Exam 1: Understanding Consumer Behavior

The advertising department of Locder Inc. has come up with a new set of advertising campaigns. The advertising manager determines the effectiveness of the new ads before they are broadcast. In this scenario, the advertising manager of Locder Inc. is involved in _____.

Explain how understanding consumer behavior helps marketers.

Explain consumer behavior.

Culture refers to the typical or expected behaviors, norms, and ideas that characterize a group of people.

Explain why understanding consumer behavior is crucial for ethicists and advocacy groups.

Discuss what to keep in mind while making distribution decisions that involve how products are distributed and sold to consumers.

Explain a high-effort decision.

The external signs we use, consciously or unconsciously, to express our identity are known as _____.

Usage is at the core of consumer behavior.

Which of the following statements is true of acquisition behavior?

Pentrall Bros. is a seller of used automobiles. A research study conducted by the company indicates that customers are not willing to pay more than 70 percent of the market price of a new car for a used car. In light of this, the company makes sure that the prices of used cars are not set higher than 70 percent of the market value. In this scenario, Pentrall Bros. is trying to avoid _____.

One reason why so many prices end in the number 9 is that they:

Before consumers can make decisions, they must have some source of knowledge or information upon which to base their decisions.

Kimberly wants to learn about the latest developments in agricultural tools and equipment. She attends many trade shows and conferences on these products. In this case, Kimberly's action of attending these events is an example of _____.

Briefly explain the four domains of consumer behavior.

The many factors that affect acquisition, usage, and disposition decisions can be classified into four broad domains: the psychological core, the process of making decisions, the consumer's culture, and consumer behavior outcomes.

Discuss how knowledge and information about consumer choices spread or diffuse through a market.

Explain how a product can be positioned in consumers' minds.

Explain how consumers decide whether to acquire, use, or dispose of an offering.

Fructose Inc., a soft drink manufacturer, has launched a new advertising campaign. The slogan of the campaign is "Orange juice isn't just for breakfast anymore." The campaign is an example of: