However, researchers have begun to view them as those who seek hedonic value from bargain hunting. For instance, Jin and Kim (2003) found that hedonic and recreational shoppers exhibited high price sensitivity by hunting bargains and using coupons. Other researchers (Babin et al., 1994; Arnold & Reynolds, 2003) also noted a positive relationship between bargain perception and hedonic shopping value. They expected that the consumers’ bargain perceptions to influence shopping value. They discussed that price discounts create transaction utility or smart shopper feelings, which may increase hedonic value.
However, they have very different strategies when it comes to marketing. Both organizations are present online but H&M offer more shopping options that Zara does. Hennes and Mauritz is more of a go-getter type of business, they use bold moves to create buzz therefore attract customers. Their offering of affordable and fashionable items to what is known as the Gen Y( young generations) that like the hype of being trendy, is what makes the firm so successful. Zara in the other hand also offers fashionable items but with a more subtle approach to marketing but very elegant route to attract customers.
Customer loyalty has been increased by development of reputation and brand name which has helped in reducing the price elasticity of demand. Wal-Mart also offers guarantees and return policies which assure the customers of their purchase. Method of providing guarantees and warranties also act as a barrier to entry because new entrants also provide high quality goods and offer customers competitive services which are often very
External cues are specific triggers associated with buying or shopping. They involve marketer-controlled environmental and sensory factors. Internal cues refer to consumers’ self-feelings, moods, and emotional states. Impulse buying is of great importance for any seller because it has the ability to create income almost instantly, although sometimes the post purchase reaction from consumers may be negative when they later realize that the product consumed has not entirely satisfied
The present status of consumer is defined as a group of people to express their prestige, to influence others by using certain brands. When a person has a status and certain position in society, it may be jealous by someone else (Phau & Teah, 2009). Those consumers who have lower status, they have an idea of buying counterfeit goods to present a higher position (Budiman, 2012). Phau and Teah (2009) have found a positive effect of status of consumers to attitudes and intention to purchase toward counterfeiting product of consumers. Hypothesis H6 is set as
In the aspect of buyers, if the buyers are finding prices to be outrageous or equal to what they would pay if they went to a department store than eBay will be losing customers. The majority of eBay buyers are wanting bargains and/or collectable items without having to pay too much. So the buyers have an immediate impact on eBay and their strategies. With that being said, adding auction to the buyers shopping experience tends to make things a little more interesting for the buyer and seller. With substitutes, there are plenty of other places that people can take their business, like auctions, retailers, using the almighty “google” or search engine, and doing price comparisons, which all will have an impact.
Where sensory analysis is treated as more of an instrument to aid in product development, consumer sensory testing is used to rate specific attributes of a product according to consumer liking. These testing methods usually involve the use of untrained individuals and utilise larger sample sizes compared to sensory analysis methods. The main purpose of these tests are to assess the response of potential or current consumers to a product. Over recent times these tests have evolved to give a quicker sensory profile of the product. Free choice profiling (FCP) is an inexpensive and rapid method in which consumers are asked to identify attributes (Taste, aroma, etc.)
This, in the most obvious case, helps beat the infrastructural issues and cost but, on the other hand, also gives more options in the hands of the customer. However, in most cases, where the retailer has gone into non-physical formats, it’s an ‘also-ran’ for them. Most of them are moving into that format because everyone is, and not because it is a serious way to get geo-expansion, getting customer loyalty and market share. It is important for the physical retailer to take the multi-channel option as a big driver for growth. This requires a change in operations, the way analytics is used, the way technology is scaled, the way marketing is done and retailers need to create business models that will take into account all these
NAME: MELANIE RAMTAHL STUDENT NUMBER: HCIT 04516A. INTRO TO INT’L MARKETING & PURCHASING ASSIGNMENT 2. PART A Answers: ii) Considering that Executive Interior’s has previously dealt with a few exports previously with success, it would therefore be advisable for them to enter the market by doing direct exporting. Although there will be greater risk for them to carry, and the responsibility will fall on them to arrange for the transportation etc of the goods, the end result will be greater profit potential and an increase in their market share. In order for this process to be carried out smoothly with minimal glitches, an export division should be solely responsible for confirming orders from foreign markets, arranging for packaging and
Envy requires two parties, the envied and the envier, and can either lead to uplifting behavior, as the envied strives to be like the envier, or negative behavior, where the envier seeks to destroy whatever advantage the envied person has (Hill and Buss, 2008). Envy is often associated with social comparisons, as a person may look upward at those who are doing better than them, or downward to others who are not as well off (Smith and Kim, 2007). These comparisons can lead to positive actions and are often used by people to develop goals that may be more rewarding but are harder to obtain (Tai, Narayanan, and McAlliser, 2012). However, envy also has a dark side, as many who experience envy feel shame and anger towards both themselves – for feeling the envy – and toward the envied person – for making them feel envy (Silver and Sabini, 1978). Envy is closely related to jealousy and can often be hard to differentiate.