[MKT 3411] CH2: Decision Making

A ________ rule means that a product with a low standing on one attribute cannot make up for this position by being better on another attribute. A) noncompensatory decision B) lexicographic C) compensatory decision D) conjunctive

a

A consumer who moves his or her ideal state upward is experiencing ________. A) opportunity recognition B) search recognition C) habitual recognition D) need recognition

a

A customer buying an unfamiliar product that carries a fair degree of risk would most likely engage in what type of problem solving? A) extended problem solving B) limited problem solving C) habitual problem solving D) recognition problem solving

a

Under ________, utility is defined in terms of gains and losses. A) prospect theory B) heuristics C) hyperopia D) Zipf's law

a

When is a consumer most likely to engage in extended problem solving? A) This decision mode is most common when the decision is related to the person's self-concept and the outcome has a high degree of risk. B) This decision mode is most common when the decision is related to the person's past behavior and product reinforcements. C) This decision mode is most common when acceptable products are already contained within the consumer's evoked set. D) This decision mode is most common when the decision is related to products that are considered to have low self-concept involvement.

a

A consumer is most likely to engage in ________ when she is in a good mood or when she is uninvolved in other activities. A) inertia B) extended problem solving C) variety seeking D) mental accounting

c

A decision strategy that seeks to deliver an adequate solution rather than the best possible solution is referred to as ________. A) inertia B) rationalizing C) satisficing D) anchoring

c

A mental or problem-solving shortcut to make a purchase decision is called a(n) ________. A) determinant B) detail rule C) heuristic D) experience rule

c

Attributes actually used to differentiate among choices are called ________ attributes. A) evaluation B) search C) determinant D) segmentation

c

A hot and thirsty customer buys a cool drink and finds it very satisfying. He then buys another drink even though he had not initially planned on buying two and even though he is no longer thirsty. This is an example of ________. A) purchase momentum B) rational decision making C) feature creep D) inertia

a

A small company, Craig Inventions, produced a pill that had the nutrient value of a healthy breakfast. The company put the product on the market as a substitute for breakfast for busy people. The product failed. Craig Inventions then marketed the pill as a diet product and it became very successful. What does the example best demonstrate? A) The company did not position the product well. It was difficult to convince consumers that a pill was a breakfast on the superordinate level; however, it did appear to fit appropriately within the superordinate category of diet pills. B) The company confused a subordinate level with a basic level of categorization, which led to the company's failure to identify the product's most important competitors. C) The company confused a superordinate level with a subordinate level of categorization. D) The determinant attributes between diet pills and breakfast were not sufficiently strong.

a

Casinos make their interiors very plush and expensive looking, knowing that gamblers who would be reluctant to make a $10 bet in average surroundings would gladly make $100 wagers in luxurious surroundings. Which of the following best explains the gamblers' behavior? A) Mental accounting emphasizes the extraneous characteristics of the choice environment even if the results are not rational. B) Most people are unaware of the true risk of making certain decisions and believe that a larger wager has higher odds of winning. C) The luxurious surroundings increase the probability of classical conditioning through mere exposure, which results in behavior that is not rational. D) The functional risk of gambling is decreased in luxurious surroundings, leading gamblers to wager more.

a

Coca-Cola is an example of a(n) ________ product because it has come to characterize an entire category of soft drinks. A) exemplar B) criteria C) heuristic D) evoked

a

Kent, a college student, is a loyal Coca-Cola drinker. He averages about six Cokes a day. He even prefers Coke to water. However, today when he passed a vending machine in his dorm, he bought a new flavor of soft drink called Big Red. Which of the following most accurately explains his behavior, given the facts about Kent's previous behavior? A) Kent is variety seeking. B) Kent is brand switching. C) Kent is involved in extended problem solving. D) Kent is influenced by peer pressure.

a

People often make decisions on the basis of mental accounting. One facet of this accounting is making a decision based on the way a problem was posed. This is called ________. A) framing B) the sum-cost fallacy C) loss aversion D) positioning

a

Susan is trying to select the right tour. She is going to Scotland but can't make up her mind what she wants to do when she gets there. There are so many variables including cost, the weather, and Susan's desire to see the village her grandmother called home. Susan's problem emphasizes the importance of the ________ in designing an effective hospitality-marketing program for the tourism industry. A) experiential perspective B) behavioral influence perspective C) purchase momentum phenomenon D) rational perspective

a

A consumer could recognize a problem as either an opportunity or a need. How would promotions differ between those emphasizing opportunities and those emphasizing needs? A) Promotions emphasizing needs should attempt to increase the consumer's ideal state, while promotions emphasizing opportunities should simply give locations where the products can be found for purchase. B) Promotions emphasizing opportunities should attempt to increase the ideal state, while promotions emphasizing needs should give locations where the products can be purchased. C) Promotions emphasizing needs should increase the ideal state, while opportunity promotions should attempt to decrease the ideal state. D) Promotions emphasizing needs should decrease the ideal state, while promotions emphasizing opportunities should provide buying locations.

b

A consumer who uses a few simple decision rules to arrive at a purchase decision is using which of the following? A) routine decision making B) limited problem solving C) graduated response behavior D) extended problem solving

b

A(n) ________ refers to a set of beliefs and the way we organize those beliefs in our minds. A) mental accounting B) knowledge structure C) rational perspective D) influence perspective

b

According to the theory called ________, a company can make money if it sells small amounts of items that only a few people want if the company sells enough different items. A) feature creep B) the long tail C) Zipf's Law D) neuromarketing

b

Ellen stated that she would marry a millionaire. She applied a heuristic in judging men. They must wear expensive shoes and have an expensive automobile. What type of decision rule was Ellen applying in her search for a millionaire husband? A) lexicographic rule B) elimination-by-aspects C) conjunctive rule D) weighted additive rule

b

Mel Howard is determined to make his used car lot a successful business venture. One of the cornerstones of his sales strategy is to make every used car appear as if it just rolled off the assembly line. His cars are clean, clean, clean! Mr. Howard is relying on which of the following signal forms to send a "signal of quality" to his customers? A) demonstration signal B) product signal C) promotional signal D) design signal

b

People who post to Web sites offering user reviews are typically not paid for their time and contributions. However, they can gain recognition for good recommendations. This reward system is known as the ________. A) noncompensatory rule B) reputation economy C) long tail D) consideration set

b

The presence of too many product options in the marketplace is referred to as ________. A) purchase dilemma B) consumer hyperchoice C) pseudo-choice D) hyperopia

b

The tendency for people to prefer products from their own culture rather than those of another culture is called ________. A) xenophobia B) ethnocentrism C) ethnographics D) altruism

b

What type of information search is a female customer engaged in when she scans the newspaper ads every day for new information on fashions, even though she isn't thinking of buying anything anytime soon? A) prepurchase search B) ongoing search C) internal search D) delayed search

b

Which of the following most accurately describes one of linguist George Kingsley Zipf's findings in the 1930s? A) People prefer English titles on products ten-to-one over other titles. B) The word "the" occurs about twice as often as the word "of" in the English language. C) People prefer short words rather than long words in advertising. D) The word "sex" should be left out of marketing promotions.

b

Which of the following perspectives on consumer decision making is most closely associated with the economics of information approach to the search process, assuming that consumers collect just as much data as needed to make an informed decision? A) experiential perspective B) rational perspective C) constructive perspective D) behavioral influence perspective

b

________ are dimensions used to judge the merits of competing options. A) Evoked sets B) Evaluative criteria C) Levels of abstraction D) Category exemplars

b

Chen Lo used a decision rule that says, "only buy well-known brand names" when selecting a set of golf clubs. He did not look at price, the store, or even discounts when purchasing clubs. Chen Lo's purchasing pattern is an example of a consumer using a ________ rule. A) habitual decision B) compensatory C) noncompensatory D) conjunctive

c

In a thought process called ________, we evaluate the effort we'll need to make a particular choice and then we tailor the amount of cognitive "effort" we expend to make that choice. A) utility processing B) experiential processing C) constructive processing D) behavioral processing

c

Jeff is tired of the numerous breakdowns and peeling paint on his old car. When Jeff begins to actively think about his car in this way, which of the following consumer decision-making process steps is Jeff going through? A) information search B) evaluation of alternatives C) problem recognition D) product choice

c

Of the following products, which one would typically carry high psychological risk for the average consumer? A) a lawn mower B) a kitchen blender C) an expensive mink coat D) a family vacation to a theme park

c

The first stage in the consumer decision-making process is ________. A) information search B) evaluation of alternatives C) problem recognition D) product choice

c

What type of cybermediaries are intelligent agents? A) They are travel agents who answer questions online. B) They are people who can help computer users with problems they encounter when trying to shop online; contacts are direct and in-person. C) They are sophisticated software programs that use collaborative filtering technologies to learn from past user behavior in order to recommend new purchases. D) They are search engines specifically designed for online marketing and other forms of e-commerce.

c

When using the ________ rule of decision-making, a consumer evaluates brands on the most important attribute, but specific cutoffs are imposed. A) lexicographic B) elimination-by-aspects C) conjunctive D) compensatory

c

Which of the following describes the visual nature of a social game? A) platform B) mode C) milieu D) genre

c

________ is the process by which the consumer surveys his or her environment for appropriate data to make a reasonable decision. A) Problem recognition B) Evaluation of alternatives C) Information search D) Product choice

c

As a customer's product knowledge increases, what typically happens to the amount of search conducted by the consumer? A) It will continually increase. B) It will continually decrease. C) It will decrease, and then increase as the customer becomes more knowledgeable. D) It will increase, and then decrease as the customer becomes more knowledgeable.

d

Directories and portals, Web site evaluators, forums, fan clubs, and user groups are all forms of ________. A) Web retailers B) cybercash C) design groups D) cybermediaries

d

If a consumer's ideal state is very near or identical to his or her actual state, which of the following best describes the type of problem recognition the consumer would most likely have? A) opportunity recognition B) need recognition C) search recognition D) no problem recognized

d

Jamie is considering ordering a dessert for lunch. Before she decides on the kind she prefers, she must decide whether to get a fattening or nonfattening dessert. This decision relates to which of the following levels of abstraction of dessert categories? A) superordinate level B) ordinate level C) subordinate level D) basic level

d

Latrell finds that every time he goes to select athletic shoes, he always buys the same brand. In fact, he doesn't even remember trying on any of the other competitive brands even though some of these brands have attractive styles and prices. Latrell's purchase decision process has become one of less and less effort. Latrell's decision process is an example of ________. A) cognitive dissonance B) information discrimination C) ineptness D) inertia

d

Les just bought a megaphone of root beer. As he drinks from the giant cup, he eventually becomes full. One of his friend's comments, "If you don't stop drinking that stuff, you will get sick." Les replies, "Hey, I bought it and I am not going to waste one drop of it." Les's behavior could best be described by which of the following mental biases? A) loss aversion B) hyperopia C) risk positioning D) the sunk-cost fallacy

d

The alternatives actively considered during a consumer's choice process are his or her ________ set. A) inert B) evoked C) evaluative D) consideration

d

What is a major distinction between customers who purchase a product because they are brand loyal and those who purchase by inertia? A) the cost of the product B) the social risk of the product C) whether the purchase is made after a compensatory or noncompensatory decision process D) whether the customers hold a very positive or weak attitude toward the product

d

What would be the categorization level for a taco sold in a fast-food restaurant? A) superordinate level B) medium level C) basic level D) subordinate level

d

When Japanese cars first became popular in the United States, some drivers of domestic cars placed bumper stickers on their vehicles that stated "Hungry? Eat your foreign car." These stickers encouraged people to support local workers and keep an American advantage in the balance of trade between Japan and the United States. The attitude expressed by the stickers is called ________. A) national inertia B) lexicographic determinism C) stereotyping D) ethnocentrism

d

When the ________ rule of decision-making is used, the brand that is the best on the most important attribute is the one selected. A) elimination-by-aspects B) conjunctive C) compensatory decision D) lexicographic

d

________ occurs whenever the consumer sees a significant difference between his or her current state of affairs and some desired state. A) Information search B) Evaluation of alternatives C) Evaluation of the evoked set D) Problem recognition

d