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Exam 13: Consumer Stakeholders: Information Issues and Responses

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Question 31

Multiple Choice

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Which of the following is not a lesson from the consumer movement?

A) Product safety and consumer protection processes have flaws.
B) In the United States consumers must fight overconsumption.
C) Consumers can force companies to change their behaviors through boycotts.
D) The consumer movement is essential for achieving a fair and just marketplace.

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Question 32

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The Credit Card Act of 2009

A) is likely to reduce the cost of credit cards.
B) offers an opt out provision which is really a right to cancel the credit card.
C) provides universal opportunity for rate increases.
D) provides availability of cards to young people.

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Question 33

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Utilize the knowledge you have gained to respond to the following essay questions.Your answers should state your position and use logical arguments and content from this and other chapters in the textbook to support it. Do you think PepsiCo's progressive plan for the future will satisfy both goals of being socially responsible and making money.

Nearly half of CEOs surveyed concede that their companies do not deserve their customers' loyalty.

Provide a short answer to each of these questions.Be sure to fully explain your answer. The textbook claims that warranties have become more important as e-commerce has become more popular.Why might this be true?

Most consumers today accept that advertising attempts to persuade them.

Issues related to product information include all of the following except

Not telling the whole truth in advertisements is a widely used practice called concealing facts.

Provide a short answer to each of these questions.Be sure to fully explain your answer. Describe the main issues related to using psychological appeals in advertising.

Puffery is another way of saying that a statement is an exaggeration that uses

Which of the following is not a commonly recognized benefit of advertising?

Utilize the knowledge you have gained to respond to the following essay questions.Your answers should state your position and use logical arguments and content from this and other chapters in the textbook to support it. Charges have been leveled against liquor companies for targeting their ads toward children.One commercial series specifically cited is the Budweiser frog sequence.Evaluate the accuracy of these charges.

Provide a short answer to each of these questions.Be sure to fully explain your answer. What role are the cigarette companies now playing in the ethical issues surrounding smokeless tobacco?

Self-regulation in advertising relies on the advertiser itself to control its advertising conduct and performance.

Utilize the knowledge you have gained to respond to the following essay questions.Your answers should state your position and use logical arguments and content from this and other chapters in the textbook to support it. Describe the different types of self-regulation in advertising.Which type do you think is most effective? Why?

The Federal Packaging and Labeling Act of 1967 is administered by the

The basic activity of CARU is

Free Press is

The fact that Abercrombie and Fitch terminated its sexually explicit catalogue is evidence that

The father of the consumer movement is