MK220 Lecture Notes - Lecture 5: Mental Accounting, Market Segmentation, Affective Forecasting
1 Nov 2018
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Document Summary
Evaluation of an object or estimate of the likelihood of an outcome or event. Making a selection among options or courses of action. Judging how likely it is that something will occur. Starting with an initial evaluation and adjusting it with additional information. Multi-sensory mental representation (image) of a stimulus or event. Categorizing spending and saving decisions into accounts mentally designated for specific consumption transactions, goals, or situations. The intensity of positive or negative feelings associated with each mental. Options that are unacceptable when making a decision. When the addition of an inferior brand to a consideration set increases the attractiveness of the dominant brand. The initial reference point or anchor in the decision process. The process by which consumers combine items of information about attributes to reach a decision. The process by which consumers base their decision on feelings and emotions. A mental cost-benefit analysis model in which negative features can be compensated for by positive ones.
