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Consumer behaviour, Purchasing and supply chain magagement - summary
- Vak
- 1ZV20
- Instelling
- Technische Universiteit Eindhoven (TUE)
Summary of 30 pages for the course 1ZV20 at TUE
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1ZV20:Buying
Behaviour
&
Innovation
–
A
summary
of
chapters
1,
2,
3,
4,
7,
8,
9,
15
and
16
of
Consumer
Behaviour
(Schiffman,
Kanuk,
Hansen)
and
chapters
1,
2,
3,
5,
6,
9,
10
and
17
of
Purchasing
&
Supply
Chain
Management
(Van
Weele)
TU/e,
Eindhoven
April,
2014
Toine
van
Mourik
,Chapter
1
(CB)
There
are
two
types
of
customers:
• The
personal
customer
buys
goods
and
services
for
his
or
her
own
use.
• The
organizational
customer
must
buy
products,
equipment
and
services
in
order
to
run
their
organizations.
A
marketing
concept
is
an
approach
of
doing
business.
Several
different
ones:
• The
production
concept
assumes
that
consumers
are
mostly
interested
in
product
availability
at
low
prices.
• The
product
concept
assumes
that
consumers
will
buy
the
product
that
offers
them
the
highest
quality,
the
best
performance
and
the
most
features.
• The
selling
concept
involves
the
marketer’s
primary
focus
of
selling
that
product(s)
that
it
has
unilaterally
decided
to
produce.
It
assumes
that
one
has
to
aggressively
persuade
customers
to
buy
the
products.
The
marketing
concept
is
a
consumer-‐oriented
marketing
approach
where
product
needs
are
first
validated
before
they
are
brought
to
the
market.
Consumer
research
describes
the
process
and
tools
used
to
study
consumer
behaviour.
There
are
two
theoretical
perspectives
that
guide
the
development
of
consumer
research
methodology.
Positivists
tend
to
be
objective
and
empirical,
to
seek
causes
for
behaviour,
and
to
conduct
research
studies
that
can
be
generalised
to
larger
populations.
Interpretivists
tend
to
be
qualititative
and
based
on
small
samples.
They
seek
to
find
common
patterns
of
operative
values,
meanings
and
behaviour
across
consumption
situations.
Market
segmentation
is
the
process
of
dividing
a
market
into
subsets
of
consumers
with
common
needs
or
characteristics.
Market
targeting
is
selecting
one
or
more
of
the
segments
identified
for
the
company
to
pursue.
Positioning
is
developing
a
distinct
image
for
the
product
or
service
in
the
mind
of
the
consumer,
an
image
that
will
differentiate
the
offering
from
competing
ones
and
squarely
communicate
to
consumers
that
the
particular
product
will
fulfil
their
needs
better
than
competing
brands.
It
involves
(a)
communicating
the
benefits
rather
that
the
product’s
features
and
(b)
an
unique
selling
proposition.
The
marketing
mix
consists
of
a
company’s
product/service
offerings
to
consumers
and
the
methods
and
tools
it
selects
to
accomplish
the
exchange.
It
consists
of
four
elements:
the
product/service;
price;
place;
and
promotion.
The
three
drivers
of
successful
relationships
between
marketers
and
customers
are:
• Providing
customer
value.
It
is
defined
as
the
ratio
between
the
customer’s
perceived
benefits
and
the
resources
used
to
obtain
those
benefits.
• Customer
satisfaction
is
the
individual’s
perception
of
the
performance
of
the
product/service
in
relation
to
his/her
expectations.
• Customer
retention
makes
it
in
the
best
interest
of
customers
to
stay
with
the
company
rather
than
switch
to
another
firm.
Reduction
in
customer
defection
produce
significant
increases
in
profits.
The
societal
marketing
concept
requires
that
all
marketers
adhere
to
principles
of
social
responsibility
in
the
marketing
of
goods
and
servces.
They
should
preserve/enhance
the
well
being
if
consumers.
1
, The
process
of
consumer
decision-‐making
can
be
viewed
as
three
distinct
but
interlocking
stages:
the
input
stage,
where
the
consumer’s
recognition
of
a
product
need
is
influenced,
the
process
stage,
which
focuses
on
how
consumers
make
decisions,
and
the
output
stage
describes
post-‐decision
activities.
Chapter
2
(CB)
Quantitative
research
is
descriptive
in
nature
and
is
used
by
researchers
to
understand
the
effects
of
various
promotional
inputs
on
the
consumer,
thus
enabling
markets
to
‘predict’
consumer
behaviour
(positivist
approach).
Qualitative
research
methods
are
primarily
used
to
obtain
new
ideas
for
promotional
campaigns
and
products
(interpretivist
approach).
The
consumer
research
process
consists
of
several
steps:
1. Defining
the
objectives
of
the
research
2. Collecting
and
evaluating
secondary
data.
Secondary
data
is
any
data
originally
generated
for
some
purpose
other
than
the
present
research
objective.
These
data
might
include
syndicated
data,
customer
profitability
and
lifetime
value
data.
3. Designing
a
primary
research
study.
This
involves
choosing
between
quantitative
and
qualitative
research.
Quantitative
research
methods
include:
observational
research;
experimentation;
and
surveys.
Quantitative
data
collection
instruments
include:
questionnaires
and
attitude
scales
(several
types
will
be
discussed
later).
Qualitative
research
methods
include:
focus
groups;
depth
interviews;
projective
techniques
(disguised
tests);
metaphor
analysis
(relies
on
expression
other
than
words)
4. Collecting
primary
data
5. Analysing
the
data
6. Preparing
a
report
on
the
findings
There
are
several
types
of
attitude
scales:
• The
Likert
scale
is
based
on
the
level
of
disagreement
of
consumers
with
a
certain
statement.
• The
semantic
differential
scale
typically
consists
of
a
series
of
bipolar
adjectives
anchored
at
the
ends
of
an
odd-‐numbered
continuum.
• The
behaviour
intention
scale
asks
consumers
to
make
subjective
judgments
regarding
their
future
behaviour.
• The
rank-‐order
scale
asks
subjects
to
rank
items
in
order
of
preference
in
terms
of
some
criterion.
Customer
satisfaction
measurements
includes
several
measures:
• Customer
satisfaction
surveys
use
5-‐point
semantic
differential
scales
ranging
from
‘very
dissatisfied’
to
‘very
satisfied’
• Customers’
expectations
versus
perceptions
of
product/service
is
described
by
a
scale
that
measures
the
performance
of
the
service
received
against
adequate
and
desires
service
levels.
• Mystery
shoppers
• Critical
incident
method
consists
of
asking
customers
to
think
back
and
describe
interactions
that
they
had
with
employees
in
a
particular
industry.
• Analysing
customer
complaints
The
sampling
plan
of
a
research
design
consists
of
three
questions:
who
to
survey;
how
many
to
survey;
and
how
to
select
them.
2
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