Economic model of consumer behaviour, Marketing Research

Assignment Help:

Q. Economic model of consumer behaviour?

Economic model: Economic model of consumer actions is one-dimensional. This denotes that buying decisions of a person are governed by the concept of utility. Being a rational man he will create his purchase decisions with the intention of maximizing the utility.

Benefits

Economic model is on the basis of certain predictions of buying behaviour

(a) price effect-lesser the price of the product superfluous will be the quantity purchased

 (b) Lesser the price of the substitute product slighter will be the quantity of the original product bought (substitution effect)

(c) More the purchasing power extra will be the quantity purchased (income effect).


Related Discussions:- Economic model of consumer behaviour

How can you explain the concept of culture and subculture, Q. How can you e...

Q. How can you explain the concept of culture and subculture? For the principle of studying consumer behaviour culture can be defined as the sum total of learned beliefs values

Exploratory research, Here the hypothetical solution or actions are explore...

Here the hypothetical solution or actions are explored and evaluated by the decision marker. These studies do not require extensive efforts as information from previous studies can

Example to have the consumer reflexively, Q. Example to have the consumer r...

Q. Example to have the consumer reflexively? A special issue in memory are consequently called 'scripts' or procedures we remember for doing things. Scripts involve a sequence

Explain stratified sampling in details, Explain stratified sampling in deta...

Explain stratified sampling in details. Answer Stratified sampling is a probability sampling technique that is distinguished by two-step procedure it involves. In first st

Documentary requirements for customs clearance , Documentary Requirements ...

Documentary Requirements For movement of goods by air or by sea, the customs permission for shipment is given on a prescribed document, known as Shipping Bill. In other cases (

Justify problem identification and problem-solving research, Justify proble...

Justify problem identification and problem-solving research in details. Are these two categories of researches related? Answer Problem identification research is undertak

Procedure for making a claim, PROCEDURE FOR MAKING A CLAIM : A claim will ...

PROCEDURE FOR MAKING A CLAIM : A claim will arise when any of the risks insured under the policy materialises. If an overseas buyer goes insolvent, the exporter becomes eligible f

Duty exemption scheme, Duty Exemption Scheme: The Duty Exemption scheme co...

Duty Exemption Scheme: The Duty Exemption scheme consists of Duty Free Licence and Duty Entitlement Pass Book. Duty Free Licence includes Advance Licence, Advance Intermediate

Organisation covering credit risk, ORGANISATION COVERING CREDIT RISK : The...

ORGANISATION COVERING CREDIT RISK : There are 40 organization providing cover for credit risk, the worldover. They are all member of union International Union of credit and Invest

Prepare a note for declining sales of your products, Q. Prepare a Note for ...

Q. Prepare a Note for information of the Board of Directors on the reasons for declining sales of your Company's products for the quarter ending March 31, 2003? Ans. A p

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd