Question 1

Small businesses can save on advertising expenditures by repeating successful ads and running ads when customers are most likely to buy.

Accepted Answer

A) True 
 B)False

Question 2

A hardware store giving customers nail aprons and yardsticks emblazoned with its name,address,phone number,logo,and slogan is using which advertising medium?

Accepted Answer

A) Point-of-purchase ads 
B) Cooperative advertising 
C) Specialty advertising 
D) Shared ads 
A) Point-of-purchase ads 
B) Cooperative advertising 
C) Specialty advertising 
D) Shared ads

Question 3

Tami is developing a promotional campaign for her small business.The first step in this process is to:

Accepted Answer

A) choose an advertising agency to assist her. 
B) determine how much she can spend. 
C) identify her target audience. 
D) define her unique selling proposition. 
A) choose an advertising agency to assist her. 
B) determine how much she can spend. 
C) identify her target audience. 
D) define her unique selling proposition.

Question 4

With cooperative advertising,a manufacturing company shares the cost of advertising with a retailer.

Accepted Answer

A) True 
 B)False

Question 5

The most commonly used method of establishing an advertising budget for a small business is:

Accepted Answer

A) a percentage of sales. 
B) spending what competitors spend. 
C) objective-and-task method. 
D) what is affordable. 
A) a percentage of sales. 
B) spending what competitors spend. 
C) objective-and-task method. 
D) what is affordable.

Question 6

If a small business owner wants to use television advertising,he/she should:

Accepted Answer

A) go for national advertising to get the maximum absolute cost advantage. 
B) try to use cable which costs $200 or less for a 30 second spot. 
C) consider radio instead because they have identical advantages. 
D) remember that television is one of the least flexible media. 
A) go for national advertising to get the maximum absolute cost advantage. 
B) try to use cable which costs $200 or less for a 30 second spot. 
C) consider radio instead because they have identical advantages. 
D) remember that television is one of the least flexible media.

Question 7

Which advertising medium offers the greatest ability to selectively target a specific audience?

Accepted Answer

A) Newspaper 
B) Television 
C) Direct mail 
D) Radio 
A) Newspaper 
B) Television 
C) Direct mail 
D) Radio

Question 8

To a business owner,the success of a trade show depends on:

Accepted Answer

A) understanding how a specific trade show might contribute to sales. 
B) evaluating the alternative shows based on both cost and size. 
C) Both A and B 
D) selling a lot of products or services in a trade show. 
A) understanding how a specific trade show might contribute to sales. 
B) evaluating the alternative shows based on both cost and size. 
C) Both A and B 
D) selling a lot of products or services in a trade show.

Question 9

One way ad effectiveness can be measured is to simply measure the increased volume of traffic into the store as a result of the ad.

Accepted Answer

A) True 
 B)False

Question 10

Magazines have a number of advantages for the small business owner,including:

Accepted Answer

A) low cost. 
B) short closing time. 
C) high quality ad reproduction. 
D) prominence of the ads in the medium. 
A) low cost. 
B) short closing time. 
C) high quality ad reproduction. 
D) prominence of the ads in the medium.

Question 11

Radio ads require repeated broadcasting in order to be effective;one-time exposures don't work.

Accepted Answer

A) True 
 B)False

Question 12

When using advertising,the small business owner should ask him/herself certain questions such as "What business are we in?","What image do we want to project?",etc.

Accepted Answer

A) True 
 B)False

Question 13

In reality,advertising:

Accepted Answer

A) is a "luxury expense" to be undertaken only when the budget permits. 
B) requires a large budget to be successful. 
C) is an investment in the future;without steady advertising the customer base will dry up. 
D) is relatively ineffective in increasing sales but it does increase customer awareness. 
A) is a "luxury expense" to be undertaken only when the budget permits. 
B) requires a large budget to be successful. 
C) is an investment in the future;without steady advertising the customer base will dry up. 
D) is relatively ineffective in increasing sales but it does increase customer awareness.

Question 14

Direct mail ads typically produce quick results;in most cases,the ad will generate sales within three or four days after it is received.

Accepted Answer

A) True 
 B)False

Question 15

The cost of designing direct mail is less than in other media and is considered quite low.

Accepted Answer

A) True 
 B)False

Question 16

Under the ________ method of establishing an advertising budget,the owner sees advertising as a luxury.

Accepted Answer

A) what-is-affordable 
B) matching competitors 
C) percentage of sales 
D) objective-and-task 
A) what-is-affordable 
B) matching competitors 
C) percentage of sales 
D) objective-and-task

Question 17

One advantage of personal selling is:

Accepted Answer

A) success is not measured just by sales volume but also by customer satisfaction. 
B) top sales people use an indirect approach to close the deal. 
C) the sales person knows what the company wants and works for company's perspective. 
D) All of the above 
A) success is not measured just by sales volume but also by customer satisfaction. 
B) top sales people use an indirect approach to close the deal. 
C) the sales person knows what the company wants and works for company's perspective. 
D) All of the above

Question 18

Most magazines printed today are broad,general interest publications,printed as national editions.

Accepted Answer

A) True 
 B)False

Question 19

What questions does the small business owner need to answer in the developing of an advertising strategy?

Accepted Answer

What is the primary purpose of your ad?

Question 20

Other cost saving suggestions for advertising expenditures include:

Accepted Answer

A) repeat ads that have been successful. 
B) hire independent copywriters,graphic designers,photographers,and other media specialists. 
C) use of identical ads in different media. 
D) All of the above 
A) repeat ads that have been successful. 
B) hire independent copywriters,graphic designers,photographers,and other media specialists. 
C) use of identical ads in different media. 
D) All of the above

Exam 10: Creative Use of Advertising and Promotion

Small businesses can save on advertising expenditures by repeating successful ads and running ads when customers are most likely to buy.

A hardware store giving customers nail aprons and yardsticks emblazoned with its name,address,phone number,logo,and slogan is using which advertising medium?

Tami is developing a promotional campaign for her small business.The first step in this process is to:

With cooperative advertising,a manufacturing company shares the cost of advertising with a retailer.

The most commonly used method of establishing an advertising budget for a small business is:

If a small business owner wants to use television advertising,he/she should:

Which advertising medium offers the greatest ability to selectively target a specific audience?

To a business owner,the success of a trade show depends on:

One way ad effectiveness can be measured is to simply measure the increased volume of traffic into the store as a result of the ad.

Magazines have a number of advantages for the small business owner,including:

Radio ads require repeated broadcasting in order to be effective;one-time exposures don't work.

When using advertising,the small business owner should ask him/herself certain questions such as "What business are we in?","What image do we want to project?",etc.

In reality,advertising:

Direct mail ads typically produce quick results;in most cases,the ad will generate sales within three or four days after it is received.

The cost of designing direct mail is less than in other media and is considered quite low.

Under the ________ method of establishing an advertising budget,the owner sees advertising as a luxury.

One advantage of personal selling is:

Most magazines printed today are broad,general interest publications,printed as national editions.

What questions does the small business owner need to answer in the developing of an advertising strategy?

Other cost saving suggestions for advertising expenditures include:

Entrepreneurs: the Driving Force Behind Small Business

Ethics and Social Responsibility: Doing the Right Thing

Creativity and Innovation: Keys to Entrepreneurial Success

Strategic Management and the Entrepreneur

Choosing a Form of Ownership

Franchising and the Entrepreneur

Buying an Existing Business

New Business Planning Process: Feasibility Analysis,business Modeling,

Building a Bootstrap Marketing Plan

Pricing and Credit Strategies

Global Marketing Strategies

E-Commerce and Entrepreneurship

Creating a Solid Financial Plan

Managing Cash Flow

Sources of Equity Financing

Sources of Debt Financing

Location,layout,and Physical Facilities

Supply Chain Management

Managing Inventory

Staffing and Leading a Growing Company

Management Succession and Risk Management Strategies in the Family Business

The Legal Environment: Business Law and Government Regulation

Filters