Friday, January 15, 2010

Environmental Influences

There are five different environmental influences on consumer behavior. Each influence impacts consumer behavior in a different way. Throughout my post I will describe each of them, explain how they impact consumer behavior, and will also provide an example

Culture is the broadest and most abstract external factor. The textbook states that culture is the "complexity of learned meanings, values, norms, and customs shared by members of a society." There are many cultures throughout the world and each one has a different impact on consumer behavior. For example, McDonalds was able to expand globally by studying eating habits of different cultures. Take a look at the website to see how McDonald's menu varies around the world. http://triffer.com/practical-travel/budget-travel/mcdonald%e2%80%99s-strange-menu-around-the-world/

Cultures are made up of many smaller groups of people who have different beliefs, values, norms, and patterns of behavior. These smaller segments are known as subcultures, and are often based on age, geographic, religious, racial, and ethnicity. People who live in a very cold region could be considered as a subculture. Snowmobile dealers would need to pay close attention to subculture. For example, it would not make much sense to place an Arctic Cat dealer in a warm southern state.

Social classes refer to a segment of society in which people share similar lifestyles, values, norms, interests, and behaviors. Level of income is often used to determine ones social class. People with more money usually buy nicer things. Therefore, it wouldn't make sense to place a Lamborghini dealership in a small city consisting mostly of middle class people. It would make more sense to put the dealership near a very large city where there is a larger upper class. Take a look at the locations in this Lamborghini dealer directory. http://www.autodealerdirectory.us/lamborghini

A reference group is a group of people whose attitudes, behaviors, beliefs, opinions, preferences, and values, are used by an individual for judgmental purposes. One can be heavily influenced by a reference group without being a member. For example, I might go out and purchase a "Easton Synergy" hockey stick because all of my favorite professional hockey players are using it.

Situational determinants also affect consumer behavior and there are three different types. The specific usage situation, the purchase situation, and the communications situation all affect perceptions, preferences, and purchasing behaviors. Situational determinants are very important in advertising. For example, a commercial advertising hair care products for women would be most effective if it were used during a "chick-flick," which would allow the commercial to reach the desired target market.

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