Consumer Behavior FINAL EXAM

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Purchase specifications include payments, warranties, delivery dates, and so on

False

Sensory perception relates to an individual's ability to distinguish between similar stimuli

False

A direct-to-consumer sale occurs when one consumer sells a product directly to another with or without the assistance of a commercial intermediary

False

A key element of relationship marketing is to standardize the relationship across customers

False

A shopping style that puts particular emphasis on certain activities or shopping motivations is called a shopping perspective

False

Based on Pew Research statistics, Internet usage increases with age

False

Cognitive motives underlie behaviors that are intristically rewarding to the individual involved

False

From a seller's point of view, all buyers are worth developing relational exchanges with

False

Incurred costs are the costs of finding, evaluating, and adopting another solution

False

Multi-channel shoppers rarely browse/search in one channel and use that information to make a purchase in another channel

False

Online shopping services such as pricegrabber.com assist consumers by making the final choice for them

False

The first stage in the consumer decision process is information search

False

The first step a firm should most want from a dissatisfied customer is that they stop buying that brand or at that store

False

The number one online shopping tool is online reviews

False

cauasians are the highest users of loval mobile search

False

The styling of a suit represents

Symbolic Performance

Bossing aroudn retail clerks is a nonpurchase reason for shopping

True

Catalogs and the Internet appear to work in a complementary fashion

True

Consumers are more willing to travel longer distances to shop for a luxury car than for deodorant

True

Firmographics consist of the company size, location, and objective

True

Firms with a limited reputation sometimes form brand alliances with a reputable firm in order to gain from the quality associated with the known brand

True

Price premium refers to the fact that repeat and specifically committed customers tend to buy the brand consistently rather than waiting for a sale or continually negotiating price

True

The uncontrollable factors that affect problem recognition include all of the following EXCEPT

sales force efforts

Spillover sales refer to

sales of additional items to customers who came to purchase an advertised item

Marketing managers are intersted in external information search because

It provides them with direct access to the consumer

Consumers who browse and/or purchase in more than one channel

Multi-Channel Shoppers

Purchases made in a store that are different from those the consumer planned to make prior to entering the store.

Unplanned Purchases

Consumer-level employees deal directly with consumers

True

Consumers who demonstrate a positively biased behavior toward a specific brand are exhibiting brand loyalty

True

Price, advertising intentisty, warranties, brand, and country of origin are examples of surrogate indicators

True

Primary sources of information available to consumers include marketing sources, independent sources, personal sources experiential sources, and memory

True

The internet allows conusmers easy access to manufaturer websites, other consumers, and government agencies, while expanding a marketer's ability to reach consumers

True

The three types of consumer decision making are nominal, limited, and complex

True

wesbite visits that occur as a results of exposure to an online ad but which do not occur at the time of exposure have been termed

View-throughs

Brands of which the consumer is aware but basically indifferent toward

Inert set

Nominal decision making tends to be associated with

Low levels of purchase involvement

Occurs when a consumer has feelings of doubt or anxiety after a purchase has been made

Postpurchas Dissonance

Doubt about the wisdom of a purchase shortly after the purchase is referred to as

Postpurchase Dissonance

A choice based on the "how do I feel about it" heuristic is referred to as

Affective Choice

Choice based on the evaluation of a product generally focused on the way they will make the user feel as the product is used

Affective Choice

The process managers use to manipulate the physical retail or service environment to create specific mood responses in shoppers

Atmosphereics

Involves the use of general attitudes, summary impressions, intuitions, or heuristics; no attribute-by-attribute comparisons are made at the time of choice

Attitude-Based Choice

_____ requires knowledge of specific attributes and involves attribute-by-attribute comparisons across brands

Attribute-Based Choice

Requires the knowledge of specific attributes at the time the choice is made, and it involves attribute-by-attribute comparisons across brands.

Attribute-based choice

List of brands thought of as a potential solution

Awareness Set

Which of the following is a segmentation of shoppers who are motivated primarily by getting exactly what they want in the least amount of time?

Basic shoppers

Involves tracking consumer click patterns on a web site and using that information to decide on banner ad placement

Behavioral Targeting

A test in which the consumer is not aware of the product's brand name

Blind Tests

Software "robots" that do the searching for users

Bots

A limited capacity for processing information

Bounded rationality

A biased behavioral response expressed over time by a decision-making unit with respect to one or more alternative brands out of a set such brands that is a function of psychological processes

Brand Loyalty

Which of the following is not generally an outcome for a satisfied customer?

Brand Switching

Consist of individuals from various areas of the firm, such as accounting, engineering, manufacturing, and marketing, who meet specifically to make a purchase decision

Buying Centers

Used to refer to turnover in a firm's customer base

Churn

The fact that consumers have limited capacity for processing information is referred to as

Cognitive Capacity

States that the brand that rates the highest on the sum of the consumer's judgments of the relevant evaluative criteria will be chosen

Compensatory Decision Rule

The most popular indirect measurement approach, the consumer is presented with a set of products or product descriptions in which the evaluative criteria vary

Conjoint Analysis

Establishes a minimum required performance standards for each evaluative criterion and selects the first or all brands that surpass these minimum standards

Conjunctive Decision Rule

Occurs when one consumer sells a product directly to another with or without the assistance of a commercial intermediary

Consumer-to-consumer sale

Underlie behaviors that are intrinsically rewarding to the individual involved

Consummatory Motives

Occurs when negative emotions or guilt feelings are aroused by the use of a product or a service

Consumption Guilt

The organizational culture of a business firm is often referred to as

Corporate Culture

A $20 savings on a $395 item should show the percentage savings but not the dollar savings

False

The individuals (representing functional areas and management) within an organization who participate in making a given purchase decision

Decision-Making Units (DMUs)

The way an individual wants to feel or be at the present time

Desired State

Once a consumer problem is identified, the manager may structure the marketing mix to solve the problem. This can involve

Developing a new product, altering an existing product, modifying channels of distribution, changing pricing policy

The _____ decision rule establishes a minimum level of performance for each importance attribute (often a fairly high level), and all brands that meet or exceed the performance level for any key attribute are considered acceptable

Disjunctive

Establishes a minimum level of performance for each important attributes

Disjunctive Decision Rule

Waste caused by an exploding demand and short product life-spans for high-tech gadgents such as cell phones, personal computers, and various other personal electronic devices

E-Waste

Requires the consumer to rank the evaluative criteria in terms of their importance and to establish a cutoff point for each criterion

Elimination-by-aspects decision rule

Which of the following is a segmentation of shoppers who are motivated by many aspects of shopping?

Enthusiast Shoppers

The various dimensions, features, or benefits a consumer looks for in response to a speciific problem

Evaluative Criteria

All of the brands that a consumer will evaluate for the solution of a particular problem is known as the

Evoked Set

Those brands or products one will evaluate for the solution of a particular consumer problem

Evoked Set

Involves an extensive internal and external information search followed by a complete evaluation of multipe alternatives and significant postpurchase evaluation

Extended Decision Making

A price presented by a marketer for the consumer to use to compare with the current price

External Reference Price

Occurs when the search process is focuused on external information relevant to solving the problem

External Search

Involve both organization characteristics and characteristics of the composition of the organization

Firmographics

Which factor(s) influence(s) whether a relationship will be transactional or relational?

Industry structure, decision-making culture, risk tolerance

A discrepancy that a variety of brands within a product category can reduce

Generic problem recognition

Brands that are actively disliked or avoided by the consumer

Inept set

Based on Pew Research statistics, which of the following demographic patterns is true?

Hispanics and African-Americans are lower users of the Internet than Whites and Asian-Americans and Internet usage increases with income

Activate behaviors designed to achieve a second goal

Instrumental Motives

The motives that underlie behaviors designed to achieve a second goal are termed

Instrumental Motives

Innovative organizations that derive a great deal of their success from leading change

Lead users

Perhaps the most powerful type of reference group in industrial markets is that of

Lead users

The ______ decision rule requires the consumer to rank the criteria in order of importance, and then the consumer selects the brand that performs best on the most important attribute

Lexicographic

Involves internal and limited external search, few alternatives, simple decision rules on a few attributes, and little postpurchase evaluation

Limited Decision Making

Segmenting an organizational market based on unique needs associated with firmographics is referred to as

Macrosegmentation

The process of grouping organizations with distinguishing firmographics into market segments

Macrosegmentation

Refers to the general nature of the outcome being sought

Metagoal

Information search often requires all of the following EXCEPT

Money

Large organizations generally involve

More individuals in the decision-making process

Occurs when there is low involvement with the purchase

Nominal Decision Making

Done both to acquire information for possible later use and becauuse the process itself is pleasurable

Ongoing search

Relate to consumers fears regarding how personal information about them that is gathered online might be used

Online Privacy Concerns

The self-concept and lifestyle of an organization it reflects and shapes organizational needs and desires, which in turn influence how organizations make decisions

Organizational Culture

The result of a discrepancy between a desired state and an actual state that is sufficient to arouse and activate the decision process

Problem Recognition

The first stage of the decision process is called the

Problem recognition

Occurs when a consumer is very involved with a brand or a product category and yet has very low level on involvement with a particular purchase of that product because of brand loyalty, time pressures, or other reasons

Product Involvement

Occurs when a consumer actively acquires a product that is not used or used only sparingly relative to its potential use

Product nonuse

A form of indirect methods that allow the respondent to indicate the criteria someone else might use

Projective techniques

The level, concern for, or interest in, the purchase process triggered by the need to consider a particular purchase is

Purchase involvement

Which of the following is a shopping motivation of consumers?

Recreation, social aspects, utility, minimizing shopping time

Refers to the flow of purchase influence within an industry

Reference Group Infrastructure

A price with which other prices are compared

Reference Price

Used to calculate the level of store attraction based on store size and distance from the consumer

Retail Attraction (gravitation) Model

Involves techniques designed to ensure that a company's web pages "are accessible to search engines and focused in ways that help improve the chance they will be found

Search Engine Optimization (SEO)

A discrepancy that only one brand can solve

Selective Problem Recognition

The ability of an individual to distinguish between similar stimuli

Sensory Discrimination

Refers to atmosphere when describing a service business such as a hospital, bank, or restaurant

Servicescape

A shopping style that puts particular emphasis on certain activities or shopping motivations

Shopping Orientation

Internet shopping serives use _____ that do the shopping/searching for users

Shopping bots

Sales of additional items to customers who came to purchase an advertised item

Spillover Sales

Refers to the store being temporarily out of a particular brand

Stockouts

Influenced by such attributes as lighting, layout, presentatoin of merchandise, fixtures, floor coverings, colors, sounds, odors, and the dress and behavior of sales and service personnel

Store Atmosphere

Closely related to store image this occurs when the store or outlet is the brand

Store Brands

A given consumer`s or target market`s perception of all the attributes associated with a retail outlet

Store Image

Which of the following is NOT a compnent of store image?

Store atmosphere, store size, store location, store advertising

Payments, warranties, delivery rates, and so forth

Terms and Conditions

An organization's composition consists of the types of individuals who work in the organization

True

Unplanned purchases are purchases consumers make in a retail outlet that are different from those they planned to make prior to entering that retail outlet

True

Involves the evaluation of possible vendors and selection of a given vendor

Two-Stage Decision Process

Refers to a consumer using a product in a new way

Use Innovativeness

A problem of which a consumer is aware is

an active problem

Catalog Age, as reported in the text, found that consumers shop online for reasons similar to those for shopping from catalogs. The major reason consumers shop online and from catalogs is due to

convenience

As individuals gain skills, their desires related to those skills remain the same

false

A problem in which the consumer is not aware

inactive problem

Roles that may be played by any member of a decision-making unit include all of the following

key influencers, user, decision maker, information gatherer

Healthy business relationships depend on

legitimacy and compatability, social relations, economic and shared values, learning bonds

Another term for habitual decision making is

nominal decision making

Which of the following is an alternative if a consumer decides to retain a product`s package?

store it and use it for a new purpose

Evaluative criteria are

the characteristics required to meet your needs

The emotional response that owning or using the product or outlet provides

Affective Performance

Has an emotional attachment to the brand or firm

Committed Customer

Ongoing search involves an intentional external search occurring in the absence of problem recognition and is done both for acquiring information for use perhaps at a later time and because the process itself is pleasurable

False

Organizational activities are categorized as either routine or complex

False

Organizational structure describes the type of self--concept and lifestyle of a give organization

False

Basic shoppers enjoy shopping and are motivated by the recreational and social aspects of shopping

False

Consumers are not aware of product brand names in generic tests

False

HP has a large brand-loyal purcaser segment; therefore, a disrupt marketing strategy is most appropriate for this brand

False

In the case of a dissatisfied customer, when no external action is taken, the customer is likely to have a more favorable attitude toward the store or brand

False

One expert estimates that only one half of buyers fall into the most valuable customer category

False

Organizations are just a collection of individuals

False

Primary search involves problem recognition, retrieving relevant informationfrom long-term memory in order to determind whether a satisfactory solution is known, what the characteristics of potential solutions exist, what are appropriate ways to compare solutions, etc.

False

The competitve context has no effect on choice

False

The various dimensions, features, or benefits consumers look for in response to a specific problem are called heuristics

False

Which of the following is NOT true regarding the Net Promoter Score (NPS)?

It appears to tap only behavioral loyalty

Occurs when a consumer sees an item in the store and purchases it with little or not deliberation as the result of a sudden, powerful urge to have it

Impulse Purchase

Occurs when consumers acquire products through mail, telephone, or computer orders

In-home shopping

Advertising can affect the importance of evaluative criteria by

Increasing attention on the evaluative criteria and increasing elaboration of the evaluative criteria

Relates to the physical functioning of the product

Instrumental Performance

Satisfactoin with a product is primarilty a function of

Instrumental performance and Symbolic performance

A price or price range that a consumer retrieves from memory to compare with a price in the market

Internal Reference Price

Occurs once a problem is reconized and relevant information from long-term memory is used to determine if a satisfactory solution is known, what the characteristisc of potential solutions are, what are appropriate way to compare solutions, and so forth

Internal Search

Requires the consumer to rank the criteria in order of importance

Lexicographic Decision Rule

Considered to be both a consumer and product characteristic it involve the risk associated with the purchase of a product that may not perform as expected

Perceived Risk

Satisfation with a purchase is primarily a function of

Perceived performance realtive to expectations

A function of the individual, the product, and the situation

Perceived risk

Another indirect technique that generally involves the consumer first looking at possible pairs of brands and indicating which pair is most similar, which is second most similar, and so forth until all pairs are ranked

Perceptual Mapping

Shelf talkers are a type of

Point-of-purchase material

An attempt to develop an ongoing, expanding exchange relationship with a firm's customers

Relationship Marketing

Continue to buy the same brand though they do not have an emotional attachment to it

Repeat Purchasers

An attribute used to stand for or indicate another attribute

Surrogate Indicator

The costs of finding, evaluating, and adopting another solution

Switching Costs

Relates to aesthetic or image-enhancement performance

Symbolic Performance

A repeat purchase decision is a type of nominal decision in which the conusmer believes all the brands within a given product category are about the same, but attaches a relatively high importance on the porudct category or purchase

false

It is only necessary for a marketer to track consumer complaints and comments on the web

false

The way an individual perceives his or her feelings and situation to be at the present time is known as one's desired state

false

The motivation to resolve a recognized problem depends on

the relative importance of the problem and the magnititude of the discrepency between the desired and existing states

Kathy enjoys a diet cherry vanilla DR. Pepper after her workout each day. After about four weeks of this routine, she grows tired of the same soft drink and swithches to Crystal Light lemonade. Kathy is displaying variety-seeking behavior

true


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