Question 1

Inside-out planning:

Accepted Answer

A)  focuses on what the marketer wants to say,when the marketer wants to say it,things the marketer believes are important to his or her brand,and the media form the marketer wants to use.
B)  is another term for zero-based communications planning.
C)  starts with the customer and builds backward to the brand when developing an IMC program.
D)  is a method of implementing DAGMAR objectives.
E)  is used to forecast the validity of DAGMAR objectives.F) All of the above
G) A) and B)

Question 2

Which of the following budgeting procedures would be used if a firm wanted a method that is simple to understand and financially safe?

Accepted Answer

A)  competitive parity
B)  marginal analysis
C)  percentage of sales
D)  objective and task
E)  arbitrary methodF) B) and E)
G) None of the above

Question 3

As a tool for budget allocation,multiple regression analysis is most often employed in budget models using:

Accepted Answer

A)  computer simulation
B)  competitive parity
C)  arbitrary allocation
D)  percentage of sales
E)  a top-down approachF) A) and C)
G) B) and E)

Question 4

As a result of ____,large advertisers can maintain advertising expenditure shares that are smaller than their market shares because they get lower advertising rates and accrue the advantages of advertising several products jointly.

Accepted Answer

A)  economies of scale
B)  differential advertising advantages
C)  competitive parity
D)  a concave-downward response
E)  multiple advertising channelsF) B) and E)
G) D) and E)

Question 5

The major problem associated with the _____ budgeting method is that it reverses the cause and effect relationship between advertising and sales.

Accepted Answer

A)  percent of sales
B)  objective and task method
C)  competitive parity
D)  S-shaped response
E)  rapidly diminishing returnsF) B) and D)
G) C) and D)

Question 6

When using the competitive parity budgeting method,the firm:

Accepted Answer

A)  matches its share of total industry advertising expenditures to its market share.
B)  spends as much as it can.
C)  allocates some portion of planned sales for the period to advertising.
D)  spends the same total amount as its major competitors spend.
E)  bases its advertising and promotion expenditures on sales.F) C) and E)
G) A) and D)

Question 7

Under the DAGMAR model,a(n) _____ can be performed by,and attributed to advertising rather than a combination of marketing factors.

Accepted Answer

A)  advertising hierarchical plan
B)  functional communication change
C)  communications task
D)  marketing task
E)  advertising benchmarkF) C) and D)
G) A) and D)

Question 8

Which of the following statements best describes the relationship between marketing and communications objectives?

Accepted Answer

A)  Marketing objectives and communications objectives are synonymous.
B)  Marketing objectives evolve from communication objectives.
C)  Communications objectives are derived from marketing objectives.
D)  Communications objectives can be developed before or after the development of marketing objectives.
E)  There is no relationship between the two.F) A) and D)
G) C) and E)

Question 9

In 2007,Cingular acquired AT&T but renamed itself as AT&T itself.The choice of the name reflected consumers' awareness and recognition of an established brand.To determine how successful it was in making consumers aware of its name change and its new positioning strategy,the firm could have used:

Accepted Answer

A)  zero-based communications planning.
B)  a benchmark orientation.
C)  DAGMAR.
D)  the carryover effect.
E)  the recency effect.F) None of the above
G) C) and E)

Question 10

Advocates of communication-based objectives for advertising propose using _____ as a basis for setting these objectives.

Accepted Answer

A)  sales.
B)  market share.
C)  stages of a hierarchical response model.
D)  carry-over effects.
E)  market behavior.F) A) and C)
G) None of the above

Question 11

Many marketing managers approach promotion from a(n) _____ perspective and believe the objective of advertising and other promotional mix elements is to relay information about a product to customers.

Accepted Answer

A)  informational
B)  communications
C)  sales-oriented
D)  segmentation
E)  product developmentF) All of the above
G) D) and E)

Question 12

Pace Foods has a goal of expanding its business beyond its traditional Texas market base.This goal is an example of a _____ objective while the goal of establishing a position of authenticity and making Mexican food seem fun is an example of a(n) _____ objective.

Accepted Answer

A)  communication;marketing
B)  communication;positioning
C)  marketing;communication
D)  positioning;organizational
E)  advertising;functionalF) A) and B)
G) A) and E)

Question 13

Marketing goals defined in terms of sales,profits or market share increases are:

Accepted Answer

A)  situational response objectives.
B)  usually not appropriate for promotional objectives.
C)  integrated marketing communications objectives.
D)  relationship marketing objectives.
E)  communication objectives.F) A) and D)
G) A) and E)

Question 14

_____ is the difference between total revenue generated by a brand and its total variable costs.

Accepted Answer

A)  Contribution margin
B)  Aggregated cost
C)  Promotional result
D)  Net worth
E)  Return on investmentF) B) and D)
G) A) and C)

Question 15

The _____ method of budgeting is being employed when expenditures are allocated by assigning a part of the cost of the product to be allocated to advertising.The total budget is based on units sold.

Accepted Answer

A)  arbitrary allocation
B)  percentage of sales
C)  objective and task
D)  return on investment
E)  competitive parityF) B) and C)
G) A) and E)

Question 16

Which of the following is at the top of the communication effects pyramid?

Accepted Answer

A)  awareness
B)  knowledge
C)  liking
D)  preference
E)  purchase/repurchaseF) A) and C)
G) A) and B)

Question 17

Many marketers are uncertain as to what the integrated marketing communications should contribute to the marketing program.The only goal of their company's advertising and promotional program is to:

Accepted Answer

A)  position the company and its brands.
B)  create a positive corporate image.
C)  generate sales.
D)  create memorable advertising.
E)  create awareness of the company.F) A) and B)
G) A) and C)

Question 18

The concept of advertising expenditures producing long term rather than immediate results is known as:

Accepted Answer

A)  the carry-over effect.
B)  the communication effect.
C)  the low-involvement effect.
D)  the halo effect.
E)  DAGMAR.F) B) and D)
G) C) and D)

Question 19

Which of the following statements is true about communications objectives?

Accepted Answer

A)  When setting objectives using the communications effect pyramid,the last step reached is trial.
B)  Sales goal cannot be translated into communications objectives.
C)  Marketing and advertising managers do not rely on experience and intuition when setting communications goals.
D)  Communications objectives are the criteria used in the DAGMAR approach to setting advertising goals.
E)  Communication objectives are used particularly where the advertiser seeks an immediate response.F) C) and D)
G) B) and C)

Question 20

Sales-oriented objectives are appropriate for:

Accepted Answer

A)  all Internet marketing.
B)  retail advertising promoting a sale or special event.
C)  products that have been introduced in a highly volatile market.
D)  any advertising campaign aimed at maintaining brand awareness.
E)  creating favorable attitudes and images for a brand or a product before purchase could occur.F) C) and E)
G) B) and E)

Exam 5: Establishing Objectives and Budgeting for the Promotional Program

Advocates of communication-based objectives for advertising propose using _____ as a basis for setting these objectives.

Correct AnswerverifiedShow Answer

Many marketing managers approach promotion from a(n) _____ perspective and believe the objective of advertising and other promotional mix elements is to relay information about a product to customers.

Correct AnswerverifiedShow Answer

When using the competitive parity budgeting method,the firm:

Correct AnswerverifiedShow Answer

Marketing goals defined in terms of sales,profits or market share increases are:

Correct AnswerverifiedShow Answer

_____ is the difference between total revenue generated by a brand and its total variable costs.

Correct AnswerverifiedShow Answer

As a tool for budget allocation,multiple regression analysis is most often employed in budget models using:

Correct AnswerverifiedShow Answer

Many marketers are uncertain as to what the integrated marketing communications should contribute to the marketing program.The only goal of their company's advertising and promotional program is to:

Correct AnswerverifiedShow Answer

Sales-oriented objectives are appropriate for:

Correct AnswerverifiedShow Answer

Under the DAGMAR model,a(n) _____ can be performed by,and attributed to advertising rather than a combination of marketing factors.

Correct AnswerverifiedShow Answer

In 2007,Cingular acquired AT&T but renamed itself as AT&T itself.The choice of the name reflected consumers' awareness and recognition of an established brand.To determine how successful it was in making consumers aware of its name change and its new positioning strategy,the firm could have used:

Correct AnswerverifiedShow Answer

As a result of ____,large advertisers can maintain advertising expenditure shares that are smaller than their market shares because they get lower advertising rates and accrue the advantages of advertising several products jointly.

Correct AnswerverifiedShow Answer

Which of the following statements best describes the relationship between marketing and communications objectives?

Correct AnswerverifiedShow Answer

Pace Foods has a goal of expanding its business beyond its traditional Texas market base.This goal is an example of a _____ objective while the goal of establishing a position of authenticity and making Mexican food seem fun is an example of a(n) _____ objective.

Correct AnswerverifiedShow Answer

Which of the following budgeting procedures would be used if a firm wanted a method that is simple to understand and financially safe?

Correct AnswerverifiedShow Answer

The concept of advertising expenditures producing long term rather than immediate results is known as:

Correct AnswerverifiedShow Answer

The major problem associated with the _____ budgeting method is that it reverses the cause and effect relationship between advertising and sales.

Correct AnswerverifiedShow Answer

Inside-out planning:

Correct AnswerverifiedShow Answer

Which of the following statements is true about communications objectives?

Correct AnswerverifiedShow Answer

The _____ method of budgeting is being employed when expenditures are allocated by assigning a part of the cost of the product to be allocated to advertising.The total budget is based on units sold.

Correct AnswerverifiedShow Answer

Which of the following is at the top of the communication effects pyramid?

Correct AnswerverifiedShow Answer

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Pace Foods has a goal of expanding its business beyond its traditional Texas market base.This goal is an example of a _ objective while the goal of establishing a position of authenticity and making Mexican food seem fun is an example of a(n) _ objective.

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