By Mark Liangco | BUS 343
Chapter 5 (Week 5)
Marketers understand, predict and influence customers.
Expounded: We want o understand our consumers so that we can predict the behavior and use ourmarketing tools
to influence the consumers.
- The process individuals or groups go through to select, purchase, and use goods, services, ideas or
experience to satisfy their needs and desires.
Cognitive dissonance = Buyer’s remorse (on the midterm!)
- When a private label makes a product with a similar look to the industry leaders in hopes that consumers’
good feelings about the well-known brand will “rub off” onto it
Strategic Business Units (SBUs)
- Individual units within a firm that operate like separate businesses, each having its own mission, business
and marketing objectives, resources, managers, and competitors
The Consumer Decision-making Process
Problem Recognition Information Search Evaluation of Alternatives Product Choice Post purchase
Marketers want post purchase evaluation because you want them to tell their friends and you want them to buy
your product again.
- The belief that use of a product has potentially
negative consequences, either financially, physically
When perceived risk is low, consumers have low involvement
on the purchase and usually rely on heuristics.
- A mental rule of thumb that leads to speedy
decision by simplifying the process.
o Example: Buy cheapest one, seek advice of
o Price Quality equation and Country of Origin.
Influence on Consumer Decision Making
1) Internal Influences
- Includes perception, motivation learning, age groups, personality and lifestyle.
- The processes by which people select, organize, and interpret information from the outside world. By Mark Liangco | BUS 343
- Perception process has important implications for marketers because, as consumers absorb and make
sense of the vast quantities of information competing for their attention, it is likely th