MKT 400 Lecture Notes - Lecture 6: Bounded Rationality, Marketing Communications, Extortion

• School: Ryerson University
• Department: Marketing
• Course: MKT 400
• Professor: Steven Chuang

Document Summary

Chapter 12: decision making i need recognition and search. Lo3: three major types of decision-making approaches: perceived risk: perception of the negative consequences that are likely to result from a course of action and the uncertainty of which course of action is best to take. Consideration set: alternatives that are considered acceptable for further consideration in decision making. Inert set: alternatives in the awareness set that are deemed to be unacceptable for further consideration. Inept set: alternatives in the awareness set that are deemed to be unacceptable for further consideration. External search and the internet: the internet improves consumer search activities , lowers search costs, provides hedonic value. Search regret: negative emotions that come from a failed search process; when consumers are unable to find a solution to their problems, the decision-making process halts; as a result, consumers may feel the process was a wasted effort. Chapter 13: decision making ii alternative evaluation and choice.