Running Head: Assignment 2 1

Assignment 2

Deepak Mehra

CIIS

Table of Contents

Abstract..................................................................................................................2

High Involvement Decision…...............................................................................3

Emotional Component............................................................................................5

Low Involvement Decision....................................................................................6

References..............................................................................................................7

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Abstract

Product involvement has a significant impact on the way consumers make decisions. On one

hand, if buyers are very involved in a purchase decision, they are likely to spend a lot of time and

effort collecting and analyzing information related to that purchase. On the other hand, if buyers

do not consider a purchase decision critical, and are only marginally involved in the purchase,

they will make the decision without much deliberation or cognitive effort. Buying a house or a

car is considered a high-involvement purchase for most consumers, whereas buying candy would

be considered a low-involvement purchase. Compare and contrast the websites of two

companies—one selling cars and the other selling candies—and see if the sites take into account

the consumer involvement levels in their site design.

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Question 1: Car buying is a high-involvement decision. What are the factors that play an

important role in this decision? Give examples from the BMW site of how these issues are

addressed by BMW.

Answer 1: Consumer Durable Goods involve all type of product purchased by consumers that are

manufactured for long-term use. It intended to endure regular usage for several years or longer

before replacement of any consumer product is required. Car is consumer durable goods. So it

involves a high involvement decision because it is a consumer product that does not have to be

purchased frequently because they are made to last for an extended period of time. High

involvement purchases are those which are important to consumers such as complex, expensive,

risky or ego-intensive products & require extensive information processing. In High-involvement

decisions it carries a higher risk to buyers if they fail, are complex, or have high price tags. Car is

not purchased often but is relevant and important to the buyer. Buyers don’t engage in routine

response behavior when purchasing high-involvement products.

Factors that play Important role in this decision are:-

1) Situational Factors: - It includes social situation, time, reason for the purchase, consumer

preferences.

2) Personal Factors: - It includes Personality, self concept, gender, age, and stage of life, and

lifestyle.

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3) Psychological Factors: - It includes motivation, perception, learning, and attitude.

4) Societal Factors: - It includes culture, subculture, social class, family background,

reference groups and opinion leaders.

According to BMW all these issues are addressed in following examples: -

BMW is a recognized Brand name in market and also know for its consumer satisfaction

products. BMW provide variety of products for different income of people like 7 and 6

series for C.E.O’s and Board of Directors, 5, 4, 3 series for doctors and lawyers.

It allows individuals with speed passion to fulfill their needs through X series and Z4 and

M series, it symbolizes that it provide goods form every lifestyle individual.

It also provides fewer emissions cars with more choices like Models below 140 g/km

CO2 keeping environment friendly in mind to position in consumer’s mind that their

products spread less pollution as compare to other Brand cars.

Accessories like Winter Complete wheel sets attract customers from cold region where

snowfall is often to emphasize new trends and technology.

Features like BMW Connected Drive motivate buyers by intelligent linking of vehicle,

driver and outside world.

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Question 2: A high-involvement decision tends to be a rational decision. Still there can

be a strong, emotional component to the decision as well. How does the BMW website

address this aspect of the purchase decision?

Answer 2: Decision-makers, who are made to consider safety concerns that flow of

negative emotions when deciding which car to purchase, are likely to “choose not to

choose.” There are emotional components indulge in decision making like customer’s

mood, taste and preferences and other factors like loyalty.

BMW has addressed these aspects in following examples: -

Premium Selection is a service provide by BMW for giving better and

comprehensive choices.

Customers can configure their desire vehicle which helps to enhance customer

value and satisfaction and results in better feedback because customer can design

their willing product themselves which reduces the chances of less satisfaction.

For better compatibility and convenience, BMW has provided ‘Locate a Dealer’

category in which customer can search nearest dealer and can get their car.

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Question 3: Buying snacks or gum is considered a low-involvement purchase. Describe how the

Wrigley’s site reflects the different level of consumer involvement in deciding to purchase

candy/gum?

Answer 3: Products, such as chewing gum, which is a low-involvement for many consumers

often use advertising such as commercials and sales promotions to reach many consumers at

once. Companies also try to sell products like gum or snacks in as many locations as possible.

As Wrigley’s site reflects the different level of consumer in deciding to purchase candy or gum

by:-  

By providing inexpensive and pose a low risk to the buyer if they makes a mistake by

purchasing them or do not get full satisfaction.

Wrigley has different flavor of products to engage in routine response behavior.

At Wrigley, they understand that consumers in different countries may want different

things from chewing gum and as such would never just ‘lift and drop’ a product from one

country to another. Before launching a new brand of product into a new country, they

undertake extensive research to ensure that it is going to meet the needs of relevant

consumers.

The Wrigley family has always been involved in the running of the company, where all

customers are regarded as a family. The price that our products are sold at is entirely at

the discretion of the retailer. Wrigley has no control over pricing.

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Reference

http://books.google.co.in/books?

id=ko7YDqL9uhMC&pg=PA132&lpg=PA132&dq=low+involvement+decisi

on+like+chewing+gum&source=bl&ots=lDQbCXhgUh&sig=9T9aD8akmy3

m0KMrkXWVhgxQEMk&hl=en&sa=X&ei=u6NkUomSMMH_rQeS_4DwD

Q&ved=0CC8Q6AEwAA#v=onepage&q=low%20involvement%20decision

%20like%20chewing%20gum&f=true

http://books.google.co.in/books?id=p-

5Jb4NfxhAC&pg=PT666&dq=marketing+canadian+book&hl=en&sa=X&ei

=UPVkUvv_NcSIkQXVr4D4Bg&ved=0CD4Q6AEwAw