CSU MKT300 Exam #2 Questions and Answers 2024

What are the influences on consumer decision making? - Answer--Economic Needs -Psychological variables -Social influences -Culture and ethnicity -Purchase situation What are the economic needs that drive behavior? - Answer-1) Economy of purchase or use 2) Efficiency in operation or use 3) Dependability in use 4) Improvement in earnings 5) Convenience What psychological variables impact behavior? - Answer--Motivation -Perception -Learning -Attitude -Trust -Lifestyle What is discretionary income? - Answer-It's what is left of disposable income after paying for necessities (food, water, etc.) Consumer drive and motivations - Answer-everybody is motivated by wants and needs -Needs = basic forces that motivate a person to do something -Wants = needs that are learned during a persons life -Drive = strong stimulus that encourages action to reduce a needPSSP Hierarchy of needs - Answer-THE LOWER ON THE PYRAMID THE MORE IMPORTANT -Psychological needs - concerned with biological needs (food, liquid, rest) -Safety needs - concerned with protection and well being (health, medicine, exercise) -Social needs - concerned with love, friendship, and status ( things involving human interaction) -Personal needs - concerned with an individuals needs for personal satisfaction Selective exposure - Answer-our eyes and minds only seek and notice information that interests us Selective perception - Answer-we screen out or modify ideas, messages, and information that conflict with previously learned attitudes and beliefs Selective retention - Answer-we only remember what we want to remember List Six steps of the adoption process and explain each step - Answer-1) Awareness - the potential customer comes to know about the product but may not know the details 2) Interest - if the consumer becomes interested he or she will begin to gather information 3) Evaluation - a consumer begins to give the product a mental trial, applying it to his or her personal situation 4) Trial - the consumer may buy the product to experiment with it in use 5) Decision - the consumer decides on either adoption or rejection 6) Confirmation - the adopter continues to rethink the decision and searches for support for the decision Customer Learning process - Answer-Drive ----> Cues -----> Response = Reinforcement Low involvement vs. high involvement - Answer-intensity of interest and the importance of the product for that person (high involvement = car, low involvement = pencil) Extensive problem solving - Answer-when consumers put much effort into deciding how to satisfy a needLimited problem solving - Answer-when a consumer is willing to put some effort into deciding the best way to satisfy a need Purchase situation - Answer-takes into account the purpose, time available, and location where a purchase is made 4 main types of B2B organizations - Answer-- Producers (manufacturers, farms) - Intermediaries (wholesale, retailers) - Government units (demand will always be there) - Non-profits Characteristics of B2B - Answer-- Professional buyers - Few, larger scale buyers - geographically concentrated - Personal relationships among firms Influences on B2B purchases - Answer-- Environmental (competitive factors, economic factors, political forces) - Organizational (purchasing policies, resources) - Interpersonal (cooperation, conflict, relationships) - Individual (age, education, personality) Purchase specifications - Answer-A written description of what the firm wants to buy New task buying - Answer-when an organization has a new need and the buyer wants a great deal of information, involves the most work Straight re buy - Answer-a routine repurchase that may have been made many times before, involves the least amount of workModified re buy - Answer-the in-between process where some review of the buying situation is done, more work that straight re buy but not as much work as new task buying Competitive bids - Answer-term of sale offered by different suppliers in response to the buyers purchase specifications How are manufacturing markets concentrated? - Answer-Company size and geographic location NAICS codes - Answer-gives detailed information to learn more about customers (includes number of establishments, sales volume, and number of employees)