...MKT 2240- BUYER BEHAVIOUR THE BEHAVIOUR OF THE YOUNG TOWARDS LUXURY PRODUCTS WORD COUNT 1709 Submitted on: 2nd Sept 2013 Module Coordinator: John Sutton Content Introduction 3 *Luxury Background 3 *Today’s Youth 4 Consumer Behaviour 4 Self Concept Theory 4 The ‘A B C’ Attitude model 6 Conclusion 8 References List 9 Introduction "Luxury is a necessity where necessity ends." Coco Chanel The main purpose of this research is to find out what creates a spark in the youth of today when it comes to buying luxury products. For some it may be status and recognition for the others it may be comfort and quality, it may vary from people to people due to their personality. Today’s...
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...479 479 International Journal of Advertising, 30(3), pp. 479–507 © 2011 Advertising Association Published by Warc, www.warc.com DOI: 10.2501/IJA-30-3-479-507 Young adults’ responses to product placement in movies and television shows A comparative study of the United States and South Korea Taejun (David) lee Bradley University Yongjun Sung and Sejung Marina Choi University of Texas at Austin This research examines young adults’ attitudes towards product placement in films and television shows from two countries that represent contrasting cultural distinctions: the US and Korea. The results suggest that young adults in both countries perceive film product placement in a similar way but, with respect to television, Korean respondents tend to perceive it as less effective in enhancing content realism and more unethical and misleading. In addition, the findings suggest that, for both film and TV, material- ism, attitude towards advertising, and realism enhancement appeared to be significant predictors of consumer cognitive response to product placement. However, cross-cultural differences were observed for TV product placement. In the US, materialism and real- ism enhancement were found to be most powerful predictors of cognitive response to product placement. In contrast, attitude towards advertising and materialism were found to be the strongest predictors in Korea. Implications for both advertising researchers and practitioners are provided. Introduction Movies have almost...
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...Abstract Although businesses are formed to fulfill various needs in the market, the ultimate goal is to make a profit (Porter, 1985, 12). To realize the profits that the company may be targeting, sales have to occur. The transfer of the goods or services from the manufacturer or distributor to the consumer is referred to as a sale. It is in this regard that companies world over have set aside huge budgets for the marketing and sales divisions. The concept of marketing has evolved from being a simple process to a complex system that involves many stakeholders. However, at the end of the day, the concept remains the same. This is because it is a process that seeks to attract customers and retain them. It also seeks to deliver the products as and when required by the market. This study seeks to establish how several factors affect the ideals of marketing. One of them is the consumer motivation followed by the market perceptions of a given product. Emotional drivers also play a significant role in the determination of a given marketing campaign. The study will look at the sport clothing market and will seek to analyze it along the factors mentioned above. Introduction The increased emphasis on physical fitness from many quarters has led to a significant uptake of sports and games by people from all walks of life. Traditionally, sports used to be viewed as activities reserved for a few. However, there has been a major shift where sports are being taken up for both professional...
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...Role Play 1 1. Introduction In order to develop District 100’s sales goals for the next year, Rhonda called in for an early morning meeting with five of her salespeople in the district. Rhonda will be working with her salespeople to set goals for the upcoming year. They will be also be discussing during this meeting on the various external environmental factors that will have potential impacts on Upland’s business and their clients. Rhonda’s main objective is to stimulate discussion about the full spectrum of external environment factors that are likely to impair Upland’s business and to get everyone to contribute to the discussion. 2. Dialogue Rhonda : Good morning everyone. Firstly, I would like you to know that there are many factors that can affect our company's business and the results of its operations, some of which are also beyond the control of the company… Rhonda : Anyone have any idea on how it may affect Upland and our customers? Chloe: Yes, I do know that there are some important factors that may cause the actual results of Upland’s operations in future periods to differ materially from those currently expected or desired. Rhonda : So what do you have in mind, Chloe? Chloe : Great. I would like to start to introduce some of the external factors that may affect our health and beauty product industry. Chloe: One of the factors will be the general economic and industry conditions. Any general economic, business or industry conditions that...
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...TUTORIAL ASSESSMENT You will be assessed in two different ways via tutorials throughout the study period. Part A – Tutorial Answers Each week, starting from Week 2, you will be required to complete answers to a series of tutorial questions. These are to be completed prior to the tutorial with further discussion from students and tutors provided in the tutorials. On three randomly selected weeks, you will need to hand up your answers to your tutor in the tutorial for marking. Each of these three submissions is worth 4% of your final grade. The randomly selected weeks will vary for each tutorial. The tutorial questions for each week are as follows: Week 2: Questions to prepare at home: 1) Why is it more useful to research the ‘who, what, when’ of buying rather than the ‘why’? 2) You have recently been appointed as the Marketing Assistant for Nescafe, a large coffee manufacturer. The Marketing Director (your boss) has asked you to look over a data set for instant coffee purchases and provide a series of calculations (for the brand performance measures provided below). However, some members of your marketing team are not familiar with the following measures. Briefly explain each of the measures. Why is it important to have an understanding of these in marketing? a. Penetration b. Average Purchase Frequency c. Share of Category Requirements d. Category Buying Rate e. Sole Loyalty Exercises to complete in class: a. How are each of these measures calculated? Provide...
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...Motivation Conflict With (he many motives consumers have and the many situations in which these motives are activated, (here are frequent conflicts between motives. The resolution of a motivational conflict often affects consumption patterns. In many instances, the marketer can analyze situations that are likely to result in a motivational conflict, provide a solution to the conflict, and attract the patronage of those consumers facing the motivational conflict. There arc three lypes of motivational conflict of importance to marketing managers: • Approach-Approach Conflict • Approach-Avoidance Conflict • Avoidance-Avoidance Conflict Approach-Approach Motivational Conflict A consumer who must choose between two attractive alternatives faces approach-approach conflict. The more equal this attraction, the greater the conflict. A consumer who recently received a large cash gift for graduation (situational variable) might be ton) between a trip to Hawaii (perhaps powered by a need for stimulation) and a new mountain bike (perhaps driven by the need for assertion). This conflict could be resolved by a timely advertisement designed lo encourage one or the other action. Or a price modification, such as "buy now, pay later." could result in a resolution whereby both alternatives are selected. Approach-Avoidance Motivational Conflict A consumer facing a purchase choice with both positive and negative consequences confronts approach-avoidance conflict...
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...Unit 17: Marketing Intelligence Buyer Behaviour and Market Research Techniques This assignment is going to be looking at understanding buyer behaviour and the purchase decision making process. It will cover describing the main stages of the process, along with explaining theories of buyer behaviour and factors that may affect this. Finally it will evaluate the relationship between brand loyalties, corporate image and repeat purchasing. Being able to use marketing research techniques will also be included within this essay; evaluating different types of market research, using sources of secondary data to achieve marketing research objectives and assessing the validity and reliability of these findings. All of the above topics will conclude with a proposal of a market research plan to obtain information in any given situation. LO1: Buyer Behaviour Figure 1.1a: http://www.enotesmba.com/2014/06/marketing-notes-consumer-decision-making-process.html (Accessed: 23rd Nov 15) Figure 1.1a: http://www.enotesmba.com/2014/06/marketing-notes-consumer-decision-making-process.html (Accessed: 23rd Nov 15) Engel, Blackwell and Kollat (1968) developed a model of the consumer buying, decision making process in five steps (see figure 1.1a): Problem or need recognition, information search, evaluation of alternatives to meet this need, purchase decision and post-purchase behaviour. They believed that these five stages displayed what led a shopper to purchase a new product (http://theconsumerfactor...
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...increase’ The decision to analyse this newspaper article ‘Fairtrade UK sales show 12% increase’ from the Financial Times is because it encourages further analysis of consumer behaviour and aids, understanding many of the concepts and models that are core to consumer behaviour. The article reports that consumers in the UK are increasingly purchasing Fair-trade products, citing a 12% rise in 2011 from 2010. Consumers are more prepared to spend their money to help ensure a better deal for foreign farmers and prevent their exploitation and their very motivation behind this demonstrates many of the core concepts of consumer behaviour. The article provides the background information that the overall market growth for grocery products stood at around 5% and suggests that this market growth isn’t sustainable and also suggests that consumers will continue to increase their purchases of Fair-trade products despite increasing financials hardship amongst UK consumers. The article invites analysis of how consumer’s desire for ethically sourced products is being tapped into by companies and what is motivating the purchase decisions of these consumers. It also offers an insight into the organic food products market, which has seen sales fall year on year for the last 3 years. This essay illustrates how by applying consumer behaviour theory to the facts reported in the article, understanding of the consumer is greatly improved. The essay will offer analysis of the consumer from three different perspectives;...
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...benefits from establishing a JIT relationship with a buyer such as Dixon. Usually, such relationships are longer term, more cooperative, and with a small set of vendors. D&S will then have a more certain, steady demand for their product. They should also have more accurate forecasts further into the future. Besides these demand benefits, D&S could improve its production and distribution efficiency. Better knowledge of the size and timing of orders would allow them to plan operations more efficiently. As they are responsible for much of the ordering, they can better coordinate their operations with the order cycles. However, D&S does have some reasons to be concerned also.. The relationship shifts supply responsibility to D&S. The guaranteed business would be at risk if D&S were to forecast or perform poorly. Further, the responsibility for placing orders in now a D&S paid employee. 2. Identify the pros and cons of a JIT relationship from a buyer’s point of view. A buyer, such as Dixon, can obtain many relationships from a JIT relationship with a supplier. Order timing becomes the responsibility of the vendor. Quality should improve and deliveries should become more reliable. Through better coordination, the supplier’s costs should improve, which may eventually be reflected in their price. Buyers often have several concerns of such an arrangement. For one, seldom does a supplier have only one customer in a market. Buyers worry that sensitive information, such as upcoming...
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...threat of new entrants in the industry would be Low. Bargaining Power of Suppliers Suppliers play a role in the industry as providers of major goods like handsets that are subsidized for the carriers for their customers. Prices in that regard remain relatively similar across the competition. Companies maintain relationships with upstream suppliers to remain successful in the industry, which does gives suppliers some power in the industry. Other costs are relatively similar across the industry for the top companies in terms of usage and customer base, as well as in-house equipment. Overall the bargaining power of suppliers in this industry would be Medium. Bargaining Power of Buyers The buyers sector of the industry is heavily dependent on price sensitivity, which is high in the industry. Buyer subscriptions and volumes have been...
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...A Problem of Price This vignette is characteristic of what happens when buyers are asleep at the wheel. Sue Jones is a newly promoted buyer that is paying close attention to details of her new job. Sue finds that the companies that have bided in this process are all within about $50 of one another. The strange thing about thus is not the fact that the bids are so close but that the winning bid is not low enough. How does she get her cost down even lower? Sue should focus on the startup costs associated with the chemicals. Based upon her discussions with other companies, sue should see a reduction of at least between $750k-$850 dollars in the overall costs that is paid to Chicago Chemical. Chicago Chemical has already been producing the chemical for the past 5 years; therefore, there isn’t any startup costs associated with their production of the chemical. Because of this Sue should be able to reopen negotiations with them. The overall cost should be about $2.1M or $210 per barrel. The other bidders have already said that the startup costs re added into their bids. Chicago Chemical has been reaping too much profit at the expense of Prestige Plastic. One method that Sue could deploy would be to take the business away from Chicago Chemical or threaten to do so. Chicago Chemical would have to react to this demand from Prestige. Chicago would not be able to offer up huge disdain to this idea because this bid process is commercial in nature and not governmental. Because of this...
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...these stores create additional revenue for the online giant. For buyers, eBay offers many choices by setting up comparisons of similar products’ prices and auction bidding function which increases the products’ value. Finally, eBay serves up third party advertising to its customers based on their product searches. 2. What potential contracting problems exist on eBay? Potential contracting problems with eBay exist within both the selling and the buying arenas. The most common problems that arise are when the products are not shipped or when buyers do not pay for items that they are contractually obligated to purchase. Naturally, fraud can exist in any big online market like eBay because it is difficult to sort through millions of transactions. Thus, eBay has set up a feedback system which allows users to rate their experiences with other students on the website. This feedback system has its own weakness because sometimes a seller or buyer could easily apply for more than one account and mislead users with fake reviews and ratings. However, eBay has made this much more difficult to do than it used to be. The auction system can be scammed in other ways too. Take deceptive sellers for example, who can disguise themselves as bidders to increase the price of their item are not satisfied with the bidding activity. Shipping is also always a potential problem. A fairly common occurrence is that buyers are not...
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...Jordan Belfort or otherwise referred to as “The Wolf of Wall Street” is an American author, entrepreneur, and motivational speaker. He was the former kingpin of the notorious investment firm Stratton Oakmont. Jordan has been established as one of the most well known men of American finance. Belfort rose to his fame through his deceiving forms of stock market manipulation. At the age of twenty six Jordan was a multimillionaire making just shy of one million dollars a week from his Brokerage Firm. Belfort quickly became consumed in a life of sex, money and drugs. He was spending his money just as fast as he was making it. “I partied like a Rock Star and lived like a King” -Jordan Belfort. Drawing so much attention to himself even the FBI took notice. Federally convicted at the age of thirty six. This is the biography of a man who rose and fell as an American Entrepreneurial Icon. Jordan Ross Belfort was born July 9, 1962, in the Bronx, New York City. Former member of the middle class; raised by two accountant parents Leah and Max Belfort. He grew up as an only child in a tiny apartment in Bayside Queens NYC. Jordan was an entrepreneur at a young age. Between the years of High School graduation to the beginning of College. Belfort made twenty thousand dollars upon selling Italian ice with his best friend at the local beach. Leah Belfort's dream was for him to become a doctor. Jordan went on to graduate with a degree in biology from The American University. From then on Belfort used...
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...20 dollars spent on new cars last year. The company even turned a profit. If you think car dealers are a pain, try working with car buyers. If buyers see the stereotypical dealer as a hustler who is partial to false promises and esoteric pricing, the dealer sees the typical customer as a grouchy opportunist who will dicker for an entire afternoon, then take a quote down the street to see if a rival dealer can beat it. A service that aims to please both of these groups might seem like a dubious business model. But Autobytel, a seven-year-old online car-buying referral service, has mastered the balancing act. Generating roughly $17 billion in car sales annually – or 5 percent of total U.S. volume – Autobytel’s network embraces 8,800 dealers, 10 million customers, and four Web sites: Autobytel.com, Autosite.com, Autoweb.com, and CarSmart.com. It is nearly twice as large as its nearest rival, Microsoft’s Carpoint.com. Autobytel’s secret to success it that it makes life easier for dealers rather than trying to replace them. Customers who want an Autobytel referral must disclose their names, addresses, and payment method; in return, they get a price quote from a local dealer. To separate tire-kickers from serious buyers, Autobytel’s proprietary 26-step screening process verifies everything from area codes to the age of each potential buyer. Historically, dealers close about 12 to 15 percent of the leads they receive from Autobytel, as opposed to a 10 percent rate from other...
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...suppliers | How inportant are specific suppliers inputs | how likely are suppliers to forward intergrate | how easily can organisations in the industry switch suppliers | what is the proportion of the cost of the suppliers products relative to the total cost of the industry product or service | Is information about the suppliers product easily avaliable | how profitable are the suppliers? | | | POWER OF BUYERS -STRONG | | How concentrated are the buyers in the industry? Is distribution controlled by a few important outlets | Are there alternative channels of distribution | what impact does the product or service being purchased by the buyer have on their business? | How likely are buyers to backwards intergrate? | How easy or difficult is it for buyers to switch to alternative suppliers? | How important are industry volumes to buyers? | What is the porportion of the cost of the industry product being purchased relative to other products and services the buyers buy? | How profitable is the buyer? | How easliy can the buyer access information about the industrys products and...
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