SPMT 370 Exam 3 Questions with CORRECT
Answers
Decision-Making Process
The process of choosing between two or more alternatives or options; most logical way to make
a decision.
Extended Decision-Making
When consumers move diligently through decision-making activities in search of the best
information that will help them reach a decision.
The Extended Decision-Making process is...
High Involvement and Significant Risk.
The Limited Decision-Making process is...
Low involvement (e.g., time constraints) and generally Low Risk
Habitual Decision-Making
Consumers generally do not seek information at all when a problem is recognized and select a
product based on habit.
Examples of Habitual Decision Making are...
Brand Loyalty and Brand Inertia
Brand Loyalty
Consistent preference for one brand over all others.
, Brand Inertia
Occurs when a consumer simply buys a product repeatedly without any real attachment
What does decision-making revolve around?
Motivation
What do decision-making processes lead to?
Consumer Choice
Consumer choice is always linked to what?
Value
What are the 3 "value" related approaches to the decision-making process?
- Rational (Utilitarian)
- Experiential (Hedonic)
- Behavioral Influence (Impulsive)
Perceived Risk
The perception of the negative consequences that are likely to result from a course of action (a
choice) and the uncertainty of which course of action is best to take.
Financial Risk
Risk associaated with the cost of the product. (BIGGEST RISK)
Social Risk
Risk associated with how other consumers will view the purchase.
Answers
Decision-Making Process
The process of choosing between two or more alternatives or options; most logical way to make
a decision.
Extended Decision-Making
When consumers move diligently through decision-making activities in search of the best
information that will help them reach a decision.
The Extended Decision-Making process is...
High Involvement and Significant Risk.
The Limited Decision-Making process is...
Low involvement (e.g., time constraints) and generally Low Risk
Habitual Decision-Making
Consumers generally do not seek information at all when a problem is recognized and select a
product based on habit.
Examples of Habitual Decision Making are...
Brand Loyalty and Brand Inertia
Brand Loyalty
Consistent preference for one brand over all others.
, Brand Inertia
Occurs when a consumer simply buys a product repeatedly without any real attachment
What does decision-making revolve around?
Motivation
What do decision-making processes lead to?
Consumer Choice
Consumer choice is always linked to what?
Value
What are the 3 "value" related approaches to the decision-making process?
- Rational (Utilitarian)
- Experiential (Hedonic)
- Behavioral Influence (Impulsive)
Perceived Risk
The perception of the negative consequences that are likely to result from a course of action (a
choice) and the uncertainty of which course of action is best to take.
Financial Risk
Risk associaated with the cost of the product. (BIGGEST RISK)
Social Risk
Risk associated with how other consumers will view the purchase.
