A Consumer Can Recognize Problems as Either an Opportunity or a Need

question 8

Multiple Choice

A consumer can recognize problems as either an opportunity or a need. How should promotions differ between those emphasizing opportunities and those emphasizing needs?

• A) Promotions emphasizing needs should attempt to increase a consumer's ideal state, while promotions emphasizing opportunities should simply give locations where the products can be found for purchase.
• B) Promotions emphasizing opportunities should attempt to increase the ideal state, while promotions emphasizing needs should give locations where the products can be purchased.
• C) Promotions emphasizing needs should increase the ideal state, while opportunity promotions should attempt to decrease the ideal state.
• D) Promotions emphasizing needs should decrease the ideal state, while promotions emphasizing opportunities should provide buying locations.

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Definitions:

Prepaid Expenses

Prepaid expenses represent payments made in advance for goods or services to be received in the future, recorded as assets on the balance sheet until they are consumed or used.

Operating Activities

Transactions and events related to the primary business activities, such as selling products or services, which are reflected in the cash flows.

Investing Activities

Transactions involving the purchase and sale of long-term assets and other investments, not including cash equivalents.

Common Stock

A type of equity ownership in a corporation, representing claims on a portion of its earnings and assets, with voting rights on corporate matters.