Group Influence and Consumer Behavior

These flashcards cover key concepts in group influence and consumer behavior, including reference groups, social power, cultural influences, and demographic trends.

What is a reference group?

A group with significant relevance that influences consumer attitudes, aspirations, and behavior.

How does social media influence consumers?

It expands influence across physical and online spaces.

What are the characteristics of ingroup and outgroup?

Ingroup is a group a person belongs to (strong influence, shared values); outgroup is a group a person does not identify with.

What defines primary groups?

Groups with close, frequent interaction and strong influence.

What distinguishes secondary groups?

Groups with less interaction resulting in weaker influence.

What are formal groups?

Groups that are structured with rules.

What are informal groups?

Groups that are unstructured.

What is an aspirational group?

A group that someone desires to be a member of.

What is a dissociative group?

A group that an individual seeks to avoid.

What is a brand community?

A group of consumers connected by a product or brand.

What is social power?

The ability to influence others.

Name the types of social power.

Referent, legitimate, expert, reward, and coercive power.

What does informational influence imply?

Learning from others.

What is utilitarian influence?

Conforming for rewards or to avoid punishment.

What is value-expressive influence?

Expressing identity through group values.

How does social media provide utilitarian value?

Through deals and information.

What type of value does social interaction on social media provide?

Hedonic value.

What type of products is reference group influence stronger for?

Public products compared to private products.

What impacts individual susceptibility to influence?

Desire to fit in and concern about others’ opinions.

What are the types of susceptibility regarding self-schema?

Independent (separate) and interdependent (connected).

What is social presence?

The awareness of being watched.

What does WOM stand for?

Word-of-Mouth.

What is the difference between organic and amplified WOM?

Organic WOM occurs naturally; amplified WOM is enhanced or spread deliberately.

What does eWOM represent?

Online word-of-mouth communication.

Why is negative WOM considered more impactful?

It tends to be more memorable and can spread faster.

Who are opinion leaders?

Experts in specific areas that influence others.

What is a market maven?

An individual with general marketplace knowledge who shares it.

What is a surrogate consumer?

A hired decision helper.

What does the diffusion process refer to?

How new products spread through a market.

What are the adopter categories according to the diffusion model?

Innovators, early adopters, early majority, late majority, and laggards.

What is the household life cycle significant for?

It reflects stages of household change that impact consumption patterns.

What roles can individuals play in household purchases?

Influencer, gatekeeper, decision maker, purchaser, user.

What are boomerang kids?

Children who return home after living independently.

What defines the sandwich generation?

Individuals who care for both their children and aging parents.

What is sex role orientation?

The perception of traditional versus modern gender roles.

What does 'kid power' refer to in consumer behavior?

Children's ability to influence purchases.

What is consumer culture?

Shared beliefs defining what is considered socially acceptable.

What function does culture serve in consumer behavior?

It provides meaning, facilitates communication, and guides behavior.

What are cultural norms?

Unwritten behavioral rules within a society.

What are sanctions in the context of culture?

Penalties for violating the established cultural norms.

What factors shape culture?

Ecology and traditions.

What are core societal values (CSV)?

Key values shaping a culture including individualism vs collectivism, and masculinity vs femininity.

What is enculturation?

The process of learning one's native culture.

What is acculturation?

The process of adapting to a new culture.

What are the quartet of institutions in culture?

Family, school, church, and media.

What is modeling in behavioral learning?

Imitating behavior seen in others.

What is shaping in learning behavior?

Learning that involves the use of rewards and punishments.

What is the significance of verbal communication?

It involves language and potential translation issues.

What does nonverbal communication include?

Body language, time, space, and symbols.

What is BRIC in terms of emerging cultures?

An acronym for Brazil, Russia, India, and China, representing emerging markets.

What does glocalization signify?

A global strategy that is adapted to local markets.

What is microculture?

A smaller group within a larger culture that shares specific values and behaviors.

What affects the hierarchical nature of culture?

Consumers belong to multiple microcultures, influencing how they perceive product value.

What major trends are observed in demographics?

Declining birth rates, increasing life expectancy, rising consumer affluence, and increasing cultural diversity.

What is habitus?

A mindset shaped by social class.

What does homogamy refer to in social context?

The practice of marrying within one's social class.