Question

This form of advertising is used when a product is being first time introduced in the market.

• A. Institutional ads
• B. Cooperative ads
• C. Informational ads
• D. Cross promotion

Hint:

Think about what a buyer needs when a product is brand new: facts about it.

Answer 1

The Correct Option is C

Step 1: Understand the question.
The question describes advertising used when a product is launched for the first time. The aim of such advertising is to tell people that the product exists, what it does and where to get it.

Step 2: Recall the key idea.
Advertising is often grouped by purpose. Informational (pioneering) advertising builds awareness and explains a new product. Persuasive advertising comes later, when rivals are present, and reminder advertising keeps a known brand in mind.

Step 3: Check option 1, Institutional ads.
Institutional ads promote the image and reputation of an organisation, not a specific new product. So option 1 is wrong.

Step 4: Check option 2, Cooperative ads.
Cooperative ads are paid for jointly, for example by a manufacturer and a local retailer. This describes who pays, not a launch purpose. So option 2 is wrong.

Step 5: Check option 3, Informational ads.
Informational ads give facts about a new product, such as features, uses and price, so that the market learns about it. This matches a first-time introduction. So option 3 is right.

Step 6: Check option 4, Cross promotion.
Cross promotion means two brands promote each other's products. It is not tied to introducing a product. So option 4 is wrong.

Final Answer:
A product that is new to the market needs informational advertising to create awareness. This is option 3. \[ \boxed{\text{Informational ads (Option 3)}} \]