Week 1 Lecture Slides

Introduction to Consumer and Organisational Behaviour

Course Overview

This course is offered at AUT and focuses on understanding the behaviors of individuals within organizations and consumers in the marketplace.

Teaching and Administration

Course Coordinators:

• Dr. Marcus Ho (Weeks 1-6, Organisational Behaviour)Email: marcus.ho@aut.ac.nz

• Cordelia Stewart (Weeks 7-12, Consumer Behaviour)Email: cordelia.stewart@aut.ac.nz

Workshop leaders act as primary contacts for students. For general inquiries, email: cob@aut.ac.nz.

Recipe for Success

• Attend All Lectures: Lectures cover key concepts and theories vital for comprehension.

• Participate in All Workshops: Apply concepts to real-world scenarios relevant to assessments.

• Read All Materials: Taking notes is important for understanding the content.

• Complete All Assessments: There are four assessments in total:

  • 2 case-based assessments

  • 2 online quizzesCompletion of every assessment is strongly emphasized.

Assessment Structure

• Applied OB Case (Due Week 7):Focuses on individual attributes, group processes, social influence, stress, and motivation/job design.Worth 40% of total grade.

• Quiz 1:Covers OB questions from Weeks 1-6, worth 10%.

• Quiz 2:Focuses on CB questions from Weeks 7-11, worth 10%.

• Applied CB Case (Due Week 13):Covers perception, learning and memory, attitudes, decision making, and social influence.Worth 40% of total grade.

Important Information

Always check announcements through CANVAS, and ensure they reach personal emails. Attend prepared for weekly workshops by reading assigned resources. Workshop leaders are the go-to for any content-related queries.

Understanding Consumer and Organisational Behaviour

Special Characteristics of OB and CB (Applied Psychology):

• Multidisciplinary foundation involving psychology, sociology, anthropology, political science, management, and economics.

• An applied focus aims to improve workforce productivity and consumer satisfaction.

• Emphasizes that there is no singular approach due to varying circumstances.

• Highlights the need for scientific inquiry and evidence-based practices in both domains.

Objectives in Behaviour Studies

• Describe Behaviour: Identify specific actions of individuals (e.g., punctuality, purchasing habits).

• Understand Behaviour: Analyze underlying reasons for behaviors (e.g., personality traits or social norms).

• Predict Behaviour: Anticipate future actions of individuals (e.g., changes in behavior).

• Control/Change Behaviour: Develop strategies to influence behaviors (e.g., promoting recycling).

Definitions

• Organisational Behaviour (OB):The study of individual and group behavior within organizations.

• Consumer Behaviour (CB):Examines the emotions, attitudes, and preferences that influence purchasing decisions, including product choice, usage, and disposal.

Performance Equation in OB

Job Performance Formula:Job Performance = Attributes * Work Effort * Organizational Support

Course Goals

• Investigate individual, group, and organizational behavior.

• Reflect on personal consumption experiences and organizational participation.

• Emphasize the importance of credible sources in research.

Psychological Errors

Psychological predispositions can lead to cognitive inaccuracies that distort judgment and perception.

Examples of Errors:

• Perceptual distortions

• Misguided judgments

• Illogical interpretations.

Cognitive Shortcuts and Decision Making

Time pressures often cause reliance on heuristics over logical reasoning. Initial opinions often lack logical support and resist change.Example: Evidence contradicting conspiracy theories may further entrench existing beliefs.

Superstitious Thinking

Definition:Belief in non-causal connections between actions and outcomes (e.g., reliance on lucky charms or superstitions). Superstitions highlight reasoning errors and can significantly affect both consumer and organizational behaviors.

Attitude Formation and Confirmation Bias

Initial attitudes on issues may be shaped by mental shortcuts instead of facts.

Examples:

• Climate change denial

• Anti-GMO beliefs.Selective Perception: Filters information to confirm pre-existing beliefs.

Backfire Effect

Presenting counter-evidence to strongly held beliefs may strengthen those beliefs further, resulting in individuals disregarding facts that contradict their opinions.

Implications of Attitude Formation

Selecting and interpreting information based on established beliefs can lead to resistance to change in both organizations and consumers. Strong biases can manifest through organizational communication and decision-making scenarios.

Research Findings:

Individuals with entrenched beliefs may create justifications to uphold those beliefs, even when faced with conflicting evidence.

Conclusion

Despite existing knowledge about beliefs and attitudes, educating individuals on critical thinking is crucial to reduce the influence of misinformation.

Information Sources

Credible information sources include academic libraries, peers, and instructors. Distinguishing reliable academic sources from less credible sources (e.g., social media) is essential.

Additional Resources

Suggested podcasts and articles on cognitive biases and misinformation behavior must be reviewed for further understanding.