1. Which of the following is NOT a major decision relating to distribution channel management?
A. Channel design.
B. Channel management.
C. Marketing communication strategy.
D. Channel logistics.
2. What is the primary focus of ‘third-party logistics (3PL)’ providers?
A. Managing a company’s advertising campaigns.
B. Providing logistics services, such as warehousing and transportation, to other companies.
C. Providing financial services to retailers.
D. Managing a company’s human resources.
3. When choosing a transportation mode, which factor is MOST important for products that are highly perishable?
A. Cost.
B. Speed.
C. Capacity.
D. Reliability.
4. What is ‘disintermediation’ in the context of marketing channels?
A. Adding new intermediaries to a marketing channel.
B. Cutting out marketing channel intermediaries by product or service producers or displacing traditional resellers by radical new types of intermediaries.
C. Increasing the price of a product due to channel costs.
D. Improving communication between channel members.
5. What is the key difference between an ‘intensive distribution’ strategy and an ‘exclusive distribution’ strategy?
A. Intensive distribution aims to stock products in as many outlets as possible, while exclusive distribution limits the number of intermediaries.
B. Intensive distribution is used for luxury goods, while exclusive distribution is used for commodity items.
C. Intensive distribution focuses on online sales, while exclusive distribution focuses on brick-and-mortar stores.
D. There is no difference; the terms are interchangeable.
6. Which of the following is an example of a ‘corporate VMS’?
A. A chain of independently owned hardware stores.
B. Zara, which owns its manufacturing plants and retail stores.
C. A group of restaurants using the same food supplier.
D. A manufacturer selling products through multiple online retailers.
7. If a manufacturer wants to maintain control over its product’s pricing and promotion, which type of channel arrangement is MOST suitable?
A. Indirect marketing channel.
B. Direct marketing channel.
C. Horizontal marketing system.
D. Administered VMS.
8. What is the main advantage of using ‘multichannel distribution’?
A. Reaching more customer segments.
B. Lowering production costs.
C. Simplifying logistics.
D. Reducing advertising expenses.
9. What is the role of a ‘category killer’ in retailing?
A. A retailer that dominates a specific product category.
B. A retailer that sells products below cost to drive out competition.
C. A retailer that focuses on selling only environmentally friendly products.
D. A retailer that specializes in selling discontinued or damaged goods.
10. Which of the following is a potential disadvantage of using a direct marketing channel?
A. Reduced control over pricing.
B. High initial investment and operating costs.
C. Limited customer interaction.
D. Slower delivery times.
11. What is the primary goal of ‘integrated logistics management’?
A. To maximize sales revenue regardless of cost.
B. To build profitable customer relationships by providing outstanding customer service at the lowest possible cost.
C. To minimize warehouse space.
D. To increase the number of suppliers.
12. Which of the following is the MOST accurate definition of ‘marketing channels’?
A. A set of interdependent organizations that help make a product or service available for use or consumption by the consumer or business user.
B. The advertising platforms used to promote a product.
C. The company’s sales force.
D. The raw materials used in manufacturing a product.
13. What is the BEST definition of ‘supply chain’?
A. A system of organizations, people, activities, information, and resources involved in moving a product or service from supplier to customer.
B. The company’s marketing department.
C. The company’s sales force.
D. The raw materials used to manufacture a product.
14. A retailer offering a wide variety of product lines is practicing:
A. Specialty retailing.
B. Department store retailing.
C. Convenience store retailing.
D. Off-price retailing.
15. A company using a ‘just-in-time’ inventory system would MOST likely prioritize:
A. Holding large quantities of raw materials.
B. Having products available precisely when customers need them.
C. Minimizing transportation costs at all costs.
D. Maximizing warehouse space.
16. What does ‘channel conflict’ refer to?
A. Disagreements among marketing channel members on goals, roles, and rewards.
B. A shortage of products in the supply chain.
C. A lack of communication between channel members.
D. A decline in sales revenue.
17. What is ‘supply chain management’ primarily concerned with?
A. Managing the company’s advertising budget.
B. Managing upstream and downstream value-added flows of materials, final goods, and related information among suppliers, the company, resellers, and final consumers.
C. Managing the company’s human resources.
D. Managing the company’s financial investments.
18. What is the meaning of ‘Omnichannel retailing’?
A. Selling products exclusively through online channels.
B. Creating a seamless cross-channel buying experience that integrates in-store, online, and mobile shopping.
C. Selling products only through brick-and-mortar stores.
D. Focusing on selling only discounted products.
19. What is the MOST important benefit of effective supply chain management?
A. Reduced advertising costs.
B. Increased customer satisfaction and loyalty.
C. Simplified accounting processes.
D. Decreased employee turnover.
20. What is ‘reverse logistics’?
A. The process of moving goods from the supplier to the manufacturer.
B. The process of planning, implementing, and controlling the efficient, cost-effective flow of raw materials, in-process inventory, finished goods, and related information from the point of consumption to the point of origin for the purpose of recapturing value or proper disposal.
C. The process of moving goods from the manufacturer to the retailer.
D. The process of moving goods from the retailer to the consumer.
21. A company that buys products from producers and sells them to retailers is a:
A. Retailer.
B. Wholesaler.
C. Distributor.
D. Agent.
22. Which of the following is the BEST example of a ‘franchise’?
A. A local grocery store.
B. A McDonald’s restaurant.
C. A government-owned post office.
D. A farmers market.
23. Which of the following is a key trend in retailing?
A. Decline of online shopping.
B. Rise of mega-retailers.
C. Decreased emphasis on customer experience.
D. Reduced use of technology in stores.
24. A company decides to use only a few retailers in a specific area to carry its products, it’s using:
A. Intensive distribution.
B. Selective distribution.
C. Exclusive distribution.
D. Extensive distribution.
25. What is the MOST important benefit of using standardized containers in shipping?
A. Reduced transportation costs.
B. Easier and faster handling of goods.
C. Increased storage capacity.
D. Improved inventory management.
26. What is the primary function of a ‘distribution center’?
A. To store raw materials.
B. To receive, store, and redistribute goods to stores or customers.
C. To manufacture products.
D. To conduct marketing research.
27. Which of the following is NOT a type of retailer based on service level?
A. Self-service retailers.
B. Limited-service retailers.
C. Full-service retailers.
D. Wholesale retailers.
28. Which of the following is NOT a major logistics function?
A. Warehousing.
B. Inventory management.
C. Marketing research.
D. Transportation.
29. Which of the following is an example of a ‘vertical marketing system (VMS)’?
A. Several independent retailers selling the same product.
B. A manufacturer, wholesaler, and retailer acting as a unified system.
C. Two competing manufacturers.
D. A group of consumers boycotting a product.
30. What is the MOST significant challenge of managing a ‘horizontal marketing system’?
A. Lack of control over channel members.
B. Difficulty coordinating and managing the system.
C. High initial investment costs.
D. Limited market reach.
31. What is ‘guerilla marketing’?
A. A marketing strategy focused on high-budget campaigns.
B. An unconventional marketing strategy that relies on surprise and creativity.
C. A marketing strategy that targets only government officials.
D. A marketing strategy that avoids any form of advertising.
32. What is ‘integrated marketing communications’ (IMC) primarily focused on?
A. Using only one type of marketing communication channel.
B. Ensuring all marketing communication channels deliver a consistent message.
C. Maximizing the budget spent on each individual marketing campaign.
D. Ignoring customer feedback to maintain brand consistency.
33. What is ‘direct marketing’?
A. Marketing through intermediaries.
B. Marketing directly to consumers without using intermediaries.
C. Marketing only to businesses.
D. Marketing only through social media.
34. What is ‘brand equity’?
A. The total assets of a company.
B. The value of a brand based on consumer perceptions and experiences.
C. The cost of creating a brand logo.
D. The number of employees working for a brand.
35. Which of the following is an example of ‘sales promotion’?
A. A television commercial.
B. A press release announcing a new product.
C. A ‘buy-one-get-one-free’ offer.
D. A company’s annual report.
36. A company uses data analytics to identify the most effective marketing channels for reaching its target audience. Which approach is this?
A. Intuitive Marketing.
B. Data-Driven Marketing.
C. Guerilla Marketing.
D. Traditional Marketing.
37. Which of the following is a potential drawback of using celebrity endorsements?
A. Celebrity endorsements always guarantee increased sales.
B. Celebrity endorsements are always cost-effective.
C. The celebrity’s actions could negatively impact the brand’s image.
D. Celebrity endorsements are always easy to measure.
38. What is ‘experiential marketing’?
A. Marketing based solely on data analysis.
B. Marketing that creates immersive experiences for consumers.
C. Marketing focused on low prices.
D. Marketing that avoids any direct contact with customers.
39. What is ‘search engine optimization’ (SEO)?
A. A method of creating visually appealing advertisements.
B. A process of improving a website’s visibility in search engine results.
C. A technique for sending out mass emails.
D. A strategy for avoiding any form of advertising.
40. What is the primary goal of ‘pull’ promotional strategy?
A. To motivate the sales force to sell more.
B. To create demand from consumers who then request the product from retailers.
C. To offer discounts to wholesalers.
D. To build stronger relationships with suppliers.
41. What is the main purpose of ‘public relations’ in the promotional mix?
A. To directly persuade customers to buy a product.
B. To manage and protect the company’s image and reputation.
C. To offer short-term incentives to boost sales.
D. To create visually appealing advertisements.
42. A company launches a new product and offers free samples in stores. Which promotional tool is being used?
A. Advertising.
B. Public Relations.
C. Personal Selling.
D. Sales Promotion.
43. What is ‘influencer marketing’?
A. Marketing that targets only government officials.
B. Marketing that relies on influential individuals to promote a product or service.
C. Marketing that avoids any form of advertising.
D. Marketing that is created by consumers.
44. Which of the following is an example of ‘content marketing’?
A. Running a banner ad on a website.
B. Creating a series of informative blog posts related to your industry.
C. Sending out promotional emails.
D. Hiring a celebrity to endorse your product.
45. A company decides to sponsor a local charity event. Which element of the promotional mix is being utilized?
A. Advertising.
B. Sales Promotion.
C. Personal Selling.
D. Public Relations.
46. Which of the following best describes ‘word-of-mouth marketing’?
A. Paying customers to promote your product.
B. Using celebrity endorsements.
C. Organic recommendations and conversations about a product or service.
D. Sending out mass emails.
47. What is ‘native advertising’?
A. Advertising that is created by consumers.
B. Advertising that is clearly identified as an advertisement.
C. Advertising that blends in with the surrounding content.
D. Advertising that is only shown on mobile devices.
48. Which of the following is a potential ethical concern related to marketing communications?
A. Using accurate and truthful information in advertising.
B. Targeting vulnerable populations with potentially harmful products.
C. Respecting consumer privacy and data security.
D. Being transparent about product ingredients and manufacturing processes.
49. Which of the following is a key advantage of using ‘digital marketing’ in a promotional campaign?
A. It is always cheaper than traditional marketing.
B. It allows for precise targeting and measurement of results.
C. It guarantees immediate sales increases.
D. It eliminates the need for traditional marketing methods.
50. Which of the following is NOT a key consideration when developing a marketing communication strategy?
A. The target audience.
B. The communication objectives.
C. The budget available.
D. The CEO’s favorite color.
51. Which of the following is an example of a ‘push’ promotional strategy?
A. Direct-to-consumer advertising.
B. Offering incentives to retailers to stock a product.
C. Creating viral marketing campaigns.
D. Using social media to engage with customers.
52. A company focuses on building long-term relationships with its customers through personalized communication. Which marketing approach is this?
A. Mass Marketing.
B. Relationship Marketing.
C. Guerilla Marketing.
D. Transactional Marketing.
53. A company uses social media to respond to customer inquiries and complaints. Which aspect of customer relationship management (CRM) does this represent?
A. Data analysis.
B. Customer service.
C. Sales forecasting.
D. Market research.
54. Which of the following metrics is MOST relevant for measuring the success of a digital marketing campaign?
A. The number of employees in the marketing department.
B. The company’s stock price.
C. The click-through rate (CTR) and conversion rate.
D. The number of social media followers.
55. Which of the following is NOT a primary goal of marketing communications?
A. To build brand equity.
B. To drive immediate sales.
C. To create customer value.
D. To eliminate competition entirely.
56. What does ‘AIDA’ stand for in the context of marketing communications?
A. Awareness, Interest, Desire, Action.
B. Attention, Innovation, Development, Approval.
C. Analysis, Implementation, Delivery, Assessment.
D. Acquisition, Investment, Distribution, Advocacy.
57. Which of the following is a key benefit of using marketing automation?
A. It eliminates the need for human interaction with customers.
B. It allows for personalized and efficient communication with customers.
C. It guarantees a high return on investment (ROI).
D. It is always cheaper than traditional marketing methods.
58. What is the purpose of ‘event marketing’?
A. To sell products at a discounted price.
B. To create a memorable experience for consumers and build brand awareness.
C. To avoid traditional advertising methods.
D. To target only a specific demographic.
59. A company creates a mobile app that offers exclusive discounts and rewards to loyal customers. Which marketing tactic is being used?
A. Mass Marketing.
B. Direct Marketing.
C. Loyalty Program Marketing.
D. Guerilla Marketing.
60. Which element of the promotional mix involves direct interaction with potential customers to make a sale?
A. Advertising.
B. Public Relations.
C. Personal Selling.
D. Sales Promotion.
61. What is the purpose of setting communication objectives in marketing?
A. To determine the budget for marketing activities.
B. To define what the marketing communication should achieve.
C. To select the appropriate media channels.
D. To measure the effectiveness of sales promotions.
62. Which of the following is a key challenge in measuring the effectiveness of public relations activities?
A. PR activities are always free.
B. It is difficult to quantify the impact of PR on sales and brand image.
C. PR activities are always targeted at a small audience.
D. PR activities are always negative.
63. A company runs an ad comparing its product to a competitor’s. This is an example of:
A. Pioneer advertising.
B. Institutional advertising.
C. Comparative advertising.
D. Reminder advertising.
64. Which of the following is an example of a marketing metric?
A. The color of the company logo.
B. The number of employees in the marketing department.
C. Website traffic and conversion rates.
D. The personal preferences of the CEO.
65. What is the purpose of using a ‘unique selling proposition’ (USP) in advertising?
A. To create a generic message that appeals to everyone.
B. To differentiate the product from competitors by highlighting a specific benefit.
C. To lower the price of the product.
D. To confuse the target audience.
66. Which of the following is the primary goal of integrated marketing communications (IMC)?
A. To maximize the number of advertising channels used.
B. To ensure all marketing and promotional activities project a consistent, unified brand image.
C. To reduce marketing costs by using fewer agencies.
D. To focus solely on digital marketing strategies.
67. What is the key difference between advertising and public relations?
A. Advertising is always free, while public relations costs money.
B. Advertising is paid media, while public relations is earned media.
C. Advertising is targeted at a general audience, while public relations targets specific stakeholders.
D. Advertising is more credible than public relations.
68. Which element of the communication process involves the receiver assigning meaning to the message?
A. Encoding
B. Decoding
C. Feedback
D. Noise
69. What is the primary focus of institutional advertising?
A. Promoting a specific product or service.
B. Building goodwill and enhancing the company’s image.
C. Generating immediate sales.
D. Comparing the company’s products to competitors’.
70. Which of the following is a key consideration when choosing a media channel for advertising?
A. The cost of the media channel only.
B. The reach and frequency of the media channel.
C. The personal preferences of the marketing manager.
D. The media channel used by competitors.
71. A company launches a campaign offering a free sample of their new product. Which element of the promotional mix does this represent?
A. Advertising
B. Public Relations
C. Direct Marketing
D. Sales Promotion
72. A company decides to increase its advertising budget during the holiday season. This is an example of:
A. A push strategy.
B. A pull strategy.
C. Sales promotion.
D. Media scheduling.
73. Which of the following is a key benefit of using a consistent brand message across all promotional channels?
A. It reduces the cost of marketing campaigns.
B. It simplifies the encoding process.
C. It strengthens brand recognition and customer loyalty.
D. It increases the amount of noise in the communication process.
74. A company measures the number of website visits after launching an online ad campaign. This is an example of:
A. Encoding
B. Decoding
C. Feedback
D. Noise
75. What is ‘guerrilla marketing’ known for?
A. Its reliance on traditional advertising methods.
B. Its use of unconventional and surprising interactions to promote a product or service.
C. Its focus on high-budget marketing campaigns.
D. Its emphasis on direct mail campaigns.
76. A company uses social media to interact with customers and address their concerns. This is an example of:
A. Direct marketing.
B. Public relations.
C. Sales promotion.
D. Advertising.
77. Which promotional tool involves direct interaction with potential customers to make a sale?
A. Public Relations
B. Advertising
C. Personal Selling
D. Sales Promotion
78. What is the main goal of reminder advertising?
A. To introduce a new product to the market.
B. To build goodwill for the company.
C. To keep the product top-of-mind for consumers.
D. To persuade consumers to switch brands.
79. Which of the following is an example of direct marketing?
A. A television commercial
B. A billboard advertisement
C. An email campaign targeting specific customer segments
D. A newspaper article about a company’s new product
80. What is ‘viral marketing’?
A. A marketing strategy that uses viruses to promote a product.
B. A marketing strategy that relies on consumers to pass on marketing messages to others.
C. A marketing strategy that uses only traditional advertising methods.
D. A marketing strategy that is only used by large corporations.
81. What is the role of ‘noise’ in the communication process?
A. To enhance the clarity of the message.
B. To facilitate the encoding process.
C. To interfere with the effective transmission of the message.
D. To provide feedback to the sender.
82. Which of the following is a disadvantage of using advertising as a promotional tool?
A. It has a low reach.
B. It is difficult to target specific audiences.
C. It can be expensive and impersonal.
D. It is not creative.
83. A company offers retailers a discount for promoting their product in-store. This is an example of:
A. A pull strategy.
B. A push strategy.
C. Direct marketing.
D. Public relations.
84. Which type of advertising aims to stimulate demand for a general product category rather than a specific brand?
A. Competitive advertising.
B. Comparative advertising.
C. Pioneer advertising.
D. Reminder advertising.
85. What is ‘frequency’ in the context of media planning?
A. The number of different people exposed to the message.
B. The average number of times a person in the target audience is exposed to the message.
C. The cost of running an advertisement.
D. The creativity of the advertisement.
86. A company decides to use a pull strategy. What does this entail?
A. Focusing promotional efforts on intermediaries to push the product through the channel.
B. Focusing promotional efforts on consumers to create demand and pull the product through the channel.
C. Using only advertising to reach the target market.
D. Lowering the price of the product to increase sales.
87. What is the purpose of using marketing metrics?
A. To create more creative advertisements.
B. To measure and evaluate the effectiveness of marketing activities.
C. To reduce the cost of marketing campaigns.
D. To simplify the encoding process.
88. A company sponsors a local charity event to improve its image. This is an example of:
A. Sales Promotion
B. Direct Marketing
C. Public Relations
D. Advertising
89. What is ‘buzz marketing’ primarily focused on achieving?
A. Creating a catchy slogan for a product.
B. Generating excitement and word-of-mouth about a brand or product.
C. Using celebrity endorsements to increase sales.
D. Lowering prices to attract more customers.
90. What does ‘AIDA’ stand for in the context of marketing communications?
A. Awareness, Interest, Desire, Action
B. Attention, Innovation, Development, Application
C. Analysis, Implementation, Design, Assessment
D. Acquisition, Integration, Distribution, Advocacy
91. What is the role of public relations in marketing communication?
A. Directly selling products to consumers
B. Building and maintaining a positive brand image
C. Managing a company’s finances
D. Developing new product features
92. Which of the following is an example of direct marketing?
A. A TV commercial
B. A billboard advertisement
C. An email campaign targeting specific customers
D. A newspaper ad
93. What is ‘brand storytelling’ in marketing communication?
A. Creating fictional stories about products
B. Communicating the brand’s values and mission through narratives
C. Focusing solely on product specifications
D. Using only factual data in advertising
94. How does ‘guerilla marketing’ differ from traditional marketing?
A. It uses a large marketing budget
B. It relies on conventional advertising channels
C. It’s unconventional, low-cost, and often surprising
D. It targets a broad audience
95. What is the primary goal of integrated marketing communications (IMC)?
A. To maximize the number of advertising channels used
B. To ensure all marketing messages are consistent and unified
C. To reduce the overall marketing budget
D. To focus solely on digital marketing efforts
96. Which type of marketing communication involves direct interaction between a company representative and a customer?
A. Advertising
B. Public relations
C. Personal selling
D. Sales promotion
97. What is the ‘AIDA’ model used for in marketing communication?
A. Analyzing financial data
B. Understanding the stages of customer engagement
C. Developing new products
D. Managing inventory
98. What is the main disadvantage of using advertising as a promotional tool?
A. High cost and potential for waste
B. Difficulty in reaching a large audience
C. Inability to control the message
D. Lack of creativity
99. What is the primary focus of ‘content marketing’?
A. Creating and distributing valuable, relevant, and consistent content
B. Running paid advertising campaigns
C. Sending out mass email blasts
D. Using aggressive sales tactics
100. What is a key characteristic of effective marketing communication?
A. Using complex jargon to impress the audience
B. Focusing solely on the product features
C. Being clear, concise, and relevant to the target audience
D. Ignoring feedback from customers
101. Which of the following is NOT a key element of the marketing communication mix?
A. Public relations
B. Personal selling
C. Product design
D. Sales promotion
102. A company decides to use celebrity endorsements in its advertising. What is a potential risk of this strategy?
A. Increased brand awareness
B. High cost and potential for negative publicity
C. Guaranteed sales increase
D. Improved product quality
103. A company wants to create a sense of urgency and encourage immediate action. Which promotional tool would be most effective?
A. Long-term branding campaigns
B. Sales promotions with limited-time offers
C. Public relations efforts
D. Content marketing strategy
104. Which of the following is NOT a benefit of using social media in marketing communication?
A. Increased brand awareness
B. Direct customer engagement
C. Complete control over the brand message
D. Cost-effective marketing
105. What is the purpose of ‘marketing communication research’?
A. To develop new product ideas
B. To understand the effectiveness of marketing campaigns
C. To manage the company’s finances
D. To hire new employees
106. What is ‘buzz marketing’ primarily reliant on?
A. Paid advertising campaigns
B. Word-of-mouth communication
C. Direct mail campaigns
D. In-store displays
107. What is ‘marketing communication audit’?
A. A financial review of the marketing department
B. A comprehensive assessment of current marketing communications
C. A legal review of advertising claims
D. A review of employee performance in the marketing team
108. What is the purpose of measuring the ‘reach’ of a marketing campaign?
A. To determine the cost of the campaign
B. To calculate the profit generated by the campaign
C. To assess the number of people exposed to the message
D. To evaluate the creative quality of the campaign
109. A company decides to sponsor a local charity event. Which promotional element is being used?
A. Advertising
B. Direct Marketing
C. Public Relations
D. Personal Selling
110. What is ‘product placement’ in marketing communication?
A. Designing the physical appearance of a product
B. Placing a product in a movie or TV show
C. Determining the price of a product
D. Deciding where to sell a product in a store
111. What does ‘ROI’ stand for in marketing communication?
A. Rate of Interest
B. Return on Investment
C. Reach of Impression
D. Rules of Interaction
112. Which of the following best describes ‘pull strategy’ in marketing communication?
A. Convincing retailers to stock a product
B. Directing marketing efforts towards the end consumer
C. Offering incentives to sales staff
D. Focusing on business-to-business marketing
113. What is a key advantage of using digital marketing in the communication mix?
A. Limited ability to measure results
B. High cost compared to traditional methods
C. Precise targeting and measurability
D. Lack of interactive elements
114. Which promotional tool is best suited for building long-term relationships with customers?
A. Advertising
B. Sales promotion
C. Direct marketing
D. Personal selling
115. Which of the following is NOT a typical objective of sales promotion?
A. Building long-term brand loyalty
B. Encouraging trial purchases
C. Increasing short-term sales
D. Stimulating reseller effectiveness
116. Which of the following is a potential ethical issue in marketing communication?
A. Using clear and transparent pricing
B. Making false or misleading claims about a product
C. Targeting advertisements to the appropriate audience
D. Providing accurate product information
117. Which of the following is the best example of a ‘push strategy’?
A. A manufacturer offering discounts to retailers to stock more of their product
B. A company running a television advertising campaign
C. A brand creating engaging content on social media
D. A business sending direct mail to potential customers
118. A company aims to create a perception of luxury and exclusivity. Which type of marketing communication would be most suitable?
A. Mass advertising
B. Sales promotions with deep discounts
C. Public relations focusing on high-end events
D. Direct marketing with personalized, premium offers
119. A company uses coupons and discounts to encourage short-term sales. Which element of the promotion mix is this?
A. Public relations
B. Advertising
C. Personal selling
D. Sales promotion
120. Which of the following is an example of ’cause-related marketing’?
A. Offering discounts on products
B. Sponsoring a sports team
C. Donating a portion of sales to a charity
D. Running a TV advertising campaign
121. What is the purpose of ‘sales promotion’?
A. To build long-term brand loyalty
B. To create immediate sales and excitement
C. To improve the company’s public image
D. To educate consumers about the product
122. Why is it important to integrate all the elements of the promotion mix?
A. To reduce the overall marketing budget
B. To ensure a consistent and unified brand message
C. To simplify the marketing planning process
D. To reach a larger audience
123. Which of the following best describes the ‘affordable method’ for setting a promotion budget?
A. Setting the budget based on what the company thinks it can afford
B. Matching the competitor’s promotional spending
C. Setting the budget based on objectives and tasks
D. Allocating a fixed percentage of sales to promotion
124. Which of the following is an example of a ‘push’ promotional strategy?
A. A pharmaceutical company advertises directly to consumers, urging them to ask their doctors for a specific medication.
B. A manufacturer offers incentives to retailers to stock and promote its products.
C. A software company relies heavily on word-of-mouth marketing.
D. A luxury brand focuses on creating exclusive content for its social media followers.
125. What is ‘buzz marketing’ primarily focused on?
A. Creating viral content
B. Generating excitement and word-of-mouth
C. Utilizing traditional advertising channels
D. Building a strong sales force
126. A company offers a free sample of its new product to customers in a store. What type of sales promotion is this?
A. Coupon
B. Rebate
C. Sample
D. Premium
127. A company decides to spend the same amount on promotion as its main competitor. Which budgeting method are they using?
A. Affordable method
B. Percentage-of-sales method
C. Competitive-parity method
D. Objective-and-task method
128. Which of the following is a disadvantage of using advertising?
A. It’s difficult to reach a large audience.
B. It’s difficult to control the message.
C. It can be very expensive.
D. It’s not suitable for new products.
129. Which promotional tool involves direct connections with carefully targeted individual consumers to both obtain an immediate response and cultivate lasting customer relationships?
A. Advertising
B. Public relations
C. Direct marketing
D. Sales promotion
130. What is the key difference between advertising and public relations?
A. Advertising is always free, while public relations is paid for.
B. Advertising is paid media, while public relations is earned media.
C. Advertising focuses on building relationships, while public relations focuses on selling products.
D. Advertising is short-term, while public relations is long-term.
131. A company sends personalized emails to its customers based on their past purchases and browsing history. Which type of marketing communication is this?
A. Mass marketing
B. Direct marketing
C. Public relations
D. Advertising
132. Which of the following is a potential ethical concern in marketing communications?
A. Using celebrity endorsements
B. Creating informative advertising
C. Employing deceptive advertising practices
D. Sponsoring community events
133. Why is it important for marketing communications to be consistent with the brand image?
A. To reduce advertising costs
B. To build brand recognition and trust
C. To simplify the marketing planning process
D. To reach a larger audience
134. What is the primary goal of public relations activities?
A. To generate immediate sales
B. To build and maintain a positive brand image
C. To directly persuade customers to buy
D. To control the media narrative
135. A retailer offers a special discount to customers who purchase a product within a limited time period. What type of sales promotion is this?
A. Rebate
B. Coupon
C. Premium
D. Time-limited offer
136. A company runs a TV advertisement showcasing its commitment to environmental sustainability. Which element of the promotion mix does this represent?
A. Advertising
B. Sales promotion
C. Direct marketing
D. Personal selling
137. Which budgeting method relies heavily on defining specific objectives and determining the tasks required to achieve those objectives?
A. Affordable method
B. Percentage-of-sales method
C. Competitive-parity method
D. Objective-and-task method
138. Which of the following is NOT a key characteristic of good marketing communication?
A. Clear and concise
B. Consistent with the brand image
C. Targeted to the right audience
D. Generic and broad
139. Which of the following is an example of ‘pull’ strategy?
A. Offering retailers discounts to stock up on your product
B. Advertising directly to consumers to create demand
C. Providing sales training to distributors
D. Giving incentives to salespeople for each sale
140. A company uses press releases, sponsorships, and special events to promote its brand. Which element of the promotion mix is this company utilizing?
A. Advertising
B. Direct marketing
C. Sales promotion
D. Public relations
141. Which of the following is NOT typically a goal of advertising?
A. To build brand awareness
B. To generate immediate sales
C. To inform consumers about new products
D. To manage inventory levels
142. Which of the following is NOT a factor to consider when setting the promotion budget?
A. The stage of the product life cycle
B. Competitor’s spending
C. The company’s production capacity
D. The nature of the product
143. What is the role of ‘noise’ in the communication process?
A. To amplify the message
B. To ensure the message reaches the right audience
C. To interfere with the intended message
D. To provide feedback to the sender
144. What is the first step in developing effective marketing communication?
A. Selecting the communication channels
B. Identifying the target audience
C. Setting the promotion budget
D. Designing the message
145. What is the primary goal of integrated marketing communications (IMC)?
A. To maximize advertising spending
B. To ensure consistent messaging across all channels
C. To use as many different communication channels as possible
D. To minimize the marketing budget
146. Which of the following is NOT a typical element of the promotion mix?
A. Public relations
B. Direct marketing
C. Product design
D. Advertising
147. Which of the following is an example of a sales promotion technique aimed at consumers?
A. Trade discounts
B. Allowances
C. Contests
D. Free advertising
148. Which of the following is a disadvantage of using direct marketing?
A. It’s difficult to personalize the message.
B. It’s difficult to measure results.
C. It can be perceived as intrusive or annoying.
D. It’s not suitable for small businesses.
149. What is the ‘percentage-of-sales’ method of promotion budgeting?
A. Setting the promotion budget as a fixed percentage of past or forecasted sales
B. Matching the promotion budget of key competitors
C. Allocating all remaining funds to promotion after other expenses
D. Determining promotion expenses based on specific objectives
150. A company is launching a new product and wants to quickly create awareness and trial. Which promotional tool would be MOST effective?
A. Public relations
B. Advertising
C. Direct marketing
D. Sales promotion