MKT EXAM 2 UKY

Steps in the consumer decision making process

1. need recognition 2. information search 3. evaluation of alternatives 4. purchase 5. post-purchase evaluation

Maximizers

individuals who attempt to evaluate every option for every choice until they find the perfect fit

Businesses are able to encourage need recognition by:

Changing consumers' desired states Changing consumers' perceptions of their actual states Reminding consumers of their needs

heuristics

Mental shortcuts or "rules of thumb" that often lead to a solution

non-compensatory strategy?

One that eliminates alternatives that do not meet certain criterion

evoked set

alternatives a consumer knows about / considers

When using the ________ rule of decision making, a consumer evaluates brands on the most important attribute, but specific cutoffs are imposed.

conjunctive

The alternatives actively measured during a consumer's choice process are the ________ set

evoked

The danger of exceeding consumers' cognitive capacity is that they will

experience information overload

Collecting information from peers, family, and the marketplace is known as

external search

Searching inside magazine and within websites are good examples of internal search

false

Steps in the buyer decision process are never skipped.

false

According to this view, people calmly and carefully integrate as much information as possible with what they already know about a product, painstakingly weigh the pluses and minuses of each alternative, and arrive at a satisfactory decision

information processing perspective

the process by which the consumer surveys the environment for appropriate data to make a reasonable decision

information search

Retrieving knowledge from memory is known as

internal search

Jonesy will buy only the lowest-priced spark plug when he goes shopping for auto supplies. Because his car is very old, he really doesn't care about any other qualities. Jonesy is using the conjunctive decision rule.

non compensatory decision rule

conjunctive rule

non compensatory decision rule where the option selected must surpass a minimum cutoff across all relevant attributes

Chen Lo uses a decision rule that says "Only buy well-known brand names" when selecting a set of golf clubs. He does 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

noncompensatory rule

problem recognition

occurs whenever the consumer sees a significant difference between the current state of affairs and some desired or ideal state

prospect theory

people choose to take on risk when evaluating potential losses and avoid risks when evaluating potential gains

The final stage in the Consumer Decision Making model is

post-purchase evaluation

Shortcuts are considered heuristics, or "mental rules-of-thumb" in decision making.

true

· The evaluation of alternatives is the third stage of the consumer decision-making process.

true