Alex is developing the marketing strategy for a brand of men's clothing.

Before he
develops his strategy, Alex will conduct research to better understand his customers.
Briefly describe a conceptual model that includes the factors he should consider in his
research.
Page: 26-29 Difficulty: moderate
Answer:
This question is attempting to get students to broadly discuss the elements of the
overall model of consumer behavior illustrated in Figure 1-3 and discussed in the
chapter. Factors Alex should consider include external influences (i.e., culture,
subculture, demographics, social status, reference groups, family, and marketing
influences) and internal influences (i.e., perception, learning, memory, motives,
personality, emotions, and attitudes). These external and internal factors shape
consumers' self-concepts and lifestyles. These self-concepts and lifestyles produce
needs and desires, many of which require consumption decisions to satisfy.
Jason is planning a business trip to Japan, and it is his first time doing business in that
country. Discuss some value differences between Japanese culture and American
culture that are most relevant to him in a business meeting situation.
Page: 46-53 Difficulty: hard
Answer:
One key area where there are substantial differences between the Japanese and
American cultures is the area of other-oriented values. Individualism is a defining
characteristic of American culture, whereas the Japanese are more collective in their
orientation. While American society is clearly youth oriented, many Asian cultures
have traditionally valued the wisdom that comes with age. Cultures with more
masculine and individualistic orientations such as the U.S. tend to value
competitiveness and demonstrate it openly, but collectivists cultures, even highly
masculine ones such as Japan, tend to find openly competitive gestures offensive as
they cause others to lose face. Finally, Japan and other collectivist cultures tend to
place a strong value on uniformity and conformity, whereas other cultures, such as the
U.S., value diversity more.
Another area where there are differences between the Japanese and American cultures
is the area of self-oriented values. Americans are much more prone than the
Japanese to take an action-oriented approach to problems
The company you work for wants to integrate its philanthropic charitable giving with
its own corporate performance. Explain how this can be accomplished, and discuss
how consumers might respond to this effort.
Page: 95-97 Difficulty: moderate
Answer:
Cause-related marketing (CRM) is marketing that ties a company and its products to
an issue or cause with the goal of improving sales or corporate image while providing
benefits to the cause. Research has shown that CRM increases consumers' trust in the
company, claim that a company's commitment to a social cause is important when
deciding what to recommend to other people, and that they are willing to switch
brands based on CRM when price and quality are equal. However, four segments of
consumers have been identified: (a) Skeptic (i.e., doubt sincerity or effectiveness of
CRM), (b) Balancer (i.e., believe in CRM but generally don't act accordingly), (c)
Attribution-oriented (i.e., concerned about motives behind CRM), and (d) Socially
concerned (i.e., driven by desire to help).

You just started your first marketing job, and your supervisor wants you to become
more knowledgeable of the mature market because she sees this market as a growing
opportunity. Name and describe the four segments of the mature market that have
been identified through gerontographics.
Page: 124-125 Difficulty: hard
Answer:
Healthy Indulgers --This segment is physically and mentally healthy, has the most in
common with the baby boomers than any other segment, and will increasingly be
composed of baby boomers as they age. Both spouses are generally still alive, and
they have prepared for retirement both financially and psychologically. They are
content and set to enjoy life and often sell their large family homes and move into
smaller dwellings. They like activities, convenience, personal service, and high-tech
home appliances and are a strong part of the market for cruises and group travel.
Ailing Outgoers--They have experienced health problems which limit their physical
abilities and frequently their financial capability. They are a key market for retirement
communities and assisted-living housing. They acknowledge their limits, maintain
positive self-esteem, and seek to get the most out of life. Independence and
socializing are important as is remaining stylish in their dress. Limited funds and
physical ability are issues. Value pricing and discounts are viewed positively as are
ease and convenience.
Healthy Hermits--These individuals retain their physical health, but life events (i.e.,
death of a spouse) have reduced their self-concept and have caused them to become
withdrawn. Many resent the isolation and the feeling that they are expected to act like
old people, and they do not want to stand out. They prefer clothing styles that are
popular with other seniors and will pay a premium for well-known brands. They tend
to stay in the homes in which they raised their families and are an important part of the
do-it-yourself market.
Frail Recluses--They have accepted their old-age status and have adjusted their
lifestyles to reflect reduced physical capabilities and social roles. They focus on
becoming spiritually stronger and tend to stay at home. They are a major market for
health care products, home exercise and health testing equipment, and emergency
response systems. Locational convenience is a critical factor for this group.
A German electronics manufacturer is expanding into the United States. This
company has commissioned your company, a marketing research firm, to explain the
various subcultures in this country. Explain the concept of subcultures, and briefly
describe the three main subcultures discussed in this chapter.
Page: 158 -187 Difficulty: moderate
Answer:
A subculture is a segment of a larger culture whose members share distinguishing
values and patterns of behavior. The unique values and patterns of behavior shared by
subculture group members are based on the social history of the group as well as on its
current situation. Ethnic groups are the most commonly described subcultures, but
religious and geographic regions are also the bases for strong subcultures in the United
States. An ethnic subculture is one whose members' unique shared behaviors are
based on a common racial, language, or national background. The major ethnic
subcultures in the United States include African Americans, Hispanics, Asian
Americans, Native Americans, Asian-Indian Americans, and Arab Americans. The
different religions in America prescribing differing values and behaviors constitute

several religious subcultures. The primary religious subcultures in the United States
include Christian subcultures (i.e., Roman Catholics, Protestants, and Born-Again
Christians) and non-Christian subcultures (i.e., Jewish, Muslim, and Buddhist).
Finally, distinct regional subcultures arise as a result of climatic conditions, the
natural environment and resources, the characteristics of the various immigrant groups
that have settled in each region, and significant social and political events. The four
U.S. census regions are Northeast, North Central, South, and West.
Target, the national retailer, is opening several new stores in predominantly Hispanic
communities. Explain how Target should modify its business to adequately serve the
needs of this market.
Page: 171-174 Difficulty: moderate
Answer:
The primary retailing responses to this market have been increasing the number of
bilingual salespeople; the use of Spanish language signs, directions, and point-ofpurchase
displays; and merchandise assortments that reflect the needs of the local
Hispanic community. Additionally, though, since Target also will be communicating
with these consumers through advertising, for example, store managers need to be
aware that Hispanics often speak Spanish and often prefer Spanish-language media.
Serious attempts to target Hispanics will often involve Spanish-language media as
well as mass media. There are several Spanish-language TV networks in the United
States as well as widespread Spanish language radio, magazines, and newspapers.
Successfully communicating to Hispanic consumers involves more than directly
translating ad copy from English to Spanish.
Monica is a new mother and reads several magazines and books to better understand
how her son will develop. One book she used explained Piaget's stages of cognitive
development. Based on these stages, explain what Monica can expect as her child
grows up.
Page: 216 Difficulty: moderate
Answer:
Piaget's stages of cognitive development are:
Stage 1: The period of sensorimotor intelligence (0 to 2 years). During this period,
Monica can expect her child's behavior to be primarily motor. The child does not yet
think conceptually, though cognitive development is seen.
Stage 2: The period of preoperational thoughts (3 to 7 years). Monica will notice
her child developing language and rapid conceptual development.
Stage 3: The period of concrete operations (8 to 11 years). During these years, the
child develops the ability to apply logical thought to concrete problems.
Stage 4: The period of formal operations (12 to 15 years). During this period,
Monica will see her child reach his greatest level of development, and he becomes
able to apply logic to all classes of problems.
You are a marketing manager and want to use the power of reference groups to
influence consumers. Reference group influence can take three forms. Name and
describe each, and explain how you could use each type of influence in an
advertisement.
Page: 235-236 Difficulty: moderate
Answer:
Reference group influence can take three forms: informational, normative, and

identification.
Informational influence occurs when an individual uses the behaviors and opinions
of reference group members as potentially useful bits of information. This influence is
based on either the similarity of the group's members to the individual or the expertise
of the influencing group member. An ad that depicts typical members of a group or an
expert explaining the benefits of a brand could provide relevant information to
consumers.
Normative influence, sometimes referred to as utilitarian influence, occurs when an
individual fulfills group expectations to gain a direct reward or to avoid a sanction.
This type of influence is strongest when individuals have strong ties to the group and
the product involved is socially conspicuous. Ads that promise social acceptance or
approval if a product is used (or nonacceptance or disapproval if it not used) are
relying on normative influence.
Identification influence, also called value-expressive influence, occurs when
individuals have internalized the group's values and norms. Advertisers need to
understand the values of their target audience so as to mirror those back in their
advertisements.
Apple recently came out with the video iPod, which allows users to download video
content from the Internet. Very soon after the introduction of this innovation,
television shows were made available for consumers to purchase or to obtain for free.
This has brought about a rather radical change in the way viewers consume television,
and some have predicted that this will create significant changes in the current
business model for television networks and program producers. Discuss five of the
many factors discussed in the chapter that will influence the spread of this innovation
Answer:
The rate at which an innovation is diffused is a function of the following 10 factors,
and students can discuss any five of them:
a. Type of group--some groups are more accepting of change than others. In
general, young, affluent, and highly educated groups accept change readily.
b. Type of decision--this refers to an individual versus a group decision. The fewer
the individuals involved in the purchase decision, the more rapidly an innovation
will spread.
c. Marketing effort--rate of diffusion is influenced by the extent of marketing
efforts involved, so the rate of diffusion is not completely beyond the control of
the firm.
d. Fulfillment of felt need--the more manifest or obvious the need that the
innovation satisfies, the faster the diffusion.
e. Compatibility--the more the purchase and use of the innovation are consistent
with the individual's and group's values or beliefs, the more rapid the diffusion.
f. Relative advantage--the better the innovation is perceived to meet the relevant
need compared to existing methods, the more rapid the diffusion.
g. Complexity--the more difficult the innovation is to understand and use, the slower
the diffusion.
h. Observability--the more easily consumers can observe the positive effects of
adopting the innovation, the more rapid its diffusion will be.
i. Trialability--the easier it is to have a low-cost or low-risk trial of the innovation,
the more rapid is its diffusion.

j. Perceived risk--the more risk associated with trying an innovation, the slower the
diffusion.
Your family owns an upscale jewelry store. Because you are a marketing major, your
father asked you to develop an advertisement for the store. You know that it is
important for consumers to pay attention to your ad or else the money you've spent on
media exposure is wasted. Define attention, discuss how five of the several stimulus
factors influence attention to a stimulus, and explain how you can use each in your
advertisement.
Page: 288-294 Difficulty: moderate
Answer:
Attention occurs when the stimulus activates one or more sensory receptor nerves,
and the resulting sensations go to the brain for processing. Attention requires
consumers to allocate limited mental resources toward the processing of incoming
stimuli. Several stimulus factors influence attention (students only have to discuss
five of them):
Size--larger stimuli are more likely to be noticed. For example, taking out a large ad
in a local newspaper is more likely to be noticed than a smaller ad.
Intensity (e.g., loudness, brightness, length) --can increase attention. For this type of
retail store, sparkling jewelry might attract viewers' attention.
Attractive Visuals--individuals tend to be attracted to pleasant stimuli and repelled by
unpleasant stimuli. Use of attractive people in an ad, especially for this product
category, can attract viewers' attention.
Color and Movement--both serve to attract attention, with brightly colored and
moving items being more noticeable. A color advertisement, especially in a
newspaper ad, is likely to catch attention. Of course, movement is possible with
television advertising.
Position--refers to the placement of an object in physical space or time. In print
contexts, ads on the right-hand page receive more attention, and high-impact zones
tend to be more toward the top and left of a printed ad. Vertical banner ads attract
more attention than do horizontal ones. Finally, in television, first appearing
commercials tend to be attended to more so than ones appearing later in a commercial
pod.
Isolation--separating a stimulus object from other objects tends to enhance attention to
the stimulus. In advertising, the use of white space is based on this principle.
Format--refers to the manner in which the message is presented, and simple,
straightforward presentations receive more attention than complex presentations.
Elements in an advertisement that increase the effort required to process the message
tend to decrease attention.
Contrast and Expectations--consumers pay more attention to stimuli that contrast
with their background than to stimuli that blend with it. Expectations drive our
perceptions of contrast.
Interestingness--factors that increase curiosity can increase interest and the attention
paid to the stimulus.
Information Quantity--represents the number of cues in the stimulus field.
Information overload occurs when consumers are confronted with so much
information that they cannot or will not attend to all of it.

Bryan is the brand manager for a brand of paper towels and knows that consumers'
involvement with this product is low. Name and briefly describe learning theories that
are appropriate for this situation, and provide an example of how Bryan can use each
to influence consumers to purchase his brand.
Page: 330-335 Difficulty: hard
Answer:
Classical conditioning and iconic rote learning tend to occur in low-involvement
situations. Vicarious learning/modeling is also common in this situation, although it is
also common in high-involvement situations.
Classical conditioning is the process of using an established relationship between one
stimulus (e.g., music, beautiful outdoor scene) and response (e.g., pleasant feelings) to
bring about the learning of the same response (e.g., pleasant feelings) to a different
stimulus (e.g., the brand). Bryan could pair a pleasant stimulus in advertising, such as
a sparkling clean kitchen, with the brand of paper towel, which could increase the
likelihood that consumers will like the brand.
Iconic Rote Learning involves learning a concept or the association between two or
more concepts in the absence of conditioning. That is, there is neither an
unconditioned stimulus (i.e., classical conditioning) nor a direct reward or
reinforcement (operant conditioning) involved. Numerous repetitions of a simple
message that occur as the consumer scans the environment may result in the essence
of the message being learned. Thus, Bryan could use mere repetition of ads to enable
consumers to learn about the characteristics or attributes of the brand.
In Vicarious Learning/Modeling, it is not necessary for consumers to directly
experience a reward or punishment to learn. Instead, they can observe the outcomes
of others' behaviors and adjust their own accordingly. A substantial amount of
learning occurs in low-involvement situations. Throughout the course of their lives,
people observe others using products and behaving in a great variety of situations, and
do not pay much attention most of the time. However, over time they learn that
certain behavior, and products, are appropriate in some situations and others are not.
Bryan needs ensure that uses of his brand are portrayed in advertisements.
Motivation Research, Inc. is a consumer research firm that specializes in motivation
research techniques. Name and describe the three broad categories of motivation
research techniques that this company most likely uses, and discuss an example of a
specific technique used in each.
Page: 374 Difficulty: moderate
Answer:
Motivation research techniques are described in Table 10-2 and can be broken down
into three broad categories: association techniques, completion techniques, and
construction techniques.
Association techniques include word association, successive word association, and
analysis and use.
Completion techniques include sentence completion, story completion, and analysis
and use.
Construction techniques include cartoon techniques, third-person techniques, picture
response, and analysis and use.

Tish owns a home decor store and has asked your assistance in helping her understand
shoppers' motives. You know that research has uncovered six hedonic shopping
motives related to McGuire's typology. Explain these to Tish, and discuss how she
can use them to enhance her business.
Page: 376 Difficulty: moderate
Answer:
The six hedonic shopping motives related to McGuire's typology are:
a. Adventure shopping--refers to shopping for fun and adventure and relates to the
need for stimulation. Tish could feature a unique assortment of merchandise that
is not found in chain stores.
b. Social shopping--refers to the enjoyment that comes from socializing and bonding
while shopping and relates to the need for affiliation. Tish could hold a sale or
event where someone accompanied by a friend or family member receives a
discount or special gift.
c. Gratification shopping--relates to shopping to reduce stress or as a self-reward
and relates to the tension reduction need. Tish can make the environment in her
store relaxing with soothing music, pleasant fragrances, etc.
d. Idea shopping--involves shopping to keep up with trends and fashions and relates
to categorization and objectification needs. Tish could hold decorating workshops
or feature invited speakers from decorating magazines to her store.
e. Role shopping--relates to the enjoyment that consumers feel from shopping for
others and relates to the identification motivation. Tish can offer gift ideas for that
special someone.
f. Value shopping--involves shopping for deals and relates to assertion needs. Tish
can inform her customers that she can obtain lower prices on furniture than
consumers would normally pay at retail.
A local Kia automobile dealership owner conducted some informal market research
and found that many consumers had negative attitudes toward this brand. Explain
what can be done to change the cognitive component of consumers' attitudes.
Page: 405-406 Difficulty: moderate
Answer:
Four basic marketing strategies are used for altering the cognitive structure of a
consumer' s attitude:
a. Change Beliefs--involves shifting beliefs about the performance of the brand on
one or more attributes. Attempts to change beliefs generally involve providing
facts or statements about performance.
b. Shift Importance--most consumers consider some product attributes to be more
important than others. Marketers often try to convince consumers that those
attributes on which their brands are relatively strong are the most important.
c. Add Beliefs--add new beliefs to the consumer's belief structure.
d. Change Ideal--change perceptions of the ideal brand or situation.
Harrison is very involved with any type of electronic product, such as televisions,
sound systems, cellular phones, and computers. According to the elaboration
likelihood model (ELM), explain how marketers of these types of products can
succeed in influencing Harrison.
Page: 409-410 Difficulty: moderate
Answer:
The ELM suggests that involvement is a key determinant of how information is

processed and attitudes changes. High involvement, which describes Harrison, results
in a central route to attitude change by which consumers deliberately and consciously
process those message elements that they believe are relevant to a meaningful and
logical evaluation of the brand. These elements are elaborated on and combined into
an overall evaluation. As a result, the ELM suggests that vastly different
communications strategies are required to communicate effectively with high- versus
low-involvement consumers. In general, detailed factual information (central cues) is
effective in high-involvement, central route situations (i.e., Harrison).
You are a marketing manager and want to measure the lifestyles of the various market
segments served by your company. Discuss typical variables you should include in
your studies.
Page: 442 Difficulty: moderate
Answer:
Psychographic or lifestyle studies typically include the following:
a. Attitudes--evaluative statements about other people, places, ideas, products, and
so forth.
b. Values--widely held beliefs about what is acceptable or desirable.
c. Activities and interests--nonoccupational behaviors to which consumers devote
time and effort, such as hobbies, sports, public service, and church.
d. Demographics--age, education, income, occupation, family structure, ethnic
background, gender, and geographic location.
e. Media patterns--the specific media the consumers utilize.
f. Usage rates--measurements of consumption within a specified product category;
often consumers are categorized as heavy, medium, light, or nonusers.
You've just started working at a company, and your supervisor wants to use the
PRIZM lifestyle segmentation scheme but is a bit confused because there are so many
segments (i.e., 66 individual segments). While it does seem like a lot to understand,
you are also aware that these segments are organized into broader social and lifestage
groups. Explain these broader groups.
Page: 451 Difficulty: moderate
Answer:
The broadest social groupings are based on urbanicity, which is determined by
population density, relates to where people live and is strongly related to the lifestyles
people lead. The four major social groups are:
a. Urban--major cities with high population density.
b. Suburban--moderately dense suburban areas surrounding metropolitan areas.
c. Second City--smaller, less densely populated cities or satellites to major cities.
d. Town & Country--low-density towns and rural communities.
The broadest lifestage groups are based on age and the presence of children. The three
major lifestage groups are:
a. Younger Years--singles and couples under 45 years of age with no children.
b. Family Life--middle aged (25-54) families with children.
c. Mature Years--singles and couples over 45 years of age.

Pablo is planning on opening a Mexican restaurant in the town where he lives. He is

considering how to design the physical environment of the restaurant. Discuss the
components of the physical surroundings that can influence consumption behavior and
make some recommendations to Pablo regarding each component.
Page: 490-491 Difficulty: moderate
Answer:
Four components of the physical environment were discussed in the text:
a. Colors--certain colors and color characteristics create feelings of excitement and
arousal which are related to attention. Bright colors are more arousing than dull
colors, and warm colors such as reds and yellows are more arousing that cool
colors such as blues and greys. The best colors to use depends on the type of store
or, in this case, restaurant. Cool colors tend to increase sales and customer
satisfaction and appear to reduce wait time perceptions by inducing feelings of
relaxation. Warm colors grab attention and can drive impulse purchases (e.g.,
ordering dessert in a restaurant).
b. Aromas--while there is increasing evidence that odors can affect consumer
shopping, it seems reasonable that they also affect consumption behavior in a
service environment such as a restaurant.
c. Music--music influences consumers' moods, which influence a variety of
consumption behaviors. One study found that slow tempo music resulted in an
increased gross margin, but that was true because of a greater amount of bar
purchases. If Pablo does not have a bar, he might want to consider faster tempo
music so he can have a quicker customer turnover.
d. Crowding--generally produces negative outcomes for both the retail outlet and the
consumer. While crowding may have a negative influence on Pablo's nonHispanic customers, this may not be a significant factor for Pablo's Hispanic
consumers.
Tim is looking for a give for his relatively new girlfriend that he likes a lot but is not
sure if she's the one. He's facing somewhat of a dilemma with this gift because he
doesn't want to send the wrong message to her, but he doesn't want to appear cheap,
either. Moreover, he's not sure how she really feels about him. Explain the types of
symbolic meaning the gift he selects might hold.
Page: 494 Difficulty: moderate
Answer:
Gifts communicate symbolic meaning on several levels. The gift item itself generally
has a known, or knowable, price that can be interpreted as a measure of the esteem the
giver has for the receiver. The image and functionality of the gift implies the giver's
impression of the image and personality of the receiver. It also reflects on the image
and thoughtfulness of the giver. Finally, the nature of a gift can signify the type of
relationship the giver has or desires with the receiver, or it can alter the relationship
between the giver and receiver.
Joan currently drives a Toyota automobile, and it's been a very reliable car. However,
she desires to own a BMW, but her finances cannot support such a purchase as she has
to pay her mortgage, utilities, and her son's college tuition. Explain the two factors
that affect one's desire to resolve a particular problem, and specify which one most
likely is influencing Joan's inaction to resolve this discrepancy between her actual
state and her desired state.
Page: 516-517 Difficulty: moderate

Answer:
The level of one's desire to resolve a particular problem depends on two factors: (a)
the magnitude of the discrepancy between the desired and actual states, and (b) the
relative importance of the problem. Joan has an automobile that works just fine, so the
magnitude of the discrepancy is not large enough to spur her to action. However, if
her car was damaged in an accident, then the magnitude of the discrepancy would
become much larger. To Joan, she has other, more important financial commitments
that preclude her from solving this problem. Compared to her other more important
problems, this one is perceived as relatively unimportant
Alex is a brand manager tasked with discovering consumer problems related to the
several products and brands his company manufactures. Name and describe three of
the several approaches discussed in the chapter that he could use to identify consumer
problems.
Page: 520-521 Difficulty: moderate
Answer:
There were five approaches discussed in the chapter, and students can discuss any
three:
a. Activity Analysis--focuses on a particular activity and attempts to determine what
problems consumers encounter during the performance of the activity.
b. Product Analysis--similar to activity analysis but examines the purchase or use of
a particular product or brand.
c. Problem Analysis--starts with a problem and asks respondents to indicate which
activities, products, or brands are associated with (or perhaps could eliminate)
those problems.
d. Human Factors Research--attempts to determine human capabilities in areas
such as vision, strength, response time, flexibility, and fatigue and the effect on
these capabilities of lighting, temperature, and sound.
e. Emotion Research--examines the emotions associated with certain problems.
Grant is the marketing manager for a consumer package goods manufacturer. He
realizes that consumers use nominal decision making when purchasing his products.
Explain how the marketing strategies and tactics he should use would differ if his
company's brand is in the consumers' evoked set compared to when it is not.
Page: 551-553 Difficulty: hard
Answer:
The two marketing strategies appropriate for consumers using nominal decision
making are maintenance strategy and disrupt strategy. Maintenance strategy is
appropriate if the brand is purchases habitually by the target market, and the
marketer's strategy is to maintain that behavior (i.e., brand is in evoked set). This
requires consistent attention to product quality, distribution (avoiding out-of-stock
situations), and a reinforcement advertising strategy. In addition, the marketer must
defend against the disruptive tactics of competitors. If the brand is not part of the
evoked set and the target market engages in nominal decision making, the marketer's
first task is to disrupt the existing decision patterns. This is a difficult task since the
consumer does not seek external information or even consider alternative brands
before a purchase. Low-involvement learning over time could generate a positive
product position for the marketer's brand, but this alone would be unlikely to shift
behavior. In the long run, a major product improvement accompanied by attentionattracting
advertising could shift the target market into a more extensive form of

decision making. In the short run, attention-attracting advertising aimed specifically at

breaking habitual decision making can be successful. Sales promotions, striking
package designs, and point-of-purchase displays may disrupt a habitual purchase
sequence. Comparative advertising is also often used for this purpose.
Amelia is a marketing researcher and conducts studies to determine which evaluative
criteria consumers use in a given purchase situation, their judgments of brand
performance on specific criteria, and the relative importance they place on evaluative
criteria. Explain how Amelia does this.
Page: 575-576 Difficulty: hard
Answer:
Determination of Which Evaluative Criteria Are Used. To determine which
criteria are used by consumers in a specific product decision, the marketing researcher
can utilize either direct or indirect methods of measurement. Direct methods include
asking consumers what criteria they use in a particular purchase or, in a focus group
setting, noting what consumers say about products and their attributes. Direct
measurement techniques assume that consumers can and will provide data on the
desired attributes. Indirect measurement techniques differ from direct in that they
assume consumers will not or cannot state their evaluative criteria. Hence, frequent
use is made of indirect methods such as projective techniques, which allow the
respondent to indicate the criteria someone else might use. Perceptual mapping is
another useful indirect technique for determining evaluative criteria.
Determination of Consumers' Judgments of Brand Performance on Specific
Evaluative Criteria. A variety of methods are available for measuring consumers'
judgments of brand performance on specific attributes. These include rank ordering
scales, semantic differential scales (most widely used), and Likert scales.
Determination of the Relative Importance of Evaluative Criteria. The importance
assigned to evaluative criteria can be measured either by direct or by indirect methods.
No matter which technique is used, the usage situation should be specified as attribute
importance varies with the situation. The constant sum scale is the most common
method of direct measurement, and the most popular indirect measurement approach
is conjoint analysis.
Think of a major purchase decision you (or your family) have made. Identify from the
decision rules discussed in the text the specific rule you used (or combination of
rules), define that rule, and describe how you used that rule to select the alternative
that you purchased. If you cannot think of a recent major purchase in your life,
explain the decision rule you would use to make a major purchase decision (e.g.,
purchasing a car, computer, home, etc.).
Page: 580-587 Difficulty: hard
Answer:
Consumers commonly use five decision rules, and students should use one (or a
combination) of these to answer this question (students' applications will vary):
a. Conjunctive--establishes minimum required performance standards for each
evaluative criterion and selects the first or all brands that meet or exceed these
minimum standards. Any brand falling below any of these minimum standards
(cutoff points) would be eliminated from further consideration.
b. Disjunctive--establishes a minimum level of performance for each important
attribute (often a fairly high level). All brands that meet or exceed the
performance level for any key attribute are considered acceptable.

c. Elimination-by-Aspects--requires the consumer to rank the evaluative criteria in

terms of their importance and to establish a cutoff point for each criterion. All
brands are first considered on the most important criterion. Those that do not meet
or exceed the cutoff point are dropped from consideration. If more than one brand
remains in the set after this first elimination phase, the process is repeated on those
brands for the second most important criterion. This continues until only one
brand remains.
d. Lexicographic--requires the consumer to rank the criteria in order of importance.
The consumer then selects the brand that performs best on the most important
attribute. If two or more brands tie on this attribute, they are evaluated on the
second most important attribute. This continues through the attributes until one
brand outperforms the others.
e. Compensatory--the brand that rates highest on the sum of the consumer's
judgments of the relevant evaluative criteria will be chosen, which is the same as
the multiattribute attitude model discussed in Chapter 11.
Stacy owns a retail store specializing in home decor products. She is considering
using price advertising but is not sure what all she needs to consider before doing so.
She knows you are a marketing major and has asked your advice. Discuss three
decisions she needs to consider when using price advertising.
Page: 612-613 Difficulty: hard
Answer:
Retailers face three decisions when they consider using price advertising:
a. How large a price discount should be used?
b. Should comparison or reference prices be used? Showing a comparison price
increases the perceived savings significantly. However, the strength of the
perception varies with the manner in which the comparison or reference price is
presented. Most consumers understand external reference prices (i.e., those
presented by the marketer) and are influenced by them but do not completely
believe them because of the perception that retailers inflate reference prices.
c. What verbal statements should accompany the price information? The best
approach for retailers seems to be to present the sale price and either the dollar
amount saved if it is large, the percentage saved when it is large, or both if both are
large. The regular price could be shown in any of these conditions. Such words or
phrases as now only, compare at, or special appear to enhance the perceived
value of a sale. However, this varies by situation, initial price level and discount
size, consumer group, and retail outlet.

Jacqueline went to Walgreens to purchase some cold medicine, but the brand she
wanted was not on the shelf. There was an empty space on the shelf where it should
have been. Explain the variable that most likely will influence Jacqueline's brand
decision right now and the impact of this situation.
Page: 623-624 Difficulty: moderate
Answer:
This is an example of a stockout, which means the store being temporarily out of a
particular brand. Jacqueline must now decide whether to buy the same brand but at
another store, switch brands, delay the purchase and buy the desired brand later at the
same store, or forgo the purchase altogether. In addition, her verbal behavior and
attitude may change. With respect to verbal behavior, she may make negative
comments to peers about the original store and/or positive comments to peers about
the substitute store and/or brand or product. With respect to attitude, she may develop
a less favorable attitude toward Walgreens and/or a more favorable attitude toward the
substitute store and/or brand or product. Three types of perceived costs affect the
likely response of a consumer to a stockout. Substitution costs refer to the reduction in
satisfaction a consumer believes a replacement size, brand, or product will provide.
This is a function of the consumer's commitment or loyalty to the preferred brand and
the perceived similarity of potential substitutes. Transaction costs refer to the mental,
physical, time, and financial costs of purchasing a substitute product or brand.
Opportunity costs are the reduction in satisfaction associated with forgoing or
reducing consumption of the product. How these costs will be perceived and thus
which of the outcomes will occur depends on the particular consumer, product, and
situation.
Bob and Stephanie purchased a new high definition television, and they spend over
$3,000. After they got it home, Stephanie started feeling anxious about this purchase
and wondered if they should have shopped a little more and become more informed
about these types of TVs and looked at a few more alternatives than just the ones they
did before purchasing this one. Stephanie is experiencing postpurchase dissonance.
Explain what she can do to reduce it.
Page: 639-640 Difficulty: moderate
Answer:
After the purchase is made, the consumer may utilize one or more of the following
approaches to reduce dissonance:
a. Increase the desirability of the brand purchased.
b. Decrease the desirability of rejected alternatives.
c. Decrease the importance of the decision.
d. Reverse the purchase decision (return the product before use).