
DIFFICULTY: Moderate
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVES: AIBP.OGUI.19.8-5
NATIONAL STANDARDS: United States - BUSPROG: Analytic
STATE STANDARDS: United States - OH - DISC: DISC: PromotionMarketing P - DISC: Promotion
KEYWORDS: Bloom's: Application
DATE CREATED: 12/18/2017 12:37 AM
DATE MODIFIED: 12/18/2017 12:38 AM
92. Describe the essential difference between an industry analysis and a market analysis. In what section of an ad plan
are these typically included? What are the other considerations for an advertiser that should be part of this section?
Where does the competitor analysis come in?
ANSWER: An industry analysis focuses on developments and trends within an industry and on any
other factors that may make a difference in how an advertiser proceeds with an
advertising plan. An industry analysis should enumerate and discuss the most important
aspects of a given industry, or the supply side of the supply-demand equation.
A market analysis is the flip side of an industry analysis. It describes the demand side of
the supply-demand equation. An advertiser examines the factors that drive and
determine the market of consumers for the firm's product or service. First, the advertiser
needs to identify and define that market.
An industry analysis and a market analysis are both part of a situation analysis.
Advertisers should also include the historical context and a competitor analysis as part of
this situation analysis.
A competitor analysis, conducted after these initial analyses are completed, identifies the
main competitors, their strengths and weaknesses, and any serious threats that they
represent.
POINTS: 1
DIFFICULTY: Difficult
QUESTION TYPE: Essay
HAS VARIABLES: False
LEARNING OBJECTIVES: AIBP.OGUI.19.8-1
NATIONAL STANDARDS: United States - BUSPROG: Analytic
STATE STANDARDS: United States - OH - DISC: DISC: PromotionMarketing P - DISC: Promotion
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KEYWORDS: Bloom's: Comprehension
DATE CREATED: 12/18/2017 12:38 AM
DATE MODIFIED: 12/18/2017 12:38 AM
93. Define these terms: brand awareness, top-of-the-mind awareness, purchase intent, trial usage, repeat purchase, and
brand switching. Choose two of these concepts and give real-life examples.
ANSWER: Brand awareness is an indicator of consumer knowledge about the existence of a brand
and the ease with which that knowledge can be retrieved from the consumer’s memory.
Top-of-the-mind awareness is the condition that occurs when one brand comes up first
in the consumer’s list of preferred or remembered brands.
Purchase intent is the expression by the consumer to buy the brand at some time in the
future, presumably indicating that the consumer is closer to actual behavior than merely
having a positive attitude toward the brand.
Trial usage is the actual behavior of a consumer in trying a new brand and hoping that it
will live up to the expectations created by the advertising. This concept is commonly used
as an advertising objective.
Repeat purchase is the instance in which a consumer tries a new product and then
buys it a second time (also called conversion). It is considered a great milestone toward
gaining new regular users.
Brand switching is the instance when a consumer discards one brand for another. It is a
noble goal for advertisers, but reaching it can be a long and arduous task.
POINTS: 1
DIFFICULTY: Moderate
QUESTION TYPE: Essay
HAS VARIABLES: False
LEARNING OBJECTIVES: AIBP.OGUI.19.8-4
NATIONAL STANDARDS: United States - BUSPROG: Analytic
STATE STANDARDS: United States - OH - DISC: DISC: PromotionMarketing P - DISC: Promotion
KEYWORDS: Bloom's: Comprehension
DATE CREATED: 12/18/2017 12:39 AM
DATE MODIFIED: 12/18/2017 12:39 AM
94. Why is the objectives section of an advertising plan so important to an advertiser? Name at least three of the
objectives described in the text. For each objective, list one important consideration for advertisers.
ANSWER: Advertising objectives identify the goals of the advertiser in concrete terms. Without
them, there would be no solid direction for the campaign.
Brand awareness is a popular advertising objective. Creating or maintaining brand
awareness is an indicator of consumer knowledge about the existence of the brand and
the ease with which that knowledge can be retrieved from memory. Ease of retrieval
from memory is important because for many consumer goods or services, it is predictive
of market share.
Attitudes and beliefs can also be addressed in an advertising objective. This usually
involves creating or changing attitudes and beliefs about the product. However, while
attitudes may give a good indication of intentions and feelings about certain products,
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they do not necessarily predict actual buying behavior.
Purchase intent is another popular criterion in objective setting. The appeal of influencing
purchase intent is that, compared to consumer attitudes, consumer intentions are closer
to actual behavior, and thus closer to the desired sale.
Trial usage is an indicator of actual behavior and is commonly cited as an advertising
objective. In the case of new products, stimulating trial use is critically important. Repeat
purchase is aimed at the percentage of consumers who try a new product and then buy it
a second time. The odds of long-term product success go way up when this percentage is
high.
Brand switching is a challenging advertising objective. Convincing consumers to
permanently switch brands is a noble goal but it is not easy to accomplish—it can take a
lot of time, effort, creativity, and money, and even then it may not be a successful
venture.
Sales is sometimes listed as an advertising objective, but it can be a controversial one. The
idea that advertisements should directly increase product sales is often disputed by
marketers, since advertising is only one element in a complex market mix, and many
other factors can affect sales.
POINTS: 1
DIFFICULTY: Difficult
QUESTION TYPE: Essay
HAS VARIABLES: False
LEARNING OBJECTIVES: AIBP.OGUI.19.8-4
NATIONAL STANDARDS: United States - BUSPROG: Analytic
STATE STANDARDS: United States - OH - DISC: DISC: PromotionMarketing P - DISC: Promotion
KEYWORDS: Bloom's: Comprehension
DATE CREATED: 12/18/2017 12:39 AM
DATE MODIFIED: 12/18/2017 12:40 AM
95. Many marketers would take the stance that communications objectives are the only legitimate objectives for
advertising a brand like Sweet Sunshine. They would argue that it is not reasonable to set sales objectives for its
advertising effort when other variables in the mix might undermine the advertising effort, or might be responsible for
sales of Sweet Sunshine orange juice (or lack of sales) in the first place. In addition, viewing advertising as primarily a
communications effort will allow the marketer to consider a broader range of ad strategies in promoting the Sweet
Sunshine brand. Overall, communications objectives should create an awareness for the Sweet Sunshine brand, offer
information about its features and benefits, and develop a favorable attitude toward the brand that may lead to
consumer preference. These objectives have certain advantages over sales objectives—they consider a broader
range of strategies, and they gain a greater appreciation for the overall communications process.
But there is always the idea, even if it is in the background, that advertising must sell. So the marketer may use both
types, as long as certain criteria are met. Any objectives that enable a firm to make intelligent decisions about resource
allocation—whether based on communications or sales—must be stated in an advertising plan in terms specific to the
organization. The objectives must establish a quantitative benchmark, specify measurement methods and criteria for
success, and identify a time frame for the desired results to occur.
ANSWER:
POINTS: 1
DIFFICULTY: Difficult
QUESTION TYPE: Essay
HAS VARIABLES: False
LEARNING OBJECTIVES: AIBP.OGUI.19.8-2
NATIONAL STANDARDS: United States - BUSPROG: Analytic
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STATE STANDARDS: United States - OH - DISC: DISC: PromotionMarketing P - DISC: Promotion
KEYWORDS: Bloom's: Application
DATE CREATED: 12/18/2017 12:40 AM
DATE MODIFIED: 12/18/2017 12:40 AM
96. You are the marketing manager for an online merchandiser of a diverse line of casual sportswear, athletic clothing,
and outerwear for both men and women. Write a brief memo to your advertising agency. In the memo, explain why
you'd like the agency to abandon its recommendation for a share-of-market strategy in creating the budget. Give several
reasons why this approach is unfavorable. Then explain why you want the agency to adopt an objective-and- task
method. Also, there are four main steps that must be taken to implement this approach after advertising objectives are
determined. List as many as you can. (It is not necessary to describe the steps in detail.)
ANSWER: Share-of-market strategy. In the memo, you will want to explain that you can run into
several problems associated with the share-of-market method of setting advertising
objectives. First, it may be difficult to gain access to precise information about your
competitors' expenditures. Second, there is no reason to believe that your competitors
are spending their money wisely, or in a way even remotely related to what your firm
wants to accomplish. Third, a likely outcome of budgeting in this fashion is that your firm
will make little headway over the competition and but will simply maintain the status
quo. Fourth, the flaw in logic behind this method is the presumption that every
advertising effort has the same goals, is of the same quality, and will have the same effect
from a creative execution standpoint.
Objective-and-task strategy. Now your memo will address the preferred alternative. The
objective-and-task approach will allow you to focus on the relationship between your
spending and your advertising objectives. The budget is formulated by identifying the
specific tasks necessary to achieve different aspects of the objectives. The four major
steps that must be taken after advertising objectives have been set are (1) using a build-
up analysis to determine costs; (2) comparing the costs against industry and corporate
benchmarks; (3) reconciling and modifying the budget; and (4) determining the time
frame for payout.
POINTS: 1
DIFFICULTY: Difficult
QUESTION TYPE: Essay
HAS VARIABLES: False
LEARNING OBJECTIVES: AIBP.OGUI.19.8-5
NATIONAL STANDARDS: United States - BUSPROG: Analytic
STATE STANDARDS: United States - OH - DISC: DISC: PromotionMarketing P - DISC: Promotion
KEYWORDS: Bloom's: Application
DATE CREATED: 12/18/2017 12:40 AM
DATE MODIFIED: 12/18/2017 12:41 AM
97. A good advertising plan is the result of combining the knowledge and talents of both the advertising agency and the
client. In heading up a team that is creating the marketing plan for a large cosmetics firm, an account manager needs to
make sure all goals are met and all responsibilities are assigned. For what issues does the client take primary
responsibility? For what elements does the agency take primary responsibility?
ANSWER: The client’s role is to produce all necessary information on the firm, the brand, the
product, and the market. It should identify the firm's basis for offering value to
customers. The client should also clearly identify the external environment and the
opportunities and challenges that can be addressed with advertising. In addition, it should
The Arctic Fox (Canis lagopus) cannot compare with either of the
preceding animals in importance or interest, yet it figures very largely
in the journals of our Arctic explorers. It is smaller than the common
European fox; has a sharp nose, and short rounded ears, almost
concealed in its fur; the legs are short, and the toes covered both
above and below with a thick soft fur; the tail is shorter than that of
the common fox, but more bushy. Its range is very extensive, for it is
found in the lands bordering on the Polar Sea in both continents. As
winter approaches, its coat of hair grows thick and ragged; until at
length it becomes as white as snow—the change of colour taking
place last on the ridge of the back and the tip of the tail. Its food
consists of various small quadrupeds,—such as the Arctic hare and
the lemming,—on all kinds of water-fowl and their eggs, on the
carcasses of fish, shell-fish, and the refuse of the young seals killed
and devoured by the Polar bear. In the track of the latter it seems to
hunt systematically. It swims with dexterity, and will cross from island
to island in search of prey. Its fur is light and warm, though not very
durable, and for the sake of this fur it is pursued both in Arctic Asia,
Greenland, and Hudson Bay. It is a wary animal, however, and not
easily caught.
ARCTIC FOXES.
Dr. Hayes affords us an illustration of this statement.
As he and a follower, named Bonsall, on one occasion were
exploring in Northumberland Island, they discovered a fox
scampering away over the plain. Bonsall gave chase, but could not
arrive within shooting distance. Another was then heard barking
overhead at them. Dr. Hayes seized his gun, and climbing over some
huge boulders which filled the bottom of the gorge, endeavoured, by
crawling behind a rock, to overtake or approach the animal; but it
seemed to be aware of his intentions, and scampering away, led him
a wild chase across the plain. The astute Reynard first made off, so
that his assailant “could not cover him upon the cliff;” and when out
of danger, perched upon a stone, and barked at him in the most
tantalizing manner. The doctor approached within long range.
Immediately, as he was about to bring his gun to his shoulder, it
dropped behind the stone and fled to another, where it set up the
same rapid chatter,—a shrill “Huk! huk! huk!” sounding like a mixture
of anger and defiance. Again Dr. Hayes tried to approach it, but with
no better success; round and round it ran, until at length, weary of
following it, Dr. Hayes fired. Some of the shot probably touched it, for
it screamed loudly; but it fled with remarkable rapidity, and finally
baffled its pursuer.
As the flesh of the fox is by no means to be despised, and,
indeed, ranks as a dainty in the bill of fare of an Arctic navigator, a
hot pursuit of it is often maintained, and traps are constructed to
ensure its capture. These are usually built on much the same
principle as a rabbit-trap. Selecting a smooth level rock, the trappers
arrange some flat stones of about six inches thick, so as to enclose
on three sides an area of six inches by two feet and a half. Over this
enclosure other flat stones are laid; and between the two used to
close up one of the ends a peg is inserted, so as to project about an
inch within the trap.
To this peg, by means of a loop, is loosely hung a small piece of
meat; and to the same peg, outside, is attached another loop made
at the end of a cord, the cord being carried up through the rear of the
trap, and over the top to the front, where it is fastened round a thin
flat flag of slate, which moves freely up and down, being guided and
held by a couple of large blocks placed one on either side of the
entrance.
The way in which this machinery works is very simple:—
The fox enters under the slide or trap-door, advances to the rear,
seizes the bait, and attempts to back out. The bait, of course, is
pulled from the peg, and with it the loop supporting the door comes
off. As soon as its support is removed down comes the door, and
Master Reynard is entrapped. Everything now depends on the
manner in which the cracks have been closed up; for if the animal
can thrust its little nose between a couple of stones, it will assuredly
effect its escape. Nor is it less important that the enclosure should
not be sufficiently large to enable the fox to turn round; for in that
case it generally contrives to loosen the door, and depart in infinite
glee.
A FOX TRAP.
The Arctic fox is described by Dr. Hayes as the prettiest and most
provoking of living creatures. One which he unsuccessfully chased
for fully three hours was about the size of a domestic cat, round and
plump, white as the snow, with a long pointed nose, and a trailing
bushy tail, which seemed to be its particular pride. It was quite
evident that it enjoyed the perplexities of its hunters, as it leaped
from rock to rock, or circled round and about them, and showed the
utmost indifference to the miseries of their famished condition. It
rolled and tossed about among the loose drift, now springing into the
air, now bounding away, now stopping short, and now cocking its
head to one side and elevating one foot, as if listening, seeming all
the time to be intent on exhibiting its “points” to its enemies, for
whom it did not care the value of the minutest part of its very pretty
tail. Weary and exhausted, Dr. Hayes abandoned the pursuit, and
returned to his camp, followed by the fox, though always at a safe
distance; and when they last caught sight of it, as they looked back
from the rocks above the hut, it was mounted on an elevation,
uttering its shrill sharp cry, in apparent mockery of their defeat.
Of the supposed relations between the bear and the fox, Dr.
Kane remarks that he once thought his observations had confirmed
them. It is certain that they are frequently found together; the bear
striding on ahead with his prey, the fox behind gathering in the
crumbs as they fall; and Dr. Kane often saw the parasite licking at
the traces of a wounded seal which his champion had borne off over
the snow. The story is that the two hunt in couples. This may well be
doubted, though it is clear that the inferior animal rejoices in his
association with the superior, at least for the profits, if not the
sympathy it brings to him. “I once wounded a bear,” says Dr. Kane,
“when I was out with Morton, and followed him for twelve miles over
the ice. A miserable little fox travelled close behind his patron, and
licked up the blood wherever he lay down. The bear at last made the
water; and as we returned from our fruitless chase, we saw the fox
running at full speed along the edge of the thin ice as if to rejoin
him.”
PTARMIGAN.
Of the Corvidæ, the only species which ventures beyond the
Arctic Circle is the Royston crow, and that only in summer.
The raven, however, is found in all the wide Polar realm, and is
larger, stronger, and more voracious in the Arctic Islands than
elsewhere. It drives the eider-ducks from their nests in order to prey
on their young or feast on their eggs, and it unites in flocks to expel
intruding birds from their abode.
The Grallatores are more numerous than land-birds in the Arctic
World. The snipe and the golden plover are only visitors; but the
oyster-catcher is a denizen of Iceland, where, building its nest on the
reedy banks of the streams, it wages war with the crow tribe. The
heron, curlew, plover, and most of the other waders, emigrate; sand-
pipers and the water-ousel remain “all the year round.”
The Cygnus musicus, or whistling swan, is specially famous for
its migrations. It measures five feet from the tip of the bill to the end
of the tail, and eight feet across its noble extended wings; its
plumage is white as snow, with a slight tinge of orange or yellow on
the head. Some of these swans winter in Iceland; and in the long
Arctic night their song, as they pass in flocks, falls on the ear of the
listener like the notes of a violin.