Chapter 15 - Global Economy
15-1 Consumer Buying Decisions
Brand- The name given to a product or service to distinguish it from other similar and competitive items.
Impulse Buying- The opposite of spending time and effort and buying too quickly.
Wise Buying StrategiesConsumer Decision Making Process:
1) Identify your wants and needs
2) Know the choices available
3) Determine your desired satisfaction
4) Evaluate the alternatives
5) Make a decision
Keep in Mind
When buying a product, you often trust information provided by others who have bought and used the product.
Smart consumers are comparison shoppers! Compare prices, quality, and brands when shopping.
Also, take your time shopping take your time, time your purchases, and avoid being impulsive.
Types of Retailers
Department Stores- Have extensive product lines and emphasize service. They have personal shoppers, make deliveries, and wrap gifts. (Ex: Macy's)
Discount Stores- Emphasize lower prices on their products. Make most of their success on sales with low prices. (Ex: Walmart)
Specialty Stores- Have special line of products for sale. (Ex: Ikea)
Supermarket- Food-retailing store that carries various brands. (Ex: WinCo)
Convenience- Small stores that emphasize the sale of food items and have long operating hours. (Ex: 7-Eleven)
Vending machines are an example of non-store shopping, meaning they don't belong to a store but to it's manufacturing company.
Many people confuse 'needing' and 'wanting'. When you're impulse buying, you usually combine the two and end up buying something that may or may not be important at the time.
As mentioned, it is best to compare, prices, quality, and brands when shopping.
Wise Buying Decisions
Always remember to think about your 'wants' and 'needs'. Know your priorities when shopping and only buy things that you feel are needed and necessary at the time.