Deck 1: The Evolution of Advertising

Question 1

The term mass media includes print media only.The other mediums are part of the general media.

Answer 1

False
Explanation: Mass media is print or broadcast media that reach very large audiences.They include radio,television,newspapers,magazines,and billboards.

Question 2

The retailer of Craftsmen tools is using product differentiation when it advertises that unlike other tools,its brand of tools have a lifetime warranty.

Answer 2

True
Explanation: Manufacturers followed this strategy of product differentiation vigorously,seeking to portray their brands as different from and better than the competition by offering consumers quality,variety,and convenience.

Question 3

Our economy is based on the concept of perfect competition.

Answer 3

False
Explanation: Our economy is based on the notion of competition.While there is no such thing as perfect competition,there are four fundamental assumptions of free market economics that a market-driven society strives to achieve: self-interest,complete information,many buyers and sellers,and absence of externalities (social costs).

Question 4

One of the functions of advertising as a marketing tool is to build value,brand preferences,and loyalty.

Question 5

Computer repair,ergonomic keyboards and printer ink cartridges are all examples of goods.

Question 6

Benjamin Franklin was an early critic of advertising.

Question 7

With the advent of public schooling,the United States reached an unparalleled 90 percent literacy rate.

Question 8

The ultimate goal of the marketing process is to build a strong brand image.

Question 9

Lung cancer resulting from smoking is an example of an externality.

Question 10

Product differentiation is a strategy of identifying groups of people or organizations with certain shared needs and characteristics.

Question 11

One of the basic functions of advertising is to communicate information about the product,its features,and its location of sale.

Question 12

The billboard that displays an advertisement for a new Internet service provider is an example of a medium.

Question 13

Bo jangles;a fast food restaurant chain,is using a positioning strategy when it claims its chicken has "true taste of New Orleans."

Question 14

The industrializing age lasted roughly until the end of World War I.

Question 15

Advertising is just one type of marketing communications tool.

Question 16

The marketing strategy refines the target audience and defines what responses the advertiser is seeking-what the audience should notice,think,and feel.

Question 17

A product's USP is the feature that differentiates it from competitive products.

Question 18

For Americans,the profession of advertising began when Volney
B.Palmer set up business in Philadelphia in 1841.
B.Palmer set up business in Philadelphia is 1841.
For Americans,the profession of advertising began when Volney

Question 19

The pre-industrial age extended from the beginning of recorded history to first decades of the 1900s.

Question 20

The industrial age ended shortly after World War II.

Question 21

Only the Internet provides advertisers with the ability to engage in narrowcasting.

Question 22

List and briefly describe the four fundamental assumptions of free-market economics.

Question 23

Describe how advertising evolved during the pre-industrial age.

Question 24

Describe how advertising evolved during the industrializing age.

Question 25

Why did advertisers during the industrial age believe that every advertisement must point out their product's unique selling proposition?

Question 26

Describe how the Coca-Cola Company goes about achieving the most important function of advertising and what is this function?

Question 27

One of the principles of free-market economics is that our market-driven society believes in "self-interest".What does this mean?

Question 28

What is the ultimate goal of the marketing process?

Question 29

Describe how wholesalers used advertising in industrializing age.

Question 30

Define advertising.

Question 31

What are the fundamental assumptions of free market economics that a market-driven society strives to achieve?

Question 32

Demarketing,which was popular in the industrial age,is no longer used today.

Question 33

Differentiate between marketing strategy and advertising strategy.

Question 34

Explain the following statement: "As a social force,advertising has been a major factor in improving the standard of living in the United States."

Question 35

Briefly describe the 4 Ps of the marketing mix?

Question 36

Sales promotion is a more cost-effective marketing communication tool than advertising.

Question 37

In 1914,Congress passed the Federal Trade Commission Act to protect the public's health and control drug advertising.

Question 38

Describe how advertising fits into the marketing process.

Question 39

What were the significant events that characterized the industrial age in the United States?

Question 40

As a social force,advertising has been a major factor in improving the standard of living in the United States.

Question 41

When Mollie buys a box of disposable diapers and June purchases a copy of the Wall Street Journal,both are acting as:

A)buying centers.
B)consumers.
C)product innovators.
D)strategic points of service.
E)product adopters.

Question 42

When did the pre-industrial age begin and end in the Western hemisphere?

Question 43

Since advertising is typically directed to groups of people rather than to individuals,advertising is defined as:

A)a channeled form of communication.
B)a subtle medium.
C)sponsor-driven strategy.
D)a market segmentation strategy.
E)non-personal or mass communication.

Question 44

What was the role of Francis Ayer in the evolution of advertising?

Question 45

_____ is the structured and composed non-personal communication of information,usually paid for and usually persuasive in nature,about products or ideas by identified sponsors through various media.

A)Marketing
B)Sales promotion
C)Advertising
D)Feedback
E)Message channeling

Question 46

What was the most important development in the history of advertising?

Question 47

Which of the following is an example of a good?

A)A medical examination
B)A church service where music-ministry is the primary theme
C)Paper clips
D)A haircut
E)An extended warranty for a new truck

Question 48

When did the industrial age begin?

Question 49

Which of the following is the best example of a service?

A)A seminar on how to quit smoking
B)A birthday present
C)Vitamins to improve one's health
D)Gift wrapping paper sold as an elementary school fund-raiser
E)A donation of clothes to the Salvation Army

Question 50

_____ is the process of creating,communicating,and delivering value to customers and for managing customer relationships in ways that benefit the organization and its stakeholders.

A)Management
B)Advertising
C)Communications
D)Logistics
E)Marketing

Question 51

The 4 Ps of the marketing mix are:

A)product,price,place,and promotion.
B)product,people,process and promotion.
C)people,price,place and product.
D)product,process,people and physical evidence.
E)place,people,product,and process.

Question 52

Which of the following statements is true about word-of-mouth advertising?

A)It is not a communication medium.
B)It is not an advertising medium.
C)It is a paid form of advertising.
D)It is an openly sponsored form of advertising.
E)It has a structured form.

Question 53

_____ has driven the growth of advertising since its earliest beginnings and has made it one of the hallmarks of the free enterprise system.

A)The cultural environment
B)Tactical management strategy
C)Economics
D)Literacy
E)Socialism

Question 54

Of all the business functions,_____ is the only function whose primary role is to bring in revenues.

A)finance
B)operation management
C)human relations management
D)marketing
E)accounting

Question 55

Under which situation might advertising not be paid for?

A)Dell recalling its laptops to correct the manufacturing defects.
B)Airtel advertisement promoting it's new logo.
C)Wal-Mart advertising year-end discount sells.
D)CRY advertisement requesting donation for the children of famine affected Somalia.
E)Inaugural advertisement of a new Chevrolet showroom in Texas.

Question 56

Which out of the following assumptions of free market economics,suggest that people are acquisitive and always want more-for less?

A)Many buyers and sellers
B)Absence of externalities
C)Presence of opportunity costs
D)Self-interest
E)Complete information

Question 57

Advertising reaches us through various channels of communication referred to as:

A)feedback mechanisms.
B)medium.
C)encoding mechanisms.
D)distribution channels.
E)information channels.

Question 58

Which of the following organizations is most likely to benefit from a Public Service Announcement (PSA)?

A)The humane society
B)IBM
C)The American stock exchange
D)Delta airlines
E)Wal-Mart

Question 59

What is the most basic function of branding?

Question 60

Which of the following statements about advertising is true?

A)It does not involve branding.
B)It is usually free.
C)It has an identifiable sponsor.
D)It is just informative communication.
E)It is restricted to a single medium.

Question 61

The period in the evolution of advertising that extended from the beginning of recorded history to roughly the start of the nineteenth century was called the:

A)sales era.
B)positioning age.
C)industrial age.
D)industrializing age.
E)preindustrial age.

Question 62

Which of the following statements best describes how Volney B. Palmer influenced advertising?

A) In 1729, he became the first to use "white space" and illustration in ads.
B) In 1841, he set up the first professional advertising agency in the United States.
C) In 1869, his advertising agency becomes the first to prepare ads for manufacturers.
D) In 1888, he founded Printer's Ink magazine.
E) In 1912, he became the first advertising agent to reach $2 million in sales.

Question 63

Why is 1896 considered to be an extremely important year for direct mail advertising and mail-order selling?

A)Advertising agencies were allowed to charge commissions for their services
B)The U.S.Post Office was created
C)The Office of Consumer Affairs guaranteed that consumers could return products that did not meet their needs
D)The Federal Communications Commission took over control of all mail order and direct mail advertising
E)The Federal Government inaugurated rural free mail delivery

Question 64

According to the history of advertising,the _____ made possible the first advertising formats-posters,handbills,signs and newspapers.

A)quill pen
B)printing press
C)silk screen
D)ability to mold lead
E)ability to copy and draw

Question 65

The use of taxation and/or regulation to compensate for or eliminate the social cost when the sale or consumption of products may benefit or harm other people who are not involved in the transaction and didn't pay for the product,falls under the assumption of:

A)many buyers and sellers.
B)absence of externalities.
C)presence of opportunity costs.
D)self-interest.
E)complete information.

Question 66

Why did magazines become the ideal medium for advertising in the 1840s?

A)Magazines offered good quality and customized capabilities
B)Magazines were less expensive than newspapers
C)Magazines were read more often than newspapers
D)Advertisers were tired of using newspapers to carry their messages
E)No taxes were imposed on magazine advertising

Question 67

Who is the father of advertising art?

A) Francis Ayer
B) Benjamin Franklin
C) Volney B. Palmer
D) Johannes Gutenberg
E) N.W Ayer

Question 68

During the pre-industrial age,most advertisements took the form of signs with symbols such as a beer tankard indicating a tavern because:

A)most people were illiterate and could not read.
B)most advertisers could not afford more sophisticated advertisements.
C)there were laws prohibiting advertising in newspapers.
D)the churches would not approve other forms of advertising.
E)signs and symbols were considered lucky.

Question 69

Which of the following ages in the evolution of advertising was characterized by the Chinese inventing paper,Johannes Guttenberg inventing the printing press and the Boston Newsletter beginning to carry advertisements that appealed to American colonists?

A)Age of reason
B)Industrial age
C)Preindustrial age
D)Industrializing age
E)Mercantile age

Question 70

Which of the following factors occurred near the end of the nineteenth century and was one of the most responsible reasons for accelerating the usage of print ads by manufacturers who wished to sell their products?

A)The nation had not been in a war for over thirty years
B)The advertising agency had become a reality
C)Newspaper ads were relatively inexpensive
D)The nation had reached a 90 percent literacy rate
E)English was the established language of the United States

Question 71

The term _____ can be used to explain why most of the automobile manufacturers produce almost similar products and yet consumers have developed preferences for specific brands.

A)market segmentation
B)market formatting
C)product differentiation
D)strategic marketing
E)product segmentation

Question 72

As a marketing tool,advertising is used to:

A)create unfair advantages among competitors.
B)make people want things they do not need.
C)make products irresistible to the average consumer.
D)increase product use.
E)create monitored feedback.

Question 73

What role did the firm N.W.Ayer & Son play in the history of U.S.advertising?

A)It was the first printer to use illustrations in its ads.
B)It was the first manufacturer to use national advertising.
C)It was the first ad agency to charge a commission based on the "net cost of space."
D)Its advertising claims were the first examined by the Food & Drug Administration.
E)It published the first colonial newspaper with ads.

Question 74

During the _____ age,manufacturers were principally concerned with production.The primary burden of marketing fell on the wholesalers.They used advertising primarily as an information vehicle.Advertising to the consumer was the job of the retailers and the large mail-order catalog companies.

A)preindustrial
B)postindustrial
C)industrializing
D)industrial
E)isolation

Question 75

A decade after World War I ended,a significant event occurred that caused consumer sales resistance,corporate budget cutting and advertising expenditures to plummet.This event was:

A)the imposition of a personal income tax by the federal government.
B)the defeat of Germany and its default on loans that had been granted to them by the victors of the conflict.
C)the crashing of the stock market in October 29,1929.
D)the creation of the World Bank,which made additional revenues available to state and federal banks.
E)strong challenges to the idea of a system of consumer credit that had been advocated by the federal government.

Question 76

With respect to the evolution of advertising in the United States,the _____ age started around the turn of the twentieth century and lasted well into the 1970s.

A)service marketing
B)relationship marketing
C)industrial
D)production
E)mercantile

Question 77

New brands of consumer luxury and convenience goods developed by fresh mass markets can be referred to as:

A)product differentiation.
B)consumer packaged goods.
C)market segmentation.
D)positioning.
E)customized packaged goods.

Question 78

What did the first ad in English advertise?

A)A plow
B)Farm land
C)A prayer book
D)A religious service
E)A pub

Question 79

The industrializing age of nineteenth century saw the shift of orientation from:

A)production to consumption.
B)sales to consumption.
C)sales to customer relationship management.
D)production to sales.
E)consumption to production.

Question 80

Benjamin Franklin:

A)was the first American known to use illustrations in ads.
B)was the first to print color ads.
C)was the first to use copy in ads.
D)printed ads with no clutter.
E)was the first to use testimonials in advertising.