MKTG 371 San Diego State University Chapter 1 to 6 Consumer Behavior Case Study Please, consider a CONSUMER BEHAVIOR CONSTRUCT/THEORY/MODEL of your choice

MKTG 371 San Diego State University Chapter 1 to 6 Consumer Behavior Case Study Please, consider a CONSUMER BEHAVIOR CONSTRUCT/THEORY/MODEL of your choice (one that was new to you and you truly found interesting! ) you learned in this course from chapter 1-6 and do the following:

Define and describe the construct/theory/model (e.g. definition, history, origin…yes, you need to do some research that goes beyond what stated in the textbook or online). 1 page
Provide at least THREE interesting (recent) facts (found online, in the news, in an academic journal) that relate to the specific construct/theory/model (cite the sources of information). 1 page
Explain how your knowledge of this construct/theory/model might influence your behavior as a consumer in the future (consider positives and negatives). 1 page
Explain how a marketer might find useful the knowledge related to this specific construct/theory/model (think about trends, benefits, challenges, and make sure to provide at least one brand example as context of application). 1 page

Deliverable

4 page document + 1 page with references. Make sure you provide enough details and you refer to reputable sources of information. Times New Roman 12. Single space. Please, use a report format (subtitles and bullet points encouraged).

References APA style

Criteria for the evaluation

Professionalism, Definition and knowledge of the construct/theory/model, Application of the construct/theory/model. Chapter 1:
BUYING, HAVING, and BEING
CHAPTER OBJECTIVES
When students finish this chapter, they should understand why:
1. Consumer behavior is a process.
2. Marketers need to understand the wants and needs of different consumer segments.
3. Our choices as consumers relate in a powerful way to the rest of our lives.
4. Our motivations to consume are complex and varied.
5. Technology and culture create a new “always on” consumer.
6. Many different types of specialists study consumer behavior.
7. There are differing perspectives regarding how and what we should understand about
consumer behavior.
CHAPTER SUMMARY
After reading this chapter, students should understand why:
Consumer behavior is a process.
Consumer behavior is the study of the processes involved when individuals or groups select,
purchase, use, or dispose of products, services, ideas, or experiences to satisfy needs and desires.
Marketers have to understand the wants and needs of different consumer segments.
Market segmentation is an important aspect of consumer behavior. Consumers can be segmented
according to many dimensions, including product usage, demographics (the objective aspects of
a population, such as age and sex), and psychographics (psychological and lifestyle
characteristics). Emerging developments, such as the new emphasis on relationship marketing
and the practice of database marketing, mean that marketers are much more attuned to the wants
and needs of different consumer groups. This is especially important as people are empowered to
construct their own consumer space—accessing product information where and when they want
it and initiating contact with companies on the Internet instead of passively receiving marketing
communications.
Our choices as consumers relate in powerful ways to the rest of our lives.
Marketing activities exert an enormous impact on individuals. Consumer behavior is relevant to
our understanding of both public policy issues (e.g., ethical marketing practices) and the
dynamics of popular culture.
Our motivation to consume are complex and varied.
Marketers try to satisfy consumer needs but the reasons people purchase any product can vary
widely.
Technology and culture creates a new “always on” consumer.
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The Web is transforming the way consumers interact with companies and with each other.
Online commerce allows us to locate obscure products from around the world, and consumption
communities provide forums for people to share opinions and product recommendations.
Potential problems accompany these benefits, including the loss of privacy and the deterioration
of traditional social interactions as people log more time online.
Many different types of specialists study consumer behavior.
The field of consumer behavior is interdisciplinary; it is composed of researchers from many
different fields who share an interest in how people interact with the marketplace. These
disciplines can be categorized by the degree to which their focus is micro (the individual
consumer) or macro (the consumer as a member of groups or of the larger society).
There are differing perspectives regarding how and what we should understand about consumer
behavior.
There are many perspectives on consumer behavior, but we can roughly divide research
orientations into two approaches: The positivist perspective emphasizes the objectivity of science
and the consumer as a rational decision maker. The interpretivist perspective, in contrast, stresses
the subjective meaning of the consumer’s individual experience and the idea that any behavior is
subject to multiple interpretations rather than to one single explanation.
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Chapter 1: Buying, Having, Being
CHAPTER OUTLINE
I. Consumer Behavior: People in the Marketplace
A. The average consumer can be classified and characterized based on demographics (e.g.
age, gender, income, occupation) and psychographics (lifestyle and personality). The
average consumer’s purchase decisions are heavily influenced by the opinions and
behaviors of their family, peers, and acquaintances.
B. Community heavily influences us.
1. The growth of the Web has created thousands of online consumption communities
where members share opinions and product recommendations.
2. As members of a large society, U.S. consumers share certain cultural values or
strongly held beliefs about the way the world should be structured.
3. Subcultures, or smaller groups within the culture, also share values (e.g. Hispanics,
teens, Midwesterners).
4. The use of market segmentation strategies may be used to target a brand to only
specific groups of consumers rather than to everybody.
C. Brands often have clearly defined images or “personalities” created by product
advertising, packaging, branding, and other marketing strategies that focus on positioning
a product in a certain way.
D. When a product succeeds in satisfying a consumer’s specific needs or desires it may be
rewarded with many years of brand loyalty, a bond between product and consumer that is
difficult for competitors to break.
II. What Is Consumer Behavior?
Consumer behavior is the study of the processes involved when individuals or groups
select, purchase, use, or dispose of products, services, ideas, or experiences to satisfy needs
and desires.
A. Consumer behavior is a process.
1. Most marketers recognize that consumer behavior is an ongoing process, not merely
what happens at the moment a consumer hands over money or a credit card and in
turn receives some good or service (buyer behavior).
2. The exchange—a transaction where two or more organizations or people give and
receive something of value—is an integral part of marketing. However, the expanded
view of consumer behavior emphasizes the entire consumption process. This view
includes issues that influence the consumer before, during, and after a purchase.
B. Consumer behavior involves many different actors.
1. A consumer is a person who identifies a need or desire, makes a purchase, and then
disposes of the product during the three stages in the consumption process.
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Chapter 1: Buying, Having, Being
2. The purchaser and user of a product might not be the same person. A separate person
might be an influencer. This person provides recommendations for or against certain
products without actually buying or using them.
3. Consumers may be organizations or groups (in which one person may make the
decision for the group or a large group of people may make purchase decisions).
III. Consumers’ Impact on Marketing Strategy
A. Understanding consumer behavior is good business.
1. Marketers can only satisfy consumer needs to the extent that they understand the
people or organizations that will use the products and services they sell.
2. Consumer response is the ultimate test of whether a marketing strategy will succeed.
3. Data about consumers help organizations define the market, identify threats to and
opportunities for a brand, and help ensure a product continues to appeal to its core
market.
B. Consumers Are Different! How We Divide Them Up
1. Society is evolving from a mass culture to a diverse one, which makes it more
important to identify diverse market segments and to develop specialized messages
and products for those groups.
a. Just think about how many shades of lipstick or neck tie patterns
compete for attention. This change makes it more important than ever
to identify these distinct markets.
2. The process of market segmentation identifies groups of consumers who are similar
to one another in one or more ways and then devises strategies that appeal to one or
more groups. There are many ways to segment a market.
a. Companies can define market segments by identifying their most loyal, core
customers or heavy users. Marketers use the 80/20 rule as a rule of thumb,
where 20% of users account for 80% of sales.
b. Demographics are statistics that measure observable aspects of a population,
such as birth rate, age distribution, and income.
3. Important demographic dimensions include:
a. Age
b. Gender
c. Family structure
d. Social class and income
e. Race and ethnicity
4. Geography and Lifestyles (a psychographic variable) are other important bases for
segmenting consumers.
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C.
Relationship and Database Marketing
1. Relationship marketing occurs when a company makes an effort to interact
with customers on a regular basis, giving customers reasons to maintain a bond
with the company over time.
2. Database marketing involves tracking consumers’ buying habits very closely
and creating products and messages tailored precisely to people’s wants and needs
based on this information.
IV. Marketing’s Impact on Consumers
A. Popular Culture
1. Popular culture consists of the music, movies, sports, books, celebrities, and
other forms of entertainment consumed by the mass market; it is both a product
of and an inspiration for marketers.
2. Product icons (e.g. Pillsbury Doughboy, Jolly Green Giant) often become
central figures in popular culture.
B. What Does It Mean to Consume?
1. A fundamental premise of consumer behavior is that people often buy products
not for what they do, but for what they mean.
2. People, in general, will choose the brand that has an image (or even a
personality) that is consistent with his or her underlying needs.
3. Role theory takes the view that much of consumer behavior resembles actions in
a play. Consumers have roles and they may alter their consumption decisions
depending upon the role being played at the time
4. People may have various relationships with a product:
a. Self-concept attachment—the product helps to establish the user’s identity.
b. Nostalgic attachment—the product serves as a link with a past self.
c. Interdependence—the product is a part of the user’s daily routine.
d. Love—the product elicits emotional bonds of warmth, passion, or other
strong emotion.
C. What Do We Need – Really?
1. A want is a specific manifestation of a need that personal and cultural
factors determine.
2. A utilitarian need emphasizes objective, tangible attributes of products.
Hedonic needs are subjective and experiential.
D. The Global “Always On” Consumer
1. A global consumer culture is one where people around the world are united by
their common devotion to brand name consumer goods, movie stars, and musical
celebrities.
2. When companies expand overseas, it increases the pressure to understand
how customers in other countries are the same or different from those in
one’s own country.
E. The Digital Native: Living a Social [Media] Life
1. The digital revolution is one of the most significant influences on consumer behavior.
2. Electronic marketing has increased convenience by breaking down barriers of
time and location.
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3. There is now B2C e-commerce (businesses selling to consumers) and C2C
e- commerce (consumers selling to consumers).
4. Virtual brand communities are often brought together by their interests,
which expand consumption communities beyond those available in local
communities.
5. Digital natives are consumers who grew up “wired” in a highly networked,
always- on world where digital technology always existed.
6. Consumers are part of a horizontal revolution, where each consumer can
communicate with huge numbers of people by a click on a keypad so
information flows across people instead of just coming from big companies and
governments.
7. Social media are the online means of communication, conveyance, collaboration
and cultivation among interconnected and interdependent networks of people,
communities and organizations enhanced by technological capabilities and
mobility.
8. User-generated content, where everyday people film commercials, voice their
opinions about products, brands and companies on blogs, podcasts and social
networking sites, is part of the Web 2.0 era, which shifted the Internet from a
one- way transmission medium to a social, interactive medium.
9. Social media is characterized by synchronous (real-time) and asynchronous
interactions across social media platforms that enable a culture of participation.
V. Consumer Behavior as a Field of Study
A. Where Do We Find Consumer Researchers? Just about anywhere, we find consumers.
B. Interdisciplinary Influences on the Study of Consumer Behavior – Many fields shape
the field of consumer behavior. Table 1.1 provides an example of interdisciplinary
research issues about magazine usage. Figure 1.3 lists the disciplines in consumer
research.
C. Should Consumer Research Have an Academic or an Applied Focus?
It is still a debate. Some argue in favor of an applied focus that improves the
effectiveness of marketing practice. Others argue for a focus on understanding
consumption for its own sake.
D. Two Perspectives on Consumer Research
1. One general way to classify consumer research is in terms of the fundamental
assumptions the researchers make about what they are studying and how to study
it. This set of beliefs is known as a paradigm. A paradigm shift may now be
underway.
2. The dominant paradigm currently is called positivism (or sometimes called
modernism). It emphasizes that human reason is supreme, and that there is a
single, objective truth that can be discovered by science. Positivism encourages us
to stress the function of objects, to celebrate technology, and to regard the world as
a rational, ordered place with a clearly defined past, present, and future.
3. The emerging paradigm of interpretivism (or postmodernism) questions the
previous assumptions. Proponents argue that there is too much emphasis on
science and technology in our society, and that this ordered, rational view of
consumers denies the complex social and cultural world in which we live. Others
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Chapter 1: Buying, Having, Being
say positivism puts too much emphasis on material well-being, and that this
logical outlook is dominated by an ideology that stresses the homogeneous views
of a culture dominated by white males.
4. Interpretivists instead stress the importance of symbolic, subjective experience and
the idea that meaning is in the mind of the person because we live a world
composed of a pastiche, or mixture of images.
5.
II. Taking It from Here: The Plan of the Book
The plan is simple—it goes from micro to macro. Each chapter provides a “snapshot”
of consumers, but the lens used to take each picture gets successively wider.
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Chapter 2:
CONSUMER AND SOCIAL WELL-BEING
CHAPTER OBJECTIVES
When students finish this chapter, students should understand why:
1. Ethical business is good business.
2. Marketers have an obligation to provide safe and functional products as part of their business
activities.
3. Consumer behavior impacts directly on major public policy issues that confront our society.
4. Consumer behavior can be harmful to individuals and to society.
CHAPTER SUMMARY
Ethical business is good business.
Business ethics are rules of conduct that guide actions in the marketplace; these are the standards
against which most people in a culture judge what is right and what is wrong, good or bad.
Marketers must confront many ethical issues, especially ones that relate to how much they make
consumers “want” things they don’t need or are not good for them. A related issue is materialism,
which refers to the importance people attach to worldly possessions, and the role of business in
encouraging this outlook.
Marketers have an obligation to provide safe and functional products as part of their business
activities.
It is both ethically and financially smart to maximize customer satisfaction. In some cases,
external bodies such as the government or industry associations regulate businesses to ensure
that their products and advertising are safe, clear, and accurate. Consumer behavior researchers
may play a role in this process and those who do transformative consumer research (TCR) may
even work to bring about social change. Companies also play a significant role in addressing
social conditions through their corporate social responsibility (CSR) practices and social
marketing campaigns that promote positive behaviors.
Consumer behavior impacts directly on major public policy issues that confront our society. Our
relationships with companies and other organizations are complex and many issues that impact
quality-of-life relate directly to marketing practices. These include the tradeoff between our
privacy and the ability of companies to tailor their offerings to our individual needs. Other issues
revolve around market access as many people are unable to navigate the marketplace due to
disabilities, illiteracy, or other conditions. In addition, our fragile environment requires a
commitment to sustainable business practices that attempt to maximize the triple bottom-line
that emphasizes financial, social, and environmental benefits.
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Consumer behavior can be harmful to individuals and to society.
Although textbooks often paint a picture of the consumer as a rational, informed decisionmaker, in reality many consumer activities are harmful to individuals or to society. The “dark
side” of consumer behavior includes terrorism, addiction, the use of people as products
(consumed consumers), and theft or vandalism (anticonsumption).
CHAPTER OUTLINE
I. Business Ethics and Consumer Rights
A. Business ethics are rules of conduct that guide actions in the marketplace—the
standards against which most people in a culture judge what is right and what is wrong,
good, or bad.
1. There are various universal values and many culture-specific ones (which
influence whether business practices like bribery are acceptable).
2. Some marketers violate consumer trust (using illegal mislabels on packages or
using bait-and-switch selling).
3. Some marketers engage in practices that are legal but have detrimental effects
on society.
B. Needs and Wants: Do Marketers Manipulate Consumers?
1. Consumer space is an environment where individuals dictate to companies the
types of products they want and how, when, and where, or even if, they want to
learn about them (a shift from marketer space where companies called the shots).
2. Do marketers create artificial needs? There are arguments to support both sides of
this question.
a. A need is a basic biological motive; a want represents one way that society
has taught us to satisfy that need.
b. A basic objective of marketing is to create awareness that needs exist, not
to create needs.
C. Are Advertising and Marketing Necessary?
1. Products are designed to meet existing needs; advertising helps communicate
their availability.
2. The economics of information perspective suggests advertising provides an
important source of consumer information which consumers are willing to
accept because it reduces the economic cost associated with searching for
products.
D. Do Marketers Promise Miracles?
1. Advertisers do not know enough about people to manipulate them.
2. The failure rate for new products ranges from 40 to 80 percent
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E. Materialism: Are You What You Own?
1. Materialism refers to the importance people attach to worldly possessions.
2. Materialists are more likely to value possessions for their status and appearancerelated meanings.
3. Materialists value the inherent qualities of what they buy. One related dimension is
provenance. Provenance means shoppers are willing to pay more for an item when
they know exactly where it comes from. Curation refers to the use of an expert who
carefully …
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