chapter 5

• refers to the reaction of the consumers to changes happening in the environment that influence their buying decision

  behavior
• the reaction of the consumers to various events or forces that are happening in the business community which contribute to their decision process

  consumer buying behavior
• the environmental factors includes:

  cultural factor

  social factor

  personal factor

  psychological factor
• the perceptions, attitudes, value system, and even religion of these groups influence their buying behavior

  cultural factor
• refers to the relationship maintained or established by the consumers with other members of society

  social factor
• it is an informal grouping of consumers based either on the personal perception of the consumers or that of others

  social class
• refers to the personal characteristics of the buyer in terms of age, occupation, income, and lifestyle

  personal factor
• refers to the perception, beliefs, and attitudes of the consumers

  psychological factor
• the buying decision process of consumers involves the following steps:

  1. recognition of their needs and wants
  2. search for relevant information about the product
  3. evaluation of alternatives
  4. purchase decision
  5. post-purchase analysis
• it is the first step in the buying decision process

  recognition of their needs and wants
• in this process, the consumers usually try to gather information about the product

  search for relevant information about the product
• in this process, the consumers can now make the necessary evaluation of various alternatives and make an intelligent comparison

  evaluation of alternatives
• consumers considered the following significant areas of the product:

  price

  quality and durability

  brand, color, and design

  terms and conditions

  required payment

  amount of credit
• it is the stage when the consumer actually buys the product

  purchase decision
• is the last stage in the buying decision process when the buyer make a simple analysis at the back of their mind

  post-purchase analysis
• refers to the behavior of consumers in buying goods or availing of services

  consumer buying behavior
• is defined as a scientific investigation

  research
• types of entrepreneurial research

  exploratory research

  descriptive research

  causal research
• it is considered the preliminary research work conducted by an entrepreneur that is primarily designed to gather baseline information to be used in solving a problem or forming a hypothesis

  exploratory research
• it is conducted by the entrepreneur when the foremost objective is to describe the present buying behavior of the consumers in terms of environmental factors, buying decision process, and marketing mix

  descriptive research
• it is also called correlation study when the objective is to determine whether the buying behavior of the consumer is caused by some environmental factors

  causal research
• refers to the kind of necessary information to be gathered in answering the objective of the research work

  research data
• can be counted and mathematically computed. they are expressed in numerical values

  quantitative data
• research data can be classified as:

  quantitative or qualitative data

  Primary and secondary data
• are generally descriptive data and hence cannot be counted

  qualitative data
• are research data sourced by the entrepreneur directly from the consumers belonging in the market segment

  primary data
• are data previously gathered by another researcher for other purposes and now exist on other sources

  secondary data
• is a tool used y entrepreneurs in gathering or collecting data

  research instrument
• what are the commonly used research instruments to collect data?

  survey questionnaire

  interview schedule

  focus group discussion
• it is commonly used by the entrepreneur in gathering the required data about the buying behavior of the consumers

  survey questionnaire
• these are sampling methods in selecting a respondents

  simple random sampling

  cluster sampling

  stratified sampling

  multi-stage sampling
• it is a research instrument that gathers data and it contains pre-coded questions that are logically os systematically arranged in order to achieve the objectives of the study

  interview schedule
• types of interview schedule

  structured interview

  non-structured interview
• sometimes known as a standardized interview, is an interview where all the respondents are asked the same set of questions, same wordings, same sequence, and same tone of voice


  structured interview
• also known as semi-structured interview, is an interview where the direction of the questioning if left entirely to the interviewer based on flow of the topics or themes of the conversation 


  non-structured interview
• it is the instrumentation when the interview is conducted not with an individual person but with a particular group or that the focus group discussion is the interview methodology

  focus group discussion guide
• is the tool used to gather data in the observation method of collecting data


  observation checklist
• the buying behavior of Filipino consumers may be classified as:(type of buying behavior)

  complex

  simple

  brand-sensitive

  price-sensitive
• it is usually manifested when they are buying expensive goods

  complex buying behavior
• it is usually exhibited when the goods are not highly priced and the consumers are not deeply attached to certain brands

  simple buying behavior