Consumer Behavior Program : MBA Class of : 2009 Credit : 3 Course Code : SL MM 602 Sessions : 33 Objective To understand the various factors influencing behavior of consumers – as individuals and as members of a group/society, and also the impact of consumerism in the contemporary environment. To understand the behavior of consumers – decision making, post-purchase behavior, behavior in a shopping environment, etc. To understand the behavior of organizations as consumers. REFERENCE BOOKS Consumer Behavior Consumer Behavior, 5e AUTHOR / PUBLICATION ICMR Leon G Schiffman and Leslie Lazar Kanuk, PrenticeHall, India Hawkins, Best & Coney, McGraw Hill Blackwell, Miniard & Engel, Thomson Solomon, Prentice Hall David Loudon, Albert Della Bitta, Tata McGraw Hill Consumer Behavior Consumer Behavior Consumer Behavior Consumer Behavior: Concepts & Applications Detailed Syllabus Introduction to Consumer Behavior: Definition, Role of Consumer Behavior in Marketing, Distinction among consumer, customer, buyer, user and payer. Framework of Consumer Behavior – Internal Influences, External Influences, Self-Concept & Life Style and Decision Process. Interdisciplinary subject encompassing concepts from psychology, sociology, anthropology, microeconomics and organizational (buying) behavior. Applications of Consumer Behavior. Consumerism & Consumer Behavior in the Contemporary Environment: Consumer movement & consumer rights. Concerns of consumers – government regulations & role of non-government organizations in addressing the same. Changing face of consumer behavior under the new scenario of globalization, technological changes, new retailing environment, etc. CONSUMERS AS INDIVIDUALS Personality and Self Concept in Consumer Behavior: Aspects of Personality & Impact on Consumer Behavior. Personality Theories – Freudian, Neo-Freudian and Trait Theories, Consumer Personality & Brand Personality, Self Concept – Types & Applications Consumer Needs & Motivation: Needs & Wants, Latent & Manifest Motives in a Purchase Situation, Maslow’s Needs & Consumer Behavior, Trio of Needs Theory, Motivation Theories - Optimum Stimulation, Hedonic Experiences, maintaining behavioral freedom, avoiding risk, attributing causality. Motivational Conflict, Motivational Research. Consumer Perception: Perception Process & Involvement, Sensation & Sensory Thresholds, Sensory Overload & Selective Perception, Use of Gestalt Principles in Marketing Communications, Common Perceptions of Colours, Interpretation – Semiotics. Perceived Risk. Perceptual Positioning & Perceptual Mapping. Consumer Attitude Formation & Change: Attitude functions. Tricomponent attitude model, hierarchies of attitude components. Multi-attribute attitude models. Attitude measurement. Changing consumer attitudes. Consumer Learning: Applications of behavioral learning theories (classical conditioning & operant conditioning) and cognitive learning theories (iconic rote, vicarious/modeling and reasoning/analogy) to consumer behavior. CONSUMERS CONTEXT IN THE SOCIAL Reference Groups & Opinion Leadership: Consumer socialization & consumption community. Types of reference groups, their nature of power & influence. Effect of reference groups on product & brand purchase. Opinion leaders – their role & types. Identifying opinion leaders and market mavens. Family, Gender & Age Influences: Family decision making roles, conflicts and their resolution. Role of gender and age in family decision making. Family life cycle and consumer decisions. Social Class & Consumer Behavior: Social class – its components & impact on consumer behavior. Measuring social class, India’s socio-economic classification. Influence of social mobility on consumer behavior. Targeting the poor & the rich, status symbols & conspicuous consumption. Cultural Influences on Consumer Behavior: Characteristics of culture, application of cultural learning & rituals in consumer behavior. Types of subcultures in the Indian context. Crosscultural influences. Cultural lessons in international marketing. decision making & involvement. Information search pattern & marketing strategy. Categories of decision alternatives. Hierarchy of effects. Types of choice models – multi-attribute, additive difference, conjunctive, disjunctive, lexicographic & elimination by aspects. Modeling consumer decision making – Howard-Sheth model, Nicosia model and Engel-Blackwell-Miniard model. Consumer in the Market Place: Factors influencing consumer outlet choice. Shopping orientation & shopping styles. Types of purchases. In-store influences on purchase. Consumer responses to marketing communications. Different forms of advertising appeals & consumer behavior. Post-Purchase Behavior: Satisfaction/dissatisfaction – loyalty/nonuse or complaint behavior. Measuring satisfaction, handling complaints, achieving customer loyalty. Postpurchase dissonance – causes and approaches to reducing the same. Disposal alternatives. Dark Side of Consumer Behavior: Concerns of marketers and dark side of consumer behavior (addictions, devious behaviors). Organizational Consumer Behavior: Organizational buying roles, buying situations & buying processes. Influences on organizational buying behavior. Cases: Faculty will be handling eight or more cases Online Matrimony Services in India Maruti - Valuing the Indian Used Car Market CONSUMER DECISION MAKING & BEHAVIOR CASAS BAHIA : Marketing to the Poor Tesco - The Customer Relationship Management Champion Diffusion of Innovation: Types and degrees of innovation & behavioral demands. Factors affecting adoption/diffusion & the decision making process. Adopter categories. Factors affecting speed of diffusion. Marketing strategies for enhanced diffusion. Coca Cola India's Thirst for the Rural Market Pepsodent - Charting Growth in Indian Oral Care Market through Segmentation MTV : Customer Consumer Decision Making: Types of ITC's Foray into Convenience Food Connecting with the Market Consumer Needs & Motivation 3 Fast Food Fables Guatemala - Evolving 'The Soul of the Earth' Consumer Perception 2 The Price War in Gujarat Newspaper Industry Consumer Attitude Formation & Change 2 HSBC - Local Bank to the World Consumer Learning 2 Kellogg’s Indian Experience Archies – The Way Indians Greet Reference Groups & Opinion Leadership 2 Lego Toys - The Story of Playful Learning 2 Market Expansion Strategies Of Maruti Udyog Family, Gender & Age Influences Social Class & Consumer Behavior 2 Cultural Influences on Consumer Behavior 2 Reebok's Changing Gameplan Krispy Kreme Doughnuts America's Hottest Brand Detroit - Getting Ready for an Image Makeover Diffusion of Innovation 2 Shoppers' Stop Consumer Loyalty Program Consumer Decision Making 3 Consumer in the Market Place 2 The Teleshopping Business in India Tupperware - Influencing Opinions through Word-of-Mouth Post-Purchase Behavior 2 Shopping Malls - A New Shopping Experience Dark Side of Consumer Behavior 1 Adbusters Media Foundation -The Global Network of Social Activists Organizational Consumer Behavior 1 Kohl's Tie-Up with Estée Lauder Influencing Customer Perceptions Total 33 Pet Services in India - From BowBow to Wow-Wow Shared Values - A Campaign Gone Hollow? Haldiram's - The No:1 Choice of Consumers Fairtrade - Influencing Purchase Decisions Dove - Campaigning for Real Beauty - (Source: Case Studies in Consumer Behavior) Suggested Schedule of Sessions Topic No.of Sessions Introduction to Consumer Behavior 1 Consumerism & Consumer Behavior in the Contemporary Environment 2 Personality and Self Concept in Consumer Behavior 2