Essentials of contemporary advertising, Arens - Exam Preparation Test Bank (Downloadable Doc)

Ch01
Student: ___________________________________________________________________________

1. Advertising is just one type of marketing communications tool.
True False
2. Computer repair, ergonomic keyboards and printer ink cartridges are all examples of goods.
True False
3. The billboard that displays an advertisement for a new Internet service provider is an example of a
medium.
True False
4. The ultimate goal of the marketing process is to build customer relationships.
True False
5. Our economy is based on the concept of perfect competition.
True False
6. Lung cancer resulting from smoking is an example of an externality.
True False
7. One of the functions of advertising as a marketing tool is to build value, brand preferences and
loyalty.
True False
8. The pre-industrial age extended from the beginning of recorded history to first decades of the 1900s.
True False
9. Benjamin Franklin was an early critic of advertising.
True False
10. The industrializing age ended around the same time as World War I ended.
True False
11. For Americans, the profession of advertising began when Volley B. Palmer set up business in
Philadelphia is 1841.
True False
12. With the advent of public schooling, the United States reached an unparalleled 90 percent literacy
rate.
True False
13. The industrial age ended shortly after World War II.
True False
14. The retailer of Craftsmen tools is using product differentiation when it advertises that unlike other tools,
its brand of tools have a lifetime warranty.
True False
15. A product's USP is the feature that differentiates it from competitive products.
True False
16. Bojangles, a fast food restaurant chain is using a positioning strategy when it claims its chicken has "true
taste of New Orleans".
True False

,17. De-marketing, which was popular in the industrial age is no longer used today.
True False
18. Sales promotion is a more cost-effective marketing communication tool than advertising.
True False
19. Only the Internet provides advertisers with the ability to engage in narrowcasting.
True False
20. As a social force, advertising has been a major factor in improving the standard of living in the United
States.
True False
21. Define advertising.




22. What is the ultimate goal of the marketing process?




23. Describe how advertising fits into the marketing process.




24. Differentiate between marketing strategy and advertising strategy.




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

,26. Describe how advertising evolved during the pre-industrial age.




27. Describe how wholesalers used advertising in industrializing age.




28. Describe how advertising evolved during the industrializing age.




29. What were the significant events that characterized the industrial age in the United States?
(These events should all tie to the evolution of advertising in this country.)




30. Why did advertisers during the industrial age believe that every ad must point out their product's USP?




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

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




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




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




35. What did the first English-language ad advertise?




36. Who was the father of advertising art?




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