Exam 3 Deck 15 (Judgement & Decision Making)

nash equilibrium

theory stating that when competing with someone else, it makes sense to choose the course of action that benefits you the most no matter what everyone else decides to do

• to cooperate or to defect

problem recognition

1st stage of the decision-making process that occurs when there’s a gap between the consumer’s current state and desired state

determinant attributes

aspects of products or services which a consumer makes a decision on during the evaluation stage

• marketers can influence what you consider this to be

information search

step 2 of the decision-making process that goes from internal to external

• a person with moderate knowledge searches for the most info because they know enough

shaping

comparing numbers against other brands

• influences determinant attributes

evaluation of alternatives

the 3rd step of the decision-making process where consumers are searching for determinant attributes to find the best brand

nominal choice

type of choice where there’s no involvement

• minimal time spent

• low product cost

• internal information search

• one alternative considered

• brands must become the default choice

limited choice

type of choice where there’s low involvement

• minimal to moderate time spent on decision

• low to moderate product cost

• mostly internal information search

• few alternatives considered

• relative to consumers’ condition such as income

• brands must get into the evoked set of their category

extended choice

type of choice where there’s high involvement

• long time spent on decision

• high product cost

• internal and external information search

• many alternatives considered

• marketers must reduce the risk

purchase involvement

the level of concern and interest in the purchase process triggered by need to make a particular purchase

• a temporary state