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Chapter 18: Marketing Communications Strategy



True/False
Indicate whether the statement is true or false.
 

 1. 

A marketing communications plan must be “integrated” two ways: within itself and into the total marketing mix.
 

 2. 

As long as a firm’s promotion dollars are spent using a generally common theme, even if there is little unification or consistency of the result, the firm is using an integrated marketing communications (IMC) approach.
 

 3. 

The information obtained from compiling databases of customer characteristics provides crucial guidance for designing an effective integrated marketing communications strategy.
 

 4. 

The information obtained from customer databases can not only be used for developing an IMC plan, but also for product, pricing, and distribution planning.
 

 5. 

In the communications process, the mechanisms available for transferring the message from the sender to the receiver include marketing and advertising agency executives.
 

 6. 

The marketing mix has the same objectives as the overall marketing communications mix because it is a subset of the overall marketing communications mix.
 

 7. 

Although personal selling and advertising account for most of a firm’s marketing communications expenditures, marketers can gain a competitive advantage by emphasizing other media such as direct mail and the Internet.
 

 8. 

Personal selling was the original form and promotion and accounts for almost 50 percent of the jobs in Canada.
 

 9. 

Advertising is a form of nonpersonal communication that involves the use of mass media such as newspapers, magazines, television, radio, and billboards.
 

 10. 

When a company helps finance a sports event, like a tennis or golf tournament, in order to associate itself with a popular activity, it is engaging in sponsorship.
 

 11. 

Marketing communications planning is difficult because they are so many message and media communication alternatives available.  Fortunately, there are also precise quantitative measures available to determine the effectiveness of each component of an IMC plan.
 

 12. 

Marketing communications strategies tend to have different orientations during different stages of the product’s life cycle.
 

 13. 

In recent years, the high costs of mass media advertising has forced many large, well-established firms to use smaller, more localized media such as radio and community newspapers.
 

 14. 

Effective use of a pulling strategy can result in retailers carrying lower profit-margin items simply because consumer demand for such items is high.
 

 15. 

Most firms rely entirely on a pushing or a pulling strategy in their promotional efforts, but rarely use both.
 

 16. 

Low-priced consumer goods like toothpaste and shampoo are seldom promoted using the promotional objective of differentiating the product.
 

 17. 

In most situations, marketing communications are more likely to be the direct cause of a sale than any other aspect of the marketing mix.
 

 18. 

Once promotional spending reaches a certain level, the value of any additional spending becomes questionable.
 

 19. 

Marketers seldom encounter difficulty isolating the effects of other marketing mix elements and environmental factors from those of marketing communications.
 

 20. 

A common criticism of marketing communications is that messages often appeal to consumer groups that can least afford the advertised goods and services.
 

Multiple Choice
Identify the choice that best completes the statement or answers the question.
 

 21. 

The coordination of all of a firm’s promotional activities to provide clarity, consistency, and maximum communications impact is known as
a.
the marketing concept (TMC).
b.
integrated marketing communications (IMC).
c.
integrated marketing activities (IMA).
d.
marketing communications activities (MCA).
 

 22. 

Which of the following is not an advantage of using an integrated marketing communications program?
a.
cohesive customer-focused messages
b.
less interaction across departments
c.
synergy among promotional elements
d.
plans that support strategic objectives
 

 23. 

In order for a message to be effective, it must
a.
gain the attention of the receiver.
b.
make a lot of receivers aware of a need that they did not realize they had.
c.
compare the performance of the sponsoring brand with that of a competitor.
d.
identify the sponsoring company as well as the specific brand or service being promoted.
 

 24. 

In the communications process, the sender of a message must go through a specific process to put the message into a communicable form.  This process is called
a.
deciphering feedback communication.
b.
noise elimination.
c.
message adaptation.
d.
message encoding.
 

 25. 

The most troublesome aspect of the communications process is
a.
encoding.
b.
feedback.
c.
decoding.
d.
noise.
 

 26. 

In terms of the communication process, “feedback” can take the form of
a.
sales.
b.
customer complaint letters.
c.
marketing research responses.
d.
all of the above.
 

 27. 

Noise in the communications process can consist of or result from
a.
too many competing messages.
b.
message misinterpretation.
c.
loud talking during a TV commercial.
d.
all of the above.
 

 28. 

Which of the following is an example of personal selling?
a.
an endorsement by a celebrity on television
b.
a person-to-person presentation
c.
a billboard showing the president of the company
d.
a personalized direct mail letter
 

 29. 

Advertising is a particularly appropriate communication medium for
a.
large, geographically dispersed markets.
b.
low-priced industrial goods.
c.
services.
d.
high-priced consumer goods.
 

 30. 

Most financial investment firms place their advertisements in the financial sections of newspapers and on TV programs designed to appeal to people looking for investment advice and information on financial trends.  Which set of factors is most likely to be the reason for investment firms using the same media for their marketing communication plans?
a.
marketing plan objectives and stage in the product life cycle
b.
price and funds available
c.
actions of competitors and nature of the market
d.
nature of the product and stage in the product life cycle
 

 31. 

Traditionally, pharmaceutical firms have promoted prescription medicines to physicians through personal selling and ads placed in medical journals that physicians read.  Recently, a number of pharmaceutical firms have promoted prescription medicines directly to patients in ads that say “ask your doctor about . . . ” This development represents the implementation of a(n) _____________ strategy.
a.
pulling
b.
niche
c.
pushing
d.
IMC
 

 32. 

Advertising and promotion are the most commonly used elements of promotion in a
a.
pushing strategy.
b.
pulling strategy.
c.
supply/demand strategy.
d.
none of the above.
 

 33. 

When promotional efforts are aimed at one or more members of a marketing channel so that the channel members will market the product to move it through the channel, this strategy is called
a.
pulling.
b.
channel influence.
c.
pushing.
d.
channel leverage.
 

 34. 

One of the objectives of marketing communications is to
a.
provide time and place utility.
b.
obtain information from consumers.
c.
accentuate the value of the product.
d.
create unfelt demand.
 

 35. 

The decision to achieve a 25 percent increase in brand awareness is
a.
a marketing communication objective related to increasing demand.
b.
related to using a pulling strategy.
c.
part of the marketing communications mix.
d.
a form of marketing feedback.
 

 36. 

A marketer of canned pumpkin ran ads in several women’s magazines during the summer months.  The ad included a recipe for “summer pumpkin coolers.”  We can infer from this example that the marketer’s communication objective was to
a.
provide information.
b.
differentiate his or her product from other canned brands of canned pumpkin.
c.
accentuate his or her product’s value.
d.
stabilize his or her product’s sales over the year.
 

 37. 

The most effective allocation procedure is to increase promotional expenditures until each additional dollar of promotional expense produces an additional dollar of profit. This procedure is known as
a.
percentage-of-sales method.
b.
marginal analysis.
c.
fixed sum per unit budgeting.
d.
task objective budgeting.
 

 38. 

Basing promotional spending on achieving certain goals is known as
a.
marginal analysis.
b.
percentage-of-sales method.
c.
task objective budgeting.
d.
fixed sum per unit budgeting.
 

 39. 

Which of the following defenses of promotion most directly answers the common criticism that “most advertisements insult my intelligence.”
a.
Advertising that may seem tasteless and stupid to one person may appeal to another.
b.
Advertising promotes freedom of choice.
c.
Advertising helps businesses survive.
d.
Advertising stimulates competition, which tends to drive down prices.
 

 40. 

Marketing communications contributes to society in which of the following ways?
a.
It allows organizations of all sorts to communicate with the public.
b.
It can be used to promote socially responsible activities.
c.
It enables businesses to survive and contribute to the economy.
d.
All of the above.
 



 
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