Chapter 6: Analyzing Consumer Markets



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Chapter 6: Analyzing Consumer Markets



GENERAL CONCEPT QUESTIONS




Multiple Choice


  1. Marketers are always looking for emerging trends that suggest new marketing opportunities. One such trend is the “metrosexual.” Which of the following items would the metrosexual most likely have some interest for?

    1. An IBM computer.

    2. Tickets to WWF wrestling.

    3. Saxophone lessons.

    4. An all-over body spray by Axe.

    5. Cowboy boots made from elephant hide.
Answer: d Page: 173 Level of difficulty: Medium

2. ________ is the study of how individuals, groups, and organizations select, buy, use, and dispose of goods, services, ideas, or experiences to satisfy their needs and wants.

a. Target marketing

b. Psychographic segmentation

c. Psychology

d. Consumer behavior



    1. Product differentiation

Answer: d Page: 173 Level of difficulty: Easy


  1. The fundamental determinant of a person’s wants and behavior is the person’s ________.

a. psyche

b. national origin

c. culture

d. peer group

e. family tree

Answer: c Page: 174 Level of difficulty: Medium




  1. A child growing up in the United States is exposed to all of the following values EXCEPT ________.

    1. achievement and success

    2. activity

    3. efficiency and practicality

    4. the importance of the group in daily life

    5. freedom

Answer: d Page: 174 Level of difficulty: Medium


  1. Which of the following would be the best illustration of a subculture?

    1. A religion.

    2. A group of close friends.

    3. Your university.

    4. A fraternity or sorority.

    5. Your occupation.

Answer: a Page: 174 Level of difficulty: Hard
6. With respect to facts about the American consumer, which of the following consumer electronics is owned by the vast majority of consuming households with a 93 percent reporting ownership?

  1. A personal computer.

  2. TiVo DVR.

  3. A cellular phone.

  4. A microwave oven.

  5. A VCR.

Answer: e Page: 175 Level of difficulty: Hard


  1. ________ is defined as being relatively homogeneous and enduring divisions in a society, which are hierarchically ordered and whose members share similar values, interests, and behavior.

    1. Culture

    2. Subculture

    3. Social class

    4. The family

    5. A group

Answer: c Page: 175 Level of difficulty: Medium
8. Social classes show distinct product and brand preferences in all the following

areas EXCEPT ________.



  1. clothing

  2. home furnishings

  3. leisure activities

  4. automobiles

  5. fast food

Answer: e Page: 176 Level of difficulty: Medium
9. A person’s ________ consist(s) of all the groups that have a direct (face-to-face) or indirect influence on his/her attitudes or behavior.

  1. culture

  2. subculture

  3. psychographics

  4. reference groups

  5. demographics

Answer: d Page: 177 Level of difficulty: Medium
10. A(n) ________ group is one whose values or behavior an individual rejects.

  1. aspirational

  2. disassociative

  3. membership

  4. primary

  5. procreational

Answer: b Page: 177 Level of difficulty: Easy
11. If a direct mail marketer wished to direct promotional efforts toward the family of ________, efforts need to be directed toward parents and siblings of the family members.

  1. orientation

  2. procreation

  3. immediacy

  4. intimacy

  5. reference

Answer: a Page: 177 Level of difficulty: Medium
12. Expected to account for a quarter of the U.S. population by 2050, ________ are the fastest growing minority.

  1. African Americans

  2. Asian Americans

  3. Hispanic Americans

  4. European Americans

  5. Arabic Americans

Answer: c Page: 178 Level of difficulty: Easy
13. The dominant cohort, with respect to families, for the next fifty years may very well be the ________ cohort.

  1. married-couple household

  2. single adults

  3. single seniors

  4. married seniors

  5. married-couples with parents living with them

Answer: b Page: 179 Level of difficulty: Hard
14. Husbands and wives display different decision-making roles in most families. The trend for dominant decision making in families is for ________ to be responsible for most of the decisions.

  1. the husband

  2. the wife

  3. joint decision making (both husband and wife)

  4. holistic decision making

  5. child-oriented decision making

Answer: c Page: 179 Level of difficulty: Medium

15. The Disney Channel has become the company’s cash cow for its ability to reach the underserved ________ market—8- to 14-year-olds.



  1. teen

  2. twixt

  3. mid-

  4. tween

  5. young adult

Answer: d Page: 179 Level of difficulty: Medium
16. People choose products that reflect and communicate their role and actual or desired ________ in society.

  1. group

  2. status

  3. attitudes

  4. beliefs

  5. feelings

Answer: b Page: 180 Level of difficulty: Medium
17. Consumption may be shaped by ________ (such as marriage, childbirth, or divorce).

a. the psychological life cycle



  1. the product life cycle

  2. the life/death life cycle

  3. post-puberty cycles

  4. critical life events or transitions

Answer: e Page: 181 Level of difficulty: Medium
18. Product choice is greatly affected by economic circumstances. All of the following would be among those circumstances EXCEPT ________.

  1. spendable income

  2. savings and assets

  3. debts

  4. occupation

  5. borrowing power

Answer: d Page: 182 Level of difficulty: Easy
19. ________ is a set of distinguishing human psychological traits that lead to relatively consistent and enduring responses to environmental stimuli.

  1. Image

  2. Personality

  3. Beliefs

  4. Heredity

  5. Culture

Answer: b Page: 182 Level of difficulty: Medium
20. When the Marlboro Man was depicted in advertising as a rugged outdoor, tough cowboy type, this was done to establish what is called a ________.

  1. trademark

  2. brand name

  3. brand personality

  4. psychological approach to advertising

  5. brand reference

Answer: c Page: 182 Level of difficulty: Medium
21. ________ portrays the “whole person” interacting with his or her environment.

  1. Attitude

  2. Reference group

  3. Lifestyle

  4. Culture

  5. Subculture

Answer: c Page: 183 Level of difficulty: Medium
22. Consumers today are experiencing a time famine because of their busy lifestyles. One way to avoid the difficulties of time famine, which is of particular interest to marketers, is ________.

  1. to set fewer goals

  2. to multitask

  3. to give in to personal burdens

  4. to report frustration to management

  5. to develop a callous attitude toward marketers

Answer: b Page: 183 Level of difficulty: Hard
23. With respect to understanding consumer behavior, there are four key psychological processes. All of the following would be among those processes EXCEPT ________.

  1. motivation

  2. perception

  3. learning

  4. self-reliance

  5. memory

Answer: d Page: 184 Level of difficulty: Easy
24. A ________ when it is aroused to a sufficient level of intensity.

  1. need becomes a motive

  2. motive becomes a need

  3. desire becomes a reality

  4. unfulfilled demand becomes a crisis

  5. personal demand exceeds the ability to rationally reject

Answer: a Page: 184 Level of difficulty: Hard

25. ________ assumed that the psychological forces shaping people’s behavior are largely unconscious, and that a person cannot fully understand his or her own motivations.



  1. Abraham Maslow

  2. Frederick Herzberg

  3. Sigmund Freud

  4. John Cacioppo

  5. Karl Marx

Answer: c Page: 184 Level of difficulty: Medium


    1. Frederick Herzberg developed a ________ that distinguishes

dissatisfiers and satisfiers.

  1. trait-role theory

  2. psychological constraint theory

  3. probability scale

  4. leadership model

  5. two-factor theory

Answer: e Page: 185 Level of difficulty: Medium
27. At the top of Maslow’s hierarchy of needs (shown as a pyramid in the text) are ________ needs.

  1. esteem

  2. self-actualization

  3. social

  4. safety

  5. physiological

Answer: b Page: 185 Level of difficulty: Medium

28. It has been estimated that the average person is exposed to over ________ ads or brand communications a day.



  1. 1,500

  2. 1,300

  3. 1,000

  4. 800

  5. 500

Answer: a Page: 186 Level of difficulty: Hard
29. ________ is the tendency to interpret information in a way that will fit our preconceptions.

  1. Selective retention

  2. Cognitive dissonance

  3. Selective distortion

  4. Subliminal perception

  5. Discrimination

Answer: c Page: 186 Level of difficulty: Medium
30. A cigarette ad has a picture of a young man laying on his back and dreamily looking at clouds in the sky. Though not readily obvious to the casual reader, there is a message in the clouds that says “r-e-l-a-x.” This would be an example of which of the following?

  1. Selective distortion

  2. Cognitive dissonance

  3. Selective retention

  4. Subliminal perception

  5. Short-term memory

Answer: d Page: 187 Level of difficulty: Hard
31. A ________ is a strong internal stimulus impelling action.

  1. cue

  2. drive

  3. reinforcement

  4. discrimination

  5. belief

Answer: b Page: 187 Level of difficulty: Medium
32. ________ teaches marketers that they can build demand for a product by associating it with strong drives, using motivating cues, and providing positive reinforcement

  1. Demand theory

  2. Learning theory

  3. Economic theory

  4. Psychological theory

  5. Demographic theory

Answer: b Page: 187 Level of difficulty: Medium
33. As Rita scans the yellow pages section of her phone book looking for a florist, she sees several others products and services advertised. Though interesting on first glance, she quickly returns to her primary task of finding a florist. The items that distracted her from her search were most likely stored in which of the following types of memory?

  1. Short-term memory

  2. Long-term memory

  3. Middle memory

  4. Subconscious memory

  5. Subliminal memory

Answer: a Page: 187 Level of difficulty: Medium
34. Brand associations consist of all the brand-related thoughts, feelings, perceptions, images, experiences, beliefs, attitudes, and so on that become linked to the brand ________.

  1. stimulus

  2. link

  3. connection

  4. personality

  5. node

Answer: e Page: 188 Level of difficulty: Hard
35. In general, the more attention placed on the meaning of information during ________, the stronger the resulting associations in memory will be.

  1. encoding

  2. decoding

  3. classification

  4. retrieval

  5. memorization

Answer: a Page: 189 Level of difficulty: Medium
36. Repeated exposures to information provide greater opportunity for processing and thus the potential for ________.

  1. more profits

  2. more sales

  3. stronger associations

  4. increased brand personality

  5. more one-to-one relationships

Answer: c Page: 190 Level of difficulty: Medium
37. Cognitive psychologists believe that memory is ________, so that once information becomes stored in memory, its strength of association decays very slowly.

  1. very limited

  2. somewhat limited

  3. fluid

  4. often reflective

  5. extremely durable

Answer: e Page: 191 Level of difficulty: Medium
38. The five-stage model of the consumer buying process includes all of the following stages EXCEPT ________.

  1. problem recognition

  2. information search

  3. social interaction

  4. purchase decision

  5. influencer

Answer: c Page: 191 Level of difficulty: Easy

39. The buying process starts when the buyer recognizes a _________.

a. product

b. an advertisement for the product

c. a salesperson from a previous visit

d. problem or need

e. an internal cue

Answer: d Page: 191 Level of difficulty: Medium




  1. Which of the following is considered to be a more advanced form of information search wherein the person might phone friends or go online to secure information about a product or service?

    1. Heightened attention

    2. Short-term memory processing

    3. Subliminal processing of information

    4. Long-term memory processing

    5. Active information search

Answer: e Pages: 191–192 Level of difficulty: Hard


  1. Of key interest to marketers are the major informational sources to which the consumer will turn and the relative importance of each. Which of the following would be considered to be an experiential information source?

    1. Consumer-rating organizations.

    2. The mass media.

    3. Acquaintances.

    4. Web sites.

    5. Using the product itself.

Answer: e Page: 192 Level of difficulty: Medium


  1. Which of the following is considered to be biggest single source of consumer information from a commercial source (over 40 percent of car buyers use this source to gather information)?

    1. The U.S. Chamber of Commerce

    2. J.D. Power & Associates

    3. Consumer Reports

    4. The Better Business Bureau

    5. Underwriter’s Laboratory

Answer: c Page: 192 Level of difficulty: Medium


  1. Brands that meet consumers’ initial buying criteria are called the ________.

    1. total set

    2. awareness set

    3. consideration set

    4. choice set

    5. decision set

Answer: c Page: 192 Level of difficulty: Easy

  1. With respect to consumer decision making, the ________ is the set of strong contenders from which one will be chosen as a supplier of a good or service.

    1. total set

    2. awareness set

    3. consideration set

    4. choice set

    5. decision set

Answer: d Page: 192 Level of difficulty: Medium


  1. A(n) ________ is a descriptive thought that a person holds about something.

    1. attitude

    2. belief

    3. desire

    4. feeling

    5. emotion

Answer: b Page: 193 Level of difficulty: Medium
46. A(n) ________ puts people into a frame of mind: liking or disliking an object, moving toward or away from it.

  1. attitude

  2. belief

  3. feeling

  4. position

  5. stance

Answer: a Page: 194 Level of difficulty: Medium


  1. The expectancy-value model of attitude formation posits that consumers evaluate products and services by combining their ________.

    1. needs

    2. wants

    3. desires

    4. brand beliefs

    5. consuming attitudes

Answer: d Page: 194 Level of difficulty: Medium
48. All of the following would be considered to be strategies for approaching consumers who had rejected your company’s model of a product for another competitive brand EXCEPT ________.

  1. redesign your company’s product

  2. alter beliefs about your company’s brand

  3. covertly alter the qualitative data about your product

  4. alter beliefs about competitors’ brands

  5. call attention to neglected attributes

Answer: c Pages: 195–196 Level of difficulty: Medium

49. Customer value analysis reveals the company’s strengths and weaknesses relative to various competitors. Which of the following would be considered to be the first step in this process?



    1. Monitor customer values over time.

    2. Assess the quantitative importance of the different attributes.

    3. Assess the company and competitors’ performances on customer values.

    4. Identify the major attributes customers value.

    5. Examine customer ratings of the company and competitors.

Answer: d Page: 196 Level of difficulty: Medium
50. With respect to consumer purchase intention, all of the following would be among the sub-decisions made by consumers EXCEPT ________.

  1. emotional value

  2. brand

  3. dealer

  4. timing

  5. payment method

Answer: a Pages: 196–197 Level of difficulty: Medium
51. With the ________ heuristic, the consumer sets a minimum acceptable cutoff level for each attribute and chooses the first alternative that meets the minimum standard for all attributes.

  1. conjunctive

  2. lexicographic

  3. elimination-by-aspects

  4. primary

  5. secondary

Answer: a Pages: 197 Level of difficulty: Hard
52. Even if consumers form brand evaluations, two general factors can intervene between the purchase intention and the purchase decision. One of these is unanticipated situational factors. What is the second factor?

  1. Amount of purchasing power.

  2. Attitudes of others.

  3. Short-term memory capabilities.

  4. Ability to return merchandise.

  5. The self-concept.

Answer: b Pages: 197 Level of difficulty: Medium


    1. ________ risk occurs if the product fails to perform up to expectations.

  1. Physical

  2. Financial

  3. Social

  4. Psychological

  5. Functional

Answer: e Page: 198 Level of difficulty: Hard

    1. If performance meets consumer expectations, the consumer is ________.

    1. delighted

    2. satisfied

    3. disappointed

d. surprised

e. overwhelmed

Answer: b Page: 198 Level of difficulty: Easy


    1. A key driver of sales frequency is the ________ rate.

  1. product consumption

  2. disposal

  3. refusal

  4. utility

  5. option

Answer: a Page: 199 Level of difficulty: Easy


    1. The level of engagement and active processing undertaken by the consumer in responding to a marketing stimulus is called ________.

    1. elaboration likelihood

    2. consumer disengagement

    3. consumer involvement

    4. variety-seeking

    5. low-involvement

Answer: c Page: 200 Level of difficulty: Medium


    1. If a consumer is persuaded to buy a product by a message that requires little thought and is based on an association with a brand’s positive consumption experiences from the past, the consumer used a ________ to arrive at this purchase decision.

  1. central route

  2. peripheral route

  3. behavioral route

  4. subjective route

  5. objective route

Answer: b Page: 200 Level of difficulty: Hard


    1. With the ________, predictions of usage are based on quickness and

ease of use.

  1. availability heuristic

  2. representative heuristic

  3. anchoring heuristic

  4. adjustment heuristic

  5. semantic heuristic

Answer: a Page: 201 Level of difficulty: Medium


    1. Ben always reaches for the bright blue and yellow box of Ritz crackers when he visits the snack food aisle in the grocery store. He rarely even reads the box or checks the price. Which of the following heuristics is most likely being used by Ben?

  1. Availability

  2. Representative

  3. Anchoring

  4. Adjustment

  5. Semantic
Answer: b Page: 201 Level of difficulty: Hard




    1. ________ refers to the manner by which consumers code, categorize, and evaluate financial outcomes of choices.

a. Cost accounting

    1. Financial accounting

    2. Behavioral accounting

    3. Mental accounting

    4. Factual accounting

Answer: d Page: 202 Level of difficulty: Medium

True/False
61. Social class is the fundamental determinant of a person’s wants and behavior.

Answer: False Page: 174 Level of difficulty: Easy


62. An example of a subculture would be a person’s geographic region.

Answer: True Page: 174 Level of difficulty: Medium


63. According to facts about American consumers’ habits, Saturday is the most popular day of the week to eat out.

Answer: True Page: 175 Level of difficulty: Medium


64. One of the characteristics of social classes is that those within each class tend to behave more alike than persons from two different social classes.

Answer: True Page: 175 Level of difficulty: Medium


65. One of the demographic trends that will impact consumers in the future is “America the spacious” meaning that America’s growth potential seems to have no boundaries.

Answer: False Page: 176 Level of difficulty: Medium


66. Secondary groups require continuous interaction to be effective and

meaningful.

Answer: False Page: 177 Level of difficulty: Medium
67. When Mark went to college he had a burning desire to join a social fraternity; for Mark, this would be an example of an aspirational group.

Answer: True Page: 177 Level of difficulty: Easy


68. The family of procreation includes one’s parents and siblings.

Answer: False Page: 177 Level of difficulty: Hard


69. Asian Americans tend to be more brand conscious than other minority groups, but yet are the least loyal to particular brands.

Answer: True Page: 178 Level of difficulty: Hard


70. A role consists of the activities a person is expected to perform.

Answer: True Page: 180 Level of difficulty: Easy


71. A good illustration of a critical life event or transition that might impact a consumer’s behavior is a divorce.

Answer: True Page: 181 Level of difficulty: Easy


72. One of the five traits of a product’s brand personality is thought to be its shape.

Answer: False Page: 182 Level of difficulty: Hard


73. A brand personality is the specific mix of human traits that may be attributed to a particular brand.

Answer: True Page: 182 Level of difficulty: Medium

74. A person’s personality portrays the “whole person” interacting with his or her environment.

Answer: False Page: 183 Level of difficulty: Medium
75. Psychogenic needs arise from physiological states of tension such as hunger or discomfort.

Answer: False Page: 184 Level of difficulty: Medium


76. Abraham Maslow assumed that the psychological forces shaping people’s

behavior are largely unconscious, and that a person cannot fully understand his

or her own motivations.

Answer: False Pages: 185 Level of difficulty: Hard


77. According to Maslow’s hierarchy of needs model, recognition, self-esteem, and status would be among a person’s social needs.

Answer: False Page: 185 Level of difficulty: Medium


78. According to Herzberg’s two-factor theory, satisfiers will make the major difference as to which brand the customer buys.

Answer: True Page: 185 Level of difficulty: Medium




    1. Perception depends only on the physical stimuli experienced by the person.

Answer: False Page: 186 Level of difficulty: Medium
80. People are more likely to notice stimuli whose deviations are large in relation to the normal size of the stimuli.

Answer: True Page: 186 Level of difficulty: Medium

81. Selective attention is the tendency to interpret information in a way that will fit our preconceptions.


Answer: False Page: 186 Level of difficulty: Hard

82. Because of selective retention, we are likely to forget about the good points of competing products.


Answer: True Page: 186 Level of difficulty: Easy

83. Drives are minor stimuli that determine when, where, and how a person responds.


Answer: False Page: 187 Level of difficulty: Medium

84. Consistent with the elaboration memory model, consumer brand knowledge in memory can be conceptualized as consisting of a brand node in memory with a variety of linked associations.

Answer: False Page: 188 Level of difficulty: Hard
85. Repeated exposures to information provide greater opportunity for processing and thus the potential for stronger associations.

Answer: True Page: 190 Level of difficulty: Medium


86. All consumers pass through all five of the stages of buying process model when in a buying situation.

Answer: False Page: 191 Level of difficulty: Easy


87. The buying process starts when the buyer decides to or actually enters a store or service provider’s facility.

Answer: False Page: 191 Level of difficulty: Medium


88. We can distinguish between two levels of arousal—heightened attention and heightened stimulation sensation.

Answer: False Page: 191 Level of difficulty: Hard


89. A belief is a person’s enduring favorable or unfavorable evaluation, emotional feeling, and action tendencies toward some object or idea.

Answer: False Page: 194 Level of difficulty: Medium


90. The expectancy-value model of attitude formation posits that consumers evaluate products and services by combining their brand beliefs—the positives and negatives—according to importance.
Answer: True Page: 194 Level of difficulty: Medium

91. If a company finds that a consumer has chosen a competitive product over their company’s offering, one way to get the consumer back could be by developing a strategy wherein the company “shifts the buyer’s ideals” on one or more levels.

Answer: True Page: 196 Level of difficulty: Medium


      1. With noncompensatory models of consumer choice, positive and negative

attribute considerations usually net out.

Answer: False Page: 197 Level of difficulty: Medium


93. Volvo has the reputation for being one of the most “safe” cars on the road. For those that value safety, Volvo would be the logical choice. The preceding is an example of the lexicographic heuristic of consumer choice.

Answer: True Page: 197 Level of difficulty: Medium


94. If a product poses a threat to the physical well being of a consumer, this is called psychological risk.

Answer: False Page: 198 Level of difficulty: Medium


95. A key driver of sales frequency is the adoption rate.

Answer: False Page: 199 Level of difficulty: Hard


96. With respect to a consumer-buying situation that involves variety-seeking behavior, the market leader can encourage variety seeking by offering lower prices or deals.

Answer: False Page: 200 Level of difficulty: Hard


97. Many products are bought under conditions of low involvement. This means that the consumer does not touch them except from a distance.

Answer: False Page: 200 Level of difficulty: Medium


98. A rule of thumb is called a heuristic.

Answer: True Page: 201 Level of difficulty: Easy


99. In the anchoring heuristic, the consumer bases his or her predictions on the quickness and ease with which a particular example of an outcome comes to mind.

Answer: False Page: 201 Level of difficulty: Hard


100. Prospect theory maintains that consumers frame decision alternatives in terms of gains and losses according to a value function.

Answer: True Page: 203 Level of difficulty: Medium




Essay
101. Explain the differences between culture, subculture, and social class.

Suggested Answer: Culture is the fundamental determinant of a person’s wants and behavior. Subcultures provide more specific identification and socialization of their members. Subcultures include nationalities, religions, racial groups, and geographic regions. Social class is a relatively homogeneous and enduring division in a society, that are hierarchically ordered and whose members share similar values, interests, and behaviors.

Pages: 174–175 Level of difficulty: Medium


102. What is a reference group? Describe three different types of reference groups that can have an impact on a consumer’s purchasing behavior.
Suggested Answer: Reference groups consist of all the groups that have a direct (face-to-face) or indirect influence on his/her attitudes or behavior. Types of reference groups that can impact a consumer’s purchasing behavior include membership groups, primary groups, secondary groups, aspirational groups, and disassociative groups.

Page: 177 Level of difficulty: Medium



103. What is brand personality and what five traits have been linked to it?


Suggested Answer: Brand personality is the specific mix of human traits that may be attributed to a particular brand. Traits that have been associated with brand personality are sincerity, excitement, competence, sophistication, and ruggedness.

Page: 182 Level of difficulty: Medium


104. Briefly, explain Freud’s theory on human motivation and how this might be related to marketing.
Suggested Answer: Sigmund Freud assumed that the psychological forces shaping people’s behavior are largely unconscious, and that a person cannot fully understand his or her own stated capabilities. When a person examines specific brands, he or she will react not only to their stated capabilities, but also to other, less conscious cues.

Page: 184 Level of difficulty: Hard


105. List and briefly characterize Maslow’s Hierarchy of Needs.


Suggested Answer: Beginning with the most basic needs to the most advanced, the need structure is as follows: (1) physiological needs—food, water, shelter; (2) safety needs—security, protection; (3) social needs—sense of belonging, love; (4)

esteem needs—self-esteem, recognition, status; and (5) self-actualization needs—self-development and realization.


Page: 185 Level of difficulty: Medium

106. People can emerge with different perceptions of the same object because of three perceptual processes. List and briefly characterize those processes.
Suggested Answer: The three processes are selective attention, selective distortion, and selective retention. Selective attention occurs because a person cannot possibly attend to all the stimuli that he or she is exposed to during an average day. Some will be screened out. Selective distortion is the tendency to interpret information in a way that will fit our perceptions. Selective retention occurs because people will fail to register much information to which they are exposed in memory, but will tend to retain information that supports their attitudes and beliefs.

Page: 186 Level of difficulty: Hard


107. What are the five stages of the consumer buying process?
Suggested Answer: The five stages are problem recognition, information search, evaluation of alternatives, purchase decision, and postpurchase behavior.

Pages: 191–198 Level of difficulty: Medium


108. How is the expectancy-value model used in the evaluation of alternatives

as a consumer engages in a buying process?



Suggested Answer: The expectancy-value model of attitude formation posits that consumers evaluate products and services by combining their brand beliefs—the positives and negatives—according to importance. The model assists consumers in making choices.

Page: 194 Level of difficulty: Hard


109. Gordon Jones is considering purchasing a computer from Best Buy. He has created a scale whereby he has rated eight different computers on three different characteristics. Gordon has decided that for a computer to make his short-list, it must score at least a seven on his scale on all three characteristics. Describe the type of choice heuristic that Mr. Jones is using as he selects a computer.

Suggested Answer: Mr. Jones is using what is called a conjunctive heuristic. This heuristic sets a minimum acceptable cutoff level for each attribute and chooses the first alternative that meets the minimum standard for all attributes.

Page: 197 Level of difficulty: Hard


110. Heuristics can come into play when consumers forecast the likelihood of future outcomes or events. When would a consumer use an anchoring and adjustment heuristic?
Suggested Answer: Consumers will use this heuristic when the consumer arrives at an initial judgment and then makes adjustments of that first impression based on additional information.

Page: 201 Level of difficulty: Medium



APPLICATION QUESTIONS

Multiple Choice
111. Successful marketing requires that companies fully connect with their customers. Adopting a ________ marketing orientation means understanding consumers—gaining a 360-degree view of both their daily lives and the changes that occur during their lifetimes.

  1. holistic

  2. customer

  3. segmented

  4. focused

  5. niched

Answer: a Page: 174 Level of difficulty: Medium
112. Americans love their leisure time. The average number of times an adult goes out to a movie annually is ________.

  1. 50

  2. 15

  3. 9

  4. 7

  5. 5

Answer: c Page: 175 Level of difficulty: Hard
113. Social classes differ in media preferences, with upper-class consumers often preferring ________ and books and lower-class consumers often preferring television.

  1. movies

  2. radio

  3. video or computer games

  4. magazines

  5. music downloads

Answer: d Page: 176 Level of difficulty: Hard

114. American Demographics predicts three trends that will impact business and marketing in the next 25 years. Which of the following is one of those predicted trends?



  1. More international travel.

  2. An increasingly diverse America with a shrinking white majority.

  3. The majority of all retail purchases being done online.

  4. Less need for a college education and more emphasis on learning a

trade.

  1. Social class warfare that may even become violent.
Answer: b Page: 176 Level of difficulty: Medium

115. Jason writes a weekly column in his school’s newspaper about movies he has seen, books he has read, and concerts he has attended. His column provides information and opinions. Feedback from his fellow students is positive and appreciative of the advice that is given. Which of the following would be the most apt description of the role played by Jason?



  1. Silent majority

  2. Protestor

  3. Protector

  4. Muckraker

  5. Opinion leader

Answer: e Page: 177 Level of difficulty: Medium
116. According to information presented in the text, the ________ cultural market segment is the most fashion conscious of all the racial groups, tend to be motivated by quality and selection, and shop more at neighborhood stores.

  1. African American

  2. Hispanic American

  3. Asian American

  4. European American

  5. Indian American
Answer: a Page: 178 Level of difficulty: Hard

117. According to recent research, which of the following market segments is characterized as valuing connections and relationships with family and friends with respect to marketing messages received?



  1. Men

  2. Women

  3. Seniors

  4. Young adults

  5. Single parents

Answer: b Page: 179 Level of difficulty: Easy
118. After being considered an unprofitable stepchild of the Disney empire, the Disney Channel has become the company’s cash cow solely from its ability to reach the underserved “________ market” and leverage its success through Disney’s other divisions.

  1. teen

  2. post teen

  3. tween

  4. young adult

  5. toddler

Answer: c Page: 179 Level of difficulty: Medium
119. Bank of America is using “event-based triggers” to help its premier customers. Which of the following would be the best example of an “event-based trigger” that might catch the attention of Bank of America managers?

a. A large deposit that deviates from a customer’s normal behavior.

b. A championship season at a local high school.

c. A child that turns 21 years of age.

d. The arrival of a family member from a foreign country.

e. Moving an elderly parent into one’s home.

Answer: a Page: 181 Level of difficulty: Hard
120. The brand personality of a new product is characterized as having the trait of ________ if promotional messages consistently portray the product as being reliable, imaginative, and successful.


  1. sincerity

  2. excitement

  3. competence

  4. sophistication

  5. ruggedness

Answer: c Page: 182 Level of difficulty: Hard
121. Consumers often choose and use brands that have a brand personality that is matched to the consumer’s ________ (how one would like to view oneself).

                1. actual self-concept

  1. others’ self-concept

  2. ideal self-concept

  3. dual self-concept

  4. perceptual self-concept

Answer: c Page: 183 Level of difficulty: Medium
122. Consumers who worry about the environment, want products to be produced in a sustainable way, and spend money to advance their personal development and potential have been named ________.

  1. “Green”

  2. “Tree Huggers”

  3. “LOHAS”

  4. “Socialists”

  5. “Mamas”

Answer: c Page: 183 Level of difficulty: Medium

123. The two factors that are most important in understanding Herzberg’s theory are ________.



  1. supply and demand

  2. price and quantity

  3. quality and performance

  4. satisfiers and dissatisfiers

  5. promotion and communication

Answer: d Page: 185 Level of difficulty: Hard
124. ________ can work to the advantage of marketers with strong brands when consumers change neutral or ambiguous brand information to make it more positive.

  1. Selective attention

  2. Selective distortion

  3. Selective retention

  4. Selective choice

  5. Selective embellishment

Answer: b Page: 186 Level of difficulty: Medium
125. Maria sees her best friend driving around in her new car and decides that she needs a new car also. Which of the following forms of stimulus has activated Maria’s problem recognition process?

  1. External stimuli

  2. Internal stimuli

  3. Peer stimuli

  4. Secondary stimuli

  5. Marketing induced stimuli

Answer: a Page: 191 Level of difficulty: Medium
126. If a consumer uses Google to find comparative reports on new automobiles in preparation for deciding on whether to purchase one or not, the consumer is using which of the following information sources for assistance?

  1. Personal

  2. Public

  3. Experiential

  4. Commercial

  5. Under-the-radar

Answer: d Page: 192 Level of difficulty: Medium
127. When a consumer makes the final decision on which brand to buy, he or she selects a brand from the ________ set.

  1. total

  2. awareness

  3. consideration

  4. choice

  5. belief
Answer: d Page: 193 Level of difficulty: Medium

128. When a marketer attempts to alter a consumer’s beliefs about the company’s brand as a means of getting the consumer to re-think his or her purchase decision, the marketer is using ________ to accomplish this task.

a. psychological repositioning

b. competitive depositioning

c. positioning

d. repositioning

e. biased positioning

Answer: a Page: 195 Level of difficulty: Hard


129. A consumer tells another consumer, “Every time I eat at Big Bill’s Steakhouse I get poor service.” Whether this is true or not, it is the consumer’s perception. This is an example of consumers basing future predictions on the quickness and ease with which a particular example of an outcome comes to mind. This scenario would be an illustration of the ________ heuristic.

a. discrimination

b. differentiation

c. availability

d. screening

e. representativeness


Answer: c Page: 201 Level of difficulty: Hard

130. When marketers interview a small number of recent purchasers, asking them to recall the events leading to their purchase, the marketers are using the ________ method to learn more about the consumer buying process

a. introspective

b. retrospective

c. prospective

d. prescriptive

e. descriptive

Answer: b Page: 203 Level of difficulty: Medium



Short Answer
131. In the summer of 2003, some marketing pundits proclaimed the existence of a new male market—the “metrosexual”—that was defined as straight urban men who enjoy such things as shopping and using grooming products and services. One researcher estimated that 30–35 percent of young American men exhibited metrosexual tendencies, as evidenced in part by their purchase of products such as skin-care cream and fragrances. What factors in your opinion are driving the existence of this metrosexual market?
Suggested Answer: Marketing studies found “an emerging wave of men who chafe against the restrictions of traditional male roles and do what they want, buy what they want, enjoy what they want—regardless of whether some people might consider them unmanly.” The emergence of this market has been a boon for men’s grooming products, fueling the success of brands such as Unilever’s Axe, a fragrant all-over body spray, the Body Shop’s “For Men” line, and the U.K. drugstore chain Boots’ newly opened Men’s Zones.

Page: 173 Level of difficulty: Medium


132. Culture is the fundamental determinant of a person’s wants and behavior. The growing child acquires a set of values, perceptions, preferences, and behaviors through his or her family and other key institutions. What values are the typical American young children exposed to?
Suggested Answer: According to the text, a child growing up in the United States is exposed to the following values: achievement and success, activity, efficiency and practicality, progress, material comfort, individualism, freedom, external comfort, humanitarianism, and youthfulness.

Page: 174 Level of difficulty: Hard


133. Explain the concept of multicultural marketing.
Suggested Answer: Multicultural marketing grew out of careful marketing research that revealed that different ethnic and demographic niches did not always respond favorably to mass-market advertising. Companies have capitalized on well thought out multicultural marketing strategies in recent years. For instance, many banks and life insurance companies are focusing on Hispanic Americans because although their income level is rising, the 40 million Hispanic Americans living in the United States have not yet become big consumers of financial services.

Page: 174 Level of difficulty: Medium


134. An opinion leader is the person in informal, product-related communications who offers advice or information about a specific product or product category, such as which of several brands is best or how a particular product may be used. According to the text, how do marketers try to reach opinion leaders?
Suggested Answer: Marketers try to reach opinion leaders by identifying demographic and psychographic characteristics associated with opinion leadership, identifying the media read by opinion leaders, and directing messages at opinion leaders.

Page: 177 Level of difficulty: Medium


135. The family is the most important consumer-buying organization in society, and family members constitute the most influential primary reference group. We can distinguish between two family categorization in the buyer’s life. Name the two families and their impact on buying behavior
Suggested Answer: The family of orientation consists of parents and siblings. From parents a person acquires an orientation toward religion, politics, and economics and a sense of personal ambition, self-worth, and love. Even if the buyer no longer interacts very much with his or her parents, their influence on behavior can be significant. In countries where parents live with grown children, their influence can be substantial. A more direct influence on everyday buying behavior is the family of procreation—namely, one’s spouse and children.

Page: 177 Level of difficulty: Medium


136. Explain the differences between a role and status.
Suggested Answer: A role consists of the activities a person is expected to perform. Each role carries a status. For example, a senior vice-president has more status than a sales manager.

Page: 180 Level of difficulty: Easy


137. Explain the concept of personality.
Suggested Answer: Personality is a set of distinguishing human psychological traits that lead to relatively consistent and enduring responses to environmental stimuli.

Page: 182 Level of difficulty: Easy


138. Each person has personality characteristics that influence his or her buying behavior. What does personality mean in terms of buying traits?
Suggested Answer: Personality is often described in terms of such buying traits as self-confidence, dominance, autonomy, deference, sociability, defensiveness, and adaptability. Personality can be a useful variable in analyzing consumer brand choices. The idea is that brands also have personalities, and consumers are likely to choose brands whose personalities match their own.

Page: 182 Level of difficulty: Hard


139. People from the same subculture, social class, and occupation may lead quite different lifestyles. A lifestyle is a person’s pattern of living in the world as expressed in activities, interests, and opinions. Lifestyle portrays the “whole person” interacting with his or her environment. Given this information, describe the LOHAS (an acronym) lifestyle described in the text and its usefulness in marketing.
Suggested Answer: Consumers who worry about the environment, want products to be produced in a sustainable way, and spend money to advance their personal development and potential have been named “LOHAS.” The name is an acronym standing for lifestyles of health and sustainability. The market for LOHAS products encompasses things like organic foods, energy-efficient appliances, and solar panels as well as alternative medicine, yoga tapes, and ecotourism.

Page: 183 Level of difficulty: Hard

140. According to Freudian theory, how can the technique called laddering be used?
Suggested Answer: Shape, size, weight, material, color, and brand name can all trigger certain associations and emotions. A technique called laddering can be used to trace a person’s motivations from the stated instrumental ones to the more terminal ones. Then the marketer can decide at what level to develop the message and appeal.

Page: 184 Level of difficulty: Medium


141. Abraham Maslow sought to explain why people are driven by particular needs at particular times. Describe Maslow’s hierarchy of needs. How does Maslow’s theory help marketers?
Suggested Answer: In order of importance, they are physiological needs, safety needs, social needs, esteem needs, and self-actualization needs. Maslow’s theory helps marketers understand how various products fit into the plans, goals, and lives of consumers.

Page: 185 Level of difficulty: Medium


142. Frederick Herzberg developed a two-factor theory that distinguishes dissatisfiers and satisfiers. How does Herzberg’s theory affect sellers marketing strategy?
Suggested Answer: Herzberg’s theory has two implications. First, sellers should do their best to avoid dissatisfiers (for example, a poor training manual or a poor service policy). Although these things will not sell a product, they might easily unsell it. Second, the seller should identify the major satisfiers or motivators of purchase in the market and then supply them. These satisfiers will make the major difference as to which brand the customer buys.

Page: 185 Level of difficulty: Medium


143. Perception is the process by which an individual selects, organizes, and interprets information inputs to create a meaningful picture of the world. For a marketer, what is the key point of perception?
Suggested Answer: The key point is that perceptions can vary widely among individuals exposed to the same reality. One person might perceive a fast-talking salesperson as aggressive and insincere; another, as intelligent and helpful. Each will respond differently to the salesperson. In marketing, perceptions are more important than the reality, as it is perceptions that will affect consumers’ actual behavior.

Page: 186 Level of difficulty: Medium


144. Explain the concept of selective retention and its association with marketing.
Suggested Answer: Selective retention says that consumers are likely to remember good points about a product we like and forget good points about competing products. Selective attention works to the advantage of strong brands. It also explains why marketers need to use repetition in sending messages to their target markets—to make sure their message is not overlooked.
Page: 186 Level of difficulty: Medium

145. What does the learning theory teach marketers about demand for products?


Suggested Answer: The learning theory teaches marketers that they can build demand for a product by associating it with strong drives, using motivating cues, and providing positive reinforcement.

Page: 187 Level of difficulty: Hard

146. Describe how the problem recognition process works in the five-stage model of the consumer buying process.


Suggested Answer: The buying process starts when the buyer recognizes a problem or need. With an internal stimulus, one person’s normal needs—hunger,

thirst, sex—rises to a threshold level and becomes a drive or a need can be aroused by an external stimuli such as an advertisement.

Page: 191 Level of difficulty: Medium
147. Through gathering information, the consumer learns about competing brands and their features. The consumer will then advance through four sets with respect to brands before a decision is reached. What are those four sets?

Suggested Answer: The four sets are: (1) the total set, (2) the awareness set, (3) the consideration set, and (4) the choice set.

Pages: 192–193 Level of difficulty: Medium


148. Explain the differences between a belief and an attitude.
Suggested Answer: A belief is a descriptive thought that a person holds about something. An attitude is a person’s enduring favorable or unfavorable evaluation, emotional feeling, and action tendencies toward some object or idea.

Pages: 193–194 Level of difficulty: Medium


149. Describe the lexicographic heuristic used to make consumer choices.
Suggested Answer: The lexicographic heuristic is in use when the consumer chooses the best brand on the basis of its perceived most important attribute.

Page: 197 Level of difficulty: Medium


150. How can marketers learn about the stages in the buying process for their product? List and briefly characterize four methods.
Suggested Answer: The four methods are: (1) introspective—they can think about how they themselves would act; (2) retrospective—they can interview a small number of recent purchasers, asking them to recall the events leading to their purchase; (3) prospective—they can locate consumers who plan to buy the product and ask them to think out loud about going through the buying process; and, (4) prescriptive—they can ask consumers to describe the ideal way to buy the product. Each method yields a picture of the steps in the process.

Page: 203 Level of difficulty: Hard






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