Topic 3 - Behavioral Context Flashcards
__________ is the study of the elements that influence individuals’ purchasing decisions, including what factors?
Consumer behavior ; environmental, psychological, and societal
factors.
Behaviorally oriented framework (Three Views)
- Teaching individuals to become skilled and rational buyers (traditional view)
- Role of consumer (holistic view)
- Consumer behavior is behavior displayed in various modes
Teaching individuals to become skilled and rational buyers
Traditional View
includes applying basic consumer survival skills to everyday situations. Ability to
_______with current circumstances is an important need for all consumers.
Coping
SPECIFIC MODES OF CONSUMER BEHAVIOR
- Coping
- Questioning
- Planning
- Purchasing
- Conserving
- Participating
- Influencing
Co QuePla PuCo ParIn
Role of consumer
Holistic view
encourages a think-for-yourself attitude by
asking questions before purchasing and to challenge misinformation and fraud.
Questioning
includes the process of managing financial resources and obtaining income as well as spending, saving, investing, borrowing, and tax-paying.
Planning
decision-making in buying goods and
services.
Purchasing
encourages consumer actions that preserve the use of resources efficiently and effectively.
Conserving
involvement as a citizen in policy decisions concerning business, government and community living.
Participating
active participation in drafting/modifying consumer policies, institutions and others to affect consumer interests.
Influencing
A process and mechanism in promoting, gaining, cultivating and applying knowledge, skills and perspectives needed to affect consumer behaviors to improve the consumers’ well-being.
Consumer Education (Summary Definition)
WHAT CAN THE CONSUMERS LEARN?
Knowledge, Skills, and Attitudes (KSA)
Knowledge consists of the following
Factual, procedural, conceptual, principle (FPCP)
Skills consists of?
Cognitive, behavioral, reactive, interactive
(CBRI)
(Perner Model) Consumer Attitude has three major components:
- Beliefs
- Affect (Feeling)
- Behavioral Intentions
BABI
-interdependent with one another
Attitudes consist of?
Consistency, feelings, readiness
(CFR)
Who have the largest percentage of total net worth, holding 57% of the nation’s wealth
Baby boomers
What are some CAUSES OF
CONSUMER PROBLEM
- Lack of knowledge and skills
- Flaws in the Environment
- Lack of Motivation (Value x Expectancy = Motivation)
- Lack of incentives
- Indifference/apathy
and more…
Lack of KSMI FI..
FORCES THAT DRIVE A NEED FOR
CONSUMER EDUCATION
Marketing Force
Legal Force
Organizational Force
- Correcting misconceptions
- Increasing consumer satisfaction
- Stimulating demand
Marketing Forces
- Limiting/Upholding product liability
- Compliance with government or
industry regulation
Legal Forces
- Reducing costs
- Promoting common vision and values
Organizational Forces
assumes that every individual has the power to control themselves and has limited power to control others.
Individuals are empowered to take responsibility for their choices and support others in taking ownership of
their choices.
Comprehensive theory of choice
Four Steps of Comprehensive Theory of Choice
- Goal Formation
- Acquisition
- Consumption
- Disposition
GACD
Components of Goal Formation
- Desire
- Priority
- Preference
- Intention
Components of Acquisition
- Access
- Exchange
- Delivery
Components of Consumption
- Preparation
- Maintenance
- Use
- Storage
Components of Disposition
- Trash
- Sell
- Recycle
- Give
Protect the interest of the consumer, promote his/her general welfare and to establish standards of conduct for business and industry.
Consumer Act of the Philippines (R.A. 7394)
Objectives of R.A. 7394
- Protection against hazards and safety;
- Protection against deceptive, unfair, and
unconscionable acts and practices; - Provide information and education to facilitate sound choice and proper exercise of rights by the consumer.
- Provide adequate rights and means of
redress; and - Involve consumer representatives in the
formulation of social and economic policies.
Implementing agency, the _____________________ is mandated to
improve the management, coordination and effectiveness of the country’s consumer programs.
National Consumer Affairs Council
Practical approach to efficient waste
management, focusing on waste reduction, recovery and recycling, and development of environment-friendly products that advocate the internationally accepted principles on sustainable consumption and production, circular economy, and producers’ full responsibility throughout the life cycle of their product.
Extended Producer Responsibility Act of 2022 (RA 11898)
A driving force for ‘alternative’ sustainable consumption, via expression through
consumer behavior such as purchasing local organic food.
ECOLOGICAL CITIZENSHIP
Describe the ECO-CENTERED POLITICAL CONSUMER by BENN
Circular Economy-like
Process:
Production > Product > Utilization > Recycling then goes back to Production
