PFL Test

influencer

When a popular Instagram personality promotes a brand’s new product line, they are acting as an _______, potentially swaying their followers’ purchasing decisions.

comparison shopping

Before deciding on which smartphone to buy, Lisa used the strategy of ______ by looking at various models and their features across different stores.

dark patterns

Websites that make it difficult to cancel a membership or mislead you into making unintended purchases are using a design strategy known as a ______

phishing scam

If you receive an email that looks like it’s from your bank asking for your password but the email address seems suspicious, it’s likely a ______ designed to steal your personal information.

price matching

Many stores offer a policy where they will match a competitor’s lower price on the same item, a practice known as ______

subscription

Netflix charges a monthly ______ fee, which allows users unlimited access to its library of movies and TV shows.

data breach

A ______ is when hackers break into a company’s system and steal private information such as customers’ passwords or credit card numbers.

2FA

For added security, many online accounts give you the option to enable ______, which requires you to enter your password as well as a one-time verification code.

unit price

When comparing prices of packaged goods, savvy shoppers look at the ______, which shows the cost per unit of measure to get the best deal.

internet cookie

An ______ is a small file that a website can store on your device to remember your preferences and browsing history.

True

True or False: Authenticity is the most important trait teens use when deciding whether or not to follow an influencer on social media.

Impulse purchases and trend driven purchases

Two types of purchases social media might influence someone to buy.

So they can protect their money and privacy from manipulative online devices

Why is it important for consumers to be aware of dark patterns?

Commitment and Consistency Bias

Peter’s investment is losing money, but he’s having a hard time selling it because he has had it for 3 years and doesn’t want to let it go

Authority Bias

An ad for a new medical drug features a doctor who endorses the product

Social Proof

You see a commercial on TV saying, “Buy this soda - everyone is doing it!”

Reciprocity

Sarah’s bank offers her a free financial and asks her to open a new bank account in return

Liking

An ad on social media features a beloved celebrity who encourages people to use a product

Scarcity

A store sends you an email notification about a product you like saying “Limited stock! Only 8 left!”

Roach motel

Netflix’s cancel subscription button is behind 6 different other buttons

Bait and switch

Mobile game ad has a fake x so when users tap it, it takes them to the app store instead of closing it

Friend spam

Tiktok asks for access to your contact list then sends a link to all of your contacts so they can download TikTok

True

Comparison shopping is useful because it can help you find the best deal that works for you

False

You should comparison shop each time you buy something, no matter how big or small the purchase

True

Comparison shopping may save you money in the long run

True

Reading customer reviews for a product can help you comparison shop

False

The quality of a product does not matter when you are comparison shopping

True

The most common type of identity theft is credit card fraud

False

People under the age of 19 never have their identity stolen

False

There are fewer identity theft reports filed now than in previous decades

Pump and Dump

A fraudster boosts the price of a stock based on false or misleading information and then sell the stock

IRS Scam

You receive a text message saying you still have an outstanding balance on your tax bill to pay in the next 24 hours

Pyramid Scheme

A company is structured so that lower-level employees are recruited and have to make payments, which go to higher level employees

Phishing Scam

Someone sends you an email with an urgent request for your personal information

Due to emotional manipulation, lack of awareness, and social influence

Why do people fall for scams?

Transaction Fee

A fee for fulfulling an order

Default Upgrades

Upgrades are automatically selected; unless you actively deselect these upgrades, you’re charged for them

Undisclosed/Hidden Fee

A fee that you weren’t told about or discover on your own

Drip Pricing

The fee slowly inreases as you go through the checkout process

A surcharge

You get an item for “free” but have to pay an inflated fee for shipping, etc.

Excessive Costing

An additional fee that is typically higher than what you would pay for the item

Ethical consumerism

Buying products and services that are made and sold in ways that don’t harm the environment. Might cost more than alternatives