What Advantage Is Associated with the Use of an Independent

question 45

Multiple Choice

What advantage is associated with the use of an independent advertising agency?

• A) Saving money by cutting overhead and keeping the media commission.
• B) Better involvement of management especially in "single-business" companies.
• C) More complete control over all channels of distribution.
• D) An outside, objective viewpoint to the advertiser's business.
• E) Reduced variable expenses.

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Definitions:

Macro Political Risk

Exposure to potential financial losses in international investment due to political instability or change in a country's policies.

Valuation Risk

The risk of loss that arises from the difference between the value that is assigned to an asset and the real value it achieves in the market.

Ethnic Groups

Communities of people who share common cultural characteristics, including language, religion, ancestry, or cultural traits.

Reputational Risk

The potential for loss resulting from damages to a firm's reputation, affecting its ability to maintain current or attract new customers, partners, and employees.