Compared to Other IMC Alternatives, Advertising Is Extremely Effective for

question 19

Multiple Choice

Compared to other IMC alternatives, advertising is extremely effective for

• A) closing a sale.
• B) efficient message decoding.
• C) reducing the potential for noise.
• D) creating awareness and generating interest in a product.
• E) repositioning consumers in the AIDA model.

---

Definitions:

Present Value

The current worth of a future sum of money or stream of cash flows, given a specified rate of return.

Net Present Value

A financial metric used to evaluate the profitability of an investment or project, calculated by subtracting the initial investment from the present value of future cash flows.

Internal Rate Of Return

The discount rate at which the net present value of an investment project is zero; the rate of return promised by a project over its useful life.

Discount Rate

The rate of interest employed to calculate today's value of anticipated future cash streams in discounted cash flow evaluation.