Topic 1: Needs, wants and aspirations Flashcards
1
Q
Why do people’s wants and needs change?
A
Lifestyle Society Family Age Ability to afford products Beliefs and attitudes
2
Q
What are the internal factors that affect wants and needs?
A
Values (feelings towards goals), beliefs (Morality and fairness), attitudes (how a person acts) and preferences
3
Q
External factors that affect wants and needs?
A
Marketing - adverts, Promotions, PR
Peer pressure - Influence perceptions
Trends & role models - “If Kim K has it, I want it”
4
Q
What’s the feedback effect?
A
How people feel affects what they do. If a person expects a share price to fall they might sell them, if enough people are told this the share value will fall.
5
Q
Affordability definition
A
A person should review if the can afford certain financial products