Which of the Following Statements Regarding Sales Promotion Is False

question 22

Multiple Choice

Which of the following statements regarding sales promotion is false?

• A)Shoppers today are better educated and more selective, which means they are more loyal to brands than in the past.
• B)Although consumers are an important target for promotions, so are other people, such as the company's sales representatives and members of the trade.
• C)Over the years advertising and sales promotion have been battling for their share of the marketing communication budget.
• D)Two chief reasons for the growth of sales promotion are the pressure for short-term profits and the need for accountability of marketing communication efforts.
• E)From the consumers' perspective, sales promotion reduces the risk associated with a purchase by giving them something of added value.

Identify and analyze the impact of specific business transactions on a company's cash flow statement.

Compute cash received from customers and cash payments for merchandise and operating expenses.

Determine free cash flow and understand its significance for business operations.

Apply knowledge of accounting principles to analyze changes in balance sheet data over a period and their impact on cash flows.

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Definitions:

Logical

Pertaining to a mode of reasoning or argumentation that is consistent, valid, and based on facts or established rules of reasoning.

Conservation

A cognitive ability, identified by Piaget, that allows a person to understand that changing the form of a substance or object does not change its amount, overall volume, or mass.

Animism

The belief that objects, places, and creatures all possess a distinct spiritual essence.

Irreversibility

The cognitive inability in young children to understand that actions cannot always be undone, a concept studied in developmental psychology.