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In Chapter 5, we learn about the factors and variables that influence the behavior of consumers. The purchase is only the visible part of a more complex decision process. The consumer buying decision process we still use in Marketing classes today was developed in 1968 by Engel, Blackwell and Kollat: (1) Problem/need recognition, (2) information search, (3) evaluation of alternatives to meet this need, (4) purchase decision and (5) post-purchase behavior. There's a lot of psychology in our field of marketing, but you knew that already, didn't you? :)

I like to explore the "problem/need recognition"-the first step-and its fascinating implications. For example, strange as it may seem, customers don't always know they have a problem or a need: they have yet to be aware they have a problem or need or are unwilling to acknowledge it. Customers are not always aware when regulations change, technologies have changed or that harsh weather or natural disasters may have caused hidden damage to structures. Often we are not aware of medical problems we have until we undergo a diagnostic test or a regular physical checkup. These are unusual circumstances, and bring up complex (and sometimes troubling) solutions to our life problems. Let's look at some not-so-unusual examples, though. Even in normal, everyday situations, we may be aware of a need, and there is still, believe it or not, a lot going on behind the scenes that influences our actual purchase behavior!

Here's an example of how the Consumer Buying Decision Process might happen (or not):

The need recognition is the first and most important step. If there is no need, there is no purchase. This recognition happens when there is a lag between the consumer's actual situation and the ideal and desired one. However, not all needs end up as a buying behavior. The gap between ideal and desired state may be large, but the "way" (product price, ease of acquisition, etc.) to obtain this ideal situation has to be perceived as "acceptable" by the consumer based on the level of importance s/he attributes to the need.

For example, you have a pool and you would like someone to take care of regularly cleaning it instead of you (ideal situation) because it annoys you to do it yourself (actual situation). But you don't judge the "way" to reach this ideal situation (pay $250 / month for a specialized company) as "acceptable" because its price to obtain it seems too high. Especially compared to the relatively low level of importance you attach to it. So you won't have a purchase behavior in this situation.

For the purposes of this exercise, write a short essay about your own or an associate's experiences describing Step One of the Consumer Buying Decision Process. This is a TWO-part answer:

  • Part One:

Describe an actual situation where you or an associate (1) faced the recognition of a problem, (2) identified the actual situation and the ideal or desired one, and then (3) determined the outcome (made the purchase, or did not).

  • Part Two:

Identify the Psychological, Sociocultural, or Situational Influences that impacted the decision. Be sure to cite terms or concepts from your reading in Chapter 5 to explain your answer about what you believe was "going on behind the scenes" (pages 118 - 133). You should also note the level of consumer involvement that was present in the problem-solving (page 116).

Management Theories, Management Studies

  • Category:- Management Theories
  • Reference No.:- M91860286

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