consumer behavior final

What is the difference between a fad, a fashion, and a classic fashion life cycle?

-A fad is a short-lived fashion. Relatively few people adopt a fad product, but it can spread quickly. -A classic fashion has an extremely long acceptance cycle. -A fashion is a popular trend.

What is cultural capital, and why is enrolling in etiquette class a way to accumulate it?

-A set of distinctive and socially rare tastes and practices. -these resources gain value because class members restrict access to them.

What is an age cohort, and why is it of interest to marketers?

-An age cohort consists of people of similar ages who have similar experiences. -It is of interest to marketers because our possessions help us identify with others of a certain age and express the priorities and needs we encounter at each life stage.

How is a collection sacred? What is the difference between collecting and hoarding?

-By sacralization, when ordinary objects, events, and even people take on sacred meaning. -Collecting is the systematic acquisition of a particular object or set of objects, and it involves both rational and emotional components. -Hoarding is merely unsystematic collecting.

What are the differences among fashion, a fashion, and in fashion?

-Fashion is the process of social diffusion by which some group(s) of consumers adopts a new style. -A fashion is a particular combo of attributes. -To be in fashion means that some reference group positively evaluates this combo.

Why are Asian Americans an attractive market segment? Why can they be difficult for marketers to reach?

-Fastest growing racial group in the nation with high buying powers. They are best educated and most likely to hold technology jobs. They also have high median income. -It can be hard to reach because it's composed of numerous culturally diverse subgroups that use different languages and dialects.

Describe the processes involved when a person assimilates into a new host culture.

-Movement refers to the factors that motivate people to physically uproot themselves from one location and go to another. -Translation means trying to master a set of rules for operating in the new environment. -Adaption is by which people form new consumption patterns. -Assimilation is adapting to products, habits and values. Other processes include maintenance, segregation and resistance.

What is a nuclear family, and how is it different from an extended family?

-Nuclear family consists of the mother, father, and one or more children, -extended family consists of three generations who live together, including grandparents, aunts, uncles and cousins.

What one variable is the best indicator of social class? What are some other important indicators?

-Occupational prestige -Other indicators are income and status.

How do you differentiate between "old money" versus "nouveau riche" consumers?

-Old money families live primarily on inherited funds, so they have always lived a wealthy lifestyle. -Nouveau riche are consumers who recently achieved their wealth but don't have the benefit of years of training to learn how to spend it.

Who are acculturation agents? Give two examples

-People and institutions that teach the ways of a culture. Examples: family and friends

Summarize some of the major approaches we can use to understand fashion from the perspectives of psychologists, economists, and sociologists.

-Psychological model: conformity, desires for variety seeking, need to express creativity, sexual attraction. -Economic model: supply and demand; limited supply has high value, desire decreases for readily available products. -Sociological model: subculture's adoption of a fashion and its subsequent diffusion into society as a whole.

How do religious subcultures affect consumption decisions?

-Religious subcultures have an impact on consumer variables (personality, attitude towards sexuality, birthrates and households, income, and political views). -Jewish people demand for kosher products. some of the nation's largest manufactures offer a wide range of kosher options. Muslims demand halal food.

Describe the difference between a restricted and an elaborated code. Give an example of each.

-Restricted codes focus on the content of objects, not on relationships among objects, for e.g. loose syntax. -Elaborated codes are more complex and depend on a more sophisticated worldview, for e.g. more subordinate clauses.

What is the difference between sacred and profane consumption? Provide one example of each.

-Sacred consumption occurs when we set apart objects and events from normal activities and treat them with respect or awe (valentine's day). -Profane consumption describes objects and events that are ordinary or every day; they don't share the "specialness" of sacred ones (trip to the grocery store).

What is the trickle-down effect? List some reasons why this theory is no longer as valid as it used to be.

-The trickle-down effect, in marketing, refers to the phenomenon of fashion trends flowing from the upper classes to the lower classes in a society. -It's not valid because consumers today are more influenced by opinion leaders.

What is the FLC, and why is it important to marketers?

-a classification scheme that segments consumers in terms of changes in income and family composition and the changes in demands placed on this income. -It is important to marketers because family needs and expenditures change over time.

What is a cultural formula? Give an example.

-a sequence of media events in which certain roles and props tend to occur consistently. -E.g. we expect people to use horses to get around in old western movies.

Describe what we mean by the term mass class and summarize what causes this phenomenon

-a term analysts use to describe the millions of global consumers who now enjoy a level of purchasing power that's sufficient to let them afford many high-quality products. -Rising income and slow growth cause this phenomenon.

What is culture? List three dimensions that social scientists use to describe a culture and give an example of each.

-culture is the values, ethics, rituals, traditions, material objects, and services produced or valued by the members of a society. •ecology - Japanese value products that make efficient use of space because of the cramped conditions in their urban centers. •Social structure - the nuclear family versus the extended family •Ideology - no thongs for women in a theme park in India, Bombay. The park rents swimsuits to women in case.

What is the difference between a high-context and a low-context culture? What is an example of this difference?

-high context culture, members tend to be tightly knit, and they infer meaning that go beyond the spoken word. -low context culture are more literal. -E.g. compared to Anglos (who tend to be low context), many minority cultures are high context and have strong oral traditions, so consumers are more sensitive to nuances in advertisements that go beyond the message copy.

Define a cultural gatekeeper, and give three examples.

-individuals who are responsible for determining the types of messages and symbolism to which members of mass culture are exposed. E.g. oprah, bloggers, interior designers.

Describe a culture production system and list its three components.

-the set of individuals and organizations responsible for creating and marketing a cultural product. -Creative, managerial & communication subsystem,

What is a brand community, and why is it of interest to marketers

A brand community is a group of consumers who share a set of social relationships based on usage of or interest in a product. They illustrate trends in consumer behavior, and members become emotionally involved in the company's welfare and will serve as brand missionaries.

What is a subculture?

A group whose members share beliefs and common experiences that set them apart from other members of a culture.

What is the difference between a market maven and a surrogate consumer?

A market maven is a person who likes to transmit marketplace information of all types, whereas a surrogate consumer refers to a third party we retain to provide input into our purchase decisions, they guide what we buy.

What is a ritual? Describe three kinds of rituals and provide an example of each.

A ritual is a set of multiple, symbolic behaviors that occurs in a fixed sequence and is repeated periodically. Grooming - brush your hair 10 times a day Gift-giving - symbolic gift of a rose Holiday - Christmas

A myth is a special kind of story. What makes it special? What is an example of a modern myth?

A story that often focuses on some kind of conflict between two opposing forces and its outcome serves as a moral guide for listeners reducing anxiety by providing guidelines about the world. e.g. Atlantis

Define conformity and give an example of it. Name three reasons why people conform.

Conformity is a change in beliefs or actions as a reaction to real or imagined group pressure. People conform because of cultural pressures, fear of deviance, and commitment.

What is a taste culture?

It describes consumers in terms of their aesthetic and intellectual preferences.

What is conspicuous consumption? Give a current example.

People's desires to provide prominent visible evidence of their ability to afford luxury goods. Pet jewelry is an example.

List the three stages of a rite of passage ritual.

Separation, liminality, aggregation

What is social class? Is it different from income? If so, how?

Social class is the overall rank of people in a society, whereas income is the money received for work or investments. People who are grouped within the same social class are approximately equal in terms of their income.

What are sociometric techniques? Under what conditions does it make sense to use them?

Sociometric techniques trace communication patterns among members of a group. It makes sense to use them in a closed, self-contained social setting, such as hospitals, where members are largely isolated from other social networks.

Define social mobility and describe the different forms it takes.

The movement of individuals from one social class to another. Horizontal mobility when a person moves from one position to another that's roughly equivalent in social status. Downward mobility is something none of us want. For e.g. farmers becoming homeless. There's also upward mobility where those of lower status fill positions of higher status.

Is there such a thing as a generalized opinion leader? Why or why not?

This is someone we look to for recommendations for all types of purchases. They are very rare if they even exist; people may be experts in multiple categories, but not every area.

What is viral marketing? Give an example of this strategy

Viral marketing is when an organization motivates visitors to forward online content to their friends; so the message spreads quickly. For e.g. lap giraffes, which got a lot of attention but it a scam part of a marketing campaign by DirecTV...gilette men

What is word-of-mouth, and how can it be more powerful than advertising?

Word-of-mouth is product information that individuals transmit to other individuals. Because we get the word from people we know, WOM tends to be more reliable and trustworthy than messages from more formal marketing channels. And, unlike advertising, WOM often comes with social pressure to conform to these recommendations.

What is a pecking order?

a hierarchy within a culture that indicates which members are relatively higher in status than other members.

What are tweens, and why are so many marketers interested in them?

a marketing term used to describe children aged 8 to 14.

Which is more powerful: positive or negative word- of-mouth?

negative word of mouth. Because we pay more attention to negative information than positive information. Negative WOM reduces the credibility of a firm's advertising and so it influences consumer's behavior towards the product.

Define discretionary income.

the money available to a household over and above that required for necessities

How are Gen Yers different from their older brothers and sisters?

they tend to hold relatively traditional values and they prefer to fit in rather than rebel.

Describe some ways in which marketers use the Internet to encourage positive word-of-mouth.

use agents to try out products and spread information about the product online

How have women contributed to the overall rise in income in our society?

Mothers with preschool children are the fastest-growing segment of working people, many of who work in high-paying occupations. It is a primary cause of the rapid growth of middle- and upper-income families.

What is a current example of parody display?

Old ripped blue jeans

What is deethnicization? Give an example.

Deethnicization occurs when a product we link to a specific ethnic group detaches itself from its roots and appeals to other groups as well. For e.g. bagels. It was a part of jewish cuisine. Now its mass marketed all over the world in different forms, jalapeno bagels, blueberry bagels, etc.

List three types of social power, and give an example of each.

Referent power - lady gaga for polaroid. Information power - Women's Wear Daily can make or break a company with their reviews. Legitimate power - authority of police officers

What is an example of a meme?

pepe the frog

What is income inequality, and why is it a problem?

The extent to which resources are distributed unevenly within a population. It is a problem because consumers worry about falling behind if the family can no longer afford the cost of necessities.

What roles do status symbols play in purchase decisions?

The major motivation to buy is not to enjoy the item but rather to let others know that we can afford them.

What is collective selection? Give an example.

The process by which certain symbolic alternatives tend to be jointly chosen over other by members of a society. for e.g. Burberry was once known as a brand only for high class. Then the lower classes began to adopt it and it was then associated with hooligans being thrown out of the bar for bad behavior.

Why might a person's social class not change when he or she earns more money?

The way we spend our money is more telling than how much we spend. It also depends on family status and how well a person is known.

Describe the difference between arts and crafts.

-An art product is an object we admire strictly for its beauty or because it inspires an emotional reaction in us. -In contrast, we admire a craft product because of the beauty with which it performs some function.

Why are Hispanic American consumers attractive to marketers?

Because they are geographically concentrated. They are also the nations second largest consumer market.

What are some business categories that stand to benefit most from the increasing affluence and vitality of the senior market?

Exercise facilities, cruises, tourism, cosmetic surgery and skin treatments.

Give an example of a marketer that uses the principle of binary opposition.

Ford, naming its car Mustang.

What are boomerang kids?

Grown children who return to their parents' home to live.

What are some of the problems we encounter when we try to measure social class?

Ignores being subjective to social class. Ignores consumer aspirations. Ignores status of working wives/spouses

How does consumer confidence influence consumer behavior?

Consumer confidence influences how much money people pump into the economy when they make discretionary purchases.

Who are innovators? Early adopters? Laggards?

- Innovators are people who are always on the lookout for novel developments and will be the first to try a new offering. - Early adopters are people who are receptive to new products and adopt them relatively soon, though they are motivated more by social acceptance and being in style than by the desire to try risky new things. - Laggards are consumers who are exceptionally slow to adopt innovations.

How do the worldviews of blue-collar and white-collar consumers differ?

- blue-collar consumers tends to be oriented more towards immediate needs. -white-collar consumers focus on more long-term goals such as saving for college or retirement.

How does the Principle of Least Interest relate to your success in a romantic relationship?

According to the Principle of Least Interest, the person who is least committed to staying in a relationship has the most power because that party doesn't care as much if the other person rejects him.

What is acculturation? How does it differ from enculturation?

Acculturation is the process of learning the beliefs and behaviors endorsed by another culture, whereas enculturation is the process of learning the beliefs and behaviors endorsed by one's own culture.

Why is it difficult to identify consumers in terms of their ethnic subculture membership?

Because many people identify with more than 1 subculture.

What is an opinion leader? Give three reasons why they are powerful influences on consumers' opinions.

Opinion leaders are individuals who are frequently able to influence others' attitudes or behaviors. They are powerful because they are technically competent (expert power), socially active, similar to consumers, and among the first to buy new products.

What is the relationship between an opinion leader and an opinion seeker?

Opinion leaders are likely to be opinion seekers. They are generally more involved in a product category and so they actively search for information. As a result, they are more likely to talk about products with others and to solicit others' opinions as well.