Consumer Behaviour

Question 1

The individual factors that influence behaviour

Answer 1

The individual factors that influence behaviour are motivation, perception, learning ability, attitude, personality and lifestyle.

Question 2

Motivation

Answer 2

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Question 3

Perception

Answer 3

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Question 4

Learning Ability

Answer 4

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Question 5

Attitude

Answer 5

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Question 6

Personality and Lifestyle

Answer 6

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Question 7

The group factors that influence behaviour

Answer 7

Cultural Groups
Family
Reference Groups and Opinion Leaders

Question 8

Cultural Groups

Answer 8

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Question 9

Family

Answer 9

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Question 10

Reference Groups and Opinion Leaders

Answer 10

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Question 11

There are six phases in the decision-making process.

Answer 11

Step1: need recognition
Step 2: search for information 
Step 3: Evaluation
Step 4: decision-making 
Step 5: purchasing action 
Step 6: post-purchase evaluation

Question 12

Business decision making

Four types of buying decision may be distinguished:

Answer 12

• New-task buying.
• Straight rebuy.
• Modified rebuy.
• Systems buying.

Question 13

• New-task buying.

Answer 13

An example would be an organisation buying something completely new that it has never used before. Imagine Coca-Cola deciding to sell the soft drink in cardboard boxes like fruit juice. The purchase of the cardboard containers would be a new task.

Question 14

• Straight rebuy.

Answer 14

An example would be an organisation simply reordering stock of its best selling item.

Question 15

• Modified rebuy.

Answer 15

An example would be an organisation reordering an item but with different specifications. Coca-Cola could, for example, order tin cans from its supplier, but request 450 ml instead of 340 ml cans.

Question 16

• Systems buying.

Answer 16

An example would be an organisation purchasing an online document storage solution. It does not buy scanners from one supplier and computers from another, but purchases the complete system from one vendor.

Question 17

Buying Centre

Answer 17

The decision-making unit of a buying organisation is called its buying centre. In addition to having functional roles and concerns, individuals in the buying organisation may play different roles in the decision-making process that crosses functional boundaries.

Table 4.1 compares buying centres in consumer markets and organisational markets, indicating the members, the roles they play and the functional areas that may be involved.

Question 18

The members of the buying centre could play any of the following roles:

Answer 18

users, influencers, buyers, decision-makers and gatekeepers.

Question 19

Organisational User

Answer 19

A machine breaks down; the operator reports it, thus initiating the process. The operator may also be asked to help with specs for replacement. The operator is the user.

Question 20

Organisational Influencer

Answer 20

The user may be the influencer; also R&D staff, accountants, suppliers, sales reps and external consultants may be involved.

Question 21

Organisational Buyer

Answer 21

The buyer handles the search for and negotiations with suppliers.

Question 22

Organisational Gatekeepers

Answer 22

Secretarial staff may prevent the influencers reaching the decision- maker; R&D staff could withhold information.

Question 23

Consumer User

Answer 23

A child pesters his parents for a new bike. The child initiates and is the user.

Question 24

Consumer Influencer

Answer 24

The child’s mother thinks about it and says:”Well, perhaps he has grown out of the old one …”’

Question 25

Consumer Buyer

Answer 25

The parents pay the bill.

Question 26

Consumer Gatekeepers

Answer 26

The mother and father restrict the time the child can spend on the internet looking at different bikes.

Question 27

Consumer Decision-maker

Answer 27

The child’s father agrees and they all go to Toys ``R’’ Us where the child will make the final decision subject to restraints imposed by parents’ credit limit.

Question 28

Organisational Decision-maker

Answer 28

The decider may be a senior manager with either an active or a passive role in the whole process or even the buyer and/or influencer.

Question 29

Analysing buying centre

Answer 29

When analysing the make-up of the buying centre, we should look not only at the allocation of roles to the different functional areas of the organisation, but also at the seniority of the members. Also, an individual’s contribution to the buying centre may not be limited to one role. Whatever the structure, however fluid the buying centre is, it is still necessary for the aspiring supplier to attempt to identify the pattern in the target organisation in order to create effective communication. Having established decision-making structures, we can now examine the buying decision process.

Question 30

The organisational buying process consists of the following eight stages:

Answer 30

• problem recognition
• general need recognition
• product specification
• supplier search
• proposal solicitation
• supplier selection
• order routine specification
• performance review

Question 31

• problem recognition

Answer 31

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Question 32

• general need recognition

Answer 32

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Question 33

• product specification

Answer 33

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Question 34

• supplier search

Answer 34

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Question 35

• proposal solicitation

Answer 35

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Question 36

• supplier selection

Answer 36

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Question 37

• order routine specification

Answer 37

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Question 38

• performance review

Answer 38

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