Which of the Following Statements Is True of Celebrity Endorsements

question 82

Multiple Choice

Which of the following statements is true of celebrity endorsements?

• A)Consumers who are very knowledgeable about a product or service tend to be most persuaded by celebrity endorsers.
• B)When a celebrity endorses several products simultaneously, it leads to enhanced popularity of the celebrity and also results in increased sales of all the products the celebrity endorses.
• C)Advertisers should select a celebrity spokesperson who will attract attention and enhance the sales message, yet not overshadow the company's brand.
• D)Typically, the use of celebrity endorsers is highest among news and business publications.
• E)Marketers do not have to worry about the personal image of celebrities while choosing one to endorse a product or a service.

Understand the importance of scientific methods in studying personality from a positive psychology perspective.

Understand the concept of utility maximization and how it influences consumer choices.

Comprehend the principle of diminishing marginal utility and its effect on demand.

Calculate the optimum combination of goods to maximize utility with a given budget.

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Definitions:

Supply Function

A mathematical expression that shows the relationship between the quantity of a good or service that producers are willing to sell and the price of the good or service.

Factor Price

The price of inputs used in the production of goods and services, such as labor wages or the cost of raw materials.

Production Function

An equation outlining how inputs translate into the output for an organization, a specific industry, or the economy at large for all potential input pairings.

Supply Function

A mathematical equation that describes the quantity of a good that producers are willing to sell at different prices.