Why Is Advertising an Effective Signal of Quality in an Experience

question 19

Multiple Choice

Why is advertising an effective signal of quality in an experience good?

• A)Consumers are uninformed and need advertising to provide information
• B)Advertising lists the qualities of a product
• C)Consumers believe firms that can afford to heavily advertise sell quality products
• D)Sellers can ignore low quality issues in their advertisements
• E)Consumers believe advertising more than word of mouth information

---

Definitions:

Learned Reaction

A behavior or response that has been acquired through experience or conditioning.

Learning

The process of acquiring new understanding, knowledge, behaviors, skills, values, or preferences through study, experience, or teaching.

Behaviour

The actions, reactions, or conduct of an organism, often in response to its environment or stimuli.

Experience

The knowledge or skill acquired by a person through direct observation or participation in events or activities.