Deck 5: Final Consumers and Their Buying Behavior

Question 1

Discretionary income is an elusive concept because the definition of necessities varies from family to family and over time.

Answer 1

True
Explanation: Discretionary income is an elusive concept because the definition of necessities varies from family to family and over time. It depends on what they think is necessary for their lifestyle.

Question 2

Wants are the basic forces that motivate a person to do something.

Answer 2

False
Explanation: Needs are the basic forces that motivate a person to do something. Wants are "needs" that are learned during a person's life.

Question 3

Discretionary income is what is left after paying taxes.

Answer 3

False
Explanation: Discretionary income is what is left of income after paying taxes and paying for necessities.

Question 4

Economic needs are concerned only with getting the best quality at the lowest price.

Question 5

Economic needs include such things as self-respect, accomplishment, fun, freedom and relaxation.

Question 6

Most economists assume that consumers are "economic buyers" who logically evaluate choices to get the greatest satisfaction from spending their time and money.

Question 7

Most marketing managers think that the economic-buyer theory explains buyer behavior very well.

Question 8

In 2008, 40 percent of U.S. families received less than $49,325 income.

Question 9

According to the text, consumer buying decisions are influenced by economic needs, psychological variables, social influences, and the purchase situation.

Question 10

The "economic buyer" view of consumers says that individuals will only buy the cheapest goods and services available--regardless of quality.

Question 11

Wants are needs which are learned during a person's life.

Question 12

Family, social class, reference groups, and culture are the psychological variables that affect a consumer's buying decisions.

Question 13

Discretionary income is the income adjusted to take out the effects of inflation.

Question 14

Motivation, perception, learning, attitudes, trust, and lifestyle are psychological variables which affect consumer buying.

Question 15

Discretionary income is the income from investments.

Question 16

The economic-buyer theory assumes that consumers know all the facts and logically compare choices.

Question 17

A drive is a strong stimulus that encourages action to reduce a need.

Question 18

In 2008, only 20 percent of U.S. families received more than $113,205 income.

Question 19

In 2008, over 40 percent of U.S. families received more than $113,205 income.

Question 20

The median income of U.S. families in 2008 was about $61,521.

Question 21

Learning is a change in a person's thought processes caused by prior experience.

Question 22

The main difference between attitudes and beliefs is that beliefs always involve liking or disliking, but attitudes don't necessarily involve liking or disliking.

Question 23

Motivation theory suggests that only one need can be satisfied at a time.

Question 24

Many needs are culturally (or socially) learned.

Question 25

According to learning theory, a cue is likely to result in a consumer response only if there is a drive to satisfy.

Question 26

Food, liquid, sex, and rest are examples of physiological needs.

Question 27

Motivation theory suggests that a consumer would not try to satisfy physiological and safety needs until social and personal needs have been completely satisfied.

Question 28

A perfume ad that suggests that people who use the product have more appeal to the opposite sex is an example of a positive cue.

Question 29

In selective exposure we screen out or modify ideas, messages, and information that conflict with previously learned attitudes and beliefs.

Question 30

The "hierarchy of needs" model suggests that most products must fill more than one need at the same time.

Question 31

An attitude is a person's point of view about something, and usually involves liking or disliking.

Question 32

According to the Hierarchy of Needs, consumers are motivated to first satisfy their higher-order needs, then they will focus on their lower-level needs.

Question 33

Examples of personal needs include self-esteem, accomplishment, fun, freedom, and relaxation.

Question 34

Reinforcement strengthens the relationship between the cue and the response.

Question 35

That "new car" smell that includes an aroma of leather and wood is an example of using a positive cue.

Question 36

Consumers do not usually see or hear all the stimuli that come their way.

Question 37

Adding lemon scent to Pledge furniture polish is an example of using a positive cue.

Question 38

Reinforcement of a response decreases the likelihood of the same response the next time the drive occurs.

Question 39

"Selective exposure" refers to a person's ability to screen out or modify ideas, messages, and information that conflict with previously learned attitudes and beliefs.

Question 40

Americans' preoccupation with deodorants is an example of a culturally learned need.

Question 41

Trust is the confidence a person has in the promises or actions of another person, brand, or company.

Question 42

In light of the relationships between consumer expectations and satisfaction, it's usually best for promotion to slightly "over promise" what the firm can actually deliver.

Question 43

Psychographics is the analysis of a person's day-to-day pattern of living as expressed in that person's Activities, Interests, and Opinions.

Question 44

It is easier for a marketer to work with existing attitudes than to try to change them.

Question 45

Attitudes are very good predictors of intention to buy.

Question 46

Activities, Interests and Opinions are the "AIO" variables used in lifestyle analysis.

Question 47

It is possible for marketing managers to change or create new attitudes about goods and services--but overcoming negative attitudes is a really tough job.

Question 48

A consumer's belief about a product may have a positive or negative effect on his or her attitude about the product.

Question 49

Stage of family life cycle is usually determined by two demographic dimensions--income and number of children.

Question 50

An expectation is an outcome or event that a person anticipates or looks forward to.

Question 51

Younger families with no children are a good market for durable goods such as automobiles and furniture.

Question 52

Singles and young couples seem less willing to try new products because they earn less.

Question 53

Marital status, age, and the age of any children in a household are the three demographic dimensions that determine stage of family life cycle.

Question 54

Beliefs are more action-oriented than attitudes.

Question 55

Attitudes, Income and Opinions are the "AIO" variables used in lifestyle analysis.

Question 56

Beliefs may help shape a consumer's attitudes but don't necessarily involve any liking or disliking.

Question 57

The VALS approach to understanding consumer behavior considers values, attitudes, and lifestyles.

Question 58

Highly trusted people, brands, and companies have many disadvantages in the marketplace.

Question 59

Consumers may evaluate a product not just on how well it performs but on how it performs relative to their expectations.

Question 60

Beliefs are not as action-oriented as attitudes.

Question 61

Older people seem to be more open to new products and brands than younger people.

Question 62

Given the same income, consumers in different social classes will handle themselves and their money very differently.

Question 63

Buying responsibility and purchase influence between husband and wife vary greatly--depending on the product and the specific family.

Question 64

Reference group influence is likely to be greater for products which will not be seen by other individuals.

Question 65

Families with teenagers tend to spend more on durables than younger families.

Question 66

A person normally has several reference groups.

Question 67

The group of people to whom an individual looks when forming attitudes about a particular topic is his reference group for that topic.

Question 68

Income by itself is usually a pretty good measure of social class.

Question 69

"Empty nesters" is a term that refers to young couples with no children.

Question 70

Consumer buying decisions are affected by social influences such as motivation, perception, learning, attitudes, and personality.

Question 71

Marketers who want to aim at people within several different cultures usually will be able to use the same marketing mix for all of them.

Question 72

Opinion leaders for one subject or product are also usually opinion leaders for many other subjects or products.

Question 73

According to the text, the U.S. social class system is usually measured in terms of occupation, education, and housing arrangements.

Question 74

People who have the same amount of income--but who are in different social classes--tend to spend their income in the same way.

Question 75

"Empty nesters" are people whose children are grown and who are now able to spend their money in other ways.

Question 76

According to the text, the U.S. social class system is much more rigid than those in most countries.

Question 77

An opinion leader is usually wealthier and better educated than the people he or she influences.

Question 78

Reference groups are more important when others will be able to "see" which product or brand we're using.

Question 79

Teens play an increasingly minor role in shaping family purchases.

Question 80

Word-of-mouth publicity from opinion leaders can be favorable or unfavorable.