Lecture 7 Flashcards
(25 cards)
What are the three major types of consumer decision-making?
Cognitive, Habitual, and Affective.
What is cognitive decision-making?
A deliberate, rational, and sequential process to select among choices.
What is habitual decision-making?
Automatic, behavioral, and unconscious purchasing based on routine or inertia.
What is affective decision-making?
Emotionally driven and spontaneous purchasing behavior.
What is ‘Hyperchoice’?
A situation with too many options, leading to decision paralysis and regret.
What triggers problem recognition in consumer behavior?
A discrepancy between the actual state and the ideal state.
What is ongoing search vs. prepurchase search?
Ongoing is for general interest; prepurchase is to solve a specific problem.
Define internal and external search.
Internal is retrieving knowledge from memory; external is seeking new information.
What factors influence information search effort?
Experience, involvement, perceived risk, search value, time, personal factors, and situation.
How does product knowledge affect search behavior?
Novices use general cues, experts focus on functional attributes, and moderates search the most.
What are the three product categorization levels?
Superordinate (abstract), Basic (broad but common), Subordinate (specific).
What is an evoked set?
Brands a consumer is aware of and considers for purchase.
Define evaluative criteria.
Attributes used to assess the merits of options.
What are determinant attributes?
Criteria that significantly influence decision due to their importance or variability.
What is a compensatory decision rule?
One in which positive attributes can offset negatives.
Give examples of noncompensatory decision rules.
Conjunctive, Lexicographic, Elimination-by-Aspects (EBA).
What is the lexicographic rule?
Choosing the best performer on the most important attribute.
What is satisficing?
Settling for a solution that is “good enough” rather than the optimal one.
What are common heuristics used in habitual decisions?
Covariation, country of origin, brand familiarity, and price.
Define the sunk-cost fallacy.
Reluctance to abandon something after investment, even if it’s irrational.
What is priming in consumer behavior?
Environmental cues that unconsciously influence decision-making.
What is the ROPO effect?
Research Online, Purchase Offline – combining digital and physical shopping.
What are the ‘Moments of Truth’ in customer experience?
Critical touchpoints: Zero, First, and Second Moments of Truth.
What is the Zero Moment of Truth (ZMOT)?
The online research a consumer does before making a decision.
