Q1. How personality and lifestyle influence customer decision making process (CDMP)? Explain with suitable examples.
Significance of e-commerce:
Answer:
Personality and lifestyle are important factors that influence the customer decision making process. Convenience of shopping anytime and anywhere
Personality refers to the psychological characteristics of an individual such as confidence, risk-taking, aggressiveness, or conservatism. These
traits influence how consumers recognize needs, search for information, evaluate alternatives, and make purchase decisions. For example, a
Wide product choice
risk-taking consumer is more willing to try new brands, whereas a conservative consumer prefers well-known and trusted brands. Lower operational and transaction costs
Lifestyle refers to the way people live, spend time, and spend money. It is reflected through activities, interests, and opinions. Lifestyle
determines product choice and consumption pattern. Easy price comparison
Example:
A fitness-oriented consumer prefers health foods, gym memberships, and sportswear, while a luxury-oriented consumer prefers premium
Global market reach
brands and high-end products. E-commerce has transformed traditional buying behavior by making shopping faster and more consumer-centric.
Q2. What are the latest trends in advertising influencing consumer behavior? Explain with help of any model and example. Q11. Explain about some popular forms of recent advertising.
Answer: Answer:
Latest advertising trends have a strong influence on consumer behavior by shaping awareness, attitude, and purchase intention. Recent forms of advertising focus on digital and interactive platforms.
Some major trends are: Some popular forms are:
Influencer marketing Influencer advertising through social media personalities
Personalized and data-driven advertisements Social media advertising on platforms like Instagram and YouTube
Emotional storytelling Personalized and targeted online ads
Social media and short-video advertising Content and storytelling-based advertising
Model used: AIDA Model (in words): Mobile and app-based advertising
Attention: Advertisement attracts consumer attention These forms are effective because they are engaging, targeted, and measurable.
Interest: Information creates interest in the product
Desire: Emotional appeal builds desire
Q12. Make the model of EKB. Critically examine the impact of EKB model on consumer purchasing behavior.
Answer:
Action: Consumer takes purchase decision The Engel–Kollat–Blackwell (EKB) Model explains consumer decision making as a structured process.
Example: Basic components of the EKB Model (in words):
An influencer promoting a skincare product on social media attracts attention, builds interest through reviews, creates desire, and motivates
consumers to buy.
Problem recognition
Information search
Q3. Explain Schiffman and Kanuk’s model with suitable diagram and examples.
Evaluation of alternatives
Answer:
The Schiffman and Kanuk Model of Consumer Behavior explains how consumers respond to marketing and social influences.
Purchase decision
Basic components of the model (in words): Post-purchase outcomes
1. Input: Marketing mix (product, price, promotion, place) and socio-cultural influences such as family and culture Impact on consumer purchasing behavior:
2. Process: Psychological factors like motivation, perception, learning, personality, and attitudes
3. Output: Purchase behavior and post-purchase evaluation Helps understand rational and complex buying behavior
Example:
A consumer sees a smartphone advertisement (input), evaluates the product based on perception and motivation (process), purchases the
Explains how information and experience influence decisions
phone, and later evaluates satisfaction after use (output). Highlights the importance of post-purchase satisfaction
Useful for marketers in designing marketing strategies
Q4. Consumer behavior incorporates several major aspects of disciplines such as sociology, psychology, anthropology and economics. However, the model is time-consuming and less suitable for impulsive purchases.
Elucidate with proper model.
Answer:
Consumer behavior is interdisciplinary in nature and is influenced by various social science disciplines. Q13. What do you understand by Howard–Sheth model of buying behavior? Explain this by making the model with suitable corporate
Psychology: Helps understand motivation, perception, learning, and attitudes
examples.
Answer:
Sociology: Explains the influence of family, social class, and reference groups The Howard–Sheth Model explains buyer behavior through learning, perception, and social influences.
Basic components of the model (in words):
Anthropology: Studies culture, traditions, and customs
Input variables (marketing stimuli and social factors)
Economics: Focuses on price, income, demand, and utility
Perceptual and learning constructs
Model used (in words): Engel–Blackwell–Miniard (EBM) Model
This model explains consumer behavior through information processing, decision stages, and environmental influences. Output variables (purchase decision and satisfaction)
Corporate example:
A consumer exposed to repeated advertisements of a smartphone brand learns about features, develops preference, and finally purchases
Q5. What is the relevance of studying the concepts of buying behavior in the present times? Explain its importance in terms of the product, showing brand loyalty over time.
management.
Answer:
Studying buying behavior is highly relevant in the present business environment due to changing consumer preferences and digitalization. Q14. Comment on market segmentation and explain how appropriate market segmentation strategy is required in the context of
Importance for management: identifying branding strategies in consumer behavior.
Helps understand customer needs and expectations Answer:
Market segmentation is the process of dividing a broad market into smaller groups with similar needs and characteristics.
Assists in product design and development Types of segmentation:
Improves pricing, promotion, and distribution decisions Demographic
Enhances customer satisfaction and loyalty Geographic
Understanding buying behavior enables managers to design effective marketing strategies and gain competitive advantage.
Psychographic
Behavioral
Q6. What is Nicosia model of consumer decision making? Explain with diagram. Importance for branding strategy:
Answer:
The Nicosia Model explains how a firm’s marketing communication influences consumer decision making. Helps identify target consumers
Basic components of the model (in words):
1. Firm’s marketing communication
Enables brand positioning according to consumer needs
2.
3.
Consumer attitude formation toward the brand
Purchase decision
Improves communication effectiveness
4. Feedback to the firm after purchase Builds strong brand loyalty
This model highlights the interaction between the firm and the consumer. Appropriate segmentation ensures that branding strategies are aligned with consumer behavior.
Q7. Marketers need to know the pre and post purchase behavior of consumers to increase sales. Enumerate with examples. Q15. Black box model, web-based advertising, online decision making process – write notes.
Answer: Answer:
Understanding pre and post purchase behavior helps marketers improve sales and customer retention. Black Box Model:
Pre-purchase behavior includes need recognition, information search, and evaluation of alternatives. This model explains that marketing stimuli enter the consumer’s “black box” (mind), which includes psychological and personal factors,
Post-purchase behavior includes satisfaction or dissatisfaction, repeat purchase, and word-of-mouth communication. leading to purchase decisions.
Example: Web-based advertising:
Consumers compare mobile phones before buying and later share feedback and reviews after using the product. It includes online advertisements through websites, search engines, social media, and mobile apps. It allows targeted and measurable
advertising.
Online decision making process:
Q8. Bring out how culture, subculture and cross-culture influence consumer buying behavior. Consumers recognize a need, search online information, compare alternatives, make purchase decisions, and share post-purchase feedback
Answer: digitally.
Culture, subculture, and cross-culture have a strong influence on consumer buying behavior.
Culture: Shared values, beliefs, and customs that guide consumption habits
Q16. Short notes on: Addictive consumption, Compulsive consumption, Consumer terrorism.
Subculture: Smaller groups such as religion, region, or ethnicity that influence preferences Answer:
Addictive consumption:
Cross-culture: Differences in consumer behavior across countries and societies Repeated consumption of a product due to psychological or physical dependency, such as alcohol or gaming addiction.
Example: Compulsive consumption:
Buying behavior during festivals in India differs from buying patterns in Western countries. Uncontrolled buying behavior driven by emotional stress or anxiety, often leading to regret.
Q9. Briefly explain any traditional models of consumer buying behavior by making the model. Consumer terrorism:
Answer: Extreme consumer behavior involving threats, false complaints, or pressure tactics to extract benefits from companies.
Traditional models of consumer buying behavior explain how consumers make purchase decisions.
Example: Traditional Buyer Decision Process Model (in words):
Need recognition
Q17. Explain the model which implies complex decision making process that consumers engage in during purchase of new products.
Answer:
Information search The Complex Decision Making Model applies when consumers purchase high-involvement or new products.
Key features (in words):
Evaluation of alternatives
Extensive information search
Purchase decision
Careful evaluation of alternatives
Post-purchase behavior
High perceived risk
This model explains that consumers move step by step from identifying a need to evaluating satisfaction after purchase.
Strong involvement in decision making
This model is commonly seen in purchases of cars, houses, or new technology products.
Q10. Comment on e-commerce and briefly explain their significance.
Answer:
E-commerce refers to buying and selling of goods and services through electronic platforms such as websites and mobile applications.