Director of Distance Education

Swami Vivekanand Subharti University, Meerut

MASTER OF BUSINESS ADMINISTRATION

Assignment Report

Director of Distance Education

Swami Vivekanand Subharti University, Meerut

Name of student : ASHISH KUMAR

Enrolment Number : CR2212390164
Course Title : CONSUMER BEHAVIOR &
MARKETING COMM.
Course Code : MBA-MK1
Q1. Briefly discuss the influences of internet on the consumer Behavior?
Ans: The internet has had a profound impact on consumer behavior in various ways:

a. Information Access: Consumers now have easy access to a wealth of information

about products and services. They can research features, prices, reviews, and
alternatives before making a purchase decision.

b. Convenience: Online shopping and e-commerce platforms have made it convenient

for consumers to shop from the comfort of their homes, leading to changes in
shopping habits.

c. Price Comparison: Consumers can quickly compare prices from different

retailers or sellers, leading to increased price sensitivity and a focus on finding the
best deals.

d. Reviews and Ratings: Online reviews and ratings influence consumer trust and
purchase decisions. Positive reviews can boost sales, while negative reviews can
deter potential customers.

e. Social Media: Social media platforms have become a significant influencer in

consumer behavior. People share their experiences, product recommendations, and
engage with brands directly.

f. Personalization: Algorithms and data collection enable personalized marketing,

suggesting products and services based on consumer preferences and browsing
history.

g. Consumer Empowerment: Consumers have more power than ever before, with
the ability to voice their opinions, demand better products, and hold companies
accountable through online activism.

Q2. A Customer is a Co-producer of products and services-Comment.

Ans: a. Self-service technologies: Customers use self-checkout kiosks, online banking,
and automated systems, reducing the need for human service providers.
b. Co-creation of content: In industries like social media, consumers generate
content, contributing to the value of the platform.

c. Customization: Customers can customize products or services to match their

preferences, such as choosing ingredients in a sandwich or designing their own
shoes online.

d. Feedback and innovation: Customer feedback often drives product and service
improvements. Companies actively seek customer input for new product
 development. Customers' interactions and choices can influence the quality,
efficiency, and overall experience of the products and services they consume,
making them integral co-producers.

Q3. How do buying influences on a public sector firm differ from that of a private
sector firm within the same industry, for example, petroleum?
Ans: Buying influences in public and private sector firms within the same industry,
such as petroleum, can differ due to their distinct goals, motivations, and decision-
making processes:

Public Sector Firm:

1. Government Regulations: Public sector firms are subject to government

regulations and policies that can influence their purchasing decisions, such as
environmental standards, safety regulations, and procurement rules.
2. Political Factors: Political considerations and public interest may influence public
sector procurement, potentially leading to decisions that prioritize local
employment or environmental concerns.
3. Budget Constraints: Public sector firms often have limited budgets allocated through
public funds, which can affect their purchasing choices and willingness to invest in
expensive technologies.
4. Transparency and Accountability: Public sector procurement processes are
typically more transparent and subject to public scrutiny, which can impact
supplier selection.

Private Sector Firm:

1. Profit Maximization: Private sector firms are primarily driven by profit motives,
which may lead to different decisions regarding cost-efficiency and supplier
relationships.
2. Competitive Market: Private sector firms operate in a competitive market, where
factors like pricing, product quality, and supply chain efficiency are critical.
3. Flexibility: Private sector firms have more flexibility in making procurement
decisions based on market dynamics and shareholder interests.
4. Innovation Focus: Private sector firms may prioritize innovation and
differentiation in their product offerings to gain a competitive edge.

While both public and private sector firms in the petroleum industry share some
common buying influences, their specific priorities and decision-making processes
can diverge due to their unique contexts and objectives.
Q4. What do you mean by a Consumer perception? What are the factors
influencing the consumer perception about a particular brand?
Ans: Consumer perception refers to how individuals interpret and make sense of
information about products, services, brands, or experiences. It is influenced by various
factors, including:

a. Personal Experience: Past experiences with a brand or product can shape a

consumer's perception. Positive experiences lead to favorable perceptions, while
negative experiences have the opposite effect.

b. Marketing and Advertising: The way a product or brand is marketed,

including its messaging, visuals, and storytelling, can influence how consumers
perceive it.

c. Word of Mouth: Recommendations and reviews from friends, family, or online

communities can significantly impact consumer perception. Positive word of
mouth can enhance a product's image.

d. Brand Reputation: A brand's reputation, built over time through consistent

quality and trustworthiness, plays a crucial role in shaping consumer perception.

e. Price: Consumers often associate higher prices with higher quality, affecting
their perception of value for money.

f. Cultural and Social Influences: Cultural norms and societal values can shape
how consumers perceive certain products or behaviors.

g. Packaging and Design: Visual elements such as packaging, logo, and product
design can influence consumers' initial impressions and perceptions.

h. Psychological Factors: Individual factors like personality, emotions, and

cognitive biases (e.g., confirmation bias) can also impact how consumers perceive
products.

i. Competitive Comparison: Consumers may compare a product or brand

with its competitors, influencing their perception of its relative strengths and
weaknesses.
Q5. Enumerate in detail the significance of the Consumer perceptions in
the Service sector?
Ans: Consumer perceptions are especially significant in the service sector for several
reasons:
a. Intangibility: Services are intangible, making it challenging for consumers to
assess quality before consumption. Positive perceptions help build trust and
encourage service use.

b. Trust and Credibility: Consumers rely on perceptions to evaluate the

trustworthiness and credibility of service providers. Positive perceptions lead to
greater trust.

c. Repeat Business: In the service sector, repeat business and customer loyalty
are crucial for sustainability. Favourable perceptions drive customer loyalty
and retention.

d. Word of Mouth: Positive consumer perceptions lead to positive word -of-

mouth recommendations, which can attract new customers and enhance a service
provider's reputation.

e. Service Quality: Consumer perceptions often directly impact their evaluation of

service quality, which can determine whether they return and recommend the service
to others.

f. Pricing Strategies: Consumers are often willing to pay premium prices for services
they perceive as high-quality, making perception a key factor in pricing strategies.

g. Competitive Advantage: A strong positive perception can provide a

competitive advantage, helping service providers stand out in a crowded
market.

h. Customer Satisfaction: Perceptions of service quality strongly correlate with

customer satisfaction, which, in turn, affects a company's bottom line.

In the service sector, where customer interactions and experiences are central,
managing and influencing consumer perceptions is vital for business success and
growth.