1.

Discuss the connection between consumer behavior and marketing

Understanding the connection between consumer behavior and marketing is crucial for the
success of any business:
● Most of the marketing strategies and tactics are based on explicit or implicit beliefs
about consumer behavior:
Consumer behavior insights are generated based on a brand’s marketing strategy.
Brands rely strongly on studying, analyzing, and incorporating consumer behavior
into their marketing strategies.
To build a relationship with the consumers through the channels of marketing
communication, the marketer has to decide which method would be most suitable to
effectively reach the consumers. Therefore, the company has to know its target
consumers, their location, their preferences, lifestyles,...
● Support the decision making by understanding how consumers decide.
Marketing strategies can easily use consumer behavior insights and data to
understand the expectations that consumers have, their preferences, and what helps a
company retain a consumer. Knowledge of consumer behavior can be an important
competitive advantage when formulating marketing strategies. It can greatly reduce
the odds of bad decisions and market failures. Consumer behavior helps in identifying
the unfulfilled needs and wants of consumers, which enables the marketer to design
products or services as per the requirements.
Decisions based on explicit assumptions and on sound theory and research are
more likely to be successful than are decisions based solely on hunches or intuition.
Thus, knowledge of consumer behavior can be an important competitive advantage. It
can greatly reduce the odds of making bad decisions and creating market failures.
● Enhancing the marketing effort by applying ethical tactics based on the information
collected
Companies use marketing concepts to promote and sell their products or
services, and consumer behavior is how consumers act and respond in the retail
environment. In order for a company to create a strong marketing campaign, it is
important to understand how and to what the consumer will respond. Understanding
consumer behavior is critical for marketing any product or service successfully. Once
the unfulfilled needs and wants are identified, the marketer has to determine the
precise mix of four P: Product, Price, Place, and Promotion. When a company can
understand why people buy what they buy and the reasons behind their decisions as
consumers, the company can create a marketing campaign that specifically addresses
those elements of the purchasing decision.

2. What is social marketing and how it can change behavior?

Social marketing is the application of marketing strategies and tactics to alter or create
behaviors that have a positive effect on the targeted individuals or society as a whole. The
primary goal is to encourage behavioral change in a way that improves public welfare,
whether it's enhancing health, promoting safety, or fostering environmental sustainability.
Social marketing has been used in an effort to lower smoking rates, raise the
proportion of children immunized on time, promote environmentally friendly practices like
recycling, lower the risk of HIV/AIDS, increase support for charities, lower drug use, and
support a host of other vital causes.
Social marketing has changed customer behavior in several ways:
● Behavior Promotion: Social marketing campaigns focus on promoting positive
behaviors among customers. They aim to encourage individuals to adopt behaviors
that are beneficial for their own well-being and the well-being of society. For
example, campaigns may promote behaviors such as regular exercise, healthy eating,
responsible drinking, or recycling. By highlighting the benefits and providing
incentives, social marketing can influence customers to engage in these desired
behaviors.
● Behavior Modification: Social marketing aims to modify the existing behaviors of
customers. It seeks to change negative or harmful behaviors into positive ones. This
can be achieved through various strategies, such as providing information, raising
awareness, offering rewards or incentives, or utilizing social norms. For example, a
social marketing campaign could inform consumers about the risks associated with
smoking and motivate them to cut back or give it up. Social media marketing can
assist clients in changing their behavior for the better by offering substitute solutions
and encouragement.
● Behavior Creation: Social marketing seeks to not only change current behaviors but
also to establish new ones that are advantageous to both people and society as a
whole. It involves introducing and promoting behaviors that may not have been
widely practiced before. For example, social marketing campaigns may promote
behaviors like carpooling, using public transportation, or adopting energy-saving
practices. By leveraging the advantages and making these new behaviors socially
desirable, social marketing encourages customers to embrace them.
● Education and Awareness:
Social marketing plays a crucial role in educating customers and raising
awareness about important issues. Social media marketing can affect consumer
behavior by spreading knowledge and raising awareness. It helps customers
understand the impact of their actions and encourages them to make more informed
choices. Public health social marketing campaigns, for example, can inform
consumers about the value of vaccinations or safe sexual practices, resulting in
behavioral changes that enhance both public and individual health.
● Community Engagement: Social marketing recognizes the influence of community
and social networks on behavior. It often involves engaging communities,
organizations, influencers, and opinion leaders to promote and support desired
behaviors. Social marketing has the power to significantly alter consumer behavior by
fostering a feeling of community and utilizing social norms. For example, campaigns
may involve community events, peer support, or testimonials to encourage behavior
change.
=> Overall, social marketing has changed consumer behavior by promoting, modifying, or
creating behaviors that have a positive impact on individuals and society.

3. Criticizing the marketing strategies and consumer behavior

This diagram shows that the foundation for developing a marketing strategy is knowledge of
consumer behavior. Consumers’ reactions to the marketing strategy determine the
organization’s success or failure. However, these reactions also determine the success of the
consumers in meeting their needs, and they have significant impacts on the larger society in
which they occur. In depth, the applications of consumer behavior focus on the development,
regulation, or effects of marketing strategy.
Firstly, to survive in a competitive environment, an organization must provide its
target customers with more value than is provided to them by its competitors. Customer value
is the difference between all the benefits derived from a total product and all the costs of
acquiring those benefits. benefits. A firm must consider value from the customer’s
perspective.
Providing superior customer value requires the organization to do a better job of
anticipating and reacting to customer needs than the competition does. This is the essence of
a good marketing strategy. An understanding of consumer behavior is the basis for marketing
strategy formulation. Consumers’ reactions to the marketing strategy determine the
organization’s success or failure. However, these reactions also determine the success of the
consumers in meeting their needs, and they have significant impacts on the larger society in
which they occur.
 Marketing strategy begins with an analysis of the market the organization is
considering. This requires a detailed analysis of the organization’s capabilities, the strengths
and weaknesses of competitors, the economic and technological forces affecting the market,
and the current and potential customers in the market. On the
basis of the consumer analysis undertaken in this step, the organization identifies groups of
individuals, households, or firms with similar needs.
These market segments are described in terms of demographics, media preferences,
geographic location, and so forth. Management then selects one or more of these segments as
target markets on the basis of the firm’s capabilities relative to those of its competition (given
current and forecast economic and technological conditions).
Next, marketing strategy is formulated. Marketing strategy seeks to provide the
customer with more value than the competition while still producing a profit for the firm.
Marketing strategy is formulated in terms of the marketing mix; that is, it involves
determining the product features, price, communications, distribution, and services that will
provide customers with superior value. This entire set of characteristics is often referred to as
the total product. The total product is presented to the target market, which is consistently
engaged in processing information and making decisions designed to maintain or enhance its
lifestyle (individuals and households) or performance (businesses and other organizations).
Besides, today, many firms are wrapping experiences around their traditional products
and services in order to sell them better. An “experience” occurs when a company
intentionally creates a memorable event for customers. While products and services are to a
large extent external to the customer, an experience is largely internal to each customer. The
experience exists in the mind of an individual who has been engaged on an emotional,
physical, intellectual, or even spiritual level.
Next, the consumer decision process intervenes between the marketing strategy (as
implemented in the marketing mix) and the outcomes. That is, the outcome of the firm’s
marketing strategy are determined by its interaction with the consumer decision process. The
firm can succeed only if consumers see a need that its product can solve, become aware of the
product and its capabilities, decide that it is the best available solution, proceed to buy it, and
become satisfied with the results of the purchase.
Regarding the outcome, for the firm, the reaction of the target market to the total
product produces an image of the product or brand or organization; sales (or lack thereof);
and some level of customer satisfaction among those who did purchase. Sophisticated
marketers seek to produce satisfied customers rather than mere sales—because satisfied
customers are more profitable in the long run. For the individual, the process results in some
level of need satisfaction, financial expenditure, attitude development or change, and/or
behavioral changes. For society, the cumulative effect of
the marketing process affects economic growth, pollution, social problems (e.g., illnesses
caused by smoking and alcohol), and social benefits (e.g., improved nutrition, increased
education). Since individual and societal impacts may
or may not be in the best interests of the individual or society, the development and
application of consumer behavior knowledge has many ethical implications.
 Note again that an analysis of consumers is a key part of the foundation of marketing
strategy, and consumer reaction to the total product determines the success or failure of the
strategy.

4. Based on the satisfied customers model, criticize the process that can achieve the
customer satisfaction

As this diagram indicates, convincing consumers that your brand offers superior value is
necessary in order to make the initial sale. Obviously, one must have a thorough
understanding of the potential consumers’ needs and of their information acquisition
processes to succeed at this task. However, creating satisfied customers, and thus future sales,
requires that customers continue to believe that your brand meets their needs and offers
superior value after they have used it. Marketers must deliver as much or more value than
your customers initially expected, and it must be enough to satisfy their needs. Doing so
requires an even greater understanding of consumer behavior.
Here's an analysis of each step within this model:
1. Total Product (Our product + Competitors' products)
Understanding the Market: Assessing not only your own product offerings but also those of
competitors provides a comprehensive understanding of the market landscape.
Identifying Competitive Advantages: Analyzing competitor products helps identify areas
where your offerings can excel or differentiate themselves.
2. Consumer Decision Process
Understanding Customer Behavior: Delve into the consumer decision-making journey,
including problem recognition, information search, evaluation of alternatives, purchase, use,
and post-purchase evaluation.
Aligning Offerings: Tailor your products or services to align with each stage of the consumer
decision process, addressing concerns or needs at each step.
3. Superior Value Expected
Value Proposition Development: Develop a value proposition that exceeds customer
expectations and offers a superior solution to their needs.
Highlighting Unique Value: Emphasize unique selling points or benefits that differentiate
your offering from competitors, aiming to deliver superior value.
4. Sales
Effective Sales Strategies: Utilize effective sales techniques to convert consumer interest into
purchases.
Customer Education: Educate customers on the value and benefits of your offerings to
facilitate their decision-making process.
5. Perceived Value Delivered
Quality and Consistency: Ensure the delivered product or service aligns with the promised
value and quality.
Meeting Expectations: Strive to meet or exceed the expectations set during the sales process.
6. Customer Satisfaction
Feedback Collection: Establish systems to gather feedback on customer experiences and
satisfaction levels.
Continuous Improvement: Use customer feedback to refine products/services, processes, and
customer interactions continuously.
Achieving Customer Satisfaction through the Process:
Understanding Market Dynamics: A comprehensive understanding of the market and
competition helps in positioning offerings effectively.
Aligning with Consumer Journey: Adapting products or services to cater to each stage of the
consumer decision process enhances the likelihood of meeting needs and expectations.
Delivering Superior Value: Focusing on delivering superior value creates a positive
impression and sets the stage for customer satisfaction.
Effective Sales and Delivery: Ensuring effective sales strategies and consistent delivery of
promised value enhances customer confidence.
Feedback Loop for Improvement: Constantly collecting feedback and interacting based on
customer insights ensures a continuous improvement cycle, enhancing customer satisfaction
over time.
In summary, achieving customer satisfaction involves understanding market dynamics,
aligning with consumer needs at each decision-making stage, delivering superior value,
effective sales strategies, consistent delivery, and a continuous improvement approach based
on customer feedback. This comprehensive process contributes to creating and maintaining
satisfied customers.
5. What is injurious consumption, criticize the individual outcomes
Injurious consumption occurs when individuals or groups make consumption
decisions that have negative consequences for their long-run well-being. Unlike beneficial
consumption that satisfies needs and improves quality of life, injurious consumption leads to
outcomes that can be financially, physically, and psychologically damaging. It is
characterized by the consumption of goods and services that have harmful consequences over
time, despite potentially providing immediate satisfaction or pleasure.
● Individual outcomes include:
- Need Satisfaction: The most obvious outcome of the consumption process for an individual,
whether or not a purchase is made, is some level of satisfaction of the need that initiated the
consumption process. This can range from no satisfaction (or even a negative level if a
purchase increases the need rather than reduces it) to complete satisfaction. Two key
processes are involved—the actual need fulfillment and the perceived need fulfillment. These
two processes are closely related and are often identical. However, at times they differ. For
example, people might take food supplements because they believe the supplements are
enhancing their health while in reality they could have no direct health effects or even
negative effects. One objective of government regulation and a frequent goal of consumer
groups is to ensure that consumers can adequately judge the extent to which products are
meeting their needs.
- Injurious Consumption: Although we tend to focus on the benefits of consumption, we must
remain aware that consumer behavior has a dark side. Injurious consumption refers to the act
of individuals or groups making consumption decisions that have negative consequences
(harmful to their physical, mental, or financial health, etc) for their long-term well- being (for
instance, cigarettes cause lung cancer, alcohol creates mood illness, high sugar and fat snacks
cause obesity).
Injurious consumption can manifest in various forms, such as excessive alcohol or
drug use, engaging in addictive behaviors, overspending, or indulging in unhealthy habits.
Moreover, for most consumers, fulfilling one need affects their ability to fulfill other needs,
because of either financial or time constraints. These choices can lead to detrimental
outcomes for individuals, impacting their physical health, mental well-being, and financial
stability.
It's worth noting that the analysis provided here focuses primarily on the individual
outcomes of injurious consumption. However, injurious consumption can also have broader
societal implications, including increased healthcare costs, strain on social support systems,
and environmental impacts. Recognizing and addressing injurious consumption requires a
holistic approach that considers individual well-being, societal factors, and the wider
consequences of consumption choices.
In summary, individual outcomes encompass both need satisfaction and injurious
consumption. The former focuses on fulfilling needs and attaining satisfaction through
consumption, while the latter emphasizes the detrimental effects arising from consumption
choices that compromise an individual's long-term well-being. These outcomes represent a
spectrum, with need satisfaction aiming for positive fulfillment and injurious consumption
reflecting the adverse impacts resulting from consumption decisions.
(example for injurious consumption: some estimates indicate that most Americans are not
saving at a level that will allow them to maintain a lifestyle near their current one when they
retire. The cumulative impact of many small decisions to spend financial resources to meet
needs now will limit their ability to meet what may be critically important needs after
retirement. For other consumers, readily available credit, unrelenting advertising, and
widespread, aggressive merchandising result in a level of expenditure that cannot be
sustained by their income. The result is often financial distress, delayed or bypassed medical
or dental care, family stress, inadequate resources for proper child care, bankruptcy, or even
homelessness.)
6. How could a company can create customer satisfaction?
A company can create customer satisfaction through various strategies and practices aimed at
meeting or exceeding
customer expectations. Here are some effective ways to achieve customer satisfaction:
1. High-Quality Products or Services
● Consistent Quality: Ensure products or services consistently meet or exceed promised
standards.
● Reliability: Deliver on promises, meet deadlines, and provide dependable offerings.
2. Exceptional Customer Service
● Responsive Support: Provide prompt and helpful assistance for inquiries, issues, or
complaints.
● Personalization: Tailor interactions and services to individual customer needs and
preferences.
● Empathy: Show understanding and empathy towards customer concerns or problems.
3. Communication and Transparency
● Clear Information: Provide transparent and accurate information about products, services,
pricing, and policies.
● Proactive Communication: Keep customers informed about updates, changes, or potential
issues.
4. Convenience and Accessibility
● Ease of Use: Ensure products/services are user-friendly and easy to access or operate.
● Accessibility: Make it easy for customers to reach support, purchase, or navigate through
services.
5. Building Trust and Relationships
● Consistency: Maintain consistency in quality, service, and brand values.
● Follow-up: Engage with customers after the sale to gather feedback and address any
concerns.
6. Value for Money:
Ensuring value for money is essential to satisfy customers. They expect a fair balance
between quality, features, and
price from products/services. Competitive pricing, discounts, loyalty programs, or added
benefits significantly enhance
customer satisfaction in terms of value.
7. Reward and Recognition
● Loyalty Programs: Offer incentives or rewards for repeat business or referrals.
● Acknowledgment: Recognize loyal customers and show appreciation for their patronage.
8. Continuous Improvement
● Feedback Utilization: Act on customer feedback to improve products, services, or
processes.
● Innovation: Strive for innovation and adaptation to evolve with changing customer needs.
9. Empowerment and Training
● Employee Training: Ensure staff are well-trained and empowered to assist customers
effectively.
● Culture of Service: Foster a company culture that prioritizes customer satisfaction.
By implementing these strategies consistently and effectively, a company can significantly
enhance customer satisfaction levels, leading to increased loyalty, positive word-of-mouth,
and ultimately, a competitive advantage in the market.

7. While understand and capturing the consumer behavior, the promotion mix tends to
shift from 4P to 4C, criticizing the 4C concept

The transition from the traditional 4Ps marketing mix (Product, Price, Place, Promotion) to
the 4Cs model (Consumer, Cost, Convenience, Communication) signifies a shift in focus
towards a more customer-centric approach.
The 4C focuses on what customers perceive: their needs, their situation, their experience,
their satisfaction.
1. Consumer
Consumer wants and needs, focus on conducting research, creating customer profiles, seeking
feedback and monitoring social media related to your brand to understand your customer's
needs and wants.
What does the customer want or need that they are not currently getting, and what can we do
to serve that need?
The first of the 4 C’s works on the logic that making a product or brand to cater for existing
customer needs is a superior approach to simply making a product or brand, then identifying
or manufacturing demand for them.
This theory lends itself to a specific order of planning and production. First, we use market
research (e.g. sector-specific consumer surveys, or website data insights) to discover what the
brand’s existing or prospective audience wants or needs. Then, and only then, can we plan,
produce and market the solution.
2. Cost
There is more to cost than just its purchase price.
What is the total cost of the product to the customer? In addition to the product’s retail price,
this must factor in the time and effort required to get and use the product, plus any additional
expenses that come with it.
Let’s consider how the cost-to-consumer of a video games console might break down:
● Console retail price
● Cost of games and accessories
● Need to stay at home to take delivery of console/to visit video games store to collect
● Setup time
● Cost of online subscription
● Cost of in-game purchases
As we can see, the true cost of the purchase is far greater and more complex than the price on
the box. Consumers are aware that the true cost of a product is often higher than its RRP –
and the “Cost” category of the 4 C’s marketing mix reflects this reality.
3. Convenience
The third C is all about ensuring the brand/product is available as conveniently as possible to
each customer persona/demographic in the target audience.
This is primarily a matter of understanding how a brand’s customers shop. If your target
audience prefers to shop online, the item should be available to order online with flexible
delivery options. Or, if they prefer to try in-store before they buy, that option should be
available too.
Customer convenience can come at a high cost to businesses. For example, clothes retailers
offering free “try before you buy” services to online customers could see their volume of
returned stock quadrupled. In light of this effect, we would phrase the question of
convenience as follows:
“What’s the most convenient service we can afford to give customers, without causing
business harm?” This comes with the caveat that too-little convenience can also cause
business harm, in the shape of lost custom.
4. Communication: How will the brand interact with customers?
Customers often feel a stronger connection with companies that commit to an engaged
dialogue with them. By responding directly and listening to customers’ suggestions, your
customers will feel valued and more apt to continue to buy and recommend your products
and services.
Every interaction between the customer and the brand can affect customer satisfaction, the
likelihood of future sales and the likelihood of customer referrals.
Communication isn’t just about how a brand communicates with its customers: it’s also about
what customers communicate to the brand, and how that information is used.
This is particularly important to the delivery of tailored multi-channel communications for
individual customers or sales leads. Everything the customer says and does can teach the
brand to communicate better to customers.
8. Explain qualitative research and quantitative research. Criticizing the advantages
and disadvantages of quantitative and qualitative research.
● Qualitative Research:
Qualitative research techniques involve exploring ideas, formulating theories or hypotheses,
and gaining an in-depth understanding of a phenomenon. It focuses on summarizing,
categorizing, and interpreting data using words and non-numerical information. Qualitative
research is often used to understand something.
- Advantages of Qualitative Research:
1. Depth and Detail: Qualitative research allows for a deep exploration of a topic, providing
rich and detailed insights that can lead to a better understanding of complex issues.
2. Creating Openness: Qualitative research often involves open-ended questions and
encourages participants to freely express their thoughts and experiences, leading to more
candid and nuanced responses.
3. Avoiding Pre-Judgments: Qualitative research allows researchers to approach a topic
without preconceived notions, enabling them to explore perspectives and uncover unexpected
insights.
- Disadvantages of Qualitative Research:
1. Less Easy to Generalize: Due to the smaller sample sizes and the subjective nature of
qualitative research, findings cannot be easily generalized to a larger population.
2. Difficult to Make Systematic Comparisons: Analyzing qualitative data can be subjective
and dependent on the interpretation of researchers, making it challenging to make systematic
comparisons across different cases or individuals.
3. Dependence on Researcher/Marketer Skills: The quality and validity of qualitative research
heavily rely on the skills, expertise, and objectivity of the researchers, which can introduce
potential biases or limitations.
● Quantitative Research:
Quantitative research techniques utilize numerical data to test theories, hypotheses, and
measure variables. It involves statistical analysis and aims to provide objective and
measurable findings. Quantitative research is often used to confirm or test something.
 - Advantages of Quantitative Research:
1. More Respondents -> Broader Study: Quantitative research often involves larger sample
sizes, allowing for broader generalizations and statistical significance.
2. Easier to Summarize and Make Comparisons: Quantitative data can be easily summarized,
analyzed, and compared across different groups, variables, or timeframes, facilitating clear
insights and objective comparisons.
3. Avoiding Personal Bias: By relying on structured questionnaires and standardized
procedures, quantitative research can help minimize personal bias and subjective
interpretation.
- Disadvantages of Quantitative Research:
1. Numerical Descriptions Are Limited: Quantitative research focuses on numerical data,
which may not capture the full complexity of certain phenomena or provide in-depth insights.
2. Structure Bias and False Representation: Standardized questions and response options in
quantitative research can lead to "structure bias" and may not fully capture the diversity of
participants' perspectives or experiences, potentially leading to false representations.
3. Superficial Dataset: Quantitative research often focuses on collecting data based on
predefined variables, which may result in a limited understanding of the context or
underlying factors influencing the phenomenon under study.
In summary, qualitative research techniques provide depth and detail, create
openness, and avoid pre-judgments, but they may be less generalizable, difficult to compare
systematically, and dependent on researcher skills. On the other hand, quantitative research
techniques offer broader studies, easier summarization and comparisons, and reduced
personal bias, but they may have limitations in capturing complex phenomena, potential
structure bias, and a focus on superficial datasets. Choosing between qualitative and
quantitative research depends on the research objectives, the nature of the phenomenon being
studied, and the available resources and expertise.

9. What is exposure, and why do marketer want customers to be exposed to information

Exposure occurs when a stimulus is placed within a person’s relevant environment
and comes within range of their sensory receptor nerves . Exposure provides consumers with
the opportunity to pay attention to available information, but in no way guarantees it. For
example, have you ever been watching television and realized that you were not paying
attention to the commercials being aired? In this case, exposure occurred, but the
commercials will probably have little influence due to your lack of attention.
An individual can be exposed to only a minuscule fraction of the available stimuli.
There are now hundreds of television channels, thousands of radio stations, and innumerable
magazines and Web sites. In-store environments are also cluttered with tens of thousands of
individual items and in-store advertising. Even in today’s multitasking society there are
limits.
 Most of the stimuli to which individuals are exposed are “self-selected.” That is,
people deliberately seek out exposure to certain stimuli and avoid others. Generally, people
seek information that they think will help them achieve their goals
Immediate goals could involve seeking stimuli such as a television program for
amusement or a Website to make a purchase. Long range goals might involve examining
corporate Web sites to determine how environmentally friendly they are in hopes of making
your community a safer place to live. An individual’s goals and the types of information
needed to achieve those goals are a function of that person’s existing and desired lifestyle and
such short-term motives as hunger or curiosity.
● Moreover, exposure divided into selective exposure and voluntary exposure:
- Selective exposure: Selective exposure refers to the tendency of individuals to seek out
information or messages that align with their existing beliefs, attitudes, preferences, or
opinions while actively avoiding or ignoring contradictory information. In essence, people
often choose to expose themselves to content that confirms or reinforces their existing
viewpoints. The highly selective nature of consumer exposure is a major concern for
marketers since failure to gain exposure results in lost communication and sales
opportunities.
- Voluntary exposure: Although consumers often avoid commercials and other marketing
stimuli, sometimes they actively seek them out for various reasons, including purchase goals,
entertainment, and information. As we saw earlier, consumers actively seek out aisles
containing items they want to buy. There are several reasons why marketers seek exposure
for their products or services:
- Awareness: Exposure helps in creating brand awareness. Customers can't consider buying
something they don't know exists. Exposure makes the brand or product visible, making
consumers aware of its existence.
- Attention: While exposure doesn't guarantee attention, it's a crucial initial step. Without
exposure, there's no chance for a consumer to pay attention to a product or message.
- Familiarity: The more exposed customers are to a brand or product, the more familiar it
becomes to them. Familiarity often breeds trust and can lead to a higher likelihood of
purchase.
- Influence on decision-making: Exposure can influence consumer behavior by providing
information that might sway their preferences or perceptions. Seeing a product repeatedly
might make it more appealing or memorable when the consumer is making a purchasing
decision.
- Behavioral change: Exposure can also lead to changes in consumer behavior. It might
encourage consumers to try a new product, switch brands, or consider alternatives they hadn't
previously thought about.
Overall, exposure doesn't guarantee that consumers will pay attention or make a purchase, but
it significantly increases the chances of these outcomes by laying the foundation for
consumer awareness and consideration.
10. What is zipping, zapping and muting, how does it affect the marketing activities?
Media exposure is also of great concern to marketers. Media are where marketers put their
commercial messages and include television, radio, magazines, direct mail, billboards, and
the Internet. The impact of the active, self-selecting nature of media exposure can be seen in
the zipping, zapping, and muting of television commercials:
- Zipping occurs when one fast-forwards through a commercial on a prerecorded program.
- Zapping involves switching channels when a commercial appears.
- Muting is turning the sound off during commercial breaks.

Zipping, zapping, and muting are simply mechanical ways for consumers to selectively avoid
exposure to advertising messages, often referred to as ad avoidance. Avoidance of
commercials is a global phenomenon that depends on numerous psychological and
demographic factors. A study by Initiative examined ad avoidance globally and across
various media. The study found that ad avoidance is increased by lifestyle (busy and hectic
lifestyle), social class (higher social class), and demographics (men and younger consumers).
In addition, ad avoidance appears to increase as advertising clutter increases and as consumer
attitudes toward advertising become more negative. Consumers tend to dislike (and actively
avoid) advertising when it is perceived to be boring, uninformative, and intrusive. 5 In China,
for example, where the novelty of advertising and product variety is wearing off, ad
avoidance is on the rise and feelings about advertising are becoming more negative. 6 In
online settings, marketers have devised “pop-up” ads that are difficult or impossible for
viewers to eliminate. At the extreme, movie theaters have begun airing ads prior to the movie
since the theater provides a captive audience and enhances ad recall beyond that of
TV. Such techniques should be used with care, however, since consumers may react very
negatively to such forced exposure. In fact, one study found that between 20 and 37 percent
of online users are so turned off by pop-up ads that they download “anti-pop-up” software to
avoid them completely!
In response to consumers’ tendency to avoid ads, marketers increasingly seek to gain
exposure by placing their brands within entertainment media, such as in movies and televi-
sion programs, in exchange for payment or promotional or other consideration. Such product
placement provides exposure that consumers don’t try to avoid, it shows how and when to
use the product, and it enhances the product’s image. Placements work best when the
principal actor is present and the placement is well integrated into the scene. For example, as
hybrid cars began taking hold in the United States,
Toyota’s Prius was featured prominently in an episode of the political drama The West
Wing . The Prius was integral to a principal character and positively woven into the core plot
dealing with fuel economy standards.
11. What is sensory receptor nerves, and criticize the factors that impact the sensory
receptor nerves that might cause attention
Sensory receptor nerves are specialized cells in our sensory organs (such as eyes, ears, skin,
nose, and tongue) that detect and respond to specific types of stimuli from the environment.
These receptors convert various forms of energy (like light, sound, touch, smell, and taste)
into electrical signals that can be interpreted by the brain. For example, photoreceptor cells in
the retina of the eye detect light, while mechanoreceptors in the skin detect touch or pressure.
In consumer behavior, sensory receptor nerves play a crucial role in how individuals
perceive, process, and respond to stimuli related to products, services, and marketing
messages. These sensory receptors are responsible for detecting and transmitting sensory
information from the environment to the brain, influencing consumers' attention, perception,
and ultimately their decision-making process.
Factors impacting sensory receptor nerves and attention in consumer behavior include:
- Sensory Marketing: Brands often utilize sensory cues like visuals, sounds, scents, textures,
and tastes to appeal to consumers' senses. For instance, the aroma of a freshly baked item in a
bakery or the visual appeal of a product's packaging can stimulate sensory receptors and
attract attention.
- Multisensory Experience: Engaging multiple senses simultaneously can enhance attention.
For example, retail environments that combine visual displays with background music and
interactive elements can create a more immersive and attention-grabbing experience.
- Personal Relevance: Consumers tend to pay more attention to stimuli that are personally
relevant or beneficial to them. Marketing messages that address individual needs or
preferences are more likely to capture attention.
- Emotional Impact: Emotions are powerful drivers of attention. Stimuli that evoke strong
emotions, whether through humor, empathy, joy, or fear, can significantly impact attention
and memory recall.
However, these impact factors might cause negative to marketers such as:
- Cultural influences: Cultural factors can shape sensory perceptions and preferences. What
might be attention- grabbing in one culture might not resonate the same way in another.
Understanding cultural nuances is essential in designing effective marketing stimuli.
- Overstimulation and saturation: In today's highly saturated media landscape, consumers are
bombarded with stimuli. This oversaturation can lead to sensory overload, making it
challenging for any single stimulus to capture sustained attention.
- Selective perception: Individuals may selectively attend to information that confirms their
existing beliefs or desires, while ignoring or filtering out contradictory or less relevant
information. This selective perception can limit the impact of marketing messages.
- Adaptation and habituation: Repeated exposure to similar stimuli can lead to sensory
adaptation or habituation, where the receptors become less responsive over time. This can
reduce the effectiveness of marketing efforts that rely on the same sensory cues repeatedly.
Understanding how sensory receptor nerves function and the factors influencing attention in
consumer behavior is crucial for marketers. They can tailor their strategies to create sensory-
rich experiences that resonate with consumers, cut through the clutter, and capture attention
effectively in a competitive marketplace.
12. Information processing is a series of activities by which stimuli are perceived,
transformed into formation, and store where exposure occurs when a stimulus is placed
within a person’s relevant environment and comes within range of their sensory
receptor nerves. Explain the exposures, attention, and interpretation.
Exposure occurs when a stimulus is placed within a person’s relevant environment and comes
within range of their sensory receptor nerves . Exposure provides consumers with the
opportunity to pay attention to available information but in no way guarantees it. It is divided
into random and deliberate. This is the initial stage where a stimulus, such as an
advertisement, product, or message, is presented within the individual's environment and
comes within their sensory range. Exposure can occur through various channels like TV ads,
social media posts, billboards, or even word-of-mouth. However, exposure alone doesn't
guarantee attention or further processing.
- Attention occurs when (banner ad) is “seen” (the receptor nerves pass the sensations on to
the brain for process-ing). Once exposed to a stimulus, attention is the selective focus or
concentration that an individual allocates to that stimulus. It involves the conscious allocation
of mental resources toward processing specific information while disregarding other stimuli.
Attention is limited, so not everything that is exposed to an individual will capture their
attention. Factors like novelty, relevance, emotional appeal, and personal relevance influence
attention. Marketers often strive to make their content attention-grabbing to increase the
likelihood of engagement.
- After attention is captured, interpretation comes into play. Interpretation is the assignment
of meaning to the received sensations. Memory is the short-term use of the meaning for
immediate decision making or the longer-term retention of the meaning. It's the process of
assigning meaning to the stimulus based on the individual's existing knowledge, experiences,
beliefs, and attitudes. Interpretation is highly subjective and can vary greatly from person to
person. Two individuals might interpret the same advertisement differently based on their
unique perspectives. Marketers aim to craft messages that are easily interpretable and align
with their intended brand image or communication objectives.
These stages—exposure, attention, and interpretation—are interconnected in the information
processing model. Exposure initiates the process by presenting stimuli to individuals,
attention filters which stimuli are processed further, and interpretation is where the meaning
and significance of the stimuli are constructed based on individual cognitive processes.
For marketers, understanding this process is crucial as they design campaigns and messages
to not only capture attention but also to convey information in a way that aligns with the
target audience's perceptions and influences their interpretation favorably towards their
product or brand.
13. What is motivation? Discuss the intrinsic and extrinsic motivation
 Motivation is the processes that account for an individual’s intensity, direction and
persistence of effort toward attaining a goal. Motivation is the reason for behavior and the
reason why an individual does something. Motivation is a drive state created by consumer
interests and needs. Interests are a reflection of overall lifestyle as well as a result of goals
(e.g., becoming an accom- plished guitar player) and needs (e.g., hunger). Product
involvement indicates motivation or interest in a specific product category. Product
involvement can be temporary or enduring. You might be temporarily involved with
dishwashers if yours stops working, but involved with guitars and music your entire life.
Either way, product involvement motivates atten- tion. For example, several studies show
that product involvement increases the amount of attention paid to print ads and, in particular,
to the ad’s body copy rather than picture. So the picture superiority effect we discussed
earlier may play less of a role when consumers are highly involved with the product being
advertised. Another study found that consum- ers were more likely to click on banners for
products they were involved with. External stimulus characteristics like animation had less
influence on these consumers since they were already internally motivated.It is divided into
intrinsic motivation and extrinsic motivation.
Intrinsic and extrinsic motivations are two primary types that influence human behavior,
including consumer behavior.
- Intrinsic Motivation: It refers to engaging in an activity or behavior for the inherent
satisfaction, pleasure, or interest derived from the activity itself, rather than for external
rewards or pressures. Consumers might be intrinsically motivated to purchase certain
products or engage with specific brands because they align with their personal values, beliefs,
or interests. For instance, buying eco-friendly products because of a personal commitment to
sustainability reflects intrinsic motivation.
- Extrinsic Motivation: It motivation involves engaging in a behavior or activity to attain
external rewards or avoid punishment. The motivation comes from external factors such as
incentives, recognition, grades, or social approval. Consumers can also be driven by external
factors such as discounts, promotions, rewards programs, or social status associated with
certain products or brands. For example, purchasing a luxury item for the perceived social
status it provides represents extrinsic motivation.
It's important to note that both intrinsic and extrinsic motivations can coexist and
influence consumer behavior simultaneously. Effective marketing strategies often leverage a
mix of intrinsic and extrinsic appeals to cater to various consumer motivations and needs.
Understanding these motivations helps marketers tailor their messages, products, and
experiences to resonate with consumers on both personal and external levels.

14. Differentiate between the STM and LTM, from there, criticize the learning process
and learning outcome
● Short-term memory has a limited capacity to store information and sensations. In fact,
it is not used for storage in the usual sense of that term. Active files hold information
while it is being processed. After processing is complete, the reconfigured
information is printed or returned to more permanent storage such as the hard drive. A
 similar process occurs with short-term memory. Individuals use short-term memory to
hold information while they analyze and interpret it.
● Long-term memory is viewed as an unlimited, permanent storage. It can store
numerous types of information, such as concepts, decision rules, processes, and
affective (emotional) states.
 Criticize the learning process and learning outcome
Learning is any change in the content or organization of long-term memory or
behavior and is the result of information processing. Information processing is
described as a series of activities by which stimuli are perceived, transformed into
information, and stored. The four activities in the series are exposure, attention,
interpretation, and memory.
Different information processing systems handle different aspects of learning.
The perceptual deals with information intake through exposure and attention and
maybe conscious or unconscious. Short-term memory deals with holding information
temporarily while it is interpreted and transferred into long-term memory. Long- term
memory (LTM) deals with storing and retrieving information to be used in decisions.
These processes are highly interrelated.
Consumers forget brands, brand associations, and other information for a
variety of reasons. First, learning may be weak to begin with. Second, information
from competing brands and ads may cause memory interference. Third, the response
environment (e.g., the retail store) may not be set up to encourage retrieval of
previously learned information (e.g., from advertising). Consequently, the learning
outcome may be:
● Limited retention: The learning outcome might not reflect complete retention of all
information due to limitations in short-term memory capacity or ineffective encoding for
long-term storage.
● Contextual dependency: Retrieval of learned information might be context-dependent,
affecting the ability to apply knowledge in different situations.
● Interference and distortion: New information might interfere with or distort previously
learned information, affecting the accuracy or completeness of the learning outcome.
=> Optimizing the learning process involves strategies that enhance encoding, facilitate
meaningful connections, and encourage deeper processing of information for better retention
and transfer to long-term memory. The learning outcome can be improved by focusing on
effective encoding, periodic reinforcement,

15. Discussing the studies related to lifestyle

Lifestyle studies typically include the following: attempts to develop quantitative measures of
lifestyle were initially referred to as psychographics:
● Attitudes – evaluative statements about other people, places, ideas, products, and so
forth. Such evaluations are often positive or negative, but they can also be uncertain at
times. For example, you might have mixed feelings about a particular person or issue.
Attitudes can form through direct experience, social influence, formal education,
conditioning processes, and observation. Attitudes are not set in stone and may
change when people learn new information, when they are persuaded by influential
people, or when they experience discomfort due to holding conflicting beliefs.
● Values – widely held beliefs about what is acceptable or desirable. Norms are derived
from these. They become standards by which people order their lives and make their
choices
● Activities and interests – nonoccupational behaviors to which consumers devote
time and effort, such as hobbies, sports, public service and church,
● Demographics - age, education, income, occupation, family structure, ethnic
background, gender, and geographic location
● Media patterns – the specific media the consumers utilize
● Usage rates – measurements of consumption within a specified product category;
often consumers are categorized as heavy, medium or light users or as nonusers
General lifestyle studies can be used to spot new product opportunities, while product
specific lifestyle analysis may help repositioning decisions regarding existing brands.
A large number of individuals, often 500 or more, provide the above information.
Statistical techniques are used to place them into groups whose members have similar
response patterns. Most studies ust first 2 or 3 dimensions decribed above to group
individuals. The other dimensions are used to provide fuller descriptions of each group. Other
studies include demographics as part of the grouping process.

16. What is motivation and criticizing the intrinsic and extrinsic motivation
Motivation is the processes that account for an individual’s intensity, direction, and
persistence of effort toward attaining a goal. Motivation is the reason for behavior, why an
individual does something.
In psychology, there are two different types of motivation: intrinsic motivation and extrinsic
motivation.
Intrinsic motivation is when you feel inspired or energized to complete a task because
it’s personally rewarding. In other words, you're performing the activity because of some
internal drive as opposed to an external force or reward. With intrinsic motivation, the
behavior itself becomes the reward. When intrinsically motivated, a person does a task for
fun, engagement, and the joy that comes from doing it. They don’t concern themselves with
the external reward, pressure, or punishment that follows it. Intrinsic motivation is simply a
gateway to learn, explore things based on interest in a task. We do activities merely for fun
and not because of pressure or an external reward.
Extrinsic motivation refers to doing something not because you enjoy it, but because
you want to earn extrinsic rewards or avoid punishment. External motivation is the exact
opposite of intrinsic motivation. Using extrinsic motivation to drive human behavior is
pervasive in daily life. If you are reading this article because you need the information to
prepare for an exam or to write a paper, you are extrinsically motivated. Extrinsic motivation
is when you’re inspired to perform a task either to earn a reward or to avoid punishment. In
the case of extrinsic motivation, you're not completing the task because you like it or find it
satisfying. Instead, you're completing it because you think you'll avoid something unpleasant
or you'll get something in return.
Intrinsic motivation is performing an activity for its enjoyment, while extrinsic
motivation is doing something for a separable outcome or an outside incentive other than
enjoyment. Both intrinsic and extrinsic motivation are important ways of driving behavior.

17. Criticizing the theory of decay

- The belief that the inability to recall long-term memories increases with the passage of time
as memory traces face.
- The memory will fade if the learning process is not repeated or reinforced. They can be
refer as a retrieval failure.
- Retrieval failure is where the information is in long-term memory, but cannot be accessed.
Such information is said to be available but not accessible because the retrieval cues are not
present.
- In conditioned learning, forgetting is often referred to as extinction, since the desired
response decays or dies out if learning is not repeated and reinforced. In cognitive learning,
forgetting is often referred to as a retrieval failure, since the information that is available in
LTM cannot be accessed, that is, retrieved from LTM into STM.
- Two aspects of forgetting that are of concern to marketers are the likelihood of forgetting in
any given situation and the rate of forgetting.
- Consumers forget brands, brand associations, and other information for a variety of reasons.
First, learning may be weak to begin with. Second, information from competing brands and
ads may cause memory interference. Third, the response environment (e.g., the retail store)
may not be set up to encourage retrieval of previously learned information (e.g., from
advertising).
For example: sometimes we forget a brand name even though we have just met it.
- There are some inconsistencies that disagree about whether memories fade as a function of
the mere passage of time (as in decay theory) or as a function of interfering succeeding
events (as in interference theory). Evidence tends to favor interference-related decay over
temporal decay, yet this varies depending on the specific memory system taken into account.
Criticizing the personal core based on demographic and self-concept
+ Customer demographics are categories of consumer populations that are useful to a
business for purposes, such as marketing and product design. The term also refers to the
study of such categories in a business context.
+ An important set of factors that should not be overlooked in attempting to understand and
respond to consumers is demographics which describe who we are as individuals, for
example: ethnicity, age(adolescents, young adults, elderly...), generation, race (Black,
Caucasian, Asia), gender, income, marital status, education, and homeownership.
These and other characteristics categorize us without describing our personality. Many
demographic characteristics cannot be changed and are directly related to our physical being.
A recognized definition is: "The characteristics of human populations and population
segments, especially when used to identify consumer markets".
● Self-concept:
+ Totality of the individual's thoughts and feelings having reference to himself or herself as
an object. The self-concept is how an individual thinks about or perceives themselves. One
way an individual can maintain their self-concept is through the consumption of products.
Possessions (products) help to define the self and create a sense of identity.
“Through the purchase and use of products, consumers define, maintain and enhance their
self-concept”. The importance of self-concept in consumer behavior and stated that in order
to fully understand consumer behavior, we must first examine the relationship between
possessions (products) and the self. Self concept: + Actual - Who I am now
+ Ideal - Who would like to be
+ Private - How I am or would like be to myself
+ Social - How I am seen by others
+ Using self concept to position product:
Criticizing the categories of value
Three categories of value:
- Other Oriented values reflect a society's view of the appropriate relationships between
individuals and groups within that society such as Individual/Collective (initiative,
conformity); Youth/Age (wisdom of elders); Extended/Limited
Family; Masculine/Feminine; Competitive/Cooperative; Diversity/Uniformity... For
Example, Asian cultures are more collective while U.S culture more individualistic.
- Environment oriented values prescribe a society's relationship to its economic and technical
as well as its physical environment such as cleanliness, performance/status, tradition/change,
risk taking/security, problem solving/fatalistic, cleanliness,.. For example, the U.S is very
high on personal hygiene - some people think to an extreme
- Self-oriented values reflect the objectives and approaches to life that the individual
members of society find desirable such as active/passive, material/nonmaterial, hard
work/leisure...For example, a person who works harder than economically necessary is
admired more than others

How culture can affect the consumer behavior

Culture is the complex whole that includes knowledge, belief, law, morals, customs, and any
other capabilities and habits acquired by humans as members of society. Cross cultural and
globalization can involve exporting and importing values.
Furthermore, within a certain culture, it is common to find smaller groups or segments with
beliefs, values, norms, and behaviors that are not dissimilar to the mainstream culture.
- Influence on Decision-Making: Cultural values and beliefs influence how individuals make
decisions. In cultures that prioritize collectivism, purchasing decisions may be influenced by
what is considered socially acceptable or beneficial for the group. Simple examples of
differences in cultures between two countries: In China, asking about a person‘s income, age
or marital status is common whereas in the US it is considered rude.
- Product Preferences: Cultural values also impact product preferences. For instance, in
cultures that value tradition, there may be a preference for products that are associated with
heritage or have a long history.
- Social Norms: Cultural norms dictate acceptable behavior within a society. Consumers
often conform to these norms when making purchasing decisions to avoid social disapproval.
For example, certain dress codes or ethical considerations may guide consumer choices.
- Subcultures: Diversity within Cultures: Within a larger culture, there are often subcultures
with distinct beliefs and practices. Marketers need to consider these subcultures to tailor their
strategies to specific consumer segments.
- Cultural Sensitivity: Avoiding Cultural Offense: Companies must be culturally sensitive to
avoid offending consumers. What might be acceptable in one culture could be offensive in
another, impacting brand image and consumer trust.
- Seasonal Buying Patterns: Cultural rituals and celebrations influence seasonal buying
patterns. For example, holidays and festivals may lead to increased spending on specific
types of products.
- Globalization: Cross-cultural interactions due to globalization can lead to the exchange of
values and preferences. Consumers may adopt products or behaviors from other cultures,
leading to a blending of cultural influences. In summary, culture significantly shapes
consumer behavior by influencing values, beliefs, norms, and preferences.
Understanding the cultural context is crucial for businesses to tailor their products, marketing
strategies, and communication effectively. Cultural awareness not only helps in avoiding
missteps but also provides opportunities for businesses to connect authentically with diverse
consumer groups, fostering long-term relationships and success in the dynamic marketplace.
Discussing some categories related to culture that impact the consumer behavior
Cultural factors exert considerable influence on individuals, starting as early as childhood.
Most people would be very different consumers had they come from another culture.
+ Subcultures are distinctive groups of people in a society that share common cultural
meanings for affective and cognitive responses (emotional reactions, beliefs, values, and
goals), behaviors (customs, scripts and rituals, behavioral norms), and environmental factors
(living conditions, geographic location, important objects).
• Although most subcultures share some cultural meanings with the overall society and/or
other subcultures, some of a subculture's meanings must be unique.
+ Social class or stratification: This refers to categorizations based on socioeconomic factors,
including wealth, income, race, education, ethnicity, gender, occupation, social status or
derived power from other groups. People generally want to climb hierarchies of power, status
and prestige, and purchasing behaviors are often related to this desire.
Beyond subcultures and social class, several other categories related to culture significantly
impact consumer behavior.:
- Ethnicity and Race
- Religion
- Generational Differences: Each generation has distinct values, attitudes, and behaviors
shaped by the cultural context of their upbringing. Understanding generational differences is
crucial for businesses to tailor their products and marketing messages effectively.
- Geographical Location: Consumers in different regions may have unique cultural
preferences influenced by factors such as climate, local traditions, and historical context.
- Cultural Values and Attitudes: such as individualism or collectivism, influence consumer
attitudes towards products, advertising, and consumption patterns.
In essence, consumer behavior is intricately tied to various aspects of culture. Recognizing
and navigating the diversity within these cultural categories is essential for businesses aiming
to connect authentically with their target audience and succeed in the ever-evolving
marketplace.
How can cultural values identify consumption patterns, and why do marketers need to
understand cultural values
Culture operates primarily by setting boundaries for individual behaviors and by influencing
the functioning of each institution as the family and mass media. The boundaries that culture
sets on behavior are called norms, which are simply rules that specify or prohibit certain
behaviors in specific situations. Norms are derived from cultural values, or widely held
beliefs that affirm what is desirable. Violation of cultural norms results in sanctions, or
penalties ranging from mild social disapproval to banishment from the group. Thus, as the
picture shows, cultural values give rise to norms and associated sanctions, which in turn
influence consumption patterns.

The marketers need to understand the cultural values. Because:

● Being aware of how culture influences different groups of people can help marketers
develop content that resonates with them.
● Culture marketing can also help brands form positive connections with people around the
world.
● The cultural values can help the marketers:
+ Improve communication with target audience
+ Build rapport with customers and increase brand loyalty
+ Identify unique opportunities to innovate products or services
+ Increase revenue, sales and return on investment (ROI)
+ Expand global reach by tapping into new markets
● The cultural values are the one thing that enables marketers to create greater engagement,
relevance and grow
their business
18. What is sanction, and how does this create consumption pattern?
Sanctions, which are applied as penalties for breaking cultural norms, have a profound effect
on consumer behavior and consumption patterns. Fundamentally, cultural values establish the
conditions for the development of norms, which define what constitutes appropriate behavior
in a community. Sanctions are applied to those who violate these standards; these can range
from mild social rejection to more severe consequences.

⇒ This dynamic process creates a direct link between cultural values, norm enforcement,
and the way people make consumption decisions. Furthermore, as this process indicates,
cultural values give rise to norms and associated sanctions, which in turn influence
consumption patterns.

Sanctions can significantly alter consumption patterns in a society by impacting it on multiple

fronts: economically, socially, and culturally.
● Economically, sanctions often disrupt the availability of certain goods and services.
For instance, trade restrictions may limit the import of specific products, creating
scarcity in the market. In response, consumers adapt by shifting their preferences to
locally produced alternatives or exploring goods from non-sanctioned sources. This
adjustment in consumption patterns is a direct consequence of the economic
constraints imposed by sanctions.
● Socially, the fear of sanctions, whether in the form of social disapproval or more
formal consequences, can drive consumers to conform to accepted cultural norms.
This conformity influences purchasing decisions, as individuals seek to align their
choices with culturally endorsed products and behaviors to avoid negative
repercussions. In societies where certain goods or lifestyles are sanctioned,
individuals may prioritize items deemed culturally acceptable, shaping consumption
habits accordingly.
● Culturally, sanctions can evoke a sense of national identity and resilience. For
instance, during geopolitical tensions, consumers may express solidarity by
consciously choosing products from their own country or from nations perceived as
sympathetic. This cultural alignment influences consumption patterns, as individuals
 make choices that reflect not only their personal preferences but also their cultural and
national allegiances.
A concrete example is the impact of economic sanctions on the consumption
of technology products. If a country faces technology-related sanctions, consumers
within that nation may experience limited access to certain brands or products. This
could lead to a surge in the demand for domestically produced or non-sanctioned
alternatives, reshaping the technology consumption patterns within the affected
region. In essence, the imposition of sanctions creates a ripple effect that extends into
the realm of consumer behavior. Cultural values, economic constraints, and
psychological factors converge to influence what individuals choose to buy and
consume. The interplay between cultural norms and consumer choices highlights the
intricate relationship between sanctions and the establishment of distinct consumption
patterns within a society.
19. What should you do when you are encountering with culture in the consumer
behavior and marketing context? (review)
Cross-Cultural Differences: marketers must consider cross-cultural differences when
developing marketing strategies for foreign markets. Cross-cultural differences do not always
coincide with national borders. This is obvious in many countries where cultural differences
among internal social groups are as great as between separate nations.
- Differences in Consumption Culture. The level of consumption orientation in different
markets is an important cross-cultural factor that companies should consider when
developing international marketing strategies. Obviously, a large part of U.S. culture involves
consumption activities. Many other areas of the world—including Canada, most western
European countries, and Japan—also have strong consumer cultures.
In much of the world, however, people have less opportunity to participate in a consumption
culture. For instance, the ordinary citizens of many eastern European countries, the former
Soviet Union, China, and most Third World countries do not have sufficient purchasing
power to consume at high levels, nor are these societies able to produce goods in sufficient
number and variety to meet the consumption needs of their people.
- Self-Concept. People in different cultures may have strikingly different concepts of
themselves and how they should relate to other people. Consider the differences between the
vision of an independent self typical in North America and western Europe and the concept
of self as highly interrelated with others that is more common in Japan, India, Africa, South
America, and even some southern European cultures.
These cross-cultural differences in self-concept are likely to affect how people in those
cultures interpret product meanings and use products to achieve important ends in their lives.
For example, Japanese gift-giving behavior is strongly affected by the socially oriented self-
concept. Especially when they return from trips home.
The meanings of the end values or goals found in means–end research are likely to be quite
different in different cultures, as are the means to achieve them. Consider the value of self-
esteem or “satisfaction with self.” North Americans, for instance, might satisfy self esteem
needs by acting in ways that represent their independence and autonomy from the group. But
for the Japanese, cooperation with a group is an act that affirms the self. In Japan, giving in to
the group is not a sign of weakness (as it might be interpreted in North America); rather, it
reflects tolerance, self-control, flexibility, and maturity, all aspects of a positive self image
for most Japanese. In contrast, stating one’s personal position and trying to get one’s way
(acts valued in America as “standing up for what one believes”) may be thought childish and
weak by the Japanese.
- Marketing Implications. Marketers must determine which cross-cultural differences are
relevant to their situations. A sensitivity to and tolerance for cross-cultural differences in
meaning is a highly desirable trait for international marketing managers. Most international
companies also hire managers from the local culture because they bring an intimate
knowledge of the indigenous cultural meanings to strategic decision making.
Define five key dimensions of situational characteristics
The five key dimensions of situational characteristics, often used in understanding consumer
behavior, are:
1. Physical surroundings: This refers to the tangible aspects of the environment where a
decision or action takes place. Show how important external factors such as the architecture,
arrangement, and assortment of retailers can be in affecting consumers’ shopping
experiences. In addition, store interiors are often designed to create specific feelings in
shoppers that can have an important cueing or reinforcing effect on purchase. All physical
aspects of the store, including lighting, layout, presentation of merchandise, fixtures, floor
coverings, colors, sounds, odors, and dress and behavior of sales personnel, combine to
produce these feelings, which in turn influence purchase tendencies. It is important to note
that one is not superior to the other. Each attempts to create an appropriate atmosphere for its
target audience.
Examples include:
Store layout and design: Colors, lighting, music, temperature, cleanliness, crowding.
Products and their presentation: Packaging, displays, availability, accessibility.
Ambient factors: Smells, sounds, weather conditions.
2. Temporal perspectives: are situational characteristics that deal with the effect of time on
consumer behavior. Time as a situational factor can manifest itself in a number of ways. The
amount of time available for the purchase has a substantial impact on the consumer decision
process. In general, the less time there is available (i.e., increased time pressure), the shorter
the information search, the less available information will be used, and the more suboptimal
purchases will be made. Limited purchase time can also result in a smaller number of product
alternatives being considered. Internet shopping is growing rapidly in part as a result of the
time pressures. First, it has the potential to reduce the amount of time required to make a
specific purchase. Second, it provides the consumer with almost total control over when the
purchase is made. These features are among the major reasons for the rapid growth in Internet
outlets and sales.
Examples include:
Urgency of the task: Immediate need, time available.
Stage of the decision process: Initial purchase consideration, final buy.
Time of day or year: Seasonal considerations, special events.
3. Social surroundings: are the other individuals present in the particular situation . People’s
actions are frequently influenced by those around them. Social influence is a significant force
acting on our behavior, since individuals tend to comply with group expectations, particularly
when the behavior is visible. Thus, shopping, a highly visible activity, and the use of many
publicly consumed brands are subject to social influences. As just one example, a recent
study finds that consumers are more likely to engage in variety-seeking behavior in public
(versus private) consumption situations even if it means consuming products they like less.
The reason is that consumers feel that others view them more positively (more fun,
interesting, exciting) if their purchases show more variety. This tendency is stronger for those
more susceptible to interpersonal influence.
Examples include:
Number of people present: Crowds, solitude.
Relationships with others: Family, friends, strangers, authority figures.
Social norms and expectations: Dress code, behavior expectations.
4. Task definition: This refers to the specific goal or objective of the individual in the
situation. Task definition is the reason the consumption activity is occurring . The major task
dichotomy used by marketers is between purchases for self-use versus gift giving. Gift
Giving Consumers use different shopping strategies and purchase criteria when shopping for
gifts versus shopping for the same item for self-use. The nature of a gift can signify the type
of relationship the giver has or desires with the receiver. A gift of stationery implies a very
different desired relationship between two individuals than does a gift of cologne.
Examples include:
Purpose of the purchase: Gift giving, personal use, work needs.
Complexity of the decision: Simple choice, extensive research required.
Constraints and limitations: Budget, knowledge, accessibility.
5. Antecedent states: Features of the individual person that are not lasting characteristics,
such as momentary moods or conditions, are called antecedent states. For example, most
people experience states of depression or excitement from time to time that are not normally
part of their individual makeup. Moods are transient feeling states that are generally not tied
to a specific event or object. They tend to be less intense than emotions and may operate
without the individual’s awareness. Individuals use such terms as happy, cheerful, peaceful,
sad, blue, and depressed to describe their moods.
Moods both affect and are affected by the consumption process. Moods influence decision
processes, the purchase and consumption of various products, and perceptions of service. One
explanation is that some shopping behaviors play both a mood maintenance (positive moods)
and mood enhancement (negative moods) role.
Examples include:
 - Mood and emotions: Happiness, sadness, anger, fatigue.
- Prior experiences and knowledge: Past encounters with similar situations.
- Physical condition: Hunger, tiredness, illness.

Criticize the normal, limited, and extended decision making

1. Nominal decision making: sometimes referred to as habitual decision making, in effect
involves no decision per se. A problem is recognized, internal search (long-term memory)
provides a single preferred solution (brand), that brand is purchased, and an evaluation occurs
only if the brand fails to perform as expected. A completely nominal decision does not even
include consideration of the “do not purchase” alternative. For example, you might notice
that you are nearly out of Colgate toothpaste and resolve to purchase some the next time you
are at the store. You don’t even consider not replacing the toothpaste or purchasing another
brand. Nominal decisions can be broken into two distinct categories:
- Brand loyal decisions: you believe the brand you have chosen best meets your overall needs
and you have formed an emotional attachment to it (you like it). You are brand loyal. It will
be very difficult for a competitor to gain your patronage. In this example, you have a fairly
high degree of product involvement but a low degree of purchase involvement because of
your brand loyalty. Should you encounter a challenge to the superiority of Colgate, perhaps
through a news article, you would most likely engage in a high-involvement decision process
before changing brands.
- Repeat purchase decisions: In contrast, you may believe that all ketchup is about the same
and you may not attach much importance to the product category or purchase. In contrast,
you may believe that all ketchup is about the same and you may not attach much importance
to the product category or purchase. Having tried Del Monte and found it satisfactory, you
now purchase it whenever you need ketchup. Thus, you are a repeat purchaser of Del Monte
ketchup, but you are not committed to it. Should you encounter a challenge to the wisdom of
buying Del Monte the next time you need ketchup, perhaps because of a point-of-sale price
discount, you would probably engage in only a limited decision process before deciding on
which brand to purchase.
2. Limited decision making: involves internal and limited external search, few alternatives,
simple decision rules on a few attributes, and little post purchase evaluation. It covers the
middle ground between nominal decision making and extended decision making. In its
simplest form (lowest level of purchase involvement), limited decision making is similar to
nominal decision making. For example, you may have a decision rule that you buy the
cheapest brand of instant coffee available. When you run low on coffee (problem
recognition), you simply examine coffee prices the next time you are in the store and select
the cheapest brand. Limited decision making also occurs in response to some emotional or
situational needs.
In general, limited decision making involves recognizing a problem for which there are
several possible solutions. There is internal and a limited amount of external search. A few
alternatives are evaluated on a few dimensions using simple selection rules. The purchase and
use of the product are given very little evaluation afterward, unless there is a service problem
or product failure.
3. Extended decision making: involves an extensive internal and external information search
followed by a complex evaluation of multiple alternatives and significant post purchase
evaluation. It is the response to a high level of purchase involvement. After the purchase,
doubt about its correctness is likely and a thorough evaluation of the purchase takes place.
Relatively few consumer decisions reach this level of complexity. Problem recognition is the
first stage of the decision process.

Based on the high low involvement model, criticizing all the perspectives of consumer
behavior and marketing action

As Figure 14–1 indicates, there are various types of consumer decision processes. As
the consumer moves from a very low level of involvement with the purchase to a high level
of involvement, decision making becomes increasingly complex. While purchase
involvement is a continuum, it is useful to consider nominal, limited, and extended decision
making as general descriptions of the types of processes that occur along various points on
the continuum, the types of decision processes are not distinct but rather blend into each
other.
These decisions are closely tied to the consumer’s ego and self-image. They also
involve some risk to the consumer. This may include financial risk (highly priced items),
social risk (products that are important to the peer group), or psychological risk (the wrong
decision may cause the consumer some concern and anxiety). In making these decisions,
consumers generally feel it is worth the time and energy needed to do research and consider
solution alternatives carefully. The full, six-stage, complex process of consumer decision
making is more likely to happen with high- involvement product purchases. In these cases, a
buyer gathers extensive information from multiple sources, evaluates many alternatives, and
invests substantial effort in making the best decision.
 High-involvement decisions can cause buyers a great deal of postpurchase dissonance
(anxiety) if they are unsure about their purchases or if they had a difficult time deciding
between two alternatives. Companies that sell high-involvement products are aware that
postpurchase dissonance can be a problem. Frequently, they try to offer consumers a lot of
information about their products, including why they are superior to competing brands and
how they won’t let the consumer down. Salespeople may be utilized to answer questions and
do a lot of customer “hand-holding”. Many products that are typically high-involvement such
as automobiles may use more personal selling to answer consumers’ questions. Brand names
can also be very important regardless of the consumer’s level of purchasing involvement.
Low-involvement decisions are more straightforward, require little risk, are repetitive,
and often lead to a habit. In effect, these purchases are not very important to the consumer.
Financial, social, and psychological risks are not nearly as great.
In these cases, it may not be worth the consumer’s time and effort to search for exhaustive
information about different brands or to consider a wide range of alternatives. A low-
involvement purchase usually involves an abridged decision- making process. In these
situations, the buyer typically does little if any information gathering, and any evaluation of
alternatives is relatively simple and straightforward. Consumers are diligent enough to get a
product they want, but they generally spend no more time or effort than is needed.
Products, such as chewing gum, which may be low-involvement for many consumers
often use advertising such as commercials and sales promotions such as coupons to reach
many consumers at once. Companies also try to sell products such as gum in as many
locations as possible.

Criticizing the consumer decision making process + Discuss the consumer decision
making process
1. Need recognition: A day rarely passes in which a person does not face multiple problems
that are resolved by consuming products and services. Recognition of other problems, such as
the need for Feelings, such as boredom, anxiety, or the “blues,” may arise quickly or slowly
over time. Such feelings are often recognized as problems subject to
solution by purchasing behavior (Ex: I’m sad, I think I’ll go to the mall/to a movie/to a
restaurant). At other times, such feelings may trigger consumption behaviors without
deliberate decision making. Marketers develop products and also attempt to help consumers
recognize problems, sometimes well in advance of their occurrence.
2. Information searching and processing: Consumers continually recognize problems and
opportunities, so internal and external searches for information to solve these problems are
ongoing processes. Searching for information is not free.
Information search involves mental as well as physical activities that consumers must
perform. It takes time, energy, and money and can often require giving up more desirable
activities. The benefits of information search, however, often outweigh the costs of search.
For example, a search may produce a lower price, a preferred style of merchandise, a higher-
quality product, or greater confidence in the choice.
A consumer decision requires information on the following:
1. The appropriate evaluative criteria for the solution of a problem.
2. The existence of various alternative solutions.
3. The performance level or characteristic of each alternative solution on each evaluative
criterion.
3. Identification and evaluation of alternatives: The task in rational choice theory is to
identify or discover the one optimal choice for the decision confronting the decision maker.
The decision maker simply collects information on the levels of the attributes of the
alternatives, applies pre existing values to those levels, applies the appropriate choice rule,
and the superior option is revealed.
In reality, all consumers have bounded rationality — a limited capacity for processing
information . Moreover, consumers often have goals that are different from, or in addition to,
selecting the optimal alternative . Further, recent research indicates that preferences are not
stable. That is, if an individual is comparing brands A and B, he or she might prefer brand A.
However, if brand C is added to the evoked set, the consumer’s preference might shift to
brand B. => Therefore, for many decisions, consumers do not engage in a strictly rational
choice; instead, they construct a decision process that is appropriate for the situation at hand.
In addition, many consumer decisions do not involve the comparison of brands on their
features at all. Instead, they are based on emotional responses to the brand or overall
impressions of the brand.
- Affective choices tend to be more holistic in nature. The brand is not decomposed into
distinct components, each of which is evaluated separately from the whole. The evaluation of
such products is generally focused on the way they will make the user feel as they are used.
The evaluation itself is often based exclusively or primarily on the immediate emotional
response to the product or service. Decisions based on affect use the “How do I feel about it”
heuristic or decision rule. Consumers imagine or picture using the product or service and
evaluate the feeling that this use will produce. For example, a consumer choosing between a
weekend at a bed-and- breakfast on a beach and a weekend in a nice hotel in a city might
imagine each episode to see how he or she feels. The decision would then be made largely or
completely on these expected feelings.
- Attribute-based choice requires the knowledge of specific attributes at the time the choice is
made, and it involves attribute-by-attribute comparisons across brands. Attitude-based choice
involves the use of general attitudes, summary impressions, intuitions, or heuristics; no
attribute-by-attribute comparisons are made at the time of choice. Attribute - based choices
require the comparison of each specific attribute across all the brands considered. This is a
much more effortful and time-consuming process than the global comparisons made when
attitude-based choice is involved. It also tends to produce a more nearly optimal decision.
4. Purchase decision: Choosing the preferred option and making the actual
purchase.Consumers generally must select outlets as well as products. There are three general
ways these decisions can be made: (1) simultaneously; (2) item first, outlet second; or (3)
outlet first, item second. Once the consumer has selected the brand and retail outlet, he or she
must complete the transaction. This involves what is normally called purchasing the product.
5. Post-purchase behavior: 1 số hành vi trong sơ đồ cuốn xanh (3 slides cuối chương 4)
This is a common consumer reaction after making a difficult, relatively permanent decision.
Doubt or anxiety of this type is referred to as postpurchase dissonance. Most high-
involvement purchase decisions involve one or more of the factors that lead to postpurchase
dissonance, these decisions often are accompanied by dissonance. And since dissonance is
unpleasant, consumers generally attempt to avoid or reduce it.
After the purchase is made, the consumer may use one or more of the following approaches
to reduce dissonance:
• Increase the desirability of the brand purchased.
• Decrease the desirability of rejected alternatives.
• Decrease the importance of the purchase decision.
• Reverse the purchase decision (return the product before use).
Discussing the nature of problem recognition
Problem recognition: is the first stage in the consumer decision process. Problem recognition
is the result of a discrepancy between a desired state and an actual state that is sufficient to
arouse and activate the decision process.
- An actual state: is the way an individual perceives his or her feelings and situation to be at
the present time.
- A desired state: is the way an individual wants to feel or be at the present time.
For example, you probably don’t want to be bored on Friday night. If you find yourself alone
and becoming bored, you would treat this as a problem because your actual state (being
bored) and your desired state (being pleasantly occupied) are different. You could then
choose to call a friend, go out, or take a wide array of other actions.
The kind of action taken by consumers in response to a recognized problem relates directly to
the problem’s importance to the consumer, the situation, and the dissatisfaction or
inconvenience created by the problem.
Without recognition of a problem, there is no need for a decision, when there is no
discrepancy between the consumer’s desired state (what the consumer would like) and the
actual state (what the consumer perceives as already existing). On the other hand, when there
is a discrepancy between a consumer desire and the perceived actual state, recognition of a
problem occurs. Any time the desired state is perceived as being greater than or less than the
actual state, a problem exists.
Perceptions of the actual state are also determined by a consumer’s lifestyle and current
situation. Consumers’ lifestyles are a major determinant of their actual state because that is
how they choose to live given the constraints imposed by their resources. It is important to
note that it is the consumer’s perception of the actual state that drives problem recognition,
not some objective reality. For example, Consumers who smoke cigars may believe that this
activity is not harming their health because they do not inhale. These consumers do not
recognize a problem with this behavior despite the reality that it is harmful.

What happens if a consumer is dissatisfied with the products?

When a consumer is dissatisfied with a product, a range of possibilities can unfold, depending
on the nature of the dissatisfaction, the consumer's personality, and the company's response.
Here are some potential scenarios:
Immediate reactions:
- Direct action: The consumer might immediately return the product, demand a refund,
complain to the company directly, or leave a negative review online.
- Inaction: Some consumers might simply feel disappointed or frustrated but take no
immediate action, either due to inconvenience or lack of knowledge about their options.
- Word-of-mouth (WOM): Dissatisfied consumers are more likely to share their negative
experiences with others, potentially damaging the company's reputation and impacting future
sales. WOM is a critical factor in consumer behavior. Consumers trust WOM more than
many other sources and, therefore, tend to rely on it heavily when making decisions.
Possible outcomes:
- Company resolution: If the company handles the complaint effectively, offering a
replacement, refund, or other apology, they can turn a dissatisfied customer into a loyal one.
- Loss of trust: If the company mishandles the situation, the consumer might lose trust in the
brand and be unlikely to purchase from them again.
- Legal action: Depending on the severity of the issue and the company's response, the
consumer might seek legal recourse.
Beyond the individual consumer:
- Impact on brand reputation: Dissatisfied customers can damage a company's brand
reputation through negative online reviews, social media posts, and word-of-mouth.
- Loss of sales: Dissatisfaction can lead to decreased sales and revenue for the company.
- Product improvement: Consumer complaints can provide valuable feedback for companies
to improve their products and services.
It's important for companies to understand the potential consequences of consumer
dissatisfaction and implement strategies to effectively address it. This might include:
- Having a clear and easy-to-follow return policy.
- Training customer service representatives to handle complaints effectively.
- Monitoring online reviews and social media for mentions of the brand.
- Proactively gathering feedback from customers to identify areas for improvement.
By taking these steps, companies can mitigate the negative impact of consumer
dissatisfaction and turn it into an opportunity for growth and improvement. Remember, the
specific outcome depends on various factors, and individual situations can vary greatly.

CASE: Bobby is a customer that purchased the product from Machinema which is a
company that sells computers, PC and customized PC for different purposes, but somehow,
he is quite disappointed about his toy since it is not as good as being consulted during the
sales conversation.
1. Discuss all the possibilities that Bobby would do if he was dissatisfied about his product
and solutions for Machinema?
2. When you see Bobby has brought the toy back to the store and intend to complain about it,
as a manager, what should you do to make sure that he will/ might listen to you and corporate
with the store to solve the problem if the toy is still under warranty condition
When Bobby purchased a product from Machinema and found himself disappointed because
it didn’t meet the expectations set during the sales conversation, he had several potential
courses of action. Bobby might return to the store seeking a refund or exchange, contact
customer support for technical help or repairs, or escalate his complaint to management.
Additionally, he could voice his dissatisfaction publicly through online reviews or social
media, possibly impacting Machinema’s reputation. In more severe cases, he might file a
formal complaint with consumer protection agencies or even pursue legal action. There’s also
the risk that Bobby will take his future business to competitors and discourage others from
buying from Machinema. To address these possibilities, Machinema can implement robust
solutions. Enhancing customer service by ensuring prompt and empathetic responses is
critical, as is providing clear communication about return and warranty policies. Offering
flexible return and exchange options, maintaining high product quality, and ensuring accurate
marketing to avoid over-promising can prevent such issues. Engaging with customers
proactively through follow-ups and encouraging feedback can also help Machinema improve
and adapt its offerings to meet customer needs better. Providing compensation or incentives
can further help to retain Bobby’s business and rebuild his trust in the company.

When Bobby brings the product back to the store to complain, the manager's approach is
crucial in ensuring he feels heard and satisfied with the resolution. The manager should
warmly welcome Bobby and actively listen to his concerns, showing empathy and
understanding throughout the interaction. It’s essential to assess the situation by examining
the product and reviewing the warranty and store policies quickly. Presenting Bobby with
clear options for resolving the issue, such as a refund, exchange, or repair, while transparently
explaining the process and any policy constraints, is key to regaining his confidence. Taking
immediate action to resolve the problem, providing necessary documentation, and offering
additional support, like contact information for further assistance or a small compensation
gesture, can help turn Bobby’s negative experience into a positive one. Following up after the
visit to confirm his satisfaction will demonstrate Machinema’s commitment to excellent
customer service and help secure his loyalty in the future.