Marketing Chapter 16 Homework For Many Products Difficult Assess Products Quality

subject Type Homework Help
subject Pages 9
subject Words 4196
subject Authors David L Mothersbaugh Associate Professor of Marketing, Delbert I Hawkins Dr

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CHAPTER 16
ALTERNATIVE EVALUATION AND SELECTION
LEARNING OBJECTIVES
LO1: Discuss how actual consumer choice often differs from rational choice theory
LO2: Summarize the types of choice processes consumers engage in
LO3: Explain evaluative criteria and their measurement
LO4: Describe the role of evaluative criteria in consumer judgment and marketing strategy
LO5: Summarize the five decision rules for attribute-based choice and their strategic relevance
SUMMARY
LO1: Discuss how actual consumer choice often differs from rational choice theory
Rational choice theory assumes that (1) consumers seek one optimal solution to a problem and choose
LO2: Summarize the types of choice processes consumers engage in
Affective choice tends to be more holistic in nature. The brand is not decomposed into distinct
components, each of which is evaluated separately from the whole. Decisions based on affect use the
“How do I feel about it” heuristic or decision rule and tend to occur in response to consummatory
motives.
LO3: Explain evaluative criteria and their measurement
Evaluative criteria are the various features or benefits a consumer looks for in response to a specific
problem. They are the performance levels or characteristics consumers use to compare different brands
in view of their particular consumption problem.
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LO4: Describe the role of evaluative criteria in consumer judgment and marketing strategy
The ability of an individual to distinguish between similar stimuli is called sensory discrimination.
Some evaluative criteria such as price, size, and color can be judged easily and accurately by
consumers. Other criteria, such as quality, durability, and health benefits, are much more difficult to
LO5: Summarize the five decision rules for attribute-based choice and their strategic relevance
When consumers judge alternative brands on several evaluative criteria, they must have some method
to select one brand from the various choices. Decision rules serve this function. A decision rule
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LECTURE TIPS AND AIDS
1) Have each student describe the characteristics of the next car he/she will buy. Have them describe
the characteristics they think (1) a 55-year-old bank president, (2) a 23-year-old, single male
2) Student Handout 1 is a quote from a letter from Benjamin Franklin to a friend. Distribute it to the
class and have them characterize the decision rule being recommended.
Discussion can focus on the following:
3) Blind taste tests of any type of food or beverage product are fun and revealing. Students will not
believe how difficult it is to distinguish various brands until they try. For example, use Coca-Cola,
Pepsi, and RC Cola in unmarked cups. Quite often it is smell that differentiates taste perceptions,
so using lids over cups, and straws, makes the taste differentiation much more difficult.
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Student Handout 1: BENJAMIN FRANKLIN'S DECISION PROCESS
“I cannot, for want of sufficient premises, advise you what to determine, but if
you please I will tell you how. My way is to divide half a sheet of paper by a
line into two columns; writing over the one Pro, and over the other Con. Then,
doing three or four days consideration, I put down under the different heads
From a letter from Benjamin Franklin to his friend Joseph Priestly. London,
September 19, 1772.
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REVIEW QUESTIONS
1) What is rational choice theory?
The task in rational choice theory is to identify or discover the one optimal choice for the decision
2) What is meant by bounded rationality?
3) What is a metagoal?
A metagoal refers to the general nature of the outcome being sought.
4) What are three common metagoals for consumer decisions?
One metagoal is maximizing the accuracy of the decision. This is the only metagoal assumed in
rational choice theory.
5) What is affective choice and when is it most likely to occur?
Affective choices do not lend themselves well to either the attribute-based or the attitude-based
6) What is the difference between consummatory motives and instrumental motives?
Consummatory motives underlie behaviors that are intrinsically rewarding to the individual
involved. Instrumental motives activate behaviors designed to achieve a second goal.
7) How does attribute-based choice differ from attitude-based choice? When is each most likely?
Attribute-based choice requires the knowledge of specific attributes at the time the choice is made
8) What are evaluative criteria and on what characteristics can they vary?
Evaluative criteria are the various dimensions, features, or benefits a consumer looks for in
9) How can you determine which evaluative criteria consumers use?
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You can utilize either direct or indirect methods. Direct would include asking consumers what
10) What methods are available for measuring consumers’ judgments of brand performance on
specific attributes?
They include rank ordering scales, semantic differential scales, and Likert scales.
11) How can the importance assigned to evaluative criteria be assessed?
Either by direct (constant sum scale, for example) or indirect (conjoint analysis) measures.
12) What is sensory discrimination, and what role does it play in the evaluation of products? What is
meant by a just noticeable difference?
Sensory discrimination refers to an individual’s ability to distinguish between similar stimuli. This
13) What are surrogate indicators? How are they used in the consumer evaluation process?
An attribute used to stand for or indicate another attribute is a surrogate indicator. For many
products it is difficult to assess a product’s quality; consumers may therefore use the price of the
14) What factors influence the importance of evaluative criteria?
15) What is the conjunctive decision rule?
16) What is the disjunctive decision rule?
Establishes a minimum level of performance for each important attribute (often fairly high). All
17) What is the elimination-by-aspects decision rule?
Rank the evaluative criteria in terms of importance and establish satisfactory levels for each. Start
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18) What is the lexicographic decision rule?
Rank the evaluative criteria in terms of importance. Start with the most important criterion and
19) What is the compensatory decision rule?
20) How can knowledge of consumers’ evaluative criteria and criteria importance be used in
developing marketing strategy?
Because information processing and decision making are guided by those evaluative criteria
21) How can knowledge of the decision rules consumers might use in a certain purchase assist a firm
in developing marketing strategy?
Knowing the predominant decision rule used in brand selection for a particular product class can
guide development of marketing strategy. The following strategies would be appropriate for
different decision rules:
a. Disjunctive: Product positioning should establish a level of performance on one or more of
the important evaluative criterion above the desired performance level.
Discussion Questions
22) Respond to the questions in Consumer Insight 16-1.
The compromise effect contradicts rational choice theory because rational choice theory predicts
that choices will be invariant of context (such as the addition of other alternatives). The
compromise effect shows this assumption to not be true.
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23) Would you use an attribute-based or an attitude-based decision approach to purchasing (or renting
or giving to) the following. Which, if any, situational factors would change your approach?
a) Adopting a pet from a shelter
b) A movie
24) Repeat Question 23, but speculate on how your instructor would answer. In what ways might his
or her answer differ from yours? Why?
Answers will vary widely depending on your characteristics. The “why” will focus on different
25) For which, if any, of the options in Question 23 would you make an affective decision? What role
would situational factors play?
Affective choice tends to occur when motives are consummatory (versus instrumental). Have
26) What metagoals might you have, and what would be their relative importance to you in purchasing
(or renting or giving to) the options in Questions 23?
This is a good way to get students to think about how metagoals operate. You might try varying
27) List the evaluative criteria and the importance of each that you would use in purchasing (or renting
or giving to) the options in Question 23. Would situational factors change the criteria? The
importance weights? Why?
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It may be useful to set up a table with evaluative criteria in the rows and the options across the
dramatically.
28) Repeat Question 27, but speculate on how your instructor would answer. In what ways might his
or her answer differ from yours? Why?
29) Describe a purchase decision for which you used affective choice, one for which you used
attitude-based choice, and one for which you used attribute-based choice. Why did the type of
decision process you used vary?
30) Identify five products for which surrogate indicators may be used as evaluative criteria in a brand
choice decision. Why are the indictors used, and how might a firm enhance their use (i.e.,
strengthen their importance)?
Listed below are five products and surrogate indicators that may be used in brand evaluation.
PRODUCTS
SURROGATE INDICATORS
31) The table below represents a particular consumer’s evaluative criteria, criteria importance,
acceptable level of performance, and judgments of performance with respect to several brands of
mopeds. Discuss the brand choice this consumer would make when using the lexicographic,
compensatory, and conjunctive decision rules.
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Using a lexicographic decision rule this consumer would first focus on the most important
32) Describe the decision rule(s) you used or would use in buying, renting, or giving to the options
listed for question 23. Would you use different rules in different situations? Which ones? Why?
Would any of these involve an affective choice?
One way to discuss this question is to construct the table below on the board. Ask a student to
verbally describe a last purchase or how such a purchase would be made. Have the other students
33) Describe your last two major and your last two minor purchases. What role did emotions or
feelings play? How did they differ? What evaluative criteria and decision rules did you use for
each? Why?
In general, the minor purchases will involve fewer criteria and simpler rules than the major
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34) Discuss surrogate indicators that could be used to evaluate the perceived quality of the products or
activities listed in question 23.
Listed below are some potential surrogate indicators for the products and services mentioned.
Students will suggest others and consider some of those listed to be irrelevant. To get a good

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