Multiple Choice 1
What is an advantage of using celebrities to endorse products?
a. Celebrities attract attention.
b. It proves products are effective.
c. It convinces people to buy.
d. Celebrities are brand loyal.
a. Celebrities attract attention.
Sports celebrities are most effective at promoting products that are
a. associated with their sport.
b. extremely expensive.
c. unrelated to their sport.
d. of lower quality.
a. associated with their sport.
Any paid form of nonpersonal presentation of ideas, images, goods, or services
Advertising
When a company pays a famous individual to appear in an ad wearing or using one of its products, it is using a
a. sponsorship agreement
b. celebrity testimonial
c. licensing agreement
d. celebrity endorsement
d. celebrity endorsement
The Federal Trade Commission requires that celebrity endorsers
a. help develop the products they advertise.
b. use the products they advertise.
c. are paid for their endorsements.
d. write advertising copy used in ads.
b. use the products they advertise.
People who personally use a good or service to satisfy their own wants
Ultimate consumer
The way something is viewed
Image
All the combined impressions and experiences associated with a particular company, good, or service
Brand
A sports celebrity appearing in a Gatorade commercial while wearing Under Armour clothing is an example of advertising that uses
a. competition.
b. cross-promotion.
c. publicity.
d. brand loyalty.
b. cross-promotion.
Which of the following is an example of a celebrity endorsing an event simply by being associated with it:
a. Tweeting about an event
b. Appearing at a charity event
c. Appearing in a promotional ad
d. Making positive remarks during an interview
b. Appearing at a charity event
Well-known person who approves, promotes, or supports a good or service, usually for pay
Celebrity endorser
Approval by a reputable external source
Endorsement
Any item capable of being touched, smelled, tasted, seen, or heard
Tangible item
What is a risk companies sometimes face when they use a celebrity endorsement?
a. Celebrities charge large advertising fees.
b. Celebrities can develop a poor image.
c. Celebrities advertise other products.
d. Celebrities give negative product reviews.
b. Celebrities can develop a poor image.
A celebrity who uses a product and makes positive claims about its effectiveness during a TV commercial is giving a
a. speech.
b. testimonial.
c. sales pitch.
d. personal opinion.
b. testimonial.
Intangible activities that are performed by other people for money
Services
A celebrity's endorsement of more than one product, or products for different companies, thereby benefiting all products
Cross-promotion
Lengthy commercial that looks like a TV program
Infomercial
Some companies avoid using top celebrities because their huge popularity can
a. overshadow products advertised.
b. give the company a bad image.
c. continue to grow.
d. suddenly disappear.
a. overshadow products advertised.
Which of the following would be in violation of the Federal Trade Commission’s guidelines concerning celebrity endorsements:
a. A celebrity’s statements are reworded to be favorable.
b. A celebrity’s opinions are shared in printed media.
c. A celebrity makes statements about a product they use.
d. A celebrity endorses one brand over similar brands.
a. A celebrity’s statements are reworded to be favorable.
A government regulatory agency that administers and enforces antitrust laws to prevent price fixing and to prohibit unfair competitive practices
Federal Trade Commission (FTC)
A statement by an identified user of a product proclaiming the benefits received from the use of the product
Testimonial
The process of planning and executing the conception, pricing, promotion, and distribution of sports ideas, goods, and services to create exchanges that satisfy individual and organizational objectives
Sports marketing