LECTURE NOTES

INTEGRATED BUSINESS

CONSUMER BEHAVIOR
Week 12

CONSUMER BEHAVIOR

Readings (Course Materials): Buyer Behavior, Level 1, Vol.1, p. 349 to 421. Online Buyer Behavior, Level 1, Vol.2, p. 245 to 291.

CONSUMER BEHAVIOR Teamwork (Buyers role play)

Group Group Group Group Group Group Group Group
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1. 2. 3. 4. 5. 6. 7. 8.

Clothing Cell phone Soft drink Motorbike Laptop/Notebook Food Tour Fruit

Purchase steps? Criteria to consider? Most important influences?

CONSUMER BEHAVIOR
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Market: An aggregate of individuals and/or organizations that have needs for products in a product class and have the

ability, willingness, and authority to purchase such products.

CONSUMER BEHAVIOR
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Consumer Market: Purchasers and household members who intends to

consume or benefit from the purchased products and who do not buy products
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for the main purpose of making profits. Consumer Buying Behavior: The decision processes and acts of ultimate consumers/end users involved in buying

and using products.

CONSUMER BEHAVIOR
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Consumer Products: + Convenience products + Shopping products + Specialty products + Unsought products

CONSUMER BEHAVIOR Decision-making process (p. 350) Buying situation (p. 356) Influencing factors (p. 358)

DECISION-MAKING PROCESS : 5 STAGES

1.
2. 3. 4. 5.

Problem recognition Information search Evaluation of alternatives Purchase Post-purchase evaluation

BUYING SITUATION: 3 TYPES OF

CONSUMER PROBLEM SOLVING

Routinized response behavior Limited problemsolving Extended problem solving

Impulse buying: An unplanned buying behavior involving a powerful urge to buy something immediately.

INFLUENCING FACTORS (1) : PERSONAL FACTORS

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Demographic factors (age, sex, race,

ethnicity, income, family life cycle, and occupation) Lifestyles (an individuals pattern of living expressed through activities, interests, and opinions) Situational factors (influences resulting from circumstances, time, and location that affect the consumer buying decision process)

INFLUENCING FACTORS (2) : PSYCHOLOGICAL FACTORS

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Perception (the process of selecting,

organizing, and interpreting informations). Motivation (an internal energizing force directing a persons behavior toward satisfying needs or achieving goals).

INFLUENCING FACTORS (2) : PSYCHOLOGICAL FACTORS

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Learning (changes in an individuals

behavior caused by information and experience). Attitudes (an individuals enduring evaluation, feelings, and behavioral tendencies toward an object or idea).

Personality and self-concept

INFLUENCING FACTORS (3) : SOCIAL FACTORS

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Roles and Family Influences Reference Groups and Opinion Leaders Social Classes Culture (values, knowledge, beliefs,
and Subcultures

customs, objects, and concepts of a society)

ORGANIZATIONAL BEHAVIOR - Organizational (Industrial) Market: Individuals or groups that purchase a specific kind of product for resale, direct

use in producing other products, or use in general daily operations.

ORGANIZATIONAL BEHAVIOR - Organizational (Industrial) Market: + Producer Markets + Reseller Markets + Government Markets + Institutional Markets

ORGANIZATIONAL BEHAVIOR - Organizational (Industrial) Products: + Raw materials + Major equipment + Component parts + Accessory equipment + Consumable supplies

ORGANIZATIONAL BUYING DECISION PROCESS

1.
2. 3. 4. 5.

6.

Recognize problem Develop product specifications Search for products and suppliers Evaluate proposals Select and order Evaluate product and supplier performance