PES INSTITUTE OF TECHNOLOGY – BANGALORE SOUTH CAMPUS

Dept. of MBALesson PlanSemester – III

Subject Code: 16MBA MM301 Total no of Lectures: 56Subject Title: CONSUMER BEHAVIOR IA Marks: 20Type: Marketing Specialization Credits: 4Faculty Name: Ms. Poonam Mishra Exam Hours: 03 No of Lecture Hours / Week: 03 Exam Marks: 80Practical Component Hour: 02 hours/ Week Ratio of theory to problems: 60: 40Pre-Requisite: Course DeliveryParticipants are advised to come prepared with a thorough reading of reading materials and case studies mentioned in the course outline. Course Objectives:1. To understand the concept of consumer behavior, decision making by consumers, behavioral variables and its influences on

consumer behavior.2. To comprehend the social and cultural dimensions of consumer behavior.3. To provide an insight of the psychological and behavioral concepts of consumers.Course Outcomes: On completion of the course, students will be able to:1. Explain the background and concepts vital for understanding Consumer Behaviour.2. Identify the role of variables that determines Consumer Behaviour in Social3. &cultural domain.4. Identifying the psychological and behavioral practices adopted by organizations to enhance the Consumer Behaviour.

Table - 1 Session Plan

Mod

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No

Sess

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No. Contents Pedagogica

l Tools Presentation Assignments

/ additional work

Stud

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Lea

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valu

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Cum

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Cov

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I 1 Consumer Behaviour Meaning Definition Difference between customer and

consumer A model of consumer behaviour

Course Objective:To enable students to understand the basic concept of consumer behaviour.

Course Outcome:Students should be able to understand the meaning of consumer behaviour and need to study it.

DLP, Laptop&Chalk Board

Refer the Table 2

Refer the Table 3

# Class Discussion# Test 1 and 2/3# Case# Presentation# Assignment

2 Nature and characteristics of Indian consumers

Reading:Who wants to dive with dolphins?Course Objective:To understand the characteristics of consumers

Course Outcome:Participants will be able to understand

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the diverse segments of consumers in India.

3 Course Outline: Consumer Movement in India

Course Objective:To understand the development of consumer behavior in India.

Course Outcome:Participants should be able to understand hoW consumers and their needs developed over time in india.

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4 Rights and Responsibilities of Consumers in India Reading Course Objective:To enable participants in understanding their rights and responsibilities as a consumer.

Course Outcome:Participants should be able to understand what rights are available to consumers and what is expected of them?

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5 Consumerism Definition Benefits Child Consumerism: A

veritable threat Consumer protection act

ReadingImpact of celebrity endorsement on the choice of health drinks-An opportunity for the marketers to hook child consumers.

Course Objective:To explain the concept of consumerism.

Course Outcome:Participants should be able to understand efforts made by consumers themselves and government to protect consumer rights.

20%

6 Case: Targeting Kids through Advertising-A Chat in Office Bus

Course Objective:To understand the concept of consumerism with practical orientation.

Course Outcome:Participants should be able to understand how consumer rights are protected in market.

II 7 Consumer Research History Qualitative and Quantitative

ResearchCourse Objective:

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To understand the concept of consumer research

Course Outcome:Participants will be able to understand how consumer research helps in understanding consumer needs better.

8 Process of Consumer Research

Activity

Course Objective:To understand the process of consumer research.

Course Outcome:Participants will be able to understand the chronological series of steps to be taken to conduct consumer research.

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9 Consumer Behaviour Models Input-Process-Output Model

Nicosia Model

Course Objective:To understand various models of consumer behavior.

Course Outcome:Participants will be able to understand the different processes of consumer behavior.

10 Howard Sheth Model

Engel-Kollat-Blackwell Model

Course Objective:To understand various models of consumer behavior.

Course Outcome:Participants will be able to understand the different processes of consumer behavior.

11 Consumer Decision Making Meaning

Levels of Decision Making

o Extensive problem solving

o Limited problem solving

o Routinized Response Behaviour

Four Views of Consumer DecisionMaking An economic view

A passive view

A cognitive view

An emotional view

Course Objective:To understand various approaches of

viewing consumer behavior.

Course Outcome:Participants will be able to understand various point of views of consumer behavior.

12 A Simple Model of Consumer Decision Making Process

Readings: Michael G Mulhern (2009), The psychology of buying, Marketing Research, Fall, pp. 1-18.

Gordon C Buruner, (1988), Problem recognition the crucial first stage of consumer decision process, Journal of Service Marketing, Vol. 2, No.2, pg 43-55. (AR)

Course Objective:To understand the process of consumer decision making.

Course Outcome:Participants will be able to understand the series of steps followed to buy or not to buy a product.

13 CaseOnsore Vittooles-The flop noodle brands

Course Objective:To understand the process of consumer decision making with practical perspective.

Course Outcome:Participants will be able to understand the series of steps followed to buy or not to buy a product with practical perspective.

14 On-line Decision Making Meaning Process/Stages

Course Objective:To understand the process of online buying decision making.

Course Outcome:Participants will be able to understand the series of steps followed to buy or not to buy a product online.

15 Situational Influences Nature o The communication Situationo The Purchase Situationo The usage situationo The disposition situation

Course Objective:To understand the factors in situation that may affect consumer buying decision making.

Course Outcome:Participants will be able to understand effect of situational factors in consumer buying decisions.

36%

16 Situational Characteristics andconsumption behaviour Physical features Social Surroundings Temporal Perspectives Task Definition Antecedent States

Course Objective:To understand the factors in situation that may affect consumer buying decision making.

Course Outcome:Participants will be able to understand effect of situational factors in consumer buying decisions.

III17 Consumer Motivation

Process Needs Goal and selection of goals Postive and Negative

motivation Rational vs emtotional motives Arousal of motives

Course Objective:To understand the factors that motivates a consumer to buy or not to

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buy a product.

Course Outcome:Participants will be able to understand why consumer buys a product.

18 Motivation Theories Maslow’s Hierarchy of Needs McGuire’s Psychological

Motives

Course Objective:To understand basic theories of motivation.

Course Outcome:Participants will be able to understand various theories and processes of motivation.

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19 The dynamic nature of motivation

Course Objective:To understand the nature of motivation.

Course Outcome:Participants will be able to understand what all together constitutes motivation.

20 Personality Basics of personality

Course Objective:To explain the concept of personality.

Course Outcome:Participants will understand various types of personalities.

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21 Theories of Personality Freudian theory Neo-Freudian Theory Trait Theory

Course Objective:To understand the theories of personalities.

Course Outcome:Participants will be able to understand theories of personality.

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22 Personality and Understanding Consumer Diversity

Consumer Innovativeness and related personality traits

Cognitive personality factors Consumer Materialism Consumer Ethnocentrisms

Course Objective:To explain factors effecting

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personality.

Course Outcome:Participants will be able to understand how personalities are shaped.

23 Brand Personality Brand Personification Gender Geography Colour

Self and Self-Image One or Multiple selves The extended self Altering the self

Course Objective:To explain the concept of brand personification.

Course Outcome:Participants will understand how to personify products.

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24 Basics of Perception & Marketing implicationsElements of Perception

Sensation Absolute Threshold Differential Threshold Subliminal Perception

Course Objective:To understand the concept of

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perception.

Course Outcome:Participants will understand the importance of perception in consumer behavior.

25 Dynamics of Perception Perceptual Selection Perceptual Interpretation Perceptual Organization perceived price perceived quality price/quality relationship Perceived Risk,

o Types of risko How consumers’ handle risk.

Course Objective:To explain the dynamics of perception in consumer behavior.

Course Outcome:Participants will understand the steps consumer undertakes to perceive a product.

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26 Case24*7 Cooking gas booking system through SMS-A flop initiative by south gas

Course Objective:To explain the dynamics of perception in consumer behavior with practical

perspective.

Course Outcome:Participants will understand the steps consumer undertakes to perceive a product with practical perspective.

52%

27 Customer Relationship Management Meaning & Significance Types of CRM Strategies for building

relationship marketing

e-CRM Meaning Importance of e-CRM Difference Between CRM & e-

CRM

Course Objective:To explain the concept of CRM.

Course Outcome:Participants will understand how meaning of CRM and its strategies for building relationship marketing.

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IV 28 Learning Elements of Consumer Learning

Motivation Cues Response Reinforcement

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Course Objective:To understand the concept of consumer learning

Course Outcome:Participants will understand how consumers learns and how they adopt products?

29 Marketing Applications of Behavioural Learning Theories

Classical Conditioning Pavlovian Model

Neo-Pavlovian Model

Course Objective:To know the theories of learning.

Course Outcome:Students will understand the how human beings learn.

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30 Instrumental Conditioning (Operant Conditioning) by B.F. Skinner

Elaboration Likelihood ModelCourse Objective:To know the theories of learning.

Course Outcome:Students will understand the how human beings learn.

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31 Consumer Attitude Basic concept How attitudes are learned

o Classical Conditioningo Instrumental conditioningo Cognitive learning

Sources of attitude formationCourse Objective:To explain the concept of attitude.

Course Outcome:Participants will understand how attitude is formed.

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32 The Tri-Component Attitude Model The cognitive component The affective component The conative component

Reading: Evmorfia Argyriou (2011) Consumer Attitudes Revisited: A Review of Attitude Theory in Marketing Research, International Journal of Management Reviews, Vol. 13, pp. 431-451.

Course Objective:To explain the model of attitude.

Course Outcome:Participants will understand three components in process of attitude formation.

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33 Multi Attribute Attitude Models The attitude-towards-object

model The attitude-toward –behaviour

Model Theory-of-reasoned-action model

Course Objective:To explain the model of attitude.

Course Outcome:Participants will understand various models of attitude formation and change.

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34 Communication Process Strategyo Media strategy

Course Objective:To understand concept and process of communication.

Course Outcome:Participants will understand importance of communication in consumer buying decision.

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35 Massage Strategies Massage structure Message presentation

Course Objective:To understand how to design and

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present a message.

Course Outcome:Participants will understand how to design an effective message to influence consumer buying secision.

76%V 36 Social Class

Basics

Social class and social status

Dynamics of social consumption

Features of social class

Reading:Natalie Ross Adkins (2005) The Low Literate Consumer, Journal of Consumer Research, Vol. 32, No. 1, June, pp. 93-105.

Course Objective:To understand the impact of social class on consumer buying decision making.

Course Outcome:Participants will understand how social class of consumer effects their purchase decision.

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37 Social Class Categories Two category social class scheme

Three category social class scheme

Four category social class scheme Five category social class scheme Six category social class scheme Seven category social class

scheme Nine category social class scheme

Five Social Class Categories in IndiaCourse Objective:To understand various social classes in India.

Course Outcome:Participants will come to know how to cater needs of different social class.

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38 Culture Meaning Characteristics

Factors affecting culture

Course Objective:To understand the concept of culture.

Course Outcome:Participants will come to know how culture affects consumer decision making process.

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39 Role of Customs, Values and Beliefs in Consumer Behaviour

Course Objective:To understand the concept of values.

Course Outcome:Participants will come to know how values and beliefs affect consumer decision making process.

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40 Sub CultureMeaningDivision and consumption pattern in India

Nationality Religion Geographic Region Race Age Gender Occupation Social Class

Course Objective:To understand the concept of subculture.

Course Outcome:Participants will come to know how sub culture affects consumer decision making process.

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41 Model of cultural processBrief overview of Indian culture

Reading: Saikat Banerjee (2008) Dimensions of

Indian culture, core cultural values and marketing implications An analysis, Cross Cultural Management: An International Journal, Vol. 15 No. 4, pp. 367-378.

Course Objective:To study consumer behaviour in light of Indian culture.

Course Outcome:Participants will be able to understand purchase pattern of people of various cultural backgrounds in India.

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42 Cross-Cultural Consumer AnalysisMeaning

Similarities and Differences among People

The Growing Global Middle Class

Acculturation is a needed marketing viewpoint

o Applying Research Technique

o Basic Research issues

Course Objective:To explain differences in buying behavior of people from different cultures.

Course Outcome:Participants will understand how

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people of various cultures vary in their buying decisions.

43 Cross-cultural marketing problems in India Product Problems Promotional Problems Pricing and distribution Problems

Strategies to overcome cross-cultural problems. Alternative Multinational

Strategieso Global Versus Local

Framework for Assessing Multinational Strategies

Cross Cultural Psychographic Segmentation

Course Objective:To explain the problems of cross cultural marketing.

Course Outcome:Participants will understand problems and coping strategies of cross cultural marketing.

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44 Groups Meaning Nature Types Consumer relevant

o Familyo Friendship groups

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o Formal social groupso Consumer-action groupso Work groups

FamilyThe changing structure of familyFamily decision making and consumption relatedRolesKey family consumption roles

Course Objective:To understand the concept of group and family as an influence of buying decision.

Course Outcome:Participants will understand how family affects consumer’s buying decisions.

45 Dynamics of husband-wife decision making

The expanding role of children in family decision making

The family life cycle & marketing Strategy Traditional family life cycle &

marketing implications

Course Objective:To understand the concept of group and family as an influence of buying decision.

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Course Outcome:Participants will understand how family affects consumer’s buying decisions.

90%

46 National Kisok-Targeting the Niche47 Reference Groups

Meaning Benefits and Power Broadening the concept Types

o Contractualo Aspirationalo Disclaimanto Avoidance

Factors affecting reference group influence

Course Objective:To understand the concept of reference groups.

Course Outcome:Participants will understand the impact of reference groups on consumer buying decisions.

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48 Reference Groups Friendship groups Shopping groups Work groups Virtual groups Consumer-action groups

Celebrities ” ” ”

How celebrities are used Credibility of celebrity Does it matter who celebrity

is?

Course Objective:To explain various type of reference groups.

Course Outcome:Participants will understand who all together constitute reference groups and how they affect the buying decisions.

VI 49 Consumer Influence and Diffusion of InnovationsOpinion Leadership

Meaning Dynamics of opinion leadership

process Opinion leaders are

persuasive Credibility Positive and negative

product information Information and advice Opinion leader is

category specific Motivation behind opinion

leadership The needs of opinion

leaders The needs of opinion

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receivers

Course Objective:To describe the concept of opinion leadership.

Course Outcome:Participants come to know the role of opinion leadership in purchase decisions.

50 Measurement of Opinion LeadershipThe self designated methodThe socio-metric methodThe key informant methodThe objective method

Course Objective:To understand the measurement of opinion leadership

Course Outcome:Participants will various methods of measuring opinion leadership.

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51 Overlap of opinion leadership Market maven

The situational environment of opinion leadership

The interpersonal flow of communication Course Objective:

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To explain the concept of market maven.

Course Outcome:Participants will come to know importance of opinion leadership.

52 Opinion Leadership and Marketing Strategy Programs designed to stimulate

opinion leadershipo Advertisement stimulating

opinion leadershipo Word-of-mouth may be

uncontrollableo

Creation of Opinion Leaders

Course Objective:To explain how to create opinion leaders.

Course Outcome:Participants will understand the importance of opinion leadership in designing marketing strategies.

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53 Diffusion of InnovationsDiffusion Process Innovation Communication channels Social System Time

Course Objective:

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To explain the process of diffusion of innovation.

Course Outcome:Participants will understand how innovation is adopted.

54 The Adoption ProcessAdopter Groups

Innovators Early adopter Early majority Late majority laggards

Course Objective:To explain the process of adoption and types of adopters.

Course Outcome:Participants will various types of adopters in reference to various time frames.

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55 Post Purchase Processes Customer satisfaction and

commitment.

Course Objective:To explain post purchase behavior of customer.

Course Outcome:Participants will understand the how satisfied customer is, after making the

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purchase.

100%

56 Post purchase Dissonance Product use and non use Disposition Product disposition

Course Objective:To explain post purchase behavior of customer.Course Outcome:Participants will understand the how satisfied customer is, after making the purchase.

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Table – 2 Presentation Topics

Table – 3 Assignments & Additional Work

Mod. No. Presentation TopicsI to VI Participants will be divided in groups and case studies will

be assigned to each group. They have to analyze the case and make a group presentation in class.

Mod. No. Assignment TopicI to VI For Group Component:

Each group is required to submit a written summary of the case. It should include critical analysis of the case. The summary should not exceed 3 pages. Weightage must be given to the critical analysis.

For Individual Component:Participants have to submit written summary of articles provided for reading. The summary must include critical analysis of the article and it should not exceed 2 pages.

Table – 4Case Studies

Table – 5References & Additional Readings

Mod. No. ParticularsI – VI Two types of cases shall be assigned to the participants. In

the first type of case, all participants are supposed to read and comprehend the case before the class for the assigned case begins. This is for the purpose of discussion in the class. Another type of case, each group will submit a written analysis of the case on the due date.

I-VI Shiny Shoe Service: Will Customers Patronize the Business Opportunity?

I-VI Incomplete Product Disclosure and Poor Customer Complaint Handling: A Lethal Combination at ABC Cellular Ltd.

I-VI Branded Fruit Juice-Challenges in for the Global Beverages Ltd.

I-VI Impact of Teaser campaign on consumer decision making through AIDA model- A case study on Aegon Religare on select respondents in Kolkata

I-VI ABN Hospital communication problems- A case studyI-VI Mrs. Urban India- A Business Opportunity Waiting

Penetration in the Indian rural market-The case of Hindustan Oils Ltd.

S.No. Mod. No. Particulars1 I – VI Consumer Behavior - Leon Schiff man2 ” Consumer Behaviou: A Managerial Perspective, Dr. Dheeraj Sharma,

Jagdish N Sheth,, Banwari Mittal,1/e, Cengage Learning3 ” Consumer Behavior: Building Marketing Strategy – Del I. Hawkins, &

Others, 11/e, TMH4 ” Consumer behavior - Jay D. Lindquist, Joseph Sirgy, 1/e, Cengage

Learning.5 ” Consumer Behavior in Indian Perspective – Suja Nair, Himalaya

Publications6 ” Consumer Behavior - Henry Asseal, Cenage Learning.7 ” Consumer Behavior- Satish K. Batra & S H HKazmi, Excel Books.8 ” CRM – Alok Kumar, Chhabi Sinha, 7/e, Biztantra.9 ” Customer Relationship Management - Peru Ahamed&Sagadevan, Vikas

Publishing.10 ” Consumer Behavior – Kumar Rajeev, Himalaya Publisher.

Table – 6IA Pattern

Test Marks Assignments Presentation Class Participati

on10 5 3 2

For Internal Evaluation T1 marks and the best out of remaining two will be considered.

1st Test is mandatory.