Consumer Behaviour shamsu MBA 9747666274

8/14/2019 Consumer Behaviour shamsu MBA 9747666274

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CONSUMER BEHAVIOUR

CB WAS A RELATIVELY A NEW FIELD OF

STUDY IN THE MID TO LATE 1960s.

CB HAS NO HISTORY OR BODY OFRESEARCH OF ITS OWN.

MKTNG THEORISTS BORROWED

CONCEPTS FROM

PSYCHOLOGY,SOCIOLOGY,ANTHROPOLO

GY.


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CONSUMER BEHAVIOUR

RESEARCH DISCOVERED THAT

CONSUMERS ARE JUST AS LIKELY

TO PURCHASE IMPULSIVELY & TOBE INFLUENCED NOT ONLY BY

FAMILY & FRIENDS,BY

ADVERTISERS & ROLE MODELS,BUTALSO BY MOOD,SITUATION &

EMOTION.


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CONSUMER BEHAVIOUR

ALL OF THESE FACTORS COMBINE

TO FORM A COMPREHENSIVE

MODEL OF CB THAT REFLECTSBOTH COGNITIVE AND EMOTIONAL

ASPECTS OF CONSUMER DECISION

MAKING.


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CONSUMER BEHAVIOUR

IN EARLIER TIMES,MARKETERS COULD

UNDERSTAND CONSUMERS,WELL

THROUGH THE DAILY EXPERIENCE OFSELLING TO THEM.

BUT AS BOTH HAVE GROWN BIGGER,

MANY MARKETING DECISION MAKERS

HAVE LOST CONTACT WITH THEIRCUSTOMERS


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CONSUMER BEHAVIOUR

MOST MARKETERS HAVE HAD TO

TURN TO CONSUMER RESEARCH.

THEY ARE SPENDING MORE MONEYTO LEARN ABOUT THE CONSUMER

BEHAVIOUR


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CONSUMER BEHAVIOUR

THE CENTRAL QUESTION IS THIS.

HOW DO CONSUMERS RESPOND TO

VARIOUS MARKETING STIMULI?

THE COMPANY THAT REALLY

UNDERSTANDS THIS,HAS A GREAT

ADVANTAGE OVER ITSCOMPETITORS.


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CONSUMER BEHAVIOUR

THEREFORE,COMPANIES &

ACADEMICS HAVE HEAVILY

RESEARCHED THE RELATIONSHIPBETWEEN MARKETING STIMULI AND

CONSUMER RESPONSE.


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CONSUMER BEHAVIOUR

CONSUMER PURCHASES ARE

STRONGLY INFLUNCED BY

CULTURAL,SOCIAL,PERSONAL &PSYCHOLOGICAL CHARACTERISTICS

WE SHALL EXAMINE THE

CHARACTERISTICS THAT AFFECT ACONSUMERS BEHAVIOUR.


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CONSUMER BEHAVIOUR

CULTURAL FACTORS.

SOCIAL FACTORS.

PERSONAL FACTORS.

PSYCHOLOGICAL FACTORS.


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CONSUMER BEHAVIOUR

CULTURAL FACTORS:-

THEY EXERT THE BROADEST &

DEEPEST INFLUNCE ON CONSUMERBEHAVIOUR.

HENCE THE MARKETER NEEDS TOUNDERSTAND THE ROLES PLAYEDBY THE BUYERS CULTURE,SUB-CULTURE&SOCIAL CLASS.


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CONSUMER BEHAVIOUR

CULTURE:-

IS THE MOST BASIC CAUSE OF A

PERSONS WANTS & BEHAVIOUR.MARKETERES ARE ALWAYS TRYING

TO SPOT CULTURAL SHIFTS IN

ORDER TO IMAGINE NEW PRODUCTSTHAT MIGHT BE WANTED.


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CONSUMER BEHAVIOUR

FOR Eg THE CULTURAL SHIFT

TOWARD GREATER CONCERN

ABOUT HEALTH & FITNESS HASCREATED A HUGE INDUSTRY FOR

EXERCISE EQUIPMENT AND

CLOTHING,LIGHTER FOOD&HEALTHAND FITNESS SERVICES.


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CONSUMER BEHAVIOUR

SUBCULTCURE:-

EACH CULTURE CONTAINS

SMALLER SUBCULTURES,ORGROUPS WITH SHARED VALUE

SYSTEMS BASED ON COMMON LIFE

EXPERIENCES AND SITUATIONS.


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CONSUMER BEHAVIOUR

NATIONALITY GROUPS SUCH ASIRISH,POLISH,ITALIANS etc ARE

FOUND WITHIN LARGERCOMMUNITIES AND HAVE DISTINCTETHENIC TASTES ANDINTERESTS.RELIGEOUS GROUPS

SUCH AS CATHOLICS,JEWS ARESUBCULTURES WITH THEIR OWNPREFERENCES AND TABOOS.


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CONSUMER BEHAVIOUR.

SOCIAL CLASS:-

ALMOST EVERY SOCIETY HAS SOME FORM

OF SOCIAL CLASS STRUCTURE.SOCIAL CLASS IS NOT DETERMINED BY A

SINGLE FACTOR SUCH AS INCOME BUT IS

MEASURED SUCH AS COMBINATION OF

OCCUPATION,INCOME,EDUCATION,WEAL-TH AND OTHER VARIABLES.


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CONSUMER BEHAVIOUR

A CONSUMERS BEHAVIOUR IS ALSO

INFLUENCED BY SOCIAL FACTORS SUCH

AS CONSUMERS SMALL GROUPS,FAMILY

AND SOCIAL ROLES AND STATUS.

THESE SOCIAL FACTORS CAN STRONGLY

AFFECT CONSUMER RESPONSES HENCE

COs MUST TAKE THEM INTO ACCOUNTWHEN DESIGNING THEIR MARKETING

STRATEGIES


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CONSUMER BEHAVIOUR

GROUPS:-A PERSONS BEHAVIOUR IS

INFLUENCED BY MANY SMALL

GROUPS.GROUPS WHICH HAVE DIRECT

INFLUENCE AND TO WHICH A

PERSON BELONGS ARE CALLEDMEMBERSHIP GROUPS.


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CONSUMER BEHAVIOUR

REFERENCE GROUPS ARE GROUPS

THAT SERVE AS DIRECT(FACE TO

FACE) OR INDIRECT POINTS OFCOMPARISON OR REFERENCE IN

FORMING OF A PERSONS ATTITUDES

OR BEHAVIOUR.


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CONSUMER BEHAVIOUR

PERSONAL FACTORS:-

PEOPLE CHANGE THE GOODS AND

SERVICES THEY BUY OVER THEIRLIFE TIME. FOR Eg EAT BABY FOOD

DURING INFANCY,MOST FOODS

DURING GROWINGSTAGES&SPECIAL DIETS DURING

LATER YEARS


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CONSUMER BEHAVIOUR

THEIR TASTE IN CLOTHS ,OTHER

LIVING STYLES,RECREATION ARE

ALSO AGE RELATED.


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CONSUMER BEHAVIOUR

PSYCHOLOGICAL FACTORS:-

A PERSONS BUYING CHOICES ARE

INFLUENCED BY 4 MAJORPSYCHOLOGICAL FACTORS SUCH AS

MOTIVATION,PERCEPTION,LEARNIN

G & BELIEFS AND ATTITUDES.


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MARKET SEGMENTATION

MS CAN BE DEFINED AS THE

PROCESS OF DIVIDING A MARKET

INTO DISTINCT SUB-SETS,WITHCOMMON NEEDS &

CHARECTERISTICS & SELECTING

ONE OR MORE SEGMENTS TOTARGET,WITH A DISTINCT

MARKETING MIX.


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MARKET SEGMENTATION

IF ALL THE CONSUMERS WERE

ALIKE & IF ALL OF THEM HAD THE

SAME NEEDS,WANTS,DESIRES,THESAME BACK GROUND,EDUCATION &

EXPERIENCE,THEN MARKETING

WOULD BE A LOGICAL STRATEGY.


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MARKET SEGMENTATION

ITS PRIMARY ADVANTAGE IS THAT

IT COSTS LESS,ONLY ONE ADVT

CAMPAIGN IS NEEDED,ONLY ONEMKTNG STRATEGY IS DEVELOPED &

USUALLY ONE STANDERDISED

PRODUCT IS OFFERED.


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MARKET SEGMENTATION

THE STRATEGY OF SEGMENTATIONALLOWS PRODUCERS TO AVOID A

HEAD ON COMPETITION,IN THEMARKET BY DIFFERENTIATINGTHEIR OFFERINGS,NOT ONLY ONTHE BASIS OF PRICE BUT ALSO

THROUGH GOOD STYLING,PACKING,PROMOTIONAL APPEAL,METHOD OFDISTRIBUTION & SUPERIOR SERVICE.


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MARKET SEGMENTATION

MS IS THE 1st JUST THE 1st STEP IN A 3

PHASE MARKETING STRATEGY.

A} MARKETER TO SEGMENT THE MARKETINTO HOMOGENOUS CLUSTERS & SELECT

ONE OR MORE SEGMENTS TO TARGET.

B}TO ACCOMPLISH THIS,MARKETER MUST

DECIDE ON A SPECIFIC MARKETING-MIX iePRODUCT,PRICE,CHANNEL etc


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MARKET SEGMENTATION

C} POSITIONING THE PRODUCT SO

THAT IT IS PERCEIVED BY THE

CONSUMER,IN EACH TARGETSEGMENT,AS SATISFYING THEIR

NEEDS,BETTER THAN THE OTHER

COMPETITIVE BRANDS.


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MARKET SEGMENTATION

WHO USES MS:-

RETAILERS,Eg:REYMONDS,MERCEDES etc.

GAPS INC TARGET DIFFERENT AGEGROUPS,INCOME & LIFE STYLE SEGMENTSIN A DIVERSITY OF RETAIL OUTLETS.GAPS & SUPER GAP STORES AREDESIGNED TO ATTRACT A WIDE AGEGROUP OF CUSTOMERS WHO SEEK ACASUAL AND RELAXED STYLE OFDRESSING


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MARKET SEGMENTATION

HOTELS ALSO SEGMENT THEIR

MARKETS & TARGET DIFFERENT

CHAINS TO DIFFERENT MARKETSEGMENT.


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MARKET SEGMENTATION

HOW MS OPERATES:-

SEGMENTATION STUDIES ARE

DESIGNED TO DISCOVER THE NEEDS& WANTS OF SPECIFIC GROUPS SO

THAT SPECIALIZED GOODS &

SERVICES CAN BE DEVELOPED &PROMOTED,IN ORDER TO SATISFY

EACH GROUPS NEED.


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MARKET SEGMENTATION

MANY NEW PRODUCTS HAVE BEENDEVELOPED TO FILL GAPS IN THEMARKET PLACE,REAVEALED BY

SEGMENTATION RESEARCH. FOR Eg CENTRIUM HAS DEVELOPED A

VARIETY OF FOCUSSED FORMULAVITAMIN PRODUCTS THAT ARE DESIGNED

TO APPEAL DIRECTLY TO INDIVIDUALSWITH SPECIFIC HEALTH ISSUE[Centrium

prostrate,heart,bone etc)


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MARKET SEGMENTATION

BASES FOR SEGMENTATION:-

THE FIRST STEP IN DEVELOPING A

SEGMENTATION STRATEGY IS TOSELECT THE MOST APPROPRIATEBASE ON WHICH,TO SEGMENT THEMARKET.

THEY INCLUDE THE FOLLOWINGFACTORS:


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MARKET SEGMENTATION

A]GEORAPHIC FACTORS:

MARKET DIVIDED BY LOCATION.

THE THEORY BEHIND THUS STRATEGY ISTHAT PEOPLE WHO LIVE IN THE SAMEAREA,SHARE SOME SIMILAR NEEDS &WANTS AND THOSE NEEDS & WANTSDIFFER FROM THOSE OF PEOPLE LIVINGIN OTHER AREAS.Eg:SOME FOODPRODUCTS SELL BETTER IN ONE MARKETTHAN THE OTHER.TEA,COFFEE etc


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MARKET SEGMENTATION

B] DEMOGRAPHIC SEGMENTATION:

SUCH AS AGE(INVESTMENT

DECISIONS),SEX(LADIES COSMETICSetc),MARITAL

STATUS,INCOME,EDUCATION,OCCU-

PATION etc.


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MARKET SEGMENTATION

PSYCHOLOGICAL SEGMENTATION.

REFER TO THE INNER OR INTRENSIC

QUALITIES OF THE INDIVIDUALCONSUMER( based on

motivation,perception,personality etc.)


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MARKET SEGMENTATION

PSYCHOGRAPHIC SEGMENTATION.

CLOSELY ALIGNED WITH

PSYCHOLOGICALRESEARCH,ESPECIALLY PERSONALITY &

ATTITUDE DEVELOPMENT.THIS FORM OF

APPLIED CONSUMER RESEARCH( referred to

as life style analysis)HAS PROVED TO BE AVALUABLE MARKETING TOOL.


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MARKET SEGMENTATION

THE PSYCHOGRAPHIC PROFILE OF A

CONSUMER SEGMENT CAN BE

THOUGHT OF AS A COMPOSITE OFCONSUMERS MEASURED

ACTIVITIES,INTERESTS & OPINIONS

(AIOs).


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CONSUMER DECISION

MAKING.(CDM)

SELECTING FROM AMONG A GROUP OF

ALTERNATIVES.

AT TIMES WE ARE LEFT WITH NO OPTIONBUT TO ACCEPT & IS LITERALLY FORCED

TO MAKE A PURCHASE.(usage of a prescribed

medication).THIS IS A SINGLE NO-

CHOICEINSTANCE.SUCH NO-CHOICEDECISIONS ARE REFERRRED TO AS

HOBSONS CHOICE.


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CDM

PROBLEM RECOGNITION.

INFORMATION SEARCH.

ALTERNATIVE EVALUATION &SELECTION.

PURCHASE.

POST-PURCHASE BEHAVIOUR


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CDM

LEVELS OF CDM:

NOT ALL THE CDM SITUATIONS RECEIVE THE SAMEDEGREE OF INFORMATION SEARCH.IF ALL PURCHASEDECISIONS REQUIRED

EXTENSIVE,THEN THE CDM WOULD BE ANEXHAUSTING PROCESS THAT LEFT LITTLE TIME FORANYTHING.ON WOULD LITTLE PRESSURE ON ACONTINUUM OF THE OTHER HAND IF ALL THE

PURCHASES WERE ROUTINE,THEN THEY TEND TO BEMONOTONOUS & EFFORTS RANGING FROM VERYHIGH TO VERY LOW.


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CDM

WE CAN DISTINGUISH 3 SPECIFIC

LEVELS OF CDM. THEY ARE ..

A] EXTENSIVE PROBLEM SOLVING,B] LIMITED PROBLEM SOLVING &

C] ROUTINEZIED RESPONSE

BEHAVIOUR.


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CDM

EXTENSIVE PROBLEM SOLVING:

WHEN CONSUMERS HAVE NOESTABLISHED CRITERIA FOR

EVALUATING A PRODUCT CATEGORY ORSPECIFIC BRANDS IN THAT CATEGORY ORHAVE NOT NARROWED THE NUMBER OFBRANDS THEY WILL CONSIDER TO A

SMALL SUBSET,THEIR DECISION MAKINGEFFORTS CAN BE CLASSIFIED ASEXTENSIVE PROBLEM SOLVING.


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CDM

LIMITED PROBLEM SOLVING:

AT THIS LEVEL OF PROBLEM

SOLVING,CONSUMERS ALREADY HAVEESTABLISHED THE BASIC CRITERIA FOR

EVALUATING THE PRODUCT

CATEGORY.HOWEVER,THEY HAVE NOT

FULLY ESTABLISHED PREFERENCESCONCERNING A GROUP OF BRANDS


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CDM

ROUTINIZED RESPONSE BEHAVIOUR:

AT THIS LEVEL,CONSUMERS HAVE

EXPERIENCE WITH THE PRODUCTCATEGORY & A WELL ESTABLISHED

SET OF CRITERIA,WITH WHICH TO

EVALUATE THE BRANDS,THEY ARECONSIDERING.


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MODELING CDM

HOWARD-SHETH MODEL OF BUYINGBEHAVIOUR:

MODEL ATTEMPTS TO EXPLAIN THE

COMPLEXITY OF CDM IN CASE OFINCOMPLETE INFORMATION.

INPUTS: THESE ARE STIMULI WHICHAFFECT THE POTENTIAL CONSUMERS

DECISION PROCESS;THE VERBAL & NON-VERBAL ELEMENTS OF PRODUCT & THEFEEDBACK GIVEN BY THE CONSUMERS.


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MODELING CDM

PERCEPTUAL CONSTRUCTS: THESE

VARIABLES ARE CONCERENED WITH

PROCESSING DONE BY THEPOTENTIAL CONSUMERS WITH

RESPECT TO ALL THE INFORMATION

AVAILABLE TO THEM.CONSUMERS

MAY NOT MENTALLY REGISTER ALL

THE AVAILABLE INFORMATION


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MODELING CDM

CONSUMERS MAY ACTIVELY SEEKINFORMATION BUT ALL THEINFORMATION MEANING MAY NOTBE CLEAR TO THEM(STIMULUSAMBIGUITY).MOREOVERCONSUMERS WILL PROCESS THIS

ATTENDED INFORMATION WITHTHEIR OWN REFERENCE POINTLEADING TO BIAS.


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MODELING CDM

LEARNING CONSTRUCTS:THE

PECPETUAL CONSTRUCTS WILL

INFLUENCE THE LEARNINGCONSTRUCTS WHICH HAVE DIRECT

LINKAGES WITH THE PRODUCT

ITSELF.


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MODELING CDM

THESE LEARNING CONSTRUCTS ARE;

A] OBJECTIVES OF PURCHASE,

B] CRITERIA FOR EVALUATION OFPRODUCT,

C] ATTITUDE TOWARDS PRODUCT,

D] CONSUMERS BUYING INTENTIONS,

E] PURCHASE &

F] POST PURCHASE FEEDBACK.


50/250

MODELING CDM

OUT PUT; THIS IS THE FINAL CDM

WHICH IS ACTUALLY FOLLOWED BY

THE CONSUMERS AFTERPROCESSING THE INFORMATION


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MODELIN CDM

ALTHOUGH THE HOWARD-SHETH

MODEL OF BUYING BEHAVIOUR IS

QUITE HELPFUL IN UNDERSTANDINGCDM,IT FAILS,IN CLEARLY

DEFINING,ALL THE ASPECTS OF THE

MODEL.MOREOVER,THIS MODEL IS

QUITE COMPLEX & DIFFICULT TO

UNDERSTAND.


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MODELING CDM

THE NICOSIA MODEL: ALSO CALLED AS

SYSTEMS MODEL EXPLAINS THE

CONSUMERS BUYING BEHAVIOUR FROM THE

MARKETERS PERSPECTIVE.THE MODELSUGGESTS THAT THE MARKETERS

COMMUNICATION CAN INFLUENCE THE

CONSUMERS ATTITUDE TOWARDS THE

PRODUCT & TRIGGER CONSUMER INTEREST.


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MODELING CDM

THE NECOSIA MODEL HAS 4 MAINFIELDS,WHICH HAVE SEPARATECOMPONENTS.

1] ATTRIBUTES OF THE FIRM &CONSUMER: THIS INFLUNCE THECONSUMER PREDISPOSITION.THISCOMMUNICATION FLOW,FROM THEMARKETER TO CONSUMER IS

INTERPRETED ON THE BASIS OF VARIOUSSOCIO-ENVIRONMENTAL FACTORS LIKEAWARENESS,MOTIVATION & PERCEPTION


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MODELING CDM

2] SEARCH & EVALUATION;

THE CONSUMER WILL SEARCH &

EVALUATE THE BRAND ESPECIALLY IFTHERE ARE OTHER RELEVANT

ALTERNATIVES AVAILABLE.

THE MODEL SUGGESTS THAT THE

PRODUCT EVALUATION WILL LEAD TO AMOTIVATION,TO MAKE THE PURCHASE

DECISION..


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MODELING CDM

3] PURCHASE DECISION;

CONSUMER PURCHASE INTENTION

LEADS TO FINAL PURCHASEDECISION WITH RESPECT TO THE

PARTICULAR PRODUCT.


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MODELING CDM

4] CONSUMPTION & FEEDBACK;

THE FINAL FIELD IN THIS MODEL

EXPLAINS THECONSUMPTION,WHICH WILL

GENERATE CONSUMER FEEDBACK


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MODELING CDM

CRITICISM: THIS MODEL EMPHAZISES THAT

PURCHASE IS NOT THE ONLY ASPECT OF

CDM, & THERE IS MORE TO IT.

IT ALSO CLEARLY SHOWS THE LOGICAL FLOWOF CONSUMERS STATE FROM GENERAL

PRODUCT KNOWLEDGE,TO ACTIVE INTEREST

IN A PARTICULAR PRODUCT.


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MODELING CDM

HOWEVER,IT FAILS TO EXPLAIN,IN

DETAIL THE FIRMS & CONSUMERS

ATTRIBUTES. IT ALSO DOESNT TAKE INTO

ACCOUNT THE POSSIBILITY THAT

CONSUMER MAY ALREADY BEHAVING A PREDISPOSITION WITH

RESPECT TO A SPECIFIC PRODUCT.


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MODELING CDM

ENGEL-BLACKWELL-MINIARD

MODEL(EBM MODEL):

MODEL ASSUMES THAT THECONSUMERS TAKE A PROBLEM-

SOLVING APPROACH.THEREFORE

CDM PROCESS WILL START IFCONSUMER HAS A NEED OR

PROBLEM.


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MODELING CDM

EBM MODEL HAS 4 SECTIONS:

1] INPUT; THE INFORMATION

RECEIVED BY THE CUSTOMER CANBE FROM INTERNAL

SOURCE(memory,experience) OR

EXTERNAL SOURCES(family,friends,advertisements,


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MODELING CDM

2] INFORMATION PROCESSING;

THE INPUT INFORMATION FROM

VARIOUS SOURCES IS PROCESSEDFOR RE-PURCHASE EVALUATION BY

THE CONSUMER.


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MODELING CDM

3] DECISION PROCESS; STEPS

# Need recognition,

# Information search & processing, # Pre-purchase evaluation of options

# Purchase,

# Consumption,

# Post-consumption evaluation


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MODELING CDM

4] VARIABLES INFLUNCING

DECISION PROCESS;

THE DECISION PROCESS IS AIDED BYVARIOUS INDIVIDUAL VARIABLES

LIKE.. resources,motivation,product

involvement,knowledge,attitude,personalityvalues & life style etc


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DECISION RULES

ARE THE AIDS WHICH HELP

CONSUMERS TO MAKE EASY BRAND

CHOICES.5 TYPES OF DECISION RULES FOR

MAKING BRAND CHOICE.


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DECISION RULES

CONJUNCTIVE Dc R,

DISJUNCTIVE Dc R,

ELIMINATION-BY-ASPECTS,LEXICOGRAPHIC &

COMPENSATORY.


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DECISION RULES

1] CONJUNCTIVE;

CONSUMERS SET SOME MINIMUM

PERFORMANCE STANDARD,ASREQUIRED BY THEM.

ALL THE BRANDS MEETING THESE

MINIMUM STANDARDS ARESELECTED FOR CONSIDERATION.


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DECISION RULES

2] DISJUNCTIVE Dc R;

CONSUMERS EXPECT VERY HIGH

PERFORMANCE STANDARDS BASEDON CERTAIN IMPORTANT PRODUCTATTRIBUTES.

MARKETER MUST FOCUS ON

ASSOCIATING THEIR BRANDS WITHAT LEAST ONE SUCH ATTRIBUTE.


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DECISION RULES

THE BRANDS RELATION WITH THIS

ATTRIBUTE SHOULD BE

EMPHASIZED AT EVERY CONSUMER& BRAND INTERACTION POINT,SAY,

MASS MEDIA,POINT OF PURCHASE

DISPLAYS,MESSAGE OF THE

PRODUCT PACKAGE etc.


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DECISION RULES

3] ELIMINATION-BY-ASPECTS Dc R;

HERE CONSUMERS RANK THE

EVALUATIVE CRITERIA ON THEBASIS OF THIR IMPORTANCE LIKE

PRICE TAG,QUALITY,WARRANTY etc.


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DECISION RULES

EACH BRAND IS CONSIDERED

AGAINST THE MOST IMPORTANT

EVALUATION CRITERIA(price) & THEBRANDS WHICH FAIL TO MEET THE

SET CUT-OFF POINTS ARE

ELIMINATED.


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DECISION RULES

IN CASE,TWO OR MORE BRANDS

MEET THE CUT OFF POINTS FOR THE

EVALUATION CRITERION,THEY ARECONSIDERED AGAINST THE SECOND

MOST IMPORTANT CRITERION.


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DECISION RULES

4] LEXOGRAPHIC Dc R;

HERE THE CONSUMERS RANK THE

IMPORTANT PRODUCT EVALUATIONCRITERIA & FIRST CONSIDER EACH

BRANDS MAXIMUM PERFORMANCE

AGAINST THE MOST IMPORTANTCRITERIA.


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DECISION RULES

THE LOGIC IS THAT BRAND WILL

OUTPERFORM EACH OTHER AND

CONSUMER WILL CHOOSE THE BEST

BRAND IN ALL ASPECTS.

IF TARGET CUSTOMERS USE THIS Dc-

R,THE MARKETERS SHOULD TRY TO

MAKE THEIR BRANDS BETTER THAN THENEAREST COMPETITION ON ALL THE

IMPORTANT ATTRIBUTES.


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DECISION RULES

COMPENSATORY Dc R; IN THIS RULE

THE BASIC UNDERSTANDING IS

THAT GOOD PERFORMANCE,IN ONEIMPORTANT ATTRIBUTE,CAN MAKE

UP FOR POOR PERFORMANCE,IN

ANOTHER PRODUCT ATTRIBUTE.


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DECISION RULES

THEREFORE,IN THIS

DcR,CONSUMERS DERIVE THE

AVERAGE OVERALL PERFORMANCEOF EACH BRAND & THE ONE WHICH

REACHES HIGHEST LEVEL IS

CHOSEN.


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DECISION RULES

TYPES OF CONSUMER DECISIONS;

1] HABITUAL Dc M,

11] LIMITED Dc M,111] EXTENDED Dc M.


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DECISION RULE

! HABITUAL Dc Mk:-

USUALLY OCCURS WHEN THERE IS

LOW PRICE INVOLVEMENT. CONSUMER DOES NOT CONSIDER

OTHER ALTERNATIVES & Dc MkOCCURS WITH THE HELP OF

INTERNAL INFORMATION (memory &past experience).


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DECISION RULES

HABITUAL Dc Mk : 2 TYPES; viz,

BRAND LOYAL&REPEAT PURCHASE.

Br Ly Dc OCCURS AFTER A LOT OF TRIAL &ERROR,WITH VARIOUS OPTIONS

AVAILABLE.

FROM THESE OPTIONS HE/SHE CHOOSES

ONE BRAND,WHICH MEETS ALL HISNEENDS & THEN STICKS TO IT.


79/250

DECISION RULES

A REPEAT PURCHASE Dc OCCURS

WHEN THE CONSUMER BELIEVES

THAT ALL BRANDS IN ONE PRODUCTCATEGORY ARE SAME & THEN TRIES

ANY ONE BRAND & FINDS IT

SATISFACTORY & THEN

REPEATEDLY PURCHASES IT WITH

OUT TRYING ANY OTHER BRAND.


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DECISION RULES

!! LIMITED Dc Mk:- CONSUMER

EVALUATES LIMITED OPTIONS,&

MAKES A CHOICE BASED MORE ONINTERNAL INFORMATION SEARCH &

SOME EXTERNAL INFORMATION

SEARCH(product attributes,discounts etc)


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DECISION RULES

EXTENDED Dc Mk:-

HERE CONSUMERS EVALUATE A

LARGE NUMBER OF ALTERNATIVES,AFTER CONDUCTING AN EXTENSIVE

INFORMATION SEARCH FROM BOTH

INTERNAL & EXTERNAL SOURCES.


82/250

DECISION RULES

DUE TO LARGE NUMBER OFALTERNATIVES TO CHOOSE FROM &OVER ALL HIGH PURCHASE

INVOLVEMENT,THIS KIND OF Dc Mk ISCONSIDERED TO BE COMPLEX &GENERALLY ASSOCIATED WITH HIGHPRODUCT INVOLVEMENT,LIKE REAL

ESTATE,ELECTRONIC GADGETS etc.


83/250

PERSONALITY

PERSONALITY IS DEFINED AS THOSE

INNER PSYCHOLOGICAL CHARECTE-

RISTICS THAT BOTH DETERMINE &REFLECT,HOW A PERSON RESPONDS

TO HIS/HER ENVIRONMENT.


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PERSONALITY

IN THIS STUDY 3 DISTINCT ASPECTS.

!) REFLECTS INDIVIDUAL

DIFFERENCES, !!) IS CONSISTENT & ENDURING,

!!!) CAN CHANGE.


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PERSONALITY THEORIES

! FREUDIAN THEORY,

!! NEO-FREUDIAN THEORY,

!!! TRAIT THEORY.


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FREUDIAN THEORY

BASED ON MODERN PSYCHOLOGY.

PROPSED BY SIGMUND FREUD.

HE WAS A DOCTOR BY PROFESSIONWITH SPECIAL INTEREST ON

PSYCHOLOGY.


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FREUDIAN THEORY

IS BASED ON THE HYPOTHESIS THAT

THE HUMAN BEHAVIOUR IS DRIVEN

BY THE UNCONSCIOUSMOTIVES,THAT A PERSON HAS &

THAT THESE MOTIVES ARE

INFLUENCED BY THAT PERSONS

BIOLOGICAL

NEEDS(air,water,cloth,shelter etc)


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FREUDIAN THEORY

IT PROJECTS THE PERSONALITY AS

THE NUCLEUS OF INTERACTION

AMONG THE SYSTEMS viz id, superego& the ego.


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FREUDIAN THEORY

Id:- IS A STATE OF MIND THAT

INFLUNCES A PERSONS

STRONG,POWERFUL & INTENSEDESIRE TO SATISFY HIS/HER NEEDS

SUCH AS HUNGER,THIRST & SEX.


90/250

FREUDIAN THEORY

A PERSON GUIDED BY THE Id,

USUALLY ACTS SPONTANEOUSLY &

SEEKS TO SATISFY THESE NEEDSIMMEDIATELY.

HERE,THE PERSON PERSUES THESE

NEEDS WITH A PRIMITIVE ZEAL.


91/250

FREUDIAN THEORY

SUPEREGO:- IS THE SYSTEM THATDIRECTS A PERSONS PSYCHE WITHREGARD TO HIS/HER BEHAVIOUR AS

A SOCIAL BEING. IT HOUSES A PERSONS DISPOSITION

AS SOCIAL BEING& REFERS TO THE

MORALS& ETHICS OF SOCIETY. IT IS THE OPPOSITE OF Id.


92/250

FREUDIAN THEORY

THE EGO:- IS AT THE ROOT OF

OBJECTIVE THINKING.

IT IS CONCERENED WITHCONFORMING BEHAVIOUR WITH

THE NORMS OF THE SOCIETY.

IT OPERATES ON REALISTICPRINCIPLE.


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FREUDIAN THEORY

IT ENSURES THAT EVERY NEED IS

PERSUED & SATISFIED IN KEEPING

WITH THE CONSTRAINTS OF APERSONS ENVIRONMENT.


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FREUDIAN THEORY

THUS,THE EGO ENABLES A PERSON

TO EXERCISE A CONSCIOUS

CONTROL OVER THE Id & HELPS TOCOMPLY WITH THE SUPEREGO IN

THE PROCESS OF SATISFYING THE

WANTS.

O A O


95/250

NEO-FREUDIAN THEORY

SEVERAL OF FREUDS FRIENDS

DISAGREED WITH HIS CONTENTION

THAT PERSONALITY IS PRIMARILYINSTINCTUAL & SEXUAL IN NATURE.

THESE NEO-FREUDIANS BELIEVED

THAT SOCIAL RELATIONSHIPS ARE

FUNDAMENTAL TO THE FORMATION

& DEVELOPMENT OF PERSONALITY

TRAIT THEORY


96/250

TRAIT THEORY

THEORY TRIES TO BRING A

QUANTATIVE APPROACH TO THE

PERSONALITY THEORY. IT SAYS THAT THE PERSONALITY OF

A PERSONS DEPENDS ON HIS/HER

INHERENT TRAITS.

TRAIT THEORY


97/250

TRAIT THEORY

THIS THEORY TRIES TO STUDY

PERSONALITY IN TERMS OF EXCLUSIVE

INDIVIDUAL CHARECTERSTICS CALLED

TRAITS.

A TRAIT IS DEFINED AS ANY

DISTINGUISHING,RELATIVELY ENDURING

WAY IN WHICH ONE INDIVIDUAL DIFFERSFROM ANOTHER

TRAIT THEORY


98/250

TRAIT THEORY

THE THEORY SAYS THAT THE

CONSUMERS DIFFER IN THE NATURE

OF CONSUMPTION DUE TODIFFERENCES IN THESE TRAITS.

A MARKETER NEED TO

CONCENTRATE ON A TRAIT & HOW

IT AFFECTS THE BEHAVIOUR

TRAIT THEORY


99/250

TRAIT THEORY

A CONSUMERS DECISION COULD BE

DOMINATED BY ONE OF THE

FOLLOWING PERSONALITY TRAITS, INNOVATION,

INFLUENCE,

MATERIALISM & CONSUMER ETHNOCENTRISM.

TRAIT THEORY


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TRAIT THEORY

INNOVATION:

THE CONSUMERS COULD BE

RECEPTIVE TO CHANGES OR ABHORTHEM.

TRAIT THEORY


101/250

TRAIT THEORY

INFLUENCE:THE MARKETER MUST

KEEP IN MIND THAT SOME

CONSUMERS ARE INDEPENDENTWHILE MAKING THEIR PURCHASE

DECISIONS,WHILE OTHERS ARE

INFLUENCED BY THE WORD OF

MOUTH INFORMATION THEY GET

REGARDING THE PRODUCT.

TRAIT THEORY


102/250

TRAIT THEORY

MATERIALISM:

SOME CONSUMERS INVEST IN

MATERIAL POSSESSIONS FOR ACOMFORTABLE LIFE,

WHEREAS,OTHERS INDULGE IN

ACQUIRING GOODS NOT JUST FOR

UTILITY BUT TO EXPRESS THEIR

PERSONALITY.

TRAIT THEORY


103/250

TRAIT THEORY

CONSUMER ETHNOCENTRISM:

IN TODAYS MARKET SCENARIO, A

MAJORITY OF CONSUMERS HAVEACCESS TO PRODUCTS FROM ROUND

THE WORLD.

TRAIT THEORY


104/250

TRAIT THEORY

HOWEVER,SOME CONSUMERS

FAVOUR FOREIGN MADE GOODS

WHILE OTHERS ARE AGAINST THEM

CONSUMER PERCEPTION


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CONSUMER PERCEPTION

PERCEPTION IS DEFINED AS the

process by which the individual

selects,organises & interprets stimuli into ameaningful & coherent picture of the

world.

CONSUMER PERCEPTION


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CONSUMER PERCEPTION

THUS,THE PERCEPTION HE FORMS

ABOUT A PRODUCT BY SELECTING

ITS PACKAGE,THE COLOUR.THE

SYMBOL OF THE BRAND & THE

LOGO ASSOCIATED WITH THE

BRAND IN THE BRAND IN THE

MARKET etc.

CONSUMER PERCEPTION


107/250

CONSUMER PERCEPTION

ELEMENTS OF PERCEPTION: ARE,

SENSATION,

ABSOLUTE THRESHOLD,DIFFERENTIAL THRESHOLD &

SUBLIMINAL PERCEPTION

CONSUMER PERCEPTION


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CONSUMER PERCEPTION

! SENSATION;

WHEN A PERSON IS EXPOSED TO

ANY OF THE MARKETING STIMULIOR AN Ad ,THE FIRST REFLEX THAT

IS INITIATED IN HIM/HER IS KNOWN

AS SENSATION.

CONSUMER PERCEPTION


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CONSUMER PERCEPTION

ABSOLUTE THRESHOLD:

THE LOWEST DEGREE OF SENSORY

INPUTS AT WHICH THE CONSUMERBECOMES AWARE OF A SENSATION

IS CALLED AS ABSOLUTE

THRESHOLD.(the n jingle of a shoe polish

being aired on the radio in a crowded place

on a Monday morning may not attended)

CONSUMER PERCEPTION


110/250

CONSUMER PERCEPTION

SUBLIMINAL PERCEPTION:

CAN BE LITERALLY TERMED AS

SUBCONSCIOUS.THE SUBCONSCIOUS MIND OF AN

INDIVIDUAL STORES EVERY THING

THAT HE/SHE EXPERIENCES

CONSUMER PERCEPTION


111/250

CONSUMER PERCEPTION

NORMALLY,THIS PROCESS TAKES PLACE

WITHOUT THE ACTUAL AWARENESS OF

THE PERSON BECAUSE THE THRESHOLD

LEVEL FOR ACTUAL AWARENESS ISHIGHER THAN THAT OF ACTUAL

PERCEPTION

MESSAGES THAT ARE NOT CONSCIOUSLY

REGISTERED IN OUR MEMORY ARE

CALLED AS SUBLIMINAL MESSAGES.

CONSUMER


112/250

INVOLVEMENT

A YOUNG MAN-

SPENDS MORE TIME FOR SELECTION

FOR BIKE ACCESSORIES( knows every-thing related to that) THAN HE DOES IN

BUYING GROCERIES( usually picks up)

HIS LEVEL IN 2 SEGMENTS

CONSUMER


113/250

INVOLVEMENT

ANTECEDENTS OF INVOLVEMENT

THE FACT THAT DETERMINE THE

CONSUMERS INVOLVEMENT IN THEPRODUCT,ARE CALLED AS THE

ANTECEDENTS OF INVOLVEMENT.

CONSUMER


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INVOLVEMENT

THE Eg OF ANTECEDENTS ARE,

^ PERSONAL,

^ STIMULUS & RESPONSE,^ SITUATIONS

CONSUMER


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INVOLVEMENT

PERSONAL: THE CONSUMER VALUES

GOALS,ASPIRATIONS,BELIEFS AND

ALL OF THEM HAVE A MAJOR SAY IN

THE DEGREE OF HIS INVOLVEMENT

WHILE PURCHASING A PRODUCT OR

SERVICE.( person-ecofriedly-recycled

papers-avoid plastics)

CONSUMER


116/250

INVOLVEMENT

STIMULUS & THE OBJECT:THE

METHOD USED BY THE MARKETER

IN COMMUNICATING THE PRODUCT

TO THE CONSUMER DETERMINES

THE LEVEL OF INVOLVEMENT THAT

THE MARKETER CAN AROUSE IN

THE CONSUMER.( a mother-complanadvt )

CONSUMER


117/250

INVOLVEMENT

SITUATIONS: INDIVIDUALS CAN

DISPLAY (HIGH/LOW) DIFFERENT

LEVELS OF INVOLVEMENT,MAY

ALSO BE RADICALLY

DIFFERENT(important/least important)

WHEN THEY BUY THE SAME

PRODUCT AT DIFFERENT POINT OFTIME( buying flowers-occasions)

CONSUMER


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INVOLVEMENT

TYPES OF INVOLVEMENT:

IS SIMPLE WHEN THE CONSUMER IS

AWARE OF ONLY THE BASICINFORMATION & HE/SHE DOESNT

MAKE ANY EFFORT TO FIND OUT

MORE ABOUT THE PRODUCT.

CONSUMER


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INVOLVEMENT

INVOLVEMENT IS ELABORATE IN

WHICH CASE THE CONSUMER

MAKES THE EFFORT TO FURTHER

HIS/HER KNOWLEDGE ABOUT THE

PRODUCT OR SERVICE BY DOING A

LITTLE RESEARCH.

REFERENCE GROUPS


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REFERENCE GROUPS

HUMAN BEINGS BY NATURE LIKE TO

BE A PART OF A GROUP.

A GROUP- TWO OR MORE INDIVIDU-ALS-COMMON GOALS,BELIEFS etc.

BROADLY 2 TYPES OF Ref Gr viz

NORMATIVE & COMPARATIVE

REFERENCE GROUPS


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REFERENCE GROUPS

NORMATIVE Ref Gr: INFLUENCE THE

REFERENTS OVERALL VALUES &

BEHAVIOUR(eg:family).

COMPARETIVE Ref Gr: ARE THE ONES

THAT THE INDIVIDUAL ASPIRES

TO,& WHICH SERVE AS A ROLE-

MODEL FOR ATTITUDE OR

BEHAVIOUR(senior at office/film star).

REFERENCE GROUPS


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REFERENCE GROUPS

ANOTHER CLASSIFICATION BASED

ON THE INTEACTION WITH THE REF-

ERENT: viz DIRECT & INDIRECT Ref Gr

IN DIRECT Ref Gr THERE IS A

PERSONAL INTERACTION WITH THE

REFERENT( family member,friend etc)

REFERENCE GROUPS


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REFERENCE GROUPS

IN AN INDIRECT Ref Gr THERE IS NO

PERSONAL INTERACTION WITH THE

REFERENT(film stars,cricketers etc)

REFERENCE GROUPS


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REFERENCE GROUPS

SOME OF THE MAJOR Ref Gr ARE:

FRIENDS,SHOPPING GROUPS,WORK

GROUPS,VIRTUALCOMMUNITIES( internet-on line

shopping,helps to exchange views

etc),BRAND COMMUNITIES

(brand loyal people)

SOCIAL CLASS


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SOCIAL CLASS

DEFINED AS,THE DIVISION OF A

SOCIETY INTO A HIERARCHY OF

DISTINCT STATUS CLASSES,SO THAT

MEMBERS OF EACH CLASS HAVE

RELATIVELY THE SAME STATUS &

MEMBERS OF ALL OTHER CLASSES

HAVE EITHER MORE OR LESSSTATUS

SOCIAL CLASS


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SOCIAL CLASS

CHARACTERISTICS:

1) RANK ORDERING(sc is ranked in

terms of social prestige)2)RELATIVE PERFORMANCE(sc are

relatively permanent charecterstics/persons

sc doesent change from day to day)

SOCIAL CLASS


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SOCIAL CLASS

3) INTERGENERATIONAL CLASS

MOBILITY: it is possible for a person to

move out of sc of his/her birth into a higher

or lower class by acquiring the values.

4)INTERNAL HOMOGENEITY: classes

are homogenous with in each strata.persons

belonging to the same sc tend to be similar.

SOCIAL CLASS


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SOCIAL CLASS

THE SC MEMBERSHIP SERVES

CONSUMERS AS A FRAME OF

REFERENCE TOR THE

DEVELOPMENT OF THEIR

ATTITUDES & BEHAVIOUR.

SOCIAL CLASS


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SOCIAL CLASS

CONSUMERS BUY CERTAIN GOODS.

THEY BUY SOME PRODUCTS

BECAUSE THESE PRODUCTS AREFAVOURED BY MEMBERS OF EITHER

THEIR OWN OR HIGHER SC(automobile

SOCIAL CLASS


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SOCIAL CLASS

CONSUMERS MAY AVOID OTHER

PRODUCTS BECAUSE THEY

PERCEIVE THE PRODUCTS TO BE OF

LOWER CLASS PRODUCTS(some

brands of dresses)

SOCIAL CLASS


131/250

SOCIAL CLASS

THE CLASSIFICATION OF SOCIETYS

MEMBERS INTO SMALL NUMBER OF

SC HAS ALSO ENEBLED THE

RESEARCHERS TO NOTE THE

EXISTENCE OF SHARED

VALUES,ATTITUDES,BEHAVIORAL

PATTERNS AMONG MEMBERS WITH-IN EACH SC

LEARNING


132/250

LEARNING

DEFINED AS BEHAVIOURAL

MODIFICATION ESPECIALLY

THROUGH EXPERIENCE OR

CONDITIONING.

IS THE PROCESS OF GAINING

KNOWLEDGE.

LEARNING


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LEARNING

IS CONTINUOUS & ON-GOING

PROCESS.

2 MAJOR THEORIES. BEHAVIOURAL & COGNITIVE

LEARNING THEORIES

LEARNING


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LEARNING

ACCORDING TO BEHAVIORAL

LEARNING THEORISTS,LEARNING

TAKES PLACE AS A RESPNSE TO

EXTERNAL STIMULI.

LEARNING


135/250

LEARNING

COGNITIVE LEARNING THEORISTS

STATE THAT LEARNING IS PURELY A

MENTAL PROCESS INVOLVING THE

PROCESS OF INFORMATION.

MOTIVATION,RESPONSE,REINFORC-

EMENT ARE THE BASIC

CHARECTERSTICS OF LEARNING.

LEARNING THEORIES


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LEARNING THEORIES

LEARNING TAKES PLACE IN

RESPONSE TO AN EXTERNAL

STIMULI.

2 THEORIES.viz,

CLASSICAL CONDITIONING &

INSTRUMENTAL CONDITIONING

LEARNING THEORIES


137/250

LEARNING THEORIES

CLASSICAL CONDITIONING:

IVAN PAVLOV,RUSSIAN PSYCHOLOGISTS.

EXPERIMENT ON 60 DOGS.

HUNGRYBELL SOUNDMEAT PASTE ON

THE TONGUE SALIVATINGREPEATED

DOGS LEARNED TO ASSOCIATE SOUND

WITH MEAT PASTE--SALIVATE

LEARNING THEORIES


138/250

LEARNING THEORIES

MEAT PASTE(unconditioned stimulus)

BELL SOUND(conditional stimulus).

MARKETERS CONSISTENTLYHIGHLIGHT THE +ve ASPECT OF

THEIR PRODUCTS/SERVICES( Chennai

packers)

LEARNING THEORIES


139/250

G O S

INSTUMENTAL CONDITIONING:

ALSO CALLED AS OPERANT

CONDITIONING.HERE THE STIMULUS THAT

PROVIDES THE MOST REWARDING

RESPONSE WILL BE LEARNED.

LEARNING THEORIES


140/250

UNLIKE CLASSICAL CONDITIONING

THE RESPONSE TO STIMULI,HERE IS

ACTIVE,WHERE THE ORGANISM

SEEM TO ACTIVELY RESPOND TO

STIMULI,PROVIDED IT IS POSITIVE

LEARNING THEORIES


141/250

B.F.SKINNEREXPERIMENT ON

PIGEONS SKINNER BOXPIGEON

PLACED INSIDEMOVED AROUND

HIT A BAR FOOD PALLETS.

MORE NUMBER OF HITS REWARDED

FOOD PALLETS.

LEARNING THEORIES


142/250

ACCORDING TO SKINNER,MOST

INDIVIDUAL LEARNING TAKES

PLACE IN CONTROLLED

ENVIRONMENTAL CONDITION

WHERE THE INDIVIDUAL IS

REWARDED FOR BEHAVING IN A

SPECIFIC MANNER.

LEARNING THEORIES


143/250

A MARKETING Eg FOR

INSTRUMENTAL CONDITIONING

WOULD BE A PERSON PURCHASING

GROCERIES FROM THE SAME STORE

EVERY MONTH(cost

effective,quality,service etc)

PROBLEM RECOGNITION


144/250

IS THE 1st PHASE OF CDM PROCESS.

WE HAD ALREADY STUDIED THE

CONCEPT OF CDM IN OUR EARLIERCLASSES.

LET US HAVE A GLANCE OF THE

CDM PROCESS.

CONSUMER DECISION MAKING PROCESS


145/250

PROBLEM RECOGNITION

INFORMATION SEARCH

ALTERNATIVE EVALUATION & SELECTION

PURCHASE

POST PURCHASE BEHAVIOUR

PROBLEM RECOGNITION


146/250

A PROBLEM CAN EASILY BE..

a) recognizedhunger/thirst,

b) unrecognizedwt loss,med problems,c) plannedreplenish weekly supplies,

d) unplannedautomobile break down

PROBLEM RECOGNITION


147/250

THE PROCESS OF PRC IS INITIATED

WITH THE IDENTIFICATION OF A

GAP IN THE ACTUAL STAGE( a degree

to which a perceived need is being met) &

THE IDEAL OR DESIRED STAGE(the

ideal way the consumers want that need to

be met).

PROBLEM RECOGNITION


148/250

A MAN,FOR Eg,IS BORED & FEELS A

MOVIE WILL BE A GOOD

ENTERTAINMENT.HERE,THE ACTUAL

STATE OF THE MAN IS,GETTING

BORED & HIS DESIRED STATE IS,TO

BE ENTERTAINED.

THUS HE DECIDES TO GO FOR A FILM

PROBLEM RECOGNITION


149/250

THE CONSUMERS ACTUAL & DESIR-

ED STATES ARE NOT ABSOLUTE

STATES OF EXISTENCE.

THEY ARE BASED ON CONSUMERS

PERCEPTION OF WHAT THEIR ACTU-

AL STATE IS & WHERE THEY WANT

TO BE.

PROBLEM RECOGNITION


150/250

THE DESIRED STATE OF CONSUMERS

KEEP CHANGING WITH THE SHIFT IN

THEIR STANDARDS OF COMPARISON

OR BENCHMARKS WITH WHICH

THEY COMPARE THEIR DESIRED

STATES.

PROBLEM RECOGNITION


151/250

IT THUS,LEADS TO A FEELING OF

DISSATISFACTION & THEY TRY TO

REACH THE DESIRED STATE.

THE CONCEPT SHALL BE EXPLAINED

AS FOLLOWS.

PROBLEM RECOGNITION


152/250

A GIRL HAVING GOLD ORNAMENTS

(actual state) MAY WANT PLATINUM

(desired state) JEWELLERY.

AFTER ACQUIRING A DESIRABLE

AMOUNT OF PLATINUM

JEWELLERY(changed actual state) SHE

MAY WANTS DIAMOND

JEWELLERY(changed desired state)

PROBLEM RECOGNITION


153/250

SOME TIMES THE PERCEIVED NEEDOF A CONSUMER IS EASILY SATISFI-ED WITH ANY PRODUCT,IN A PRODU-

CT CATEGORY(generic problem recognit-tion):SAY,A CONSUMER MIGHT NOTDIFFERENTIATE BETWEEN VARIOUSBATHING SOAPS & PERCEIVES THAT,

ALL SATISFY HIS/HER PERCEIVEDNEED OF PERSONAL HYGEINE

PROBLEM RECOGNITION


154/250

AT OTHER TIMES,THE PERCEIVED

NEED OF CUSTOMERS CAN BE

SATISFIED WITH A PARTICULAR

BRAND ONLY(specific problem recogniti-

on) SAY,ANOTHER CONSUMER WHO

BELIEVES HIS/HER NEED FOR THE

PERSONAL HYGIENE CAN BE BESTMET WITH DETTOL SOAP ONLY.

PROBLEM RECOGNITION


155/250

THE CONSUMERS DESIRE,TO SOLVE

A PARTICULAR PROBLEM DEPENDS

ON, THE EXTENT OF GAP BETWEEN

ACTUAL & DESIRED STATE & THE

RELATIVE IMPORTANCE OF THE

PROBLEM COMPARED TO OTHER

PROBLEMS.

PROBLEM RECOGNITION


156/250

IF THE EXTENT OF THE GAP

BETWEEN THE ACTUAL & DESIRED

STATE IS HIGH,THE LEVEL OF

DISSATISFACTION WILL

CREATE,THUS MOTIVATING

CONSUMERS TO RESOLVE THE

PROBLEM.

PROBLEM RECOGNITION


157/250

ALSO IF THE RELATIVE

IMPORTANCE OF THE PROBLEM IS

MORE COMPARED TO OTHER

PROBLEMS,THE CONSUMERS WILL

BE MORE INCLINED TO RESOLVE

IT,AT THE EARLIEST

CONSUMER PROBLEM RECOGNITION PROCESS

a) Individual Variables (finance,previous


158/250

decisions) b) Environmental

Variables(culture,class etc)

CONSUMER PROBLEM RECOGNITION

DESIRED STATE ACTUAL STATE

CONSUMER ACTIONNO CONSUMER ACTION

PROBLEM RECOGNITION


159/250

DETERMINANTS OF PROBLEM

RECOGNITION:-

CONSUMERS IN THE PRESENT MAY

EITHER BE AWARE OR UNAWARE OF THEPROBLEM.

SOMETIMES,CONSUMERS MAY NOT BE

AWARE OF THE PROBLEM IN THE

PRESENT,BUT WILL BE AWARE OF IT IN

THE NORMAL COURSE OF EVENTS.

PROBLEM RECOGNITION


160/250

THUS,A CONSUMER PROBLEM MAY

EITHER BE ACTIVE(aware or will

become aware in normal course of events)

OR INACTIVE(unaware)

PROBLEM RECOGNITION


161/250

THERE ARE NON-MARKETING & MARKETING

DETERMINANTS OF PROBLEM RECOGNITION.

NON-MARKETING FACTORS WHICH AFFECT THE

ACTUAL & DESIRED STATE OF THE

CONSUMERS(demographics like age,sex, consumers pastdecisions&consumers individual skills)

PROBLEM RECOGNITION


162/250

A FAMILY OF FOUR NEED A CAR TO

TRAVEL COMFORTABLY;

AN OLD PERSON WILL FEEL THE

NEED FOR MEDICINES & FOOD

SUPPLEMENTS;

PEOPLE AT COLD COUNTRIES NEED

WOOLEN CLOTHES TO BE WARM

PROBLEM RECOGNITION


163/250

MARKETING DETERMINANTS:-

MARKETING EFFORTS ARE

CONTROLLED BY MARKETERS &

PLAY A KEY ROLE IN PROBLEM

RECOGNITION

PROBLEM RECOGNITION


164/250

THERE ARE 4 RELEVANT ISSUESFACED BY MARKETERS IN THISREGARD & THEY ARE LISTED

@ TO IDENTIFY THE PROBLEMSCONSUMERS ARE FACING;

@ TO FORMULATE THE PERFECT

MARKETING MIX TO SOLVECONSUMERS PROBLEM

PROBLEM RECOGNITION


165/250

@ TO AID CONSUMERS IN

RECOGNIZING PROBLEMS &

@ TO SUPRESS PROBLEM

RECOGNITION

PROBLEM RECOGNITION


166/250

@ IDENTIFYING CONSUMERS

PROBLEM:-

MARKETERS TRY TO IDENTIFY

CONSUMER PROBLEMS,EITHER BY

INTUTION OR THROUGH CONSUMER

RESEARCH.

PROBLEM RECOGNITION


167/250

THE MAIN PITFALL OF WORKING

WITH INTUTION IS THAT THE

PROBLEM MAY BE OF LESS

IMPORTANCE TO MAJORITY OF

CONSUMERS.

PROBLEM RECOGNITION


168/250

CONSUMER RESEARCH,ON THE

OTHER HAND,IS A MORE RELIABLE

TOOL TO IDENTIFY CONSUMERS

PROBLEM.

USUALLY,THE FOCUS OF CONSUMER

RESEARCH IS TO FIND OUT THE

ACTIVE & INACTIVE PROBLEMS OFTHE CONSUMERS.

PROBLEM RECOGNITION


169/250

CONSUMER RESEARCH

IS,THUS,USED FOR:-

* ACTIVITY ANALYSIS,

* PRODUCT ANALYSIS, &

* PROBLEM ANALYSIS.

PROBLEM RECOGNITION


170/250

* ACTIVITY ANALYSIS:-

IS DONE TO STUDY THE PROBLEMS FACED

BY CONSUMERS WHILE PERFORMING

CERTAIN TASKSLIKE,SAY,COOKING,CLEANING,GAR-

DENING etc.

THE FOCUS HERE IS ON UNDERSTANDING

THE PROBLEM vis-a vis THESE ACTIVITIES.

PROBLEM RECOGNITION


171/250

* PRODUCT ANALYSIS:-

HERE THE FOCUS IS ON A

PARTICULAR PRODUCT OR A BRAND.

FOR Eg INDIAN CONSUMERS FOUND A

MICROWAVE OVEN DIFFICULT TO

USE & WAS PERCEIVED ONLY AS

HEATING DEVICE

PROBLEM RECOGNITION


172/250

LG ELECTRONICS IDENTIFIED THIS

CONSUMER PROBLEM & UNDER

TOOK A DIRECT INITIATIVE WITH A

SPECIAL CAMPAIGN ON HOME

DEMONSTRATION.

PROBLEM RECOGNITION


173/250

* PROBLEM ANALYSIS:-

IN THIS METHOD,VARIOUS

PROBLEMS ARE STATED AND

RESPONDENTS ARE ASKED TO

STATE THE

ACTIVITIES,PRODUCTS,OR BRANDS

THEY ASSOCIATE WITH THEPROBLEM

PROBLEM RECOGNITION


174/250

ACTING ON CONSUMER PROBLEMS:-

WHEN MARKETERS ARE UNAWARE OF

THE CONSUMERS ISSUE,THEY CAN USE

THIS KNOWLEDGE TO EITHER MODIFYTHEIR EXISTING OFFERINGS OR TO

DEVELOP A COMPLETELY NEW

PRODUCT(ATMs,CREDIT CARDS)

PROBLEM RECOGNITION


175/250

HELP CONSUMER RECOGNIZE

PROBLEM:-

MARKETERS OFTEN ATTEMPT TO

MAKE CONSUMERS RECOGNIZE

THEIR PROBLEMSESPECIALLY IN

THE CASE OF INACTIVE PROBLEMS.

PROBLEM RECOGNITION


176/250

GOVERNMENT BODIES ACTIVELY

USE VARIOUS CAMPAIGNS TO BRING

VARIOUS ISSUES TO CONSUMERS

ATTENTION AND CAUSE PROBLEMRECOGNITION.

PROBLEM RECOGNITION


177/250

SUPRESSING PROBLEM

RECOGNITION:-

IN SOME SCENARIOS,MARKETERS

TRY TO DOWNPLAY THE ILL

EFFECTS OF THEIR PRODUCTS BY

NOT GIVING PROPER INFORMATION

(tobacco,cigarette,alcohol marketers)

INFORMATION SEARCH


178/250

WE STUDIED VARIOUS TYPES OF

CDM & THE INTERNAL &

EXTERNAL INFORMATION WHICH

THEY REFER TO ,WHILE MAKINGTHESE DECISIONS.

INFORMATION SEARCH


179/250

CONSUMERS INITIALLY GO

THROUGH THEIR INTERNAL

INFORMATION RESOURCES & TRY

TO IDENTIFY IF SUCH A PROBLEMOCCURRED EARLIER & IF IT HAD

OCCURRED,HOW THEY SOLVED THE

ISSUE.

INFORMATION SEARCH


180/250

IF THE INTERNAL INFORMATION IS

NOT SUFFICIENT TO SOLVE THE

PROBLEM,THE CONSUMERS SEARCH

EXTERNAL INFORMATION SOURCESFOR A POSSIBLE ALTERNATIVE.

INFORMATION SEARCH


181/250

A PERSON,WHOES CAR HAS A

ENGINE FAILURE,WILL FIRST

SEARCH FROM HIS MEMORY & PAST

EXPERIENCE(as to what he did last time?is it the same problem? which work shop?).

IF THE INTERNAL INFO SEARCH

DOEST YIELD ANY SOLUTION,ONLYTHEN GOES FOR YELLOW PAGES etc

DETERMINANTS OF IS


182/250

# MARKET

CHARACTERISTICS( number of

alternative products,brands,price etc).

PRODUCT CHARACTERISTIC(various

product attributes,say,fragrance,shape of the

bottle,longevity of the frargrance on skin &

price are some characteristics consideredwhile purchasing a perfume)

DETERMINANTS OF IS


183/250

CONSUMER CHARACTERISTICS( level

of market,product,brand knowledg-

e,personal experience,social status etc).

SITUATION CHARACTERISTICS(norm-

al consumption,gifting,special occasions

etc).

DETERMINANTS OF IS


184/250

ALL THESE FACTORS TOGETHER

DETERMINE THE EXTENT OF THE

EXTERNAL IS.

AN INFREQUENTLY PURCHASEDPRODUCT(house)WITH HIGH PRICE & LONG

LIFE WILL ENTAIL A CONSIDERABLE

AMOUNT OF EXTERNAL SEARCH FOR,A

FIRST TIME BUYER

DETERMINANTS OF IS


185/250

ON THE OTHER HAND,A PERSON

WHO FREQUENTLY INVESTS IN

RESIDENTIAL PROPERTY TO MAKE A

PROFIT OUT OF A RESALE MAY NOTINDULDE IN TOO MUCH EXTERNAL

INFORMATION.

ALTERNATIVE

EVALUATION & SELECTION


186/250

WE DISCUSSED HOW CONSUMERS

FIRST RECOGNIZE A PROBLEM,

ADDRESS THE ISSUE,HOW THEY

SEARCH FOR INFORMATION.

ON THE BASIS OF THIS,THEY

SHORTLIST VARIOUS

ALTERNATIVES FOR THE FINALPURCHASE.

ALTERNATIVE

EVALUATION & SELECTION


187/250

THERE ARE THREE TYPES OF

CONSUMERS CHOICE PROCESS:

# AFFECTIVE CHOICE,

# ATTITUDE BASED CHOICE, &

# ATTRIBUTE BASED CHOICE.

AFFECTIVE CHOICE


188/250

CONSUMER BUYING STEREO AT

ELECTRONIC SHOPINSPECTS ALL

MODELS & BRANDS COMPARES SET

RECEPTIONVOLUMEEQUILIZER-REMOTE CONTROLRECORDING

OPTIONSPRICEOTHER FEATURES

EVALUATES ALL MODELS BASED ONTHESE ASPECTSSELECTS ONE SET-

ATTITUDE BASED

CHOICE


189/250

INVOLVES THE USE OF GENERAL

ATTITUDES,SUMMARY

IMPRESSIONS,INTUTIONS etc.

ATTRIBUTE BASED

CHOICE


190/250

REQUIRES THE KNOWLEDGE OF

SPECIFIC ATTRIBUTES,AT THE TIME

THE CHOICE IS MADE & IT INVOLVES

ATTRIBUTE-BY-ATTRIBUTECOMPARISON ACROSS BRANDS ARE

MADE AT THE TIME OF CHOICE

ATTRIBUTE BASED

CHOICE


191/250

A-B-C REQUIRE THE COMPARISON

OF EACH SPECIFIC ATTRIBUTE

ACROSS ALL THE BRANDS

CONSIDERED

CULTURAL INFLUENCES


192/250

ON NOV 10,2003,THE BRITISH

PM,TONY BLAIR,CREATED HISTORY

WHEN HE,ALONG WITH SEVERAL

MINISTERS &MEMBERS OF OTHERPOLITICAL PARTIES,CELEBRATED

THE FESTIVAL DIWALI IN THE

BRITISH PARLIAMENT.

CULTURAL INFLUENCES


193/250

AMIDIST THE CHEERING OF 500

INDIANS THE BRITISH PM, LIT THE

DIWALI LAMP TO FORMALLY

INAUGURATE THE CELEBRATION.

INDIANS HAVE IMMIGRATED TO

VARIOUS PARTS OF THE WORLD &

HAVE TAKEN WITH THEM A SLICEOF THEIR CULTURAL HERITAGE.

CULTURAL INFLUENCES


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THE CULTURE HAS A GREAT DEAL

OF INFLUENCE ON INDIVIDUALS ON

ALL WALKS OF LIFE.

CULTURE


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DEFINED AS THE TOTALITY OF

SOCIALLY TRANSMITTED

BEHAVIOUR

PATTERNS,ARTS,BELIEFS,INSTITUT-IONS & ALL OVER PRODUCTS OF

HUMAN WORK & THOUGHT

CULTURE


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IT HAS ALSO BEEN DEFINED AS SHAREDBEHAVIOUR,WHICH IS IMPORTANTBECAUSE IT SYSTEMATIZES THE WAYPEOPLE DO THINGS,THUS AVOIDINGCONFUSION & ALLOWING CO-OPERATION SO THAT GROUPS OFPEOPLE CAN ACCOMPLISH WHAT NOSINGLE INDIVIDUAL COULD DO ALONE.

CULTURE


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AND IT IS BEHAVIOUR IMPOSED,BY

SANCTIONS,REWARDS AND PUNISHMENTS

FOR THOSE WHO ARE PART OF THE

GROUP. IN OTHER WORDS,CULTURE CONSISTS OF

THE COLLECTIVE

BEHAVIOUR,BELIEFS,VALUES,HABI-

TS,TRADITION & HERITAGE OF A SOCIETY

CULTURE


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IT INFLUENCES-WHAT ONE

EATS,DRINKS,WEARS;THE KIND OF

MUSIC,ART,CRAFT,MOVIES,ENTERT-

AINMENT;THE LANGUAGE ONESPEAKS;THE WORK PATTERNS

PRACTICALLY ALL ASPECTS OF

ONES LIFE.

CULTURE


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THE CULTURAL VALUE SYSTEMINFLUENCES 3 ESSENTIALCONSTRUCTS OF HUMAN

BEHAVIOUR.*ETHICS(good,bad,moral,immoral)

*AESTHETICS(beautiful,ugly,pleasant,un-

pleasant)* DOCTRINE(political,social etc)

CULTURE


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VALUES INDEPENDENT OF OBJECTS OR

SITUATIONS,ARE WIDELY ACCEPTED BY A

SOCIETY & ARE VERY DIFFICULT TO

CHANGE. CUSTOMES ON THE OTHER HAND ARE

OVERT MODES OF BEHAVIOUR THAT

CONSTITUTE CULTURALLY APPROVED OR

ACCEPTABLE WAY OF BEHAVING IN ASPECIFIC SITUATION.

THE DYNAMICS OF

CULTURE


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CULTURE IS OMNIPRESENT,IT

SATISFIES THE NEEDS OF PEOPLE.

IT IS LEARNED THROUGH

SOCIALIZATION.

IT IS A SHARED GROUP

PHENOMENON.

IT IS DYNAMIC IN NATURE.

THE DYNAMICS OF

CULTURE


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# OMNIPRESENT CULTURE:-

CULTURE HAS AN IMPACT ON ALLASPECTS OF LIFE.

EVEN EVERYDAY THINGSLIKE,PRAYING BEFORE VENTURINGOUT OF HOME & HAVING FAMILY

DINNERS ARE INFLUENCED BYCULTURE.

THE DYNAMICS OF

CULTURE


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# SATISFIES CHANGING NEEDS:-

SERVES AS A GUIDE TO SATISFYPHYSIOLOGICAL,PERSONAL &

SOCIAL NEEDS. IT PROVIDES CERTAIN STANDARDS

THAT PEOPLE FOLLOW BECAUSE

THEY ARE SUPPOSED TO BE FORTHEIR WELFARE.

THE DYNAMICS OF

CULTURE


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ACTS AS A GUIDE TO HOW PEOPLESHOULD BEHAVE IN DIFFERENTSITUATIONS.

IT NOT ONLY SERVES PRESENTNEEDS BUT ALSO CHANGES ALONGWITH CHANGING TIMES.

ALERT MARKERS WITH NEWOPPORTUNITIES.(nuclear families)

THE DYNAMICS OF

CULTURE


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# CULTURE IS LEARNED:-

ARE LEARNED EITHER

FORMALLY(from family) OR

INFORMALLY(by observing).

CULTURE VARIABLES CAN ALSO BE

TAUGHT BY TEACHERS.

THE DYNAMICS OF

CULTURE


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CULTURAL MEANING,IN THE

CONTEXT OF CONSUMER

BEHAVIOUR,IS BELIEVED TO BE

PRESENT IN TODAYS EVERCHANGING MARKKETING

SCENARIO.

THE DYNAMICS OF

CULTURE


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EVERY CULTURE HAS ITS OWN

BELIEFS,VALUES & CUSTOMS & ITS

OWN PERSPECTIVE.

IT IS THE LENS THROUGH WHICH ITS

MEMBERS SEE THE WORLD.

THE DYNAMICS OF

CULTURE


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CULTURE THUS CONSTITUTES THE

WHOLE WORLD FOR ITS MEMBERS,A

WORLD IN WHICH EVERYTHING

MAKES SENSE.ANYTHING OUTSIDE IT IS

CONSIDERED ALIEN.

THE DYNAMICS OF

CULTURE


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# LANGUAGES & SYMBOLS:-

MARKETERS USE VERBAL & NON-VERBAL

MEANS OF COMMUNICATION TO

ADVERTISE,TO TARGET CONSUMER BASE. LANGUAGE IS A BASIC MEANS OF

COMMUNICATION BETWEEN

INDIVIDUALS,HENCE IT IS ESSENTIAL TO

TRANSMIT CULTURAL UNDERSTANDING

AMONG MEMBERS OF A CULTURE.

MEASURING CULTURE


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THERE ARE 3 TOOLS,WHICHWESTERN COUNTRIES USE MOSTFREQUENTLY TO MEASURE

CULTURE i.e, * CONTENT ANALYSIS,

* CONSUMER FIELD WORK &

* VALUE MEASUREMENT SURVEYINSTRUMENTS.

MEASURING CULTURE


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* CONTENT ANALYSIS:-

IS AN OBJECTIVE APPROACH TO

ANALYSE THE CULTURAL CONTENT

OF ALL KINDS OF VERBAL,WRITTEN

& PICTORAL COMMUNICATION IN A

SOCIETY.

MEASURING CULTURE


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THE UNDERLYING PRINCIPLE IS

THAT THE COMMUNICATION IS

REFLECTIVE OF THE CULTURAL

VALUES & WAYS OF LIFE OFSOCIETY.

MEASURING CULTURE


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IT ALSO IS QUITE AN EFFECTIVE

TOOL TO MEASURE THE CULTURAL

SHIFTS.

FAIR&LOVELY(HLL),LANDED IN A

CONTRAVERSY OVER A TELEVISION

ADVERTISEMENT,WHICH ACTIVISTS

CLAIMED,SHOWED WOMEN IN POORLIGHT.

MEASURING CULTURE


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BOTH MARKETERS & POLICY

MAKERS USE CONTENT ANALYSIS

TO UNDERSTAND CULTURAL SHIFTS.

MEASURING CULTURE


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WHILE MARKETERS USE IT TO

UNDERSTAND THE EFFECT OF

CULTURAL SHIFT ON CONSUMPTION

PATTERN,POLICY MAKERS USE IT TOUNDERSTAND CULTURAL SHIFT SO

THAT THEY CAN MAKE CHANGES IN

OLD LAWS & GOVERNMENTPOLICIES

MEASURING CULTURE


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CONSUMER FIELD WORK:-

INVOLVES QUALITATIVE &

QUANTITATIVE TECHNIQUES OF CR

TO UNDERSTAND THE INFLUENCE

OF THEIR CULTURE ON THEIR

BEHAVIOUR & ITS SUBSEQUENT

EFFECT ON THEIR CONSUMPTIONPATTERN.

MEASURING CULTURE


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RESEARCHERS USE VARIOUS METHODS

INVOLVING SOME SUBJECTS LIKE

OBSERVATION(participative&non-

participative),FOCUS GROUPS & IN-DEPTHINTERVIEWS,TO NOT ONLY UNDERSTAND

CONSUMPTION IN THE CULTURAL

CONTEXT BUT ALSO TO IDENTIFY

EMERGING CULTURAL SHIFTS

MEASURING CULTURE


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VALUE MEASUREMENT & SURVEY

INSTRUMENTS:-

THERE ARE 3 METHODS THAT USE

SOME RELEVANT WORDS &

STATEMENTS TO MEASURE

CULTURAL VALUES OF A SOCIETY.

THESE ARE;

MEASURING CULTURE


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! ROKEACH VALUE SURVEY,

!! LIST OF VALUES (LOV) &

!!! VALUES & LIFESTYLE SURVEY

(VALS)

MEASURING CULTURE


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! THE ROKEACH VALUE SURVEY:-

MOST FREQUENTLY USED METHOD

OF MEASURING CULTURAL VALUES.

CONSIST OF TWO DIFFERENT BUT

RELATED SETS OF VALUES-

INSTRUMENTAL VALUES &

TERMINAL VALUES.

MEASURING CULTURE


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EACH OF THESE SETS DESCRIBES 18

VALUES,WHICH THE RESPONDENT

HAS TO RANK ACCORDINGLY.

THIS TYPE WAS INITIALLY USED TO

EXPLAIN THE VALUE STRUCTURE OF

A SOCIETY OR THE DIFFERENCE IN

THE VALUE STRUCTURE OFDIFFERENT CULTURAL GROUPS.

MEASURING CULTURE


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ROKEACH VALUE SURVEY IS QUITE

DIFFICULT TO USE DUE TO LARGE

NUMBER OF VALUES,WHICH HAS TO

BE RANKED.BESIDES,NOT ALL RESEACHERS

AGREE THAT THE VALUES PUT IN

UNDER BOTH CATEGORIES AREIMPORTANT.

MEASURING CULTURE


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THERE IS ALSO DISAGREEMENT

AMONG RESEARCHERS ON THE

INTERPRETATION OF

INSTRUMENTAL & TERMINALVALUES & THEIR CLASSIFICATION

UNDER EACH HEAD.

MEASURING CULTURE


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THE LIST OF VALUES METHOD IS

QUITE SIMILAR TO THE ROKEACH

VALUE SURVEY & CAME INTO

EXISTENCE TO OVERCOME THELATTERS SHORTCOMING OF SO

MANY VALUES HAVING TO BE

RANKED.

MEASURING CULTURE


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IN THE LOV METHOD,THE TERMINAL

VALUES HAVE BEEN CONVERTED TO

A NINE-ITEM SUBSET,RESPONDENTS

ARE ASKED TO IDENTIFY THE TWOMOST IMPORTANT VALUES.

MEASURING CULTURE


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THE VALUES & LIFESTYLE METHOD

IS BASED ON NEED HIERARCHY &

THE SOCIAL CHARACTER CONCEPT.

IT CONSIST OF 32-36 QUESTIONSRELATING TO THE GENERAL &

SPECIFIC ATTITUDES OF

RESPONDENTS & THEIRDEMOGRAPHIC PROFILE.

MEASURING CULTURE


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THE RESPONDENTS ARE THEN

CLASSIFIED INTO ONE OF THE NINE

LIFESTYLE GROUPS ON THE BASIS

OF THEIR RESPONSES.

SUB-CULTURE


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A SOCIETY WITH COMMON CULTURE

CAN BE SUB-DIVEDED ON THE BASIS

OF SOCIO-CULTURAL & DEMOGRAP-

HIC VARIABLES,INTO VARIOUSGROUPINGS CALLED AS SUB-

CULTURES.

SUB-CULTURE


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CULTURE IS,THUS,RELATED TO THE

DOMINANT CULTURAL

BELIEFS,VALUES & CUSTOMS OF A

SOCIETY,IRRESPECTIVE OF THEDIFFERENT TRAITS OF THE MULTIP-

LE SUB-CULTURES WITHIN THAT

CULTURE.

SUB-CULTURE


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A SUB-CULTURE,ON THE OTHER

HAND,IS A SOCIAL GROUP WITHIN

A NATIONAL CULTURE THAT HAS A

DISTINCTIVE PATTERNS OFBEHAVIOR & BELIEFS.

SUB-CULTURE


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A CUSTOMER CAN BE A MEMBER OF

MANY SUB-CULTURES AT THE SAME

TIME.

FOR Eg,AN ADULT(age sub-culture) INDIANCHRISTIAN(relegion sub-culture) MALE(gender

sub-culture) LIVING IN SOUTH

INDIA(geographic s-c) & WORKING AS AN

ENGINEER(occupational s-c)


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CROSS CULTURAL

INFLUENCES


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AS A RESULT,THE NUMBER OF MNCs

HAS BEEN INCREASING THE WORLD

OVER.

IN INDIA TOO,SINCE 2 DECADES THEPRESENCE OF FOREIGN BRANDS

INCREASED SIGNIFICANTLY.

CROSS CULTURAL

INFLUENCES


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THIS HAS MEANT INCREASEDCHOICE FOR THE INDIAN CONSUMER

THUS INSTEAD OF JUST,HMT& TITAN

INDIAN CONSUMERS CAN NOWCHOOSE FROM A RANGE OFOMEGA,SEIKO,CITIZEN etc.

THE SAME IS TRUE FOR OTHERPRODUCTS ALSO.

CONSUMER

ETHENOCENTRISM


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ETHENOCENTRISM MEANS PEOPLE

VIEWING THEIR OWN IN-GROUP AS

CENTRAL,AS POSSESSING PROPER

STANDARDS OF BEHAVIOUR,AND ASOFFERING PROTECTION AGAINST

APPARENT THREATS FROM OUT

GROUPS

CONSUMER

ETHENOCENTRISM


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HAS BEEN DEFINED AS THE APPRO-

PRIATENESS,INDEED MORALITY OF

PURCHASING FOREIGN MADE

GOODS

CROSS-CULTURAL

MARKRTING MISTAKES


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MARKETERS OFTEN FAIL TO

EMPLOY THE PROPER STRATEGY IN

DIFFERENT NATIONS,BEFORE THEY

LAUNCH THEIR PRODUCT.BRAND FAILURES OR PROBLEMS

DUE TO CULTURAL

MISINTERTATION ARE NUMEROUS.

CROSS-CULTURAL

MARKRTING MISTAKES


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PRODUCT PROBLEMS(Hallmark failed

miserably in FranceFrench preffered to

write their own messages in the greeting

cards)PROMOTIONAL PROBLEMS(KFC in

India failed to attract families as Indians

perceived it as a fast-foodIndian foodhabits)

CROSS-CULTURAL

MARKRTING MISTAKES


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PRICING PROBLEM(Maggie noodles

initially failed to cut ice in India due to

prices which the target consumers perceived

as not having value-for-money).

CONSUMER PROTECTION


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GOI,RECOGNIZES A CONSUMER UNDERTHE CONSUMER PROTECTION ACT:- AS

ANY PERSON WHO BUYS ANY GOODS

FOR A CONSIDERATION WHICH HAS BEEN

PAID OR PROMISED OR PARTLY PAID AND

PARTLY PROMISED,OR UNDER ANY

SYSTEM OF DEFFERED PAYMENT AND

INCLUDES ANY USER OF SUCH GOODS--

CONSUMER PROTECTION


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--OTHER THAN THE PERSON WHO BUYS SUCHGOODS FOR CONSIDERATION PAID ORPROMISED OR PARTLY PAID OR PARTLYPROMISED,OR ANY SYSTEM OF DEFFERED

PAYMENT WHEN SUCH USE IS MADE WITHTHE APPROVAL OF SUCH PERSON,BUT DOESNOT INCLUDE A PERSON WHO OBTAIN SUCHGOODS FOR RESALE OR FOR ANYCOMMERCIAL PURPOSE.

CONSUMER PROTECTION


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THE DEFINITION OF CONSUMER

ALSO INCLUDED PEOPLE WHO HIRE

GOODS AND SERVICES.

CONSUMER PROTECTION


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U.S.PRESIDENT,JOHN.F.KENNEDY INHIS ADDRESS TO THE US CONGRESSIN 1962,SAID, If a consumer is offered

inferior products,if prices are exorbitant,ifdruges un safe or worthless,if the consumeris unable to choose on an informedbasis,then his dollar is wasted,his wealth &

safety may be threatened & national interestsuffers.

CONSUMER PROTECTION


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THE CONSUMER RIGHTS,AS

RECOGNIZED BY GOI,ARE

@ RIGHT TO SAFETY(goods&services

should consider short & long-term safety ofthe consumers)

@ RIGHT TO BE INFORMED(to avoid

being cheat)

CONSUMER PROTECTION

@ ( h


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@ RIGHT TO CHOOSE(to have access to avariety of options at competitive prices)

@ RIGHT TO BE HEARD(to have liberty to

complain) @ RIGHT TO SEEK REDRESS(to fight

consumer exploitation & unfare trade practices)

RIGHT TO CONSUMER EDUCATION(to be

aware of his/her rights)

CONSUMER PROTECTION

GO AS O C A AC S O


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GOI HAS ENFORCED MANY ACTS TOPROTECT THE INTERESTS OF

CONSUMERS.

SOME OF THE IMPORTANT ACTSRELATED TO CONSUMER WELFARE

ARE AS FOLLOWS.

CONSUMER PROTECTION

COPRA 1986 UNDER THIS


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COPRA 1986,UNDER THISACT,CONSUMERS CAN SEEK

REDRESS WITH REFERENCE TO

UNFAIR TRADE PRACTICES & ORDEFECT AND DEFICIENCIES IN THE

GOODS & SERVICES PURCHASED

CONSUMER PROTECTION

BUREAU OF INDIAN STANDARDS


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BUREAU OF INDIAN STANDARDSACT (BIS),1986:

PRODUCT CERTIFICATION WHICH

INCLUDES POPULAR QUALITYASSURANCE LIKE Agmark,ISI,Hologram

etc.

CONSUMER PROTECTION

ESSENTIAL COMMODITY ACT 1955


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ESSENTIAL COMMODITY ACT,1955:

THE GOVT HAS COMPLETE CONTROL

OVER THE PRODUCTION &

DISTRIBUTION OF SOME ESSENTIALGOODS & SERVICES AT REASONBLE

PRICES.

CONSUMER PROTECTION

THE STANDARDS OF WEIGHTS &


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THE STANDARDS OF WEIGHTS &MEASURES ACT,1976:

UNDER THE PACKAGED

COMMODITIES RULE,1977, THE ACTPROVIDES GIUDELINES FOR GIVING

COMPLETE INFORMATION ABOUT

Consumer Behaviour shamsu MBA 9747666274

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