Which of the following is consistent with the advertising = information approach to advertising's role in the economy?
A) Consumers perceive fewer substitutes for advertised brands.
B) Advertising affects consumer preferences and tastes.
C) Advertising changes product attributes.
D) Firms are insulated from potential rivals.
E) Advertising makes entry possible for new brands by communicating product attributes to consumers.

Question

Which of the following is consistent with the advertising = information approach to advertising's role in the economy? 
A) Consumers perceive fewer substitutes for advertised brands. 
B) Advertising affects consumer preferences and tastes. 
C) Advertising changes product attributes. 
D) Firms are insulated from potential rivals. 
E) Advertising makes entry possible for new brands by communicating product attributes to consumers.

Quizplus · Accepted Answer

The advertising = information approach to advertising's role in the economy holds that advertising informs consumers about product attributes and enables them to make more informed choices. Therefore, E is consistent with this approach. Options A, B, C, and D imply that advertising has a more significant impact on consumer behavior beyond providing information.

Which of the Following Is Consistent with the Advertising =