Ch16 Integrated Mktg & Advertising Test Bank

International Marketing, 18e (Cateora)

Chapter 16 Integrated Marketing Communications and International Advertising

1) For most companies, trade shows and direct selling are the major components in the marketing communications mix.

2) Sales promotions are marketing activities that stimulate consumer purchases and improve retailer or middlemen effectiveness and cooperation.

3) Contests, sweepstakes, and sponsorship of special events such as concerts are techniques used for maintaining and improving public relations.

4) Sales promotions are long-term IMC efforts directed to the consumer or retailer.

5) Sales promotions constitute the major portion of the promotional effort in rural and less accessible parts of a market.

6) Of all the elements of the marketing mix, decisions involving advertising are those most often affected by cultural differences among country markets.

7) While developing an international advertisement campaign, the last step of the process is executing the campaign.

8) The role of public relations is to create good relationships with the popular press and other media to help companies communicate messages to their publics.

9) Different cultures usually seek different values or benefits from the primary function of a product.

10) A reason for the failure of marketing communications is that the message received by the intended audience is not understood because of different cultural interpretations.

11) When a message from a source is converted into effective symbolism for transmission to a receiver, the message is said to have been decoded.

12) Uncontrollable and unpredictable influences such as competitive activities and confusion that detract from the process of communication are called feedback.

13) When a marketing executive advertises his product in a newspaper, the newspaper acts as a feedback channel.

14) Problems of literacy, media availability, and types of media create problems in the international communications process at the encoding step.

15) Errors at the receiver end of the international communications process can be avoided if the message is encoded properly.

16) The feedback step of the international communications process is unrelated to the effectiveness of the other steps.

17) Other sales personnel are a source of noise in the international communications process.

18) Feedback channels must be carefully selected if a decoded message is to reach the consumer.

19) A proper feedback system allows a company to correct errors before substantial damage occurs.

20) In the context of advertising, a marketer's self-reference criterion (SRC) may affect the ultimate success of the communication.

21) The French government until recently forbade TV ads for retailers, publishing, cinema, and the press.

22) With some exceptions, usually a majority of the population of less developed countries can be reached readily through the traditional mass medium of advertising.

23) In spite of their inherent entertainment value, radio and television have not been able to become major communications media in most nations.

24) Satellites have the ability to span a wide geographical region covering many different cultures.

25) Industrial advertisers rarely use direct mail for advertising.

26) In international advertising, an advertiser should consider availability, cost, and coverage of media.

27) International advertisers prefer global television (satellite broadcasts) due to the availability of accurate market data in most countries.

28) International advertisers use foreign national consumer magazines extensively because they have dependable circulation figures.

29) In the context of international advertising, search engines have now become crucial directors of Internet users' attention.

30) As advertising agencies have expanded internationally, local agencies have virtually disappeared.

31) Most toy manufacturers would agree that toys cannot be marketed profitably in countries without commercial television advertising directed toward children. In this scenario, commercial television advertising exemplifies the availability of appropriate

A) demonstrations.

B) personal selling services.

C) direct mailing services.

D) public relations.

E) communication channels.

32) Integrated marketing communications include

A) marketing management.

B) research and development.

C) human resources.

D) logistics.

E) advertising.

33) What are the major components in the marketing communications mix for most companies?

A) public relations and advertising

B) direct selling and trade shows

C) advertising and personal selling

D) public relations and sales promotions

E) direct selling and sales promotions

34) Sales promotions are

A) marketing activities that stimulate consumer purchases and improve retailer or middlemen effectiveness and cooperation.

B) long-term efforts directed to a manufacturer or supplier.

C) composed of activities that encourage the press to cover positive stories about companies.

D) ineffective in markets where consumers are hard to reach.

E) the only element of the marketing mix that are affected by cultural differences among country markets.

35) Sales promotions are short-term efforts directed to the consumer or retailer to achieve specific objectives such as

A) consumer product trial or immediate purchase.

B) reducing advertising expenses.

C) discouraging stores from stocking a product.

D) eliminating the need for retail point-of-purchase displays.

E) long-term performance of a product.

36) In-store demonstrations, samples, coupons, contests, and sweepstakes are examples of ________ devices.

A) personal selling

B) sales promotions

C) content marketing

D) direct selling

E) public relations

37) An especially effective promotional tool when a product concept is new or has a very small market share is

A) sponsorship.

B) sweepstakes.

C) product sampling.

D) contests.

E) product tie-ins.

38) Which statement best defines the concept of public relations?

A) It is the practice of using the public to promote a company's products through vehicles like blogs.

B) It is the direct sale of goods at discount rates to the public at trade fairs.

C) It the creation of relationships with the media to help communicate messages to their customers, the general public, and governmental regulators.

D) It is the distribution of samples and coupons directly to the public.

E) It is the use of various forms of promotions to improve relationships with customers..

39) Which element of integrated marketing communications includes encouraging the press to cover positive stories about companies and managing unfavorable rumors, stories, and events?

A) public relations

B) direct selling

C) crisis management

D) personal selling

E) sales promotion

40) Since 2007, FedEx has contributed millions to the PGA Tour, and as its most lucrative donor, an event is named after the company. This is an example of

A) an entrepreneurship.

B) sustainability.

C) governance.

D) a bribe.

E) a sponsorship

41) Corporate ________ might be classified as an aspect of sales promotions or public relations, though they also bear a connection to advertising.

A) entrepreneurships

B) sustainability

C) governance

D) espionage

E) sponsorships

42) In an international advertising campaign, what happens once the goals of the communication have been specified?

A) Develop the most effective message(s) for the market segments selected.

B) Compose and secure a budget.

C) Select effective media.

D) Execute the campaign.

E) Evaluate the campaign relative to the goals specified.

43) Of all the elements of the marketing mix, decisions involving ________ are those most often affected by cultural differences among country markets.

A) direct selling

B) public relations

C) trade shows

D) advertising

E) sales promotion

44) In the context of international advertising, it has been observed that advertising expenditures are generally

A) linear.

B) supplemental.

C) minimal.

D) cyclical.

E) one-time only.

45) When developing an international advertisement campaign, what is the first step of the process?

A) Compose and secure a budget based on what is required to meet goals.

B) Specify the goals of the communication.

C) Select effective media.

D) Execute the campaign.

E) Perform marketing research.

46) What is an example of the primary function of a product?

A) the ability of a camera to take a picture

B) the design and form factor of a phone

C) the color of a cell phone

D) the prestige associated with driving a car

E) the shape of speakers

47) Due to differences in culture in different markets, standardized products that are marketed globally will most likely require

A) different advertising appeals.

B) different primary functions.

C) consistent promotional messages.

D) standardized marketing strategies.

E) standardized secondary attributes.

48) The emergence of pan-European communications media will most likely cause companies to

A) opt for localized promotional campaigns.

B) opt for greater customization of promotional efforts.

C) promote their products only in English.

D) use only the Internet as their message channel.

E) choose more standardized promotional efforts.

49) During which step of the international communications process does the receiver of the message interpret symbolism transmitted from an information source?

A) selecting a message

B) encoding

C) selecting a message channel

D) decoding

E) identifying the sources of noise

50) During ________, the message from the source is converted into effective symbolism for transmission to a receiver.

A) interpretation

B) scrambling

C) standardizing

D) decoding

E) encoding

51) The sales force of a company that provides the company's product specifications to the customer acts as a(n)

A) decoder.

B) interpreter.

C) receiver.

D) message channel.

E) noise.

52) An international marketing executive with a product message to communicate specifically acts as a(n)

A) decoder.

B) information source.

C) receiver.

D) encoder.

E) noise source.

53) ________ is defined as the interpretation by the receiver of the symbolism transmitted from an information source.

A) Encoding

B) Message selection

C) Decoding

D) Message channel selection

E) Feedback evaluation

54) A multinational pharmaceutical company used a saffron trident in a promotional campaign for one of its drugs in India. The saffron trident, a religious symbol in India, was meant to indicate the three levels of efficacy of the drug but mistakenly conveyed a religious message to Indians. This miscommunication indicates a problem associated with which step of the international communications process?

A) encoding

B) noise cancellation

C) media channel selection

D) message transmission

E) information source selection

55) Which element of the international communications process comprises external influences such as competitive advertising, other sales personnel, and confusion at the receiving end that can detract from the ultimate effectiveness of the communication?

A) selecting a message source

B) encoding

C) selecting a message channel

D) decoding

E) noise

56) Janel, a media consultant, is helping the integrated marketing communications manager of a French cosmetics company with the design and content to be used in an upcoming promotional campaign in Japan. The IMC manager knows what to convey but wants to word it in a culturally relevant manner. With which step of the international communications process is Janel helping the company?

A) encoding of the message

B) choosing an appropriate channel for the message

C) decoding of the message

D) providing feedback from customers

E) reducing noise from competing ad campaigns

57) In the context of the communications process in advertising, problems of literacy, media availability, and types of media create challenges in the communications process at the ________ step.

A) feedback

B) decoding

C) amplification

D) encoding

E) message selection

58) Using newspapers or magazine ads as a channel of communication when the majority of the intended users cannot read is an example of ineffective ________ in the communications process.

A) feedback

B) media channel selection

C) noise

D) market selection

E) message selection

59) Using the Internet as a communication medium when only a small percentage of an intended market has access to it is an example of an error related to

A) feedback.

B) decoding.

C) message channel selection.

D) encoding.

E) message selection.

60) A manufacturer of sports bicycles uses various cycling legends and sports celebrities as brand ambassadors to promote its product in China. Bicycles in China are used mainly by the working class for commuting, not sports, so the promotional campaign was a failure. During which step of the international communications process did the manufacturer most likely go wrong?

A) information source

B) message channel

C) encoding

D) decoding

E) noise cancellation

61) The ________ step in the international communications process refers to the information about the effectiveness of the message that flows from the receiver back to the information source for evaluation of the effectiveness of the process.

A) message channel selection

B) interpretation

C) encoding

D) decoding

E) feedback

62) Which step of the international communications process is important as a check on the effectiveness of the other steps?

A) selecting a proper message

B) encoding the message

C) selecting an appropriate channel of communication

D) decoding the message

E) feedback

63) Which statement about advertising laws is correct?

A) Advertising of pharmaceuticals is unrestricted in most countries.

B) Toy, tobacco, and liquor advertising is restricted in numerous countries.

C) Advertising on television is unregulated in most countries.

D) The Internet is the only medium where no restrictions exist in any country.

E) Television ads are exempted from tax in all countries.

64) What is an example of comparative advertising?

A) an ad using a scantily clad model to promote a soft drink

B) an ad showing a celebrity smoking his preferred brand of cigarettes

C) an ad showing a dog choosing one brand of dog food over another brand

D) an ad showing the superiority of synthetic materials used in its products as compared to cotton

E) an ad using shocking or taboo material to promote a product

65) What is especially vulnerable as EU member states decide which area of regulation should apply to these services?

A) newspaper advertising

B) radio advertising

C) outdoor services

D) personal selling

E) Internet services

66) Companies that rely on television infomercials and television shopping are restricted by the limitations placed on the ________ of television commercials permitted when their programs are classified as advertisements.

A) length and number

B) religious content

C) subliminal messaging

D) cost

E) ethnic focus

67) Advertising ________ in some countries can distort media choice by changing the cost ratios of various media.

A) taxation

B) language

C) demographics

D) cultural focus

E) channels

68) The only way to avoid linguistic problems in advertising communication is by

A) creating an entirely new advertisement for the new market.

B) using only English in all media promotions.

C) developing a new version of the product for the new market.

D) performing in-country testing with the target consumer group.

E) using facial expressions and physical gestures in the advertisement.

69) ________ is especially important when an advertising budget is small, where there are severe production limitations, or where there are low literacy rates.

A) Class distinction

B) Politicization

C) Standardization

D) Creativity

E) Following a formula

70) Certain advertising media are forbidden by government edict to accept some advertising materials. Such restrictions are most prevalent in

A) Internet forums.

B) personal selling initiatives.

C) radio and television broadcasting.

D) trade shows and exhibitions.

E) direct selling and sales promotions.

71) What is true of the newspaper industry?

A) In many countries, newspapers hardly have any trouble achieving complete market coverage.

B) Most U.S. cities have three or four major daily newspapers.

C) In many countries, there is a time lag before advertisements can be run in a newspaper.

D) Since there is an indication that the space for advertising is paid for, it is easy to tell exactly how much advertising appears in a given newspaper.

E) Japan has more than 15 national daily newspapers, but the circulation numbers are low.

72) ________ are considered to be major communications media in most countries due to their inherent entertainment value.

A) Newspapers and magazines

B) Radio and television

C) Newspapers and billboards

D) Billboards and television

E) Radio and newspapers

73) One of the drawbacks of satellite TV is

A) the cost of creating a high quality ad for satellite television.

B) the limited market penetration of satellite television.

C) the number of intermediaries required for satellite service transmission.

D) the government regulations placed on satellite advertising.

E) governments' fear of a loss of control over their airwaves and messages.

74) _______ allows ESPN to fill blank walls, streets, or stadium sidings with computer-generated visuals that look like they belong in the scene.

A) Self-extracting archive

B) Princeton Video Imaging

C) High Definition Television

D) HighMAT (High Performance Media Access Technologies)

E) Conditional Access System

75) Direct mail is an unpopular medium in Chile because

A) the literacy level in Chile is extremely low.

B) customers must pay for every item delivered by the letter carrier.

C) it uses paper; hence, it is considered a threat to the environment.

D) its reach is extremely limited.

E) it is subject to complicated government regulations.

76) Which medium suffer(s) from issues such as difficulty in assessing taxes, unfair competition, import duties, and privacy?

A) the radio

B) direct mail

C) magazines

D) newspapers

E) the Internet

77) Compensation arrangements for advertising agencies throughout the world are based on the U.S. system of ________ commissions.

A) 15 percent

B) 25 percent

C) consistent

D) no

E) shared

78) In the context of consumer products, what is the major limitation of the Internet?

A) knowledge of how to use the Internet

B) accessibility outside the United States

C) government regulations on the use of the Internet

D) difficulty in tracking the effectiveness of advertisements on the Internet

E) cost of using the Internet

79) Blogs, virtual worlds, and video sharing are examples of media commonly known as

A) global media.

B) local media.

C) social media.

D) Texas Visual Imaging.

E) widespread media.

80) Billboards are especially useful in countries:

A) with high income levels.

B) where the laws governing the Internet are very complicated.

C) with high illiteracy rates.

D) where sales promotions are ineffective.

E) where people prefer buying in small quantities.

81) In the context of international advertising, ________ is the neon capital of the world.

A) Paris

B) Hong Kong

C) London

D) Sydney

E) Brasília

82) In Spain, a new medium for advertising called Publicoche involves

A) lasers projected onto clouds.

B) private cars that are painted with advertisements.

C) buses fitted with television sets showing promotional messages.

D) financing of popular sporting and entertainment events.

E) hot air balloons printed with promotional messages.

83) In the context of international advertising, companies are moving from the commission system to a ________ system.

A) tactical

B) standardized

C) reward-by-results

D) self-regulation

E) business-to-business

84) A study of a representative sample of European consumers indicated that

A) nearly 8 in 10 believed ads were often deceptive about product quality.

B) most believed advertising was necessary for product purchase decisions.

C) most considered ads enjoyable and entertaining.

D) about 1 in 10 believed advertising meant higher prices for a product.

E) advertising was a way to obtain valuable information about products.

85) What is true of advertising agencies for international advertising?

A) The cross-cultural communication between a foreign client and a local agency can be problematic.

B) A multinational agency always has the best feel for a market.

C) Only a multinational agency can provide the best cultural interpretation in a situation in which local modification is required.

D) Only a local domestic agency can provide a company with a high level of sophistication.

E) Agency commission patterns are consistent throughout the world.

86) ________ in advertising is a thorny issue because most member countries of the European Commission have different interpretations of what constitutes a misleading advertisement.

A) Discrimination

B) Endorsement

C) Deception

D) Plagiarism

E) Fear mongering

87) The assault on advertising of ________ is escalating, as evidenced by the World Health Organization launching a global campaign against it.

A) trans fat

B) alcohol

C) tobacco products

D) pharmaceuticals

E) animal-derived products

88) Skepticism and negative attitudes about advertising, along with poor practices by some advertisers, have resulted in the International Advertising Association

A) producing public service announcements to improve their image.

B) banning certain types of ads.

C) hiring public relations professionals.

D) asking governments to intervene.

E) developing self-regulating codes of conduct.

89) Which country has the most egregious control over advertising, where each medium has its own censorship board that passes judgment on any advertising even before it is submitted for approval by the Ministry of Information?

A) Germany

B) France

C) Myanmar

D) Australia

E) Argentina

90) What is the purpose of sales promotions? Describe 5 examples of sales promotions and give an example of each.

91) Describe the role of public relations (PR).

92) List the seven steps in creating an international advertising campaign.

93) Describe the seven essential elements of the international communications process that affect the accuracy of the message.

94) The encoding step has many factors that can affect the interpretation of the message. Explain with an example.

95) Language is one of the major barriers to effective communication through advertising. Explain with an example.

96) How does cultural diversity influence the IMC process? Give examples.

97) In an international advertising process, what four factors must be considered by an advertiser while selecting a medium? Describe them and give an example.

98) Explain the significance of radio and television in international advertising. How has this changed over time?

99) How might social media be used as a marketing tool? What do international advertisers need to do to take advantage of this medium?