Gravity is a company that markets customized T-shirts to its customers. Gravity runs an ad that seeks to attract more customers
Apply the macromodel of the communications process to describe the communication between Gravity and its target customers.
The macromodel of the communications process comprises of nine key factors in effective communication. Two represent the major parties — sender (Gravity) and receiver (audience). Two represent the major tools — message (content of the ad) and media (print, TV, radio, etc). Four represent the major communications functions — encoding (creation and transmission of the ad by Gravity), decoding (the reception and comprehension of the ad by the audience), response (either ignoring the message or buying Gravity shirts), and feedback (customers providing information about the ad to measure its effectiveness). The last element is noise, random and competing messages that may interfere with the intended communication. Examples of noise in this case could be misunderstood messages from the ad, similar ads from competitors, etc.
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Hill has a fiscal year-end of December 31. In February, Hill purchased a piece of equipment for $12,000 with a four-year useful life and a zero residual value. Hill used the equipment to produce finished goods in March that were sold on credit in April with cash collected in May. Hill uses straight-line depreciation. The amount of depreciation expense affecting the reported income on the first
quarter income statement was A) $250 B) $0 C) $500 D) $700
A short-run challenge for a business is maintaining a competitive position
Indicate whether the statement is true or false
Promotion is typically the easiest marketing mix element to change.
Answer the following statement true (T) or false (F)
________ advertising attempts to create a favorable long-term perception of the business as a whole, not just of a particular good or service.
A. Organizational B. Interactive C. Institutional D. Relationship E. Product