Main Aspects Of Consumer Behavior - Essay Example

1 The consumer is faced with different pieces of information that may impact her decision making in this situation. Briefly describe what these different pieces of information are (less than 1 page). The consumer has been using the product for quite some time which means she has access to information through internal search and now through external search has accessed new information about the product. Following are the different pieces of information that has in this situation that will impact her decision making: Brand: brand plays an important role in influencing consumer’s decision making. The consumer has been using this brand for quite some time and hence is familiar with it. A brand with which a consumer associates positive attitudes is bound to be recalled and positively influence the decision making (Hoyer & MacInnis, 2008). Attributes: The fact that the customer likes the product and is satisfied with it means that the product has positive attributes. Recalled attribute information with respect to a product strongly influences the product choices and buying decision of the consumer (Hoyer & MacInnis, 2008). Environmental Impact: This falls under the social, ethical and moral values. It is known that consumer behaviour is more closely connected to social, moral and ethical behaviour of a consumer. As the consumer is concerned with the environment, the poor ratings of the product can negatively influence her decision making with respect to the product. Quality and Pricing: The consumer also has information about the quality and pricing of the product. In the current context, quality and pricing favours the product and is bound to positively impact the decision making (Hoyer & MacInnis, 2008). It is a combination of the various pieces of information available along with social and moral values of the consumer that affect decision making. 2 What theoretical approach(es) best explain(s) this situation and how the consumer might cope with it? Remember to cover the main aspects of the theory/theories you use and explain how exactly they apply in this case. (max 2 pages) The current situation involves pro-social consumerism and ethical consumerism. Pro-social consumption is based on the ideology that one’s action must benefit others or the society as a whole. In the current context, purchasing a product must not have negative effects on the society or the environment which is not the case. Being an environmentally concerned, consumer in this case will tend to incline towards pro-social consumption as she is aware now that the product that she is buying has negative effects on the environment. Ethical consumerism is the practise of buying products or boycotting products that are produced by unethical means. Various issues or effects of production of products that are treated as unethical are violations of human rights, animal rights, environmental guidelines, etc. Ethical consumer ratings are in place to empower consumers to make ethically informed decisions. In the current case, the consumer is empowered with this knowledge by Goodguide. The environmental rating of the product is very poor and hence purchasing this product would be to encouraging unethical behaviour and against the moral values of the consumer. Knowing that the product does not go with pro-social, ethical or moral values of the consumer, there are various factors that go into the consumers decision making process. It is also to be noted the consumer has been using this product for some time and has developed loyalty to the product and is satisfied with it. There are various factors that play a role in how the consumer copes with the situation. The real decisive factor with respect to consumer’s decision making process is whether she chooses compensatory or non-compensatory approach. Compensatory approach is one where the consumer is flexible with the attributes of a product. That is, compensatory rules allow a consumer to choose a product which compensates for poor performance of one attribute with good performance of another. If a product is not up to the desired level with one of the attributes or requirements of the consumer but makes for it with another attribute, then consumer chooses to purchase the product. On the other hand non-compensatory approach is one where there are strict guidelines with respect to attributes of a product and there are no exceptions. Products need to meet all the prior set specifications and requirements of the consumers. Even if the product fails to meet one of the requirements of the consumer then the product is not considered for purchase. In the current context, as the consumer is concerned with the environment would adopt non-compensatory approach to decision making and choose to boycott the product and purchase one that is more environmental friendly. The consumer would cope with the situation by choosing values over satisfaction. This decision is justified as consumer behaviour is highly influenced by pro-social, ethical and moral values of a consumer. 3 Based on the theoretical reasoning you provided, what could be the implications for the retailer (store) in this case? (less than 1 page) There would be negative implications for the retailer (store). If the retailer continues to the put the same product on the shelf, it would attract negative reactions for the consumers for not being socially responsible and in turns its sales would be affected. The effects of one product can have an impact on the whole store. Assuming that there are many other retail stores, the switching costs for consumers wouldn’t be high and this means that the store will lose customers. Environmental concerns have gained a lot attention in the recent years and consumers are aware of environmental issues than they were in the past. Hence, it negligence would mean compromising on business. The retailer (store) must also be very careful in what they promise to its customer. If promises are not credible and/or exaggerated, then it can directly affect the sales. Retailers must use various other environmental attributes to ensure that switching would not be easy for the consumers. Most importantly if the retailer wants to attract consumers, then they have to indulge in ethical practices and pro-social practices. It is important to respect the moral values of the consumers as consumer behaviour is influenced by these. Works Cited Hoyer, W.D. & MacInnis, D.J. (2008). Consumer Behavior. OH: Cengage Learning. Read More