Personal finance chapter 6

A significant purchase is normally anything over

What is $300

People who know how to sell spend thousands of dollars and hours sitting in a classroom learning how to talk to you - to serve you, to assist you in your decision to buy their stuff. This marketing tactic is known as.

What is Personal selling

They have the strongest influence over your purchase decisions.

What is a friend.

When it comes to spending, adults need to devise one of these.

What is a plan.

A good salesman will answer and question with this.

What is another question.

When marketing causes you to position a product in your mind to be associated with a certain value.

What is brand recognition.

When you wake up the next day and regret your purchase

What is buyer's remorse

Feeling regret or concern after making a large purchase

What is buyer's remorse.

An economic system based on a free market, profit motive, open competition and private ownership of the means of production.

What is capitalism.

Young adults who are not yet married should find an accountability partner, someone with whom you can discuss big purchases. Otherwise known as this.

What is counsel

This marketing tactic uses money and easy payments as a marketing tool. They don't want you to think about how much something actually costs, rather how much down and how much per month.

What is financing.

We all have that spoiled, grocery store kid living inside of us. His name is

What is immaturity

A spur-of-the-moment, unplanned decision to buy a product or service

What is impulse buy.

The persistent increase in the cost of goods and services or the persistent decline in the buying power of money

What is inflation

This causes you to pay more this year for the same items you purchased last year.

What is inflation.

The process of communicating the value of a product or service to customers.

What is marketing.

Consider these when you are buying something.

What is motives.

Money spent here, cannot be spent there.

What is opportunity cost.

You should wait this long before making a purchase.

What is overnight.

List the four common marketing tactics

What is personal selling, financing, repetition, and product positioning.

This marketing tactic is used in TV, radio and Internet advertising. The messages become familiar and accepted as true over time.

What is repetition.

This product positioning marketing tactic is meant to influence impulse buying.

What is shelf positioning.

When it comes to big purchases, the right way is this.

What is to save and pay cash.

When buying insurance or investments, you should always do this.

What is understand them.

What 3 things should you consider when making a significant purchase?

What is your buying motives, opportunity cost, and should you save and pay with cash.