Advertising and Sales Promotion

301. A price reduction to buyers who buy in large volumes is called a(n):

  1. Quantity discount
  2. Cash discount
  3. Seasonal discount
  4. Trade discount
Correct answer: (A)
Quantity discount

302. When producers, wholesalers, and retailers act as a unified system, they comprise a:

  1. Marketing system
  2. Power-based marketing system
  3. Horizontal marketing system
  4. Vertical marketing system
Correct answer: (C)
Horizontal marketing system

303. Costs that do not vary with production or sales levels are called:

  1. Fixed costs
  2. Variable costs
  3. Standard costs
  4. Independent costs
Correct answer: (A)
Fixed costs

304. Very long TV commercials providing detailed information about a product or service. Such programmes are called,

  1. Infotainments
  2. Infomercials
  3. Commercials
  4. Paid Programmes
Correct answer: (B)
Infomercials

305. The marketing effects or outcomes that accrue to a product with its brand name compared with those that of the same product did not have the brand name is called,

  1. Brand Equity
  2. Brand Identity
  3. Brand Expansion
  4. Brand Image
Correct answer: (A)
Brand Equity

306. Group of people who are NOT necessarily part of a particular organization is referring to:

  1. External publics
  2. Internal publics
  3. International publics
  4. Local publics
Correct answer: (A)
External publics

307. The cost of advertising for most products is especially high during ______________.

  1. Peak seasons
  2. Morning news shows
  3. Prime-time programs
  4. Late-night programming
Correct answer: (C)
Prime-time programs

308. Keeping consumers thinking about the product is the objective for which type of advertising?

  1. Informative advertising
  2. Psychological advertising
  3. Reminder advertising
  4. Persuasive advertising
Correct answer: (C)
Reminder advertising

309. According to Rossiter and Percy samples can be delivered by how many different methods:

  1. 8
  2. 7
  3. 5
  4. 16
Correct answer: (A)
8

310. ______________ is a set of moral principles that guide actions and create a sense of responsible behavior.

  1. Social responsibility
  2. Ethics
  3. Self-regulation
  4. Self-discipline
Correct answer: (B)
Ethics
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