Question

Momentum Automobiles, an automobile manufacturer, hires Dreams Inc. to cater to its advertising needs. Momentum is only required to provide the necessary finances and does not take part in any decision making. In the given scenario, Momentum Automobiles would be classified as a(n):

A) client.
B) illustrator.
C) full-service agency.
D) advertising agency.
E) media organization.

Answer 1

Momentum Automobiles is a client that outsources its advertising needs to Dreams Inc., an advertising agency, and does not partake in decision-making for advertising strategies.

Step-by-step explanation:

In the given scenario, Momentum Automobiles would be classified as a client. As a client, Momentum hires Dreams Inc., an advertising agency, to manage its advertising needs. Momentum Automobiles provides the necessary finances but does not involve itself in the decision-making process related to advertising strategies or creative outputs. This is typical in business relationships where firms outsource certain functions like advertising to specialists.