Theory question 102
Consumer BehaviourMr Oke, the head of the purchasing committee in BIQ Ltd bought a television set for his family.
(a) Explain the first four steps Mr Oke took in buying the television.
(b) List and explain four factors that would influence the committee's buying behaviour.
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(a) Need recognition: he realised the family needed a television.
Information search: he gathered information on brands, sizes and prices from adverts, shops and friends.
Evaluation of alternatives: he compared brands on price, quality, size and features.
Purchase decision: he chose the brand that suited his family and budget and bought it.
(b) Any four, explained: environmental factors (economy, inflation, interest rates, government policy, technology); organisational factors (objectives, policies, procedures, structure); interpersonal factors (authority, status and influence of committee members); individual factors (age, education, personality, experience of members); supplier factors (price, quality, reliability, credit terms).
In (a) apply each step to Mr Oke; (b) is about the company committee, not his family.