MARK 3000 GRANTHAM UGA LATEST EXAMS ALL
QUESTIONS AND ANSWERS SURE A+
✔✔Millennials - ✔✔Consumers born between 1977 and 2000 and the children of the
Baby Boomers
✔✔Generation X - ✔✔People born between 1965-1976
✔✔Baby Boomers - ✔✔People born after WWII, between 1946-1964
✔✔Green Marketing - ✔✔Involves a strategic effort by firms to supply customers with
environmentally friendly merchandise
✔✔Greenwashing - ✔✔Exploiting a consumer by disingenuously marketing products or
services as environmentally friendly, with the goal of gaining public approval and sales
✔✔Inflation - ✔✔Persistent increase in the prices of goods and services
✔✔Foreign Currency Fluctuations - ✔✔Changes in the value of a country's currency
relative to the currency of another country; can influence consumer spending
✔✔Interest Rates - ✔✔These represent the cost of borrowing money
✔✔Political/regulatory Environment - ✔✔Competitive political parties, government
organizations, and legislation and laws
✔✔Need Recognition - ✔✔The beginning of the consumer decision process; occurs
when consumers recognize they have an unsatisfied need and want to go from their
actual, needy state to a different, desired state
✔✔Functional Needs - ✔✔Pertain to the performance of a product or service
,✔✔Psychological Needs - ✔✔Pertain to the personal gratification consumers associate
with a product or service
✔✔Internal Search for Information - ✔✔Occurs when the buyer examines his or her own
memory and knowledge about the product or service, gathered through past
experiences
✔✔External Search for Information - ✔✔Occurs when the buyer seeks information
outside his or her personal knowledge base to help make the buying decision
✔✔Internal Locus of Control - ✔✔Refers to when consumers believe they have some
control over the outcomes of their actions, in which case they generally engage in more
search activities
✔✔External Locus of Control - ✔✔Refers to when consumers believe that fate or other
external factors control all outcomes
✔✔Performance Risk - ✔✔Involves the perceived danger inherent in a poorly
performing product or service
✔✔Financial Risk - ✔✔Risk associated with a monetary outlay; includes the initial cost
of the purchase, as well as the costs of using the item or service
✔✔Social Risk - ✔✔The fears that consumers suffer when they worry others might not
regard their purchases positively
✔✔Retrieval Sets - ✔✔Includes those brands or stores that the consumer can readily
bring forth from memory
✔✔Evoked Set - ✔✔Comprises the alternative brands or stores that the consumer
states he or she would consider when making a purchase decision
✔✔Evaluate Criteria - ✔✔Consist of a set of salient, or important, attributes about a
particular product
✔✔Physiological Risk - ✔✔The fear of an actual harm should a product not perform
properly
✔✔Safety Risk - ✔✔Same as Psychological Risk
✔✔Psychological Risk - ✔✔Associated with the way people will feel if the product or
service does not convey the right image
✔✔Universal Sets - ✔✔Includes all possible choices for a product category
,✔✔Determinant Attributes - ✔✔Product or service features that are important to the
buyer and on which competing brands or stores are perceived to differ
✔✔Consumer Decision Rules - ✔✔The set of criteria that consumers use consciously or
subconsciously to quickly and efficiently select from among several alternatives
✔✔Compensatory Decision Rule - ✔✔good characteristics compensate for bad ones;
Decision made on multiple criteria
✔✔Multi-Attribute Model - ✔✔A compensatory model of customer decision making
based on the notion that customers see a product as a collection of attributes or
characteristics. The model uses a weighted average score based on the importance of
various attributes and performance on those issues
✔✔Noncompensatory Decision Rule - ✔✔Base decision on only one criteria
✔✔Conversion Rate - ✔✔Percentage of consumers who buy a product after viewing it
✔✔Postpurchase Cognitive Dissonance - ✔✔The psychologically uncomfortable state
produced by an inconsistency between beliefs and behaviors that in turn evokes a
motivation to reduce the dissonance; buyer's remorse
✔✔Negative Word of Mouth - ✔✔Occurs when consumers spread negative information
about a product, service, or store to others
✔✔Motive - ✔✔A need or want that is strong enough to cause the person to seek
satisfaction
✔✔Maslow's Hierarchy of Needs - ✔✔A paradigm for classifying people's motives. It
argues that when lower-level, more basic needs (physiological and safety) are fulfilled,
people turn to satisfying their higher-level human needs (social and personal)
✔✔Attitude - ✔✔A person's enduring evaluation of his or her feelings about and
behavioral tendencies toward an object or idea: consists of three components:
cognitive, affective, and behavioral
✔✔Cognitive Component - ✔✔A comment of attitude that reflects what a person
believes to be true
✔✔Affective Component - ✔✔A component of attitude that reflects what a person feels
about the issue at hand-his or her like or dislike of something
, ✔✔Behavioral Component - ✔✔A component of attitude that comprises the actions a
person takes with regard to the issue at hand
✔✔Lifestyle - ✔✔A component of psychographics; refers to the way a person lives his
or her life to achieve goals
✔✔Reference Group - ✔✔One or more persons whom an individual uses as a basis for
comparison regarding beliefs, feelings, and behaviors
✔✔Situational Factors - ✔✔Factors affecting the consumer decision process; those that
are specific to the situation that may override, or at least influence, psychological and
social issues
✔✔Involvement - ✔✔Consumer's interest in a product or service
✔✔Extended Problem Solving - ✔✔A purchase decision process during which the
consumer devotes considerable time and effort to analyzing alternatives; often occurs
when the consumer perceives that the purchase decision entails a lot of risk
✔✔Limited Problem Solving - ✔✔Occurs during a purchase decision that calls for, at
most, a moderate amount of effort and time
✔✔Impulse Buying - ✔✔A buying decision made by customers on the spot when they
see the merchandise
✔✔Habitual Decision Making - ✔✔A purchase decision process in which consumers
engage with little conscious effort
✔✔The Segmentation, Targeting, and Positioning Process - ✔✔Establish overall
strategy or objectives ⇒Segmentation methods ⇒Evaluate segment attractiveness
⇒Select Target Market ⇒Identify and develop positioning strategy
✔✔Geographic Segmentation - ✔✔The grouping of consumers on the basis of where
they live
✔✔Demographic Segmentation - ✔✔The grouping of consumers according to easily
measured, objective characteristics such as age, gender, income, and education
✔✔Psychographics - ✔✔Used in segmentation; delves into how consumers describe
themselves; allows people to describe themselves using those characteristics that help
them choose how they occupy their time (behavior) and what underlying psychological
reasons determine those choices
QUESTIONS AND ANSWERS SURE A+
✔✔Millennials - ✔✔Consumers born between 1977 and 2000 and the children of the
Baby Boomers
✔✔Generation X - ✔✔People born between 1965-1976
✔✔Baby Boomers - ✔✔People born after WWII, between 1946-1964
✔✔Green Marketing - ✔✔Involves a strategic effort by firms to supply customers with
environmentally friendly merchandise
✔✔Greenwashing - ✔✔Exploiting a consumer by disingenuously marketing products or
services as environmentally friendly, with the goal of gaining public approval and sales
✔✔Inflation - ✔✔Persistent increase in the prices of goods and services
✔✔Foreign Currency Fluctuations - ✔✔Changes in the value of a country's currency
relative to the currency of another country; can influence consumer spending
✔✔Interest Rates - ✔✔These represent the cost of borrowing money
✔✔Political/regulatory Environment - ✔✔Competitive political parties, government
organizations, and legislation and laws
✔✔Need Recognition - ✔✔The beginning of the consumer decision process; occurs
when consumers recognize they have an unsatisfied need and want to go from their
actual, needy state to a different, desired state
✔✔Functional Needs - ✔✔Pertain to the performance of a product or service
,✔✔Psychological Needs - ✔✔Pertain to the personal gratification consumers associate
with a product or service
✔✔Internal Search for Information - ✔✔Occurs when the buyer examines his or her own
memory and knowledge about the product or service, gathered through past
experiences
✔✔External Search for Information - ✔✔Occurs when the buyer seeks information
outside his or her personal knowledge base to help make the buying decision
✔✔Internal Locus of Control - ✔✔Refers to when consumers believe they have some
control over the outcomes of their actions, in which case they generally engage in more
search activities
✔✔External Locus of Control - ✔✔Refers to when consumers believe that fate or other
external factors control all outcomes
✔✔Performance Risk - ✔✔Involves the perceived danger inherent in a poorly
performing product or service
✔✔Financial Risk - ✔✔Risk associated with a monetary outlay; includes the initial cost
of the purchase, as well as the costs of using the item or service
✔✔Social Risk - ✔✔The fears that consumers suffer when they worry others might not
regard their purchases positively
✔✔Retrieval Sets - ✔✔Includes those brands or stores that the consumer can readily
bring forth from memory
✔✔Evoked Set - ✔✔Comprises the alternative brands or stores that the consumer
states he or she would consider when making a purchase decision
✔✔Evaluate Criteria - ✔✔Consist of a set of salient, or important, attributes about a
particular product
✔✔Physiological Risk - ✔✔The fear of an actual harm should a product not perform
properly
✔✔Safety Risk - ✔✔Same as Psychological Risk
✔✔Psychological Risk - ✔✔Associated with the way people will feel if the product or
service does not convey the right image
✔✔Universal Sets - ✔✔Includes all possible choices for a product category
,✔✔Determinant Attributes - ✔✔Product or service features that are important to the
buyer and on which competing brands or stores are perceived to differ
✔✔Consumer Decision Rules - ✔✔The set of criteria that consumers use consciously or
subconsciously to quickly and efficiently select from among several alternatives
✔✔Compensatory Decision Rule - ✔✔good characteristics compensate for bad ones;
Decision made on multiple criteria
✔✔Multi-Attribute Model - ✔✔A compensatory model of customer decision making
based on the notion that customers see a product as a collection of attributes or
characteristics. The model uses a weighted average score based on the importance of
various attributes and performance on those issues
✔✔Noncompensatory Decision Rule - ✔✔Base decision on only one criteria
✔✔Conversion Rate - ✔✔Percentage of consumers who buy a product after viewing it
✔✔Postpurchase Cognitive Dissonance - ✔✔The psychologically uncomfortable state
produced by an inconsistency between beliefs and behaviors that in turn evokes a
motivation to reduce the dissonance; buyer's remorse
✔✔Negative Word of Mouth - ✔✔Occurs when consumers spread negative information
about a product, service, or store to others
✔✔Motive - ✔✔A need or want that is strong enough to cause the person to seek
satisfaction
✔✔Maslow's Hierarchy of Needs - ✔✔A paradigm for classifying people's motives. It
argues that when lower-level, more basic needs (physiological and safety) are fulfilled,
people turn to satisfying their higher-level human needs (social and personal)
✔✔Attitude - ✔✔A person's enduring evaluation of his or her feelings about and
behavioral tendencies toward an object or idea: consists of three components:
cognitive, affective, and behavioral
✔✔Cognitive Component - ✔✔A comment of attitude that reflects what a person
believes to be true
✔✔Affective Component - ✔✔A component of attitude that reflects what a person feels
about the issue at hand-his or her like or dislike of something
, ✔✔Behavioral Component - ✔✔A component of attitude that comprises the actions a
person takes with regard to the issue at hand
✔✔Lifestyle - ✔✔A component of psychographics; refers to the way a person lives his
or her life to achieve goals
✔✔Reference Group - ✔✔One or more persons whom an individual uses as a basis for
comparison regarding beliefs, feelings, and behaviors
✔✔Situational Factors - ✔✔Factors affecting the consumer decision process; those that
are specific to the situation that may override, or at least influence, psychological and
social issues
✔✔Involvement - ✔✔Consumer's interest in a product or service
✔✔Extended Problem Solving - ✔✔A purchase decision process during which the
consumer devotes considerable time and effort to analyzing alternatives; often occurs
when the consumer perceives that the purchase decision entails a lot of risk
✔✔Limited Problem Solving - ✔✔Occurs during a purchase decision that calls for, at
most, a moderate amount of effort and time
✔✔Impulse Buying - ✔✔A buying decision made by customers on the spot when they
see the merchandise
✔✔Habitual Decision Making - ✔✔A purchase decision process in which consumers
engage with little conscious effort
✔✔The Segmentation, Targeting, and Positioning Process - ✔✔Establish overall
strategy or objectives ⇒Segmentation methods ⇒Evaluate segment attractiveness
⇒Select Target Market ⇒Identify and develop positioning strategy
✔✔Geographic Segmentation - ✔✔The grouping of consumers on the basis of where
they live
✔✔Demographic Segmentation - ✔✔The grouping of consumers according to easily
measured, objective characteristics such as age, gender, income, and education
✔✔Psychographics - ✔✔Used in segmentation; delves into how consumers describe
themselves; allows people to describe themselves using those characteristics that help
them choose how they occupy their time (behavior) and what underlying psychological
reasons determine those choices
