BBA SEMESTER VI

CORE 20 - ADVERTISING AND SALESMANSHIP

MULTIPLE CHOICE QUESTIONS
1. Another name for a companys marketing communications mix is:
a. the advertising program.
b. the sales force.
c. the image mix.
d. the promotion mix.
Answer: (d)
2. Which tool of the promotional mix is defined as any paid form of nonpersonal
presentation and promotion of ideas, goods, or services by an identified sponsor?
a. advertising
b. public relations
c. direct marketing
d. sales promotion
Answer: (a)
3. The _______________________ is the specific mix of advertising, personal selling,
sales promotion, public relations, and direct marketing tools that the company uses to
pursue its advertising and marketing objectives.
a. value mix
b. integrated dealer mix
c. marketing communications mix
d. marketing control mix
Answer: (c)
4. Which tool of the promotional mix consists of short-term incentives to encourage the
purchase or sale of a product or service?
a. advertising
b. public relations
c. direct marketing
d. sales promotion
Answer: (d)
5. If a company wants to build a good corporate image, it will probably use which
of the following marketing communications mix tools?
a. advertising
b. public relations
c. direct marketing
d. sales promotion
Answer: (b)
6. _________________ is direct communications with carefully targeted individual
consumers to obtain an immediate response.
a. Personal selling
b. Public relations
c. Direct marketing
d. Sales promotion
Answer: (c)
7. There is an increasing amount of commerce being done via the Internet. With respect
to the promotional mix, which of the following categories would be most directly
concerned with Internet commerce?
a. advertising

b. public relations
c. direct marketing
d. sales promotion
Answer: (c)
8. The personal presentation by the firms sales force for the purpose of making sales
and building customer relationships is called:
a. personal selling.
b. public relations.
c. direct marketing.
d. sales promotion.
Answer: (a)
9. Which of the following major promotional tools use press relations, product
publicity, corporate communications, lobbying, and public service to communicate
information?
a. advertising
b. public relations
c. direct marketing
d. sales promotion
Answer: (b)
10. Which of the following major promotional tools use the telephone, mail, fax,
e-mail, and the Internet to communicate directly with specific consumers?
a. advertising
b. public relations
c. direct marketing
d. sales promotion
Answer: (c)
11. Although the promotion mix is the companys primary communication activity, the
__________________ must be coordinated for greatest communication impact.
a. organizational culture
b. entire marketing mix
c. demand mix
d. profit variables in a company
Answer: (b)
12. Two major factors are changing the face of todays communications. One of these
factors is the fact that:
a. costs of promotion are rising.
b. mass markets are fragmented and marketers are shifting away from mass
marketing.
c. global communications are not growing rapidly enough.
d. marcom managers have achieved more power and control.
Answer: (b)
13. The shift from ________________________ has had a dramatic impact on
marketing communications.
a. brand management to value management
b. media manipulation to media control
c. mass marketing to segmented marketing
d. mass marketing to global marketing
Answer: (c)
14. ____________ fragmentation has resulted in media fragmentation.
a. Market
b. Purchasing

c. Product
d. Public relations
Answer: (a)
15. For many years mass-media advertising was king among promotion variables.
Today, this form of advertising appears to be giving way to:
a. product differentiation.
b. other elements of the promotion mix.
c. nonmanipulative variables.
d. a move away from promotion.
Answer: (b)
16. Current trends in communications and promotions indicate that companies are
doing less:
a. marketing and more promotion.
b. broadcasting and more narrowcasting.
c. selling and more advertising.
d. communication and more manipulation.
Answer: (b)
17. IMC, as presented in the text and in context with promotion, stands for:
a. international manufacturing capacity.
b. international monetary consistency.
c. integrated marketing communications.
d. integrated marketing corporations.
Answer: (c)
18. _________________ is the concept under which a company carefully integrates and
coordinates its many communications channels to deliver a clear, consistent, and
compelling message about the organization and its products.
a. The promotion mix
b. Integrated international affairs
c. Integrated marketing communications
d. Integrated demand characteristics
Answer: (c)
19. All of the following are cited by the text as limitations or challenges to marketers
trying to use the Web to build brands EXCEPT:
a. the higher expense of Web advertising versus traditional advertising.
b. the Internet doesnt build mass brand awareness.
c. the Webs format and quality constraints.
d. difficulty in achieving advertising-like solutions on the Web.
Answer: (a)
20. Integrated marketing communications involves identifying the target audience
and shaping a well-coordinated promotional program to elicit the desired audience
response. Too often, however: (Select the MOST CORRECT statement.)
a. costs are too high and profits are too low.
b. personnel cannot cope with these responsibilities.
c. marketing communications focus on overcoming immediate awareness, image,
or preference problems.
d. integrated communications do not work in the global environment because of
regulations.
Answer: (c)
21. The communications process should start with:
a. a basic belief about the communication piece.
b. an audit of all the potential contacts target customers have with the company and

its brands.
c. an evaluation of the history of advertising used by the firm.
d. hiring communications experts to handle the communication problems of the firm.
Answer: (b)
22. The concept of ______________ suggests that the company must blend the
promotion tools carefully into a coordinated promotion mix.
a. public relations
b. integrated market planning
c. integrated marketing communications
d. global cultural imperatives
Answer: (c)
23. If a companys objective were to reach masses of buyers that were geographically
dispersed at a low cost per exposure, the company would likely choose which of the
following promotion forms?
a. advertising
b. personal selling
c. public relations
d. sales promotion
Answer: (a)
24. Which of the following promotional forms is often described as being too impersonal
and only a one-way communication form?
a. advertising
b. personal selling
c. public relations
d. sales promotion
Answer: (a)
25. Which of the following promotional tools is often the most effective tool at certain
stages in the buying process, particularly in building up buyers preferences,
convictions, and actions?
a. advertising
b. personal selling
c. public relations
d. sales promotion
Answer: (b)
26. Which of the following promotional tools is thought to be the most expensive to use?
a. advertising
b. personal selling
c. public relations
d. sales promotion
Answer: (b)
27. Personal selling is an expensive form of promotion. For example, research shows
that personal selling costs companies _______ per sales call.
a. $170
b. $140
c. $100
d. $75
Answer: (a)
28. The promotion tool that may include coupons, contests, premiums, and other means
of attracting consumer attention is best described as being which of the following?
a. advertising
b. personal selling

c. public relations
d. sales promotion
Answer: (d)
29. Which of the following promotional tools can reach many prospects who otherwise
avoid salespeople and is received as news rather than as a sales-directed
communication?
a. advertising
b. personal selling
c. public relations
d. sales promotion
Answer: (c)
30. The promotional tool that marketers tend to underuse or use only as an afterthought
is best described as being which of the following?
a. advertising
b. personal selling
c. public relations
d. sales promotion
Answer: (c)
31. No matter which form of direct marketing might be used by a promotional manager,
all of the forms have several characteristics in common. Which of the following
WOULD NOT be among those characteristics?
a. nonpublic
b. immediate
c. producer controlled
d. interactive
Answer: (c)
32. __________________ is well suited to highly targeted marketing efforts and to
building one-to-one customer relationships.
a. Advertising
b. Public relations
c. Sales promotion
d. Direct marketing
Answer: (d)
33. A ________________ is a promotion strategy that calls for using the sales force and
trade promotion to move the product through channels.
a. push strategy
b. pull strategy
c. blocking strategy
d. integrated strategy
Answer: (a)
34. A __________________ is a promotion strategy that calls for spending a lot on
advertising and consumer promotion to build up consumer demand. If the strategy is
successful, consumer demand will move the product through the channel.
a. push strategy
b. pull strategy
c. blocking strategy
d. integrated strategy
Answer: (b)
35. Which of the following strategies is usually followed by B2C companies with respect
to promotion strategy?
a. push strategy

b. pull strategy
c. blocking strategy
d. integrated strategy
Answer: (b)
36. Which of the following strategies is usually followed by B2B companies with respect
to promotion strategy?
a. push strategy
b. pull strategy
c. blocking strategy
d. integrated strategy
Answer: (a)
37. Some of the earliest traces of what could be called advertising were found in:
a. Colonial New York.
b. 16th century England.
c. 2nd century China.
d. ancient Rome.
Answer: (d)
38. Advertising reaches almost all facets of business in the United States. It has been
estimated that advertising runs an annual bill of ________________ in the United
States alone.
a. $2 billion
b. $244 billion
c. $25 billion
d. $150 billion
Answer: (b)
39. Marketing management must make four important decisions when developing an
advertising program. All of the following would be among those decisions
EXCEPT:
a. setting advertising objectives.
b. setting the advertising budget.
c. setting procedures for an advertising culture audit.
d. developing advertising strategy.
Answer: (c)
40. The first step in developing an advertising program should be to:
a. set advertising objectives.
b. set the advertising budget.
c. evaluate advertising campaigns.
d. develop advertising strategy.
Answer: (a)
41. A specific communication task to be accomplished with a specific target audience
during a specific period of time is called an:
a. advertising campaign.
b. advertising objective.
c. advertising criterion.
d. advertising evaluation.
Answer: (b)
42. Which of the following WOULD NOT be one of the primary advertising objectives
as classified by primary purpose?
a. to inform
b. to persuade
c. to remind

d. to make profits
Answer: (d)
43. ___________________ is used heavily when introducing a new product
category.
a. Persuasive advertising
b. Inferential advertising
c. Reminder advertising
d. Informative advertising
Answer: (d)
44. Building selective demand is the objective of which type of advertising?
a. informative advertising
b. persuasive advertising
c. reminder advertising
d. demand-driven advertising
Answer: (b)
45. If Sony tries to convince consumers that its brand of computer disks is the best
quality for the money, it is using which of the following forms of advertising?
a. informative advertising
b. psychological advertising
c. reminder advertising
d. persuasive advertising
Answer: (d)
46. When Avis positioned itself against market-leading Hertz by claiming, Were
number two, so we try harder, it was using which of the following forms of
advertising?
a. informative advertising
b. psychological advertising
c. reminder advertising
d. comparative advertising
Answer: (d)
47. Keeping consumers thinking about the product is the objective for which type of
advertising?
a. informative advertising.
b. psychological advertising.
c. reminder advertising.
d. persuasive advertising.
Answer: (c)
48. After determining its advertising objectives, a company next sets its ____________
for each product.
a. advertising strategy
b. advertising budget
c. advertising goals
d. advertising format
Answer: (b)
49. All of the following are commonly recognized promotion budget formats EXCEPT:
a. the affordable method.
b. the LIFO method.
c. the percentage-of-sales method.
d. the objective-and-task method.
Answer: (b)
50. Determining the promotion budget on the basis of financial availability of capital is

characteristic of which of the following budget methods?

a. affordable method
b. percentage-of-sales method
c. competitive-parity method
d. objective-and-task method
Answer: (a)
51. Which of the following budget methods ignores the effects of promotion on sales?
a. affordable method
b. percentage-of-sales method
c. competitive-parity method
d. objective-and-task method
Answer: (a)
52. Which of the following promotional budget methods wrongly views sales as the
cause of promotion rather than as the result?
a. affordable method
b. percentage-of-sales method
c. competitive-parity method
d. objective-and-task method
Answer: (b)
53. Setting the promotion budget so as to match the budgets of the competition is
characteristic of which of the following budget methods?
a. affordable method
b. percentage-of-Sales method
c. competitive-parity method
d. objective-and-task method
Answer: (c)
54. One of the arguments that supports the competitive-parity method for budgeting
promotions is that:
a. it is the fairest budget method.
b. it is generally the cheapest method of allocating funds.
c. competitors budgets represent the collective wisdom of the industry.
d. it is the easiest budget method to use on a global basis.
Answer: (c)
55. The most logical budget setting method is found in the list below. Which is it?
a. affordable method
b. percentage-of-sales method
c. competitive-parity method
d. objective-and-task method
Answer: (d)
56. The first step in using the objective-and-task promotional budgeting method is to:
a. define specific advertising tools that can be afforded.
b. analyze competitive budgets for perceived weaknesses.
c. calculate last years sales percentages.
d. define specific objectives.
Answer: (d)
57. According to the chapter, all of the following have promoted the importance of the
media-planning function EXCEPT:
a. media fragmentation.
b. the development of the Internet.
c. soaring media costs.
d. more focused target marketing strategies.

Answer: (b)
58. No matter how big the advertising budget, advertising can succeed only if
commercials:
a. are economically feasible.
b. gain attention and communicate well.
c. are acceptable on a global level.
d. are artistically pleasing.
Answer: (b)
59. Developing an effective message strategy begins with identifying customer
___________ that can be used as advertising appeals.
a. demographics
b. lifestyles
c. psychographics
d. benefits
Answer: (d)
60. Advertising appeals should have three characteristics. All of the following are among
those characteristics EXCEPT:
a. be meaningful.
b. be tasteful.
c. be believable.
d. be distinctive.
Answer: (b)
61. In evaluating messages for advertising, pointing out the benefits that make the
product more desirable or interesting to consumers ensures that the message will be:
a. meaningful.
b. distinctive.
c. believable.
d. remembered.
Answer: (a)
62. In evaluating messages for advertising, telling how the product is better than the
competing brands aims at making the ad:
a. meaningful.
b. distinctive.
c. believable.
d. remembered.
Answer: (b)
63. In terms of execution styles, a family seated at the dinner table enjoying the
advertised product would be an example of which of the following types of
advertising?
a. slice of life
b. lifestyle
c. mood or imagery
d. personality symbol
Answer: (a)
64. In terms of execution styles, which type of advertising might show how a product
contributes to a persons workout and health regime?
a. slice of life
b. lifestyle
c. mood or imagery
d. personality symbol
Answer: (b)

65. In terms of execution styles, which type of advertising makes no claim about the
product except to suggest that the product is part of such feelings as love or beauty?
a. slice of life
b. lifestyle
c. mood or imagery
d. personality symbol
Answer: (c)
66. When a company chooses to use an animated character such as the Jolly Green Giant
or Garfield the Cat in their commercial, they are using which of the following
advertising execution formats?
a. testimonial evidence
b. lifestyle
c. mood or imagery
d. personality symbol
Answer: (d)
67. The first thing a reader notices in a printed advertising is the:
a. headline.
b. illustration.
c. copy.
d. format.
Answer: (b)
68. The measure of the percentage of people in the target market who are exposed to the
ad campaign during a given period of time is called:
a. reach.
b. frequency.
c. impact.
d. performance.
Answer: (a)
69. The measure of how many times the average person in the target market is exposed to
the message is called:
a. reach.
b. frequency.
c. impact.
d. performance.
Answer: (b) (1)
70. Media planners consider many factors when making their media choices. According
to the text, all of the following factors would be considered EXCEPT:
a. the fashionability of the media.
b. the media habits of target consumers.
c. the nature of the product.
d. the type of message to be used.
Answer: (a) (1)
71. If an advertiser wants flexibility, timeliness, good local market coverage, broad
acceptability, and high believability, the advertiser will probably choose which of the
following mass media types?
a. newspapers
b. television
c. direct mail
d. radio
Answer: (a)
72. _________________ combine(s) sight, sound, and motion; appeals to the senses; and,

has a low cost per exposure as advantages.

a. Newspapers
b. Television
c. Direct mail
d. Radio
Answer: (b)
73. The advantages of audience selectivity, no ad competition, and personalization apply
to which type of media?
a. newspapers
b. television
c. direct mail
d. radio
Answer: (c)
74. ________________ has the advantage of being high in selectivity, low cost,
immediacy, and interactive capabilities.
a. Direct mail
b. Outdoor
c. Online
d. Radio
Answer: (c)
75. Which of the following mass media forms has the disadvantages of long
ad-purchase lead time, high cost, no guarantee of position?
a. newspapers
b. television
c. magazines
d. radio
Answer: (c)
76. To be effective, ads should have some form of pattern (given that more than one
ad is going to be used). If an advertiser were to schedule ads evenly over a given
period of time, this pattern would be called:
a. pulsing.
b. flow.
c. rollout.
d. continuity.
Answer: (d)
77. A marketing services firm that assists companies in planning, preparing,
implementing, and evaluating all or portions of their advertising programs is
called a(n):
a. marketing control group.
b. product services unit.
c. advertising agency.
d. situation consultant.
Answer: (c)
78. The largest U.S. advertising agency is ____________ with an annual gross
income of $1.8 billion on billings.
a. J. Walter Thompson
b. Saatchi & Saatchi
c. BBD&O Global
d. McCann-Erikson Worldwide
Answer: (d)
79. All of the following are benefits of a standardization policy in global advertising

EXCEPT:
a. lower advertising costs.
b. greater global advertising coordination.
c. an attention to local differences in various global markets.
d. more consistent worldwide image.
Answer: (c)
80. _________________ is short-term incentives to encourage purchase or sales of a
product or service.
a. Advertising
b. Sales promotion
c. Online advertising
d. Public relations
Answer: (b)
81. Several factors have contributed to the rapid growth of sales promotion. All of the
factors listed below have played a part in that growth EXCEPT:
a. greater pressure to increase sales.
b. more competition and a decline in differentiation of brands.
c. a relaxing of government regulations governing sales promotion.
d. advertising efficiency has declined.
Answer: (c)
82. Which type of sales promotion uses free samples, coupons, and rebates?
a. consumer promotion
b. trade promotion
c. sales force promotion
d. place promotion
Answer: (a)
83. All of the following are considered to be consumer-promotion tools EXCEPT:
a. samples.
b. push money.
c. coupons.
d. patronage reward.
Answer: (b)
84. Which of the following consumer-promotion tools is the most effective, but most
expensive, way to introduce a new product?
a. coupons
b. price packs
c. contests
d. samples
Answer: (d)
85. ___________ are certificates that give buyers a saving when they purchase
specified products.
a. Samples
b. Premiums
c. Coupons
d. Patronage rewards
Answer: (c)
86. If a retailer were to offer the consumer a two for one deal in purchasing
merchandise, which of the following sales promotional techniques would have
been used?
a. samples
b. premiums

c. coupons
d. price packs
Answer: (d)
87. If Cheerios includes a free toy from a Disney movie in its cereal boxes as an
incentive to purchase cereal, which of the following forms of sales promotion
was used?
a. samples
b. premiums
c. coupons
d. price packs
Answer: (b)
88. If an advertiser were to give consumers useful articles (imprinted with the
advertisers name) as gifts (such a pen or calendar), which of the following
sales promotional forms would the advertiser be using?
a. samples
b. premiums
c. point-of-purchase promotions
d. advertising specialties
Answer: (d)
89. Manufacturers direct most of their sales promotional dollars toward which of the
following groups?
a. consumers
b. retailers and wholesalers
c. lobbyists
d. publics such as shareholders
Answer: (b)
90. __________ is defined as being cash or gifts to dealers or their sales forces to
push the manufacturers goods.
a. A display allowance
b. A price-off
c. A spiff
d. Push money
Answer: (d)
91. Which type of promotion uses buying allowances, push money, and free goods?
a. consumer promotion
b. trade promotion
c. sales force promotion
d. place promotion
Answer: (b)
92. The type of trade-promotion tool in which the manufacturer takes a fixed amount
off the list price on each case purchased during a stated period of time is called a(n):
a. discount.
b. allowance.
c. premium.
d. rebate.
Answer: (a)
93. The type of trade-promotion discount in which manufacturers agree to reduce the
price to the retailer in exchange for the retailers agreement to feature the
manufacturers products in some way is called a(n):
a. discount.
b. allowance.

c. premium.
d. rebate.
Answer: (b)
94. ________________ is a major promotion function whose objective is to build good
relations with the companys various publics.
a. Advertising
b. Direct marketing
c. Public relations
d. Specialty events
Answer: (c)
95. All of the following would be considered to be functions performed in public
relations EXCEPT:
a. press relations.
b. public affairs.
c. bribery (when necessary).
d. lobbying.
Answer: (c)
96. Despite its potential strengths, public relations is often described as a(n):
a. unethical business.
b. marketing stepchild.
c. corrupt practice.
d. cost drain that is not fruitful.
Answer: (b)
97. All of the following would be considered to be major public relations tools
EXCEPT:
a. news.
b. speeches.
c. testifying.
d. special events such as news conferences.
Answer: (c)
98. If an advertiser were to use corporate stationery, brochures, signs, and business
cards to advance the public relations interests of the company, they would be
using which of the following forms of PR?
a. slick-back materials
b. audiovisual materials
c. corporate identity materials
d. public service materials
Answer: (c)
99. Which of the following is Vocational attributes of a salesman ?
(a) Knowledge of the product (b) Capacity of hard labour (c) Eloquence (d) None
of these .
Answer: (a)
100. Which one of the following is the correct answer ?
(a) Payment is the second stage of Purchase and sale transaction (b) Payment is
the first stage of Purchase and sale transaction (c) Payment is the final stage of
Purchase and sale transaction (d) All of these.
Answer: (c)
101. Which of the following is not correct regarding 'Advertising` ?
(a) It helps to increase standard of living (b) It creates the demand of the product
(c) It increases the demand of product (d) It is a wasteful expenditure
Answer: (d)

102. Which of the following reason Advertisement expenditure will be considered as

wasteful expenditure ?
(a) It insists to misuse of money (b) It helps to balance between demand and
supply (c) It helps in quick turnover of goods (d) None of these
Answer: (a)
103. Which of the following is not a quality of a good salesman ?
(a) Eloquence (b) Sociability (c) Lazy (d) None of these
Answer: (c)
104. Which of the following is a correct statement ?
(a) Everybody gets trade discount (b) Only buyers can get trade discount
(c) Trade discount is recorded in Books of Accounts (d) None of these
Answer: (a)
105. Which of the following statement is correct regarding ' Trade Discount' ?
(a) It is deducted from List price (b) It is deducted from Net price (c) Everybody
get this discount (d) None of these
Answer: (a)
106. Which of the following statement is correct regarding ' Cash Discount' ?
(a) It is deducted from net price (b) It is deducted from List price (c) It is not
recorded in books of accounts (d) None of these
Answer: (a)
107. Which of the following statement is correct regarding 'Credit Note' ?
(a) Return from Customers (b) Return to Seller
(c) Goods lost in accident (d) None of these
Answer: (a)
108. Which of the following statement is correct regarding 'Debit Note' ?
(a) Return from Customers (b) Return to Seller
(c) Goods lost in accident (d) None of these
Answer: (b)
109. Which of the following statement is correct regarding Advertisement?
(a) Creates demand (b) No importance (c) Increase Price (d) None of these
Answer: (a)
110. Which of the following is a correct statement ?
(a) Salesmanship is a mass oriented media (b) Advertisement is a person oriented
media (c) Advertisement is a part of Publicity (d) None of these
Answer: (c)
111. Sample distribution is a part of ---(a) Advertisement (b) Sales promotion (c) Salesmanship (d) None of these
Answer: (b)
112. Which of the following is a correct statement?
(a) The motive of Advertisement is to do business (b) The objective of
Advertisement is Religious (c) The objective of Publicity may be Religious
(d) None of these
Answer: (a)
113. Which of the following statement is correct?
(a) Advertisement is not a part of Publicity (b) Advertisement is a part of Publicity
(c) Publicity is a part of Advertisement (d) None of these
Answer: (b)
114. Which of the following is the general quality of a salesman ?
(a) Knowledge of the product (b) Training (c) Eloquence (d) None of these
Answer: (c)