TRUE/FALSE QUESTIONS Answer whether the following statements are true or false 1 Discuss the role of promotion in the marketing mix
3 Describe the communication process
3. The Addle Ad Agency conducted research on a popular television ad and found that people were so caught up in the flashy pictures and catchy music that the message in the ad was not noticed. This is an example of noise in the communications process. true false
5. IMC can have the basic tasks to inform, persuade, or remind the consumer about a product, even though different types of promotion may be used (personal selling, advertising, sales promotion, or public relations). true false
5 Discuss the AIDA concept and its relationship to the IMC program
6. AIDA stands for Attention-Interest-Desire-Action. true false 7. Of the four types of promotion, sales promotion is the most effective at getting potential customers to purchase the product (the "action" of AIDA). true false
6. AIDA stands for Attention-Interest-Desire-Action. true false
7. Of the four types of promotion, sales promotion is the most effective at getting potential customers to purchase the product (the "action" of AIDA). true false
6 Describe the factors that affect IMC
8. Nia is trying to develop a promotional mix for her firm's new product, a high-technology solar heating/cooling system. Because her product is complex and carries high economic risk, she should concentrate on personal selling. true false 9. Totter Toys uses personal selling and sales promotions to encourage intermediaries to carry and sell its toy products. Totter Toys is using a pull strategy. true false
8. Nia is trying to develop a promotional mix for her firm's new product, a high-technology solar heating/cooling system. Because her product is complex and carries high economic risk, she should concentrate on personal selling. true false
9. Totter Toys uses personal selling and sales promotions to encourage intermediaries to carry and sell its toy products. Totter Toys is using a pull strategy. true false
9 List the steps in the selling process
10. Generating, qualifying, and approaching sales leads are all important steps in the personal-selling process, but the sales presentation is the heart of the process. true false 11. Werner is approaching the end of his sales presentation. He is prepared to offer free training and a 10% price discount if the client does not seem to want to make a purchase. Werner is using negotiation to close the sale. true false 12. The last selling duty of a salesperson is to close the sale. true false
10. Generating, qualifying, and approaching sales leads are all important steps in the personal-selling process, but the sales presentation is the heart of the process. true false
11. Werner is approaching the end of his sales presentation. He is prepared to offer free training and a 10% price discount if the client does not seem to want to make a purchase. Werner is using negotiation to close the sale. true false
12. The last selling duty of a salesperson is to close the sale. true false
10 Describe the functions of sales management
13. The Squinch Squeegee Company is using the workload approach to determine the number of salespeople it should hire. The company's ideal number of customers is 500, and each customer should be visited every month. Because Squinch's squeegees are not complex, the average time for each sales call is half an hour. If each salesperson can give 1,500 hours of selling time per year, Squinch should hire a total of two salespeople. true false 14. Edward earns a 20 percent commission on every sale he makes to supplement his base income of $20,000. This is an example of a straight commission system. true false
13. The Squinch Squeegee Company is using the workload approach to determine the number of salespeople it should hire. The company's ideal number of customers is 500, and each customer should be visited every month. Because Squinch's squeegees are not complex, the average time for each sales call is half an hour. If each salesperson can give 1,500 hours of selling time per year, Squinch should hire a total of two salespeople. true false
14. Edward earns a 20 percent commission on every sale he makes to supplement his base income of $20,000. This is an example of a straight commission system. true false
1 Discuss the role of promotion in the marketing mix
2 Discuss the elements of the IMC
16. A local exterminator uses its own fleet of cars to communicate its service. The cars are painted yellow and are made to resemble a mouse. This is a form of: a. personal selling b. advertising c. sales promotion d. public relations e. publicity 17. Julie Gourmand is a chef in a new downtown restaurant. She has sent out press releases to the major local media and has invited food critics to dine in her restaurant. Julie is engaging in: a. public relations b. personal selling c. sales promotion d. advertising e. publicity 18. Sally's Security Service has sent a representative to most of the large local corporations to introduce the firm and its services and to explain the rates for corporate customers for after-hours security. This is a form of: a. mass communication b. implicit communication c. public relations d. personal selling e. telemarketing 19. Most large warehouse membership clubs give away samples of the packaged foods sold in their stores. This is a form of: a. public relations b. personal selling c. sales promotion d. advertising e. publicity 20. Mammoth Oil Company uses radio, television, magazine, and newspaper advertising for its promotion. This form of communication is known as: a. reference b. factual c. mass d. interpersonal e. public
16. A local exterminator uses its own fleet of cars to communicate its service. The cars are painted yellow and are made to resemble a mouse. This is a form of: a. personal selling b. advertising c. sales promotion d. public relations e. publicity
17. Julie Gourmand is a chef in a new downtown restaurant. She has sent out press releases to the major local media and has invited food critics to dine in her restaurant. Julie is engaging in: a. public relations b. personal selling c. sales promotion d. advertising e. publicity
18. Sally's Security Service has sent a representative to most of the large local corporations to introduce the firm and its services and to explain the rates for corporate customers for after-hours security. This is a form of: a. mass communication b. implicit communication c. public relations d. personal selling e. telemarketing
19. Most large warehouse membership clubs give away samples of the packaged foods sold in their stores. This is a form of: a. public relations b. personal selling c. sales promotion d. advertising e. publicity
20. Mammoth Oil Company uses radio, television, magazine, and newspaper advertising for its promotion. This form of communication is known as: a. reference b. factual c. mass d. interpersonal e. public
21. All of the following are noise in the communication process EXCEPT: a. three competing ads on the same page of a magazine b. music, flashing lights, and hot temperatures in the store dressing room c. important news stories in the newspaper with bold headlines d. two people with a shared frame of reference e. a crying child and ringing telephone while you are watching television 22. PiperCo places its messages on local radio stations and in the yellow pages of the phone book. These communications are directed at the ____________, the person who will decode the message. a. sender b. communicator c. encoder d. channeler e. receiver 23. Rad-Rays manufactures sunglasses targeted at college students. Its last advertising campaign was written by a retirement-age manager who did not attend college. The ad campaign generated poor response. This demonstrates how important it is to have: a. common frames of reference b. common social classes c. several copywriters for advertisements d. similar ethnic backgrounds e. messages that are always pretested
21. All of the following are noise in the communication process EXCEPT: a. three competing ads on the same page of a magazine b. music, flashing lights, and hot temperatures in the store dressing room c. important news stories in the newspaper with bold headlines d. two people with a shared frame of reference e. a crying child and ringing telephone while you are watching television
22. PiperCo places its messages on local radio stations and in the yellow pages of the phone book. These communications are directed at the ____________, the person who will decode the message. a. sender b. communicator c. encoder d. channeler e. receiver
23. Rad-Rays manufactures sunglasses targeted at college students. Its last advertising campaign was written by a retirement-age manager who did not attend college. The ad campaign generated poor response. This demonstrates how important it is to have: a. common frames of reference b. common social classes c. several copywriters for advertisements d. similar ethnic backgrounds e. messages that are always pretested
4 Explain the goals and tasks of IMC
24. The Micro-Blaze is a surgeon's tool for microscopic eye surgery and has been on the market for eight years. The advertising agency is writing the ad copy for the Micro-Blaze and has decided on a(n) ____________ format because the product is technical. a. informative b. persuasive c. reminder d. talkative e. influencer 25. Quinn's Quiches has started a new ad campaign aimed at changing negative perceptions of cholesterol-laden eggs (a primary ingredient in quiche). The ads state that eggs are a good source of protein and that Quinn's Quiches are preferred by famous athletes. The message ends by asking viewers to buy Quinn's Quiches for their next special dinner. This promotion has the task of: a. informing b. persuading c. reminding d. suppressing e. rewarding 26. Crest toothpaste should use ____________ promotion to keep the brand name in the public's mind. a. influence b. reminder c. informative d. persuasive e. humorous 27. Icellee's Ice Cream is in the maturity stage of the product life cycle. Icellee should probably use ____________ promotion. a. reminder b. amusement c. informative d. persuasive e. influence
24. The Micro-Blaze is a surgeon's tool for microscopic eye surgery and has been on the market for eight years. The advertising agency is writing the ad copy for the Micro-Blaze and has decided on a(n) ____________ format because the product is technical. a. informative b. persuasive c. reminder d. talkative e. influencer
25. Quinn's Quiches has started a new ad campaign aimed at changing negative perceptions of cholesterol-laden eggs (a primary ingredient in quiche). The ads state that eggs are a good source of protein and that Quinn's Quiches are preferred by famous athletes. The message ends by asking viewers to buy Quinn's Quiches for their next special dinner. This promotion has the task of: a. informing b. persuading c. reminding d. suppressing e. rewarding
26. Crest toothpaste should use ____________ promotion to keep the brand name in the public's mind. a. influence b. reminder c. informative d. persuasive e. humorous
27. Icellee's Ice Cream is in the maturity stage of the product life cycle. Icellee should probably use ____________ promotion. a. reminder b. amusement c. informative d. persuasive e. influence
28. AIDA stands for: a. attention, interest, desire, action b. attention, intention, desire, action c. awareness, interest, desire, action d. awareness, interest, demand, attention e. awareness, intention, desire, attention 29. You are the public relations manager for an environmentally friendly paint. You know that public relations will have its greatest impact in the ____________ stage of the AIDA model. a. awareness b. attention c. desire d. demand e. action 30. Displays in grocery stores, coupons, premiums, and trial-size packages are most useful at the ____________ stage the AIDA model. a. awareness b. attention c. desire d. demand e. action
28. AIDA stands for: a. attention, interest, desire, action b. attention, intention, desire, action c. awareness, interest, desire, action d. awareness, interest, demand, attention e. awareness, intention, desire, attention
29. You are the public relations manager for an environmentally friendly paint. You know that public relations will have its greatest impact in the ____________ stage of the AIDA model. a. awareness b. attention c. desire d. demand e. action
30. Displays in grocery stores, coupons, premiums, and trial-size packages are most useful at the ____________ stage the AIDA model. a. awareness b. attention c. desire d. demand e. action
31. As Freddie's Flour plans its promotion for its new oat-blend flours, all of the following factors can be expected to affect the promotional mix EXCEPT that it is: a. just being introduced b. targeted at restaurants that will use the flour for their baking c. a healthy product d. packaged in five-pound bags e. targeted at home users 32. Lubri-Care used to market its motor oils heavily to car owners. But after years of television and newspaper advertising, Lubri-Care has decided to focus on personal selling and sales promotion to auto supply stores and large discount stores such as Wal-Mart. This new strategy is a: a. sales promotion strategy b. foot-in-the-door strategy c. pull strategy d. push strategy e. public relations strategy 33. Chewees Gum uses television advertising, couponing, and free store samples to increase sales. This is a ____________ strategy. a. push b. pull c. personal selling d. reinforcing e. publicity
31. As Freddie's Flour plans its promotion for its new oat-blend flours, all of the following factors can be expected to affect the promotional mix EXCEPT that it is: a. just being introduced b. targeted at restaurants that will use the flour for their baking c. a healthy product d. packaged in five-pound bags e. targeted at home users
32. Lubri-Care used to market its motor oils heavily to car owners. But after years of television and newspaper advertising, Lubri-Care has decided to focus on personal selling and sales promotion to auto supply stores and large discount stores such as Wal-Mart. This new strategy is a: a. sales promotion strategy b. foot-in-the-door strategy c. pull strategy d. push strategy e. public relations strategy
33. Chewees Gum uses television advertising, couponing, and free store samples to increase sales. This is a ____________ strategy. a. push b. pull c. personal selling d. reinforcing e. publicity
7 Describe personal selling
34. The newly formed Industrial Intruder burglar alarm company needs more clients. Ike, the founder of the firm, has decided to spend three days per week visiting other businesses and introducing himself and his firm. Ike is engaged in: a. personal selling b. advertising c. public relations d. sales promotion e. research and development 35. Brown's sells customized oil field drilling equipment in Alberta and the Yukon. You would expect Brown's to rely on ____________ to promote their products. a. publicity b. advertising c. personal selling d. sales promotion e. word-of-mouth
34. The newly formed Industrial Intruder burglar alarm company needs more clients. Ike, the founder of the firm, has decided to spend three days per week visiting other businesses and introducing himself and his firm. Ike is engaged in: a. personal selling b. advertising c. public relations d. sales promotion e. research and development
35. Brown's sells customized oil field drilling equipment in Alberta and the Yukon. You would expect Brown's to rely on ____________ to promote their products. a. publicity b. advertising c. personal selling d. sales promotion e. word-of-mouth
36. The Chem-Gro Company has developed a new type of liquid chemical fertilizer for large lawn areas. The company has purchased mailing lists of landscape contractors, corporate lawn care services, and turf companies to send out brochures with a detachable card that can be sent in for more information. Chem-Gro is involved in: a. qualification b. the sales approach c. a sales presentation d. the contact procedure e. lead generation 37. When Sammy began selling Singer sewing machines, he called friends, relatives, former business acquaintances, and members of his neighborhood club. He asked them if they knew anyone who was looking for a deal on a new sewing machine. This technique is known as: a. networking b. cold calling c. quota driving d. qualifying e. following up 38. The SnoGo snowblower salesperson is demonstrating how the snowblower works, letting the potential customer try it personally. This is the ____________ stage of the sale. a. leading b. follow-up c. sales presentation d. sales approach e. closing 39. The employees at Compu-Consulting focus on solving problems for their clients rather than trying to sell more services. They concentrate on finding a variety of quality suppliers of computers, equipment, office supplies, and training programs, depending upon the client's needs. This is a(n) ____________ approach. a. stimulus-response b. needs assortment c. canned d. prepared e. adaptive 40. As Sherri is trying to conclude the sale of the aluminum house siding system to the Renaud family, she finally offers them free gutter cleaning services and six pairs of window shutters for half-price. This is a closing technique called: a. summative b. assumptive c. follow-up d. adaptive e. negotiation
36. The Chem-Gro Company has developed a new type of liquid chemical fertilizer for large lawn areas. The company has purchased mailing lists of landscape contractors, corporate lawn care services, and turf companies to send out brochures with a detachable card that can be sent in for more information. Chem-Gro is involved in: a. qualification b. the sales approach c. a sales presentation d. the contact procedure e. lead generation
37. When Sammy began selling Singer sewing machines, he called friends, relatives, former business acquaintances, and members of his neighborhood club. He asked them if they knew anyone who was looking for a deal on a new sewing machine. This technique is known as: a. networking b. cold calling c. quota driving d. qualifying e. following up
38. The SnoGo snowblower salesperson is demonstrating how the snowblower works, letting the potential customer try it personally. This is the ____________ stage of the sale. a. leading b. follow-up c. sales presentation d. sales approach e. closing
39. The employees at Compu-Consulting focus on solving problems for their clients rather than trying to sell more services. They concentrate on finding a variety of quality suppliers of computers, equipment, office supplies, and training programs, depending upon the client's needs. This is a(n) ____________ approach. a. stimulus-response b. needs assortment c. canned d. prepared e. adaptive
40. As Sherri is trying to conclude the sale of the aluminum house siding system to the Renaud family, she finally offers them free gutter cleaning services and six pairs of window shutters for half-price. This is a closing technique called: a. summative b. assumptive c. follow-up d. adaptive e. negotiation
41. At the Elica Electronics Store, all salespeople are paid a percentage of their individual sales, and there is no guaranteed minimum pay. This is a(n): a. straight commission plan b. salary c. hourly wage d. combination pay plan e. bonus plan 42. The salespeople at Victory Veterinarian Supply spend most of their time filling out information reports, calling on small customers, and dispensing product information. Because of this, Victory decided on a: a. bonus system b. percentage of sales plan c. straight salary system d. combination pay plan e. straight commission 43. Perkle's Restaurant Supply would like to reduce its employee turnover and offer some incentive to sell more volume. The company is considering various pay plans, and you would recommend a(n): a. combination pay plan b. straight commission system c. hourly wage d. percentage of sales without salary e. guaranteed salary
41. At the Elica Electronics Store, all salespeople are paid a percentage of their individual sales, and there is no guaranteed minimum pay. This is a(n): a. straight commission plan b. salary c. hourly wage d. combination pay plan e. bonus plan
42. The salespeople at Victory Veterinarian Supply spend most of their time filling out information reports, calling on small customers, and dispensing product information. Because of this, Victory decided on a: a. bonus system b. percentage of sales plan c. straight salary system d. combination pay plan e. straight commission
43. Perkle's Restaurant Supply would like to reduce its employee turnover and offer some incentive to sell more volume. The company is considering various pay plans, and you would recommend a(n): a. combination pay plan b. straight commission system c. hourly wage d. percentage of sales without salary e. guaranteed salary
