Marketing 321- chapters 3,6,7

Competitive, economic, political, legal and regulatory, technological and sociocultural
6 External forces:
Global Market
Technology provides a digital deliverey of products which is an efficient and effective way to reach the ____________ ___________.
Environmental Forces
Marketers continue to modify their marketing strategy to in response to ______ ______.
Environmental scanning
The process of collecting information about the forces in the marketing environment
-Observation
-Secondary Sources (business, trade, general-interest publication)
-Marketing research
Environmental Scanning involves:
The internet
What is todays most popular scanning tool?
Environmental Analysis
The process of assessing and interpreting the information gathered through environmental scanning
Strategic Planning
Understanding the current state of the marketing environment and recognizing threats and opportunities that mights arise from changes within it can help companies in their _____ ____.
-Accepting them as uncontrollable (passive, reactive)
-trying to influence and shape them in some way (proactive)
What two general approaches do Marketing managers take towards environmental forces?
Strengths and weaknesses
Whether to take a proactive or reactive approach to environmental forces is based on a companies —– — —-.
Competition
Other firms that market products similar or substitute for our product
Brand competitors
Two or more companies that have similar feature and benefits and prices. (coke and pepsi)
Product competitors
Companies that compete in the same product class but market products with different features benefits and price (Iced tea instead of soda)
Generic competitor
Different products that satisfy same basic customer need. (water from tap vs soda)
Total budget competitors
companies that compete for limited financial resources of a customer (Soda vs. gum/newspaper/banana
Brand competitors
Marketers tend to focus environmental analysis on _____________ __________ competitions bc they are the most sifnificant competitors bc direct substitute
Monopoly
organization offers a product that has no close substitutes, making them the sole source of supply (Google)
Oligopoly
when few sellers control the supply of a large proportion of a product (airlines)

-few competitors
-some barriers
-slightly different product from other few competitors

Other sellers
In Oligopoly each seller considers the reaction of _______________ _______________ to the changes in marketing activity.
Monopolistic Competition
A company with many potential competitors attempts to develop a marketing strategy to differentiate its product
Pure Competition
A competition that has an extremely large number of sellers none of which could significantly influence price or supply. (farmers market)

– easy to enter market
-homogeneous market

Competitive Intensity
What influences a firms strategic approach to markets?
Price
One marketing strategy that most competitors monitor?
Market orientation
understanding the market and what customers want as well as what the competition is providing will assist in maintaining a ___ ____.
prosperity, recession, depression, and recovery
Business cycle consists of four stages:
Multiple markets around the world
economic variations in the global marketing place creates planning challenge for firms that sell in?
Low; High
during prosperity unemployment is ____ and total income is relatively _______?
Buying power
Prosperity and low inflation rates ensures high?
Marketing efforts
during recession marketers sometimes make hte mistake of drastically reducing their _______ _______ which damages their ability to survive.
Recession; Depression
A prolonged _________ may be come a _______, a period which unemployment is extremely high wages are very low total disposable income is at a minimum and consumers lack confidence in the economy
Recovery
marketers face problems during ___________ , as it is difficult to predict how quickly and to what level prosperity will return.
Buying power
the strength of a persons ______ ______ depends on economic conditions and the size of the resources (money) that can be traded in an exchange that enable the individual to make purchases
Income
___________ is usually allocated among taxes, spending for goods , and savings.
Median annual household income
the _________ _______ ___________ ________ for the US is 53,657.
disposable income
Marketers are most interested in the amount of money left after byment of taxes bc this _______ ______ is used for spending or saving ( including necessary expenses)
-price of taxes
-how high the income is
Factors that decided amount of disposable income
Discretionary Income
whats left of Disposable income that can be spent on fun things( after Necessary expenses are paid ) is called?
Discretionary income
Changes in total _______ effects sales of many costly durable goods.
Credit
_____________ increase current buying power at the expense of future buying power.
Interest Rates
_____________ ____________ affects buyers willingness to use credit, especially for expensive purchases.
Wealth
____________ is an accumulation of past income, natural resources and financial resources.
Income, credit and wealth
what 3 things equip consumers with buying powers to purchase goods and services
Willingness to spend
a products price and value has the most influence of a customers ________ __ ________.
Consumers willingness to spend
what does the following list influence?
-future employment,
– income levels,
– prices,
-family size,
-general economic conditions
New consumer financial protection bureau
the __________ _________ ___________ ______ ________ (created to protect consumers from financial deception), is blamed by many political leaders for slowing down the economic recovery, and adding extra costs and uncertainty to business decision making
Secure foreign markets
Political officials can play key roles in helping organizations do what ?
have no restriction on how much they can back a candidate
due to the court can Citizens united vs federal election commission corporations now ….?
employ lobbyist to express their concerns to elected officials
Many organizations that are concerned about a threat of legislation or regulation that may negatively afftect their operations will do what?
-product development and testing
-packaging,
– labeling;
– advertising
-consumer financing
Most laws focus on these particular marketing activities:
laws and regulations
Many companies are choosing to provide incentive that fosters culture of ethics and responsibility that encourages compliance with ___________ and _____________.
-False advertising
-Misleading prices
-deceptive packaging and labeling
the federal trade commission (FTC) allocates a large portion of resources to curbing what 3 things?
Federal Trade Commission (FTC)
Of all the federal regulatory units, which one influences marketing activities the most?
1. issue a complaint
2. issue a cease and desist
If the FTC thinks a company is violating the law it will first do what? and if that is ignored what will they do next?
$10,000
If a firm takes the FTC to court the FTC has the right to charge how much a day for each infraction if a cease and desist order is violated?
Corrective Advertising
The FTC can require a company to run __________ _________ in response to previous ads deemed misleading.
Better Business Bureau (BBB)
a system of nongovernmental, independent, local regulatory agencies that are supported by local businesses
Self – regulatory programs
_______________ __________ _________ lacks the tools or authority to enforce guidelines
Less
Guidelines in self regulatory programs are often _______________ strict than those established by governmental agencies.
technology
_______________________- is more than just phones, vehicles, radios etc., those are just the outgrowth of it. this terms definition is actually the application of knowledge and tools to solve problems and perform tasks more efficiently.
-Rapid technological growth
-Higher
________________ ________________________ ____________ has transformed the US economy into the most productive in the world and provided Americans with a ___________ standard of living.
Internet of things
The phenomenon — known as the ___________ __ ___________– will greatly impact how we do business and live our daily lives.
1 hour and 16 minutes;
28%
Its estimated that us adults average about ___ hours and ____ minutes a day on digital devices. Users worldwide spend about ________ percent of time on social networking sites.
Technology
the effects of _______________________ relate to characteristics such as dynamics, reach and self- sustaining nature of technological progress
Dynamics
The ____________________ of technology involve the constant change that challenges companies.
Reach
the __________ of technology refers to the broad nature of technology as it moves through society
Self – sustaining Nature
the _______________ of technology relates to the fact that technology acts as a catalyst to spur even faster development.
Hacking or data theft
Our increased reliance on computer technology for business purposes has led to an increased risk of ______________ or _____________ ___________
SOCIOCULTURAL FORCES
the influences in a society and its culture that brings about changes to peoples attitudes , beliefs, norms, customs, and lifestyles is called what?
demographic/diversity characteristics,
Cultural values
Consumerism
Sociocultural forces examines three major issues:
Demographics/ diversity characteristics;
What is the following list describing:
Age
gender
race
ethnicity
marital and parental status
income
education
DECREASE
US populations will INCREASE or DECREASE without immigration.
Consumerism
Organized efforts by individuals groups and organizations to protect consumers rights.
Consumer Market
consists of purchasers and household members who intend to consume and benefit from the purchased products and do not intend to use them to make a profit
(aka business-to-consumer (B2C) markets)
ex: IKEA marketing to consumers
Business Market
consists of individuals or groups that purchase a specific kind of product for one of 3 purposes: resale, direct use in producing other products, or use in general daily operations.
(aka business-to-business (B2B) markets)
ex: Dropbox Business marketing to business’
Target Market Selection Process
1. Identify the appropriate targeting strategy
2. Determine which segmentation variables to use
3. Develop market segment profiles
4. Evaluate relevant market segments
5. Select specific target markets
Target Market
A group of people or organizations for which a business creates and maintains a marketing mix specifically designed to satisfy the needs of group members.
(strategies are selected based on target market characteristics, product attributes, and the other organizations objectives and resources.)
Undifferentiated targeting strategy
A strategy that assumes all customers in the target market have similar needs, and thus the organization can satisfy most customers with a single marketing mix with little or no variation.
(this strategy works well with commodities and staple food items)
To use this strategy, the company must have a “homogeneous market” (large population making up a market of similar needs), and the resources to develop a single marketing mix to meet the customers needs.
heterogeneous market
market comprised of individuals or organizations with diverse product needs.
ex: The automobile market (some might need a truck to haul things, others might need a fuel efficient sedan for the city.)
Market Segmentation
the process of dividing a total market into groups, or segments, that consist of people of organizations with relatively similar product needs
-allows marketers to design a marketing mix that more precisely matches the needs of its customers.
-best used for heterogeneous markets.
Market Segment
consists of individuals, groups, o organizations that share one or more similar characteristics that cause them to have relatively similar product needs
-some may be unreachable due to legal, social, or distribustion constraints.
ex: the jeans market has many market segments.
5 conditions for Market Segmentation to be successful:
-First, customers needs must be heterogeneous.
-Second, segments must be identifiable and divisible
-Third, sales potential, costs, and profits must all be comparable between the various segments
-Fourth, the profit potential of a segment must be justifiable to maintain the marketing mix.
-Fifth, the company must be able to reach the segment with a particular marketing mix.
Concentrated Targeting Strategy
when an organization directs its marketing efforts toward a single market segment using one marketing mix.
-allows a company to specialize.
-can be hazardous if the specialized market segment gets smaller or has changing needs.
Differentiated Targeting Strategy
when an organizations directs its marketing efforts at two or more segments by developing a marketing mix for each segment.
-benefit is that company can increase sales., however, with more variety comes more production costs.
ex: Enterprise Rent-A-Car is thinking about expanding to a new segment of renting out motorcycles.
Segmentation Variables
the characteristics of individuals, groups, or organizations used to divide a market into segments.
-relates to a customers needs for, uses of, or behavior toward the product.
-Variables grouped by: Demographic, Geographic, Psychographic, and Behavioristic
ex: location, age, gender, rate of product usage.
Demographic Variables
Marketers commonly use age, gender, race, ethnicity, income, education, occupation, family size, family life cycle, religion, and social class.
(as Baby Boomers age, the average U.S. population age is rising.)
(women account for 85% of consumer purchases)
(2 millions weddings performed each year, avg cost being $31,213)
(26.7% of americans live alone)
Geographic Variables
Include terrain, climate, city size, populations density, and urban/rural areas
(Metropolitan Statistical Area,”MSA”, urbanized area encircled by nonmetropolitn counties. / Primary Metropolitan Statistical Area,”PMSA”, metropolitan area with atleast 1 million / Consolidated Metropolitan Statistical Area,”CMSA”, metropolitan area with atleast 1 mil and has 2 or more PMSA’s)
(the 5 largest CMSA’s are 20% of U.S. pop.)
Market Density
the number of potential customers within a unit of land area, such as a square mile. (different from population density)
Geodemographic segmentation
clusters people by zipcodes or neighborhood units based on lifestyle and demographic information.
-can be effective bc some people choose to live by people of similar lifestyles.
(Nielsen’s PRIZM, provides this type of info)
Micromarketing
involves focusing precise marketing efforts on very small geographic markets, such as community and even individual neighborhoods.
Psychographic Variables
Include personality characteristics, motives, and lifestyle.
-marketers typically focus on positive personality traits
-motives refer to the reasons a purchase was made
ex: Zzzquil focuses on the customers motivation to get a good nights rest.
-PRIZM can also be used to segment by lifestyle.
Behavioristic Variables
Involves an aspect of product use, such as heavy, moderate, light, and nonusers.
Benefit Segmentation
is the division of a market according to benefits that consumers want from a product.
-benefits a consumer seeks are their product needs.
Effective if:
1. benefits sought are identifiable
2. benefits desired must be used to create different segments
3. one or more of the segments must be accessible to firms marketing efforts.
Segment variables for business markets
Geographic location
Type of organization
Customer size
Product use
Market Segment Profile
describes the similarities among potential customers within a segment and explains the differences among people and organizations in different segments
-compares the various variables
-helps assess the degree of benefit
-helps assess business capabilities
-helps assess best fit of a segment for a business
Sales Estimates
can be measured by product level(a single product or line of products), geographic level, time(short(<1year),medium(1-5years), and long term(>5)), and level of competition(whether sales are being estimated for a single firm or an industry.)
Market Potential
total amount of a product that customers will purchase within a specified period at a specific level of industry-wide marketing activity. (stated in dollars or units)
-assessed by economic, sociocultural, and other environmental factors.
Company Sales Potential
the maximum percentage share of a market that an individual firm within an industry can expect to capture for a specific product.
-a firm cannot exceed market potential
-marketing activities impact firms sales potential.
breakdown approach
An approach that measures company sales potential by developing a general economic forecast for a specific time period then estimating the market and company potential from that forecast.
buildup approach
An approach that measures company sales potential by estimating how much of a product a potential buyer in a specific geographic area will purchase in a given period and then multiplying that by the amount of potential buyers in that given area and then adding up totals from all considered areas.
Competitive assessment
A market segment that seems attractive needs to undergo a competitive assessment to determine if its competitors dominate the area. If so, how well are the competitors doing their job? and can your business be competitive in that market regardless?
ex: Cholula hot sauce advertises why its hot sauce hasthe competitive advantage.
Cost Estimates
Cost estimates must be considered when trying to reach a market segment. If costs are too high, that market segment might be inaccessible.
Sales Forecast
the amount of a product the company expects to sell during a specific period at a specific level of marketing activity.
-differs from sales potential in the fact that if focuses on expected sales based on a LEVEL OF MARKETING EFFORT.
(used for planning, organizing, implementing, and controlling activities.)
-overambitious forecasts can lead to overbuying, overinvestng, and higher costs.
Executive judgement
A sales forecasting method based on the intuition of one or more executives.
customer forecasting survey
marketers ask customers what types and quantities of products they intend to buy during a specific period.
ex. Lockheed Martin could use this since it has a small customer base, but PepsiCo could not possibly use this.
sales force forecasting survey
firms sales people estimate anticipated sales in their territories for a specified period, then estimates are combined for a total.
expert forecasting survey
hired professionals that conduct forecasting survey.
-consist of economists, management consultants, advertising executives, college professors, or other individuals outside the firm.
Delphi technique
A more complex form of the expert forecasting survey where experts create initial forecasts, submit them to the company for averaging, and have the results returned to them so they can make individual refined forecasts. (becomes highly reliable)
time series analysis
forecasting sales method that uses historical sales data to discover a pattern or patterns in sales over time.
-assumes past sales patterns will continue into the future.
Has 4 types of analyses:
1)Trend Analysis- focuses on aggregate sales data, such as the company’s annual sales figures to determine if sales are rising, falling, or staying about the same.
2)Cycle Analysis- analyzes (often monthly) sales figures for 3-5 yr period to determine if sales fluctuate consistently and periodically.
3)Seasonal Analysis- evaluates the degree to which seasonal factors such as climate and holiday activities effect sales.
4)Random Fact Analysis- attempts to attribute erratic sales variations to random, nonrecurring events.
regression analysis
forecaster seeks to find a relationship between past sales and one or more independent variable such as population or per capita income.
Market test
involves making a product available to buyers in one or more test area and measuring purchases and consumer responses to the product, distribution, promotion, and price.
ex: Mcdonalds is using a market test for Monster energy drinks at select stores.
Market
A group of individuals or organizations that all have a desire, ability, willingness, and authority to buy a particular product or products. You must possess all four above characteristics to truly be apart of the market.
ex: teens are not in the market for alcohol bc they do not have the authority to consume it.
Buying behavior
the decision processes and actions of people involved in buying and using products
Business purposes
Consumers purchasing behavior refers to those purchasing products for household use, not _________ __________.
1. customers overall opinion about firm
2. to create a marketing mix that meets customers needs
3. understand factors that affect buying behaviors to predict future behaviors
Marketers attempt to understand buying behaviors for several reasons:
Problem Recognition
This stage of Consumer buying decision process occurs when a buyer becomes aware of a need they were unaware of before. (realizes theres a problem) ( gloves that heat up )
Information search
This stage of Consumer buying decision process, the consumer decides whether to and where to satisfy need. occurs after consumer recognizes need.
1. internal search- uses memories fo info on products
2. external search – look to outside sources for where to satisfy need
In the information search stage of the CBD process, the consumer will go through two types of searches. What are they/explain each?
Mobile device
Consumers usually begin there information search on a _______ ________.
Evaluation of alternatives
This stage of Consumer buying decision process occurs after the information search has produced a group of alternatives. during this stage the alternatives will be evaluated.
consideration set
the list of alternatives evaluated during the “evaluation of alternatives stage of the CBD process is called?
Evauluation Criteria
To assess the products in the consideration set, buyers use ________________ _____________.
Objective characteristics ( size, speed, capacity ) and subjective characteristics (color, style)
evaluative criteria includes 2 characteristic types:
move into the next stage . the purchase stage
if the eval alternatives. yields one or more brands that the consumer is willing to buy then he or she is ready to …..?
Purchase stage
During this stage of Consumer buying decision process Consumer pick seller they will buy from and also settle other issues (price, delivery, warranties maintenance agreements, etc.)
Post purchase evaluation
During this stage of Consumer buying decision process, the consumer evaluates the product to see if it meets expectations.
women than men
Perceived value of a purchase has a weaker repurchase effect for__________ than ________.
Men than women
the effort of having to go and exchange the item at the store has a larger impact on _____________ than _____________.
High Priced items
the post purchase stage is especially important for ___________________ items.
Cognitive Dissonance
The doubt in a customers mind of whether buying a really expensive object was the right decison is called?
Situational
Psychological
social
3 major categories of influences affect the consumer buying decision process:
1. problem recognition
2. informationa search
3. evaluation of alternatives
4. purchase
5. post purchase eval.
what are the 5 stages of the consumer buying decision process?
what when where and how
To find out what satisfies consumers, marketers must examine the main influences on _______, __________, ___________, ________ they buy.
Cost and type of product
The amount of effort both mental and physalis l that buyers expend in solving problems also varies considerably with the ___________ and __________ of products.
1. routinized response behavior,
2.limited decision making
3. extended decision making
3 types of consumer decision making:
Routinized response behavior
_________ __________ __________ is used when buying frequently purchased, low cost items that require very little search and decision effort. (batteries–> dont care about the brand )
Learning
changes in a persons thought processes and behavior caused by information and experience.
-influenced by the consequences of behavior
-business’ try to shape consumer behavior by encouraging product trial and reducing purchase risk.
Attitude
an individuals enduring evaluation of feelings about and behavioral tendencies toward an object or idea
-consists of three major components:
1:cognitive- the persons knowledge and information about the object or idea
2:affective- comprises the individuals feelings and emotions toward the object or idea
3:behavioral- component that manifests itself through the persons actions regarding the object or idea.
Fishbein model (AKA) the attitude toward the object model
used to understand, and possibly predict, a consumers attitude.
-consists of:
1)beliefs about product attributes
2)the strength of beliefs
3)the evaluation of beliefs
*These 3 form the overall attitude toward the object.
Theory of Reasoned Action (AKA) the behavior intentions model
focuses on intentions to act or purchase.
-focuses on buying behavior and how the influence of other(peers) effects decisions.
-can gauge customer attitudes through consumer surveys
attitude scale
consists of a series of adjectives, phrases, or sentences about an object. Respondents are asked to share how they feel about various statements that should indicate their attitude towards something.
personality
a set of internal traits and distinct behavioral tendencies that result in consistent patterns of behavior in certain situations
-combo of hereditary charateristics and personal experiences.
self-concept (AKA) self-image
is one’s perception or view of oneself.
-this changes based on an interaction between psychological and social dimensions
ex: companys like patagonia will try to relate to consumers self-concept by marketing themselves as what they think their consumers identify as. For Patagonia, they appeal to “outdoor enthusiasts”
lifestyle
is an individuals pattern of living expressed through activities, interests, and opinions.
PRIZM (make sure you know this Morgan)
Its a product developed by a company called Claritas, but later acquired by a company called Nielsen (one of the leading research companies in the world). This program provides a lot of information about consumers, market segments, and basically any information you would need to know about the different characteristics and variables that make up those individuals.
social influences
forces that other people exert on buying behavior
-include roles, family, reference groups/opinion leaders, social classes, and culture/subcultures
roles
sets of actions and activities a person in a particular position is supposed to perform based on the expectations of both the individual and surrounding people.
-influences general behavior and buying behavior
ex: a man may play the role of father, son, brother, husband, etc.
Consumer socialization
is the process through which a person acquires the knowledge and skills to function as a consumer
– these skills and knowledge typically comes from parents and family
reference group
a group, either large or small, with which a person identifies so strongly that he or she adopts the values, attitudes, and behavior of group members.
– can be family, work related groups, frats or srats, civic clubs, professional orgs, or church related groups
-serves as individuals point of comparison and source of info.
reference group ability to influence depends on how effective message is communicated, type of product, and susceptibility to reference group influence.
3 types:
– membership- group where individual actually belongs
– aspirational- group that individual aspires to belong to(this is why company’s choose celebs to advertise product)
– disassociative- a group an individual does not want to be a part of
opinion leader
is a member of an informal group who provides information about a specific topic to other group members seeking information.
-an individual of position who has knowledge/expertise that makes them credible.
-opinion leaders aren’t the most knowledgeable, but because they know other look to them for certain info, they feel the need to stay updated and most informed about a particular subject.
ex: pastor, “movie buff” friend, family doctor, “techie” acquaintance.
social class
is an open aggregate of people with similar social rank.
-ranked through a process called social stratification
-referred to as open because people can move in and out of the class
-in the u.s., factors include occupation, education, income, wealth, race, ethnic group, and possessions.
-influences spending, saving, and credit practices.
ex: upper-upper, lower-upper, upper middle, middle class, working class, upper-lower, lower-lower.
-Kellogg Company acquired Mass Food Group in Egypt to gain hold in a desirable market because the middle class is growing in other countries like India, China, and Brazil.
“trickle-down” effect
when members of lower classes try to emulate upper class members by buying the things they buy or naming children after them.
-blue jeans were in a sense, reverse trickle down, in that they used to be only for the working class, but after teens of the 50’s started wearing them as a sign of rebellion, it started becoming popular across all social classes.
Culture
is the accumulation of values, knowledge, beliefs, customs, objects, and concepts that a society uses to cope with its environment and passes on to future generations.
-effects nearly all aspects of life
subculture
is a group of individuals whose characteristics, values, and behavioral patterns are similar within the group and different from those of people in the surrounding culture.
-usually based on age, religion, race, and ethnicity
-include punk, rocker, gamer, biker, cowboy, business professional.
-by 2050, 1/2 of the US pop will be ethnic/racial minorities. (Black, Hispanic, and Asian are the fastest subcultures on the rise.)
consumer misbehavior
behavior that violates generally accepted norms of a particular society.
-include shoplifting or purchase of illegal drugs
Limited Decision Making
When buyers buy products occasionally or from unfamiliar brands in a familiar product category they are engaging in what ?
Extended decision making
The most complex type of decision making is called?
extended Decision making
A decision making that occurs with high involvement, unfamiliar, expensive or infrequently purchased items.
impulse
Most consumers make purchases solely on _______________.
Impulse Buying
Involves no concious planning and stems from a powerful urge to buy something immediately
Impulse buying
retailers set up things around the cash register to encourage ______________ ___________.
Level of involvement
a major factor in the type of decision making process that will be used depends on the customers ______________ _____ ___________.
situational involvement
an involvement that is temporary and dynamic and results from a particular set of circumstances (needing to buy a new laptop cause a papers due)
Perceived risk of purchase
What has the most effect on the level of involvement from the consumer.
Situational Influences
results from circumstances, time, and location that affect the consumer buying decision process.
Situational factors
_________________ factors can be classified into these five categories:
-physical surroundings,
– social surroundings,
-time perspectives,
-reason for purchase
-the buyers momentary mood and condition
-physical surroundings- stores, atmosphere, smells weather
– social surroundings- interactions of others who are present during a purchase decision
-time perspectives-varying amount of time to progress through decision process
-reason for purchase-what product purchase should accomplish and for whom
-the buyers momentary mood and condition
descriptions for each of the following:
-physical surroundings,
– social surroundings,
-time perspectives,
-reason for purchase
-the buyers momentary mood and condition
Primary Psychological influences
_______________ ____________ influences on consumer behavior are:
-perception,
-motives,
-learning,
– attitudes,
– personality and self concept.
-lifestyle
Perception
the process of selecting, organizing, and interpreting information inputs to produce meaning
Information Input
_____________ __________ are sensations received through sight, taste, hearing, smell and touch
Selection
the first step in the perceptual process is.;..?
Selective Exposure
Only paying attention to select things and letting them reach awareness.
Selective Distortion
changing or twisting received information. changing meaning/interpreting to align more closely with expectations
Selective retention
person remembers stuff that supports their feelings and beliefs and for gets inputs that do not.
Figure – ground
a portion of the information reaches awareness and stands out as the figure and others become the background
Motive
A ________________ is an internal energizing force that directs a persons activities toward satisfying needs or achieving goals.
Buyers
___________ are affected by a SET of motives
Utilitarian and hedonic consumers
Onlines shoppers are divided by two different consumer motivations?
Utilitarian consumer
__________________ consumers shop online bc its fast and useful
Hedonic consumers
___________ consumers shop online bc its fun and enjoyable to find bargains
Physiological needs
safety needs
social needs
esteem needs
self actualization needs
Maslows Hierarchy of Needs pyramid consists of what 5 levels?
Physiological needs
the basic level of Maslows pyramid; need food shelter sex clothing
safety need
second level of maslows pyramid; need security and freedom from physical and emotional pain
social needs
third level of maslow pyramid; need for love and affection
esteem Needs
fourth level of mallows pyramid; need respect and recognition from others
Self actualization
fifth and top level of mallows pyramid; need to grow and develop and to the best they can be
Patronage motives
places a customer goes to frequently bc of prices, service, location