Target Exam

CUET

Subject

Business Studies

Chapter

Marketing

Question:

Answer the following Case Study and answer the question.

Marketing in India is undergoing a sea change. Internet advertising has increased its market share. Whenever we check our email or watch a You Tube video advertisements are bombarded in between. Due to proliferation of mobile phones & data consumption Internet advertising has come of age. Even OTT channels, TV Channels are viewed on mobile phones. Therefore companies have to change their marketing strategies. The use of social media platforms like Facebook, Instagram, Twitter, Whatsapp & Linkedin has increased, but it is not free from limitations. There are many objections against advertising such as it add to cost, undermines social values, confuse buyers etc.

Which of the following statement is NOT an objection to advertising?

Options:

Confuses the buyers

Encourage sales of inferior products

Low effectiveness

Undermines social values

Correct Answer:

Low effectiveness

Explanation:

The correct answer is Option (3) → Low effectiveness.

Low effectiveness is not an objection of advertising.

Though advertising is one of the most frequently used medium of promotion of goods and services, it attracts lot of criticism. Some criticism are as follows-

1. Adds to Cost: The opponents of advertising argue that advertising unnecessarily adds to the cost of product, which is ultimately passed on to the buyers in the form of high prices. An advertisement on TV, for a few seconds, for example, costs the marketers several lakhs of rupees. Similarly an advertisement in print media say in a newspaper or a magazine costs the marketers a large amount of money. The money spent adds to the cost, which in an important factor in fixation of the price of a product.

2. Undermines Social Values: Another important criticism of advertising is that it undermines social values and promotes materialism. It breeds discontent among people as they come to know about new products and feel dissatisfied with their present state of affairs. Some advertisements show new life styles, which don’t find social approval.

3. Confuses the Buyers: Another criticism against advertisement is that so many products are being advertised which makes similar claims that the buyer gets confused as to which one is true and which one should be relied upon. For example, we may note similar claims of whiteness or stain removing abilities in competing brands of detergent powder or claims of whiteness of tooth or ‘feelings of freshness’ in competing brands of toothpaste that it is sometimes confusing to us as to which one to buy.'

4. Encourages Sale of Inferior Products: Advertising does not distinguish between superior and inferior products and persuade people to purchase even the inferior products.