Consumer Decision Making Process

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  • Topic: Marketing, Decision making, Cognition
  • Pages : 8 (2329 words )
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  • Published : May 14, 2011
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End of Module Assignment
Module: M020LON Buyer Behaviour Analysis-1011OCT

Table of Contents
1. Introduction3
2. Economic views3
2.1 Characteristics3
2.2Extensive problem solving and perception3
2.3 Consumers accept satisfactory decision3
2.4 Motivation3
2.5 Physiological field4
2.6 Implication for marketers4
3 Passive view4
3.1 Characteristics4
3.2 Arguments4
4. Emotional view5
4. 1 Characteristics5
4.2 Consumer decision making process5
4.3 Offers for emotional view5
4.4 Implication5
4.5 Effective Communication5
5. Cognitive view6
5.1 Characteristics and decision making6
5.2 Relevance6
5.3 Cross-culture differences6
5.3 Applications7
5.4 Channels and market application7
6. CONCLUSION7
REFERENCES8

1. Introduction
Based on assumption of the human nature behaviour, four models of consumers in relation to consumer decision-making have been illustrated by Schiffman (2010) - they are economic, passive, cognitive and emotional views. This paper is to compare and contrast the four views of consumer decision-making, to analyze various models of human behaviour in relation to consumer decision-making so that marketers can better understand how consumer behaviour influenced by the factors in the process of consumer decision making before marketing strategies can be developed.

2. Economic views
2.1 Characteristics
Economic view is based on hypothesis of perfect world competition, consumers make rational decisions. It is assumed that consumers are aware of all products alternatives, and they are able to recognise each choice’s pros and cons, and are capable of identifying which one is the best. It requires consumers having sufficient information, knowledge; skills as well as that people are not restricted with their values and beliefs. 2.2Extensive problem solving and perception

Considering level of effort an individual put into in term of information seeking, this view argues that consumers need to have extensive high level of input in order to make decisions, and decision making-process will therefore take considerably longer period of time. Usually consumer undertake complex buying behaviour when purchasing expensive, risky, infrequently purchase products or they perceive the significant differences among brands, For example, a laptop buyer may has to learn the attributes and differences . 2.3 Consumers accept satisfactory decision

In reality, it unrealistic to say that all people are ideally rational. For example, assuming someone wants to buy a piece of vanilla flavour cake to satisfy physiological needs and he or she has to visit all over the shops in town before make a final purchase. In fact, consumers are willing to accept ‘satisfactory ‘decision. One can be satisfied by price, quality, others decision maybe influence by situational factors, for example beautiful packaging, store design. 2.4 Motivation

According to Maslow hierarchical of human needs, people have various needs from physiological needs to top-end self-actualization need. Somebody make purchases may be motivated by the desire to keep themselves and family safe protected, products and services associated with can be gym membership, diet plan. Others purchase premium brand car, designer glasses are because of pride of ownership which may be associated with their social needs. 2.5 Physiological field

When it comes to buying the same product, in the decision making process, there could be various psychological determinants associated with consumer’s decisional motivation. Low involvement habitual behaviour people may just simply go to store and reach for the same type of beer they usually buy for example Foster, because their learning has been formed over the years as result of repetition and over exposure or...
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