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Chapter 13 Situational Influences

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Multiple Choice Questions

1. What do Hispanic girls celebrate when they are fifteen years old?A) ritual situation

B) bat mitzvah

C) quinceaneraD) Cinco De Mayo

E) a and c

Answer: E Page: 483 Difficulty: hard

2. Which of the following is an ancient solemn event marketing the coming of age of a

Jewish male?

A) bar mitzvahB) bat mitzvah

C) ChanukahD) Passover

E) Yom Kippur

Answer: A Page: 483 Difficulty: moderate

3. The purchase decision and consumption process always occur in the context of _____.

A) othersB) a specific situation

C) marketing communicationsD) an extended decision-making process

E) a social surrounding

Answer: B Page: 484 Difficulty: moderate

4. To understand a consumer's behavior, we must know about the _____.

A) consumer

B) situationC) stimulus object

D) a and b

E) a, b, and c

Answer: E Page: 484 Difficulty: moderate

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5. All those factors particular to a time and place that do not follow from knowledge of

the stable attributes of the consumer and the stimulus and that have an effect on

current behavior are known as _____.A) situational influence

B) motivators

C) consumption triggersD) consumption influencers

E) motivational influence

Answer: A Page: 484 Difficulty: easy

6. Which of the following also includes a situation-specific component?

A) personality

B) self-conceptC) involvement

D) demographicsE) brand image

Answer: C Page: 484 Difficulty: moderate

7. Which of the following is a situation in which consumer behavior occurs?

A) communications situation

B) purchase situationC) usage situation

D) disposition situationE) all of the above

Answer: E Page: 484 Difficulty: easy

8. Which of the following is NOT a situation in which consumer behavior occurs?A) communications situation

B) purchase situation

C) usage situationD) disposition situation

E) all of the above are situations in which consumer behavior occurs


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9. Which of the following is a situation characteristic?

A) product

B) packageC) temporal perspective

D) demographics

E) social class


10. Sharon has to purchase a gift for her mother and only has this afternoon to do so

because her birthday party is that evening. She's wondering how she will be able get

to the mall in time to pick out the perfect gift. This is an illustration of which situation

characteristic?

A) physical featuresB) social surroundings

C) temporal perspectiveD) task definition

E) antecedent state


11. Which of the following is NOT an individual characteristic influencing consumer

behavior?A) culture

B) attitudesC) task definition

D) social classE) motivation


12. Which of the following is NOT a consumption response?

A) task definitionB) problem recognition

C) purchase

D) dispositionE) alternative evaluation


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13. The situation interacts with the marketing activity and the individual to determine

behavior. Which of the following is a marketing activity?

A) lifestyleB) temporal perspective

C) package

D) purchaseE) task definition


14. Mark is developing the marketing strategy for his business, which is a retail store. He

knows that situation characteristics will interact with his marketing activity. Which of

the following is a situation characteristic he needs to consider?

A) social classB) attitudes

C) lifestyleD) task definition

E) all of the above

Answer: D Page: 485 Difficulty: moderate

15. The situation in which consumers receive information has an impact on their behavior

and is referred to as the _____ situation.A) communications

B) purchaseC) usage

D) dispositionE) preliminary


16. In which situation do marketers attempt to place their ads in appropriate media

contexts to enhance their effectiveness?A) communications

B) purchase

C) usageD) dispositionE) preliminary


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17. When orange juice attempted to expand the various times of day when consumers

would see orange juice as an appropriate beverage to consume, they were trying to

influence which situation?A) communication

B) usage

C) purchaseD) disposition

E) all of the above

Answer: B Page: 486 Difficulty: hard

18. Arm & Hammer baking soda has been very successful promoting other uses for this

product. Advertisements provide several uses other than baking, such as removing

odors from carpeting, the laundry, and kitty litter boxes. Finding more uses for aproduct is known as _____.

A) disposition situationB) purchase situation

C) communications situation

D) expanded usage situation

E) alternative usage situation

Answer: D Page: 486-487 Difficulty: hard

19. In the United States, a man usually gives a woman a diamond ring for her to wear on

her left-hand ring finger when they become engaged to be married. However, onediamond distributor has developed the idea that women should wear diamonds on their

right hands as well. Marketing communications regarding the Diamond Right HandRing stress the independence of women and their ability to buy a diamond for

themselves. One ad claims that a diamond on a left hand says we, while a diamond

on the right hand says me. This diamond distributor is attempting to _____.A) influence the competitive situation

B) expand the usage situation

C) reduce the disposition situationD) influence the social surroundings

E) influence the temporal perspective

Answer: B Page: 486-487 Difficulty: moderate

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20. Which situation involves consumers disposing of products or product packages after

or before product use?

A) communications situationB) purchase situation

C) usage situation

D) disposition situationE) task situation

Answer: D Page: 487 Difficulty: easy

21. Decisions made by consumers regarding the _____ situation can create significant

social problems as well as opportunities for marketers.

A) disposition

B) purchaseC) communication

D) expanded usageE) usage


22. Which group needs to understand how situational influences affect consumers'

disposition decisions?

A) marketersB) government

C) environmental organizationsD) a and b

E) a, b, and c


23. Walker and his wife have two children. They have purchased a new computer for

their household every four years or so for almost twenty years. When Walker

purchases a new one, usually for him to be able to work at home, one of his childrenwill get the old one. However, they have a few old computers sitting in the attic and

garage because Walker doesn't really know how to get rid of them. This is an example

of which type of situation?A) disposition situationB) purchase situation

C) communications situation

D) expanded usage situation

E) replacement situation


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24. Gertrude is very environmentally-conscious, so she only uses paper bags at the

grocery store and tries to purchase items in packages that are recyclable. Her behavior

concerns which type of situation?A) socially sensitive situation

B) disposition situation

C) usage situationD) purchase situation

E) communications situation


25. Which of the following is NOT a key situational dimension or characteristic that

influences consumer behavior?

A) physical surroundingsB) social surroundings

C) alternative evaluationD) temporal perspectives

E) task definition


26. Decor, sounds, aromas, lighting, weather, and configurations of merchandise or other

materials surrounding the stimulus object are included in which situationalcharacteristic?


C) temporal perspectivesD) task definition

E) antecedent states


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27. Melanie lives in a small city that does not have a lot of the interesting retail stores.

She and her two best friends take a trip twice a year to places such as Atlanta, Dallas,

and Chicago to go shopping. It's so exciting for them to go in some of the storesbecause they are so unique, and they have only seen them online or in catalogs. Also,

several cities now have lifestyle centers or town centers that are reminiscent of

downtown in bygone days. All of the factors such as decor, sounds, aromas, lighting,weather, and configurations of merchandise or other materials surrounding the

merchandise that Melanie and her friends make a special trip to experience comprise

which situation characteristic?A) physical surroundings

B) social surroundings

C) temporal perspectives

D) task definition



28. The sum of all the physical features of a retail environment is referred to as the _____.

A) store situation

B) retail ambianceC) retail surroundings

D) store atmosphere

E) merchandising mix


29. Many of you have probably heard of Banana Republic retail stores and perhaps haveshopped there. Many of you may not know that the store used to look much different

than it does today. It used to be more like an adventure, and the merchandise

assortment was more appropriate for a safari. If you've ever seen an Indiana Jonesmovie, you can get a pretty good idea of what Banana Republic used to look like. The

stores would have a jeep in the store, camouflage netting, and music from the 1940s

playing. The inside had wooden beams and maps hung on the wall that looked liketreasure maps. Much of the merchandise was accompanied by a sign that had a tale of

some adventure associated with it. These physical features of the retail environment

are referred to as the _____.A) store situationB) retail ambiance

C) retail surroundings

D) store atmosphere

E) merchandising mix


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30. A store's atmosphere can influence which of the following?

A) consumers' judgments of the quality of the store

B) store's imageC) shoppers' moods

D) shoppers' willingness to visit and linger

E) all of the above


31. _____ is the process managers use to manipulate the physical retail environment to

create specific mood responses in shoppers.

A) Servicescape

B) Psychographics

C) AtmosphericsD) Environmentalism

E) Landscaping

Answer: C Page: 488-489 Difficulty: moderate

32. Carmen is double majoring in fashion merchandising and graphic design in college.When she graduates, she wants to design the physical environment of retail stores,

particularly those in women's fashions. She wants to create environments that create

specific mood responses in shoppers. Which field bestdescribes what Carmen wantsto do?

A) architectureB) retail atmospherics

C) artD) graphic design

E) marketing

Answer: B Page: 488-489 Difficulty: hard

33. Atmosphere is referred to as _____ when describing a service business such as ahospital, bank, or restaurant.

A) landscape

B) servicescapeC) ambianceD) environment

E) servqual

Answer: B Page: 489 Difficulty: easy

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34. With respect to the typology of service environments, a bank would be categorized as

_____.

A) utilitarianB) personal

C) hedonic

D) tangibleE) moderate

Answer: A Page: 489 Difficulty: hard

35. Marcie will soon be 50 years old, so to pamper herself, she decided to get a massage.

With respect to the typology of service environments, this type of service would be

categorized as _____.

A) utilitarianB) personal

C) hedonicD) intangible

E) moderate

Answer: C Page: 489 Difficulty: hard

36. Which of the following services would be classified as having an extended hedonic

consumption purpose?A) bank

B) cruiseC) business dinner

D) exercise classE) theater


37. Which of the following are components of the physical environment?

A) colors, aromas, music, and crowdingB) normal and expanded usage

C) utilitarian and hedonic product characteristics

D) moods and momentary conditionsE) internal and external influences


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38. Which color is arousing?

A) red

B) yellowC) blue

D) a and b

E) a, b, and c


39. Which type of industry has developed around the use of ambient scents?

A) professional scenting

B) environmental fragrancing

C) scent motivation

D) environmental creationismE) environmental construction


40. How does music influence consumer behavior?

A) subliminallyB) reduces consumers' perception of overcrowding

C) changes temporal perspective

D) influences moodE) changes cognitive structures


41. Mike is the owner of a restaurant that also has a bar. Based on research that studied

the impact of background music on restaurant patrons, what can Mike expect if he

uses slow music in his establishment?A) faster service time

B) customers spend less time at a table

C) larger amount of bar purchasesD) significantly more (i.e., 50% or more) spent on food purchases

E) greater number of customer groups leaving before seated

Answer: C Page: 490-491 Difficulty: hard

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42. Crowding generally produces which outcome for the retail outlet and the consumer?

A) generally positive outcomes for the retailer, but negative outcomes for the

consumerB) generally negative outcomes for the consumer, but positive outcomes for the

retailer

C) generally positive outcomes for bothD) generally negative outcomes for both

E) none of the above


43. Which of the following statements is FALSE regarding crowding as a situational

characteristic?

A) Crowding generally produces negative outcomes for both the retail outlet and theconsumer.

B) Most consumers find crowded feelings to be unpleasant.C) Crowding is unpleasant regardless of a consumers' culture.

D) Most consumers find feelings of crowding to be unpleasant and will spend less

time in the store.

E) Crowding causes most consumers to spend more money.


44. Under conditions of crowding, consumers tend to _____.

A) buy lessB) make faster decisions

C) use less informationD) be less satisfied

E) all of the above


45. Under conditions of crowding, consumers tend do to all of the following EXCEPT_____.

A) buy less

B) make faster decisionsC) make more demands on the sales personnelD) be less satisfied

E) all of the above


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46. A closed-in feeling created by a crowded store will result in adaptive strategies that

could _____.

A) lengthen shopping time, shorten purchases, and increase the use of in-storeinformation

B) shorten shopping time, increase purchases, and decrease the use of in-store

informationC) reduce shopping time, reduce purchases, and alter the use of in-store information

D) reduce shopping time, reduce purchases, and greatly increase the use of in-store

informationE) none of the above


47. The other individuals present in the particular situation are referred to as the _____.A) servicescape

B) social surroundingsC) physical surroundings

D) store atmosphere

E) temporal perspective


48. Jessica and her friends are 16 years old like to shop at Aeropostale, which is a clothingstore targeted to teens and young adults. They like to go in that store because there are

usually some pretty cute guys working and shopping there. Even though there aresome parents shopping with their teens, the other customers are usually teens like

themselves. The other individuals present in this store represent the _____.A) servicescape

B) social surroundings

C) physical surroundingsD) store atmosphere

E) temporal perspective


49. Some consumers are highly susceptible to interpersonal influence, which is a _____.A) normB) situation factor

C) product factor

D) personality trait

E) cultural factor


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50. Mimi is a teenager and wants to be accepted by her friends. In fact, she might act a

certain way not because she really wants to, but rather, she does it because others

around her are doing it. The influence these others have on Mimi represent whichsituational characteristic?

A) temporal perspective

B) physical surroundingsC) task definition

D) antecedent states

E) social surroundings


51. Which of the following is a negative emotion influenced by both the product (e.g.,

hearing aids, feminine hygiene products) and the situation?A) embarrassment

B) shameC) fear

D) anger

E) disappointment


52. Clara is shopping with her friend, Jane, when they both went into a drug store. Claraneeded to buy medication for hemorrhoids, but she was reluctant to do so in front of

Jane. Which emotion was Clara probably experiencing in this situation?A) embarrassment

B) shameC) fear

D) anger

E) disappointment


53. Which situational characteristic deals with the effect of time on consumer behavior?

A) physical surroundings

B) social surroundingsC) temporal perspectiveD) task definition



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54. One aspect of purchasing from QVC, one of the cable shopping channels on

television, is that the offer will expire within a certain amount of time, creating a

sense of urgency among consumers. Teresa watches this channel frequently, andadmitted that this aspect of the situation does influence her decision to buy something.

Which characteristic of the situation is influencing Teresa and others' behavior?


C) temporal perspective

D) task definitionE) antecedent states


55. Shopping on the Internet provides which important time-related dimension?A) It has the potential to reduce the amount of time required to make a specific

purchase.B) It provides the consumer with almost total control over when the purchase is

made.

C) It eliminates the uneasiness of crowding experienced in many retail outlets.

D) a and bE) a, b, and c

Answer: D Page: 493-494 Difficulty: hard

56. The reason the consumption activity is occurring is the situation characteristic of_____.



D) task definitionE) antecedent states

Answer: D Page: 494 Difficulty: easy

57. Stacy is shopping to purchase new linens for her guest room. Which situational

characteristic is influencing her behavior?A) physical surroundingsB) social surroundings


D) task definition



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58. Which of the following is a reason consumers give gifts?

A) social expectations

B) ritualized consumption experiencesC) to elicit return favors

D) as an expression of love and caring

E) all of the above


59. James is giving his cousin, Conor, a new video game for his birthday. Which of the

following is the most likely reason James is giving this gift?

A) he is required to do so

B) it is a ritualized consumption experience

C) to elicit return favorsD) as a return favor

E) because he hopes the receiver will share the gift

Answer: B Page: 494 Difficulty: hard

60. John is a salesman and gave one of his customers an expensive watch. Which of thefollowing is the most likely reason John gave this gift?

A) social expectations

B) it is a ritualized consumption experienceC) to elicit a return favor

D) it is a business requirementE) as an expression of loving and caring

Answer: C Page: 494 Difficulty: hard

61. One study found that wedding gifts tend to be _____ while birthday gifts tend to be_____.

A) expensive; inexpensive

B) inexpensive; expensiveC) fun; utilitarian

D) utilitarian; fun

E) large; small

Answer: D Page: 494 Difficulty: hard

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62. Rachel is going to the mall to purchase a wedding gift for a co-worker. Based on

research, which type of product is she likely to buy?

A) expensiveB) inexpensive

C) expressive

D) utilitarianE) hedonic

Answer: D Page: 494 Difficulty: hard

63. Which of the following is a way that gifts communicate symbolic meaning?

A) In many cases price can be known and can be interpreted as a measure of the

esteem the giver has for the receiver.

B) The image and functionality of the gift implies the giver's impression of the imageand personality of the receiver.

C) It reflects on the image and thoughtfulness of the giver.D) It can signify the type of relationship the giver has or desires with the receiver.

E) all of the above


64. A person who shops a nicer store than normal because he or she is buying a gift is

influenced by the _____ characteristic of the situation.A) physical surroundings

B) antecedent stateC) task definition

D) temporal perspectiveE) none of the above

Answer: C Page: 494 Difficulty: easy

65. Features of the individual person that are not lasting characteristics, such as

momentary moods or conditions, are called _____.A) personality

B) antecedent states

C) context effectsD) task definitionE) self-concept


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70. Which of the following reflects temporary states of being rather than temporary states

of mind?

A) moodsB) momentary conditions

C) task definition

D) personality traitsE) self-concept


71. Clark and his family normally live paycheck to paycheck. However, this month, they

found themselves with a little extra money, so they decided to go out to a nice

restaurant and to a movie. This is an example of the antecedent state of _____.

A) positive moodB) good luck

C) momentary conditionsD) optimism

E) hedonism


72. Stan was feeling very tired and hungry in the mid-afternoon, so he ate a Snickers

candy bar. Stan is attempting to manage his _____.A) personality traits

B) momentary conditionC) mood

D) self-conceptE) daily ritual


73. A socially defined occasion that triggers a set of interrelated behaviors that occur in a

structured format and that have symbolic meaning is referred to as a _____.A) ritual situation

B) momentary condition

C) prescriptiveD) schemaE) holiday


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74. Every year around the 4thof July, families get together and celebrate a family reunion

as well as Independence Day. The Normans, one such family, does this every year,

and the party is pretty much the same every year. A cookout is held at one familymember's home, and games for the children are played, such as a three-legged race

and an egg toss competition. The family that wins the overall competition gets to takehome a hideous, but meaningful trophy for that year. This is an example of a _____.

A) ritual situation

B) momentary conditionC) prescriptive

D) schema

E) social schema


75. Giving out candy to children on Halloween, giving chocolate and roses to sweethearts

on Valentine's Day, and wearing green and drinking green beer on St. Patrick's Dayare all examples of _____.

A) ritual situations

B) momentary conditionsC) prescriptives

D) schemas

E) social surroundings


76. Which of the following statements is FALSE regarding ritual situations?A) Rituals are receiving increasing attention by marketing scholars and practitioners.

B) Ritual situations are of major importance to marketers because they often involve

prescribed consumption behaviors.

C) There is enough shared behavior across individuals and households that marketerscan develop products and promotions around the common ritual situations that

arise each year.

D) Ritual situations can also result in injurious consumption.E) Marketers cannot change or create consumption patterns associated with ritual

situations.

Answer: E Page: 497-498 Difficulty: hard

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77. Binge drinking among college students can be described as a(n) _____.

A) ritual behavior

B) socially desirable behaviorC) task accomplishing behavior

D) antecedent behavior

E) value-expressive behavior


78. Which of the following is a step in the approach for developing situation-based

marketing strategies that was given in the textbook?

A) Use observational studies, focus group discussions, depth interviews, and

secondary data to discover the various usage situations that influence the

consumption of the product.B) Survey a large sample of consumers to better understand and quantify how the

product is used and the benefits sought in the usage situation by the marketsegment.

C) Construct a person-situation segmentation matrix.

D) Evaluate each cell in terms of potential.

E) all of the above


79. Which of the following is the FIRST step in the approach for developing situation-

based marketing strategies?A) Use observational studies, focus group discussions, depth interviews, and

secondary data to discover the various usage situations that influence theconsumption of the product.

B) Survey a large sample of consumers to better understand and quantify how the

product is used and the benefits sought in the usage situation by the marketsegment.

C) Construct a person-situation segmentation matrix.

D) Evaluate each cell in terms of potential.E) Develop and implement a marketing strategy for cells that offer sufficient profit

potential given your capabilities


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86. Psychographics is the process managers use to manipulate the physical retail

environment to create specific mood responses in shoppers.

Answer: False Page: 488-489 Difficulty: moderate

87. Consumers typically attend the theater for utilitarian purposes.

Answer: False Page: 489 Difficulty: easy

88. The only aspect of music that influences consumer behavior is tempo.

Answer: False Page: 490-491 Difficulty: moderate

89. Personal space and resulting crowding perceptions can vary from culture to culture.

Answer: True Page: 491 Difficulty: moderate

90. Individuals tend to comply with group expectations, particularly when the behavior is

visible.

Answer: True Page: 492 Difficulty: easy

91. The major task dichotomy used by marketers is between purchases for self-use versusgift-giving.

Answer: True Page: 494 Difficulty: moderate

92. Mood is an example of a momentary condition reflecting a temporary state of being.

Answer: False Page: 495-496 Difficulty: hard

93. Marketers do not attempt to change or create consumption patterns associated with

rituals.

Answer: False Page: 497 Difficulty: moderate

94. Individuals cannot create the situations they face.

Answer: False Page: 498 Difficulty: moderate

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95. Determining how products are currently used across situations can help the marketer

develop appropriate advertising and positioning strategies.

Answer: True Page: 499 Difficulty: easy

Essay Questions

96. Describe the nature of situational influence on consumer behavior, and briefly discussthe four broad categories or types of situations.

Page: 484-487 Difficulty: moderate

Answer:

Situational influence is all those factors particular to a time and place that do notfollow from a knowledge of the stable attributes of the consumer and the stimulus that

have an effect on current behavior. Thus, with one exception, the situation standsapart from the consumer and the stimulus. The exception is in the case of temporary

characteristics of the consumer or stimulus that are specific to the situation and

sometimes even caused by it (e.g., a bad mood caused by the surrounding media

context). Consumer behavior occurs within four broad categories or types ofsituations:

a. Communications Situation--the situation in which consumers receive

information.b. Purchase Situation--the situation in which a purchase is made.

c.

Usage Situation--the situation for which a product is or may become appropriate.d. Disposition Situation--the situation in which consumers dispose of products or

product packages after or before product use.

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97. Pablo is planning on opening a Mexican restaurant in the town where he lives. He is

considering how to design the physical environment of the restaurant. Discuss the

components of the physical surroundings that can influence consumption behavior andmake some recommendations to Pablo regarding each component.

Page: 490-491 Difficulty: moderateAnswer:

Four components of the physical environment were discussed in the text:

a. Colors--certain colors and color characteristics create feelings of excitement andarousal which are related to attention. Bright colors are more arousing than dull

colors, and warm colors such as reds and yellows are more arousing that cool

colors such as blues and greys. The best colors to use depends on the type of store

or, in this case, restaurant. Cool colors tend to increase sales and customer

satisfaction and appear to reduce wait time perceptions by inducing feelings ofrelaxation. Warm colors grab attention and can drive impulse purchases (e.g.,

ordering dessert in a restaurant).b. Aromas--while there is increasing evidence that odors can affect consumer

shopping, it seems reasonable that they also affect consumption behavior in a

service environment such as a restaurant.

c. Music--music influences consumers' moods, which influence a variety ofconsumption behaviors. One study found that slow tempo music resulted in an

increased gross margin, but that was true because of a greater amount of bar

purchases. If Pablo does not have a bar, he might want to consider faster tempomusic so he can have a quicker customer turnover.

d.

Crowding--generally produces negative outcomes for both the retail outlet and theconsumer. While crowding may have a negative influence on Pablo's non-

Hispanic customers, this may not be a significant factor for Pablo's Hispanicconsumers.

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98. Tim is looking for a give for his relatively new girlfriend that he likes a lot but is not

sure if she's the one. He's facing somewhat of a dilemma with this gift because he

doesn't want to send the wrong message to her, but he doesn't want to appear cheap,either. Moreover, he's not sure how she really feels about him. Explain the types of

symbolic meaning the gift he selects might hold.

Page: 494 Difficulty: moderate

Answer:

Gifts communicate symbolic meaning on several levels. The gift item itself generallyhas a known, or knowable, price that can be interpreted as a measure of the esteem the

giver has for the receiver. The image and functionality of the gift implies the giver's

impression of the image and personality of the receiver. It also reflects on the image

and thoughtfulness of the giver. Finally, the nature of a gift can signify the type of

relationship the giver has or desires with the receiver, or it can alter the relationshipbetween the giver and receiver.

99. Explain why ritual situations are important to marketers.


Answer:A ritual situation can be described as a socially defined occasion that triggers a set of

interrelated behaviors that occur in a structured format and that have symbolic

meaning. Ritual situations are of importance to marketers because they often involveprescribed consumption behaviors. While there is significant variation across

individuals and households, there is enough shared behavior that marketers candevelop products and promotions around the common ritual situations that arise each

year. Marketers also attempt to change or create consumption patterns associated withritual situations. However, marketers must also be aware that ritual situations can also

result in injurious consumption (i.e., binge or excessive drinking).

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100. You are tasked with the responsibility of developing a situation-based marketing

strategy. Explain how you would go about doing that.


Answer:

Because most people create many of the situations they face, a marketer needs toidentify the different situations that might involve the consumption of a product and

determine which products or brands are most likely to be purchased or consumed

across those situations. One method of approaching this is to jointly scale situationsand products, and Figure 13-3 provides an illustration. Determining how products are

currently used across situations can help the marketer develop appropriate advertising

and positioning strategies. Or a marketer may try to change the situation for which a

product is used.

Another approach for developing situation-based marketing strategies is to follow

these five steps:a. Use observational studies, focus group discussions, depth interviews, and

secondary data to discover the various usage situations that influence the

consumption of the product.

b. Survey a larger sample of consumers to better understand and quantify how theproduct is used and the benefits sought in the usage situation by the market

segment.

c. Construct a person-situation segmentation matrix. The rows are the major usagesituations and the columns are groups of users with unique needs or desires. Each

cell contains the key benefits sought.d. Evaluate each cell in terms of potential (sales volume, price level, cost to serve,

competitor strength, and so forth).e. Develop and implement a marketing strategy for those cells that offer sufficient

profit potential given your capabilities.

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