Chapter 7

Question 1

rational behavior

Answer 1

says that people use calculations to make choices and get outcomes that align with personal objectives

(maximizing self interest)

Question 2

examples of rational behavior

Answer 2

• williams sonoma made a more expensive “deluxe” bread machine so the cheaper one started to sell fast
• amazon (the value of free) with the idea of free shipping

Question 3

retail shopping behaviors

Answer 3

• demographics
• lifestyles
• needs / desires
• shopping attitudes / behavior
• retailer actions
• environmental factors

Question 4

social factors that influence lifestyles

Answer 4

• culture
• social class
• reference groups
• time
• household life cycle
• family life cycle

Question 5

different types of reference groups

Answer 5

• aspirational group (those who don’t belong but want to join)
• membership group (people that do belong)
• dissociative group (people who don’t want to belong)
• face to face group (intimate family or peers)

Question 6

psychological factors that influence lifestyles

Answer 6

• personality
• attitude
• perceived risks
• class consciousness
• purchase importance

Question 7

types of perceived risks

Answer 7

• functional
• physical
• financial
• social
• time
• psychological

Question 8

illustrations of lifestyles

Answer 8

• gender roles
• consumer confidence
• poverty of time
• component lifestyles (meets diverse needs / interests)