Question 1

_____ is an approach to integrated marketing communications planning that involves determining what tasks need to be done and which marketing communications planning functions should be used to accomplish them.

Accepted Answer

A)  The objective/task pyramid
B)  DAGMAR
C)  Inside out planning
D)  Zero-based communications planning
E)  Refutation planningF) A) and E)
G) A) and D)

Question 2

Arden's task is to determine what was accomplished by his company's advertising and promotional program for a vinyl siding cleanser.You can tell him that:

Accepted Answer

A)  his task is impossible.
B)  all he needs is the sales results to determine what the program accomplished.
C)  his task could be made easier by setting specific communication objectives.
D)  he just requires the post-promotional consumer awareness levels to determine what the program accomplished.
E)  this is the easiest task his company has ever asked him to perform.F) A) and B)
G) All of the above

Question 3

Top-down budgeting methods are commonly used because of:

Accepted Answer

A)  their effectiveness.
B)  upper management's desire for control.
C)  the growing availability of computer simulations.
D)  the ease with which a manager can assess the impact of sales on ROI.
E)  their quantitative nature.F) B) and E)
G) B) and D)

Question 4

Which of following is a likely problem for a manager who uses sales as a measure of advertising effectiveness?

Accepted Answer

A)  Sales results offer little guidance or direction to those responsible for planning and developing the advertising program.
B)  There is a short,often immeasurable,time period between when advertising is run and when sales actually occur.
C)  Sales results are affected by no marketing mix variable other than price and promotion.
D)  No internal environmental variables have any significant influence on sales results.
E)  With the correctly selected promotion variables,no external environmental variables have any significant influence on sales results.F) B) and E)
G) A) and C)

Question 5

The objective and task method is most difficult to use when:

Accepted Answer

A)  the product to be promoted is intangible and in the maturity stage of its product life cycle.
B)  the product to be promoted is in the decline stage of its product life cycle.
C)  the product to be promoted is a cash cow.
D)  the product to be promoted is new to the market.
E)  a service is being promoted.F) C) and D)
G) B) and E)

Question 6

The two models that are commonly used to explain the relationship between advertising and sales are the:

Accepted Answer

A)  concave-downward function and the S-shaped response function.
B)  S-shaped response function and the concave-upward function.
C)  marginal utility function and the S-shaped demand function.
D)  S-shaped demand function and the convex-downward function.
E)  concave-upward function and the S-shaped demand function.F) C) and D)
G) B) and C)

Question 7

Which of the following methods of determining a budget requires a marketing department manager to use input from a clipping service?

Accepted Answer

A)  ROI method
B)  Arbitrary allocation method
C)  Percentage of sales method
D)  Competitive parity method
E)  Objective and task methodF) C) and E)
G) A) and C)

Question 8

One important purpose of setting specific advertising goals and objectives is to:

Accepted Answer

A)  provide a standard against which performance can be measured.
B)  put constraints on the creative department.
C)  have a method of determining when to delete products from the product line.
D)  forecast the market share level that can be attained by good advertising.
E)  protect all investors and debt holders.F) B) and D)
G) B) and C)

Question 9

To be effective,marketing objectives need to be:

Accepted Answer

A)  realistic and attainable.
B)  erudite and challenging.
C)  philosophical and fungible.
D)  long-term and qualitative.
E)  reasonable and elaborate.F) C) and E)
G) C) and D)

Question 10

The _____ method of budgeting is being employed when expenditure is allocated by an analysis of expenditure for all aspects of producing and marketing the product.The ad budget is determined by making sure a certain amount is not exceeded.

Accepted Answer

A)  arbitrary allocation
B)  percentage of sales
C)  affordable
D)  return on investment
E)  competitive parityF) B) and C)
G) All of the above

Question 11

Before setting objectives for advertising and promotion,an organization should:

Accepted Answer

A)  conduct a situation analysis to identify marketing and promotional issues facing the firm.
B)  develop its media plan and allocate the budget to each media.
C)  evaluate the effectiveness of the advertising and promotional strategies.
D)  conduct test marketing to check the effectiveness of the marketing strategies developed for the current products and services.
E)  set its advertising and promotional budgets.F) B) and D)
G) C) and D)

Question 12

According to Duncan's zero-based marketing communications planning approach,

Accepted Answer

A)  advertising should always be the main tool for accomplishing marketing communications objectives
B)  sales promotion is usually the best tool for accomplishing marketing communications objectives
C)  big ideas for a promotional campaign can be based on public relations,advertising,sales promotion or media advertising
D)  integrated marketing communications programs should lead with the promotional function that least effectively addresses a company's communication problem or opportunity
E)  managers should focus on what the customer wants and work backward to the brandF) A) and C)
G) B) and C)

Question 13

Direct-response advertisers generally set objectives and measure success in terms of:

Accepted Answer

A)  brand awareness.
B)  brand attitudes.
C)  purchase intentions.
D)  sales response generated by an ad.
E)  brand equity.F) None of the above
G) C) and D)

Question 14

The DAGMAR approach to setting objectives:

Accepted Answer

A)  has little effect on the advertising planning process.
B)  has focused advertisers' attention on the value of using communications objectives rather than sales objectives.
C)  has never been criticized because it focuses on the hierarchy of effects model.
D)  has increased the degree of subjectivity used in the selection of objectives toward which planners' efforts should be directed.
E)  has been successful because it is easy to implement.F) B) and E)
G) A) and B)

Question 15

A marketing firm decides to purchase media time in an attempt to sell its new product.After purchasing approximately $1 million dollars of time,it has noticed no impact on the sales of the product.However,at $3 million,a substantial increase is shown.This might best be explained by:

Accepted Answer

A)  arbitrary allocation method.
B)  the objective and task method.
C)  competitive parity method.
D)  an S-shaped response function.
E)  rapidly diminishing returns.F) None of the above
G) C) and D)

Question 16

The _____ method of budgeting uses advertising/sales ratio data.

Accepted Answer

A)  objective and task
B)  affordable
C)  percent of sales
D)  ROI
E)  arbitrary allocationF) None of the above
G) B) and E)

Question 17

Which of the following statements provides a good rule of thumb for setting the advertising budget for a new product?

Accepted Answer

A)  Its advertising budget should be twice the desired market share.
B)  Its advertising budget should be equal to that of the largest market shareholder in the product category.
C)  Its advertising budget should be as much as the firm can afford.
D)  Its advertising budget should be ten percent greater than the average budget planned for the entire payout period.
E)  Its advertising budget should be less than that needed to maintain the desired market share.F) A) and D)
G) A) and C)

Question 18

The first task in the objective and task method of budgeting is to:

Accepted Answer

A)  conduct a system analysis.
B)  create an organizational budget.
C)  isolate advertising objectives.
D)  determine what tasks need to be accomplished.
E)  reevaluate objectives from previous years.F) C) and D)
G) C) and E)

Question 19

Ace Computer has an objective of increasing its share of the home personal computer market by 5 percent during the upcoming year.This is an example of a(n) _____ objective.

Accepted Answer

A)  marketing
B)  organizational
C)  advertising
D)  functional
E)  communicationF) C) and D)
G) None of the above

Question 20

The task and objective method of budgeting as well as the payout plan are both examples of the _____ approach.

Accepted Answer

A)  trading up
B)  top-down
C)  bottom-up
D)  build-up
E)  trickle upF) D) and E)
G) B) and C)

Exam 5: Establishing Objectives and Budgeting for the Promotional Program

Direct-response advertisers generally set objectives and measure success in terms of:

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The two models that are commonly used to explain the relationship between advertising and sales are the:

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One important purpose of setting specific advertising goals and objectives is to:

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The DAGMAR approach to setting objectives:

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A marketing firm decides to purchase media time in an attempt to sell its new product.After purchasing approximately $1 million dollars of time,it has noticed no impact on the sales of the product.However,at $3 million,a substantial increase is shown.This might best be explained by:

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The objective and task method is most difficult to use when:

Correct AnswerverifiedShow Answer

Top-down budgeting methods are commonly used because of:

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Before setting objectives for advertising and promotion,an organization should:

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Which of following is a likely problem for a manager who uses sales as a measure of advertising effectiveness?

Correct AnswerverifiedShow Answer

Arden's task is to determine what was accomplished by his company's advertising and promotional program for a vinyl siding cleanser.You can tell him that:

Correct AnswerverifiedShow Answer

The _____ method of budgeting is being employed when expenditure is allocated by an analysis of expenditure for all aspects of producing and marketing the product.The ad budget is determined by making sure a certain amount is not exceeded.

Correct AnswerverifiedShow Answer

According to Duncan's zero-based marketing communications planning approach,

Correct AnswerverifiedShow Answer

Which of the following statements provides a good rule of thumb for setting the advertising budget for a new product?

Correct AnswerverifiedShow Answer

The task and objective method of budgeting as well as the payout plan are both examples of the _____ approach.

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To be effective,marketing objectives need to be:

Correct AnswerverifiedShow Answer

The first task in the objective and task method of budgeting is to:

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The _____ method of budgeting uses advertising/sales ratio data.

Correct AnswerverifiedShow Answer

_____ is an approach to integrated marketing communications planning that involves determining what tasks need to be done and which marketing communications planning functions should be used to accomplish them.

Correct AnswerverifiedShow Answer

Ace Computer has an objective of increasing its share of the home personal computer market by 5 percent during the upcoming year.This is an example of a(n) _____ objective.

Correct AnswerverifiedShow Answer

Which of the following methods of determining a budget requires a marketing department manager to use input from a clipping service?

Correct AnswerverifiedShow Answer

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