True/False
Indicate whether the statement is true or
false.
|
|
|
1.
|
All markets operate in basically the same way.
|
|
|
2.
|
Needs are necessities like food and clothing; wants are luxuries like designer
jeans or concert tickets.
|
|
|
3.
|
Buying an object from a mail-order catalog is called comparison shopping.
|
|
|
4.
|
Advertising in newspapers and magazines is known as direct-mail
advertising.
|
|
|
5.
|
Used car prices at a new car dealership are usually higher than
elsewhere.
|
|
|
6.
|
All sellers of used cars, except private owners, are required to display a
Buyers Guide window sticker on each car.
|
|
|
7.
|
All consumers pay a penalty for a few dishonest people.
|
|
|
8.
|
Guidelines for buying wisely apply only to purchasing goods, not
services.
|
|
|
9.
|
Most products are guaranteed even if the consumer misuses it.
|
|
|
10.
|
The cost of advertising adds about 10% to the price of purchased goods.
|
|
|
11.
|
Knowledge and planning are very important to wise buying.
|
|
|
12.
|
Few laws exist to help consumers who buy faulty merchandise or services.
|
|
|
13.
|
False pricing occurs when merchants raise the regular price on a sales ticket
before marking it down.
|
|
|
14.
|
Being a consumer is simply paying for a good or service.
|
|
|
15.
|
Smart shoppers take advantages of businesses to get the best deal.
|
Matching
|
|
|
Match each advertising technique to the correct description listed
below. a. | Endorsements | b. | Familiarity | c. | Association | d. | Successful living | e. | Emotional
appeal | f. | Economic appeal | g. | Conformity | h. | Scare
tactics | i. | Intellectual appeal | j. | Health and
comfort |
|
|
|
16.
|
Appeals to the desire for success, status, or beauty
|
|
|
17.
|
Messages about spending, saving, and making money
|
|
|
18.
|
A jingle or slogan is played over and over
|
|
|
19.
|
Products that claim to help you become more informed or better educated
|
|
|
20.
|
Famous people present the advertising message
|
|
|
21.
|
An example is a horse-drawn sleigh passing by a beautiful landscape
|
|
|
22.
|
This approach is used in ads for products such as aspirin, vitamins, and skin
lotions
|
|
|
23.
|
Avoids situations that are dangerous, embarrassing or otherwise
unpleasant
|
|
|
24.
|
This approach encourages you to buy something because others have it or use
it
|
|
|
25.
|
Messages related to happiness, friendship, and other pleasant feelings
|
Multiple Choice
Identify the choice that best completes the
statement or answers the question.
|
|
|
26.
|
Consuming involves the three stages of
a. | buying, using, and replacing. | b. | choosing, buying, and
using. | c. | choosing, buying, and returning. | d. | advertising, choosing, and
buying. |
|
|
|
27.
|
All of the following are consumer services, EXCEPT
a. | dry cleaning. | b. | movie tickets. | c. | box of
cereal. | d. | dental check-up. |
|
|
|
28.
|
A product that lists only the type of item on the label such as “paper
towels,” “tomato sauce,” or “cola” is known as a ____ product.
a. | store | b. | local | c. | national | d. | generic |
|
|
|
29.
|
When purchasing a used car, you should take the following steps, EXCEPT
a. | confirm the mileage. | b. | take it to a mechanic for an
inspection. | c. | contact the previous owner. | d. | finance only through the
dealer. |
|
|
|
30.
|
A dishonest advertising approach in which an ad offers a product or service that
is not available is called
a. | bait and switch. | b. | false pricing. | c. | referral sales
plan. | d. | overstated claims. |
|
|
|
31.
|
A promise that a product is free from defects is called a
a. | recall. | b. | guarantee. | c. | rain
check. | d. | sales contract. |
|
|
|
32.
|
For consumers, a consequence of shoplifting is that it
a. | adds to the cost of merchandise. | b. | creates an unsafe
environment. | c. | creates shortages of merchandise. | d. | makes sales people suspicious of
everyone. |
|
|
|
33.
|
Before writing a formal complaint letter, do all of the following, EXCEPT
a. | save paperwork for proof of purchase. | b. | think it through to determine the
problem. | c. | demand an apology from the store manager. | d. | give the seller a
chance to correct the problem. |
|
Short Answer
|
|
|
34.
|
How do laws protect consumers?
|
|
|
35.
|
If you have a consumer complaint, what should you do?
|