Consumer Behaviour Argumentative Essay Example

spending habits remain the same, political conditions, remaining normal and economy is free and perfect. Economic Theories: The economic theories on consumer behavior focused on how consumers allocate their income and how this determines the demands of various goods and services.

The traditional theory of demand starts with the examination of the behavior of the consumer, since the market demand is assumed to be the summation of the demand of individual consumers. In the traditional theory it is assumed that the consumer has full knowledge about all available commodities their prices and income. In order to attain the objective the consumer must be able to compare the utility (satisfaction) AT various Dataset AT goods, wanly nee can Duty WI TN Nils Income.

I nee DSSSL economic theories include marginal utility theory, psychological law of consumption, absolute, relative and permanent income hypothesis etc. Psychological theories: The essence of psychological theories (learning theories) lies in the fact that people learn from experience and the results of experience will modify their actions on future occasions. The importance of brand loyalty and repeat purchase makes learning theory more relevant in the field of marketing. Among the learning theories come stimulus response theories and cognitive theories.

Psycho-analytic theories: This theory developed from the thoughts of Sigmund Freud. He postulates that personality has three basic dimensions, the id, the ego and the super ego. It follows that consumer behavior is a function of the interaction of these three systems. Here the id urges an enjoyable act, the super ego presents the moral issues involved and the ego acts as the arbitration in determining whether to proceed or not. This has led

to motivational research and has proved useful in analyzing buyer's behavior.

This in turn has contributed some useful insights in the advertising and packaging field. Socio cultural theories: The credit of formulation of this theory goes to Thorniest viable (1899) and is known s valerian modeled. He asserted that a man is primarily a social animal and his wants and behavior are largely influenced by the group of which he is a member. He argued that people have a tendency to fit in a society in spite of their personal likes and dislikes. Culture, sub culture, social classes, reference groups, family are the different factor groups that influence buyer behavior.

All the above theories give guidelines to the marketing managers how a consumer behave in a particular situation and what are the factors which influence their decision making process. CONSUMER DECISION BEHAVIORAL MODELS Consumer behavioral models describe the decision-making or choice process of consumers. Comprehensive models of consumers' behavior include Nicosia model, Howard Seth model, Sheet family decision making, Bateman information processing model and the Seethes- Gross model.

I nee Unlocks model This model focuses on the relationship between the firm and its potential consumers. The firm communicates with consumers through its marketing messages for example advertising. And the consumers react to these messages by purchasing response. If you look at the model you will see that the firm tries to influence the consumer and he consumer influences the firm by his decision The Howard and Seth model: The model distinguishes among three levels of learning biz. , Extensive Problem Solving, Limiting Problem Solving and Requisitioned Response Solving.

Extensive problem solving (PEPS) takes place when

the consumer's knowledge and beliefs about brands are very limited and the consumer actively seeks information concerning a number of alternative brands. When the consumers knowledge and beliefs about the brands are only partially established and he is not fully able to assess the brand differences limited problem solving (ALPS) take place. Requisitioned espouse behavior (IRS) occurs when the consumers knowledge and beliefs about the brand and its alternative are well established and the consumer is predisposed to the purchase at one particular band.

Howard - Sheet model Characteristics of the three stages of decision making: Stage Amount of information need prior to purchase speak cone PEPS Great Slow ALPS Moderate IRS Little Fast The Engel-Blackwell-Marinara model This model states that all actions of consumers result of internal and external variables. The external variables are social influences (e. G. Culture, reference groups and family) and situational influences. Internal variables are individual characteristics (e. G. Motives, values, lifestyle and personality).

This model consists also of four stages: 1 . Decision-process stages. This focuses on five basic decision-process stages: Problem recognition, search for alternatives, alternate evaluation purchase, and outcomes. 2. Information input. The consumer gets information from marketing and non-marketing sources. 3. Information processing. It consists of the consumer's exposure, attention, perception and acceptance. 4. Variables influencing the decision process. It consists of individual and environmental influences that affect all five takes of the decision process.

Sheet-family decision making model sent Tamely celadon-making model suggests Tanat Jolt celadon making teens to prevail in families that are middle class - newly married and those who are close knit with few prescribed family roles. In terms of product specific

factors, it suggests that joint decision making is more prevalent in situations of highly perceived risk or uncertainty, when the purchase decision is considered to be important and when there is ample time for decision making. Batman's information processing model of consumer choice: This model brings the concept of consumer process information.