Exam 9: Individual Decision Making

________ occurs whenever the consumer sees a significant difference between his or her current state of affairs and some desired or ideal state.

Sometimes purchase decisions characterized by ________ are so routinized that consumers make them with minimal effort and without conscious control.

Explain prospect theory.

Identify three perspectives on decision making and describe them.

What is a compensatory rule? Describe the different types of compensatory rules used in purchase decision making.

A form of repeat purchasing behaviour reflecting a conscious decision to continue buying the same brand is called:

"Largest-sized containers are almost always cheaper per unit than smaller sizes" is an example of a market belief.

A customer searching for an SUV is trying to decide what to buy. She decides to limit her options by using the following strategy. First, the car must be a Honda or a Toyota because the customer believes that they have the highest quality. Second, the vehicle cannot cost more than $30 000 or get less than 9 litres per 100 km. Third, the remaining vehicles' interiors, comfort, and instrument placing will be judged by giving each a score and summing them. The SUVs that are left, with the highest summed score, will be selected for an intensive test drive. What type of decision rules was this customer proposing to use?

Elena is in the toothpaste section of the grocery store, and picks up a box of $0.99 Colgate as she quickly passes through. This is an example of ________ decision making.

There is a snowstorm tonight, and the Toronto Maple Leafs game is going ahead as scheduled. Your roommate, Alexi, obtained a free ticket from a work associate and is staying home. You, however, paid $75 (non-refundable) and feel like you have to go. This is an example of:

A small company, Graig Inventions, produced a pill that had the nutrient value of a healthy breakfast. They put it on the market as a substitute for breakfast for busy people. The product failed. Graig Inventions then marketed the pill as a diet product and it became very successful. What does the example best demonstrate?

Kent is a loyal Coca-Cola drinker. As a college student, he averages about four Cokes a day. He even prefers Coke to water. However, today when he passes a vending machine in his dorm, he buys a new drink called Big Red. Which of the following most appropriately explains his behaviour, given the facts about Kent's previous behaviour?

________ is the process by which the consumer surveys his or her environment for appropriate data to make a reasonable decision.

Alison has been given a free ticket to a dance performance. On the night of the performance, there is the threat of a transportation strike. Would Alison be likely to attempt to go or not, and would her decision be different if she had paid a high price for her ticket? Explain.

Fiona enjoys hunting for information and generally keeping track of developments in the marketplace. What type of information search is she making?

Shelly makes an excellent salary as a production manager for a large company. John has lost his job and has been having a difficult time making ends meet. If Shelly and John were looking to buy the same product, we would expect John to expend more effort than Shelly in gathering information and looking at alternatives.

How might a product's country of origin affect purchaser choice?

________ describes a consistent pattern whereby consumers buy the same brand just about every time they go to the store, out of habit, merely because it takes less effort.

Coca-Cola would be an example of a(n) ________ product because it has come to characterize an entire category of soft drinks.

Jill's purchase of the Miracle Diet pills was most sensitive to which kind of perceived purchase risk?