A, Theoretical topics

1. Compare and contrast drive theory and expectancy theory? Provide an example for
each of the concept? (Motivation and effect)
Drive theory(thuyết động lực) focuses on biological needs that produce unpleasant
states of arousal (e.g., your stomach grumbles during a morning class). The arousal this
tension causes motivates us to reduce it and return to a balanced state called homeostasis
(cân bằng nội môi)

Expectancy theory suggests that expectations of achieving desirable outcomes—

positive incentives—rather than being pushed from within motivate our behavior. We
choose one product over another because we expect this choice to have more positive
consequences for us. Thus, we use the term drive here loosely to refer to both physical
and cognitive processes.

2. Define the self-concept and explain how the concept of self-esteem is applied in
advertising? The self
The self-concept summarizes the beliefs a person holds about his or her own
attributes and how he or she evaluates the self on these qualities. Although your
overall self-concept may be positive, there certainly are parts of it you evaluate more
positively than others.

How do marketers influence self-esteem? Exposure to ads such as the ones

Lisa checked out can trigger a process of social comparison, in which the person
tries to evaluate her appearance by comparing it to the people depicted in these
artificial images. This is a basic human tendency, and many marketers tap into
our need for benchmarks when they supply idealized images of happy, attractive
people who just happen to use their products. An ad campaign for Clearasil is a good
example. In one typical ad, two teenage boys enter a kitchen where a 40-ish mother is
mixing something in a bowl. When her son leaves the room, his friend hits on Mom.
The ad’s tagline: “Clearasil may cause confidence.”

3. Discuss the concept of conformity. Then describe the five types of social
influence that affect the likelihood of conformity. (group influence and social media)
Conformity is a change in beliefs or actions as a reaction to real or imagined
group pressure. For a society to function, its members develop norms or informal
rules that govern behavior. Without these rules, we would have chaos. Imagine
the confusion if a simple norm such as “always stop for a red traffic light” did
not exist.
Cultural pressures—Different cultures encourage conformity to a greater
or lesser degree. Americans like to say, “the squeaky wheel gets the grease,”
whereas in Japan a popular expression is “the nail that stands up gets hammered
down.
 Fear of deviance—The individual may have reason to believe that the group will
apply sanctions to punish nonconforming behaviors. It’s not unusual to observe
adolescents who shun a peer who is “different” or a corporation or university that
passes over a person for promotion because he or she is not a “team player.”
Commitment—The more people are dedicated to a group and value their
membership in it, the greater their motivation to conform to the group’s wishes.
Rock groupies and followers of TV evangelists may do anything their idols
ask of them, and terrorists become martyrs for their cause
Group unanimity, size, and expertise—As groups gain in power, compliance
increases. It is often harder to resist the demands of a large number of people
than only a few, especially when a “mob mentality” rules.
Susceptibility to interpersonal influence—This trait refers to an individual’s
need to have others think highly of him or her.
Environmental cues—One study reported that people are more likely to conform
when they make decisions in a warm room. Apparently the warmth caused
participants to feel closer to other decision makers and this feeling led them to
assume the others’ opinions were more valid. In one part of the study the researchers
analyzed betting behavior at a racetrack over a three-year period. Sure enough,
people were more likely to bet on the “favorite” horse on warmer days.

4. Discuss the differences between the absolute threshold and the differential threshold.
Describe how marketers can apply their knowledge of differential threshold to
packaging, pricing, and promotional claims during periods of rising cost of raw
materials. (Perception)
Absolute threshold refers to the minimum amount of stimulation a person can detect
on a given sensory channel. The sound a dog whistle emits is at too high a frequency
for human ears to pick up, so this stimulus is beyond our auditory absolute threshold.
The absolute threshold is an important consideration when we design marketing
stimuli. A highway billboard might have the most entertaining copy ever written, but
this genius is wasted if the print is too small for passing motorists to see it.
The differential threshold refers to the ability of a sensory system to detect changes
in or differences between two stimuli. The minimum difference we can detect
between two stimuli is the just noticeable difference

In other situations, the marketer may want to downplay the fact that it has made a
change, such as when a store raises a price or a manufacturer reduces the size of a
package. When a brand tries to modernize its logo, it has to walk a fine line because
consumers tend to get tired of old-fashioned designs but they still want to be able to
identify the familiar product. A consumer’s ability to detect a difference between
two stimuli is relative. A whispered conversation that might be unintelligible on a
noisy street can suddenly become public and embarrassingly loud in a quiet library.
It is the relative difference between the decibel level of the conversation and its
surroundings, rather than the absolute loudness of the conversation itself, that
determines whether the stimulus will register
5. Explain the difference between compensatory and non-compensatory decision
rules? Give an example of each decision rule that you have used in making a recent
purchase. (Decision Making)
A compensatory rule: Under conditions of high cognitive involvement, people tend to
think carefully about the pros and cons of various options, almost like a computer that
would follow a somewhat complicated formula to make a decision. It allows a product
to make up for its shortcomings on one dimension by excelling on another. There are
two basic types of compensatory rules:
The simple additive rule leads to the option that has the largest number of positive
attributes. A person may use this process when it’s difficult to get more information. It’s
not the best solution because some of the attributes may not be meaningful to the
customer. Thus, we may be impressed by a brand that boasts a laundry list of features
even though most of them are not determinant attributes.
A weighted additive rule allows the consumer to take into account the relative
importance of the attributes by weighting each one. If this sounds familiar, it should:
The calculation process strongly resembled the multiattribute attitude model.
A noncompensatory rule: When we make habitual or emotional decisions.This means
that if an option doesn’t suit us on one dimension, we just reject it out of hand and move
on to something else rather than think about how it might meet our needs in other ways:
“I’ve never heard of that brand,” or maybe “That color is gross.”
• The lexicographic rule says, “select the brand that is the best on the most important
attribute.” If a decision maker feels that two or more brands are equally good on that
attribute, he or she then compares them on the second-most important attribute. This
selection process goes on until the tie is broken. In Richard’s case, because both the
Prime Wave and Precision models were tied on his most important attribute (a 60-inch
screen), he chose the Precision because of its rating on his second-most important
attribute: its stereo capability.
• The elimination-by-aspects rule is similar to the lexicographic rule because the
buyer also evaluates brands on the most important attribute. In this case, though, he or
she imposes specific cut-offs. For example, if Richard had been more interested in
having a sleep timer on his TV (i.e., if it had a higher importance ranking), he might
have stipulated that his choice “must have a sleep timer.” Because the Prime Wave
model had one and the Precision did not, he would have chosen the Prime Wave.
The conjunctive rule: Whereas the two former rules involve processing by attribute,
entails processing by brand. As with the elimination-by-aspects procedure, the decision
maker establishes cut-offs for each attribute. He chooses a brand if it meets all the
cutoffs, but rejects a brand that fails to meet any one cut-off. If none of the brands meet
all the cutoffs, he may delay the choice, change the decision rule, or modify the cutoffs
he chooses to apply.

6. Explain three types of motivational conflicts, describe how marketers can apply
their knowledge of motivational conflicts to affect consumer behavior.
Consumers experience different kinds of motivational conflicts that can impact their
purchase decisions. For example we might be conflicted if we’re torn between buying
something that serves a useful purpose versus something that’s just “for fun” (kind of
like
getting a package of tube socks versus a Vans snapback hat for your birthday).
Indeed a recent study found that promotions such as price discounts, rebates,
coupons, and loyalty rewards exert a bigger impact on hedonic versus utilitarian
purchases. Apparently it’s more difficult to justify an hedonic purchase, so these
promotions provide a way to reduce the guilt that comes from buying them
A person has an approach–approach conflict when he or she must choose between
two desirable alternatives. A student might be torn between going home for the
holidays and going on a skiing trip with friends. Or, he or she might have to choose
between going to listen to two bands that are playing at different clubs on the
opposite sides of town.
Many of the products and services we desire have negative consequences attached
to them as well as positive ones. We may feel guilty or ostentatious when we buy a
luxury product such as a fur coat or we might feel like gluttons when we crave a
tempting package of Twinkies. An approach–avoidance conflict occurs when we
desire a goal but wish to avoid it at the same time.
Sometimes we find ourselves caught “between a rock and a hard place.” We may
face a choice with two undesirable alternatives: for instance, the option of either
spending more money on an old car or buying a new one. Don’t you hate when that
happens? Marketers frequently address an avoidance–avoidance conflict with
messages that stress the unforeseen benefits of choosing one option (e.g., when they
emphasize special credit plans to ease the pain of car payments)

7. Give the definition of perceived risks and name five perceived risks, indicate the
kinds of consumers most vulnerable to each risk, and indicate the types of purchases
most sensitive to each.

As a rule, product decisions are likely to be highly involving if the consumer

believes there is a lot of perceived risk. This means the person believes there may be
negative consequences if he or she chooses the wrong option. Risk is greater when a
product is expensive or complicated.
8. How do consumers reduce postpurchase dissonance after they purchase a relatively
expensive product? How can marketers provide positive reinforcement to consumers
after the purchase in order to enhance the customer satisfaction?

If you’re not happy with a product or service, what can you do about it? You have
three possible courses of action (though sometimes you can take more than one):15
1 Voice response—You can appeal directly to the retailer for redress (e.g., a refund).
2 Private response—You can express your dissatisfaction to friends and boycott
the product or the store where you bought it.
3 Third-party response—Like the pantsless judge, you can take legal action
against the merchant, register a complaint with the Better Business Bureau, or
write a letter to the newspaper. These comments can be effective, especially
when others join in. Cover Girl ran an advertising campaign targeted at female
football fans that depicted a model wearing a Baltimore Ravens jersey with the
tagline, “Get Your Game Face On.” At about the same time, a prominent Ravens
 player made headlines in a series of allegations about NFL players who physically
abused their wives and girlfriends. Protestors went online and altered the ad to
make it look like the model had a black eye.16 When enough people band together
to express negative marketplace sentiments through activist organizations such
as Greenpeace or in social media mass protests such as the one Cover Girl ran
into, dramatic changes can result.

They get the chance to correct the situation.

2 They will avoid an escalating problem that results when consumers take to social
media to let others know they’ve been treated badly. People are more likely to
spread the word about unresolved negative experiences to their friends than they
are to boast about positive occurrences.
3 They collect valuable insights about customers’ experiences that will (hopefully)
help them to improve for future customers.
4 If consumers do not believe that the store will respond to their complaint, they
will be more likely to simply switch than fight as they just take their business
elsewhere

9. How many elements of Biases in Decision-Making Process? Describe each element

in the process?
Mental accounting: framing a problem in terms of gains/losses influences our
decisions
Sunk-cost fallacy: We are reluctant to waste something we have paid for
Loss aversion: We emphasize losses more than gains
Prospect theory: risk differs when we face gains versus losses
Hạch toán tinh thần: định hình một vấn đề về lãi / lỗ ảnh hưởng đến quyết định của
chúng ta
Ngụy biện chi phí thấp: Chúng ta không muốn lãng phí thứ mà chúng ta đã trả tiền
cho
Không thích mất mát: Chúng tôi nhấn mạnh lỗ nhiều hơn lãi
Lý thuyết triển vọng: rủi ro khác nhau khi chúng ta đối mặt với lợi nhuận và thua lỗ

10. How many Stages in the Consumption Process? List each step in the process?

11. List and define the five stages of the consumer decision-making process with
example.
12. List three separate motivations for shopping, and give an example of each.

Social experiences: The shopping center or department store has replaced the
traditional town square or county fair as a community gathering place.
Sharing of common interests: Stores frequently offer specialized goods that allow
people with shared interests to communicate.
Interpersonal attraction: Shopping centers are a natural place to congregate. The
shopping mall has become a central "hangout" for teenagers.
 Instant status: As every salesperson knows, some people savor the experience of
being waited on, even though they may not necessarily buy anything.
The thrill of the hunt: Some people pride themselves on being able to find the best
bargains.
13. Use cultural ideas about food and eating as examples to explain the differences
between the three types of crescive norms discussed in the book.
A custom is a norm that controls basic behaviors, such as division of labor in a
household or how we practice particular ceremonies.
• A more (“mor-ay”) is a custom with a strong moral overtone. It often involves a
taboo, or forbidden behavior, such as incest or cannibalism. Violation of a more
often meets with strong sanctions. In Islamic countries such as Saudi Arabia,
people consider it sacrilege to display underwear on store mannequins or to feature
a woman’s body in advertising, so retailers have to tread lightly; one lingerie store
designed special headless and legless mannequins with only the slightest hint of
curves to display its products.95
• A convention is a norm that regulates how we conduct our everyday lives. These
rules often deal with the subtleties of consumer behavior, including the “correct”
way to furnish your house, wear your clothes, or host a dinner party. The Chinese
government tried to change citizens’ conventions when the country geared up
for the Olympics in Beijing: Local habits were at odds with what planners knew

14. What is “retail theming” strategy? List four types of retail theming techniques? Why
is this strategy important to retail stores as well as services providers?

The quest to entertain means that many stores go all out to create imaginative
environments that transport shoppers to fantasy worlds or provide other kinds of
stimulation. We call this strategy retail theming. Innovative merchants today use
four basic kinds of theming techniques:
1 Landscape themes rely on associations with images of nature, Earth, animals,
and the physical body. Bass Pro Shops, for example, creates a simulated outdoor
environment, including pools stocked with fish.
2 Marketscape themes build on associations with manufactured places. An
example is The Venetian hotel in Las Vegas, which lavishly recreates parts of the
real Italian city.
3 Cyberspace themes build on images of information and communications
technology. eBay’s retail interface instills a sense of community among its vendors
and traders.
4 Mindscape themes draw on abstract ideas and concepts, introspection and
fantasy, and often possess spiritual overtones. The Kiva day spa in downtown
Chicago offers health treatments based on a theme of American Indian healing
ceremonies and religious practices.
15. What is subculture? Give examples of at least four subcultures which you belong to
and explain how each subculture affect your consumption behavior.