BUA 396 Lecture Notes - Lecture 3: L.L.Bean, Loss Aversion, Netbook

• School: University of Maine
• Department: Business Administration
• Course: BUA 396
• Professor: Ulusoy

Document Summary

Need / opportunity recognition need for something (actual vs. ideal) Marketers try to alter consumers" standard of comparison and shift their frame of reference. Search for information searches for options of products, places to buy. Symbolic items require more external search b/c of social risk. Evoked set (off the top of our heads) vs. consideration set. Marketers are always on the lookout for feedback. Factors that affect the level of information search. Search marketplace for specific information (pre-purchase) or for the fun of it and to stay up to date (ongoing) Scan own memory or obtain info from ads, friends, or people watching. Directed learning or acquire in a passive manner: mere exposure over time to conditioned stimuli and observations of others (incidental learning) Framing a problem in terms of gains/losses influences our decisions. We are reluctant to waste something we have paid for. People who are obsessed with preparing for the future that they can"t.