Advertising and Sales Promotion MCQs With Answers 31 to 40

 

Advertising and Sales Promotion

31. Selecting target markets means using criteria such as cost of reach the segment and ______________:

1. Size and expected growth
2. Marketing investment
3. Density of population
4. Values of customers.

Correct answer: (A)
Size and expected growth

32. When a company retains the product but reduces marketing support costs it is in what stage of the PLC

1. Decline
2. Maturity
3. Growth
4. Introduction

Correct answer: (A)
Decline

33. Using Price as a measure of the quality of a product and setting price high is:

1. Prestige pricing
2. Pricing Lining
3. Pricing odd-even
4. Target pricing

Correct answer: (A)
Prestige pricing

34. The main reasons a firm segments its markets are:

1. To refine sales forecasts and allow for more product differentiation.
2. To create more word-of-mouth in a market.
3. To focus advertising and monitor sales
4. To respond to different needs and wants in market and increases sales and profits

Correct answer: (C)
To focus advertising and monitor sales

35. During the introduction stage of the PLC, sales gradually increase and

1. Competition becomes tough
2. Profits are minimal if not negative.
3. More investors needed
4. The promotion is finished.

Correct answer: (B)
Profits are minimal if not negative.

36. Selling brand-name products at lower than regular price is:

1. Guaranteed to cause a loss not a wise business decision.
2. Off-price retailing
3. Markup
4. Shrinkage.

Correct answer: (B)
Off-price retailing

37. One of the following is NOT a criteria when forming segments:

1. Potential for higher profits and ROI.
2. Similarity of needs
3. Difference in needs of buyers among segments
4. Fewer customer complaints.

Correct answer: (D)
Fewer customer complaints.

38. The marketing objective for the maturity stage of PLC is to

1. Maintain brand loyalty
2. Stress differentiation
3. Harvest
4. Gain awareness

Correct answer: (C)
Harvest

39. Any paid form of non personal communication about an organization, good, service or idea by an identified sponsor is called:

1. Publicity
2. Public relation.
3. Advertising
4. Promotion

Correct answer: (C)
Advertising

40. Risk taking, transporting and grading. Professional managed and centrally coordinated marketing channels designed to achieve channel economies and maximum marketing impact are called:

1. Vertical marketing systems
2. Horizontal marketing systems
3. Centrally coordinated systems
4. Professional coordinated marketing systems.

Correct answer: (A)
Vertical marketing systems

Advertising and Sales Promotion

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