Final answer:
Advertising aims to provide information and create consumer desire, with exaggerations allowed but factual claims needing to be true as overseen by the FTC. It is designed to differentiate products and influence demand.
Step-by-step explanation:
Most of the advertising today serves the purpose of offering information on the product while creating a desire in the minds of consumers. According to the Federal Trade Commission (FTC) rules, advertising is allowed to contain a certain amount of exaggeration about the general delight of using a product.
This implies that advertisers can use strategies to differentiate their products and potentially make the demand for their product appear less elastic, thereby aiming to increase their sales and profits. While exaggeration is permitted, outright false claims are not permitted, and any claim presented as a fact must be true.