Retailing Management, 10e (Levy)
Chapter 4 Customer Buying Behavior
1) When consumers go shopping for pleasure, they are seeking to satisfy their hedonic needs.
2) Retailers need to provide adequate information and an effortless shopping experience for
hedonic shoppers.
3) The pattern of buying both premium and low-priced merchandise or patronizing both
status-oriented retailers and price-oriented retailers is referred to as multichannel retailing.
4) Customers have two sources of information: internal and external.
5) Customers engage in extended problem solving when they have a large amount of information
on the product they plan to buy.
6) Making an unplanned purchase is an example of limited problem solving.
7) Many purchase decisions involve products that the entire family will consume or use.
8) A reference group includes one or more people whom a person uses as a basis of comparison for
beliefs, feelings, and behaviors.
9) A retail market segment is a group of customers who are attracted to the same retail mix because
they have similar needs.
10) Of the various methods of segmenting, lifestyle is the one that delves the most into how
consumers describe themselves.
11) Which of the following is not a stage in the buying process?
A) Evaluation
B) Making a selection
C) Need recognition
D) Searching for information
E) Segmentation
12) After using her same car for 17 years, Tracey’s mechanic told her that it would cost more to fix
the transmission than what the car was worth. She decided it was time for a new car. In which stage
of the buying process is Tracey involved?
A) Product selection
B) Need recognition
C) Information search
D) Product examination
E) Product purchase
13) Retailers use stimulation to
A) satisfy customers’ utilitarian needs.
B) enable extended problem solving.
C) promote cross-shopping.
D) segment the market based on lifestyles.
E) satisfy customers’ hedonic needs.
14) When customers go shopping to accomplish a specific task, they are seeking to satisfy
A) emotional needs.
B) hedonic needs.
C) utilitarian needs.
D) cultural requirements.
E) impulse buying desires.
15) When consumers go shopping for pleasure, they are seeking to satisfy their
A) emotional needs.
B) hedonic needs.
C) utilitarian needs.
D) cultural requirements.
E) impulse buying desires.
16) Parents shopping for their children’s school uniforms and stationery are motivated by
________, which involve accomplishing a specific task.
A) emotional needs
B) hedonic needs
C) utilitarian needs
D) cultural requirements
E) impulse buying desires
17) A retailer that sells designer clothes and accessories has a pop-up ad on Facebook that features
their new collection. Which method for satisfying customers’ hedonic needs has been used?
A) Adventure
B) Stimulation
C) Status and power
D) Conversion rate
E) Consideration set
18) Catherine enjoys relaxing while getting a manicure and pedicure at the Mystique Resort and
Spa. She enjoys the attention and respect given to her by the staff. Hence, Catherine’s hedonic
needs are satisfied by a sense of ________ at the spa.
A) adventure
B) motivation
C) status and power
D) deliberation
E) stimulation
19) After many years of doing his laundry at a public laundromat, Brett was glad to move into an
apartment with washer and dryer hookups. He planned to buy a washer and dryer to save time and
money. Which of the following needs would the purchase satisfy?
A) Utilitarian needs
B) Motivational needs
C) Physiological needs
D) Psychological needs
E) Social needs
20) Which of the following types of needs is satisfied by shopping for designer label merchandise?
A) Physiological needs
B) Hedonic needs
C) Functional needs
D) Utilitarian needs
E) Cultural needs
21) While eating may satisfy a functional need, Lucia’s Italian Restaurant features gurgling
fountains, live music, Baroque paintings, and lush gardens to stroll while you wait. Which of the
following needs is also satisfied while eating at Lucia’s?
A) Physiological needs
B) Rational needs
C) Hedonic needs
D) Social needs
E) Motivational needs
22) Amanda considers shopping to be like a game. She goes shopping because she enjoys finding
bargains and discounts. Amanda is always on the lookout for special offers and discounts. Hence,
Amanda’s hedonic needs are satisfied by a sense of
A) adventure.
B) stimulation.
C) status and power.
D) deliberation.
E) functionality.
23) Which of the following statements does not hold true for cross-shopping?
A) Consumers show cross-shopping patterns because one store cannot satisfy their often
conflicting, multiple needs.
B) People buy both premium and low-priced merchandise.
C) Customers patronize both expensive, status-oriented retailers and price-oriented retailers.
D) Buying patterns of cross-shoppers provide great opportunities only for specialty retailers.
24) The pattern of buying both premium and low-priced merchandise or patronizing both
status-oriented retailers and price-oriented retailers is called
A) cocooning.
B) comparison shopping.
C) cross-retailing.
D) retailer loyalty.
E) cross-shopping.
25) Calvin enjoys dining at Dawson’s, a fast food restaurant. He feels that they make the best
French fries for a low price. However, when it comes to dessert, he feels he’s a cake connoisseur.
He prefers to have cake only at Marina’s Patisserie, even though a piece of cake costs $7.00.
Calvin’s patronizing of Dawson’s and Marina’s demonstrates a behavior called
A) cross-shopping.
B) comparison shopping.
C) composite segmentation.
D) cross-docking.
E) postpurchase satisfaction.
26) The imminent approach of Halloween pushes millions of homeowners to go out and purchase
candy corn. Halloween stimulates a(n) ________, which forms a part of the buying process.
A) choice of alternatives
B) need recognition
C) information search
D) postpurchase satisfaction
E) evaluation of consideration sets
27) Which of the following steps follows the recognition of a need?
A) Evaluation of alternatives
B) Information search
C) Composite segmentation
D) Postpurchase evaluation
E) Evaluation of consideration sets
28) Which of the following is not true of the amount of information searched by customers?
A) The amount of information searched depends on the value customers feel they can get from
searching versus the cost of searching.
B) Consumers will spend more time searching for information when they have prior experience
with the merchandise category.
C) The value of the search stems from how it improves the customer’s purchase decision.
D) The costs of search include both the customer’s time and money.
29) Which of the following is an internal source of product information for a customer?
A) Past shopping experiences
B) Product demonstrations
C) Blogs
D) Search engines
E) Websites
30) Which of the following statements is true of the information search carried out by customers?
A) Customers with prior experience often search extensively.
B) The amount of information searched depends on the individual.
C) Shoppers seeking hedonic benefits generally search less information.
D) Time pressure does not influence the amount of information searched.
E) Greater market competition reduces the information search.
31) Consumer Reports, a nonprofit organization that evaluates products, would serve as a source
of ________ as it provides Lewis with useful knowledge about available features, convenience of
use, and machine quality of various table saws.
A) rational information
B) primary data
C) selective data
D) motivational data
E) external information
32) Gabriella needs copper wire to make hanging candle lanterns out of antique glass canisters.
Based on her previous craft projects, she feels she would find this particular type of wire at
Michael’s, a large arts and crafts store. Gabriella is relying on a(n) ________ source for her buying
situation.
A) rational information
B) internal information
C) primary data
D) motivational data
E) selective data
33) Conversion rate can be described as
A) the percentage of customers buying only premium products.
B) the percentage of customers buying both premium and budget products.
C) the time pressure under which the purchase must be made.
D) the percentage of customers who enter a store and buy products from that same store.
E) the retailer’s score when evaluated on the basis of attributes.
34) A retailer that uses an everyday low pricing (EDLP) strategy
A) relies on discount coupons to persuade customers to return to their stores.
B) creates low prices through the use of sales promotions.
C) focuses more on economy rather than assortments.
D) is attempting to limit the customer information search to the retailer’s offering.
E) uses the multiattribute attitude model for fixing product prices.
35) The multiattribute attitude model is designed to
A) predict how a customer will evaluate a store based on its attributes and how important these
attributes are to the customer.
B) forecast inventory needs based on a multiple regression model.
C) stratify the target market by examining customers’ attributes and determine the store’s or
product’s position in the market.
D) modify preexisting attitudes by providing customers with a list of benefits (attributes) for
shopping at a particular store or buying a particular product.
E) shorten the buying process by highlighting the attributes that will most likely affect the buying
behavior of the targeted market.
36) In order to develop a multiattribute attitude model of its customers, a retailer should gather
information about all of the following except
A) the alternative retailers that customers consider.
B) the benefits that customers consider when making their retailer choices.
C) the importance weights that customers attach to the features they consider when choosing a
retailer.
D) customers’ belief ratings of each retailer’s performance on the characteristics when selecting a
store.
E) the customer’s age, education, and income levels.
37) In order to get into a customer’s consideration set, a retailer should
A) develop programs to ensure that customers remember them.
B) limit the options for return and money-back guarantees.
C) encourage cross-shopping.
D) limit the information provided to customers on its website.
E) target its offerings toward satisfying hedonic needs.
38) Which of the following is used by a customer when making a choice of a retailer to patronize?
A) Conversion rate
B) Consideration set
C) Multiattribute attitude model
D) Habitual decision making
E) Lifestyle segmentation
39) Before purchasing his son’s shoes, Lamar evaluated the following stores: Boot World,
Terence’s Shoe Palace, Imperial Collection, Royal Shoe Store, and Leather World. Which is the
term used to describe these stores that are being evaluated by Lamar?
A) Target market
B) Retail market segment
C) Consideration set
D) Attributes
E) Reference group
40) If you were to ask Roland to recommend a restaurant in Charleston, South Carolina, he would
tell you to go to Brendon’s, The Paradise Hotel, or Linda’s Dinner Bar. There are obviously many
restaurants in Charleston, but these form a part of Roland’s
A) attributes.
B) retail market segment.
C) targeted market.
D) consideration set.
E) reference group.
41) Which of the following is not true of changing performance beliefs after a retailer gets into the
customers’ consideration set?
A) A retailer should focus on improving its performance on all benefits.
B) A change in a performance belief about an important benefit should result in a large change in
customers’ overall evaluations.
C) It can get costly for a retailer to improve its performance on all benefits.
D) Retailers must focus on improving their performance on those benefits that are important to
customers in their target markets.
42) Changing importance weights is difficult because
A) it involves the addition of a new benefit.
B) importance weights reflect customers’ personal values.
C) many customers make purchases based on a single attribute.
D) the retailer needs to improve performance on all benefits.
E) the retailer has to include a wide range of fair trade merchandise.
43) Tires Plus is a store that specializes in auto maintenance and tires. After making sure that it is
in the consumers’ consideration set, Tires Plus, can ________ to increase the chances that the
consumer will select its store for a visit.
A) offer free fluid checks with each oil change as a new benefit
B) focus its resources by limiting itself to one advertising medium
C) use a vertical marketing system
D) implement a price skimming strategy
E) focus only on the customers’ utilitarian needs