(Test Bank) Consumer Behaviour Buying, Having, and Being, Canadian Edition

Solomon, 8

Business

Test Bank

8th Edition

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Test Bank for Consumer Behaviour Buying, Having, and Being, Canadian Edition, The downloadable file consists of 543 pages, and the total size of the file is 3.13 MB. Purchase now only for highly discounted price.

Author(s): Solomon

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Study Note Preview

1 Copyright © 2021 Pearson Canada Inc. Consumer Behaviour: Buying, Having, and Being, Cdn. 8e (Solomon) Chapter 1 An Introduction to Consumer Behaviour 1) In studying consumers like Gail, a college student, marketers often find it useful to learn their interests in music or clothing, how they spend their leisure time, and even their attitudes about social issues, to be able to categorize consumers according to their lifestyles. This sort of information is called: A) core values. B) psychographics. C) configurations. D) physiognomies. Answer: B Type: MC Page Ref: 2 Skill: Application Objective: L1-01 Consumer behaviour is a process. 2) Tina, a supervisor of displays for Sears Canada, knows that attractive displays can generate additional sales of particular items. From a marketer's perspective, this is: A) a purchase issue. B) a post purchase issue. C) merchandising complexity. D) a loss leader. Answer: A Type: MC Page Ref: 3 Skill: Application Objective: L1-01 Consumer behaviour is a process. 3) John is the vice president of marketing for a local tour guide company. He is concerned that his customers are not recommending his company to their friends. For John, this problem is a: A) purchase issue. B) demographic problem. C) prepurchase issue. D) post purchase issue. Answer: D Type: MC Page Ref: 3 Skill: Application Objective: L1-01 Consumer behaviour is a process. 2 Copyright © 2021 Pearson Canada Inc. 4) The expanded view of the exchange that includes the issues that influence the consumer before, during, and after a purchase is called: A) the value. B) the strategic focus. C) the pre-sell strategy. D) the consumption process. Answer: D Type: MC Page Ref: 3 Skill: Concept Objective: L1-01 Consumer behaviour is a process. 5) Gail decides to take a break from studying and goes online to check things out. She connects with one of the product discussion groups that she participates in. This is an example of a: A) lifestyle discussion. B) brand competition. C) consumption community. D) marketplace competition. Answer: C Type: MC Page Ref: 2 Skill: Application Objective: L1-01 Consumer behaviour is a process. 6) If a product succeeds in satisfying needs and is purchased over and over again, it most likely has attained: A) product separation. B) brand loyalty. C) lifestyle variation. D) purchase conception. Answer: B Type: MC Page Ref: 2 Skill: Concept Objective: L1-01 Consumer behaviour is a process. 7) Consumer behaviour as a discipline deals mainly with what happens at the point of purchase. Answer: FALSE Type: TF Page Ref: 3 Skill: Concept Objective: L1-01 Consumer behaviour is a process. 8) The expanded view of consumer behaviour recognizes that the consumption process includes issues that influence consumers before, during, and after a purchase is made. Answer: TRUE Type: TF Page Ref: 3 Skill: Concept Objective: L1-01 Consumer behaviour is a process. 3 Copyright © 2021 Pearson Canada Inc. 9) List the three stages of the consumption process, indicating for each stage some of the issues of concern to the consumer as well as to the marketer. Answer: Pre-purchase stage: Consumer concerns: How does the consumer decide if a product is needed? What are the best sources for information to learn more about alternative choices? Marketers' concerns: How are consumer attitudes formed or changed? What cues do consumers use to infer which products are superior to others? Purchase stage: Consumer concerns: Is acquiring a product a stressful or pleasant experience? What does the purchase say about the consumer? Marketers' concerns: How do situational factors, such as time pressure or store displays, affect the consumer's purchase decisions? Post-purchase stage: Consumer concerns: Does the product provide pleasure or perform its intended function? How is the product eventually disposed of, and what are the environmental consequences of this action? Marketers' concerns: What determines whether a consumer will be satisfied with a product and buy it again? Does this person tell others about his/her experience with the product and affect their purchase decisions? Type: ES Page Ref: 3 Skill: Concept Objective: L1-01 Consumer behaviour is a process. 10) In the early stages of development, what was the field of consumer behaviour known as? What important understanding of the exchange process does this change in name reflect? Answer: In its early stages of development, the field of consumer behaviour was often referred to as buyer behaviour, reflecting an emphasis on the interaction between consumers and producers at the time of purchase. Marketers now recognize that consumer behaviour is an ongoing process, not merely what happens at the moment a consumer hands over money or a credit card and in turn receives a good or service. A good answer would detail the issues in the consumption process from Figure 1-1: prepurchase, issues, purchase issues, and post purchase issues. Type: ES Page Ref: 3 Skill: Concept Objective: L1-01 Consumer behaviour is a process. 4 Copyright © 2021 Pearson Canada Inc. 11) What do we mean when we say that consumer behaviour is a process? Answer: Consumer behaviour is more than just the purchase itself. The field of consumer behaviour covers a lot of ground: It is the study of the processes involved when individuals or groups select, purchase, use, or dispose of products, services, ideas, or experiences to satisfy needs and desires. Type: ES Page Ref: 3 Skill: Concept Objective: L1-01 Consumer behaviour is a process. 12) In the early stages of development, consumer behaviour was known as buyer behaviour. What important aspect of the exchange process does this change in name reflect? Answer: The original name reflects an emphasis on the interaction between consumers and producers at the time of purchase. Marketers now recognize that consumer behaviour is an ongoing process, not merely what happens at the moment a consumer hands over money or a credit card and in turn receives a good or service. Type: ES Page Ref: 3 Skill: Concept Objective: L1-01 Consumer behaviour is a process. 13) Explain the view that marketing is more than just an exchange. Answer: The exchange, in which two or more organizations or people give and receive something of value, is an integral part of marketing. Although exchange is an important part of consumer behaviour, the expanded view emphasizes the entire consumption process, which includes the issues that influence the consumer before, during, and after a purchase. Type: ES Page Ref: 3 Skill: Concept Objective: L1-01 Consumer behaviour is a process. 14) The study of the processes involved when individuals or groups select, purchase, use, or dispose of products, services, ideas, or experiences to satisfy needs and desires is called: A) market segmentation. B) relationship marketing. C) market research. D) consumer behaviour. Answer: D Type: MC Page Ref: 4 Skill: Concept Objective: L1-02 Marketers have to understand the wants and needs of different consumer segments. 5 Copyright © 2021 Pearson Canada Inc. 15) A fast-food chain describes its core customer as a single male under 30 years of age with a working-class job, who reads little, likes loud music, and hangs out with friends. This is an example of: A) subculture. B) marketing segmentation. C) demographics. D) a typical male Canadian consumer of burgers. Answer: B Type: MC Page Ref: 4 Skill: Application Objective: L1-02 Marketers have to understand the wants and needs of different consumer segments. 16) In studying consumer behaviour, it is often useful to categorize people on the basis of some similarity. Descriptions such as age, gender, income, or occupation are called: A) demographics. B) psychographics. C) personal profiles. D) physiology. Answer: A Type: MC Page Ref: 5 Skill: Concept Objective: L1-02 Marketers have to understand the wants and needs of different consumer segments. 17) Which of the following is NOT an example of a demographic variable? A) age B) geography C) lifestyle D) ethnicity Answer: C Type: MC Page Ref: 5 Skill: Concept Objective: L1-02 Marketers have to understand the wants and needs of different consumer segments. 6 Copyright © 2021 Pearson Canada Inc. 18) Mary designed an unsuccessful advertising campaign for a medical insurance company that was targeted at 18- to 34-year-old males. The campaign only included one commercial, which featured a young man who had become crippled in a skydiving accident. While planning the campaign, Mary failed to recognize that: A) 18- to 34-year-old males are not interested in medical insurance. B) not all 18- to 34-year-old males share the same lifestyle. C) television commercials are not effective for advertising medical insurance. D) she should have also segmented based on ethnicity. Answer: B Type: MC Page Ref: 6 Skill: Application Objective: L1-02 Marketers have to understand the wants and needs of different consumer segments. 19) Marketers who interact with their customers on a regular basis, and not just at the time of purchase, are most likely engaged in: A) brand loyalty. B) psychographic segmentation. C) market segmentation. D) relationship marketing. Answer: D Type: MC Page Ref: 7 Skill: Application Objective: L1-02 Marketers have to understand the wants and needs of different consumer segments. 20) Recently marketers have come to realize the value of relationship marketing. In marketing terms, "relationship marketing" means: A) developing friendships with foreign governments so that American products can be sold in their countries at a fair price. B) instituting practices that show companies' awareness of their responsibilities to the environment and society. C) building bonds between brands and customers that will last over time. D) using new electronic capabilities to ensure that all channel members work smoothly together, for example, in seeing that products get to retailers before retailers' inventories run out. Answer: C Type: MC Page Ref: 7 Skill: Concept Objective: L1-02 Marketers have to understand the wants and needs of different consumer segments. 7 Copyright © 2021 Pearson Canada Inc. 21) Tony Roma's restaurant sends regular customers a coupon for a free meal on their birthdays. This is an example of: A) a company seeking to attract lost clients back to base. B) a social networking process. C) a loss-leading promotion campaign. D) relationship marketing. Answer: D Type: MC Page Ref: 7 Skill: Application Objective: L1-02 Marketers have to understand the wants and needs of different consumer segments. 22) The collection and analysis of extremely large data sets: A) result in delays in the development of marketing strategies. B) do not aid with relationship marketing. C) are called big data. D) have declined in recent years. Answer: C Type: MC Page Ref: 8 Skill: Concept Objective: L1-02 Marketers have to understand the wants and needs of different consumer segments. 23) In which relationship type do users see the product as a part of their daily routine? A) self-concept attachment B) interdependence C) nostalgic attachment D) love Answer: B Type: MC Page Ref: 8 Skill: Concept Objective: L1-02 Marketers have to understand the wants and needs of different consumer segments. 24) When Gail investigates sex, age, and income characteristics of her friends, she is studying psychographics. Answer: FALSE Type: TF Page Ref: 5 Skill: Application Objective: L1-02 Marketers have to understand the wants and needs of different consumer segments. 8 Copyright © 2021 Pearson Canada Inc. 25) The key issue about market segmentation is that consumers within a segment have to be psychographically the same. Answer: FALSE Type: TF Page Ref: 4 Skill: Application Objective: L1-02 Marketers have to understand the wants and needs of different consumer segments. 26) Rather than try to reach everybody, a marketer today usually targets his product to specific consumers, even if he makes other people deliberately avoid it as a result. Answer: TRUE Type: TF Page Ref: 4 Skill: Concept Objective: L1-02 Marketers have to understand the wants and needs of different consumer segments. 27) Age, gender, ethnicity, income, geography, and purchase frequency are all potential segmentation variables. Answer: TRUE Type: TF Page Ref: 5-6 Skill: Application Objective: L1-02 Marketers have to understand the wants and needs of different consumer segments. 28) The Jones and Smiths were born in the 1960s, so they tend to share a common set of cultural experiences that they carry throughout life. Answer: TRUE Type: TF Page Ref: 5 Skill: Application Objective: L1-02 Marketers have to understand the wants and needs of different consumer segments. 29) Differentiating products by gender does not begin until the teenage years. Answer: FALSE Type: TF Page Ref: 5 Skill: Application Objective: L1-02 Marketers have to understand the wants and needs of different consumer segments. 30) Social class is not considered a demographic variable because it is not a directly observable aspect of the population. Answer: TRUE Type: TF Page Ref: 5 Skill: Concept Objective: L1-02 Marketers have to understand the wants and needs of different consumer segments. 9 Copyright © 2021 Pearson Canada Inc. 31) Gail is studying the interests and values of a group of ten consumers for some consumer researcher. What category of information is Gail studying and what other aspects of the consumers may also be included in her study? Answer: Gail is studying psychographics. The study of psychographics includes aspects of a person's lifestyle, interests, attitudes, values, and personality. Type: ES Page Ref: 5 Skill: Concept Objective: L1-02 Marketers have to understand the wants and needs of different consumer segments. 32) Why would a marketer use age as a segmentation variable? Answer: Consumers of different age groups obviously have very different needs and wants. Although people who belong to the same age group differ in many other ways, they tend to share a set of values and common cultural experiences that they carry throughout life. In some cases, marketers initially develop a product to attract one age group and then try to broaden its appeal later on. Type: ES Page Ref: 5 Skill: Concept Objective: L1-02 Marketers have to understand the wants and needs of different consumer segments. 33) Alan owns an independent coffee shop in a trendy urban neighbourhood. He asks you to explain "relationship marketing" and how he might implement this in his business. Answer: Marketers have realized that a key to success is building relationships that will last a lifetime between brands and customers. Relationship marketing involves making an effort to interact with customers on a regular basis, giving them reasons to maintain a bond with the company over time. Students can provide their own examples/ suggestions regarding how to implement this. Type: ES Page Ref: 7 Skill: Application Objective: L1-02 Marketers have to understand the wants and needs of different consumer segments. 34) What is relationship marketing? How might relationship marketing be used by marketers to become "closer" to consumers? Answer: Marketers are carefully defining customer segments and listening to people in their markets more than ever before. Many marketers have realized that a key to success is building relationships that will last a lifetime between brands and customers. Relationship marketing involves making an effort to interact with customers on a regular basis, giving them reasons to maintain a bond with the company over time. Type: ES Page Ref: 7 Skill: Concept Objective: L1-02 Marketers have to understand the wants and needs of different consumer segments. 10 Copyright © 2021 Pearson Canada Inc. 35) Define demographics. Next, using information that you have learned from the text about the demographics of consumers, identify three marketing opportunities that match demographic trends. Justify your opportunities with specifics from your demographic appraisal. Answer: Demographics are objectively measurable descriptive characteristics of a population. Students can identify any number of marketing opportunities, drawing upon the sections in the text such as age, gender, family structure, social class and income, ethnicity, and geography. Type: ES Page Ref: 5 Skill: Application Objective: L1-02 Marketers have to understand the wants and needs of different consumer segments. 36) One of the fundamental premises of the modern field of consumer behaviour is that people often buy products not for what they do, but for what they: A) cost. B) mean. C) look like. D) promise. Answer: B Type: MC Page Ref: 10 Skill: Concept Objective: L1-03 Our choices as consumers relate in powerful ways to the rest of our lives. 37) While marketers cannot create needs, they: A) may affect an environment in which specific needs may be activated. B) can always sell to somebody. C) are close to being able to create needs in the next five years. D) control the mass media—almost the same thing. Answer: A Type: MC Page Ref: 10 Skill: Concept Objective: L1-03 Our choices as consumers relate in powerful ways to the rest of our lives. 38) Popular culture is both a ________ of and an inspiration to ________. A) market; advertisers B) product; marketers C) product; consumers D) market; consumers Answer: B Type: MC Page Ref: 9 Skill: Concept Objective: L1-03 Our choices as consumers relate in powerful ways to the rest of our lives. 11 Copyright © 2021 Pearson Canada Inc. 39) The growth of the Web has created thousands of online consumption communities. What is the biggest danger of such communities? A) The members will receive bad information. B) The members will feel pressure to conform to certain types of purchase behaviour. C) The members will become frustrated in their communication efforts. D) The members of have no sense of mission. Answer: B Type: MC Page Ref: 12 Skill: Concept Objective: L1-03 Our choices as consumers relate in powerful ways to the rest of our lives. 40) Doritos has capitalized on ________ by using video created by the market in their memorable Superbowl ads. A) spokes characters B) social marketing C) green marketing D) consumer-generated content Answer: D Type: MC Page Ref: 10 Skill: Concept Objective: L1-03 Our choices as consumers relate in powerful ways to the rest of our lives. 41) Saucony Canada held a contest asking consumers to send in their own photos, which will be utilized in a future advertising campaign for the company. This is an example of: A) anticonsumption. B) consumer-generated content. C) social marketing. D) green marketing. Answer: B Type: MC Page Ref: 10 Skill: Application Objective: L1-03 Our choices as consumers relate in powerful ways to the rest of our lives. 42) Billy is an avid collector of shoes. He constantly voices his opinion on blogs and product review websites of what features new shoes should have. His behaviour is consistent with the concept of: A) file sharing. B) database marketing. C) interpretivism. D) consumer-generated content. Answer: D Type: MC Page Ref: 10 Skill: Application Objective: L1-03 Our choices as consumers relate in powerful ways to the rest of our lives. 12 Copyright © 2021 Pearson Canada Inc. 43) If you listed your collection of NHL rookie cards on eBay, you would be engaging in which type of commerce? A) transactional B) psychographic C) B2C D) C2C Answer: D Type: MC Page Ref: 11 Skill: Application Objective: L1-03 Our choices as consumers relate in powerful ways to the rest of our lives. 44) Today each of us can communicate information across huge numbers of people and are witnessing revolutions that profoundly change our lives. This newest revolution is called: A) B2B commerce. B) M2M C) horizontal flow. D) B2C commerce. Answer: B Type: MC Page Ref: 13 Skill: Concept Objective: L1-03 Our choices as consumers relate in powerful ways to the rest of our lives. 45) Virtual consumption has greatly facilitated ________ activity. A) C2C B) B2C C) U-commerce D) e-tailing Answer: A Type: MC Page Ref: 11 Skill: Concept Objective: L1-03 Our choices as consumers relate in powerful ways to the rest of our lives. 46) The multiplayer online game "League of Legends" is a good example of: A) consumer-generated content. B) the dark side of consumerism. C) a virtual brand community. D) anti-consumption. Answer: C Type: MC Page Ref: 11 Skill: Application Objective: L1-03 Our choices as consumers relate in powerful ways to the rest of our lives. 13 Copyright © 2021 Pearson Canada Inc. 47) Groups of people that unite on the Internet to share a passion for a product are known as: A) chat rooms. B) virtual brand communities. C) consumer networks. D) product organizations. Answer: B Type: MC Page Ref: 11 Skill: Concept Objective: L1-03 Our choices as consumers relate in powerful ways to the rest of our lives. 48) Underlying values that drive consumers toward certain products and services and away from others is also known as: A) U-commerce. B) consumer trends. C) the internet of things. D) culture of participation. Answer: B Type: MC Page Ref: 13 Skill: Concept Objective: L1-03 Our choices as consumers relate in powerful ways to the rest of our lives. 49) Sara and Jessica text back and forth while Sara is shopping and Jessica is riding the bus to work. This is an example of: A) a synchronous interaction. B) an asynchronous interaction. C) utilitarian consumption. D) a consumption community. Answer: A Type: MC Page Ref: 12 Skill: Concept Objective: L1-03 Our choices as consumers relate in powerful ways to the rest of our lives. 50) Online shopping does not create opportunities for small, specialized businesses. Answer: FALSE Type: TF Page Ref: 11 Skill: Concept Objective: L1-03 Our choices as consumers relate in powerful ways to the rest of our lives. 51) Consumer behaviour theorists have found that consumers only buy products and services for what the products /services do. Answer: FALSE Type: TF Page Ref: 10 Skill: Concept Objective: L1-03 Our choices as consumers relate in powerful ways to the rest of our lives. 14 Copyright © 2021 Pearson Canada Inc. 52) Consumer-generated opinion-based content found on social networking sites and other interactive mediums about products is an important part of marketing influence on culture. Answer: TRUE Type: TF Page Ref: 10 Skill: Concept Objective: L1-03 Our choices as consumers relate in powerful ways to the rest of our lives. 53) What is a virtual brand community? Give an example that demonstrates the concept. Answer: A virtual brand community is a collection of people whose online interactions are based on shared enthusiasm for and knowledge of a specific consumption activity. Picture a small group of local collectors who meet once a month at a local diner to discuss their shared interests over coffee. Now multiply that group by thousands, and include people from all over the world who are united by a shared passion for sports memorabilia, Pokémon, Harley-Davidson motorcycles, refrigerator magnets, or massive multiplayer online games (MMOGs) such as League of Legends. These are examples of virtual brand communities. Type: ES Page Ref: 11 Skill: Concept Objective: L1-03 Our choices as consumers relate in powerful ways to the rest of our lives. 54) What are social media? Give an example. Answer: Social media are the online means of communication, conveyance, collaboration, and cultivation among interconnected and interdependent networks of people, communities, and organizations enhanced by technological capabilities and mobility. Facebook and Twitter are examples of this. Type: ES Page Ref: 12 Skill: Concept Objective: L1-03 Our choices as consumers relate in powerful ways to the rest of our lives. 55) Describe what is meant by a "culture of participation." Answer: This is a belief in democracy; the ability to freely interact with other people, companies, and organizations; open access to venues that allows users to share content from simple comments to reviews, ratings, photos, stories, and more; and the power to build on the content of others from an individual's unique point of view. Of course, as with democracy in the real world, we have to take the bitter with the sweet. There are plenty of unsavory things going on in cyberspace, and the hours people spend on Facebook, in online gambling sites, or in virtual worlds like Second Life have led to divorce, bankruptcy, or jail in the real world. Type: ES Page Ref: 12 Skill: Concept Objective: L1-03 Our choices as consumers relate in powerful ways to the rest of our lives. 15 Copyright © 2021 Pearson Canada Inc. 56) An important consumer trend that will impact marketing strategies in the near future which is described as, "a continued blurring of boundary between producers and consumers" is known as: A) competition. B) segmentation. C) sharing economy. D) bribery. Answer: C Type: MC Page Ref: 13 Skill: Concept Objective: L1-04 Marketers must be aware of consumer trends. 57) Organizations who devote huge resources to monitoring do so with specific interest in mind. Explain why organizations find it so important to understand consumer trends. Answer: A brand that aligns with a dominant value stands a much better chance of success. Because companies often need substantial lead time to launch a new product or reposition an existing one, it's crucial to track not just where consumers are, but where they're going. Type: ES Page Ref: 13 Skill: Concept Objective: L1-04 Marketers must be aware of consumer trends. 58) Provide a definition for two of the marketing strategies that are positioned to impact the near future. Answer: Sharing economy: A continued blurring of the boundary between producers and consumers, as "everyday people" take on the roles of hoteliers, taxi drivers, and even advertising agencies. Authenticity & Personalization: An aversion to corporate "hype," as consumers place a premium on knowing the lineage of the companies they patronize. They also will demand more individualized experiences rather than buying mass-market products and services. Blurring of gender roles: The continuing movement away from "gender binarism" as sexual identity becomes more fluid and more people refuse to identify themselves as male or female. Diversity and multiculturalism: Racial and ethnic divisions will blur as people are exposed to other groups both in person (e.g. at the workplace) and online. Social shopping: The traditional lone decision maker will become harder to find, as ready access to product reviews and others' immediate feedback on potential purchases turns many buying situations into committee decisions. Healthy & ethical living: A continued focus on wellness, physical fitness and environmental sustainability. This priority is likely to divide along social class lines, as growing economic inequality makes it difficult for less affluent consumers to afford healthy and sustainable products. Simplification: A movement away from "hyperchoice" and toward "decluttering" of one's life and possessions. More priority on "experiences" rather than acquiring "things." Anonymity: Data hacking, cyberbullying and advertising tracking will fuel a desire for "the right to be forgotten." Consumers will flock to platforms like Snapchat that don't retain posts, or that allow users to create alternative identities. Type: ES Page Ref: 13-14 Skill: Concept Objective: L1-04 Marketers must be aware of consumer trends.