Assignment

No. 3

Submitted by:
Gelaiza S. Ybanez
I-AE
 1. Defined Consumer buying
behavior?
•It is a sum total of a consumer’s attitudes,
preferences, intentions, and decisions
regarding the consumer’s behavior in the
marketplace when purchasing a product or
service.

•Consumer behavior can be broadly classified

as the decisions and actions that influence the
purchasing behavior of a consumer.

2. Mention the importance of consumer

buying behavior;
Design product policies
Identify the effect of price on buying
Exploit the market opportunities
Design the marketing mix
Implement the STP (Segmentation,
Targeting and Positioning) strategies
 Helps in understanding diversified
preferences
Understanding the various roles
played by the consumer
Results in consumer satisfaction.

3. What are the types of consumer buying

behavior? Briefly explain

Routinized response behaviour- in this

behaviour, consumers have experienced with
the product. With such experience, consumers
have already set criteria for which they are
likely to weigh the brands they are
considering.

Limited problem solving- is a type of consumer

problem-solving process they purchase
products occasionally or need more
information about unfamiliar brands in a
familiar product category. It necessitates a
reasonable amount of time for information
gathering and deliberation.

 Extended problem solving- in this type of

consumer problem solving process, they
usually wants to understand the products
features and other benefits before evaluating
alternatives. This process involves a lengthy
external searches and high-involvement of
purchase decisions.

Impulse buying- behaviour which consumer

buys the product suddenly without any
preparations.

4. Differentiate the major types of influences on

the consumer Decision-making Process;

Situational Influences – these pertains to

consumer level of involvement in a buying task
and the market offerings that are available.

Personal Influences – these are personal

characteristics of the consumers like
demographics (age, gender, income level,
educational attainment, marital status, etc.), life
stage (the momentous life events and situations
people are experiencing in any given moment),
life style and personality.

 Psychological Influences – psychology of

individual consumers consider the products
or services based on their own culture, attitude,
earlier knowledge and personal perception.

Social Influences are factors that influence

individual buying behaviour based on what
is customary and established in a society
where consumer lives in.

5. What are types of business purchases?

•Straight rebuy – buyers buy similar

products in equal quantities from similar
seller

•Modified rebuy- occurs when there are

changes in the purchase order.

•New task- buyers buy for the first time

6. Explain the business buying decision

processes.

Step 1: Recognize the Problem

Machine malfunction, firm introduces or
modifies a product, etc.

Step 2: Develop product specifications to solve

the problem

Buying center participants assess problem and

need to determine what
is necessary to

resolve/satisfy it

Step 3: Search for and evaluate possible products and

suppliers

look in company files and trade

directories, contact
suppliers for information, solicit proposals from
known vendors, examine websites, catalogs, and trade
publications
conduct a value analysis - an evaluation of each
component of a potential purchase; examine quality,
design, materials, item reduction/deletion to save
costs, etc.
 Step 4: Select product and supplier and
order product
An organization can decide to use one supplier, called
sole sourcing. This is often discouraged unless only
one supplier exists for the product; however it is
fairly common because of the improved
communication and stability between buyer and
supplier.

Step 5: Evaluate Product and supplier performance

Compare products with specs

Results become feedback for other stages in future
business purchasing decisions

7. What the methods in business

buying?

Buying by inspection
Buying by sample
Buying by specification
Negotiated Contract


8. What are the steps in Business

decision process?

Step 1. Need Recognition

Step 2. Search for Information
Step 3. Evaluate Option
Step 4. Purchase
Step 5. After-Purchase Evaluation

Submitted by:
Gelaiza S. Ybanez
I-AE