New Material pt. 2

Question 1

List and describe five values of western culture that we discussed in class.

Answer 1

Materialism: placing importance on money and material goods
Luxury goods, “the Joneses”, celebrities as reference groups

Work and play
US – employees generally work harder and longer than in the past

Individualism- Worry about me, me, me

Health- McDonalds- whole foods

Hedonism: the principle of pleasure seeking

Youth- Want to look younger and younger

The environment- We care about it

Technology- Heavily involved

Question 2

List and describe three of the Big 5 personality traits.

Answer 2

Extroversion: outgoing vs. reserved

Agreeableness: friendly vs. unkind

Neuroticism: nervous vs. confident

Question 3

Define the following personality terms: dogmatism, need for uniqueness, need for cognition, susceptibility, and self-monitoring behavior.

Answer 3

Dogmatism: resistance to change

——Need for uniqueness: looking for novelty in purchases, related to conformity/counterconformity, unconventional purchases

——Need for cognition: how much people like to think

—Susceptibility to influence: success level of persuasion attempts
—
Self-monitoring behavior: the degree to which people look to others for cues on how to behave

Question 4

Why would a marketer use the VALS – Value and Lifestyle Survey?

Answer 4

The survey is an attempt to understand consumers on a level greater than their basic demographics.

Question 5

What are three things that affect adoption, resistance, and diffusion of an innovation?

Answer 5

Uncertainty
Social relevance
social factors

Question 6

List and define the three categories of innovation we discussed in class. Provide an example of each.

Answer 6

Continuous innovation: limited effect on consumption patterns, new models with no customer learning curve
ex.) Iphone 6, minor change from iPhone 5

Dynamically continuous innovations: has a pronounced effect on consumption patterns, often involving new technology
ex.) Laptop, tablet

Discontinuous innovations: so new that consumers have never known anything like it before (paradigm shift)
Ex.)Paradigm-shifting products include the home computer and the smartphone

Question 7

How can marketers use the three need categories – functional, symbolic, and hedonic – to help promote innovations?

Answer 7

Functional innovations: have utilitarian benefits that are better than existing offerings

Hedonic or aesthetic innovations: an innovation that appeals to our aesthetic, pleasure-seeking, and/or sensory needs

Symbolic innovation: a product, service attribute, or idea that has new social meaning

Question 8

What role does breadth play in describing an innovation?

Answer 8

Breadth: the range of new and different uses for a particular product

Phone vs. computer, phone, calendar, watch (all put in one)

Question 9

Define adoption and resistance as they relate to an innovation. What are some negative and positive effects of innovations?

Answer 9

Adoption: a purchase of an innovation by a consumer or household

Resistance: a desire not to buy the innovation, even in the face of pressure to do so

Negative effects: time to learn, purchase price, compatibility with other products

Positive effects: saves time, saves money, promotion possibilities, stave off firing

Question 10

Draw a figure that describes the high-effort hierarchy of effects and low-effort hierarchy of effects.

Answer 10

Awareness, information gathering, attitude formation, trial, adoption

Awareness, trial, attitude formation, adoption

Question 11

Draw a graph of the diffusion of innovation curve; include the five adopter groups in the graph.

Answer 11

Innovators, early adopters, early majority, late majority, laggards

Question 12

Draw a graph of the product life cycle curve; include the four categories in your graph.

Answer 12

Introduction, growth, maturity, decline

Question 13

Draw and discuss three patterns of life cycle curves – S-shaped, fad, fashion

Answer 13

(Picture)

Question 14

Define two perceived benefits that a marketer might use to sell an innovation to consumers.

Answer 14

Relative advantage: benefits superior to those found in existing products
Use innovativeness: finding uses that differ from the product’s intended use

Question 15

What are three things that we discussed in class that can impact diffusion rates?

Answer 15

Compatibility: the extent to which an innovation is consistent with one’s needs, values, norms, or behaviors

Trialability: try before you buy

Complexity: how difficult is the product to understand or use

Question 16

Define social and temporal dilemmas

Answer 16

Social dilemma: deciding whether to put self-interest or the interests of others first

Temporal dilemma: deciding whether to put immediate interests or long-term interests first

Question 17

List and describe four acquisition controversies we discussed in class.

Answer 17

Materialism: the excessive desire to acquire and consume material goods

Addictive behavior: excessive behavior typically brought on by chemical dependency

Compulsive behavior: an irresistible urge to perform an irrational act

Consumer theft

Question 18

How might a consumer rationalize consumer theft behavior? List and describe three factors.

Answer 18

product factors, environmental factors, consumer factors

Question 19

Define the black market, and provide an example of two products/services that can be found on the black market

Answer 19

Black market: an illegal market in which consumers pay often exorbitant amounts of money for products not readily available

ex.) Fake bags, Cuban cigars

Question 20

What are four issues that marketers should consider when marketing to children?

Answer 20

Do not understand cost
Undeveloped cognitive abilities
Teach children materialism
Unable to store/retrieve information in long-term memory

Question 21

Define greenwashing and provide two examples of products that use greenwashing in their marketing activities.

Answer 21

Greenwashing: misleading use of environmental claims for marketing purposes
Fluffy language- Words or terms with no real meaning. “Eco-friendly”
Best in class- claiming you are slightly greener than the rest, even if the rest are terrible

Question 22

What are three things that consumers can do to resist marketing efforts they deem unethical?

Answer 22

—Individual resistance—negative word-of-mouth
Social media has leveled the playing field

—Advocacy groups—inform public about business practices

Boycotts
Avoid purchasing