Brainscape's Knowledge GenomeTM

Browse over 1 million classes created by top students, professors, publishers, and experts.


See full index

UBC Winter 2 > Consumer Behaviour Post Midterm > Flashcards

Consumer Behaviour Post Midterm Flashcards

1
Q

What are the type of research by objectives, define

A

Descriptive: Size & characteristics of target market
Exploratory: gather insights formulate hypothesis
Causal: test hypothesis, response to marketing mix changes

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
2
Q

Types of Market Research bu source & method?

A

By Source: Primary (new data collection) & Secondary (previous data collection)

By method: Qualitative: Interviews, observations, focus groups etc. & Quantitative: Panel data (secondary) & Surveys (primary)

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
3
Q

Correlation

A

Two variables share some kind of relationship

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
4
Q

Causation

A

One Variable causes something to happen in another variable

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
5
Q

How can correlation be explained? Give examples

A
  1. One-Way Causality: X is the cause of Y, or reverse causality when Y is the cause of X **EX: Score on test & minutes spent studying
  2. Two-Way Causality: Both variables may be the cause of each other **EX: Watching too much TV causes back pain
  3. Confound: A third variable may be the cause of the correlation (Z impacts X & Y separately) ** EX Forest fires & Ice Cream Sales
  4. Spurious correlation: A mathematical relationship in which two events or variables have no causal connection **EX Nicholas Cage and Drownings
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
6
Q

Regression towards the mean

A

If a sample point of a random variable is extreme (nearly an outlier) a future point will be closer to the mean or average on further measurements

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
7
Q

What is a moderator

A

A second independent variable which changes the effect of your manipulated variable on the dependent variable (IE demographic, or psychographic variable segmentation)

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
8
Q

In order to establish causality how do we do it?

A

Control/manipulate one thing at a time, while holding other x variables constant.

Randomly assign participants to different levels of X.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
9
Q

Balanced placebo design & example

A

2 variables are manipulated and 4 groups are created

Given placebo Y/N & Given expectations Y/N

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
10
Q

Between-subject study design

A

Different participants test each condition so that each is only exposed to a single condition

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
11
Q

Within-subject study design

A

The same participants tests all the conditions, presented in random order.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
12
Q

What are the pros & cons of within subject design?

A

Pros: 1 Lower costs. 2) smaller sample size required, 3) “noise” control (individual differences across samples are less likely to influence results)

Cons: 1. Hypothesis guessing, 2.Being exposed to one level of the factor can influence participants perception of the other level (contamination

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
13
Q

Pros and cons of between subject designs

A

Pros: Avoids contamination, minimizes hypothesis guessing

Cons: Larger sample size required, more “noise” if randomization fails to eliminate individual differences across samples.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
14
Q

What is prospect theory and how does it relate to experimental design?

A

Within-Subject design deflates the effect of prospect theory which suggests that people value their perceived gains more than their perceived losses. Participants are risk adverse for gains and risk seeking for losses.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
15
Q

How does the effect of price on quality perception change depending on the experimental design?

A

Within subject design will inflate the effect, so the higher the price the higher the quality perception

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
16
Q

What are the three types of validity?

A

Internal: The findings are due to the independent variable

External: The findings can be generalized to another group or context

Ecological: The findings mimic what would happen in real life.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
17
Q

Name 5 testable features and measurable outcomes from experimental ads

A

X: Animations, Target audience, placement on webpage, tag line

Y: CTR, likes/comments, time on site, sales/subscriptions, white paper downloads

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
18
Q

Social Emotional Contagion

A

People in more positivity-enhanced group posted more positive posts and the same goes the other way

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
19
Q

What are ethical considerations for research?

A
  1. Obtain informed consent:
    - 1.A. Information: Were participants provided sufficient info?
    - 1.B. Comprehension: Did the participants fully understand the study & have an opportunity to ask questions?
    - 1.C. Voluntariness: Were participants free to decline or withdraw?
  2. Protect vulnerable populations
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
20
Q

What kind of validity for each:

  1. We can randomly assign different marketing messages to online users
  2. We can have access to very diverse populations (e.g. 2.8 billion active users on Facebook!)
  3. We can measure «real» clicking or purchase behaviour
A

internal, external & ecological

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
21
Q

What is persuasion?

A

An active attempt to change/influence attitudes

- Attitudes: Cognition, Affect & Behaviour

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
22
Q

How to influence attitudes?

A

Sales techniques that rely on principles of commitment and consistency (foot in the door, low-ball, door in the face)

Normative Influence

Reciprocity

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
23
Q

The Elaboration Likelihood model

A

Persuasion depends on consumers level of product involvement

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
24
Q

Involvement

A

A person’s perceived relevance of the product based on their inherent needs, values and interest

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
25
Q

Level of product involvement can depend on

A

Product type: car vs pen
Consumer type: Shampoo for women vs men
Situation: Suit for your wedding vs your distant cousin’s wedding

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
26
Q

What are the two pathways to influence attitudes

A

Central Route for high involvement

Peripheral route for low involvement

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
27
Q

“My product has been proven more effective” how would you influence attitudes and name of route?

A

Central Route: Focus on important info, evidence, logic, rational arguments

  • Utilitarian ads
  • High cognitive effort
  • Product comparisons, expert advice, consumer testimonials, trials
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
28
Q

“People who buy my product are happy and attractive” how would you influence attitudes and name of route?

A

Focus on affect associations with positive or negative cues

  • Hedonic ad
  • Low cognition
  • Celebrity endorsement, sexy ads
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
29
Q

Explain how high and low involvement ads influence behaviour

A

H/I: Accumulation of information drives behaviour COG->BEHAV

L/I: emotional reaction drives behaviour
AFFECT->BEHAV

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
30
Q

In terms of innovation adaption which consumers have the lowest vs highest involvement

A

Tech enthusiasts: Highest Involvement

Mass market: Low involvement

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
31
Q

Source Credibility

A

Source’s perceived competence: expertise, objectivity, or trustworthiness

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
32
Q

Source attractiveness

A

source’s perceived social value, physical appearance AND personality or social status (IE Trump)

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
33
Q

Based on the ELM when is it better to have an attractive vs credible source?

A

Attractive - low involvement

Credible - High involvement

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
34
Q

Halo effect of beauty

A

Beautiful people are perceived as smarter, happier, more competent

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
35
Q

When does the halo effect not work?

A

Ads where you want donations to children’s hospitals

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
36
Q

What are the 3 types of “credible” sources?

A

Celebrity, expert, “typical” consumer/testimonials

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
37
Q

What can weaken consumers beliefs about a product in terms of sources?

A

When a source is perceived to be biased

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
38
Q

Knowledge bias

A

Source’s knowledge about a topic is not accurate

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
39
Q

Reporting bias

A

Source has required knowledge but source’s willingness to convey it is compromised

IE they are paid off

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
40
Q

How is repetition a double edge sword?

A

Two- Factor Theory

“mere exposure” VS adaptation

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
41
Q

Two- Factor Theory

A

Two opposite forces operate at the same time (learning vs tedium)

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
42
Q

Comparative ads pros & cons

A

Pros: Can be more effective than non- comparative ads in terms of attention, elaboration, brand attitude, purchase intentions, and purchase behaviours

Cons: Source degradation (rarely found in Asia), Primes competitor

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
43
Q

What is the relationship between the effectiveness of comparative advertising and market position (IE market leader & new entrants)

A

New entrants and small actors YES market leaders NOPE

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
44
Q

What are one & two sided messages? Examples

A

One-Sided: Only supportive information CNN the most trusted name in news

Two-Sided: Positive and negative information IE Buckley’s “tastes awful but it works” & The ugly carrot soup, Avis we’re number 2 so we try harder.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
45
Q

How does two-sided messages work?

A

It works by pointing out the source of the bias which helps it disappear

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
46
Q

How does ELM use emotions?

A

Ads with sex appeals: get attention, can lead to more elaboration and evaluative bias, varies between gender

Humour appeals: gets attention, can mitigate counter arguing, should be brand consistent

Fear appeals: gets attention, but self-defence mechanisms (distraction and counter arguing) may decrease evaluative effects.
- Better with moderate amount of fear & if info on what to do next

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
47
Q

What is the rational perspective? It is also ______ perspective?

A

Consumers integrate as much information as possible, make informed decisions, and manage to maximize their utility.

It’s normative perspective (how you should behave)

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
48
Q

Behavioural perspective? It is also ______ perspective?

A

All sorts of factors prevent people from maximizing their utility or behaving like rational agents ( e.g. heuristics and biases, cognitive limitations, framing effects, environmental/social influences, emotions, etc.).

It’s a descriptive perspective (how you actually behave)

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
49
Q

What is the sunk cost fallacy? What are some examples?

A

Having paid for or invested in something makes us reluctant to waste it.

Examples: You watch Twilight 3 because you’ve already watched 1 & 2

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
50
Q

Why is the sunk cost fallacy irrational?

A

Because it’s already occurred and we cannot recover our costs either way, it shouldn’t impact our future choices

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
51
Q

What is prospect theory?

A

We tend to value perceived gains more than losses

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
52
Q

Reference dependence

A

We evaluate gains and losses relative to some reference point

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
53
Q

Loss aversion

A

Losses count twice as much as gains

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
54
Q

________ for gains and __________ for losses

A

Risk aversion & risk seeking

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
55
Q

What are the marketing implications for Prospect Theory

A

Consumers more sensitive to price increases than price decreases

Consumers hate losing something they have (aka “endowment effect”)
- Free trial period, Zero risk returns, Test drive [This is due to the change in reference point]

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
56
Q

What are the steps in the individual decision process? 5

A
  1. Problem recognition
  2. Information Search
  3. Evaluation of alternatives
  4. Product choice
  5. Consumption & Learning
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
57
Q

What are the 2 types of problem recognition? Define

A
  1. Opportunity recognition: Due to an increase in ideal state i.e. My friend’s TV screen is better than mine
  2. Need recognition: Due to a decrease in actual state i.e. I’m running out of gas
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
58
Q

Problem Recognition

A

Problem recognition occurs whenever the consumer perceives a difference between his/her current state and some desired or ideal

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
59
Q

Information search

A

Information search is the process in which consumers scan their memory (=internal search) or their environment (=external search) for appropriate information to make a reasonable decision

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
60
Q

The amount of information search and the type of information search (______________) varies with __________________

A

The amount of information search and the type of information search (internal or external, deliberate or accidental) varies with product involvement

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
61
Q

What are the two types of information seekers and define them

A
  1. Maximizer: Look for the solution that delivers the best possible answer to their problem
  2. Satisfier: You just look for a “good enough” solution.
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
62
Q

Who’s more likely to regret their choices in the information search

A

Maximizers

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
63
Q

What is heuristics? What are some examples?

A

Mental shortcuts to more extensive information processing. They simplify decision-making but are not necessarily correct.

EX: price-quality, brand-quality, country of origin

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
64
Q

How does marketing rely on heuristics? Examples

A

Embedding the country of origins into the label, (ie VW) OR brands with French or German sounding names (Laneige), OR Apple “designed in California”

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
65
Q

How do we evaluate alternatives?

A
  1. Evoked set: Alternatives actively considered
  2. Inert Set: Alternatives that do not come to mind at all
  3. Inept Set: Alternatives that you are aware of but would not consider buying
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
66
Q

The Mother Energy Brand Case Study Falls under which type of evaluation of alternatives

A

They are in the inept set, which means that there is an awareness, but there is no consideration of buying the product

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
67
Q

What were the tactics Mother used to move their brand?

A
  • Two-Sided Message
  • Humour
  • Appeal to Youth culture
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
68
Q

What is evaluation criteria?

A

The dimensions used to judge the merits of competing options

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
69
Q

Asymmetric Dominance Effect

A

AKA Decoy effect: Adding in a third option (the decoy) that is dominated by one (but not the both) of the original two alternatives, increases that attractiveness of the dominating option

IE The camera test in class (10X vs 15X zoom)

70
Q

What are the marketing implications of asymmetric dominance? EX

A

It’s helpful to add in an inferior option to your product line, even if no one buys them to make the others seem more attractive.

EI: Economist subscription: A) web, web & print B) web, print OR web & print

71
Q

What is choice overload? EX

A

It’s when there are too many choices given and people are less likely to buy.

EX: jams, people are more likely to buy if there is like 6 choices VS 24 choices

72
Q

Given the information about choice overload how can we use technology in marketing?

A

People prefer an algorithm to make choices over making the choices for ourselves

73
Q

What is a reference group?

A

An individual or group with particular relevance for an individual’s evaluations aspirations or behaviours

74
Q

What are brand communities?

A

Set of consumers who share a set of social relationships based on usage of or interest in a product/brand

75
Q

What value do brand communities give?

A
  1. Loyalty - maintain cognitive consistency
  2. Spread positive WOM
  3. Facilitate brand extension strategies & brand ecosystems
76
Q

What is propinquity?

A

physical & psychological proximity - like-attracts-like

77
Q

Why do we like in-groups?

A
  • like-attracts-like
  • In-Groups are part of people’s extended self (see class on identity)
  • Need to belong/ Need for affiliation
78
Q

How do we increase group cohesiveness?

A
  1. Smaller group
  2. Membership restriction/ scarcity
  3. Symbols
  4. Defined limits between in group and out groups
79
Q

What is Group Cohesiveness

A

Degree to which members of a group are attracted to each other and value their group membership

80
Q

What are the 3 types of reference groups? & examples

A
  1. Membership Reference Group (In-group) - Propinquity, identification, affiliation EX: Weight Watchers
  2. Aspirational Reference Groups (Out-Groups) - Idealized/aspirational figures EX Influencers
  3. Dissociative Reference Group (Out-Group) EX Apple consumers Samsung
81
Q

Explain the Reference group experiment with Canadian Identity & pens from usa & belgium

A

high canadian identity prefer Belgian pen significantly more

82
Q

Conformity

A

The tendency for people to bring their behaviour in line with group norms

the process whereby people change their beliefs, attitudes, actions, or perceptions to more closely match those held by groups to which they belong or want to belong or by groups whose approval they desire.

83
Q

Types of norms

A

Injunctive: what people should do
Descriptive: what people actually do

Class on attitudes

84
Q

Why do people conform with groups?

A
  • Informational conformity: the majority must be “right”
  • Normative conformity, driven by…
    - The need to be liked
    - The willingness to avoid conflict
    - The fear of being rejected
85
Q

what is anti-conformity?

A

Defiance of the group - Need for uniqueness

86
Q

Reactance

A

Unpleasant feeling when something feels forced or imposed by an authority or by a social norm

often leads to people to do the exact opposite

87
Q

What leads to teenagers consuming drugs & alcohol?

A

Conformity with other teenagers (Peer Pressure & Normative influence)

Reactance against parental authority (anti-conformity with dissociative group)

88
Q

Normative Influence

A

The process by which a reference group helps set & enforces fundamental standards of conduct

89
Q

What would make an effective prevention campaign at school?

A

Norm information :

  • Confronting expectations about prevalence of substance consumption & reality (less prevalent than expected)
  • Information about social groups where substance consumption is most prevalent (usually dissociative groups)
90
Q

Why is teaching kids about peer pressure less effective

A
  • Reactance to authority (anti-conformity with dissociative group)
  • Injunctive norms, what you should be doing
91
Q

Why do restaurants charge a fixed gratuity for large groups?

A

Social Loafing: Individuals do not devote as much effort to a task when their contribution is part of a larger group effort

Diffusion of responsibility: Individuals feel less accountable for the outcome of a decision when many people are involved

92
Q

Bystander effect

A

Individuals won’t help a person in need when other people are present. It’s a form of diffusion of responsibility.

93
Q

What are the two types of influence networks

A
  1. Two-Step Flow Model: Opinion leaders have access to information, and interpret it based on their own opinion. They then begin to infiltrate these opinions through the general public who become “opinion followers”
  2. Influence Network: Influence is driven by the interaction among those who are easily influenced; they communicate the information to one another and they also participate in a two-way dialogue with the opinion leader
94
Q

What kinds of power do opinion leaders have?

A

“Legitimate power” (social agreement) Politician

“Expert power” (specific knowledge or skill) Academic journalist

95
Q

Where does power come from in social networks?

A

“weak ties” with a large group and can mediate communications and exchange

96
Q

What is the paradox of weak ties

A

The strength of weak ties, it’s the people with whom we are the least connected who offer us the most opportunities.

97
Q

word of mouth communication

A

Product information transmitted by individuals to individuals. Can be good or bad. Is VERY powerful (much more than advertising)

98
Q

Buzz marketing

A

activities undertaken by marketers to encourage consumers to spread WOM

99
Q

Viral Marketing

A

A strategy of getting customers to sell or promote a product on behalf of the company that creates it

100
Q

What are tactics to create buzz? 4

A
  1. Focus more on people and less on product: Know your target’s psychographics! Risk=People don’t know your product ( i.e. Ice Bucket Challenge)
  2. Influencer Marketing: Identify aspirational groups (i.e. Instagram celebrities) Risk= reporting bias
  3. Scarcity Principle (limited edition)
  4. Inform about the success of the establish normative influence (ei number of likes etc.)
101
Q

Gini Coefficient

A

Is a number between 0 and 100, where 0 corresponds with perfect equality (where everyone has the same income) and 100 corresponds with perfect inequality (where one person has all the income and everyone else has zero income)

102
Q

What explains Gini disparities?

A
  • Tax redistribution
  • Minimum wages
  • Corporate culture (i.e. high salaries for top executives)
103
Q

Consumer Confidence

A

Consumers’ beliefs about what the future holds

Measurement: “do you think you’ll be better or worse off a year from now?”

104
Q

What does consumer confidence have to do with economic policy?

A

Having a high consumer conficende is a major goal for economic policy because it predicts the saving rates (-), consuption rates (+), and ultimately investment & employment rate (+)

105
Q

Why won’t more money bring more happiness? 4

A
  • The hedonic treadmill: People “adapt” to positive/negative events
  • Need satisfaction: Needs that are “expensive” to satisfy do not necessarily bring happiness (i.e. need for status)
  • Material goods bring less happiness than does experiences
  • “Maximizers” Make more money but will never be satisfied
106
Q

Explain the neural predictors of purchases

A

If consumers like a product anticipation of a reward and positive arousal - nucleus accumbens
If price is excessive it’s associated with pain, distress and negative arousal - Insula
Purchase is predicted when anticipation of reward is high and pain of paying is low

107
Q

What is the most painful way of paying and why?

A

Paying by cash hurts more
B/C
1. Saliency (noticeable), seeing money going away
2. Timing, Seeing the money go away at the same time as the act of consumption

108
Q

Why was Amazon Dash discontinued?

A
  1. Consumers like to have the opportunity to try and experiment with new products
  2. Consumers like to monitor their purchases
  3. Growing success of Alexa
109
Q

Reliance on pain could lead to what type of mistakes in terms of buying behaviour?

Psychographics?

A
  • Spendthrifts: Do not experience enough pain of paying
  • Tightwads: experience too much pain of paying

-Tightwads save more, have less debt than spendthrifts at each income level. Men, older & educated

110
Q

Who are more likely to be tightwads?

A

Men, older & educated

111
Q

What is social class? What is it determined by?

A

Overall rank of people in a society

Occupational prestige, Income, Education, Country of origin

112
Q

What is social mobility?

A

The passage of individuals from one social class to another

113
Q

What are the ways social mobility can be impacted by marriage?

A
  1. Homogamy = tendency to marry people within the same social class
  2. Hypergamy = marrying up
  3. Hypogamy = marrying down
114
Q

Subjective social class

A

The class with which a consumer identifies rather than the one to which he or she actually belongs

115
Q

Conspicuous Consumption

A

Buying expensive items to display wealth, income and social class (status signalling)

116
Q

brand prominence

A

not a function of wealth, but a function of need for status

117
Q

How does conspicuous and inconspicuous consumption differ?

A

CONSPICUOUS:
Loud signals (big logos)
Target Audience: consumers with a high need for status and want to display their wealth
Not necessarily very wealthy or became wealthy recently

INCONSPICUOUS:
Quiet signals (small logo)
Target Audience: customers with lower need for status, wish to display their wealth to other wealthy people

118
Q

FLC

A

Family Life Cycle: as we age our, preferences/needs fro products and activities tend to change

119
Q

FLC transitions

A

when our life changes (marriage, birth, divorce) we are more likely to change our buying habits

120
Q

With ________ shopping trends can identify and predict life changes

A

big data

121
Q

What are the 2 types of cross-cultural marketing?

A

Standardized or adptation

122
Q

What are the pros 3 & cons 3 of the two different types of cross-cultural marketing

A

STANDARDIZATION:
PROS : 1. Economies of scale 2. Faster set up time 3. Single Global Image 4. Excellent monitoring of communication
CONS: 1. Possible loss of advertising effectiveness 2. Little reactivity and little flexibility. 3. Can create negative reactions from neglecting local needs

ADAPTATION:
PROS: 1. Respect local specifications and expectations 2. Excellent local image. 3. Customers keep their landmark and feel noticed
CONS: 1. Higher costs 2. Time consuming and poor speed of execution 3. Difficult to know what consumers really want

123
Q

How do cultures differ?

A

Tastes
Norms - Customs, Mores, Conventions
Values

124
Q

Tates

A

What’s considered beautiful, palatable, etc.

125
Q

Norms

A

Rules dictating what’s right/wrong, acceptable/unacceptable

126
Q

Customs

A

Basic behaviours i.e. What time we eat dinner at

127
Q

Mores

A

customs with moral overtones (taboos) i.e. what are we allowed to eat

128
Q

Conventions

A

the “correct” conduct of everyday life i.e. what utensils are used to eat

129
Q

Values

A

Beliefs that something is preferable to its opposite

130
Q

Across cultures in food what are the strongest differences

A

Sweetness, saltiness, bitterness and spiciness

131
Q

What is considered “healthy” in Western vs Asian?

A

Western: based on specific nutrients - carbs, sodium etc.

Asian: balanced hot with cold i.e. deep fried chips and cucumber

132
Q

Explain Hofstede Six Value Dimensions

A
  1. Individuality vs collectivism: The degree to which a culture values the welfare of the individual rather than the group
  2. Masculinity vs Femininity: The extent to which a culture stresses assertiveness, success and competition over warm personal relationships and caring.
  3. Power Distance: The degree to which a society’s members are equal in terms of status
  4. Uncertainty avoidance: Aversion towards uncertain, ambiguous, or risky situations
  5. Indulgence VS restraint: Society permits gratification, fun and enjoyment
  6. Long-term orientation: Long-Term oriented societies attach more importance to the future (perseverance & thrift) rather than present (Short-term gratification) or past (traditions)
133
Q

How do anti- smoking ads differ across the US and Japan and why?

A

USA: Be smart don’t start, Tabaco use can make you impotent. All focus on the individual

Japan: A cigarette is carried at the height of a child’s face - Collectivism. Focus on the impact of the individual on the group

134
Q

How does focused and peripheral attention differ across cultures?

A

Westerners have a focused attention

East Asians allocate their attention more broadly

135
Q

What is back translation

A

when you translate english->French then back to English again

136
Q

Symbol

A

An object representing something else, often immaterial

137
Q

Ritual

A

Set of symbolic behaviours that occur in a fixed sequence and that tend to be repeated periodically

138
Q

Ritual Artifact

A

Item used in the performance of rituals

139
Q

How can rituals be used by marketers?

A

Positioning your product as a ritual artifact can be a jackpot:
Diamonds for engagement rings
KFC in Japan

140
Q

Explain gift giving and it’s cross cultural differences

A

Gift-Giving: can be viewed as a ritual or social convention. Sometimes it’s an economic exchange = transfer of value, with reciprocity norm (equal value). The reciprocity norm can trigger resentment. Sometimes it’s just a “symbolic exchange” where there is no expectation of reciprocity.

In Japan gift-giving is more symbolic than an economic exchange

141
Q

types of innovation & Examples

A
  1. Continuous Innovation: Modifications of an existing product
  2. Dynamically Continuous Innovation: More pronounced change, requires behaviour change (e.g. introduction of virtual keyboard ono the first iPhone 2007)
  3. Discontinuous Innovation: Major, new product category (e.g. first commercialized cell phone)
142
Q

How did the diffusion of innovation work in the past?

A

buy ads -> sell products -> make profits and repeat

Focused on the mass market ( early & late majority)

143
Q

What is the diffusion of innovation? Curve?

A

Process whereby a new product, service or idea spreads through the population

Innovators, Early adaptors, Early majority, late majority & laggers

144
Q

How does the product life-cycle interact with the diffusion of innovation?

A

The Introduction: Innovators & Early Adaptors
–THE CHASM–
The Acceptance Stage: Early majority
Regression Stage: Late majority and Laggards

145
Q

What are the psychological characteristics of innovators and early adaptors? Explain & give examples

A
  1. “category specific” very knowledgeable, and high involvement.
    - Educate with utilitarian/functional communication
    - Increase involvement with crowd sourcing/financing Beta testing
  2. High need for uniqueness
    • Scarcity, limited supply, invite only, wait list, VIP subscription
  3. Price
    • Price skimming = Set high then reduce (iPhone & Playstation)
    • Penetration pricing = Set low then hight (Netflix)
146
Q

What is the psychology of the majority

A
  1. Low-involvement consumers
    • Entertain them with fun/emotional communication
  2. High need for conformity: They need “social proof” i.e. evidence that the product has already been adopted and validated by other consumers
    • Celebrity endorsement, product placement
    • Endorsement or advocacy by friends (early adaptors) on social media
  3. Price?
    • In a mature market: Different prices for different consumer segments (vertical differentiation, price discrimination)
147
Q

Why do products not cross the “chasm”?

A

Need to have:

  1. Relative Advantage: Must give advantages that other products don’t have
  2. Compatibility: Must fit consumer’s lifestyle
  3. Observability: Ones that are observable spread faster
  4. Trial-ability: Reduce risk by letting consumers try it
  5. Complexity: Lower the better
148
Q

How has the S-Curve changed in recent days?

A

Innovations spread sooner now than they used to, more vertical

149
Q

The diffusion of fashion curve

A

Introduction: Fad
Growth: Fashion
Maturity & Decline: Basic Products (classic)

150
Q

Fad

A

Short-lived fashion, doesn’t get adopted by the majority

EX: hammer pants

151
Q

Classic

A

Fashion with long acceptance cycle

EX: White Sneakers

152
Q

Trickle Down Effect

A 
High-fashion (high-status consumers)
Adaption by early adopters with high need for status (middle-status consumers)
Mass market (Lower-Status consumers)
153
Q

Trickle Up Effect

A

Minority Culture/ Subculture by Marginalized Groups -> High Fashion
Minority Culture/ Subculture by Marginalized Groups -> High Fashion-> Mass Market

154
Q

Trickle Round Effect

A

High-status consumers adopt low-status signals to distinguish themselves from middle-status consumers (a form of inconspicuous consumption)

155
Q

What are examples of upscale, downscale, mix & match

A

prada wedges, crocs, croc Balenciaga shoes

156
Q

What are the social and environmental costs of overeating

A
  1. Social Cost: Impact on health public spending
  2. Environmental Costs: Agriculture uses 38% of world’s land & 90% of fresh water
    • Food production contributes to 7% of GHG
    • Meat is the main culprit, dairy, chocolate & palm oil
157
Q

What are limitation of calorie labeling

A
  1. Consumers don’t pay attention

2. Calorie labels are hard to understand

158
Q

What are some solutions to the limitations of calorie labels?

A 
Make the labels clearer & more visible and easy to understand 
Use colour (high, med, low)
159
Q

Most “healthier” chocolate bars aren’t huge improvements. Why?

A
  1. Supply: Sugar is cheap and abundant
    Hard to find tasty substitutes for sugar & fat
  2. Demand: Taste remains the first criterion of food choices
160
Q

What are solutions to overeating?

A
  1. Calorie Labels
  2. Food reformulation
  3. Reducing portion sizes
  4. Pleasure, not size not health
161
Q

What does the expectancy effect have to do with health

A 
Unhealthy = Tasty 
Healthy = Not tasty
162
Q

Horns & halo effect in food

A

Horns effect is when “bad” food like coca-cola is perceived to have higher calories
Halo effect when “good” foods are perceived to be healthier/lower calories than others

163
Q

what are some of the consequences of “healthy” candy vs regular candy

A

Think that they are consuming less calories than they actually are. If the food is healthy I can eat more

164
Q

Why is it difficult to increase the nutritional quality of food?

A
  1. Hard to keep it tasting good
  2. Unhealthy food taste beliefs Vs healthy tastes not good
  3. Halo effect can lead to over eating
165
Q

Why are food portions sizes so large?

A

Food industry has a low variable cost and high fixed costs

166
Q

Consumers tend to ____________ large portion sizes

A

Underestimate

167
Q

How large is a double big gulp?

A

2L

168
Q

What are some solutions to changing the perception of “normality” of portion sizes?

A

Try and impact the evaluative criteria

  1. Add in smaller sizes
  2. Re-Name the size labels where smallest is called regular
  3. Elongate the packages, so that they think that there is more in them
  4. Create partition cues, which helps reduce mindless eating & creates a norm of appropriate serving size
  5. Resealable packs
169
Q

How does sensory pleasure differ from hunger satiation

A
  1. People normally choose larger portions b/c they want to satiate their hunger & perceived value for money
  2. Sensory pleasure: peaks at first few bites then declines, last bite determined overall pleasure evaluations
170
Q

How can we change the focus of quantity-focused business model to quality-focused

A

Focus on sensory pleasure increases the acceptability of smaller portion sizes

Align health, pleasure & business

UBC Winter 2 (4 decks)

Brainscape helps you reach your goals faster, through stronger study habits.
© 2024 Bold Learning Solutions. Terms and Conditions