Comparative Advertising

question 159

Multiple Choice

Comparative advertising:

• A) does not have high claim recall effectiveness
• B) has always been legal but is in bad taste
• C) allows advertisers to falsely describe the competition
• D) was not allowed before the 1970s if the other brands were mentioned by name or shown
• E) results in high recall of the brand name of the advertised goods,but not for the named,competing brand

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Definitions:

Value In Diversity

The benefits and increased performance derived from having a variety of different perspectives and backgrounds in a group or organization.

Monopolistic Competition

A market structure characterized by many firms selling products that are similar but not identical, leading to competition based on price, quality, and branding.

Limited Market

A market situation characterized by restricted customer base, geographic reach, or size, limiting the potential sales of a product or service.

Average Total Cost

The total cost divided by the quantity of output produced; a measure of cost per unit of output.