Chapter 6 - Understand Consumer and Business Markets Flashcards
Demographics
the characteristics of human populations and population segments, especially when used to identify consumer markets.
why it is helpful to understand the demographics of a target market?
- knowing the personal characteristics of a target market enables marketers to evaluate relevant statistics against competitors and the overall population using broad demographic studies like the US Censure Bureau reports.
- personal characteristics like age, income, and education play a critical role in consumer decision making, affecting information search, possible product choices, and the product decision itself.
family life cycle
A sequence of stages that families tend to progress through.
lifestyle
references an individuals perspective on life and manifests itself in that person’s activities, interests, and opinions.
- helps marketing managers develop a holistic view of the individual
- how people choose to live, and how a person lives dictates what she or he buys
gender roles
behaviors regarded as proper for men and women in a particular society
motivation
the stimulating power that induces and then directs behavior
Maslow’s hierarchy of needs theory
humans have wants and needs that influence their behavior. People advance to the next level only if the lower needs are met
- psychological
- safety
- love/social
- self esteem
- self actualization
Herzberg’s two factor theory
certain factors in the workplace result in job satisfaction
- motivators: challenging work, recognition, and responsibility
- hygiene factors: status, job security, salary, and benefits
Aldelfer’s ERG theory
expansion on Maslow’s hierarchy, placing needs in three categories.
- existence
- relatedness
- growth
McClelland’s Achievement Motivation Theory
there are three categories of needs and people differ in the degree to which the various needs influence their behavior
- need for achievement
- need for power
- need for affiliation
attitude
a learned predisposition to respond to an object or class of objects in a consistently variable or unfavorable way
two categories of values
- cultural values based on national conscience
2. personal values held by the individual
multiattirbute model
evaluates an object on several important attributes
perception
a system to select, organize, and interpret information to create a useful, informed picture of the world.
perception is shaped by three psychological tools
- selective awareness
- selective distortion
- selective retention
selective awareness
helps people focus on what is relevant and eliminate what is not
- the challenge for marketers is breaking through peoples decision rules, which are designed to reject the vast majority of stimuli they see every day
selective distortion
information can be misunderstood or made to fit existing beliefs
selective retention
the process of placing in one’s memory only those stimuli that support existing belief and attitudes about. product or brand.
memory
where people store all past learning events
two types of memory
- short term: what is being recalled at the present time and is sometimes referred to as working memory
- long term: enduring storage, which can remain with the individual for years and years
learning
any change in the content or organization of long term memory behaviour
two fundamental approaches to learning
- conditioning: involves creating an association between two stimuli
- cognitive: involves mental processes that acquire information to work through problems and manage life situations
two types of conditioning
- classical: seeks to have people learn by associating a stimulus and response
- operant: entails rewarding a desirable behaviour
personality
a set of unique personal qualities that product distinctive responses across similar situations