Name: 
 

Chapter Sixteen - Public Relations and Sponsorship



Multiple Choice
Identify the letter of the choice that best completes the statement or answers the question.
 

 1. 

A story about the company, intended to be published in a newspaper, is called:
a.
A press release.
c.
Public relations.
b.
Sponsorship.
 

 2. 

What is lobbying?
a.
Sending out indiscriminate press releases.
c.
Canvassing members of the Government.
b.
Sponsorship of unpopular causes.
 

 3. 

The aggregate perceptions of outsiders about the salient characteristics of firms is called:
a.
Image.
c.
Company perception.
b.
Corporate reputation.
 

 4. 

What is boundary scanning?
a.
Checking the security of the firm’s premises.
c.
Monitoring all communications which happen at the boundaries between the firm and all its publics.
b.
Watching out for potential crises.
 

 5. 

The affective component of attitude towards the organisation is called:
a.
Reputation.
c.
Cognition.
b.
Image.
 

 6. 

Which of the following is not true?
a.
Increased shareholder value directly relates to profits.
c.
Profit maximisation tends to be short-term.
b.
Increased shareholder value can be generated by PR.
 

 7. 

What is goodwill?
a.
The perception people have of the company.
c.
The propensity to do business with the company.
b.
The difference between balance-sheet valuation and stock market valuation.
 

 8. 

A group of senior staff who have the responsibility for first response to major problems is called:
a.
A crisis team.
c.
A first-response team.
b.
A threat team.
 

 9. 

Which of the following is NOT one of Pearson’s organisational needs?
a.
Output.
c.
Morale.
b.
Profit.
 

 10. 

Which of the following is true?
a.
House journals should be concerned with the employee’s need for information, not the management’s need for control.
c.
Houe journals are expensive to operate.
b.
House journals are a good way of controlling staff.
 

 11. 

What is the approximate annual level of sponsorship in the UK?
a.
£40 million
c.
£2000 million.
b.
£400 million
 

 12. 

Which of the following statements is not true?
a.
Sponsorship will only work if it is linked to other marketing activities.
c.
Sponsorship is a good replacement for advertising.
b.
Sponsored events should relate to the company’s activities.
 

 13. 

Which of the following is not true?
a.
PR agencies are only suitable for large firms.
c.
External agencies often carry more credibility than in-house PR.
b.
External agencies can provide an unbiased view of the firm’s image.
 

 14. 

What does SMARTT stand for?
a.
Society for Making Active Research Theory Testing.
c.
Special, Meaningful, Actionable, Researchable, Testable and Timely.
b.
Specific, Measurable, Achievable, Relevant, Targeted and Timed.
 

 15. 

Which of the following is NOT likely to rise in a shareholder value?
a.
Distribution of funds to shareholders.
c.
Retention of profits for future investment.
b.
Strong corporate image.
 



 
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