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EXAM 2 Review

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by: emmarie96

EXAM 2 Review 3323

OK State
GPA 3.42

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About this Document

This review covers chapters 7-11 for the upcoming exam.
Consumer and Market Behavior
Dr. Zachary Arens
Study Guide
50 ?




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"Eugh...this class is soo hard! I'm so glad that you'll be posting notes for this class"
Orval Thiel

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This 13 page Study Guide was uploaded by emmarie96 on Sunday March 27, 2016. The Study Guide belongs to 3323 at North Dakota State University taught by Dr. Zachary Arens in Winter 2016. Since its upload, it has received 333 views. For similar materials see Consumer and Market Behavior in Marketing at North Dakota State University.


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Eugh...this class is soo hard! I'm so glad that you'll be posting notes for this class

-Orval Thiel


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Date Created: 03/27/16
CONSUMER BEHAVIOR EXAM 2 REVIEW (CHAPTERS 7-11) I. CHAPTER 7 – ATTITUDE A. attitude- relatively enduring overall evaluations of objects, products, services, issues or people; general feeling B. Functional Theory of Attitudes 1. 4 Functions: 1) utilitarian function- attitudes to obtain rewards/ avoid punishment 2) knowledge function- simplify decision processes 3) value-expression function- expression of core values 4) ego-defensive function- defense mechanism to defend low self-concept C. 3 Components of Attitudes: a) AFFECT – feelings about an object b) BEHAVIOR c) COGNITION – thoughts/beliefs about an object 1 HIERARCHY OF EFFECTS d) high involvement – C, A, B – think, feel, act e) low involvement – C, B, A – think, act, feel f) experiential involvement – A, B, C – feel, act, think g) behavioral influence – B, C, A – act, think, feel D. Multiattribute Model - overall evaluation from combined attitudes E. Attitude Towards Objects (ATO Model) - attitudes are made up of attitudes from all attributes - Ao= Σ(b i(e i - A= overall attitude / Σ= sum of all b(e)’s / b= beliefs about an attribute / e= evaluation of attributes 1. beliefs – VARY across brands 2. evaluations – do NOT VARY across brands F. Compensatory Model - decisions are compensatory or non-compensatory - high ratings on one attribute can makeup for low ratings on another o it “compensates” for the bad o ATO model is compensatory G. Attitude Behavior Consistency H. relationship between an attitude toward an object and the behavior towards that object (FIG 7.4) I. Change in Attitudes: 4 Theories 1. ATO Model - changes in beliefs/evaluations can affect our attitude - positives and negatives of an attritube 2. Balance Theory - people want to be consistent in their thoughts (FIG 7.6) 3. Elaboration Likelihood Model - consumers process messages in 2 ways: o CENTRAL ROUTE – highly involved; really care about message o PERIPHERAL ROUTE – low involvement; don’t really care - 2 cues IN the message: o CENTRAL cues – info about the quality of the product o PERIPHERAL cues – info UNRELATED to the product 4. Social Judgment Theory (FIG 7.7) II. CHAPTER 8 – GROUP & INTERPERSONAL INFLUENCE A. group influence- the ways group members influence attitudes B. CHARACTERISTICS OF A GROUP: - share common goals/interests - communicate with and influence one another - view themselves as members of common social unit - IN group defined by NOT being OUT group C. group types: PRIMARY, SECONDARY, ASPIRATIONAL, DISSOCIATIVE D. aspirational groups- group in which one desires to become a member dissociative groups- group in which one does NOT want to belong E. social power- ability of individual/group to influence the actions of others 1. referent power 2. legitimate power 3. expert power 4. reward power 5. coercive power F. Group Influence on PRODUCT SELECTION (FIG 8.2) - product necessity VS. consumption setting - public necessity, public luxury, private necessity, private luxury G. Word of Mouth (WOM) - positive or negative - fake WOM (ex: paid/phony reviews) - amplified WOM (ex: being sent free products to share about) - influence of social media III. CHAPTER 9 – CONSUMER CULTURE A. what does culture do? - gives meaning to objects - gives meaning to activities - facilitates communication B. cultural norms- rules that specify what is or is NOT appropriate behavior in a situation within a given culture C. Dimensions of Cultural Values 1. Core Societal Values (CSV) – (TABLE 9.4) - individualism – value self, personal achievement o OPPOSITE: collectivistic culture - masculinity – value assertiveness and control o OPPOSITE: feminine culture - power distance – emphasize social status (high power) o OPPOSITE: low power distance - uncertainty avoidance – uncomfortable with unknown and high risk o OPPOSITE: low uncertainty avoidance - long term orientation – o OPPOSITE: short term orientation D. glocalization – idea that market strategy may be global but the implementation of that strategy at the marketing tactics level should be local (ex: McDonald’s menu varies from country to country/culture to culture) IV. CHAPTER 10 – MICROCULTURES A. microcultures – group of people who share similar values and tastes that are subsumed within a larger culture 1. role conflict- consumer experience conflicting expectations based on cultural expectations 2. divergence- consumers choose membership in microcultures in order to stand out or define themselves B. FACTORS OF MICROCULTURES: 1. geography 2. age/generations a) cohort- group of people who have lived the same major experiences, which end up shaping their core values - Greatest Gen: before 1928 – hard work, self sacrifice, conformity - Silent Gen: 1928-45 – civic duty, strong faith in gov’t, frugal - Baby Boomers: 1945-65 – suburbia, self absorbed, stressed - Gen X: 1965-80 – latch key kids, cynicism, practical - Millennials: 1980-95 – embrace technology, optimism, econ. hardships - Gen Z: 1995-2013 – social media, technology, accepting diversity V. CHAPTER 11 – CONSUMERS IN SITUATIONS A. Time 1. Time pressure- causes the use of HEURISTICS- mental shortcuts 2. Time of day a) circadian cycle- daily energy cycle based on sleeping and waking times 3. Time of year a) advertiming- places ads/promotion strategically at certain times of the day/year B. Construal Level Theory 1. proximal event- will happen soon; viewed concretely 2. distal event- won’t happen for a long time; viewed discretely (ex: volunteering 3 mo. from now VS. the day before C. Atmospherics 1. fit- how appropriate the elements are to the environment 2. congruity- consistency of elements with each other 3. ELEMENTS: a) odor - olfactory b) music – fast vs. slow; secular vs. religious c) color – cool vs. warm d) merchandising – signage, placement e) social setting – crowdage (nonlinear effect) D. Types of Shopping 1. acquisitional – oriented toward a specific, intended purchase 2. epistemic – acquiring knowledge about a product 3. experiential 4. impulsiveness – spontaneous; diminished regard for consequences - self regulation- inhibiting situational influences from interfering with intentions o action oriented VS state oriented E. IMPULSIVE vs UNPLANNED vs COMPULSIVE 1. impulsive- spontaneous; hedonic; self- fulfillment 2. unplanned- spontaneous; utilitarian 3. compulsive- compulsive buying disorder; harmful/uncontrollable; chronic depression CONSUMER  BEHAVIOR  EXAM  2  REVIEW   (CHAPTERS  7-­‐11)   I. CHAPTER  7  –  ATTITUDE   A. attitude-­‐  relatively  enduring  overall  evaluations  of  objects,   products,  services,  issues  or  people;  general  feeling   B. Functional  Theory  of  Attitudes   1. 4  Functions:   1)  utilitarian  function-­‐  attitudes  to  obtain  rewards/  avoid  punishment   2)  knowledge  function-­‐  simplify  decision  processes   3)  value-­‐expression  function-­‐  expression  of  core  values   4)  ego-­‐defensive  function-­‐  defense  mechanism  to  defend  low  self-­‐ concept   C. 3  Components  of  Attitudes:   a) AFFECT  –  feelings  about  an  object   b) BEHAVIOR   c) COGNITION  –  thoughts/beliefs  about  an  object   1. HIERARCHY  OF  EFFECTS   a) high  involvement  –  C,  A,  B  –  think,  feel,  act   b) low  involvement  –  C,  B,  A  –  think,  act,  feel   c) experiential  involvement  –  A,  B,  C  –  feel,  act,  think   d) behavioral  influence  –  B,  C,  A  –  act,  think,  feel   D. Multiattribute  Model   -­‐ overall  evaluation  from  combined  attitudes   E. Attitude  Towards  Objects  (ATO  Model)   -­‐ attitudes  are  made  up  of  attitudes  from  all  attributes   -­‐ Ao=  Σ(bi)(e i   -­‐ A=  overall  attitude  /  Σ=  sum  of  all  b(e)’s  /  b=  beliefs  about  an   attribute  /  e=  evaluation  of  attributes   1. beliefs  –  VARY  across  brands   2. evaluations  –  do  NOT  VARY  across  brands   F. Compensatory  Model     -­‐ decisions  are  compensatory  or  non-­‐compensatory   -­‐ high  ratings  on  one  attribute  can  makeup  for  low  ratings  on  another   o it  “compensates”  for  the  bad   o ATO  model  is  compensatory   G. Attitude  Behavior  Consistency   H. relationship  between  an  attitude  toward  an  object  and  the   behavior  towards  that  object  (FIG  7.4)     I. Change  in  Attitudes:  4  Theories   1. ATO  Model   -­‐ changes  in  beliefs/evaluations  can  affect  our  attitude   -­‐ positives  and  negatives  of  an  attritube   2. Balance  Theory   -­‐  people  want  to  be  consistent  in  their  thoughts  (FIG  7.6)   3. Elaboration  Likelihood  Model   -­‐ consumers  process  messages  in  2  ways:   o CENTRAL  ROUTE  –  highly  involved;  really  care  about  message   o PERIPHERAL  ROUTE  –  low  involvement;  don’t  really  care   -­‐ 2  cues  IN  the  message:   o CENTRAL  cues  –  info  about  the  quality  of  the  product   o PERIPHERAL  cues  –  info  UNRELATED  to  the  product   4. Social  Judgment  Theory  (FIG  7.7)   II. CHAPTER  8  –  GROUP  &  INTERPERSONAL  INFLUENCE   A. group  influence-­‐  the  ways  group  members  influence  attitudes   B. CHARACTERISTICS  OF  A  GROUP:   -­‐ share  common  goals/interests   -­‐ communicate  with  and  influence  one  another   -­‐ view  themselves  as  members  of  common  social  unit   -­‐ IN  group  defined  by  NOT  being  OUT  group   C. group  types:  PRIMARY,  SECONDARY,  ASPIRATIONAL,   DISSOCIATIVE   D. aspirational  groups-­‐  group  in  which  one  desires  to  become  a   member   dissociative  groups-­‐  group  in  which  one  does  NOT  want  to  belong   E. social  power-­‐  ability  of  individual/group  to  influence  the  actions   of  others   1. referent  power   2. legitimate  power   3. expert  power   4. reward  power   5. coercive  power   F. Group  Influence  on  PRODUCT  SELECTION  (FIG  8.2)   -­‐ product  necessity  VS.  consumption  setting   -­‐ public  necessity,  public  luxury,  private  necessity,  private  luxury   G. Word  of  Mouth  (WOM)   -­‐ positive  or  negative   -­‐ fake  WOM  (ex:  paid/phony  reviews)   -­‐ amplified  WOM  (ex:  being  sent  free  products  to  share  about)   -­‐ influence  of  social  media   III. CHAPTER  9  –  CONSUMER  CULTURE   A. what  does  culture  do?   -­‐ gives  meaning  to  objects   -­‐ gives  meaning  to  activities   -­‐ facilitates  communication   B. cultural  norms-­‐  rules  that  specify  what  is  or  is  NOT  appropriate   behavior  in  a  situation  within  a  given  culture   C. Dimensions  of  Cultural  Values   1. Core  Societal  Values  (CSV)  –  (TABLE  9.4)   -­‐ individualism  –  value  self,  personal  achievement   o OPPOSITE:  collectivistic  culture   -­‐ masculinity  –  value  assertiveness  and  control   o OPPOSITE:  feminine  culture   -­‐ power  distance  –  emphasize  social  status  (high  power)   o OPPOSITE:  low  power  distance   -­‐ uncertainty  avoidance  –  uncomfortable  with  unknown  and  high  risk   o OPPOSITE:  low  uncertainty  avoidance   -­‐ long  term  orientation  –   o OPPOSITE:  short  term  orientation   D. glocalization  –  idea  that  market  strategy  may  be  global  but  the   implementation  of  that  strategy  at  the  marketing  tactics  level  should  be   local   (ex:  McDonald’s  menu  varies  from  country  to  country/culture  to  culture)   IV. CHAPTER  10  –  MICROCULTURES   A. microcultures  –  group  of  people  who  share  similar  values  and   tastes  that  are  subsumed  within  a  larger  culture   1. role  conflict-­‐  consumer  experience  conflicting  expectations   based  on  cultural  expectations   2. divergence-­‐  consumers  choose  membership  in  microcultures  in   order  to  stand  out  or  define  themselves   B. FACTORS  OF  MICROCULTURES:   1. geography   2. age/generations   a) cohort-­‐  group  of  people  who  have  lived  the  same  major   experiences,  which  end  up  shaping  their  core  values   -­‐ Greatest  Gen:  before  1928  –  hard  work,  self  sacrifice,  conformity   -­‐ Silent  Gen:  1928-­‐45  –  civic  duty,  strong  faith  in  gov’t,  frugal   -­‐ Baby  Boomers:  1945-­‐65  –  suburbia,  self  absorbed,  stressed   -­‐ Gen  X:  1965-­‐80  –  latch  key  kids,  cynicism,  practical   -­‐ Millennials:  1980-­‐95  –  embrace  technology,  optimism,  econ.   hardships   -­‐ Gen  Z:  1995-­‐2013  –  social  media,  technology,  accepting  diversity   V. CHAPTER  11  –  CONSUMERS  IN  SITUATIONS   A. Time   1. Time  pressure-­‐  causes  the  use  of  HEURISTICS-­‐  mental  shortcuts   2. Time  of  day   a) circadian  cycle-­‐  daily  energy  cycle  based  on  sleeping  and   waking  times   3. Time  of  year   a) advertiming-­‐  places  ads/promotion  strategically  at   certain  times  of  the  day/year   B. Construal  Level  Theory   1. proximal  event-­‐  will  happen  soon;  viewed  concretely   2. distal  event-­‐  won’t  happen  for  a  long  time;  viewed  discretely   (ex:  volunteering  3  mo.  from  now  VS.  the  day  before   C. Atmospherics   1. fit-­‐  how  appropriate  the  elements  are  to  the  environment   2. congruity-­‐  consistency  of  elements  with  each  other   3. ELEMENTS:   a) odor  -­‐  olfactory   b) music  –  fast  vs.  slow;  secular  vs.  religious   c) color  –  cool  vs.  warm   d) merchandising  –  signage,  placement   e) social  setting  –  crowdage  (nonlinear  effect)   D. Types  of  Shopping   1. acquisitional  –  oriented  toward  a  specific,  intended  purchase   2. epistemic  –  acquiring  knowledge  about  a  product   3. experiential   4. impulsiveness  –  spontaneous;  diminished  regard  for   consequences   -­‐ self  regulation-­‐  inhibiting  situational  influences  from  interfering   with  intentions   o action  oriented  VS  state  oriented   E. IMPULSIVE  vs  UNPLANNED  vs  COMPULSIVE   1. impulsive-­‐  spontaneous;  hedonic;  self-­‐fulfillment   2. unplanned-­‐  spontaneous;  utilitarian   3. compulsive-­‐  compulsive  buying  disorder;   harmful/uncontrollable;  chronic  depression  


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