consumer behavior 1

24
AMITY SCHOOL OF DISTANCE LEARNING Post Box No. 503, Sector-44 Noida – 201303 Consumer Behavior Assignment A Marks 10 Answer all questions. 1. Define consumer behavior. Explain briefly the consumer buying decision process? A.1 Consumer behavior is the study of when, why, how, and where people do or do not buy product. It blends elements from psychology, sociology, social anthropology and economics . It attempts to understand the buyer decision making process, both individually and in groups. It studies characteristics of individual consumers such as demographics and behavioral variables in an attempt to understand people's wants. It also tries to assess influences on the consumer from groups such as family, friends, reference groups, and society in general. Customer behavior study is based on consumer buying behavior, with the customer playing the three distinct roles of user, payer and buyer. Relationship marketing is an influential asset for customer behavior analysis as it has a keen interest in the re-discovery of the true meaning of marketing through the re-affirmation of the importance of the customer or buyer. A greater importance is also placed on consumer retention, customer relationship management, personalization, customization and one-to-one marketing. Social functions can be categorized into social choice and welfare functions. Consumer buying decision process: Need Recognition The buying process starts with need recognition – the buyer recognizes a problem or need. The buyer senses a difference between his or her actual state and some desired state. Information Search

Upload: shubham-narula

Post on 28-Dec-2015

1.762 views

Category:

Documents


1 download

DESCRIPTION

mba

TRANSCRIPT

Page 1: Consumer Behavior 1

AMITY SCHOOL OF DISTANCE LEARNINGPost Box No. 503, Sector-44

Noida – 201303Consumer Behavior

Assignment A Marks 10

Answer all questions.

1. Define consumer behavior. Explain briefly the consumer buying decision process?

A.1 Consumer behavior is the study of when, why, how, and where people do or do not

buy product. It blends elements from psychology,

sociology, social anthropology and economics. It attempts to understand the buyer decision

making process, both individually and in groups. It studies characteristics of individual

consumers such as demographics and behavioral variables in an attempt to understand

people's wants. It also tries to assess influences on the consumer from groups such as family,

friends, reference groups, and society in general.

Customer behavior study is based on consumer buying behavior, with the customer playing the

three distinct roles of user, payer and buyer. Relationship marketing is an influential asset for

customer behavior analysis as it has a keen interest in the re-discovery of the true meaning of

marketing through the re-affirmation of the importance of the customer or buyer. A greater

importance is also placed on consumer retention, customer relationship management,

personalization, customization and one-to-one marketing. Social functions can be categorized

into social choice and welfare functions.

Consumer buying decision process:

Need Recognition

The buying process starts with need recognition – the buyer recognizes a problem or need. The buyer senses a difference between his or her actual state and some desired state.

Information Search

The stage of the buyer decision process in which the consumer is aroused to search for more information; the consumer may simply have heightened attention or may go into active information search.

Alternative Evaluation

The stage of the buyer decision process in which the consumer uses information to evaluate alternative brands in the choice set.

Purchase Decision

Page 2: Consumer Behavior 1

The stage of the buyer decision process in which the consumer actually buys the product.

Post purchase Behavior

The stage of the buyer decision process in which consumers take further action after purchase based on their satisfaction or dissatisfaction.

2. What do you mean by post purchase behavior? Explain this with the help of suitable examples.

A.2 Ever have doubts about the product after you purchased it? This simply is post purchase behavior and research shows that it is a common trait amongst purchasers of products. Manufacturers of products clearly want recent consumers to feel proud of their purchase; it is therefore just as important for manufacturers to advertise for the sake of their recent purchaser so consumers feel comfortable that they own a product from a strong and reputable organization. This limits post purchase behavior. i.e. you feel reassured that you own the latest advertised product. Post-purchase behavior involves all the consumers' activities and the experiences that follow the purchase. Usually, after making a purchase, consumers experience post-purchase dissonance. In other words, they regret their purchase decision. The reasons for high post-purchase dissonance can be attractiveness and performance of forgone alternatives, difficult purchase decision, large number of alternatives, etc.

A high level of post-purchase dissonance is negatively related to the level of satisfaction the consumer draws out of product usage. While experiencing post-purchase dissonance, consumers become acutely aware of the marketers' communication. To reduce post-purchase dissonance, consumers may sometimes even return or exchange the product.

In some cases, however, consumers initially use the product but after a period of time fail to do so. Marketers, therefore, should not consider a product purchased as a product consumed. A non-used product is also more likely to affect the repurchase pattern of the consumers negatively. Consumers need to dispose off the products or packaging before, during, or after the use. The issue of disposal is gaining considerable importance for marketers as it directly affects the repurchase pattern of the consumers.

Product use/consumption is followed by its evaluation, which may then lead to satisfaction (perceived performance > minimum desired expectations); non-satisfaction (perceived performance = minimum desired expectations); or dissatisfaction (perceived performance < minimum desired expectations). Consumer dissatisfaction may result in complaint behavior. Consumers may choose to take action against the marketer/service provider by way of warning friends, returning the product, boycotting and brand switching, complaining to the marketer, complaining to the relevant government/non-government bodies, and/or taking legal action against marketers/service provider. 

3. What are the environmental factors influencing buyer behavior? Explain the reference group with the help of suitable examples.

Environmental factors: They are difficult to identify and measure. Environmental influences can be physically, technologically, economically, political as well as cultural.

Page 3: Consumer Behavior 1

Examples of environmental factors: Investment behavior, consumer behaviour, interest rate, technology, legislation, competition, politics, ecology,"…

Environmental factors comprise

1 Social factors (reference group, family, role, and status)

2 Cultural factors (culture, sub-culture, social class)

01. Cultural Factor:-Cultural factor divided into three sub factors (i) Culture (ii) Sub Culture (iii) Social Class

A. Culture:- The set of basic values perceptions, wants, and behaviours learned by a member of

society from family and other important institutions. Culture is the most basic cause of a person's wants and behaviour.

Every group or society has a culture, and cultural influences on buying behaviour may vary greatly from country to country.

B. Sub Culture :- A group of people with shared value systems based on common life experiences and

situations. Each culture contains smaller sub cultures a group of people with shared value system

based on common life experiences and situations. Sub culture includes nationalities, religions, racial group and geographic regions. Many sub culture make up important market segments and marketers often design products.

C. Social Class:- Almost every society has some form of social structure; social classes are society's

relatively permanent and ordered divisions whose members share similar values, interests and behaviour.

02. Social Factors:-A consumer's behaviour also is influenced by social factors, such as the (i) Groups (ii) Family (iii) Roles and status

A. Groups :- Two or more people who interact to accomplish individual or mutual goals. A person's behavior is influenced by many small groups. Groups that have a direct

influence and to which a person belongs are called membership groups. Some are primary groups includes family, friends, neighbors and coworkers. Some are

secondary groups, which are more formal and have less regular interaction. These includes organizations like religious groups, professional association and trade unions.

B. Family:- Family members can strongly influence buyer behaviour. The family is the most

important consumer buying organization society and it has been researched extensively. Marketers are interested in the roles, and influence of the husband, wife and children on the purchase of different products and services.

Page 4: Consumer Behavior 1

C. Roles and Status :- A person belongs to many groups, family, clubs, and organizations. The person's position in each group can be defined in terms of both role and status. For example. M & "X" plays the role of father, in his family he plays the role of husband,

in his company, he plays the role of manager, etc. A Role consists of the activities people are expected to perform according to the persons around them.

4. Explain the concept of motivation in the consumer behavior with the help of suitable examples.

A.4 Motivation is what stimulates all human behavior. The process of motivation is initiated by the tension an unsatisfied want creates. An individual makes all possible efforts to reduce that tension. The needs or motives which are at the root of the motivation process are of different types. Physiological needs or primary needs include the need for air, water, food, clothing, shelter and sex, while psychological or secondary needs include the need for affection, status, security, etc.

Needs could be positive, negative, utilitarian or hedonic, conscious or unconscious, and accordingly goals are formulated. A person has many goals and these goals are never ending and a failure to satisfy them sometimes leads to frustration. A person can deal with this by targeting substitute or related goals or by building a defense mechanism such as aggression, rationalization, regression and withdrawal.

It is very important for the marketers to know the motives influencing the consumer as they initiate and direct all human behavior (including consumer behavior). Many psychologists such as William McGuire and Henry Murray have tried to list human motives; the motives listed by them are relevant to a marketer in studying consumer behavior as well. While McGuire used a four point model to explain marketers that a consumer is affected by a combination of needs and not a single need, Murray tried to list 27 motives and stated that people have a similar set of needs, however they prioritize them differently.

Theories of motivation also help marketers in understanding how consumers' consumption is influenced by their needs. Abraham Maslow tried to arrange such significant needs into a hierarchy of five levels, depending on the relative importance of the needs to a person. The five levels of needs given by him are 1) physiological needs, 2) safety needs, 3) social needs, 4) egoistic or self esteem needs and finally 5) self actualization needs. The trio of needs (another theory of motivation) deal with three kinds of needs viz., need for power, need for affiliation and need for achievement. These needs play an important role in influencing consumer behavior. Motivational conflict is a concept which deals with the conflicting motives of the customers. Here the marketer tries to project the product as a solution to such conflicts.

With motivation being such a major influence on consumption pattern of the customer, there is a strong need to study it as part of marketing research. Qualitative techniques of observation, focus groups and in-depth interview and analysis are used to understand the latent motives of a consumer. The level of involvement (how interested the consumer was about a product) determines the degree of motivation a consumer had to buy that product. The source of stimulation and the particular situation the consumer is in when he or she comes into contact with the product also determine the level of involvement.

It could vary in degree, i.e. the customer's involvement could be at the basic stage (it

Page 5: Consumer Behavior 1

could be passive or low); on the other hand involvement could be active or high. The marketer has to understand how interested his consumer is and accordingly formulate strategies and advertising. To conclude, the marketer who understands the various needs that motivate a consumer in purchasing a product or service and is able to design and showcase his products accordingly will be successful.

Big marketers, at times, may also employ a full market coverage strategy, which may further be differentiated (different marketing mix for different products) or undifferentiated (single marketing mix for all products). Sometimes marketers adopt too many micro segments, which later become redundant. In such a case, all segments are clubbed together with a single marketing mix (counter segmentation).

5. Write short notes on any three of the following.

A. Primitive Categorization: On the most basic level, people tend to make distinctions between moving and non-moving entities. In particular, self-propelled and autonomous movement – that does not seem to be caused by external forces – attracts attention since it is an indication of ‘living matter’ (White, 1995). In classical monster films, the convention of having the apparently dead psychopath make a small movement of a part of the body (in close-up), exploits this propensity: something we thought was dead, is now alive and ‘intentional’ again (cf. also puppets).

Visual appearance of a creature or object seems to be a fundamental triggerer of anthropomorphic thinking. Configurations that look like faces and bodies, in reality or in images, have a particular salience to us. Babies seem to be predisposed to look for and fasten their gaze in other people’s eyes. Humans appear to be especially equipped to recognize faces and body movements. People anthropomorphize entities that look and move like humans.

Such effects have evolutionary value, which is probably why they have persisted (‘Spend particular attention to things that looks like this’). Other primitive categorization can be explained in the same manner. ‘Cuteness’ – something small and obtrusive – triggers feelings of ‘infantile helplessness’ and a tendency to care for and protect (Tan, 1996:160f). Experiences of ‘ugliness’ and ‘beauty’ set off an action tendency to avoid or to approach that particular face of body.

B. Influence of Family and Friends: Consumer often go on some form of information search to help them through their purchase decision. Sources of information could be family, friends, neighbors who may have the product you have in mind. Family is the most influential group for the consumer. The family members can strongly influence buyer behavior. It can be distinguished between two families in the buyer’s life. One is the buyer’s parents who make up the family of orientation. From parents a person acquires an orientation toward religion, politics, and economics and a sense of personal ambition, self-worth, and love. The other is the family of procreation-the buyer’s spouse and children-exert a more direct influence on everyday buying behavior. Marketers are interested in the roles and relative influence of the husband, wife, and children on the purchase of a large variety of products and services. The purpose of this report is to discuss the role of the family in consumer behavior.

There are three main elements directly effect the family consumption. They are family lifecycle, the structure of the family and family decisions making process.

Page 6: Consumer Behavior 1

C. Primary vs. Secondary Reference Groups: A primary group is a typically small social group whose members share close, personal, enduring relationships. These groups are marked by members' concern for one another, and shared activities and culture. Examples include family, childhood friends, and highly influential social groups. You do not choose to be part of these groups you just are. Primary groups play an important role in the development of identity. A primary group is a group in which one exchange implicit items, such as love, caring, concern, animosity, support, and such. Examples, of these would be family groups, love relationships, crisis support groups, church groups and such. Relationships formed in primary groups are often long-lasting and goals in themselves. They also are often psychologically comforting to the individuals involved and provide a source of support and encouragement.

People in a secondary group interact on a less personal level than in a primary group, and their relationships are temporary rather than long lasting. Since secondary groups are established to perform functions, people’s roles are more interchangeable. A secondary group is one you have chosen to be a part of. They are based on interests and activities. They are where many people make can meet close friends or people they would just call acquaintances. Secondary groups are groups in which on exchanges explicit commodities, such as labor for wages, services for payments, and such. Examples of these would be employment, vendor-to-client relationships, and such.

D. The Family Life Cycle Concept: While the family life cycle concept is widely used in the consumer behavior literature, its value for explaining variation in buyer behavior is less than it could be. The major problems with the concept as presently used are that:

(1) it was borrowed from sociology without any basic revisions for consumer behavior use;

(2) it is presently generally operationalized as a static classificatory scheme and therefore cannot account for changing family structure; and

(3) Researchers have failed to link family life cycle to the concept lifestyle - another concept so crucial to explaining variations in buyer behavior.

E. Organizational Buying Behavior. Organization buying is the decision-making process by which formal organizations establish the need for purchased products and services and identify, evaluate, and choose among alternative brands and suppliers. Buying Behavior is the decision processes and acts of people involved in buying and using products.

Need to understand:

Why consumers make the purchases that they make? What factors influence consumer purchases? The changing factors in our society.

Consumer Buying Behavior refers to the buying behavior of the ultimate consumer. A firm needs to analyze buying behavior for:

Buyer’s reactions to a firms marketing strategy has a great impact on the firm’s success. The marketing concept stresses that a firm should create a Marketing Mix (MM) that

satisfies (gives utility to) customers, therefore need to analyze the what, where, when and how consumers buy.

Page 7: Consumer Behavior 1

Marketers can better predict how consumers will respond to marketing strategies.

Consumer BehaviorAssignment B

Marks 10Answer all questions.

1. Explain the Cognitive Learning Theory with the help of suitable examples.A.1 Cognitive theory is a learning theory of psychology that attempts to explain human behavior by understanding the thought processes. The assumption is that humans are logical beings that make the choices that make the most sense to them. “Information processing” is a commonly used description of the mental process, comparing the human mind to a computer. Pure cognitive theory largely rejects behaviorism on the basis that behaviorism reduces complex human behavior to simple cause and effect. However, the trend in past decades has been towards merging the two into a comprehensive cognitive-behavioral theory. This allows therapists to use techniques from both schools of thought to help clients achieve their goals. Social cognitive theory is a subset of cognitive theory. Primarily focused on the ways in which we learn to model the behavior of others, social cognitive theory can be seen in advertising campaigns and peer pressure situations. It is also useful in the treatment of psychological disorders including phobias.

2. A) What are attitudes? Discuss briefly the strategies of attitude change.

Ans a. An attitude is a hypothetical construct that represents an individual's degree of like or

dislike for an item. Attitudes are generally positive or negative views of a person, place, thing, or

event—this is often referred to as the attitude object. People can also be conflicted or

ambivalent toward an object, meaning that they simultaneously possess both positive and

negative attitudes toward the item in question.

Attitudes are judgments. They develop on the ABC model (affect, behavior, and cognition)

The affective response is an emotional response that expresses an individual's degree of

preference for an entity. The behavioral intention is a verbal indication or typical behavioral

tendency of an individual. The cognitive response is a cognitive evaluation of the entity that

constitutes an individual's beliefs about the object. Most attitudes are the result of either direct

experience or observational learning from the environment.

Attitudes can be changed through persuasion and we should understand attitude change as a

response to communication. Experimental researches into the factors that can affect the

persuasiveness of a message include:

Page 8: Consumer Behavior 1

1. Target Characteristics: These are characteristics that refer to the person who receives

and processes a message. One such trait is intelligence - it seems that more intelligent

people are less easily persuaded by one-sided messages. Another variable that has

been studied in this category is self-esteem. Although it is sometimes thought that those

higher in self-esteem are less easily persuaded, there is some evidence that the

relationship between self-esteem and persuasibility is actually curvilinear, with people of

moderate self-esteem being more easily persuaded than both those of high and low

self-esteem levels (Rhodes & Woods, 1992). The mind frame and mood of the target

also plays a role in this process.

2. Source Characteristics: The major source characteristics are expertise,

trustworthiness and interpersonal attraction or attractiveness. The credibility of a

perceived message has been found to be a key variable here; if one reads a report

about health and believes it came from a professional medical journal, one may be more

easily persuaded than if one believes it is from a popular newspaper. Some

psychologists have debated whether this is a long-lasting effect and Hovland and Weiss

(1951) found the effect of telling people that a message came from a credible source

disappeared after several weeks (the so-called "sleeper effect"). Whether there is a

sleeper effect is controversial. Perceived wisdom is that if people are informed of the

source of a message before hearing it, there is less likelihood of a sleeper effect than if

they are told a message and then told its source.

3. Message Characteristics: The nature of the message plays a role in persuasion.

Sometimes presenting both sides of a story is useful to help change attitudes.

b) Explain the influences of reference groups on products and brands with the help of suitable examples.

When the influence of reference groups on the purchase of a number of consumer goods was

first studied, it was found that the conspicuousness of a product is a strong determinant of its

susceptibility to reference group influence. Conspicuousness may be of two forms, however.

First the item must be exclusive in some way. If virtually everyone owns it, it is not conspicuous

in the first sense, even though it may be highly visible. Operationally we may think of this as the

distinction between luxuries (having a degree of exclusivity) and necessities (possessed by

virtually everyone). Second the item must be seen or identified by others. Thus, where an item

is consumed had great relevance. In this situation, a distinction may be made between publicly

consumed products (which are seen by others) and privately consumed items (not seen by

others). Reference groups may influence either the purchase of a product or the choice of a

particular brand, or both.

Page 9: Consumer Behavior 1

Other consumer researchers have investigated the role of reference group influence on product

and brand choice for several product categories. One of these studies is summarized in Figure

below

In many consumer researches, reference group is a key concept for demonstrating the

congruency between group membership and brand usage. It refers to the social groups that are

important to a consumer and against which he/she compares oneself. With different personal

goals, individuals would take different types of reference groups. For example, if someone

would like to verify his own current social identities, he tends to compare himself with a ‘member

group’, to which it supposes he belongs to. For example, if a person considers himself to be

intellectual and his member group of intellectuals tends to drive a Volvos, he may choose to

drive Volvo too. Similarly, an ‘aspiration group’ is another type of reference group to which an

individual aspires to belong. If a consumer wishes to be more hip, and he sees hip people

wearing Versace clothing, he may choose to wear Versace clothing in an attempt to appropriate

the hip associations of that brand

3. Why a researcher should prefer to use focus groups rather than depth interview? When depth interview are preferable?

Ans 3. The mainstay of consumer research is the focus group (or group discussion) so beloved

and feared by politicians. A focus group consists of 6-8 people brought together for a discussion

moderated by an experienced researcher. A typical group lasts about 90 minutes in length

(a mini-group may be 4 people in a shorter timeframe). The role of the moderators is to guide

the discussion to cover certain areas, but the reason for the group is so that discussion arises

among the participants spontaneously. In other words, the group structure means that those

taking part stimulate questions and comments from each other. In its original incarnation, this

meant that there was less chance of an "interviewer effect" distorting the research, but with

knowing respondents and the almost clichéd environment, this spontaneity and realism has

become more difficult to achieve. Consequently, a major element of the success of the group is

the skill of the moderator in steering the group so that key areas are covered in depths as they

emerge from the conversation and deeper motivations are uncovered, not just social norms.

To help guide the focus group the moderator also uses a discussion guide and stimulus

materials. To help the discussion move away from superficial answers and to tap into deeper

motivations, respondents might be asked to look out materials from magazines, or to keep a

diary in order to seed the conversation. And the discussion guide might be include tasks for the

respondent to undertake, projection techniques ("if it was a car, what type would it be), creativity

in addition to simple questions like "why do you say that". A key part of the moderator’s job is to

ensure that everyone participates and has a chance to speak - visual clues such as body

language, demeanor, and tone can be as important as the actual words said which means that

viewing a group can be extremely valuable in understanding what was going on.

Page 10: Consumer Behavior 1

Depth interviews (or in-depth interviews - IDIs) are the second major tool for qualitative

research. These involve a one-on-one depth interview which like the focus group is guided by

the researcher using a discussion guide (rather than a questionnaire) allowing discussion to be

more open. In-depth interviews are the staple diet of the business-to-business qualitative

research, pharmaceutical research and are common in consumer markets where an individual's

detailed views are needed - for instance on a sensitive subject like finance or health.

A typical depth takes place face-to-face and typically lasts about an hour in length. However,

shorter versions can be carried out over the phone, or phone and web combination, particularly

for international research. The depth interview is in the form of a "directed conversation", which

unlike the formal structured questionnaire of a quantitative survey, is designed to be open-

ended, exploratory and to allow the interviewer to probe key areas of interest. However, it may

also include standardized questions and questionnaire-like elements.

Like the focus group the quality of the interviewers listening and probing that will determine the

quality of information obtained. In business-to-business markets, where issues may be technical

in nature or focused on specific business issues (eg finance, channel issues, profitability or

value in use), a specialist B2B researcher will have a deeper understanding of the issues and

be better able to identify key business relationship issues.

On the phone, increasingly depths can be combined with stimulus sent simultaneously over the

internet, meaning that telephone depths can start to have the same impact as face-to-face

studies.

Case StudyNew Customer - Information Needs

A customer, new to the bank, walks in through the door and looks around for the most likely place to open a new account. There are two customer service representatives (CSR) in the room, and neither of them has a customer at the desk. The one nearest to the door is on phone, and the one behind him has her head down, apparently buried in her work. No one looks up in the direction of the customer.

Page 11: Consumer Behavior 1

The customer, Mrs. Benjamin, moves within view of the customer service representative at the first desk. He continues talking, obviously completing a personal phone call, without looking up. After several seconds, he says, "l've got to go. I've got a customer." He hangs up and looks up, saying, "May I help you?” Mrs. Benjamin takes a seat on her own initiative and tells him that she wants to open a current account. The CSR reaches for the signature card and service brochure and starts quoting the monthly balance requirement to avoid a service charge on a regular current account. Mrs. Benjamin changes direction entirely and indicates her particular interest in "something that offers an overdraft line of credit ... does the bank offers anything...?.”Clipping her last question, the CSR refers automatically to the cash reserve account and says that it's something customers have to qualify for. He informs Mrs. Benjamin that she'll have to fill out a credit application and the bank will probably start her off with a Rs. 25,000 line and see how she manages it. Then, after a while she can request an increase if she wants. He asks the necessary questions and completes the paperwork to open the current account and hands her the cash reserve application, telling her that she can mail it back or drop it off next time she's in the bank. He asks her if she wants an ATM card. She says no, and that's the end of that discussion. She selects her check style, gives him her opening deposit, and finishes the transaction. As Mrs. Benjamin leaves the bank, she wonders if everyone who works for the bank is as poor in human relations skills as this CSR. She also wonders if she made a mistake by not just walking out after being told, in essence, that she might not be a good enough customer to qualify for more than Rs. 25,000 of the bank's credit. Well, anyway, she's stuck with them now - for a while at least. She'll wait and see how it goes over the next few months, and she thinks to herself, "If I'm still not comfortable with the bank, I'll shop around and move my account to a bank where the people treat you as if you really matter to them."

Questions:

(a) The case presents a pre-purchase information search situation. How well has the bank fulfilled the informational needs of the customer?

Ands a. In the above case bank fulfill the informational needs at the below satisfactory level not much more then that. Bank just gives the facility whatever Mrs. Benjamin asks, they do not offer from their side. CSR at the bank did not interact in the proper way with the lady and not provide full information. In other words bank is failed to satisfy a customer.

(b) How is the above interaction likely to affect the customer's perception of the bank?Ans b. Above interaction leaves a very bad impact on the customer. Customer is not at All satisfied and she is not going to appreciate it in front of others. After the interaction customer is thinking to change her account from this bank and this is a very bad thing

for a bank.

(c) What is the marketing implication of the above interaction?Ans C. Above interaction will lead to a bad marketing implication. Customer in the above interaction is not at all satisfied and she is going to spread negative marketing in her circle.

(d) How would you advise the bank in terms of fulfilling the informational needs of customers?Ans d. I would like to advise the bank that they should trained their CSR well so that they can interact with the new customer in the pleasant way and can provide full information so that a customer can happily leave from the bank. They should have proper broachers with full

Page 12: Consumer Behavior 1

information to satisfy a customer’s question. It will not only enhance their image but will lead to a good result in social marketing.

Page 13: Consumer Behavior 1

Consumer BehaviorAssignment C

Tick mark (√) the most appropriate answer

1. The person who determines that some need or want is not being met is--

a) Influencerb) Initiatorc) Buyerd) User

2. The person who actually makes the purchase is--

a) Influencerb) Initiatorc) Buyerd) User

3. The five stages of consumer decision process are--

a) Problem recognition, information search, evaluation behavior, post-purchase behavior and purchase decision.

b) Problem recognition, purchase decision, evaluation behavior, satisfaction and re-purchase

c) Problem recognition, post-purchase behavior, satisfaction, re-purchase and information research

d) None of the above

4. The risks that are always at the backend of every customer are--

a) Perceived risksb) Normal risksc) Abnormal risksd) None of the above

5. __________ factor has broadest and deepest influence on consumer behaviour.

a) Reference groupb) Social Classc) Cultured) Sub-culture

6. Environmental factors that influence the buyer behaviour in the sub-culture lower, middle and higher is the--

a) Social group aspect

Page 14: Consumer Behavior 1

b) Religious group aspectc) Age group aspectd) None of the above

7. The process by which children acquire the skills, knowledge and attitude necessary to function as consumers is--

a) Consumer socializationb) Consumer orientationc) Consumer specializationd) None of the above

8. In the organizational buying, the first phase is--

a) Search for and qualification of potential sourcesb) Need recognitionc) Selection of an order routined) None of the above

9. Seeking new positive talks about--

a) Information about the product purchasedb) Information about the salesc) Information about the companyd) None of the above

10. __________ provide information to other members.

a) Gatekeepersb) Influencersc) Decidersd) None of the above

11. ____________ control the flow of information about a product or service in a family.

a) Gatekeepersb) Influencersc) Decidersd) None of the above

12. _______ are having power to take decision.

a) Gatekeepersb) Influencersc) Decidersd) None of the above

13. ____________ who initiate or carry out disposal or discontinuation of a particular product or service.

a) Maintainers

Page 15: Consumer Behavior 1

b) Disposersc) Usersd) None of the above

14. Maslow’s theory postulates ________ basic levels of human needs.

a) Fiveb) Fourc) Threed) Two

15. ___________‘s psychoanalytic theory of personality is the cornerstone of modern psychology.

a) Sigmund Freudb) Philip Kotlerc) Niel Armstrongd) None of the above

16. In ____________ , the child’s primary source of pleasure is the process of elimination

a) Oral stageb) Anal stagec) Phallic staged) None of the above

17. In ____________, the infant first experiences social contact with the outside world through the mouth.

a) Oral stageb) Anal stagec) Phallic staged) None of the above

18. ________ is a personality trait that measures the degree of rigidity individual display towards the unfamiliar and information that is contrary to its own established beliefs.

a) Consumerismb) Dogmatismc) Absenteeismd) None of the above

19. __________ is defined as the process by which an individual selects, organizes, and interprets stimuli into a meaningful and coherent picture of the world.

a) Perceptionb) Attitudec) Informationd) None of the above

20. JND stands--

Page 16: Consumer Behavior 1

a) Junior notified doctorb) Just Noticeable differencec) Just Not doned) None of the above

21. _________ is the stimuli that give direction to the motives.

a) Responseb) Reinforcementc) Cuesd) None of the above

22. Changing the basic motivational function is a--

a) Strategy of attitude changeb) Strategy of personality changec) Strategy of reference group changed) None of the above

23. _________ is closely linked to cultural or group values and involves the sanction of what ought to or should be done.

a) Referent powerb) Legitimate powerc) Expert powerd) None of the above

24. In _____________ power consumers accept information from members within a group whom they perceive to be experts.

a) Referent powerb) Legitimate powerc) Expert powerd) None of the above

25. __________ includes individuals who have direct influences on the consumer.

a) The socialization agentsb) The commercialization agentsc) The modern agentsd) None of the above

26. The instigator is also known as--

a) The influencerb) The initiatorc) The buyerd) None of the above

Page 17: Consumer Behavior 1

27. __________ is someone whose opinion is valued in the decision-making process.

a) The influencerb) The initiatorc) The buyerd) None of the above

28. This is the person who makes the final purchase--

a) The influencerb) The initiatorc) The buyerd) None of the above

29. Full nest 1 is--

a) Young, married without childb) Young, no childrenc) Young, married with childd) None of the above

30. Full nest 2 is--

a) Young, married with childb) Young, no childrenc) Old, married with childrend) None of the above

31. Full nest 3 is--

a) Older, married, with dependent childrenb) Older, married with childrenc) Young, no childrend) None of the above

32. Empty nest is--

a) Older, married with dependent childrenb) Older, married without childrenc) Older, married with no children living with themd) None of the above

33. Solitary Survivors are--

a) Older, married with no children living with themb) Young, married with childc) Older, single, retired peopled) None of the above

Page 18: Consumer Behavior 1

34. From the consumption pattern point of view, in ________ stage of the family life cycle, outdoor sporting goods, sports, cars, fashion clothing etc. are consumed.

a) Young married with childrenb) Young married without childrenc) Young singled) None of the above

35. Achieving professionals are the--

a) The upper-middle class b) The lower-upper classc) The middle classd) None of the above

36. Content analysis, Consumer Fieldwork etc., is the measurement of--

a) Cultureb) Attitudec) Personalityd) None of the above

37. _____________ is the broadest component that has an effect on consumer behaviour.

a) Cultureb) Social classc) Reference groupsd) None of the above

38. There are ________ types of cultural values.

a) Three b) Twoc) Fourd) Five

39. Nationality is a ___________ aspect.

a) Culturalb) Sub-culturalc) Personalityd) None of the above

40. There are ________ types of sub-cultures are there.

a) Threeb) Fourc) Fived) None

Page 19: Consumer Behavior 1