Basic model of consumer decision making, Marketing Management

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(a) Differentiate the substitution effect and income effect of a price change and illustrate same by way of a diagram for the case of a normal good.

(b) Describe with example the paradox of value.

(d) What will a loyalty programme reasonably do?

(e) Describe lifestyle market segmentation and using the holiday travel market, give two examples of this type of market segmentation.

(f) Illustrate how the use of colour can be a powerful marketing tool.

(g) Describe the meaning of total customer satisfaction.

(h) What is understand by hedonic consumption?

(i) List the five principles of Gestalt Psychology.

(j) Differentiate between Classical conditioning and Instrumental conditioning.

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