1. What are the factors influencing consumer behavior?

1. Psychological Factors
Motivation
Perception
Learning
Attitudes and Beliefs
2. Social Factors
Family
Reference Groups
Roles and status
3. Cultural factors
Culture
Subculture
Social Class
4. Personal Factors
Age
Income
Occupation
Lifestyle
5. Economic Factors
Country Economic Situation
Personal Income:
Family Income:
Income Expectations:
Savings

2. What are the groups which benefit from consumer research findings?
- Business organization
- Lawmakers
- Consumer associations
- Academicians
- Consumers
3. Do you know someone who is addicted to social media? In what way?
4. What are the effects of Cultural Factors on Consumer Behaviour?
Cultural factors
A group of people is associated with a set of values and ideologies that belong to a particular
community. When a person comes from a particular community, his/her behavior is highly
influenced by the culture relating to that particular community. Some of the cultural factors
are:
We all have our values and ideologies that are shaped by the values and ideologies of the
society we exist in and the community we belong to. Our behavior is consciously or
subconsciously driven by the culture followed by that particular community.
For instance, let’s take the example of McDonald's India
India has a massive consumer base with McDonald’s has adjusted its menu to match the tastes
and preferences of the local community in whose vicinity it resides. For instance, on account of
cows being sacred and widely worshipped in India, chicken has been put in place of beef. The
fast-food corporation introduced McCurry Pan in India, a baked menu item consisting of curried
vegetables.
A few significant cultural factors include :

Culture
Our cultural factors are basically basic requirements, values, wants behaviors, and preferences
that are observed and absorbed by us from our close family members as well as other
significant people around us.

Subculture
Amongst a cultural group, we have several subcultures. These groups share a common set of
values and beliefs. They can consist of people from varied nationalities, religions, caste, and
geographies. An entire customer segment is formed by this customer segment.

Social Class
Each society all over the globe is defined and known by some form of social class. This social
class is determined collectively by our family backgrounds, occupation, education, and
residence location. Our social class is another component holding the reins for consumer
behavior.

5. Why do some marketers believe in the concept of relationship marketing?

Acquiring new customers can be challenging and costly. Relationship marketing helps retain
customers over the long term, which results in customer loyalty rather than customers
purchase once or infrequently.
Relationship marketing is important for its ability to stay in close contact with customers. By
understanding how customers use a brand’s products and services and observing additional
unmet needs, brands can create new features and offerings to meet those needs, further
strengthening the relationship.
6. What are the relationships between motivation and consumer needs and wants? Give
an example?
7. Briefly explain consumer gifting behavior
Gifting behavior has been defined as ‘the process of gift change that takes place between a
giver and a recipient.’(Kanuk, 2004, p571)

In daily life, giving people gifts is one of the most wonderful traditions, as it shows generosity
and caring. However, how to select a right gift to the right person which is a normal question
for every buyer.
For gift giving, there are two critical things we should know, that are what you want to buy and
who do you want to send.

There are four main functions of gift giving:

mark important life events. (holidays, birthdays, weddings etc.)
establish and maintain interpersonal relationships. (buy a gift for your customer)
create a medium of economic exchange.
socialize children into the customs of society.
(Belk, 1979, pp95-126)

In business, maintain relationship with the customer is very important. Management Innovation
(2010) pointed out that relationship marketing impacts consumer’s decisions and their
consumption satisfaction. Firms establish loyalty programs to foster usage loyalty and a
commitment to continued usage of their products and services. Relationship marketing is all
about building trust between the firm and its customers and keeping promises made to the
customers. Therefore the focus is always on developing long term bonds with customers by
making them feeL special and by providing them with personalized services.