Consumer Behavior, 10e (Schiffman/Kanuk)



Consumer Behavior, 10e (Schiffman/Kanuk)

Chapter 16 Marketing Ethics and Social Responsibility

1) The marketing concept involves ________.

A) filling the marketplace with products that can be produced and sold cheaply

B) fulfilling the needs of target consumer markets more effectively than competitors

C) endeavoring to satisfy the needs and wants of the target market in ways that preserve and enhance the well-being of consumers and society as a whole

D) crafting messages to consumers that get them to buy products that do not meet their needs

E) consumers behaving completely rationally and maximizing their value when considering a purchase

Answer: B

Diff: 2 Page Ref: 496

AACSB: Analytic Skills

Skill: Concept

Objective: 16.2: Learn about potential unethical marketing practices involving targeting especially vulnerable or unaware consumers

2) The societal marketing concept involves ________.

A) endeavoring to satisfy the needs and wants of the target market in ways that preserve and enhance the well-being of consumers and society as a whole

B) fulfilling the needs of target consumer markets more effectively than competitors

C) filling the marketplace with products that can be produced and sold cheaply

D) crafting messages to consumers that get them to buy products that do not meet their needs

E) consumers behaving completely rationally and maximizing their value when considering a purchase

Answer: A

Diff: 2 Page Ref: 496

AACSB: Reflective Thinking

Skill: Concept

Objective: 16.2: Learn about potential unethical marketing practices involving targeting especially vulnerable or unaware consumers

3) Whereas the ________ focuses on fulfilling the needs of target consumer markets more effectively than competitors, the ________ requires marketers to do that in a way that preserves and enhances the well-being of consumers and society as a whole.

A) marketing concept; societal marketing concept

B) consumer marketing concept; societal marketing concept

C) production concept; marketing concept

D) societal marketing concept; marketing concept

E) product concept; societal marketing concept

Answer: A

Diff: 2 Page Ref: 496

AACSB: Reflective Thinking

Skill: Concept

Objective: 16.2: Learn about potential unethical marketing practices involving targeting especially vulnerable or unaware consumers

4) The ________ balances the needs of society with the needs of individuals and marketing organizations.

A) marketing concept

B) sales concept

C) production concept

D) targeting concept

E) societal marketing concept

Answer: E

Diff: 1 Page Ref: 496

AACSB: Reflective Thinking

Skill: Concept

Objective: 16.2: Learn about potential unethical marketing practices involving targeting especially vulnerable or unaware consumers

5) According to the societal marketing concept, ________.

A) fast-food restaurants should develop foods that contain less fat and starch but more nutrients

B) marketers should advertise food to young people in ways that encourage overeating

C) marketers should use professional athletes in liquor and tobacco advertisements

D) marketers should teach young drivers to get the most out of their cars by driving them as fast as possible

E) toy manufacturers should manufacture their products out of the cheapest materials possible, regardless of where those materials come from or what potential contaminants they may contain

Answer: A

Diff: 2 Page Ref: 496

AACSB: Ethical Reasoning

Skill: Application

Objective: 16.2: Learn about potential unethical marketing practices involving targeting especially vulnerable or unaware consumers

6) A serious deterrent to widespread implementation of the societal marketing concept is ________ .

A) the short-term orientation embraced by most business executives in pursuing increased market share and quick profits

B) the long-term focus of most business executives, who are primarily focused on the long-term viability of the business

C) aggressive action taken by consumer advocacy groups

D) the prevailing practices of very specific consumer segmentation and targeting

E) the prevalence of digital media and continuing shift of marketing dollars from old media to digital

Answer: A

Diff: 3 Page Ref: 96

AACSB: Reflective Thinking

Skill: Application

Objective: 16.2: Learn about potential unethical marketing practices involving targeting especially vulnerable or unaware consumers

7) The short-term orientation embraced by most business executives stems from ________.

A) short consumer memory of good corporate behavior

B) the short-term orientation of the consumers they target

C) the fact that managerial performance is usually evaluated on the basis of short-term results

D) the fast-paced nature of media flows in today's hyper-stimulated environment

E) the increasing importance of public relations as a vehicle for communicating with consumers

Answer: C

Diff: 2 Page Ref: 496

AACSB: Analytic Skills

Skill: Concept

Objective: 16.2: Learn about potential unethical marketing practices involving targeting especially vulnerable or unaware consumers

8) The societal marketing concept advocates a ________.

A) long-term perspective

B) short-term perspective

C) medium-term perspective

D) 6-month outlook

E) 12-month outlook

Answer: A

Diff: 2 Page Ref: 498

AACSB: Analytic Skills

Skill: Concept

Objective: 16.2: Learn about potential unethical marketing practices involving targeting especially vulnerable or unaware consumers

9) Industry-wide self-regulation is in marketers' best interests in that ________.

A) it is the only legal form of corporate collusion that provides sustainable economic benefit

B) it is required by various pieces of legislation

C) it deters government from imposing its own regulations on industries

D) enforcement of such regulations is likely to be stricter than governmental regulation

E) consumers rarely complain about companies that they believe are part of such self-regulatory schemes

Answer: C

Diff: 2 Page Ref: 498

AACSB: Reflective Thinking

Skill: Concept

Objective: 16.2: Learn about potential unethical marketing practices involving targeting especially vulnerable or unaware consumers

10) Advertising to children is subject to self-regulation according to guidelines developed by ________.

A) the Federal Trade Commission

B) the Federal Communications Commission

C) the Children's Advertising Review Unit

D) the Department of Health and Human Services

E) Commercial Alert

Answer: C

Diff: 3 Page Ref: 498

Skill: Concept

Objective: 16.2: Learn about potential unethical marketing practices involving targeting especially vulnerable or unaware consumers

11) Parents with complaints about advertising to children should contact ________.

A) the Department of Homeland Security

B) the Federal Communications Commission

C) the Children's Advertising Review Unit

D) the Department of Health and Human Services

E) Commercial Alert

Answer: C

Diff: 3 Page Ref: 498

Skill: Concept

Objective: 16.2: Learn about potential unethical marketing practices involving targeting especially vulnerable or unaware consumers

12) According to ________, children can easily form associations between stimuli and outcomes.

A) Maslow's Hierarchy of Needs

B) Freudian theory

C) Pavlov's experiments

D) attribution theory

E) stimulus-response theory

Answer: E

Diff: 2 Page Ref: 498

Skill: Concept

Objective: 16.2: Learn about potential unethical marketing practices involving targeting especially vulnerable or unaware consumers

13) The majority of advertisements for ________ appear during children's programs.

A) restaurants

B) audio entertainment

C) sweetened drinks

D) public service announcements

E) desserts and sweets

Answer: E

Diff: 3 Page Ref: 500, Figure 16.2

Skill: Concept

Objective: 16.2: Learn about potential unethical marketing practices involving targeting especially vulnerable or unaware consumers

14) The majority of advertisements for ________ appear during nonchildren's programs.

A) games, toys, and hobbies

B) cereal

C) snacks

D) dairy products

E) restaurants and fast food

Answer: E

Diff: 3 Page Ref: 500, Figure 16.2

Skill: Concept

Objective: 16.2: Learn about potential unethical marketing practices involving targeting especially vulnerable or unaware consumers

15) Advertisements for ________ are the most prevalent ads played during children's programming.

A) games, toys, and hobbies

B) cereal

C) snacks

D) dairy products

E) restaurants and fast food

Answer: A

Diff: 2 Page Ref: 500, Figure 16.2

Skill: Concept

Objective: 16.2: Learn about potential unethical marketing practices involving targeting especially vulnerable or unaware consumers

16) According to the ________ model of communication, large audiences are reached with the same electronic or print messages.

A) narrowcasting

B) simulcasting

C) microcasting

D) open casting

E) broadcasting

Answer: E

Diff: 3 Page Ref: 502

AACSB: Analytic Skills

Skill: Application

Objective: 16.2: Learn about potential unethical marketing practices involving targeting especially vulnerable or unaware consumers

17) ________ is a technique that allows marketers to send precisely directed messages to very small audiences on an ongoing basis.

A) Narrowcasting

B) Broadcasting

C) Simulcasting

D) Microcasting

E) Open casting

Answer: A

Diff: 2 Page Ref: 502

AACSB: Analytic Skills

Skill: Concept

Objective: 16.2: Learn about potential unethical marketing practices involving targeting especially vulnerable or unaware consumers

18) When Company X obtains a list of left-handed people earning over 100K per year who own pets and are of Hispanic origin and develops and delivers a highly targeted and persuasive message designed specifically for this very narrowly defined consumer group, Company X is engaging in ________.

A) narrowcasting

B) broadcasting

C) simulcasting

D) microcasting

E) open casting

Answer: A

Diff: 2 Page Ref: 502

AACSB: Analytic Skills

Skill: Application

Objective: 16.2: Learn about potential unethical marketing practices involving targeting especially vulnerable or unaware consumers

19) Over the course of their interaction with The Knot, a specialty web site for people planning their weddings, future brides and grooms record the home towns, the planned location of the wedding, the wedding date, the ceremony denomination, and the wedding budget. The Knot then provides this information to its advertisers, who are able to tailor their advertising messages to the specific brides and grooms based on what these advertisers already know about them. This is an example of ________.

A) narrowcasting

B) broadcasting

C) simulcasting

D) microcasting

E) open casting

Answer: A

Diff: 2 Page Ref: 502

Skill: Application

Objective: 16.2: Learn about potential unethical marketing practices involving targeting especially vulnerable or unaware consumers

20) When Company Y buys radio time on all the local radio stations and plays the same advertisement on all of them, Company Y is engaging in ________.

A) narrowcasting

B) broadcasting

C) simulcasting

D) microcasting

E) open casting

Answer: B

Diff: 2 Page Ref: 502

AACSB: Analytic Skills

Skill: Application

Objective: 16.2: Learn about potential unethical marketing practices involving targeting especially vulnerable or unaware consumers

21) When Klondike relaunched its "What Would You Do For A Klondike Bar" campaign in 2008, it broadcast its television ads during sporting events and prime time shows. This is an example of ________.

A) narrowcasting

B) broadcasting

C) simulcasting

D) microcasting

E) open casting

Answer: B

Diff: 2 Page Ref: 502

Skill: Application

Objective: 16.2: Learn about potential unethical marketing practices involving targeting especially vulnerable or unaware consumers

22) Direct-to-consumer pharmaceutical advertising has increased the consumption of numerous categories of medications. Consumers confirm that they receive most of the information about these medications from TV commercials rather than from their physicians. In response, the pharmaceutical industry has developed voluntary restrictions regarding this marketing method. Why have they done this?

A) to slow sales and reduce the incidence of out-of-stock situations

B) to avoid government regulation of their marketing practices

C) to improve consumers' perceptions of their companies

D) to save money

E) to increase sales

Answer: B

Diff: 2 Page Ref: 501

AACSB: Reflective Thinking

Skill: Application

Objective: 16.2: Learn about potential unethical marketing practices involving targeting especially vulnerable or unaware consumers

23) To combat fast-forwarding by consumers who wish to avoid TV commercials, marketers are increasingly turning to ________, where the line between television shows and ads is virtually nonexistent.

A) broadcast media

B) product placements

C) buzz marketing

D) advertorials

E) infomercials

Answer: B

Diff: 2 Page Ref: 504

AACSB: Reflective Thinking

Skill: Concept

Objective: 16.3: Learn how marketers can ambush consumers with unexpected ads, tinker with their perceptions, and mislead them

24) In ABC's Extreme Makeover: Home Edition, Sears' Kenmore appliances and Craftsman tools are the "stars" of the show. This is an example of ________.

A) product placement

B) buzz marketing

C) broadcast media

D) an advertorial

E) an infomercial

Answer: A

Diff: 1 Page Ref: 504

Skill: Application

Objective: 16.3: Learn how marketers can ambush consumers with unexpected ads, tinker with their perceptions, and mislead them

25) The judges of American Idol always have a Coca-Cola within easy reach (and view). This is an example of ________.

A) broadcast media

B) buzz marketing

C) product placement

D) an advertorial

E) an infomercial

Answer: C

Diff: 1 Page Ref: 504

Skill: Application

Objective: 16.3: Learn how marketers can ambush consumers with unexpected ads, tinker with their perceptions, and mislead them

26) While forecasts indicate that companies are going to steadily increase expenditures on branded entertainment, ________ is lobbying for legislation that will require advertisers to disclose upfront ads that are designed as product placements.

A) the Children's Advertising Review Unit

B) the Federal Trade Commission

C) Commercial Alert

D) the Federal Communications Commission

E) the Department of Health and Human Services

Answer: C

Diff: 2 Page Ref: 504

Skill: Concept

Objective: 16.3: Learn how marketers can ambush consumers with unexpected ads, tinker with their perceptions, and mislead them

27) Marketers are beginning to blend promotion and program content by positioning a TV commercial so close to the storyline of a program that viewers are unaware they are watching an advertisement until they are well into it. Because this was an important factor in advertising to children, ________ has strictly limited the use of this technique.

A) the Children's Advertising Review Unit

B) the Federal Trade Commission

C) Commercial Alert

D) the Department of Health and Human Services

E) the Federal Communications Commission

Answer: B

Diff: 3 Page Ref: 504

AACSB: Analytic Skills

Skill: Concept

Objective: 16.3: Learn how marketers can ambush consumers with unexpected ads, tinker with their perceptions, and mislead them

28) Print ads that closely resemble editorial matter are known as ________.

A) broadcast media

B) an advertorial

C) buzz marketing

D) product placement

E) an infomercial

Answer: B

Diff: 1 Page Ref: 504

Skill: Concept

Objective: 16.3: Learn how marketers can ambush consumers with unexpected ads, tinker with their perceptions, and mislead them

29) When the government of a country attempts to attract businesses by buying several pages in a well-respected news magazine and fills them with what appears to be a news article on the strength of the country's economy, the stability of its government, and the business-friendly nature of its legislation, this is an example of ________.

A) broadcast media

B) an advertorial

C) buzz marketing

D) product placement

E) an infomercial

Answer: B

Diff: 1 Page Ref: 504

AACSB: Communication

Skill: Application

Objective: 16.3: Learn how marketers can ambush consumers with unexpected ads, tinker with their perceptions, and mislead them

30) Pomona Fruits, a tropical fruit grower, wants to raise awareness of the health benefits of pineapples in order to spur sales of its produce. Pomona buys a full page in a women's health magazine and pays a nutritionist to write a complementary article highlighting tropical fruits, including pineapples. This is an example of ________.

A) broadcast media

B) an advertorial

C) buzz marketing

D) product placement

E) an infomercial

Answer: B

Diff: 1 Page Ref: 504

AACSB: Communication

Skill: Application

Objective: 16.3: Learn how marketers can ambush consumers with unexpected ads, tinker with their perceptions, and mislead them

31) When The Ab Crusher, a new piece of work-out equipment, is advertised in a 30-minute TV slot that is produced to look like a documentary on health and fitness, this is an example of ________.

A) broadcast media

B) urgent ad-formation

C) buzz marketing

D) product placement

E) an infomercial

Answer: E

Diff: 1 Page Ref: 504

AACSB: Communication

Skill: Application

Objective: 16.3: Learn how marketers can ambush consumers with unexpected ads, tinker with their perceptions, and mislead them

32) The manufacturers of The Amazing Chop-It, a vegetable chopping tool, have bought a 30-minute spot on a local television channel and have hired a chef to demonstrate and explain the benefits of the product. The spot is intended to look like a cooking show. This is an example of ________.

A) broadcast media

B) urgent ad-formation

C) buzz marketing

D) product placement

E) an infomercial

Answer: E

Diff: 1 Page Ref: 504

AACSB: Communication

Skill: Application

Objective: 16.3: Learn how marketers can ambush consumers with unexpected ads, tinker with their perceptions, and mislead them

33) 30-minute commercials that appear to the average viewer as documentaries and therefore command more attentive viewing than obvious commercials would receive are known as ________.

A) broadcast media

B) infomercials

C) buzz marketing

D) product placement

E) urgent ad-formation

Answer: B

Diff: 1 Page Ref: 504

Skill: Concept

Objective: 16.3: Learn how marketers can ambush consumers with unexpected ads, tinker with their perceptions, and mislead them

34) With regard to assortment structure, ________ is/are relevant for mixed assortments in bowls, buffets, potlucks, or dinner table settings. It may also be relevant in retail contexts.

A) assortment size

B) assortment symmetry

C) perceived variety

D) organization

E) consumption rules

Answer: D

Diff: 3 Page Ref: 505, Table 16.2

AACSB: Analytic Skills

Skill: Application

Objective: 16.3: Learn how marketers can ambush consumers with unexpected ads, tinker with their perceptions, and mislead them

35) With regard to assortment structure, ________ is/are commonly found in the form of multiple product tastings, multiple offerings of party snacks, duplicate buffet lines, family dinners with multiple dishes, and perhaps even in retail displays.

A) assortment size

B) assortment symmetry

C) perceived variety

D) organization

E) consumption rules

Answer: A

Diff: 3 Page Ref: 505, Table 16.2

AACSB: Analytic Skills

Skill: Application

Objective: 16.3: Learn how marketers can ambush consumers with unexpected ads, tinker with their perceptions, and mislead them

36) With regard to assortment structure, ________ is/are an issue wherever multiple units of options are involved, such as holiday dinners, toys in play areas, and collectibles and collecting.

A) assortment size

B) assortment symmetry

C) perceived variety

D) organization

E) consumption rules

Answer: B

Diff: 3 Page Ref: 505, Table 16.2

AACSB: Analytic Skills

Skill: Application

Objective: 16.3: Learn how marketers can ambush consumers with unexpected ads, tinker with their perceptions, and mislead them

37) The principle of ________ can be used to confuse consumers and alter intended consumption behavior by blurring the distinction between branded and private-label products.

A) stimulus distinction

B) stimulus generalization

C) stimulus differentiation

D) stimulus cognition

E) stimulus recognition

Answer: B

Diff: 2 Page Ref: 505

AACSB: Reflective Thinking

Skill: Application

Objective: 16.3: Learn how marketers can ambush consumers with unexpected ads, tinker with their perceptions, and mislead them

38) In most drugstores, less expensive brands of personal care products such as shampoo, dental floss, skin care lotions, and soap come in packages that are extremely similar to instantly recognized and more expensive premium brands of these products, and are deliberately placed right next to them on the shelf. This is an attempt to encourage ________.

A) stimulus distinction

B) stimulus generalization

C) stimulus differentiation

D) stimulus cognition

E) stimulus recognition

Answer: B

Diff: 2 Page Ref: 505

AACSB: Reflective Thinking

Skill: Application

Objective: 16.3: Learn how marketers can ambush consumers with unexpected ads, tinker with their perceptions, and mislead them

39) ________ consists of marketing messages and promotional materials that appear to come from independent parties although, in fact, they are sent by marketers.

A) Stimulus generalization

B) Stimulus differentiation

C) Product placement

D) Covert marketing

E) Broadcast media

Answer: D

Diff: 2 Page Ref: 505

AACSB: Analytic Skills

Skill: Concept

Objective: 16.3: Learn how marketers can ambush consumers with unexpected ads, tinker with their perceptions, and mislead them

40) Advertorials and infomercials are examples of ________.

A) stimulus generalization

B) stimulus differentiation

C) product placement

D) covert marketing

E) broadcast media

Answer: D

Diff: 2 Page Ref: 505

AACSB: Analytic Skills

Skill: Concept

Objective: 16.3: Learn how marketers can ambush consumers with unexpected ads, tinker with their perceptions, and mislead them

41) Actors or salespeople who pretend to be ordinary people or researchers conducting a survey to explain product benefits and give potential consumers the chance to examine, sample, or use a product are known as ________.

A) buzz agents

B) advertorials

C) advertainment

D) posers

E) narrowcasters

Answer: D

Diff: 2 Page Ref: 506

AACSB: Analytic Skills

Skill: Application

Objective: 16.3: Learn how marketers can ambush consumers with unexpected ads, tinker with their perceptions, and mislead them

42) Natural Inspirations, a manufacturer of organic personal care products, is trying to get people to try its new moisturizer by paying actors to pretend to be researchers and stop people in the mall for a quick "survey." The "researchers" ask a series of questions about moisturizer use and then offer the consumer a sample of the new Natural Inspirations moisturizer and explain the benefits of using all natural personal care products. In this example, the "researchers" are considered ________.

A) buzz agents

B) advertorials

C) advertainment

D) posers

E) narrowcasters

Answer: D

Diff: 2 Page Ref: 506

AACSB: Analytic Skills

Skill: Application

Objective: 16.3: Learn how marketers can ambush consumers with unexpected ads, tinker with their perceptions, and mislead them

43) In an effort to build excitement for the release of its new sports car, Speedster Motor Works has placed the vehicle in a number of high-profile auto shows. The week of the shows, Speedster pays models to sit in bars and talk about the Speedster car with "friends" in hopes that other people will overhear them and decide to attend the car show and see what all the hype is about. In this example, the models are considered ________.

A) buzz agents

B) advertorials

C) advertainment

D) posers

E) narrowcasters

Answer: A

Diff: 2 Page Ref: 506

AACSB: Analytic Skills

Skill: Application

Objective: 16.3: Learn how marketers can ambush consumers with unexpected ads, tinker with their perceptions, and mislead them

44) Advertainment is ________.

A) the recruitment of people to talk about products through free samples or discounts before the product is available to the general public and suggestions on what to say and how to approach people about the product

B) advertisements that appear to be information from an independent source

C) the employment of invisible metatags to monitor queries submitted via search engines and using the disguised observations to target consumers with customized ads

D) product and advertising placement in television shows, at sporting events, and in video games

E) advertisements that appear in the form of important account information from firms with an existing business relationship, government notices, sweepstakes prize notices, or checks that are simply discount coupons

Answer: D

Diff: 2 Page Ref: 506, Table 16.3

Skill: Concept

Objective: 16.3: Learn how marketers can ambush consumers with unexpected ads, tinker with their perceptions, and mislead them

45) Buzz and viral marketing is ________.

A) the recruitment of people to talk about products through free samples or discounts before the product is available to the general public and suggestions on what to say and how to approach people about the product

B) advertisements that appear to be information from an independent source

C) the employment of invisible metatags to monitor queries submitted via search engines and using the disguised observations to target consumers with customized ads

D) product and advertising placement in television shows, at sporting events, and in video games

E) advertisements that appear in the form of important account information from firms with an existing business relationship, government notices, sweepstakes prize notices, or checks that are simply discount coupons

Answer: A

Diff: 2 Page Ref: 506, Table 16.3

Skill: Concept

Objective: 16.3: Learn how marketers can ambush consumers with unexpected ads, tinker with their perceptions, and mislead them

46) Urgent ad-formation is ________.

A) the recruitment of people to talk about products through free samples or discounts before the product is available to the general public and suggestions on what to say and how to approach people about the product

B) advertisements that appear to be information from an independent source

C) the employment of invisible metatags to monitor queries submitted via search engines and using the disguised observations to target consumers with customized ads

D) product and advertising placement in television shows, at sporting events, and in video games

E) advertisements that appear in the form of important account information from firms with an existing business relationship, government notices, sweepstakes prize notices, or checks that are simply discount coupons

Answer: E

Diff: 2 Page Ref: 506, Table 16.3

Skill: Concept

Objective: 16.3: Learn how marketers can ambush consumers with unexpected ads, tinker with their perceptions, and mislead them

47) Which of the following is a masked marketing practice using a disguised format?

A) posers

B) advertorials

C) buzz marketing

D) viral marketing

E) stimulus generalization

Answer: B

Diff: 3 Page Ref: 506, Figure 16.3

AACSB: Analytic Skills

Skill: Concept

Objective: 16.3: Learn how marketers can ambush consumers with unexpected ads, tinker with their perceptions, and mislead them

48) Which of the following is a masked marketing practice using a disguised communicator?

A) advertorials

B) urgent ad-formation

C) disguised monitoring of queries via search engines

D) advertianment

E) viral marketing

Answer: E

Diff: 2 Page Ref: 506, Table 16.3

AACSB: Analytic Skills

Skill: Concept

Objective: 16.3: Learn how marketers can ambush consumers with unexpected ads, tinker with their perceptions, and mislead them

49) To advertise its new body spray, Fresh Personal Care Products has created a two-minute video that looks like a news broadcast and talks about a town in North Dakota that found itself with significantly more men than women. In order to attract more women to the town, the men had crop sprayers cover the town in Fresh Body Spray. The "news report" goes on to show hundreds of gorgeous women arriving in the town on tour buses, attracted by the scent of Fresh Body Spray. This video clip was emailed to the Fresh Personal Care email list and subsequently forwarded to friends. Ultimately, the video clip was seen by over 50,000 people. This is an example of ________.

A) an advertorial

B) urgent ad-formation

C) disguised monitoring of queries via search engines

D) advertianment

E) viral marketing

Answer: E

Diff: 2 Page Ref: 506, Table 16.3

AACSB: Analytic Skills

Skill: Concept

Objective: 16.3: Learn how marketers can ambush consumers with unexpected ads, tinker with their perceptions, and mislead them

50) Aspire is a credit card provider that is offering a new identity theft protection service for a fee to its existing card holders. It is advertising this new service by sending direct mail to card holders in envelopes that say "Time Sensitive Account Information" to discourage customers from simply discarding the junk mail without opening it. This is an example of ________.

A) an advertorial

B) urgent ad-formation

C) disguised monitoring of queries via search engines

D) advertianment

E) viral marketing

Answer: B

Diff: 2 Page Ref: 506, Table 16.3

AACSB: Analytic Skills

Skill: Concept

Objective: 16.3: Learn how marketers can ambush consumers with unexpected ads, tinker with their perceptions, and mislead them

51) With regard to offensive advertising, ________ produced the most consumer complaints.

A) images and words unsuitable for children

B) the very thin "ideal" figures in fashion advertising

C) perfectly tanned models

D) excessive alcohol consumption

E) the use of tobacco and cigarettes

Answer: A

Diff: 2 Page Ref: 507

Skill: Application

Objective: 16.3: Learn how marketers can ambush consumers with unexpected ads, tinker with their perceptions, and mislead them

52) Regarding accuracy, a toothpaste ad stating that "brand A is the best" is considered an acceptable form of ________ because consumers generally understand that there is no credible way to determine what best means.

A) advertorial

B) advertainment

C) covert marketing

D) stimulus generalization

E) puffery

Answer: E

Diff: 2 Page Ref: 507

AACSB: Communication

Skill: Application

Objective: 16.3: Learn how marketers can ambush consumers with unexpected ads, tinker with their perceptions, and mislead them

53) Which of the following advertising messages would be considered puffery?

A) Fizzy Cola has 50% less sugar than the leading competitor's diet colas.

B) Fizzy Cola will donate 5% of the proceeds of the sale of its "Pink Ribbon" cola to support breast cancer research.

C) Fizzy Cola, the most refreshment you can get in a can.

D) Fizzy Cola, an American icon since 1956.

E) Fizzy Cola is produced locally, using local ingredients and local bottlers.

Answer: C

Diff: 2 Page Ref: 507

AACSB: Analytic Skills

Skill: Application

Objective: 16.3: Learn how marketers can ambush consumers with unexpected ads, tinker with their perceptions, and mislead them

54) ________ is responsible for stopping false or misleading ads.

A) The Children's Advertising Review Unit

B) The Federal Trade Commission

C) The Federal Communications Commission

D) The Department of Health and Human Services

E) Commercial Alert

Answer: B

Diff: 2 Page Ref: 508

AACSB: Analytic Skills

Skill: Concept

Objective: 15.3: Understand four different views or models of consumer decision making

55) Several years ago, after inaccurately advertising that Listerine prevented colds, the FTC required Listerine to run a second set of ads that pointed out to consumers that the previous advertising claim was false. This second set of ads is known as ________.

A) deceptive advertising

B) truth-in-advertising

C) corrective advertising

D) stimulus generalization

E) advertorial content

Answer: C

Diff: 2 Page Ref: 508

AACSB: Analytic Skills

Skill: Application

Objective: 16.3: Learn how marketers can ambush consumers with unexpected ads, tinker with their perceptions, and mislead them

56) ________ is the self-regulatory group that monitors complaints from companies and consumers regarding truth in advertising and often determines what ads can and cannot state.

A) The Children's Advertising Review Unit

B) The National Advertising Review Council

C) The Federal Communications Commission

D) The Department of Health and Human Services

E) Commercial Alert

Answer: B

Diff: 3 Page Ref: 508

AACSB: Analytic Skills

Skill: Concept

Objective: 16.3: Learn how marketers can ambush consumers with unexpected ads, tinker with their perceptions, and mislead them

57) Socially beneficial forms of doing business include ________.

A) buzz marketing

B) stimulus generalization

C) viral marketing

D) deceptive advertising

E) cause-related marketing

Answer: E

Diff: 1 Page Ref: 508

AACSB: Analytic Skills

Skill: Concept

Objective: 16.4: Understand how marketers can advance society's interests via such practices as advocating social benefits, cause-related marketing, and green marketing

58) Some firms engage in ________, where they contribute a portion of the revenues they receive from selling certain products as helping people inflicted with incurable diseases or hurt by inclement weather.

A) buzz marketing

B) stimulus generalization

C) viral marketing

D) deceptive advertising

E) cause-related marketing

Answer: E

Diff: 1 Page Ref: 511

AACSB: Analytic Skills

Skill: Concept

Objective: 16.4: Understand how marketers can advance society's interests via such practices as advocating social benefits, cause-related marketing, and green marketing

59) When Fizzy Cola advertizes that it will donate a portion of all the proceeds of cola packaged in its Olympic can to the Special Olympics, it is engaging in ________.

A) buzz marketing

B) stimulus generalization

C) viral marketing

D) deceptive advertising

E) cause-related marketing

Answer: E

Diff: 1 Page Ref: 511

AACSB: Analytic Skills

Skill: Concept

Objective: 16.4: Understand how marketers can advance society's interests via such practices as advocating social benefits, cause-related marketing, and green marketing

60) When People's Trust Bank advertises its involvement in free consumer credit training to help low-income families manage their earnings and qualify for mortgages, People's Trust is engaging in ________.

A) advocating a socially beneficial cause

B) cause-related marketing

C) viral marketing

D) green marketing

E) buzz marketing

Answer: A

Diff: 2 Page Ref: 511

AACSB: Reflective Thinking

Skill: Application

Objective: 16.4: Understand how marketers can advance society's interests via such practices as advocating social benefits, cause-related marketing, and green marketing

TOASTER MINI CASE: Ruth's son is five years old. He recently saw a TV commercial for Kool-Stuf toaster pastries that showed Oreo cookies going into a toaster and popping out as Kool-Stuf pastries. He proceeded to put Oreo cookies into the toaster in his kitchen at home and, when they didn't pop out, tried to get them out with a pair of scissors. Ruth feels that the advertisement is dangerous and should be changed.

61) In the TOASTER MINI CASE, if Ruth wants to complain to the self-regulatory organization that monitors these types of advertisements, she should address her complaint to ________.

A) the Federal Communication Commission

B) Commercial Alert

C) the Public Broadcasting System

D) the Federal Trade Commission

E) the Children's ADvertising Review Unit

Answer: E

Diff: 3 Page Ref: 498

Skill: Application

Objective: 16.2: Learn about potential unethical marketing practices involving targeting especially vulnerable or unaware consumers

62) In the TOASTER MINI CASE, Ruth's son believed that he could put an Oreo cookie in the toaster and it would pop out as a Kool-Stuf pastry because, according to ________, children easily form associations between stimuli and outcomes.

A) the theory of reasoned action

B) equity theory

C) Maslow's Hierarchy of Needs

D) economic consumption theory

E) the stimulus-response theory

Answer: E

Diff: 3 Page Ref: 498

AACSB: Analytic Skills

Skill: Application

Objective: 16.2: Learn about potential unethical marketing practices involving targeting especially vulnerable or unaware consumers

63) In the TOASTER MINI CASE, Ruth's son demonstrates children's high aptitude for ________.

A) observational learning

B) technical learning

C) cognitive learning

D) apprehensive learning

E) evoked learning

Answer: A

Diff: 3 Page Ref: 498

AACSB: Analytic Skills

Skill: Application

Objective: 16.2: Learn about potential unethical marketing practices involving targeting especially vulnerable or unaware consumers

64) In the TOASTER MINI CASE, which of the following CARU guidelines does the Kool-Stuf manufacturer violate?

A) Product presentations must not encourage children to pressure their parents to buy the products advertised.

B) Ads must not compel children to feel that ownership of a given product will make them more accepted by peers.

C) Product claims must not exaggerate the benefits of the product.

D) Product presentations must not exploit the child's imagination or create unrealistic expectations.

E) Ads must not deliberately attempt to confuse children and make them believe that the advertisement is actually the television show they are watching.

Answer: D

Diff: 3 Page Ref: 498

AACSB: Ethical Reasoning

Skill: Application

Objective: 16.2: Learn about potential unethical marketing practices involving targeting especially vulnerable or unaware consumers

65) In the TOASTER MINI CASE, which of the following is most likely true of Ruth's son?

A) He is better-equipped to differentiate between ads and regular programming, even if characters from the show he is currently watching appear in the ad.

B) He is more likely than an adult to imitate the behavior he sees in an advertisement.

C) He is likely to see significantly fewer ads for snack foods aired during his programming than does the average adult.

D) He is likely to be more skeptical of advertising than an adult would be.

E) He will always recognize the difference between factual claims and puffery in advertising.

Answer: B

Diff: 1 Page Ref: 498

AACSB: Ethical Reasoning

Skill: Application

Objective: 16.2: Learn about potential unethical marketing practices involving targeting especially vulnerable or unaware consumers

CLEANER MINI CASE: Oopsy All Gone is a new super cleaning powder that, when mixed with water, will remove the toughest stains from carpets and upholstery. The manufacturer, Clean Brite, has taken out a 30-minute spot on a local television channel and is planning on airing a mini-program on the harmful chemicals present in most household cleaners, while highlighting the mild ingredients in Oopsy All Gone that are tough on stains but soft on skin. Clean Brite has also arranged for Oopsy All Gone to appear in a popular sit-com, where the main character spills a drink on his neat-freak friend's white couch while housesitting for the weekend.

66) In the CLEANER MINI CASE, the advertising methods used are examples of ________

A) disguised format

B) disguised communicator

C) disguised user

D) disguised consumer

E) disguised evaluation

Answer: A

Diff: 2 Page Ref: 506, Table 16.3

Skill: Application

Objective: 16.3: Learn how marketers can ambush consumers with unexpected ads, tinker with their perceptions, and mislead them

67) In the CLEANER MINI CASE, the 30-minute television spot is an example of ________.

A) buzz marketing

B) viral marketing

C) product placement

D) an advertorial

E) urgent ad-formation

Answer: D

Diff: 2 Page Ref: 506, Table 16.3

AACSB: Reflective Thinking

Skill: Application

Objective: 16.3: Learn how marketers can ambush consumers with unexpected ads, tinker with their perceptions, and mislead them

68) In the CLEANER MINI CASE, the 30-minute television spot that is made to look like an expose on the cleaning product industry is an example of ________.

A) advocating a socially beneficial cause

B) cause-related marketing

C) green marketing

D) covert marketing

E) urgent ad-formation

Answer: D

Diff: 2 Page Ref: 505

AACSB: Reflective Thinking

Skill: Application

Objective: 16.3: Learn how marketers can ambush consumers with unexpected ads, tinker with their perceptions, and mislead them

69) In the CLEANER MINI CASE, when Oopsy All Gone appears in a popular sit-com, this is an example of ________.

A) advocating a socially beneficial cause

B) buzz marketing

C) green marketing

D) product placement

E) urgent ad-formation

Answer: D

Diff: 2 Page Ref: 504

Skill: Application

Objective: 16.3: Learn how marketers can ambush consumers with unexpected ads, tinker with their perceptions, and mislead them

70) In the CLEANER MINI CASE, the 30-minute Oopsy All Gone spot delivers the same message to all viewers. This is an example of the ________ model of marketing.

A) simulcasting

B) narrowcasting

C) open casting

D) broadcasting

E) widecasting

Answer: D

Diff: 1 Page Ref: 500

Skill: Application

Objective: 16.2: Learn about potential unethical marketing practices involving targeting especially vulnerable or unaware consumers

ECOLITE MINI CASE: Ecolite is a new manufacturer of compact cars that run exclusively on battery power and require no fossil fuels. Its advertising focuses on the amount of carbon emissions that the Ecolite driver will avoid emitting compared to comparable compact cars, and the positive impact that will have on the environment. Ecolite has also put together a SuperGreen add-on package that includes additional interior features, a portion of the proceeds of which are donated to the Arbor Day Foundation. Ecolite has decided to advertise its new vehicle by offering them to car rental agencies at a discounted price to enable people to drive the cars risk free and to get them seen on the street. Ecolite has also paid models to drive the cars around major metropolitan areas, parking them briefly in grocery stores like Trader Joe's and Whole Foods, where its target customers shop, and to engage potentially interested consumers in conversation about how great the new car is.

71) In the ECOLITE MINI CASE, Ecolite's advertising surrounding carbon emissions is an example of ________.

A) covert advertising

B) green marketing

C) advertainment

D) buzz marketing

E) cause-related marketing

Answer: B

Diff: 1 Page Ref: 511

Skill: Application

Objective: 16.4: Understand how marketers can advance society's interests via such practices as advocating social benefits, cause-related marketing, and green marketing

72) In the ECOLITE MINI CASE, the SuperGreen package is an example of ________.

A) covert advertising

B) green marketing

C) advertainment

D) cause-related marketing

E) buzz marketing

Answer: D

Diff: 3 Page Ref: 511

AACSB: Reflective Thinking

Skill: Application

Objective: 16.4: Understand how marketers can advance society's interests via such practices as advocating social benefits, cause-related marketing, and green marketing

73) In the ECOLITE MINI CASE, by making Ecolite electric cars available for environmentally-conscious consumers to try out through the rentals, Ecolite is attempting to show consumers that any potentially negative preconceived notions they have about electric cars are not accurate. They are targeting consumers at the ________ stage of behavior change.

A) evaluation

B) maintenance

C) contemplation

D) action

E) preparation

Answer: C

Diff: 3 Page Ref: 515, Table 16.5A

Skill: Application

Objective: 16.4: Understand how marketers can advance society's interests via such practices as advocating social benefits, cause-related marketing, and green marketing

74) In the ECOLITE MINI CASE, the models that Ecolite has hired to drive the car around and talk to average consumers about how great it is are examples of ________.

A) advertainment

B) urgent ad-formation

C) posers

D) product placement

E) advertorials

Answer: C

Diff: 3 Page Ref: 506, Table 16.3

Skill: Application

Objective: 16.3: Learn how marketers can ambush consumers with unexpected ads, tinker with their perceptions, and mislead them

75) In the ECOLITE MINI CASE, the models that Ecolite has hired to drive the car around and talk to average consumers about how great it is are an example a marketing program with a ________.

A) disguised format

B) disguised communicator

C) disguised user

D) disguised consumer

E) disguised evaluation

Answer: A

Diff: 2 Page Ref: 506, Table 16.3

Skill: Application

Objective: 16.3: Learn how marketers can ambush consumers with unexpected ads, tinker with their perceptions, and mislead them

76) The marketing concept as we know it is always consistent with society's well-being and best interests.

Answer: FALSE

Diff: 2 Page Ref: 496

AACSB: Ethical Reasoning

Skill: Concept

Objective: 16.1: Understand the meaning of marketing ethics and social responsibility

77) The societal marketing concept proposes that all companies would be better off in a stronger, healthier society, and that companies that incorporate ethical behavior and social responsibility in all of their business dealings attract and maintain loyal consumer support over the long term.

Answer: TRUE

Diff: 1 Page Ref: 498

AACSB: Reflective Thinking

Skill: Concept

Objective: 16.1: Understand the meaning of marketing ethics and social responsibility

78) Socially responsible activities improve a company's image among consumers, stockholders, the financial community, and other relevant publics.

Answer: TRUE

Diff: 2 Page Ref: 498

AACSB: Reflective Thinking

Skill: Concept

Objective: 16.1: Understand the meaning of marketing ethics and social responsibility

79) Perceptions of a company's lack of social responsibility or unethical marketing strategies rarely has a negative effect on consumer purchase decisions.

Answer: FALSE

Diff: 2 Page Ref: 498

Skill: Concept

Objective: 16.1: Understand the meaning of marketing ethics and social responsibility

80) Children are less likely than adults to imitate the behavior they see on TV with little or no evaluative judgment.

Answer: FALSE

Diff: 2 Page Ref: 498

AACSB: Reflective Thinking

Skill: Application

Objective: 16.1: Understand the meaning of marketing ethics and social responsibility

81) There is a consensus that even if children understand the purpose of promotional messages, marketers must take special care in advertising to them because of the amount of time kids spend viewing TV and online.

Answer: TRUE

Diff: 3 Page Ref: 499

AACSB: Ethical Reasoning

Skill: Concept

Objective: 16.1: Understand the meaning of marketing ethics and social responsibility

82) Consumers are very open to the installation of digital "cookies" onto their computers, regardless of the consumers' degree of online experience and privacy concern

Answer: FALSE

Diff: 2 Page Ref: 503

AACSB: Reflective Thinking

Skill: Concept

Objective: 16.1: Understand the meaning of marketing ethics and social responsibility

83) Marketers increasingly use techniques that blur the distinction between figure and ground, which makes it easier for consumers to clearly distinguish advertising from entertainment content.

Answer: FALSE

Diff: 2 Page Ref: 504

AACSB: Communication

Skill: Application

Objective: 16.4: Understand how marketers can advance society's interests via such practices as advocating social benefits, cause-related marketing, and green marketing

84) As a result of the increasing criticism directed at product placements as a form of masked advertising, companies are forecast to steadily decrease expenditures on branded entertainment.

Answer: FALSE

Diff: 3 Page Ref: 504

AACSB: Analytic Skills

Skill: Application

Objective: 16.4: Understand how marketers can advance society's interests via such practices as advocating social benefits, cause-related marketing, and green marketing

85) People are often surprised at how much they consume, showing that they may have been influenced at a basic or perceptual level.

Answer: TRUE

Diff: 2 Page Ref: 505, Table 16.2

AACSB: Analytic Skills

Skill: Concept

Objective: 16.4: Understand how marketers can advance society's interests via such practices as advocating social benefits, cause-related marketing, and green marketing

86) Large inventory levels in one's home pantry could increase the quantity of food one believes is appropriate for a meal.

Answer: FALSE

Diff: 3 Page Ref: 505, Table 16.2

AACSB: Reflective Thinking

Skill: Application

Objective: 16.4: Understand how marketers can advance society's interests via such practices as advocating social benefits, cause-related marketing, and green marketing

87) Consumers may be able to control consumption by organizing less-structured offerings.

Answer: TRUE

Diff: 1 Page Ref: 505, Table 16.2

AACSB: Reflective Thinking

Skill: Application

Objective: 16.4: Understand how marketers can advance society's interests via such practices as advocating social benefits, cause-related marketing, and green marketing

88) It is argued that stealth marketing will result in increased consumer acceptance of product information.

Answer: FALSE

Diff: 3 Page Ref: 505

AACSB: Reflective Thinking

Skill: Application

Objective: 16.4: Understand how marketers can advance society's interests via such practices as advocating social benefits, cause-related marketing, and green marketing

89) Objectionable ads always arise from the negative intentions of marketers.

Answer: FALSE

Diff: 2 Page Ref: 506

AACSB: Ethical Reasoning

Skill: Application

Objective: 16.4: Understand how marketers can advance society's interests via such practices as advocating social benefits, cause-related marketing, and green marketing

90) By itself, one tasteless ad has little impact on our values. However, cumulatively, such ads may persuade consumers to act unwisely or develop undesirable attitudes.

Answer: TRUE

Diff: 2 Page Ref: 507

AACSB: Reflective Thinking

Skill: Application

Objective: 16.4: Understand how marketers can advance society's interests via such practices as advocating social benefits, cause-related marketing, and green marketing

91) Because marketers continuously sponsor ads portraying values or behaviors that some (or many) consumers find distasteful or wrong, we can conclude that public scrutiny has little impact on marketers.

Answer: FALSE

Diff: 2 Page Ref: 507

AACSB: Reflective Thinking

Skill: Application

Objective: 16.4: Understand how marketers can advance society's interests via such practices as advocating social benefits, cause-related marketing, and green marketing

92) Repeated exposure to very thin "ideal" figures in promotional messages leads to negative self-perceptions (particularly in women) and is partially responsible for the increase in eating-related disorders.

Answer: TRUE

Diff: 2 Page Ref: 507

AACSB: Ethical Reasoning

Skill: Application

Objective: 16.4: Understand how marketers can advance society's interests via such practices as advocating social benefits, cause-related marketing, and green marketing

93) A recent study discovered that deceptive claims were found in about three-quarters of humorous ads and, in most cases, the humor was used to mask the deceptive claims.

Answer: TRUE

Diff: 3 Page Ref: 508

AACSB: Ethical Reasoning

Skill: Application

Objective: 16.4: Understand how marketers can advance society's interests via such practices as advocating social benefits, cause-related marketing, and green marketing

94) Truth-in-advertising laws protect consumers from false advertisements.

Answer: TRUE

Diff: 3 Page Ref: 508

AACSB: Analytic Skills

Skill: Concept

Objective: 16.4: Understand how marketers can advance society's interests via such practices as advocating social benefits, cause-related marketing, and green marketing

95) The FTC holds marketers responsible for determining their ads' potential to mislead consumers.

Answer: TRUE

Diff: 2 Page Ref: 508

Skill: Concept

Objective: 16.4: Understand how marketers can advance society's interests via such practices as advocating social benefits, cause-related marketing, and green marketing

96) A low fit between a sponsored cause and the sponsoring company's positioning strategy can harm the company's image.

Answer: TRUE

Diff: 3 Page Ref: 511

AACSB: Reflective Thinking

Skill: Application

Objective: 16.4: Understand how marketers can advance society's interests via such practices as advocating social benefits, cause-related marketing, and green marketing

97) A cause-related message elicits more favorable consumer attitudes than a similar ad without a cause-related message.

Answer: TRUE

Diff: 1 Page Ref: 511

AACSB: Reflective Thinking

Skill: Concept

Objective: 16.4: Understand how marketers can advance society's interests via such practices as advocating social benefits, cause-related marketing, and green marketing

98) Cause-related advertising is less effective among more involved consumers.

Answer: FALSE

Diff: 2 Page Ref: 511

Skill: Concept

Objective: 16.4: Understand how marketers can advance society's interests via such practices as advocating social benefits, cause-related marketing, and green marketing

99) While many consumers report that they like ecologically friendly products, only about a third actually buy such products, and most consumers don't know which lifestyle changes are the best means to reduce global warming.

Answer: TRUE

Diff: 3 Page Ref: 511

Skill: Application

Objective: 16.4: Understand how marketers can advance society's interests via such practices as advocating social benefits, cause-related marketing, and green marketing

100) Consumers find environmental labels difficult to understand, which increases consumers' price-sensitivity regarding green products.

Answer: TRUE

Diff: 2 Page Ref: 511-512

Skill: Application

Objective: 16.4: Understand how marketers can advance society's interests via such practices as advocating social benefits, cause-related marketing, and green marketing

101) How does the societal marketing concept differ from the marketing concept?

Answer: The marketing concept as we know it — that is, fulfilling the needs of target consumer markets more effectively than competitors — is sometimes inconsistent or incongruous with society's well-being and best interest. A more appropriate conceptualization of the traditional marketing concept, which balances the needs of society with the needs of the individuals and marketing organizations, is the societal marketing concept. The societal marketing concept requires that all marketers adhere to principles of social responsibility in the marketing of their goods and services; that is, they should endeavor to satisfy the needs and wants of their target markets in ways that preserve and enhance the well-being of consumers and society as a whole, while fulfilling the objectives of the organization.

Diff: 3 Page Ref: 496

AACSB: Analytic Skills

Skill: Concept

Objective: 16.2: Learn about potential unethical marketing practices involving targeting especially vulnerable or unaware consumers

102) According to stimulus-response theory, children can easily form associations between stimuli and outcomes. How does this impact the guidelines that regulate marketing toward children?

Answer: Marketers must avoid ads that encourage children to pressure their parents to buy the products advertised, and those that compel children to feel that ownership of a given product will make them more accepted by peers.

Diff: 2 Page Ref: 498-499

AACSB: Ethical Reasoning

Skill: Application

Objective: 16.2: Learn about potential unethical marketing practices involving targeting especially vulnerable or unaware consumers

103) Differentiate between broadcasting and narrowcasting.

Answer: The broadcasting model of marketing involves reaching large audiences with the same electronic or print messages. Narrowcasting is a technique that allows marketers to send precisely directed messages to very small audiences on an ongoing basis.

Diff: 1 Page Ref: 501-502

AACSB: Analytic Skills

Skill: Concept

Objective: 16.2: Learn about potential unethical marketing practices involving targeting especially vulnerable or unaware consumers

104) What techniques have marketers used to blur the distinction between figure and ground and what are the ethical implications for marketers?

Answer: Marketers blur the distinction between figure and ground in order to make it more difficult for consumers to clearly distinguish advertising from entertainment content. For example, to combat fast-forwarding by consumers who wish to avoid TV commercials, marketers are increasingly turning to product placements, where the line between television shows and ads is virtually nonexistent and products are placed directly into television shows, often as critical elements of the story line. While forecasts indicate that companies are going to steadily increase expenditures on branded entertainment, a newly formed consumer advocacy group, Commercial Alert, is lobbying for legislation that will require advertisers to disclose upfront ads that are designed as product placements.

Marketers also blend promotion and program content by positioning a TV commercial so close to the storyline of a program that viewers are unaware that they are watching an advertisement until they are well into it. Because this was an important factor in advertising to children, the FTC has strictly limited the use of this technique. TV stars or cartoon characters are now prohibited from promoting products during the children's shows in which they appear.

Diff: 3 Page Ref: 504

AACSB: Ethical Reasoning

Skill: Application

Objective: 16.3: Learn how marketers can ambush consumers with unexpected ads, tinker with their perceptions, and mislead them

105) What is stimulus generalization and how is it used in the marketing of private label goods?

Answer: Stimulus generalization is where consumers attribute a stimulus to a broad range of outcomes. In the case of private label goods, consumers observe the stimulus of key packaging stimuli that are similar between national and private-label brands and extrapolate the national brand characteristics to the private-label brand. In most drugstores, less expensive brands of personal care products such as shampoo, dental floss, skin care lotions, and soap come in packages that are extremely similar to instantly recognized and more expensive premium brands of these products, and are deliberately placed right next to them on the shelf. Consumers can easily be confused by such displays and also by brand names or logos similar to those of premium offerings.

Diff: 2 Page Ref: 505

AACSB: Analytic Skills

Skill: Application

Objective: 16.3: Learn how marketers can ambush consumers with unexpected ads, tinker with their perceptions, and mislead them

106) What is puffery?

Answer: Puffery is the use of deliberately exaggerated claims in advertising that consumers readily recognize as exaggerated. Puffery does not qualify as deceptive advertising.

Diff: 1 Page Ref: 507

AACSB: Analytic Skills

Skill: Concept

Objective: 16.3: Learn how marketers can ambush consumers with unexpected ads, tinker with their perceptions, and mislead them

107) What is cause-related marketing and what impact does the choice of cause have on the effectiveness of the marketing campaign?

Answer: In cause-related marketing campaigns, the company contributes a portion of the revenues it receives from selling certain products to such causes as helping people inflicted with an incurable disease or hurt by inclement weather. A recent study demonstrated the importance of the fit between the sponsored cause and the company's positioning strategy and that a low fit can harm the company's image. In another study, an ad with a cause-related message elicited more favorable consumer attitudes than a similar ad without a cause-related message. Yet another study showed that cause-related advertising is more effective among more involved consumers.

Diff: 3 Page Ref: 511

AACSB: Reflective Thinking

Skill: Concept

Objective: 16.4: Understand how marketers can advance society's interests via such practices as advocating social benefits, cause-related marketing, and green marketing

108) What is stealth marketing and how does it impact consumers perceptions of product information?

Answer: Stealth marketing (also known as masked marketing) consists of marketing messages and promotional materials that appear to come from independent parties although, in fact, they are sent by a marketer. Some maintain that masked marketing strategies often violate the FTC's definition of deceptive advertising, endorsement guidelines, and other regulations of marketing, and believe that the FTC should establish clearer rules in order to reduce the use of masked advertising. Others argue that the widespread use of stealth marketing abuses consumers' efforts to avoid advertising and will result in increased consumer distrust of product information.

Diff: 2 Page Ref: 505

AACSB: Ethical Reasoning

Skill: Concept

Objective: 16.3: Learn how marketers can ambush consumers with unexpected ads, tinker with their perceptions, and mislead them

109) How might a marketer unintentionally convey socially undesirable stereotypes and images in products and advertisements? Give an example.

Answer: An ad for a drug used as part of HIV therapy by persons who are HIV positive shows a fit, smiling young man on a sidewalk in New York City with yellow cabs, pedestrians, and buildings in the background. The bright red headline reads, "Just once a day!" Since visual images are very persuasive, it is possible that the fit young man and the caption conveys to young adults that being HIV positive is an easily "manageable" condition, and that one can engage in unsafe sex. For marketers, featuring an individual who looks unhealthy in an ad for a pharmaceutical designed to control a serious medical condition will not be effective, but featuring a healthy-looking individual may communicate the wrong message.

Diff: 3 Page Ref: 506

AACSB: Reflective Thinking

Skill: Application

Objective: 16.3: Learn how marketers can ambush consumers with unexpected ads, tinker with their perceptions, and mislead them

110) How can advertisements impact culture?

Answer: Since advertising is part of our culture, the cumulative persuasive impact of promotional messages on social values must be considered. By itself, one tasteless ad has little impact on our values. However, cumulatively, such ads may persuade consumers to act unwisely or develop undesirable attitudes. For example, repeated exposure to ads depicting perfectly tanned people is likely to result in excessive sun bathing or tanning via ultraviolet light, despite the fact that it has been documented that such practices significantly increase the chances of developing cancer.

Diff: 3 Page Ref: 507

AACSB: Reflective Thinking

Skill: Application

Objective: 16.3: Learn how marketers can ambush consumers with unexpected ads, tinker with their perceptions, and mislead them

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