Literature Review of Buyer Behaviour Models

Literature Review of Buyer Behaviour Models The purpose of marketing is to make consumers develop an urge for a particular product even if they are not looking for the same. That is why organisations are required to understand the behaviour of customers before marketing their products in a more desirable way. Consumer behaviour is defined as the way the consumers act or behave when looking for, buying and using products (ODougherty, Haynes, Davies OConnor, 2007). Consumer behaviour is significant to businesses as they determine the nature of the prospective buyers. Knowing consumer behaviour helps business enterprises to find out the best way to advertise the products in order to attract a particular set of consumers. In the earlier times, shop keepers were able to acquire a fair understanding of consumer behaviour because they sold their products directly to the customers. However, with the increasing growth in the size of firms, opportunities of direct contact with consumers have lowered. Increasingly, managers are investing more to gain an insight on consumer behaviour. As a consequence, business and academic researchers invest more resources in studying consumer energy for the improvement of businesses. Literature Review Several academics and professional have conducted their research on consumer behaviour. A review of the literatures would include significant theories and studies in this perspective. Stimulus-Behaviour Model One of the oldest models in regards to consumer behaviour is stimulus-behaviour model. The following model propagates that marketing and other stimuli influence the buyers black box, producing certain responses (The Institute for Working Futures, n.d.). The stimuli can be of two kinds. The marketing stimuli or the marketing mix consist of 4 Ps including product, price, place and promotion. Others include economic, technological, political and cultural stimuli. All these stimuli move through the consumers black box and help them to make the product choice, brand choice, purchasing timing and purchasing amount. Figure 1: Stimulus-Behaviour Model (Source: Tyagi Kumar, 2004) Apart from this simplified model, several other models have been developed by the marketing scholars in the field of consumer behaviour. The most prominent models have been developed by John A. Howard and Jagdish N Sheth, Francesco M. Nicosia, James F. Engel, Roger D. Blackwell and David T. Kollat. The five stage model of buying process includes steps like recognizing the problems, searching for information, evaluating the alternatives, purchasing decision and post purchase behaviour of the consumers. After purchasing the products, the buyer is expected to feel some level of satisfaction or dissatisfaction regarding the product or service acquired. The number of organisational buying processes can be quite large. Product and service marketers have recognized that at every step of the buying process, the purchaser can have different requirements and various groups can get involved in the same. Buy Grid Model According to the Buy Grid model, the process of decision making within an organisation has two parts including buy phase model and buy class model. The stages in the Buy Phase model are quite similar to the buying stages discussed above. After identifying the requirements, industrial buyers pass through a number of processes including determination of requirements, specific description of the same, search for probable sources, assessment of the sources, selection of the same, establishment of order routine and appraisal of the performance feedback (Baker Hart, 2003). Figure 2: Buy Grid Model (Source: Baker Hart, 2003) Buy class has been added to the same model to create a grid. Buy class model refers to the various types of buying decisions; the decisions are mostly based on consumers experience about specific products or services. The new buying decision takes into account the products and services which have never been acquired, along with the entire process. The straight re-buy process and modified re-buy process consider less number of tasks as consumers do not need to spend time on searching for sources (Dwyer Fanner, 2008). Industrial Buying Behaviour Back in the year 1973, Sheth had proposed a model on the industrial buyers behaviour. The model is a complex one with a large number of variables integrated in it. Figure 3: An Integrated Model of Industrial Buying Behaviour (Source: Sheth, 1973) The model considers many variables. However, all of these variables hold relevance in the process that determines purchase decisions. Certain conditions are there which can be simplified depending on the situation. Prior to that, in the year 1966, Nicosia has proposed a model which included attitude, motivation and experience as the driving force behind the purchase process (Swarbrooke Horner, 2007). Buyer Seller Interaction In 1985, Campbell criticized the Sheth model for not considering the interplay between the marketing and purchasing strategies and their antecedents. Another disadvantage is that the model concentrates on the buyers side rather than paying attention to the sellers influence on buying behaviour. In contrast, an interaction model introduced by IMP group has focussed mostly on the interaction of the two parties giving almost equal importance to the characteristics of both the buyers and the sellers. According to the Campbell, the model includes three variable groups: the buyers characteristics, the product and the supplier. Figure 4: Buyer Seller Interaction (Source: Baker Hart, 2003) The above model considers few probable types of buyer and seller interaction strategies. These are competitive, cooperative and command. A joint occurrence of the above mentioned strategies can happen if both the parties have almost similar level of power and the switching cost to other suppliers is almost equal for every case. In command buying, the consumer is expected to have more power than the vendor. Cooperative buying mostly happens between the manufacturer and the distributor of the products, when cooperation is required between the two. The above model shows buyers and sellers characteristics with detailed discussion on the interaction. There are certain other concepts related to consumers buying behaviour. There are a number of people, directly and indirectly involved in the purchasing processes. The buying centre is comprised of all the people involved in the buying process. The initiator, user, buyer, influencer, decider and gatekeeper are individuals or groups involved in the various stages of the process. The initiator is the individual or group who first suggests the need of purchasing a particular product. The influencer is the individual or group, who would have his or her input in the entire process. People, controlling the information flow and access to concerned individuals in the organisations, are the gatekeepers of the entire process (Folsom Boulware, 2004). Apart from those mentioned above, there are several others involved in significant stages of the process. Conclusion After critically examining all these models, it was understood that most of these models have taken into account a number of broad factors which are comprehended according to the model specifications. Most of these models start with the initiation of expectations among the consumers. Certain other factors such as lifestyle of the users, status of the consumers, information sources such as exhibition and shows, advertisements, word- of-mouth may result in influential factors behind the consumers purchasing processes. Certain factors, such as time pressure and inherent risk are quite specific to the respective product and have the ability to put an impact on purchasing process. Apart from these, there can be certain other situational and company specific factors influencing the choice of suppliers (Sheth, 1973). Post-purchase satisfaction also triggers the re-buying process. Reference Baker, J., M Hart, S. 2003. The Marketing Book. Butterworth-Heineman. Dwyer, R., F. Fanner, F., J. 2008. Business Marketing. New York: McGraw Hill. Folsom, D. W. Boulware, R. 2004. Encyclopedia of American business. NewYork: Infobase Publishing. ODougherty, D., Haynes, R., Davies, V. M. OConnor, M. 2007. Consumer Behavior. South Africa: Pearson Education. Sheth, N. J. 1973. A Model of Industrial Buyer Behaviur. [Pdf]. Available at: http://www.jagsheth.net/docs/A%20Model%20of%20Industrial%20BuyerBehavior.pdf [Accessed on November 01, 2010]. The Institute for Working Futures. No Date. Consumer Buying Behavior. [Online]. Available at: http://www.marcbowles.com/courses/adv_dip/module12/chapter4/amc12_ch4_two.htm [Accessed on November 01, 2010]. Tyagi, L., C. Kumar, A. 2004. Consumer Behaviour. Atlantic Publishers Distribution. Swarbrooke, J. Horner, S. 2007. Consumer behaviour in tourism. USA: Elsevier Ltd.

The Family Essay :: essays research papers

When I was in India, I have heard lot of people going America for study. One of my cousins also came her for study. She told me that study in America and in India is so different. I was very eager to know about it. She told me the main difference is: The relationship between teacher and student, study policy, unity of students. To respect teachers is very important in India. Students have to respect their teachers. When they attend school every student has to respect teachers by standing up. They are not allowed to argue with teachers. If they try to do argue with teachers then they must thrown out of the class or may be out of the school. While here in America students call their names and disrespect teachers. I like one thing most that here students has to change room to attend the classes but in India teachers has to change the room to teach the students which is very unhealthy for students. Policies in Indian schools/collages are same for students. It is very unusual for Indian students to different policies from different professors. Policies like: Attendance policy, exam policy, grading policy. In America schools aren’t strict for students. They can take as many leaves as they want. The Indian schools are very strict for teenage students. The colleges are very smooth to go because no need to go to collage and here in America each and every day student have to attend collage. The Indian college has no policy for exam if one has missed the test then its all over. While in here everyone can get chance to make up the test. Unity of students is the most important. In collages students celebrate all the festival together with teachers. It is not important while celebrating that student is Hindu or Muslim or christen.

Contract and Chicago Medical School Essay

Facts: In December 1973 Robert Steinberg, the plaintiff, applied for admissions to the Chicago Medical School. He paid an application fee of $15, but his application was rejected. After being rejected he filed against the school, claiming that they did not evaluate his application according to the academic entrance criteria printed in the school’s bulletin. Steinberg argues that the school based its decision primarily on nonacademic consideration such as family connections between the applicant and his family to donate large sums of money to the school. Steinberg assets that by evaluating his application to these unpublished criteria, the school breached the contract it had created when it accepted his application fee. The trail court granted the defendant’s motion to dismiss, and Steinberg appealed. Issue: What is a contract? Rules: Mutual Assent- the parties to a contract must by show of words or condut that they have agreed to enter a contract. The usual method of mutual assent is by offering and acceptance. Consideration- each party to a contract must intentionally exchange a legal benefit or incur a legal deteriment as an inducement to the other party to make a renturn change. THIS FOR THAT basically. Legality of subject matter- the purpose of a contract must be not criminal, tortuous, or otherwise against public policy Capacity- the parties to a contract must have mental understanding of what they are entering into. Application: The contract that Steinberg and Chicago Medical School entered into meets the four requirements for a contractual contract. Therefore it is binding and legally enforceable. Conclusion: The court agreed with Steinberg’s position and that both parties did indeed enter a enforceable contract and under this contract by accepting the application fee the school must evaluate give him valuable consideration and his application evaluation was to be based on the criteria stated in the school’s bulletin. Steinberg accepted the school’s promises in good faith and he was.

Romantic Relationships The Romantic Construal Model

Thought Paper After reading the chapter â€Å"Romantic Communication in Intimate Relationships: The Romantic Construal Model†, I was left with a lot of new knowledge. The Romantic Construal Model, which identifies how people judge romantic acts via personalization, specialness and conveyed value, is something that I had never heard of before and enjoyed learning about, but like with any new concept I was left with lots of questions as well as relations to other things I have previously learned. For this thought paper my question that I am going to address is why are certain types of communication more valuable to romantic intimate relationships than others? Towards the beginning of the article the communication of affection in relationships was discussed in great length. As reading through this, I was reminded of some concepts that I have studied previously regarding the five love languages. There is a book that describes these as being: words of affirmation, quality time, receiving gifts, acts of service and physical touch. This book is really interesting because it outlines that each person has a primary and secondary love language and it argues that those in relationships should be aware of the love language of the other person and use the love language on their partner and vice versa. When the article was talking about how that communication of affection is the main providing foundation for all intimate relationships and how this can determine satisfaction and security inShow MoreRelatedAdult Attachment Style And Forgiveness1269 Words   |  6 Pagesimpact of the close relationships individuals’ have experienced starting from childhood. Adult attachment styles include: secure attachment, characterized by a comfortableness with both intimacy and independence in romantic relationships; anxious-preoccupied attachment, encompassing a strong desire for intimacy and attention from a partner; dismissive-avoidant attachment, including a desire for independence, su ppression of feelings, and denial of the need for intimate relationships; and fearful-avoidantRead MoreDoes Insecure Attachment Relate From The Behavior?2162 Words   |  9 Pagesdevelopment is a secure attachment, characterized by love and attention from a caregiver. Attachment styles form the basis of subsequent internal working models, or mental construal of the self, others, and relationships based on one’s history of care. An infant with a history of positive experiences will form positive interpersonal relationships. On the other hand, insecurely attached children will not follow a normal course of development and exhibit negative behaviors in the social environmentRead MoreFilipino Adolescents in Changing Times*10342 Words   |  42 Pagesdetermining the critical events or â€Å"turning points† in their lives that have shaped their self-concept or identity. Specific research questions included: †¢ What are the beliefs, attitude, perceptions and behavior of young people specifically about relationships (with the sane and opposite sex), sexuality, health, reproductive health, rights, entitlements and privileges? †¢ What are their notion of self and identity? * This is an excerpt of Chapters 1 and 2 of the book â€Å"Filipino Adolescents in ChangingRead MoreStephen P. Robbins Timothy A. Judge (2011) Organizational Behaviour 15th Edition New Jersey: Prentice Hall393164 Words   |  1573 Pagesand Change 20 †¢ Coping with â€Å"Temporariness† 20 †¢ Working in Networked Organizations 20 †¢ Helping Employees Balance Work–Life Conflicts 21 †¢ Creating a Positive Work Environment 22 †¢ Improving Ethical Behavior 22 Coming Attractions: Developing an OB Model 23 An Overview 23 †¢ Inputs 24 †¢ Processes 25 †¢ Outcomes 25 Summary and Implications for Managers 30 S A L Self-Assessment Library How Much Do I Know About Organizational Behavior? 4 Myth or Science? â€Å"Most Acts of Workplace Bullying Are Men