Problem Recognition & Information Search (Test 2) Flashcards
What is Extended Problem Solving?
An eventual purchase decision that someone perceives as a high risk and/or highly involving
Collects extensive info (Internal & External Search)
What is Limited Problem Solving?
A purchase decision that is low risk/ low involvement
Uses less time to search for info
What is Habitual Decision Making?
Automated Efficient decision making
Example: Going to specific section of a store because the stuff we want is there
When does Problem Recognition occur?
Occurs when consumer detects differences between current and ideal state
What is Need Recognition?
Actual state moves downward
Examples: Running out of product, buying a deficient product or creating new needs
What is Opportunity Recognition?
Ideal state moves upward
Example: Exposed to different/better quality products (standard of comparison
Define Internal Search
Scanning memory to assemble product alternative information
Define External Search
Obtaining information from outside sources
Define the Economics of Information
Consumers will gather as much data as needed to make a (somewhat) informed decisions
We search until costs exceed utility of info search
We collect the most valuable info first
What is the Availability Bias?
Recalling info that is more accessible, but not necessarily more diagnostic
What is Conformation Bias?
Find info that is consistent with attitudes
Info that proves one’s point of view
