Kraft Is Introducing a New Line of Salad Dressings That

question 98

Multiple Choice

Kraft is introducing a new line of salad dressings that are made with hearty-health omega-3 oils and wants to get the highest reach possible for the advertising of this product.What can Kraft to do increase reach? 

• A) advertise in multiple media, such as television and magazines 
• B) maximize the number of times consumers have an opportunity to see the ads for these products 
• C) use media vehicles with the lowest CPMs 
• D) use media vehicles with the highest CPMs 
• E) advertising only during prime time television programs because that's when most consumers watch television

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Definitions:

Maximum Amount

The highest possible quantity or level that can be reached or allowed.

Market Producer Surplus

The difference between the amount producers are willing and able to sell a good for and the actual amount they receive by selling it at the market price.

Total Revenues

The total receipts from sales of goods or services provided by a company before any expenses are subtracted.

Market Consumer Surplus

The discrepancy between the amount customers are prepared to pay for a product or service and the amount they end up paying.