Test Bank for Consumer Behaviour 5e Zubin Sethna
Test bank and students’ study guide Students’ study guide Consumer Behaviour is intended to give students a comprehensive overview of current academic thinking on the way people behave when buying, consuming and disposing of goods and services. It also aims to show students the practical side of consumer behaviour – what people actually do when meeting their daily needs, what works and what does not and how theories can be applied by marketers to encourage people to buy products. Each chapter of the book contains a detailed case study, and which has self-test questions. Each chapter also has numerous real-life examples: all the cases and examples are genuine companies, so students can find their websites and update the cases yourself if they want to. (Each chapter also has a further case study – online – for purely illustrative purposes.) In this study guide, we will be giving students some places to look at on the Web and some multiple-choice questions to test their knowledge of consumer behaviour.
Chapter 1: Understanding consumer behaviour This chapter introduces the study of consumer behaviour, in particular emphasizing the importance of consumers in marketing thinking. The chapter aims to outline the broad range of aspects of human beings which impinge on their purchasing and consumption behaviour, and therefore acts as a scene-setter for the rest of the book.
1. Which of the following is true? a. Consuming refers to decisions about buying products. b. Consumer behaviour is about making people buy things. c. Consuming refers to the ways in which people use products. Ans: C Consuming is not about the decisions; it is about usage, and consumer behaviour happens with or without persuasion.
2. Which of the following is NOT true? a. Purchasing behaviour relates strongly to environmental situation. b. Purchasing behaviour occurs independently of segmentation issues. c. Purchasing behaviour is basic to meeting our needs. Ans: B Segmentation and purchasing behaviour are inextricably linked.
3. Which of the following is typical of transaction marketing? a. Focus on customer retention. b. Short time-scale. c. Orientation on product benefits. Ans: B The others are typical of relationship marketing.
4. Which of the following is true? a. Businesses change their needs more often than do consumers. b. Businesses are less likely to establish relationships with suppliers than are consumers. c. Businesses see more advantage in establishing relationships than do consumers. Ans: C The others are, in fact, exactly the opposite of the case.
5. Which of the following is true? a. Direct marketing and relationship marketing are directly opposed to each other. b. Direct marketing and relationship marketing are often associated together. c. Direct marketing is very helpful in establishing relationships. Ans: B They are often associated, but unfortunately the techniques of direct marketing (mailings and telephone calls) often alienate consumers.
6. Which of the following is NOT a market research tool? a. Focus groups.
b. Questionnaires. c. Introspective reflection. Ans: C Thinking about consumers is no substitute for going out and talking to people.
7. The study of demand is called: a. anthropology b. economics c. sociology Ans: B It is the study of economy, which means choosing between one thing and another.
8. The study of human behaviour in groups is called: a. anthropology b. sociology c. psychology Ans: B It is the study of societies.
9. Which of the following is NOT true? a. Family is a sociological sub-group. b. Family has little influence on consumer behaviour, once outside the home. c. Family is an extremely important group in terms of consumer behaviour. Ans: B Family has a strong influence on behaviour, in and out of the home.
10. Which of the following is true? a. The concept of elasticity indicates a clear difference between luxuries and necessities. b. The concept of elasticity means that marketers do not need to worry about pricing. c. The concept of elasticity means that demand can be predicted for many products. Ans: C
Elasticity shows that there is no objective difference between necessities and luxuries, and marketers certainly do need to consider price, whatever the elasticity of demand for the product.
Web exercise Enter the following URL into your search engine: https://consumergateway.org/2023/03/ Why is Katona’s assertion that ‘consumers look forward to improving their quality of life whenever they can’ so important for us to understand?
Chapter 2: Decisions, behaviours and interactions Each day, millions of consumers make numerous decisions. These range from sizeable purchases such as buying a house to relatively inconsequential decisions such as when buying shoe polish to complex decisions about which coffee to order in Starbucks! And as the number of choices has increased exponentially, so has the number of decisions consumers have to make. This chapter is concerned with the ways consumers approach making purchase decisions and what their goals and motivations are.
1. What does CDP stand for? a. Consumer Decision Process. b. Consumers’ Daily Purchases. c. Consumer Decision Platform. Ans: A The others are invented and thus false in this context.
2. The consumption, spoilage or wear and tear on the stock of goods within the individual’s assortment is a definition of: a. assortment extension b. assortment depletion c. income change Ans: B The assortment of the individual’s possessions has decreased, or been depleted.
3. Taking up a new hobby such as learning to windsurf is a result of: a. the psychology of simplification b. the psychology of complication c. a shift in the actual state Ans: B The person is deliberately complicating his or her life, and making it more interesting.
4. Which of the following is true? a. Information search comes before decision, but after need identification. b. Need identification comes after information search, but before decision. c. Need identification comes after decision, but before purchase. Ans: A The order is need identification, information search, decision, purchase, post-purchase activities.
5. High-involvement products are those that: a. have a lengthy and complex user manual b. have their attributes linked to functionality c. figure strongly in the individual’s lifestyle Ans: C The consumer knows a lot about these products and also has strong opinions about them. 6. ‘Decision Rules’ for purchasing are also called: a. risk reducers b. heuristics c. purchase regulations Ans: B The others are invented.
7. Inertia in decision-making means: a. resisting decisions which will lead to change b. making decisions out of habit rather than from any conscious loyalty