Consumer Behavior:
Consumer as Decision Maker with cultural background

Transnational Business

University of Applied Sciences, Nürtingen

from

Isabelle Pfeiffer

Springsemester 2000

Table of contents

1 Introduction 1
1.1 In general to the "Hauptseminar" paper consumer behavior - consumer as decision maker with cultural background 1
1.2 Definitions 2
1.2.1 Consumer behavior 2
1.2.2 Decision maker 2
1.2.3 Culture 3

2 The case 4

3 The dimensions of consumer behavior 6
3.1 Understanding the consumer behavior 6
3.1.1 Who buys? 6
3.1.2 How consumers buy? - The decision making process 7
3.1.2.1 Problem recognition 7
3.1.2.2 Information search 7
3.1.2.3 Evaluation of alternatives 9
3.1.2.4 Product choice 9
3.1.2.5 Outcomes 10
3.1.3 Choice criteria 10

4 Influences on consumer behavior 12
4.1 The buying situation 12
4.1.1 Extended problem solving 12
4.1.2 Limited problem solving 12
4.1.3 Habitual problem solving 13
4.2 Personal influences 13
4.2.1 Personal factors 13
4.2.2 Psychological factors 13
4.3 Social influences 14
4.3.1 Cultural factors 14
4.3.2 Social factors 14

5 Summary 16

Appendices 17

Bibliography 18

List of abreviations

et at. and others
op.cit at the indicated place
p. page
pp. pages

List of figures page

figure 1: The Determinants of Culture 3
figure 2: Influences on consumer purchasing behavior 15

List of tables page

table 1: Five types of perceived risk 8
table 2: Choice criteria used when evaluating alternatives 11

1 Introduction

1.1 In general to the "Hauptseminar" paper consumer behavior - consumer as decision maker with cultural background

The target of this "Hauptseminar" paper is, to show the decision making process of consumers with different cultural background and also the influences on the choice of the product or service. Consumers have to make decisions all the time. Sometimes decisions are made on habits, and sometimes consumers first have to collect information before deciding, because the purchase is a deal with risk. One of the main objectives of this paper are to understand how consumers process information into decisions and the strategic implication of this process, and to gain an insight into the continuum of factors that affect consumer decisions. In the case "`But where are the French?′ - The trials and tribulations of Euro Disneyland" I have chosen the difference between Americans and Europeans in the decision making process is described.

Textual this "Hauptseminar" paper is structured as the following:

After advancing to the topic, the terms "consumer behavior", "decision maker", and "culture" are defined within the introduction. The main part is divided into three blocks, the case, the dimensions of consumer behavior, and the influences on consumer behavior. In the first main part the case of Eurodisney is described and analyzed. The difference between Europeans and Americans in spending money in theme parks, the difference in their tastes and the different vacation situation is shown in this case. In the second main part the dimensions of consumer behavior are explained and discussed on the basis of the case. The three dimensions who buys, how consumers buy (the decision making process) and the choice criteria are discussed in more detail. The decision making process is subdivided into five steps: the problem recognition, the information search, the evaluation of alternatives, the product choice, and the outcomes like costumer satisfaction. The influences on consumer behavior are forming the third main part of this "Hauptseminar" paper, which is subdivided into the buying situation, personal influences, such like lifestyle, stage in the life cycle, or beliefs and attitudes, and the social influences, such like family, culture, and geodemographics. The summary forms the closing of the text of this hauptseminarpaper, followed by the appendices, and the bibliography.

1.2 Definitions

1.2.1 Consumer behavior

Consumers are individuals who are buying products or services for personal consumption. Their behavior is defined as the following. “Consumer behavior is the study of the process involved when individuals or groups select, purchase, use or dispose of products, services, ideas or experiences to satisfy needs and desires.”¹

“Consumer behavior is defined as the study of the buying untis and the exchange processes involved in acquiring, consuming, and disposing of goods, services, experiences, and ideas.”²

1.2.2 Decision maker

Decision-maker is a person who has to make a choice between alternatives. In the purchasing process this is for example choosing the right lipstick color among a dozen of lipsticks. Or like in the Euro Disney case, choosing the right and cheapest accomodation. Decision-making is the choice of a solution from alternative solutions generated, which trigger a whole process from estimating the problem up to evaluating the decision.

[...]

1 Michael Solomon, Gary Bamossy, and Sören Askegaard, Consumer Behavior - a European Perspective, 4th edition, Prentice Hall Europe 1999, p. 34.

2 John C. Mowen, and Michael Minor, Consumer Behavior, 5th edition, Prentice Hall 1997, Chapter 1.