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Retail Management
Course Code
RMG 302
Donna Smith

of 2
Behavioural Learning Theories Learning takes place as the result of responses to
external events
Classical Conditioning Stimulus that elicits a response is paired with one that
doesnt on its own. (Bell [Conditioned Stimulus] & Dog Food [Unconditional
Stimulus] = Conditioned Response)
Instrumental Conditioning (a.k.a. Operant Conditioning) Reward received
following the desired behaviour
Stimulus Generalization Tendency of stimuli similar to Conditioned Stimulus to evoke
similar conditioned responses. (Keys jangling sounds like Bell)
Masked Branding Hides a products true origin.
Stimulus Discrimination When a stimulus is not followed by an Uncontrolled Stimulus.
Reactions are weakened and will soon disappear.
Brand Equity A brand has strong positive associations in a consumers memory and
commands a lot of loyalty
Exposure 1st Awareness, 2nd Relevance to Consumer, 3rd Reminder of Benefits
Advertising Wearout Too much advertising
Slow music leads to Longer times and more money spent at grocery stores, and one extra
glass at restaurants
Stimulus Generalization is central to packaging decisions that capitalize on consumers
associations with existing brands or companies. Stimulus Generalization strategies:
Family Branding capitalizing on reputation of company name
Product Line Extensions related products are added to a brand
Licensing - renting
Look-alike packaging
Shaping Rewarded
Instrumental learning occurs in 3 ways:
Positive Reinforcement Response is strengthened and appropriate behaviour is
Negative Reinforcement If you dont use a product, negative things will happen
(interest on bill)
Punishment - A response is followed by unpleasant events (using bad smelling
Effective Reinforcement Schedules:
Fixed Interval Reinforcement After a specific time period, the first response gets
rewarded (Customers packing into a store on the last day of a sale)
Variable Interval Reinforcement
Fixed-Ratio Reinforcement Reinforcement occurs only after a fixed number of
responses (Earning a prize after collecting points at a store)
Variable-Ratio Reinforcement Persons behaviour is reinforced after a certain
number of responses, but they dont know how many are needed. (Slot Machines)
Frequency Marketing Rewards regular buyers with prizes which values increase overtime
Cognitive Learning Theory People are problem solvers who actively use information from
the world around them to master their environment.
Observational learning People watch the actions of others and note the reinforcements
they receive for their behaviours (Attention, Retention, Production Processes, Motivation)
Memory Process External Inputs, Encoding, Storage, Retrieval
Semantic Meaning Symbolic Associations (Rich people drink Champagne)
Episodic Memories Relates to events that are personally relevant
Flashbulb Memories Triggered upon hearing a song
Memory Systems: Sensory Memory (information from our senses), Short-term Memory, and
Long-term Memory
State-dependent retrieval Easier to access information if their internal state is the same
at the time of recall as it was when the info was learned
Von Restorff Effect Any technique that increases the novelty of a stimulus also improves
the recall
Incidental Learning The casual unintentional acquisition of knowledge
Backwards Conditioning Presents the unconditioned stimulus after the conditioned
Modelling Imitating the behaviour of others
Retro brand An updated version of a brand from a prior historical period