"Imagine that you are the brand manager of a new line of light weight digital camera; describe how an understanding of consumer behavior is useful to you in terms of market segmentation strategy?"
I understand that the useful of market segmentation strategy in a product of new line of light weight digital camera because Consumer behavior is influenced by both internal characteristics and external factors that represent the environment in which the individual behavior takes place. The recent Global Financial Crisis (GFC) is one such environmental influence that has had a strong impact on the behavior of consumers. There has been much research undertaken into the impact of the GFC. The majority of studies are revealing that this crisis has had a severe impact on the spending patterns of consumers. Whilst the GFC can be seen predominantly as an external influence, the psychological influence on consumers is also paramount. The GFC has forced consumers to question their beliefs and attitudes towards purchasing.
For companies, long-term strategies may be the key to future success. The marketing company that can treat and track the profound psychological changes in consumer behavior may fare well as we move into post-recession times.
The recent Global Financial Crisis (GFC) felt throughout the world has had an impact on the spending patterns of consumers as well as businesses. The model of consumer behavior includes stimuli or major forces and events within the buyer’s environment that affect the consumer’s decision. The GFC is a major economic force that influences both the emotional and mental behavior of consumers. Businesses should identify and understand how consumers will react to the difficult economic conditions within different cultures and economies.
Studies undertaken by researchers into the impact of the GFC are revealing similar outcomes. Hermann (2009 p.1) stated in his Journal of Customer Behavior that ‘the current crisis is...
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