63) Ford believes its cars to be of higher quality than General Motor’s but thinks that consumers
wrongly believe the opposite. Ford might employ a(n) ________ strategy to change buyers’
perceptions of its competition.
A) real repositioning
B) competitive depositioning
C) psychological repositioning
D) biased repositioning
E) attribute repositioning
64) When a marketer tries to alter a consumer’s beliefs about a company’s brand to get the
consumer to rethink a purchase decision, the marketer is using ________.
A) psychological repositioning
B) competitive depositioning
C) positioning
D) repositioning
E) biased positioning
65) With the ________, the consumer chooses the best brand on the basis of its perceived most
important attribute.
A) lexicographic heuristic
B) conjunctive heuristic
C) elimination-by-aspects heuristic
D) availability heuristic
E) representativeness heuristic
66) ________ risk occurs if the product fails to perform up to expectations.
A) Physical
B) Financial
C) Social
D) Psychological
E) Functional
67) Steve has only 20 minutes to have lunch. Although he really likes McDonald’s, the line is
very long and he is concerned that he will not have a chance to get through the line and eat his
lunch before he is due back at work. Steve perceives ________ in going to McDonald’s today.
A) time risk
B) functional risk
C) physical risk
D) psychological risk
E) social risk
68) A key driver of sales frequency is the product ________ rate.
A) consumption
B) disposal
C) refusal
D) utility
E) option
69) The level of engagement and active processing undertaken by the consumer in responding to
a marketing stimulus is called ________.
A) elaboration likelihood
B) consumer disengagement
C) consumer involvement
D) variety seeking
E) low involvement
70) A consumer is persuaded to buy a product by a message that requires little thought and is
based on an association with a brand’s positive consumption experiences from the past. In this
situation, the consumer used a ________ to arrive at this purchase decision.
A) central route
B) peripheral route
C) behavioral route
D) subjective route
E) objective route
71) Richard Petty and John Cacioppo’s ________, an influential model of attitude formation and
change, describes how consumers make evaluations in both low- and high-involvement
circumstances.
A) introspective model
B) elaboration likelihood model
C) stimulus-response model
D) associative network memory model
E) expectancy-value model
72) Which of the following products is most likely to be characterized by low involvement but
significant brand difference?
A) toothpastes
B) digital cameras
C) packet of salt
D) a milk carton
E) furniture
73) With the ________, predictions of usage are based on quickness and ease of use.
A) availability heuristic
B) representative heuristic
C) anchoring heuristic
D) adjustment heuristic
E) semantic heuristic
74) A consumer tells another consumer, “Every time I eat at Big Bill’s Steakhouse, I get poor
service.” Whether this is true or not, it is the consumer’s perception. This is an example of
consumers basing future predictions on the quickness and ease with which a particular example
of an outcome comes to mind. This scenario would be an illustration of the ________ heuristic.
A) discrimination
B) differentiation
C) availability
D) screening
E) representativeness
75) Ben always reaches for the bright blue and yellow box of Ritz crackers when he visits the
snack food aisle in the grocery store. He rarely even reads the box or checks the price. Which of
the following heuristics is most likely being used by Ben?
A) Availability
B) Representative
C) Anchoring
D) Adjustment
E) Semantic
76) ________ refers to the manner in which consumers code, categorize, and evaluate financial
outcomes of choices.
A) Cost accounting
B) Financial accounting
C) Behavioral accounting
D) Mental accounting
E) Factual accounting
77) Social class is the fundamental determinant of a person’s wants and behavior.
78) An example of a subculture would be a person’s geographic region.
79) Groups that have an indirect influence on a person’s attitude or behavior can be a part of
his/her reference groups.
80) Members within a social class tend to behave more alike compared to members from two
different social classes.
81) Secondary groups require continuous interaction to be effective and meaningful.
82) When Mark went to college he had a burning desire to join a social fraternity; for Mark, the
fraternity would be a dissociative group.
83) A person’s position in a group is defined in terms of role and status.
84) Marketers need to be aware of the status-symbol potential of brands because people usually
choose products which reflect their role and their actual or desired status in a society.
85) The behavior people exhibit as they pass through certain life-cycle stages, such as becoming
a parent, is largely fixed and does not change over time.
86) For an employee at an organization, annual appraisal can be considered as a critical life event
that impacts his/her consumption behavior.
87) Whereas economic circumstances can have a profound effect on consumption, occupation
does not impact how people spend their money and what they buy.
88) According to the research conducted by Jennifer Aaker, one of the five traits of a product’s
brand personality is its physical structure.
89) Brand personality is the specific mix of human traits that may be attributed to a particular
brand.
90) The five brand personality traits identified by Jennifer Aaker are consistently observed
regardless of nationality or culture.
91) A person’s personality portrays the “whole person” interacting with his or her environment.
92) Consumers who experience money constraints are prone to multitasking.
93) Psychogenic needs arise from the physiological states of tension such as hunger or
discomfort.
94) Sigmund Freud assumed that the psychological forces shaping people’s behavior are largely
unconscious, and that people cannot fully understand their motivations.
95) According to Maslow’s hierarchy of needs model, recognition, self-esteem, and status would
constitute a person’s social needs.
96) According to Herzberg’s two-factor theory, satisfiers will make the major difference as to
which brand the customer buys.
97) Perception depends only on the physical stimuli experienced by the person.
98) People are more likely to notice stimuli whose deviations are large in relation to the normal
size of the stimuli.
99) Selective attention is the tendency to interpret information in a way that will fit our
preconceptions.
100) Selective retention works to the advantage of strong brands.
101) Because of selective retention, we are likely to forget about the good points of competing
products.
102) Consistent with the elaboration memory model, consumer brand knowledge in memory can
be conceptualized as consisting of a brand node in memory with a variety of linked associations.
103) Brand associations consist of all brand-related thoughts, feelings, perceptions, images,
experiences, beliefs, attitudes, and so on that become linked to the brand node.
104) Memory is a very constructive process. This means people do not remember information
and events completely and accurately and often remember only bits and pieces that they fill in
based on whatever else they know.
105) Every consumer has to pass through all five stages of the buying process when in a buying
situation.
106) The buying process starts when the buyer decides to or actually enters a store or service
provider’s facility.
107) A belief is a person’s enduring favorable or unfavorable evaluation, emotional feeling, and
action tendency toward some object or idea.
108) The expectancy-value model of attitude formation posits that consumers evaluate products
and services by combining their brand beliefs according to importance.
109) If a company finds that a consumer has chosen a competitive product over their company’s
offering, one way to get the consumer back could be by developing a strategy wherein the
company “shifts the buyer’s ideals” on one or more levels.
110) With noncompensatory models of consumer choice, positive and negative attribute
considerations usually net out.
111) Volvo has the reputation for being one of the most “safe” cars on the road. For those that
value safety, Volvo would be the logical choice. This is an example of the lexicographic
heuristic of consumer choice.
112) When consumers evaluate the risks associated with a purchase, only real risks with a high
likelihood of occurrence should be considered.
113) Psychological risk refers to the threat posed by a product to the physical well-being of a
consumer.
114) With respect to a consumer buying situation that involves variety-seeking behavior, the
market leader generally encourages variety seeking by offering lower prices or deals.
115) Anchoring heuristic comes in to play when consumers base their predictions on the
quickness and ease with which a particular example of an outcome comes to mind.
116) The prospect theory maintains that consumers frame decision alternatives in terms of gains
and losses according to a value function.
117) Explain the differences between culture, subculture, and social class.
118) What is a reference group? Describe three different types of reference groups that can have
an impact on a consumer’s purchasing behavior.
119) The family is the most important consumer buying organization in society, and family
members constitute the most influential primary reference group. We can distinguish between
two family categorization in the buyer’s life. Name the two families and their impact on buying
behavior.
120) Each person has personality characteristics that influence his or her buying behavior. What
does personality mean in terms of buying traits?
121) People from the same subculture, social class, and occupation may lead quite different
lifestyles. A lifestyle is a person’s pattern of living in the world as expressed in activities,
interests, and opinions. Lifestyle portrays the “whole person” interacting with his or her
environment. Given this information, describe the LOHAS (an acronym) lifestyle described in
the text and its usefulness in marketing.
122) Frederick Herzberg developed a two-factor theory that distinguishes dissatisfiers and
satisfiers. How does Herzberg’s theory affect sellers’ marketing strategy?
123) People can emerge with different perceptions of the same object because of three perceptual
processes. List and briefly characterize these processes.
124) Explain the concept of selective retention and its association with marketing.
125) Identify three types of risk consumers might perceive in the context of purchasing a car.
126) What is mental accounting? What, according to Thaler, are the core principles on which
mental accounting is based? Explain with examples.
127) Culture is the fundamental determinant of a person’s wants and behavior. The growing child
acquires a set of values, perceptions, preferences, and behaviors through his or her family and
other key institutions. What values are typical American young children exposed to?
128) An opinion leader is the person in informal, product-related communications who offers
advice or information about a specific product or product category, such as which of several
brands is best or how a particular product may be used. According to the text, how do marketers
try to reach opinion leaders?
129) Explain the differences between a role and status.
130) Mention the personal factors that can influence the decision of a buyer.
131) What is brand personality and what are the five traits that has been linked to it?
132) Briefly explain Freud’s theory on human motivation and explain how this might be related
to marketing.
133) Within the context of the Freudian theory, explain how the laddering technique can be used.
134) Abraham Maslow sought to explain why people are driven by particular needs at particular
times. Describe Maslow’s hierarchy of needs. How does Maslow’s theory help marketers?
135) List and briefly characterize Maslow’s Hierarchy of Needs.
136) Perception is the process by which an individual selects, organizes, and interprets
information inputs to create a meaningful picture of the world. For a marketer, what is the key
point of perception?
137) What does the learning theory teach marketers about demand for products?
138) What are the five stages of the consumer buying process?
139) Describe how the problem recognition process works in the five-stage model of the
consumer buying process.
140) Through market research a consumer gathers information about the competing brands of a
product and their features. The consumer then advances through four sets with respect to brands
before a decision is reached. What are those four sets?
141) Explain the differences between a belief and an attitude.
142) What do you understand by the term market partitioning?
143) How is the expectancy-value model used in the evaluation of alternatives as a consumer
engages in a buying process?
144) Describe the lexicographic heuristic used to make consumer choices.
145) What four strategies can marketers of low-involvement products employ in an effort to
convert their products into ones of higher involvement?
146) Heuristics can come into play when consumers forecast the likelihood of future outcomes or
events. When would a consumer use an anchoring and adjustment heuristic?