Economic Theories and Customer´s Behaviors Essay

Economic Theories and Customer´s Behaviors Essay

Length: 1503 words (4.3 double-spaced pages)

Rating: Powerful Essays

Open Document

Essay Preview

For companies to be able to market products or services effectively, an understanding of how consumers behave and make decisions is necessary (Poon and Joseph, 2001). There are several theories that relate to this area, including economic theories as well as psychological theories. Earlier studies in theories concerning consumer behavior were developed through economic theory, for example the conception where consumers advance rationally to make best use of their satisfaction in the process of buying. More recent research shows that consumers are influenced by different types of reference groups, such as family, friends, advertisers and role models. Terms like impetuous purchase, mood, situation and emotion are applied more commonly in concerns concerning the behavior of consumers. All of these factors together form a complete model of consumer behavior that portrays both the cognitive and emotional aspects of consumer decision-making (Solomon et al., 2009). Assael (1994) explains consumer behavior as the process of recognizing and assessing various components of a purchase and further explains that there are two wide influences that decide consumer’s preferred choice.
Firstly, the individual consumer’s wants, awareness of brand distinctiveness and consciousness to alternatives are of significance in consumer decision-making. Other factors which affect the brand choice are the consumer’s demographics, peer pressure, lifestyle and personal characteristics. Secondly, the environment has importance in consumer behavior, which consists of culture, social class and various groups. Assael (1994) also describes the reason why information about consumer behavior is imperative for a company like ZARA to be aware of, which can thereby imp...

... middle of paper ...

...tomers’ queries in time. Being responsive implies a company should be accessible and willing to look into clients needs within the shortest time possible. ZARA has achieved this since its products were shipped directly from the central distribution center to well-situated, good-looking stores twice a week, doing away with the requirement for warehouse and keeping inventories low (Christopher et al., 2004). Companies and business ought to always put themselves in their customers’ shoes and endeavor to get their perceptions and their thoughts about the products provided the ‘given company. This quality of being compassionate is very imperative and helps in motivating customers. It involves listening keenly and asking the pertinent questions, speaking customers’ language, and tailoring products to satisfy or meet the customer the best way possible (Niinimäki, 2010).

Need Writing Help?

Get feedback on grammar, clarity, concision and logic instantly.

Check your paper »

Economic Theories and Relative Perspectives Essay

- A theory is an idea based on different conclusions, understandings, and responses. Therefore, it’s evident that economic theories differ according to the specific perspective that is being considered. They focus on different characteristics of the economy and are portrayed in a unique way. Neoclassical Economists, Marxists, and Radical Feminists all have different approaches and beliefs on the concept between care work and market work. Neoclassical economics focuses on maximizing utility. Both Marxist and radical feminist stress the importance of power relationships in care work and labor work....   [tags: economics, feminism, masculinity]

Powerful Essays
2831 words (8.1 pages)

Essay on Theories Of Health Behaviors That Assume Individuals Exist Within

- Theories of health behaviors that assume individuals exist within, and are influenced by social environment are called “interpersonal theories” (National Cancer Institute, U.S Department of Health and Human Services & National Institutes of Health, 2005). Interpersonal theories/models also focus on how individuals are influenced by the opinions, thoughts, behaviors, and support of the people he/she associates with and vice versa (how individual influences others). The social environment can affect a person’s behavior, as well as have an impact on one’s health (National Cancer Institute, U.S Department of Health and Human Services & National Institutes of Health, 2005).The names of the interp...   [tags: Psychology, Motivation, Educational psychology]

Powerful Essays
722 words (2.1 pages)

Essay on Marx's Theories

- Though Marx’s theories were first conceived over 150 years ago, his work continues to be tremendously influential and is perhaps the most well known scholarship within the sociological canon. Despite their prominence, some of Marx’s most famous ideas have yet to be proven by the course of history. Neo-Marxists may insist that the revolution is coming, but the fact remains that the overthrow of capitalism has yet to materialize. I argue that the communist revolution has not yet occurred because the proletariat has been unable to develop the universal class consciousness that Marx asserts is a necessary condition for his predicted mass uprising....   [tags: Neo-Marxist Theories, Marxist Ideology]

Powerful Essays
1564 words (4.5 pages)

The Theories Of The Health Behavior Theories Essays

- The health behavior theories are designed to understand habits of human actions in which enable health professionals to focus on assessing means to promote positive behavioral changes (Glanz, Rimer, & Viswanath, 2015). The ability to understand certain factors in human behavior, such as how they think, where they live, what they need, and why people do what they do are all the necessary information to consider when desiring to improve behavior health. The absence of behavior theories across intervention studies will not be able to explain many of the actions of people, which will defer ceasing an epidemic of diseases like HIV....   [tags: Psychology, Behavior, Infectious disease]

Powerful Essays
1020 words (2.9 pages)

Social Network : Influences On Economic Behavior Essay

- The third factor is social network - influences economic behavior by offering concrete examples of how to behave and by enforcing sanctions for any misbehavior (chapter 2, Handbook of Economic Sociology). Social network theories was built on Durkheim 's ideas about “how the individual 's position in a social milieu shapes both his behavior and his underlying identity” (chap.2, Handbook). For Durkheim, social networks shape the behavior of human not just in a negative sense, but also in a positive sense of creating acceptable economic behavior sequences....   [tags: Sociology, Economics, Max Weber, Behavior]

Powerful Essays
748 words (2.1 pages)

Investigating Drop Out And Delinquency Relationship And The Deviant Behaviors

- The purpose of this literature review is to investigate drop out and delinquency relationship and the deviant behaviors. In the literature it’s explain some drop out of school because they are having academic difficulties or do not like school may think of themselves and their future in different terms than those who have to leave school to get a job or because of pressing family obligations. Some youths drop out of school and assume new conventional roles and identities like worker or parent, whereas others leave school but fail to assume another positive role....   [tags: Sociology, Criminology, Status attainment]

Powerful Essays
1837 words (5.2 pages)

Theories of Crime Essay

- Juvenile delinquency is a social issue that has been without much success with regards to its redress. This has mostly been contributed to failures to fully understand the concept. The best way to address such an issue can only be through the understanding of the causation mechanism that has led to the situation. There is a dire need to get an understanding of the causes of juvenile delinquency within the society being the only way to adequately comes up with preventive measures against delinquency....   [tags: Criminology ]

Powerful Essays
919 words (2.6 pages)

Behavior Change Theories and Planning Models Essay

- Behavior Change Theories and Planning Models The combination of behavior change theories and planning models are key in developing an intervention plan for several health care associated problems. Through these theories and models, health education specialists can research and find root causes to problems, factors that surrounded the health problem, point of risk factors, and develop a plan of action. These models not only educate the individuals struggling with health issues, but provide very important data that can later be used for further research....   [tags: health education settings]

Powerful Essays
1266 words (3.6 pages)

Motivational Theories Essay

- Motivation is the force that makes us do things, whether accomplishing personal goals or completing tasks at work. Most people are motivated as a result of their individual needs being satisfied, which gives them the inspiration to perform specific behaviors for which they receive rewards (Kinicki & Williams, 2011). These needs vary from person to person, as everybody has specific needs to be satisfied. When we consider factors that determine the motivation of employees, many of us think of a high salary....   [tags: Business Management ]

Powerful Essays
1748 words (5 pages)

Essay about Western Nursing Theories

- This writer is going to explore two different western nursing theories that were shaped by philosophy, politics, history and society and view the revolutionary application of the theories in the modern world. In the beginning of a journey to a psychiatric nursing career, a student needs to consider nurses of the past, and present, and the theories they developed. Nursing is constantly evolving and the nursing theories evolve in response to society’s evolution.(Barker,2009) Historically politics shaped society, and its view of the mentally ill....   [tags: Existential Phenomenological Philosophy]

Powerful Essays
2487 words (7.1 pages)