Question 1

Research shows that _____ per cent of university students keep their first credit card for at least 15 years.

Accepted Answer

The answer of Research shows that _____ per cent of...

Question 2

The statement 'I selected the computer that was the best in at least one attribute' is most likely to be made using which of the following decision rules?

Accepted Answer

The statement indicates that the decision maker is only looking for a computer that excels in at least one attribute, which is the basis of the disjunctive decision rule. The other decision rules require a more complex evaluation of the attributes of the options before making a choice.

Question 3

Consumers make three types of purchases. Which of the following is not one of the types of purchases?

Accepted Answer

The three types of purchases are trial purchases (initial purchases to try out a product/service), repeat purchases (ongoing purchases of a product/service), and long-term commitment purchases (committing to a product/service for an extended period of time, such as a gym membership or car lease). Temporary purchases are not a recognized type of purchase.

Question 4

Of the non-compensatory decision rules, the _____ is when the consumer ranks the attributes in terms of perceived relevance or importance and then compares the various alternatives in terms of the single attribute that is considered most important.

Accepted Answer

The lexicographic decision rule involves the consumer ranking attributes in terms of perceived importance and selecting the alternative that performs best on the most important attribute. It is a non-compensatory decision rule, which means that a low level of performance on one attribute cannot be compensated for by a high level of performance on another attribute. The conjunctive decision rule involves setting minimum acceptable levels for each attribute and selecting alternatives that meet or exceed those levels. The disjunctive decision rule involves setting a minimum acceptable level for any one attribute and selecting alternatives that meet or exceed that level. A heuristic is a mental shortcut or rule of thumb used to simplify decision making.

Question 5

A strategy employed by shoppers to save money on frequently purchased items they would buy anyway classifies shoppers as:

Accepted Answer

Practical loyalists are shoppers who consistently buy from the same brand or store because they find value in the products and services, and they employ strategies to save money on items they would purchase regardless.

Question 6

Which of the following is not one of the non-compensatory decision rules?

Accepted Answer

Heuristic is not one of the non-compensatory decision rules. It is a decision-making shortcut or mental shortcut that may or may not be rational or optimal. The other three choices, Conjunctive, Disjunctive, and Lexicographic, are all non-compensatory decision rules.

Question 7

The consumer establishes a separate, minimally acceptable level as a cut-off point for each attribute when using a:

Accepted Answer

The conjunctive decision rule is a non-compensatory decision-making rule that stipulates that a product has to meet all of the minimally acceptable levels on all attributes established by the consumer in order to be considered for purchase. Therefore, it requires the establishment of a separate, minimally acceptable level as a cut-off point for each attribute. In contrast, the compensatory decision rule allows consumers to trade-off high performance on one attribute for lower performance on another attribute, which does not require a separate, minimally acceptable level for each attribute. The disjunctive decision rule requires the consumer to establish an acceptable level for any one attribute, which is not the same as a minimally acceptable level for each attribute.

Question 8

Ken had been wanting to try the new no-fat potato chips. When he saw them in the store, he bought the smallest bag he could find. Ken's purchase could be termed a(n):

Accepted Answer

Ken's purchase is a trial purchase, as he bought the smallest bag to test out the new product. He is not yet committed to making a regular purchase of this product, and is simply trying it out.

Question 9

_____ decision rules do not allow consumers to balance positive evaluations of a brand on one attribute against a negative evaluation on some other attribute.

Accepted Answer

Non-compensatory decision rules do not allow consumers to balance positive evaluations of a brand on one attribute against a negative evaluation on some other attribute. Compensatory decision rules, on the other hand, allow consumers to trade off positive and negative attribute values. Conjunctive and disjunctive decision rules are also non-compensatory, but operate differently than simple non-compensatory decision rules.

Question 10

When using a _______, the consumer establishes a separate, minimally acceptable level as a cut-off point for each attribute. If any particular brand falls below the cut-off point on any one attribute, the brand is eliminated from further consideration.

Accepted Answer

The conjunctive decision rule involves establishing a minimum acceptable level for each attribute, and if a brand falls below that level on any attribute, it is eliminated from further consideration. This rule allows consumers to consider multiple attributes and ensures that they choose a brand that meets their minimum standards for all of them. The other options, disjunctive, lexicographic, and heuristic, involve different decision-making processes and do not require a separate minimum standard for each attribute.

Question 11

As consumers use a product, they evaluate its performance in light of their own expectations. Which of the following is not a possible outcome of these evaluations?

Accepted Answer

While it is possible that consumers may need to repeat a trial of a product if the outcome is unknown, this is not an outcome of their evaluations of the product's performance. The other options (performance matching, exceeding or falling below expectations) are all potential outcomes of consumer evaluations.

Question 12

The statement 'I selected the computer that came out best when I balanced the good ratings against the bad ratings' is most likely to be made using which of the following decision rules?

Accepted Answer

The Compensatory rule involves weighing the importance of different attributes against each other and selecting an option that has the highest overall score, even if certain attributes have lower scores. In this statement, the person is balancing good and bad ratings, which suggests they are using a compensatory rule in their decision-making process.

Question 13

Of the non-compensatory decision rules, the _____ is when the consumer establishes a separate, minimally acceptable level as a cut-off point for each attribute. If the brand or model falls below the cut-off point on any one attribute, the brand or model is eliminated from further consideration.

Accepted Answer

The conjunctive decision rule involves setting minimum acceptable cutoff levels for each attribute. If a product fails to meet the minimum level for any one attribute, it is eliminated from consideration. This rule allows consumers to narrow down choices by eliminating options that do not meet all of their basic requirements.

Question 14

Programs that are designed to foster usage, loyalty and commitment to a company's products or services are known as:

Accepted Answer

Relationship marketing programs are designed to build long-term relationships with customers, encourage repeat business and increase customer loyalty. These programs can include loyalty programs, personalized communications, and customer service initiatives. Trial periods, free sampling, and promotional programs can all be part of relationship marketing, but they are not exclusive to it.

Question 15

The type of purchase that is not always an option for a consumer is a(n):

Accepted Answer

The answer of The type of purchase that is not...

Question 16

The statement 'I selected the computer that had no bad features' is most likely to be made using which of the following decision rules?

Accepted Answer

The conjunctive rule is used when a decision maker sets a minimum acceptable cutoff level for each attribute and selects the first option that meets all minimum thresholds. In this case, selecting a computer that had no bad features implies that all features met a minimum acceptable level, aligning with the conjunctive rule approach.

Question 17

_____ decision rules are when consumers evaluate brands or model options in terms of each relevant attribute and calculate a weighted summated score for each brand.

Accepted Answer

Compensatory decision rules involve consumers considering all relevant attributes of different brands or models and calculating a weighted overall evaluation for each option. This means that consumers are willing to overlook a low score on one attribute if the overall score is high enough.

Question 18

Which of the following is not one of the strategies consumers usually adopt when coping with missing information?

Accepted Answer

The other three strategies (delaying the decision, ignoring missing information, and inferring missing information) are all common ways that consumers cope with missing information. Refraining from making a decision indefinitely is not a strategy but rather a result of not taking any action.

Question 19

When an evoked set is smaller than it 'should be', it suggests the existence of:

Accepted Answer

When an evoked set is smaller than it 'should be', it suggests that there are overlooked brands. This means consumers are not considering all the available options, possibly due to lack of awareness or information about these brands.

Question 20

The _____ consists of brands the consumer is indifferent towards because they are perceived as not having any particular advantages.

Accepted Answer

The inert set refers to the brands that do not have any particular advantages and hence the consumer is indifferent towards them. In contrast, the evoked set consists of brands that are actively considered by the consumer, and the consideration set involves the brands that the consumer is actively evaluating for purchase. The inept set refers to brands not considered by the consumer due to negative experiences or associations.

Quiz 14: Decision making