bb final exam

perception

process by which an individual selects stimuli, organizes information about those stimuli and interprets the information

absolute threshold

the minimum amount of stimulation that can be detected on a given sensory channel. there must be enough to be sensed

differential threshold

the amount of change to be perceived, just noticeable difference

perceived risk

the nature and amount of risk perceived by a consumer in a particular purchase decision

what are two factors of perceived risk

consequence: importance of loss, uncertainty: probability of loss

what are the 3 types of perceived risk

performance, financial, social risk

what are intrinsic cues?

physical traits

perceived quality has….

intrinsic cues and extrinsic cues

learning

any change in the content/organization of long term memory or behavior

classical conditioning: association

the process of using an established relationship between a stimulus and response to bring about the learning of the same response to a different stimulus

operant conditioning: rewards

involves rewarding behavior with a positive outcome that serves to reinforce behavior

what types of reinforcement is there for operant conditoning?

positive, negative, shaping, punishment

fixed ratio reinforcement

for every x amount of reactions they get a reward

fixed interval reinforcement

after a fixed time, a reward is given

variable ratio reinforcement

after a random amount of actions, a reward is givenv

variable interval reinforcement

after a random amount of time, a reward is given

stimulus generalization

when someone sees 2 stimuli are similar, and they react the same. the rub off effect

store brands are

private

brand extension

adding more products under a brand

family branding

selling several related products under a single brand name

stimulus discrimination

process of learning to respond differently to similar but distinct simuli

positioning

emphasize distinctiveness in ads

individual branding

the marketing strategy of giving each product in a brand portfolio its own unique brand name

process of memory

encoding, storage, retrieval

short term memory (working memory)

portion of total memory that is currently activated or in use

long term memory

permanent, unlimited storage

schematic memory

the basic knowledge and feelings an individual has about a concept. it represents the person’s understanding of an object at its simplest level

episodic memory

includes personal feelings and imagery. the memory of a sequence of events in which a person participated

brand image

the schematic memory of a brand. the target market’s interpretation of the product’s attributes, benefits, usage and marketer traits

transformation of information from short term to long term memory

maintence rehersal - continuous repition of info to hold it in current memory; for use of problem solving to LTM

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chugging ? : organizing items to make it a single unit

factors that affect level of involvement

person factor and product characteristics

high involvement purchase

requires high level of cognitive effort

low involvement purchase

low level of motivation or cognitive effort

fishbein’s attitude theory

evaluations of salient beliefs

tri-component theory

affect, behavior, cognition can influence each other in any direction

multiattribute model

attitude reflects many attributes and its a compensatory model

ELM

high involvement = central. low involvement = peripheral.

cognitive dissonance theory

dissonance occurs when there is information in conflict with existing beliefs, attitudes, or behaviors

change the affective component

classical conditioning, emotional appeals in ads

change the behavioral component

any shift in alteration when making a purchase

one sided message

positive only about the brand

two sided message

positive and negative about brand only

value expressive

uses personality to build the image; what does the brand think?

utilitarian

practical use

emotional appeals

hedonic

social judgment theory

accepts new information as long its within the latitude of acceptance

issues in attitude

repetition and comparative

framing

positive and negative

positive framing

happiness and satisfaction

negative framing

negative feelings, fear, unhappiness

what framing is this? don’t smoke, quitting smoking reduces your chance of having a heart attack

positive

what framing is this? don’t smoke. smoking increases your chance of having a heart attack.

negative

goal framing

stresses about positive or negative performance in an act

attribute framing

a single attribute is the focus of the frame

what is the definition for intentions and behaviors?

factors that can weaken the relationship between measured behavioral intentions and the observed behaviors

likert scale

scale of positive and negative attributes. bias avoids extreme answers, stays in middle

semantic differential scale

opposite adjectives, bipolar

ideal point scale

when there is no clear positive or negative sign. sum of the absolute difference

what are the limitations in measuring attitude

expressed attitude does not mean genuine attitude

what are extrinsic cues?

how we perceive the item

what is extinction?

the diminishing of a conditioned response

what is extinction in operant conditioning?

occurs when a response is no longer reinforced

what is extinction in classical conditioning?

occurs when the unconditioned stimulus does not follow a conditioned stimulus

what are the types of factors that can weaken the relationship between measured behavioral intentions and the observed behaviors? (1)

intervening times, environmental situational context, stability of intentions, new information (1)

what is motive?

why an individual does something

what is manifest motives

motives that individuals freely admit

what is latent motives?

motives that individuals are reluctant to admit or reveal or not aware of

what is projective technique?

a technique which is designed to help uncover thoughts and feelings people are reluctant to expose via straightforward questioning techniques

what is motivational research?

sentence completion test that helps give insight about the product (inner products)

what is freud for motivational research?

unconscious need/drive, introduce the concept of unconscious mind, needs, and drive.

what is dichter for motivational research?

made psychoanalytic theory, image and persuasion to appeal to consumers. he applied freud’s psychoanalytic approach to consumer motivations

what is regulatory focus theory?

proposes that individuals have 2 main motivational orientations, prevention and promotion focus orientation

what are the two orientations of regulatory focus theory?

prevention focus orientation, promotion focus orientation

what is prevention focus orientation?

sensitive to losses and non-losses, needs for safety and protection, avoid negative outcomes

what is promotion focus orientation?

sensitive to gains and non-gains, needs for growth and development, pursue positive outcomes

what is reactance theory?

consumers react by increasing their desire for a product or service and are more motivated to choose the product or service when their freedom to choose is threatened or restricted

what are the limitations of maslow’s theory?

a product can satisfy more than one need, culture bound, overlapping needs, maslow’s assumption of linear progression

what is problem recognition?

the results of a discrepancy between a desired state (where i want to be) and an actual state (where i am now)

what is active problem?

one that consumers are aware of (or will become aware of) based on past experience and normal consumption

what is inactive problem?

one that consumers are not aware of

what is internal search?

search for relevant information from long term memory

why is internal accurate or sufficient?

there’s confirmation bias and limited processing capacity

what is confirmation bias?

the tendency of individuals to seek, interpret, and remember information in a way that confirms their existing beliefs

what is external search?

search for external information relevant to solving the problem

where do we search for information (external)?

retailer search, media search, interpersonal search, experiental search

what is ongoing search?

occurs in the absence of problem recognition to acquire information for later use and the process itself pleasurable

what is evaluative criteria?

factors of features that are used to base a decision

what are some example factors for evaluative criteria?

price, fuel efficiency, performance

what is search engine optimization?

a digital marketing strategy that involves optimizing a website to increase its visibility and ranking on search engine results pages

what is the goal of search engine optimization?

drive organic traffic to a website and improve its online presence

what does optimizing SEO require?

a combination of technical expertise and content creation

what is keyword search?

process of identifying terms and phrases that potential customers are using to search for products or services related to your brand

what is heuristics?

mental short cuts that individuals use to make a quick decision

what is noncompensatory decision rules?

a type of consumer decision rule by which positive evaluation of a brand attribute does not compensate for a negative evaluation of the same brand on another attribute

what is conjunctive?

establish minimum level of acceptability (satisfaction) for each of the evaluative criteria. used for expensive high involvement products. brands that exceed the minimum performance levels for all attributes is selected

what is lexicographic

rank the criteria in order of importance and compare alternatives from the most to the least important attribute until the tie breaks

what is disjunctive model

requires a minimum level of acceptability (satisfaction) for each attribute. brands that meet or exceed the minimum performance for at least one attribute is considered acceptable

what is attraction effect?

adding a 3rd alternative (decoy) to an existing core set of two alternatives (target and competitor) increases the attractiveness and choice probability of the asymmetrically dominating alternative (target)

what is compromise effect?

when attributes are equally important or people are not sure of the weights of attributes, the addition of an alternative C to existing set of brands (A & B) makes B a compromise option in terms of attributes values

what is prospect theory?

a behavioral economic theory which describes decisions between alternatives which involve risk