Question : Statement 1: Promotion includes advertising, personal selling, and public relations.
Statement 2: Promotion does contribute to building brand image and customer loyalty.
Option 1: Both statements are correct.
Option 2: Statement 1 is correct, and statement 2 is false.
Option 3: Both statements are incorrect.
Option 4: Statement 2 is correct, and statement 1 is false.
Correct Answer: Both statements are correct.
Solution : The correct answer is (a) Both statements are correct.
Statement 1 is correct. Promotion in marketing indeed encompasses various activities such as advertising, personal selling, public relations, and other efforts aimed at promoting a product or service.
Statement 2 is correct. Promotion significantly contributes to building brand image and fostering customer loyalty. Effective promotional activities can help shape the brand's image, create positive associations, and engage customers, all of which contribute to building brand loyalty.
