Scenario 17

question 20

Multiple Choice

Scenario 17.2 Use the following to answer the questions.
The State Farm Group includes several companies. Probably the most well-known company in the group is the State Farm Insurance company, the largest auto and home insurer in the United States. State Farm Insurance provides protection for approximately 78 million policies on auto, fire, life, and health services. It is also a leading insurer of homes and autos in Canada. Another company in the State Farm group is the State Farm Bank, which was opened in 2000, beginning State Farm's entry into the financial services field. However, the State Farm Bank is not a traditional bank, in that it has no branch offices and its services are provided through State Farm agents, a call center, the mail, and on the Internet. It currently serves over 1.9 million bank accounts.
Refer to Scenario 17.2. If State Farm Bank decided that it wanted to increase its number of bank customers by 10% in the coming year, it would most likely use the ____ approach to advertising allocation.

• A) arbitrary
• B) competition-matching
• C) objective-and-task
• D) percent-of-sales
• E) percent-of-customer

---

Definitions:

Social Readjustment Rating Scale

A scale measuring the stress load individuals carry, based on major life changes.

Numerical Values

Values expressed in numbers, representing quantities, measurements, or statistics in various contexts.

Stress

A physical, chemical, or emotional factor that causes bodily or mental tension and may be a factor in disease causation.

Psychoneuroimmunology

The study of the interaction between psychological processes, the nervous system, and the immune system.