consumer behavior CH 4
Are advertising and marketing necessary?
-designed to meet consumer needs. -helps communicate their availability -economics of informtaion
Market access
(e.g., people with disabilities, food deserts, illiterate people)
Data privacy and identity theft
(i.e. stealing your personal information and use it without your permission)
do marketers manipulate consumers?
-Advertisers don't know enough about people to do this. -Marketers are only successful when they promote good products
Social marketing?
Encourage positive behaviors (increased literacy) and discourage negative activities (drunk driving)
how do cultural difference affect business ethics?
It affects what is considered ethical or not.
do marketers create artificial needs?
The main objective of marketing is to create awareness that needs exist, not to create needs.
Culture Jamming?
a strategy aimed to disrupt efforts by the corporate world to dominate our cultural landscape
Function and responsibilities of the main US regulatory agencies
a. Consumer Product Safety Commission (CPSC) b. Environmental Protection Agency (EPA) c. Federal Communications Commission (FCC) d. Federal Trade Commission (FTC) e. Food and Drug Administration (FDA) f. Interstate Commerce Commission (ICC)
The dark side of consumer behavior:
a. Consumer terrorism b. Consumer addiction c. Compulsive consumption d. Consumed consumers e. Illegal acquisition and product use
Major policy issues relevant to consumer behavior:
a. Data privacy and identity theft b. Market access c. Sustainability and environmental stewardship d. Green marketing and greenwashing e. Product disposal
consumer actions when they are dissatisfied with a product
a. voice response b. private response c. third party response
green washing
companies make false or exaggerated claims about how environmentally friendly their products are
Federal Trade commission
deceptive advertising and product labeling regulations
Green marketing
describe a strategy that involves the development and promotion of environmentally friendly products.
Corporate Social Responsibility? (CSR)
describes processes that encourage the firm to make a positive impact in its community (or society).
Consumer product safety commission
established to identify unsafe products, defects, dangerous, creates standards
Consumer space versus marketer space
individidauls dictate to the companies the types of products they want, how, when, and where. a time when companies called the shots and decided what they wanted their consumers to knw and do (doesnt happen anymore. )
What is the main goal of AdBusters?
is a nonprofit organization that discourages rampant commercialism and advocates for social activism. use culture jamming
product disposal
it is important to understand how consumers discard their products to see how eco-friendly they are.
Environmental Protection Agency
major impact on materials and processes that manufacturers use
food and drug administration
marketers of pharmaceuticals, over the counter medicines, and variety of other product but be approved first.
provenance?
means shoppers are willing to pay more for an item when they know exactly where it comes from (e.g. organic products)
Federal communications commisions
monitor the marketing activities of a company-regulates TV, phone, radio.
materialism?
refers to the importance people attach to possessions.
Curation?
refers to the use of an expert who carefully chooses pieces to include in a collection of consumer products (e.g. your mom)
Interstate commerce commision
regulates bus, truck, rail, and water operations.
What is business ethics?
rules of conduct that guide actions in the market place.
what is the economics of information perspective?
suggests advertising provides an important source of consumer information which consumers are willing to accept because it reduces the economic cost associated with searching for products
third party resposne
take legal action
sustainability and environmental stewwardship
tipple bottom line-financial, social, and enviromental
voice response
you can appeal directly to the retaliler for a refund
private response
you can express your dissatisfaction to friends and boycott the product