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Consumer Behavior MCQs
The main theories of consumer behaviour include, the cognitive paradigm sees a purchase as the outcome of a rational decision-making process, the learned behaviour theory emphasises the importance of past purchases, the habitual decision-making theory emphasises habit and brand loyalty. Here on MCQs.club we have designed simple Multiple-Choice Questions (MCQs) on consumer behaviour that wholly covers course like nonprofit and internal marketing, factors influencing and affecting consumer behaviour, types of buying decision behaviour. Moreover, MCQs on corporate social marketing with examples. These MCQs are benefical for Professional Accountancy exams, Business management exams and Competitive exams.
- Research suggests that customers go through a series of decision-making process in any purchase. Identify the stages:
- Need recognition
- Information search
- Evaluation of alternatives
- Decision to purchase
- Post purchase evaluation
- All of the above
- (II) (III) and (IV) only
- (III) and (IV) only
- All of the above
- The outcome of the evaluation process may be a decision to:
- Buy the product now
- Not buy the at all
- Defer the purchase of the product
- To start the process again
- All of the above
- Identify the factors that influence buying decisions of a customer:
- Socio/cultural influences
- Personal influences (e.g. age, family status, economic circumstances)
- Psychological influences (e.g. motivation, perception, learning, Beliefs and attitudes)
- All of the above
- Identify the main theories of consumer behaviour.
- The cognitive paradigm sees a purchase as the outcome of a rational decision-making process.
- The learned behaviour theory emphasises the importance of past purchases.
- The habitual decision-making theory emphasises habit and brand loyalty.
- All of the above
- Buying patterns are heavily influenced by an individual’s economic circumstances. An individual’s economic circumstances consist of:
- Spendable income: its level, stability and time pattern
- Savings and assets, including the percentage that is liquid
- Borrowing power
- Attitude toward spending versus saving
- All of the above
- Which of the following statement is correct regarding ‘organisations as buyer’?
- Organisations are viewed as more rational than individuals. The buying decision making process is likely to be formal.
- Organisational (or industrial) buying is the process organisations use to establish the need to purchase products and services and how these products and services are selected and purchased.
- Both A&B
- None
- When considering organisational markets certain factors should be taken into account. Identify such factors.
- Organisational markets normally comprise fewer buyers, with a few buyers responsible for the majority of sales.
- Because of this smaller customer base and the importance and power of larger customers there is generally a close relationship between buyer and seller.
- Demand for industrial goods is ultimately derived from the demand for consumer goods. The total demand for many industrial products is not affected much by price changes.
- The purchase decision is usually made by consensus in an organisational setting, rather than being the responsibility of one person.
- All of the above
- A major difference between consumer and organisational buying behaviour is the fact that organisational purchase decisions are rarely made by a single individual. Normally, purchasing decisions are made by a number of people from different functional areas, possibly at different levels within the organisation.
- The above statement is true
- The above statement is false
- NGOs play an important role international development by directing development funds from donors and agencies to the point of need, unconstrained profit or politics. NGOs use marketing to:
- Find a position for themselves within the market
- Distinguish client and donors needs
- Formulate and communicate NGO requirements and gain new supporters.
- All of the above
- What problems are associated with marketing in the Not-for-Profit sector?
- The not-for-profit sector may have a number of financial and non-financial social objectives. Therefore, its desire to meet its customers’ needs is further constrained by its requirements to meet wider social objectives.
- Absence of markets – there is no marketplace within which customers can choose competing goods and services.
- Both A&B
- None
- Not-for-profit organisations need to consider their marketing objectives, target markets, marketing mixes and how they will control marketing activities.
- True
- False
- Target marketing will involve identifying a number of different audiences. Identify the types of customers for charities.
- Beneficiaries – include not only those who receive tangible support, but also those who benefit from lobbying and publicity.
- Supporters – provide money, time and skill. Voluntary workers form an important group of supporters. Those who choose to buy from charities are supporters, as are those who advocate their causes.
- Regulators – include both formal bodies, such as the Charities Commission and local authorities, and less formal groups such as residents’ associations.
- All of the above
- Charities and not-for-profit organisations are increasingly utilising marketing tools and techniques, particularly in relation to:
- Segmentation
- Targeting and positioning.
- Both A&B
- None
- Targeting goods and service at businesses that will use the products to produce the goods or service that they produce for sale is known as:
- B2B marketing
- B2C marketing
- Both A&B
- None
- Business to consumer (B2C) marketing –
- Targeting goods and service at businesses that will use the products to produce the goods or service that they produce for sale.
- The market for products and services bought by individuals for their own use or their family’s use.
- Both A&B
- None
- Features of Business to Business (B2B) marketing include:
- Derived demand – demand for the product is derived from consumer demand.
- Fewer buyer – the number of buyers for an industrial good is generally smaller than for a consumer good.
- High purchasing power – Each industrial buyer tends to have a higher purchasing power than consumers
- Closer relationships between buyers and sellers
- Technical complexity – there is often a greater degree of technical complexity
- All of the above
- (I) and (III) only
- (III) only
- None
- Internal marketing is the process of motivating and training employees so as to support the organization’s external marketing activities. Employee’s efforts to achieve marketing goals should be recognized and rewarded.
- The above statement is correct
- The above statement is incorrect
- Which of the following statement is correct regarding implications of internal marketing?
- The company may have a strong marketing strategy but without their employee’s support it will not be effective.
- If advertising promises are not kept through the services and the products provide eventually the company’s reputation will suffer and the customers will stop coming.
- For the firm to deliver consistently high quality, everyone must practice a customer orientation.
- All of the above
- It is growing more difficult for organisations to maintain communication with staff. Identify the challenges which makes it impossible:
- Flatter management structures, meaning that managers have more people reporting to them (a wider ‘span of control’)
- Downsizing, creating workload pressures that may hinder communication and networking
- A trend towards tele-working and ‘virtual’ organisation, so that staff may be geographically remote from the office, manager and each other
- Globalization, creating increasingly diverse workforces and culturally distinctive units within the organisation, which pose barriers to ‘mass’ communication.
- All of the above
- The advantages of e-mail for internal communication include:
- Messages can be sent and received very quickly
- E-mail is cheap
- A ‘hard copy’ may be printed if required
- Messages can be sent worldwide at any time: e-mail is 24-7, regardless of time zones and office hours
- The user can attach complex documents (spreadsheets, graphics, photos) where added data or impact are required
- All of the above
- (I) (III) and (V) only
- (I) and (V) only
- None
- Corporate social responsibility involves an organisation accepting that it is part of society and, as such, is accountable to society for the consequences of its actions. Socially responsible firms believe that they have an obligation to maximise the positive impact they have on their stakeholders.
- The above statement is true
- The above statement is false
- Which of the following statement is correct with regard to social marketing?
- Encourages individuals to consume goods that have positive benefits for themselves and society as a whole, e.g. fruit and vegetables, vaccinations against disease.
- Discourages individuals to consume goods that have negative benefits for themselves and society as a whole, e.g. tobacco, alcohol.
- Both A&B
- None
- Advantages to a company of adopting a socially responsible approach include:
- Unique selling point – the market for a particular product may be highly competitive. The support of socially valuable causes may allow a company to develop a unique identity for its products.
- Increased sales – customers may be willing to pay more for a product bought from a responsible company rather than an irresponsible one.
- Can reduce company costs.
- All of the above
- Which of the following is correct regarding ‘Ethical marketing’?
- Ethical issues usually revolve around safety, quality, and value and frequently arise from failure to provide adequate information to the customer.
- Ethical issues relating to the product or service may range from omission of uncomfortable facts in product literature to deliberate deception.
- Ethical considerations are also relevant to promotional practices. Advertising and personal selling are areas in which there may be temptation to exaggerate, slant, conceal, distort and falsify information.
- All of the above are correct
- Benefits to socially responsible and ethical organisations include:
- Competitive advantage – Being socially responsible may be a unique selling point and offer the organisation an opportunity to create a distinct identity for itself and its products.
- Greater revenue – Socially responsible organisations can often charge a premium for their products.
- Reduced costs – Some costs may be reduced if an organisation adopts socially responsible practices, for example recycling may reduce costs of sending waste to landfill.
- Positive publicity – Introducing changes voluntarily, before any regulations come into force, will reflect favourably on the organisation.
- (I) only
- ((I) (II) (IV) only
- All of the above
- None
- Which of the following is correct regarding ‘Social marketing’?
- Social marketing is the application of marketing techniques to achieve non-commercial goals, for example to encourage behaviour that benefits the environment or to encourage good health.
- Governments may attempt to use social marketing to encourage consumption of merit goods and discourage consumption of demerit goods.
- Both A&B
- None
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