Instructor Manual: Babin Harris, CB, 10, ©2027, 9798214052489; Chapter 1: What Is CB and Why Should I Care?
Instructor Manual
Babin Harris, CB, 10, ©2027, 9798214052489; Chapter 1: What Is CB and Why Should I Care?
TABLE OF CONTENTS
Purpose and Perspective of the Chapter..........................................................2
Complete List of Chapter Activities and Assessments......................................2
Key Terms........................................................................................................ 3
What's New in This Chapter............................................................................ 5
Chapter Outline................................................................................................ 6
© 20YY Cengage Learning, Inc. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a
publicly accessible website, in whole or in part.
PA
, Instructor Manual: Babin Harris, CB, 10, ©2027, 9798214052489; Chapter 1: What Is CB and Why Should I Care?
PURPOSE AND PERSPECTIVE OF THE CHAPTER
The purpose of this chapter is to introduce consumer behavior as both a field of study and a fundamental
aspect of human experience that shapes business success, societal development, and individual decision-
making. This chapter establishes that everyone possesses extensive consumer experience, making the
subject immediately relevant and accessible. The content explores consumer behavior from multiple
perspectives, examining how consumption creates value through the basic consumption process involving
needs recognition, exchange, and benefit evaluation. Key learning objectives include understanding the
connection between consumption and consumer behavior, recognizing how competitive markets benefit
consumers, and evaluating consumer behavior's role in contemporary business and society. The chapter
contrasts interpretive and quantitative research approaches used to study consumer behavior, highlighting
contributions from economics, psychology, marketing, and anthropology. Additionally, it examines
current trends including internationalization, technological advances, big data analytics, machine learning
applications, demographic shifts, and the emerging sharing economy. By understanding these concepts,
readers will appreciate how consumer behavior influences marketing strategy development, shapes
cultural norms and public policy, and provides insights for making more informed personal consumption
decisions in an increasingly dynamic marketplace.
COMPLETE LIST OF CHAPTER ACTIVITIES AND
ASSESSMENTS
The following table organizes activities and assessments by objective so that you can see how all this
content relates to objectives and make decisions about which content you would like to emphasize in your
class based on your objectives. For additional guidance, refer to the Teaching Online Guide.
Chapter Activity/Assessment Source (i.e., PPT Duration Certification
Objective slide, Workbook) Standard
[return to top]
KEY TERMS
- Anthropology: The field of study involving interpretation of relationships between consumers and the
things they purchase, the products they own, and the activities in which they participate
- Attribute: A part, or tangible feature, of a product that potentially delivers a benefit of consumption
- Benefits: The positive results of consumption experiences
© 20YY Cengage Learning, Inc. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a
publicly accessible website, in whole or in part.
PA
, Instructor Manual: Babin Harris, CB, 10, ©2027, 9798214052489; Chapter 1: What Is CB and Why Should I Care?
- Big Data: Term used to represent the massive amounts of data available to companies, which can
potentially be used to predict customer behaviors
- Cognitive Psychology: The study of the intricacies of mental reactions involved in information
processing
- Collaborative Consumption: The term used for a rental transaction activity that is consumer to
consumer, rather than business to consumer or business to business
- Consumer Behavior: Set of value-seeking activities that take place as people go about addressing their
real needs.
- Consumer Behavior as a Field of Study: The study of consumers as they go about the consumption
process; the science studying how consumers seek value in an effort to address real needs
- Consumer Orientation: A way of doing business in which the actions and decision making of the
institution prioritize consumer value and satisfaction above all other concerns
- Consumption: The process by which consumers use and transform goods, services, or ideas into value
- Costs: The negative results of consumption experiences
- Differentiated Marketers: Firms that serve multiple market segments, each with a unique product
offering
- Economics: The study of production and consumption
- Ethnography: A qualitative approach to studying consumers that relies on interpretation of artifacts to
draw conclusions about consumption
- Exchange: The acting out of the decision to give something up in return for something perceived to be
of greater value
- General Data Protection Regulation (GDPR): A regulation aimed at protecting European consumers'
privacy, including a "right to be forgotten" requiring erasure of personal data
- Internet of Things: The automatic recording of data from everyday products that signal consumers
patterns of behavior
- Interpretive Research: The approach that seeks to explain the inner meanings and motivations associated
with specific consumption experiences
- Machine Learning: The application of artificial intelligence to automate tasks otherwise performed by
humans
- Market Orientation: An organizational culture that embodies the importance of creating value for
customers among all employees
- Marketing: The multitude of value-producing seller activities that facilitate exchanges between buyers
and sellers, including production, pricing, promotion, distribution, and retailing
- Netnography: A branch of ethnography that studies the behavior of online communities and the
individuals that belong to them
© 20YY Cengage Learning, Inc. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a
publicly accessible website, in whole or in part.
PA
, Instructor Manual: Babin Harris, CB, 10, ©2027, 9798214052489; Chapter 1: What Is CB and Why Should I Care?
- Neuroscience: The study of the central nervous system including brain mechanisms associated with
emotion
- Niche Marketing: A strategy where a firm specializes in serving one market segment with particularly
unique demand characteristics
- One-to-One Marketing: A type of marketing wherein a different product is offered for each individual
customer so that each customer is treated as a segment of one
- Phenomenology: A qualitative approach to studying consumers that relies on interpretation of the lived
experience associated with some aspect of consumption
- Predictive Analytics: Application of statistical tools in an effort to discover patterns in data that allow
prediction of consumer behavior
- Product: A potentially valuable bundle of benefits
- Production Orientation: An approach where innovation is geared primarily toward making the
production process as efficient and economical as possible
- Psychology: The study of human reactions to their environment
- Qualitative Research Tools: The means for gathering data in a relatively unstructured and non-quantified
way, including case analysis, clinical interviews, and focus group interviews
- Quantitative Research: The approach that addresses questions about consumer behavior using numerical
measurement and analysis tools
- Relationship Marketing: The activities based on the belief that the firm's performance is enhanced
through repeat business
- Researcher-Dependent: The interpretation is a matter of the researcher's subjective opinion until/unless
corroborated by other findings.
- Resource-Advantage Theory: Theory that explains why companies succeed or fail; the firm goes about
obtaining resources from consumers in return for the value the resources create
- Sharing Economy: Global consumer trend toward rental (temporary usage for hire) rather than
ownership or rather than doing a task ourselves
- Social Psychology: The study that focuses on the thoughts, feelings, and behaviors that people have as
they interact with other people
- Sociology: The study of groups of people within a society, such as consumption that takes place within
group settings or is affected by group behavior
- Stakeholder Marketing: An orientation in which firms recognize that more than just the buyer and seller
are involved in the marketing process, and a host of primary and secondary entities affect, and are
affected by, the value creation process
- Touchpoints: The direct contacts between the firm and a customer
- Undifferentiated Marketing: A type of marketing wherein the same basic product is offered to all
customers
© 20YY Cengage Learning, Inc. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a
publicly accessible website, in whole or in part.
PA
Instructor Manual
Babin Harris, CB, 10, ©2027, 9798214052489; Chapter 1: What Is CB and Why Should I Care?
TABLE OF CONTENTS
Purpose and Perspective of the Chapter..........................................................2
Complete List of Chapter Activities and Assessments......................................2
Key Terms........................................................................................................ 3
What's New in This Chapter............................................................................ 5
Chapter Outline................................................................................................ 6
© 20YY Cengage Learning, Inc. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a
publicly accessible website, in whole or in part.
PA
, Instructor Manual: Babin Harris, CB, 10, ©2027, 9798214052489; Chapter 1: What Is CB and Why Should I Care?
PURPOSE AND PERSPECTIVE OF THE CHAPTER
The purpose of this chapter is to introduce consumer behavior as both a field of study and a fundamental
aspect of human experience that shapes business success, societal development, and individual decision-
making. This chapter establishes that everyone possesses extensive consumer experience, making the
subject immediately relevant and accessible. The content explores consumer behavior from multiple
perspectives, examining how consumption creates value through the basic consumption process involving
needs recognition, exchange, and benefit evaluation. Key learning objectives include understanding the
connection between consumption and consumer behavior, recognizing how competitive markets benefit
consumers, and evaluating consumer behavior's role in contemporary business and society. The chapter
contrasts interpretive and quantitative research approaches used to study consumer behavior, highlighting
contributions from economics, psychology, marketing, and anthropology. Additionally, it examines
current trends including internationalization, technological advances, big data analytics, machine learning
applications, demographic shifts, and the emerging sharing economy. By understanding these concepts,
readers will appreciate how consumer behavior influences marketing strategy development, shapes
cultural norms and public policy, and provides insights for making more informed personal consumption
decisions in an increasingly dynamic marketplace.
COMPLETE LIST OF CHAPTER ACTIVITIES AND
ASSESSMENTS
The following table organizes activities and assessments by objective so that you can see how all this
content relates to objectives and make decisions about which content you would like to emphasize in your
class based on your objectives. For additional guidance, refer to the Teaching Online Guide.
Chapter Activity/Assessment Source (i.e., PPT Duration Certification
Objective slide, Workbook) Standard
[return to top]
KEY TERMS
- Anthropology: The field of study involving interpretation of relationships between consumers and the
things they purchase, the products they own, and the activities in which they participate
- Attribute: A part, or tangible feature, of a product that potentially delivers a benefit of consumption
- Benefits: The positive results of consumption experiences
© 20YY Cengage Learning, Inc. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a
publicly accessible website, in whole or in part.
PA
, Instructor Manual: Babin Harris, CB, 10, ©2027, 9798214052489; Chapter 1: What Is CB and Why Should I Care?
- Big Data: Term used to represent the massive amounts of data available to companies, which can
potentially be used to predict customer behaviors
- Cognitive Psychology: The study of the intricacies of mental reactions involved in information
processing
- Collaborative Consumption: The term used for a rental transaction activity that is consumer to
consumer, rather than business to consumer or business to business
- Consumer Behavior: Set of value-seeking activities that take place as people go about addressing their
real needs.
- Consumer Behavior as a Field of Study: The study of consumers as they go about the consumption
process; the science studying how consumers seek value in an effort to address real needs
- Consumer Orientation: A way of doing business in which the actions and decision making of the
institution prioritize consumer value and satisfaction above all other concerns
- Consumption: The process by which consumers use and transform goods, services, or ideas into value
- Costs: The negative results of consumption experiences
- Differentiated Marketers: Firms that serve multiple market segments, each with a unique product
offering
- Economics: The study of production and consumption
- Ethnography: A qualitative approach to studying consumers that relies on interpretation of artifacts to
draw conclusions about consumption
- Exchange: The acting out of the decision to give something up in return for something perceived to be
of greater value
- General Data Protection Regulation (GDPR): A regulation aimed at protecting European consumers'
privacy, including a "right to be forgotten" requiring erasure of personal data
- Internet of Things: The automatic recording of data from everyday products that signal consumers
patterns of behavior
- Interpretive Research: The approach that seeks to explain the inner meanings and motivations associated
with specific consumption experiences
- Machine Learning: The application of artificial intelligence to automate tasks otherwise performed by
humans
- Market Orientation: An organizational culture that embodies the importance of creating value for
customers among all employees
- Marketing: The multitude of value-producing seller activities that facilitate exchanges between buyers
and sellers, including production, pricing, promotion, distribution, and retailing
- Netnography: A branch of ethnography that studies the behavior of online communities and the
individuals that belong to them
© 20YY Cengage Learning, Inc. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a
publicly accessible website, in whole or in part.
PA
, Instructor Manual: Babin Harris, CB, 10, ©2027, 9798214052489; Chapter 1: What Is CB and Why Should I Care?
- Neuroscience: The study of the central nervous system including brain mechanisms associated with
emotion
- Niche Marketing: A strategy where a firm specializes in serving one market segment with particularly
unique demand characteristics
- One-to-One Marketing: A type of marketing wherein a different product is offered for each individual
customer so that each customer is treated as a segment of one
- Phenomenology: A qualitative approach to studying consumers that relies on interpretation of the lived
experience associated with some aspect of consumption
- Predictive Analytics: Application of statistical tools in an effort to discover patterns in data that allow
prediction of consumer behavior
- Product: A potentially valuable bundle of benefits
- Production Orientation: An approach where innovation is geared primarily toward making the
production process as efficient and economical as possible
- Psychology: The study of human reactions to their environment
- Qualitative Research Tools: The means for gathering data in a relatively unstructured and non-quantified
way, including case analysis, clinical interviews, and focus group interviews
- Quantitative Research: The approach that addresses questions about consumer behavior using numerical
measurement and analysis tools
- Relationship Marketing: The activities based on the belief that the firm's performance is enhanced
through repeat business
- Researcher-Dependent: The interpretation is a matter of the researcher's subjective opinion until/unless
corroborated by other findings.
- Resource-Advantage Theory: Theory that explains why companies succeed or fail; the firm goes about
obtaining resources from consumers in return for the value the resources create
- Sharing Economy: Global consumer trend toward rental (temporary usage for hire) rather than
ownership or rather than doing a task ourselves
- Social Psychology: The study that focuses on the thoughts, feelings, and behaviors that people have as
they interact with other people
- Sociology: The study of groups of people within a society, such as consumption that takes place within
group settings or is affected by group behavior
- Stakeholder Marketing: An orientation in which firms recognize that more than just the buyer and seller
are involved in the marketing process, and a host of primary and secondary entities affect, and are
affected by, the value creation process
- Touchpoints: The direct contacts between the firm and a customer
- Undifferentiated Marketing: A type of marketing wherein the same basic product is offered to all
customers
© 20YY Cengage Learning, Inc. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a
publicly accessible website, in whole or in part.
PA
