Free Essay on Decision-Making and Consumer Behavior

Consumer product refers to the final product that is ready for exhaustion by the buyer. They are products that are ready for use by the consumer and not for resale or even used by others. It is through consumer products that the behavior of a customer is discovered. The willingness and ability to buy the required or the product in interest determine consumer behavior. Due to the different nature, conveniences, price, and impacts of consumer products, different consumer behaviors may be developed (Peter, Olson & Grunert, 1999). The paper will, therefore, discuss the consumer product in relation to consumer behavior widely as well as provide an outline view of how consumer behavior is stipulated. It will also give an analysis of the factors influencing consumer behavior in conjunction with specific products. The paper will mainly dwell on electronic machines as a product in high demand for this evolving technological world.

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The decision-making and the factors influencing consumer behavior will be the critical elements in the paper as well as outlining the methodologies and strategies to regulate consumer behavior. Likewise, the product advancement and methods to marketing it will also be factored in to explain deeply its impact as well as its role in consumer behavior.

Decision-making involves a process through which a consumer intellectually goes through to understand his or her needs, ability, and the product he or she prefers. It is a basic unit of repeatedly buying of goods and services that a consumer longs for. Several methodologies and strategies influence a consumer to willingly buy a particular product as well as re-buying it over and over. Repeated action creates a consumer habit that leads to human behavior of using that specific commodity or instead service (Peter, Olson & Grunert, 1999). Some of the factors that influence decision-making on what product to take include Marketing, economic, social, functional, cultural, psychological, and personal factors. The factors also induce different types of consumer behavior. They include the following, routine behavior, random decision-making, complex engagement decision-making, and finally impulsive buying (Hoyer, 1984).

Factor influencing decision-making on consumer products

Economic factor

The main basic or primary foundation of decision-making is the economic factor. It determines the purchasing power of the buyer. Here, the buyer is limited by wealth or rather ability to buy the product of his or her demand. In most cases, people wish to buy the best products ever; however, due to insufficient cash with them, they usually opt to buy what they are capable of. Therefore the ability to purchase the consumer good may consequently influence consumer behavior and habits on how often they purchase goods and services.

For instance, in the world of electronics, most elites would like to use each and every version of the smartphone that zips in, in the market. However, inadequate cash in their position does not allow them to purchase. Likewise, people with vast amounts of money they can move with a changing world. They usually buy what is trending in the market without much worrying about the cost. Therefore economic factor is one of the elements that manipulate consumer behavior.

Pricing sometimes is always crucial factor to consider in the economic background and decision-making. It is quite often that people tend to go for cheap products while there those that believe expensive products are best (Hoyer, 1984). For that reason, the pricing and economic status of a buyer become of paramount importance in decision-making as well as in manipulating consumers' behavior. The state, therefore, creates a perception of the quality of the product by the price mechanism. The higher the price is, the more quality the product is. Under that assumption, consumers find themselves making various decision on what product to purchase.

Social factor

In social aspects, social classes develop as well as family classes. Social status predetermines consumption practices as well as routines. It instills a specific behavior and perceptions on particular products as well as lifestyles. In the process, decision-making on what to consume and what to avoid comes in, with respect to their social status. Roles and occupations positions tend to influence one's behavior and way of consuming. However, that's not all, but also families with different social class ranks tend to influence its members to consume what others can. It, therefore, creates a consumption habit that leads to consumer behavior against a particular product.

For example, a consumer from a loyal family may decide always to be buying a specific model of a car each and every year regardless of whether he or she has money. From this case, the behavior is influenced by the notion of their family social class, and therefore, he or she can never lower the level of his or her family.

Personal Factors

Personal factor is one of the factors that influence the decision-making of a consumer as well as his or her behavior. Under consideration, there are several ways for consumer behavior. They include age, occupation, self-perception, lifestyle, and personal financial management strategies (Edwards, 1954). Age provides the time hood that allows one to behave in a particular way as well as using certain products designed for that age group. For instance, it is tough to find an 80year older adult buying a video game or even swimming costumes (Hoyer, 1984). At that particular age, consumer behavior is limited to some specific products. It is also evidence that youth can easily buy a complicated, sophisticated machine, unlike a child who does not have proper knowledge of handling that production.

Similarly, self-perception and lifestyle may trigger a particular behavior in the consumption of a specific product. For instance, parting lifestyle may lead to demand for more expensive drinks as well as other luxurious services. In this context, the consumer develops a habit that later turns to be consumer behavior.

Financial management and personal principles on budgeting it sometimes leads to decision-making on consumption. The behavior to economize the resource one has, may also lead to the acquisition of taking economic products. Beliefs and personal attitudes against individual perceptions about a particular product also lead to the influence of consumer behavior and decision-making.

Marketing Factor

Marketing involves moral persuasion to win more customers or a technical intervention to attract more sale. In the factor, the consumer tends to be convinced hence ends up deciding on what to consume. It is quite often that most consumers are usually enriched with product knowledge after which they try to analyze its effects as well as other factors such as prices. The purpose of the marketing is to ensure that customers get convinced that they have the best at their display (Hoyer, 1984). However, it is upon the consumer to decide whether to take the product or not. In one way or another, when a customer or instead consumer is thoroughly convinced about the product. He or she develops a skill that leads to repeated use of that product and maybe develop a routine or behavior in his or her consumption.

For example, through the advertisement of the useful electronic devices, an audience who actively listens and watches to the advert may be easily converted to a buyer depending on the knowledge instilled to her or him. The advertisement creates the basis of the argumentation and consciousness of what is best to consume. In the case, consumers find themselves making decisions that they are not driven their perception but from the marketing strategy employed.

Product branding is a technique used in marketing as well as propagating sale strategy to win more customers. Some of consumers have their notion that a product from a particular company is always best or rather quality compared to others. With that mentality, rebranding and other promotion strategies influence buyers in making a decision that does not bother other factors (Peter, Olson & Grunert, 1999).

Cultural Factor

Culture describes the way of life of the people. It portrays beliefs, norms, values, as well as practices of society. Under the factor, most people find themselves making decisions based on their cultural beliefs. Certain norms and beliefs tend to hinder consumers to independently make decisions on what to consume as an individual (Edwards, 1954). The society, therefore, depicts what is right for them to use or consume. The traditions and customs, therefore, plays a significant role in determining whether the consumer behaviors and what product to consume.

For instance, a culture believes that specific animal should not be eaten, then, it would be hard to make sales of that particular animal's meat. It is, therefore, a factor that may negatively or positively affect consumer decisions depending on own perception. Similarly, people with different norms and perceptions on manufactured medicines may turn away from them hence emulating their natural herb way of healing. The habit and norm, therefore, leads them in the consumption of natural herbs away from the manufactured one.

Ethnicity, as well as racism, are also an element that most cultures consider them before assimilating any form of the product in their community. The source of the product might cause it to sell or even not to. The issue of discrimination through ethnicity and racism may create a barrier between the seller and the buyer. When the barrier is created, despite whether the product is resourceful, a buyer may decide not to buy. Discrimination, therefore, is elements within cultures that influence consumer decision-making.

Functionalism Factor.

Under this factor, product effectiveness and efficiency are essential. The consideration is articulated to the functionality of the product and therefore, a sense of how best the product is, is instilled. The logic of how best a specific product can do beyond the rest creates the basis of decision-making (Hoyer, 1984). To some extent, it also regulates consumer habits and behavior.

For instance, a school would prefer a bus to a lorry. The reason behind it is that a bus is more effective compared to a lorry. It is also more efficient in the transportation of students as well as school staffs. However, the lorry would be misplaced in its functionality role, and therefore that would be the wrong decision to make at that point.

Psychological Factor

Under the factor, the decision-making depends on the mental evaluation of the product as well as the analytical sensation of the effects of the product. Through it, a consumer can opt what product to use or leave.it also depends on the consumer's perception, belief, knowledge, attitudes, and motivations (Edwards, 1954). It is an impressive way that drives the potential buyer in making a precise decision.

Other factors sometimes may influence consumer behavior such as legal factors, political influences, environmental factors, as well as health factors. The factors discussed aim at regulating the consumer's decision-making as well as behavior. They influence consumption behaviors as well as habits. However, other theories express consumer behavior and decision-making. The link between the consumer, product, and decision making are a crucial area that determines the behavior of a consumer.