Q 1 – Describe the inter-relationship between consumer behaviour as an academic subject and the selling construct Ans The survey of consumer behaviour enables sellers to understand and foretell consumer behaviour in the market place ; it is concerned non merely with what consumers buy but besides with why. when. where. and how they buy it. Consumer research is the methodological analysis used to analyze consumer behaviour ; it takes topographic point at every stage of the ingestion procedure: before the purchase. during the purchase. and after the purchase.
Consumer behaviour is interdisciplinary ; that is. it is based on constructs and theories about people that have been developed by scientists in such diverse subjects as psychological science. sociology. societal psychological science. cultural anthropology. and economic sciences.
Consumer behaviour has become an built-in portion of strategic market planning. The belief that moralss and societal duty should besides be built-in constituents of every selling determination is embodied in a revised selling concept—the social selling concept—that calls on sellers to carry through the demands of their mark markets in ways that improve society as a whole.
Q 2 – What is the difference between primary and secondary research? Under what circumstance might the handiness of secondary informations make primary research unneeded? What are the advantages and restrictions of secondary informations? Ans – Primary research consists of the aggregation of original primary informations. It is frequently undertaken after the research worker has gained some penetration into the issue by reexamining secondary research or by analysing antecedently collected primary informations. It can be accomplished through assorted methods. including questionnaires and telephone interviews in market research. or experiments and direct observations in the physical scientific disciplines. amongst others. Primary and Secondary research are the difference in carry oning the research.
In Primary research. there is no information available for the research worker. hence the research worker has to get down from abrasion. This means that the research worker needs to plan questionnaires. roll up informations from respondents and so analyse the consequence. If you are making secondary research. the research worker has the necessary information available. These informations are made available through other publications or studies. like newspaper or one-year studies of companies. If the research worker is making secondary research. there is no demand to get down from abrasion. he or she uses the information or information done by other organisations or publications. The of import thing is that there are advantages and disadvantages for both methods. Primary research is more clip consuming and dearly-won. While some secondary research may non accommodate the researcher’s needs.
With primary research. you are roll uping informations yourself. i. e. if the inquiry was how many ruddy autos drive yesteryear in 1 hr you go out and number the autos but if the inquiry is how many people gave up smoke in 2006 you look at the records. you don’t inquire everyone if they gave up somking in 06. Secondry information is non your ain research fundamentally.
( B ) under following fortunes might the handiness of secondary informations make primary research unneeded – THE CIRCUMSTANCES INCLUDE
-data used for developing strategic planning.
-data used for developing corporate planning.
-data used for developing concern planning.
-data used for developing selling planning.
-data used for developing demand prediction.
If you are establishing the same merchandise that is available in the market before. so you don’t necessitate do primary research because in market sufficient information is available. You can utilize secondary informations. Advantages and restrictions of secondary informations?
Secondary informations is the information that have been already collected by and readily available from other beginnings. Such informations are cheaper and more rapidly gettable than the primary informations and besides may be available when primary informations can non be obtained at all. Advantages of Secondary informations
1. It is economical. It saves attempts and disbursals.
2. It is clip salvaging.
3. It helps to do primary informations aggregation more specific since with the aid of secondary informations. we are able to do out what are the spreads and lacks and what extra information demands to be collected. 4. It helps to better the apprehension of the job.
5. It provides a footing for comparing for the information that is collected by the research worker. Disadvantages of Secondary Data
1. Secondary informations is something that seldom tantrums in the model of the selling research factors. Reasons for its non-fitting are: – a. Unit of measurement of secondary informations collection-Suppose you want information on disposable income. but the information is available on gross income. The information may non be same as we require. B. Class Boundaries may be different when units are same.
Before 5 YearsAfter 5 Old ages
2500-50005000-6000
5001-75006001-7000
7500-100007001-10000
c. Thus the informations collected earlier is of no usage to you.
2. Accuracy of secondary informations is non known.
3. Datas may be outdated.
Evaluation of Secondary Data
Because of the above mentioned disadvantages of secondary informations. we will take to rating of secondary informations. Evaluation means the following four demands must be satisfied: – 1. Availability- It has to be seen that the sort of informations you want is available or non. If it is non available so you have to travel for primary informations. 2. Relevance- It should be run intoing the demands of the job. For this we have two standard: – a. Unit of measurements of measuring should be the same.
b. Concepts used must be same and currency of informations should non be outdated. 3. Accuracy- In order to happen how accurate the information is. the undermentioned points must be considered: – a. Specification and methodological analysis used ;
B. Margin of mistake should be examined ;
c. The dependableness of the beginning must be seen.
4. Sufficiency- Adequate informations should be available.
Robert W Joselyn has classified the above treatment into eight stairss. These eight stairss are sub classified into three classs. He has given a elaborate process for measuring secondary informations. 1. Applicability of research aim.
2. Cost of acquisition.
3. Accuracy of informations.
Q 3 – How are market cleavage. aiming and positioning inter-related? Illustrate how these three constructs can be used to develop a selling scheme for a merchandise of your pick. Ans – Segmentation. Targeting. and Positioning – Constructing the Right Relationships with the Right Customers Steps in market cleavage. aiming and positioning
Market Cleavage
?Identify bases for sectioning the market
?Develop section profiles
Target Selling
?Develop step of section attraction
?Select mark sections
Market Positioning
?Develop positioning for mark sections
?Develop a selling mix for each section
Market Segmentation – Dividing a market into distinguishable groups with distinguishable demands. features. or behaviour who might necessitate separate merchandises or selling mixes. Segmenting Consumer Markets – Geographical cleavage
Demographic cleavage
?Most popular cleavage
?Psychographic cleavage
?Lifestyle. societal category. and personality-based cleavage
?Behavioral cleavage
Geographic Segmentation Variables
•World part or state
•U. S. part
•State
•City
•Neighborhood
•City or tube size
•Density
•Climate
Demographic Segmentation Variables
•Age
•Gender
•Family size
•Family life rhythm
•Income
•Occupation
•Education
•Religion
•Race
•Generation
•Nationality
Behavioral Segmentation Variables
•Occasions
•Benefits
•User Status
•Attitude Toward the Merchandise
•User Ratess
•Loyalty Status
•Readiness Phase
Segmenting Business Markets
Demographic cleavage
?Industry. company size. location
Operating variables
?Technology. usage position. client capablenesss Buying attacks Situational factors
?Urgency. specific application. size of order
Personal features
?Buyer-seller similarity. attitudes toward hazard. trueness
Segmenting International Markets
Geographic cleavage
?Location or part
Economic factors
?Population income or degree of economic development
Political and legal factors
?Type / stableness of authorities. pecuniary ordinances. sum of bureaucratism. etc. Cultural factors
?Language. faith. values. attitudes. imposts. behavioural forms Requirements for Effective Cleavage
Measurable
?Size. buying power. and profile of section
Accessible
?Can be reached and served
Significant
?Large and profitable plenty to function
Differentiable
?Respond otherwise
Actionable
?Effective plans can be developed
Target Marketing – Consists of a set of purchasers who portion common needs or features that the company decides to function Measuring Market Sections
?Segment size and growing
?Segment structural attraction
• Level of competition
• Substitute merchandises
• Power of purchasers
• Powerful providers
?Company aims and resources
Choosing Target Market Sections
?Undifferentiated ( mass ) selling
?Differentiated ( segmented ) selling
?Concentrated ( niche ) selling
?Micromarketing ( local or single )
Choosing a Target Marketing Strategy – Considerations include:
?Company resources
?The grade of merchandise variableness
?Product’s life-cycle phase
?Market variableness
?Competitors’ selling schemes
Socially Responsible Targeting
?Some sections. particularly kids. are at particular hazard
?Many possible maltreatments on the Internet. including fraud Internet shoppers ?Controversy occurs when the methods used are questionable
Placement:
?The topographic point the merchandise occupies in consumers’ heads relative to viing merchandises. ?Typically defined by consumers on the footing of of import properties. ?Involves engrafting the brand’s alone benefits and distinction in the customer’s head. ?Positioning maps that secret plan perceptual experiences of trade names are normally used. Choosing a Positioning Scheme
1. Identifying possible competitory advantages – Differentiation can be based on ?Products
?Services
?Channels
?People
?Image
2. Choosing the right competitory advantage
•How many differences to advance?
?Unique merchandising proposition
?Several benefits
•Which differences to advance? Criteria include:
?Important
?Distinctive
?Superior
?Communicable
?Preemptive
?Affordable
?Profitable
3. Choosing a placement scheme
•Value propositions represent the full placement of the trade name
•Possible value propositions:
?More for More
?More for the Same
?More for Less
?The Same for Less
?Less for Much Less
Developing a Positioning Statement – Positioning statements sum up the company or trade name positioning ?EXAMPLE: To ( aim section and demand ) our ( trade name ) is ( construct ) that ( point-of-difference ) Communicating the Positioning – Companies must be certain to Deliver their value propositions. Positions must be monitored and adapted over clip. Case Study – Procter & A ; Gamble
•Sells multiple trade names within the same merchandise class for a assortment of merchandises •Brands feature a different mix of benefits and entreaty to different sections •Has besides identified different niches within certain sections •Product alterations are utile: Tide offers seven different merchandise preparations to function different niches’ demands
Q 4 – Discuss the ethical issues related to the statement ‘marketers don’t create demands. needs pre-exist marketers’ . Can marketing attempts alteration consumers demands? Why or why non? What are the advantages and disadvantages of utilizing Maslow’s need hierarchy for cleavage and placement applications? Ans – Marketing doesn’t create demands. Needs are what people have before the seller shows up. Smart sellers identify unmet demands and expression for ways to fulfill those demands and do a net income at the same clip.
Customers have demands and selling identifies those demands and based on the company’s capablenesss. defines merchandise and/or service features that satisfy some or all of those demands. Then. selling communicates the merchandise characteristics and benefits to the clients in such a manner that they can recognize how the merchandise and/or service satisfies their demands and they select and purchase that merchandise. Selling does non make demands.
One country of confusion on this point is when a company comes out with a “new to the world” merchandise. Since there has been no such merchandise before. how can at that place hold been demands? An illustration of this is the Personal computer. No 1 had a computing machine in their house until the Personal computer was invented. So how can you mensurate the demands of the client for a Personal computer. Surely. selling. in stipulating the Personal computer. created a demand. This logic is flawed. There were demands that were non met or non met to the full before the Personal computer came along – for document creative activity. games. communications. etc. All of these demands were met via other technological solutions: typewriter. board and card games. telephone and mail. With a small debatability. the Personal computer does in fact better satisty these demands. but the demands where there before.
Sellers must seek to understand the mark market’s demands. wants and demands. Needs are basic human desires. Privations are shaped by one’s society. Demands are wants for specific merchandises backed by an ability to pay. Sellers do non make demands – needs pre-exist sellers. Marketers. along with society influence wants. There are five types of demands that sellers need to understand:
•Stated demands
•real demands
•unstated demands
•delight demands
•secret demands.
Advantages and Disadvantages of Using Maslow’s Hierarchy of Needs Advantages – Advantages of utilizing Maslow’s Hierarchy of Needs are that. you will non do the error of seeking to appeal to an audience’s higher demands when their more basic demands are non yet satisfied. Subsequently. understanding where your audience stands on the above list is an of import measure in making a presentation that involvements your audience. Using Maslow’s Hierarchy of Needs saves you from doing a presentation to an audience that is wholly unreceptive to what you have to state. Disadvantages – Disadvantages of utilizing Maslow’s Hierarchy of Needs are that since your audience member is alone. merely like everyone else. it is hard to put him or her in a box.
Besides. people can carry through their higher-level demands when unexpected fortunes may all of a sudden endanger their much shorter-term demands. fostering complexness. Therefore. such an attack is easier on a little graduated table than a big group. Q 5 – Describe the personality trait theory. Give five illustration of how personality traits can be used in consumer research. Ans The Personality Trait Theory is one of the most critically debated in the field of personality surveies. Many psychologists have theorized utilizing the trait attack to personality. which advocates the differences between persons. To better understand the Personality Trait Theory. say you are asked to depict your friend’s personality. You may state that he is cheerful. sociable and merriment to be with. These traits and more are the chief focal point of the trait attack. Gordon Allport: Trait Theory
Harmonizing to Gordon Allport. one English lexicon could supply you more than 4000 words depicting or synonymous to a individual personality trait. Because of this determination. he was able to categorise traits into three general degrees. They include: 1. Cardinal Traits – For certain you have heard the words “Christ-like” . “Freudian” and “Narcissist” . The beginnings and significances of these traits are really easy to find. A individual may be called “Christ-like” if he sacrifices his ain good for the benefit of others. Cardinal traits. therefore. are the 1s that dominate the entireness of a person’s life such that a individual transporting such trait may even go celebrated and have their name become synonymous with these traits. 2. Cardinal Traits – These are general features that you use to depict another individual are called cardinal traits. Examples include sort. sincere. cool and reasonably. 3. Secondary Traits – These traits are those that merely come out under certain state of affairss. For illustration. you become uneasy when a dad quiz is announced. Raymond Cattell: Sixteen Personality Factor Questionnaire
From Allport’s list of about 4. 000 traits. Raymond Cattell decreased the figure into 1713 because he believed that uncommon traits should be eliminated. In his research. Cattell finally narrowed down the list into 16 personality traits. He so developed the Sixteen Personality Factor Questionnaire ( 16PF ) . an assessment tool normally utilised today. The 16 personality traits include: 1. Warmth ( A )
2. Reasoning ( B )
3. Emotional Stability ( C )
4. Laterality ( E )
5. Liveliness ( F )
6. Rule-consciousness ( G )
7. Social Boldness ( H )
8. Sensitivity ( I )
9. Watchfulness ( L )
10. Abstractedness ( M )
11. Privateness ( N )
12. Apprehension/Apprehensiveness ( O )
13. Openness to alter ( Q1 )
14. Autonomy ( Q2 )
15. Perfectionism ( Q3 )
16. Tension ( Q4 )
Han dynasties Eysenck: Three Dimensions of Personality
British psychologist Hans Eysenck developed a theoretical account of personality based upon merely three cosmopolitan trails: Unlike Allport and Cattell. theoretician Hans Eysenck merely included three general traits in his list. They are: 1. Introversion- Extraversion – As in Carl Jung’s personality type theory. Eysenck classified people as either introvert. those who directs focal point on interior universe. or extrovert. those who gives more attending to other people and his environment. 2. Neuroticism-Emotional Stability – This class is synonymous to “moodiness versus even-temperedness” . where in a neurotic individual is inclined to holding altering emotions from clip to clip. while an emotionally stable individual tends to keep a changeless temper or emotion. 3. Pyschoticism – This dimension refers to the happening it difficult to cover with world. A psychotic individual may be considered hostile. manipulative. anti-social and non-emphathetic. The Big Five: Five-Factor Model
As a consequence of a thorough research on Cattell’s and Eysenck’s personality trait theories. the Big Five theory was formulated. This theoretical account states that there are 5 nucleus traits which collaborate in order to organize a individual personality. These include: 1. Extraversion – inclination to be active. sociable. person-oriented. chatty. optimistic. empathic 2. Openness to Experience – inclination to be inventive. funny. originative and may hold unconventional beliefs and values. 3. Agreeableness – inclination to be good-natured. kindhearted. helpful. selfless and swearing. 4. Conscientiousness – inclination to be hardworking. dependable. ambitious. punctual and autonomous. 5. Neurosis – inclination to go emotionally unstable and may even develop psychological hurt
five illustration of how personality traits can be used in consumer research – Personality traits are features of certain non-physical facets of a individual that stand out and do that individual different from others. Some illustrations of an about infinite list are: being diffident. nice. friendly. talkative or non. egoistic or selfless. considerate. compassionate. loving. expressive or non. vibrant. antisocial. intelligent. sarcastic. mature or immature. superficial. confident or insecure. and so on. Possibly the term could besides include things like accomplishments. endowments. likes and disfavors. since they besides say a batch about a individual.
