Amity University , Mcqs , Books ,Notes , Projects

Ms-61 question Bank

Ms-61 question Bank (5)

Ms-61 question Bank

June, 2010

Ms-61 : Consumer Behaviour


1. What are the major influences on organizational buying ? You have been asked to manage the replacement supplies of printers and photocopies in your organisation. How would you define this organisational buying situation and the characteristics associated with it ?

2. What function do attitudes fulfil in consumer behaviour ? Briefly explain any one of the multiattribute models of attitudes and explain how would you use the understanding of this model in your marketing decisions.

3. Explain the factors that help a marketer to predict what kind of influence reference groups are likely to have over a product or brand choice. Why does reference group influence seem to vary across product classes or across individuals ?

4. What are the factors that result in a high degree of prepurchase, seLrch for information by consumers ? What are the implications of information search behaviour for marketers ?

5. Write short notes on any three of the following :

(a) Hypothetical constructs in Howard Sheth model

(b) Theories of Personality

(c) Consumer Motivation

(d) AlO inventories and their use

(e) Cognitive theory of learning


Read the case given below and answer the questions given at the end of the case :


Saturn has always attempted to create committed customers. Saturn a division of General Motors, advertises around the theme :

A different kind of company

A different kind of car.

Though Saturn cars costs only 10 to 14 thousand USD (Rs. 5 lakhs to Rs. 7 lakhs), the firm attempts to provide its customers the same level of service and consideration typically associated with expensive luxury cars. Its stated objective is to be "the friendliest, best-liked car company in the world". The company states : "We're going to do more than what the customer expects, and in the long run, it will enhance our image".

Saturn's attempt to build an image of a high-quality car built by skilled, caring workers and sold in helpful, non pressure dealerships, had received two small tests in its first two years. In one, it had to recall and replace 1,836 cars that had received improper coolant. In another, it had to repair 1,480 cars with faulty seat-back recliners. In the second case, the firm made a TV commercial showing a Saturn representative flying to location to fix the car of a resident who had purchased it in the first year of its launch. However, in 1998 Saturn began receiving reports of a wire short-circuiting and causing a fire. Thirty-four fires (no injuries) were reported. Saturn faced a dilemma. A recall would involve 350,000 cars and a direct expense of as much as $ 55 million dollars. Any negative publicity associated with the recall could seriously depress sales. Saturn had yet to break even and General Motors was under serious financial pressure. Saturn managers decided to deal with the problem in a manner consistent with its company objective described early. It quickly notified all purchasers of the affected cars and asked them to contact their dealers to have the defective wire replaced at no charge. The dealerships extended their operating hours, hired extra personnel, arranged door-to-door pickup and delivery, provided free car washes, and often provided barbecues or other festivities. All the repaired cars had a courtesy card placed inside that said : We'd like to thank you for allowing us to make this correction today. We know an event like this will test our relationship, so we want to repeat to you our basic promise - that everyone at Saturn is fully committed to making you as happy a Saturn owner as we can. According to Steve Shannon, Saturn's Director of consumer marketing, the decision to handle the recall in this manner was simple : The measure of whether we are a different kind of company is how we handle the bad times as well as the good. We're trying to minimize the inconvenience and show that we stand behind the cars, so that our owners don't lose faith in us or the cars. How have consumers responded to the recall ? Ms. K. learned of the recall from friends who had heard of it on news reports before she received her letter from Saturn. She took her car to the dealer who served her coffee and doughnuts during the 24-minute repair. Her response. I expected this would be my first bad experience with Saturn. But it was so positive, I trust them even more than when I purchased the car :

Questions :

(a) Describe the evaluative process followed by the consumers and outcome that Ms.K went through.

(b) Evaluate the manner by which Saturn handled the recall. What options did it have ?

(c) How will publicity about the recall affect Saturn's image among non-owners ?

June, 2011

Ms-61 : Consumer Behaviour


1.  You have been asked to advise a mens wear apparel manufacturer, to help them suitably segment their market and identify the most appropriate target segment. The company manufactures both formal and casual wear, and has a stylish, upmarket range. You want or to apply the VALSII typology to help them identify the target segments. Explain how would you utilise this approach and which segments would be the most appropriate for this manufacturer ?

2.  Discuss the components of an attitude. Taking the example of a consumer enable purchase decision, explain what functions do attitudes play in consumer decision making.

3.  Which stage in the family life cycle would constitute the most attractive segment for the following products and services ? Give reasons for your answer

(a)  home theatre system

(b)  package tours

(c)  fitness centres

4.  How as a marketer of home appliances, would you use the knowledge of post purchase evaluation by consumer, to ensure that your consumers do not experience any dissonance ? Describe the response strategies you will follow.

5.  Write short notes on any 3 of the following

(a)  Situational influences on buying process.

(b)  Components of Alternative evaluation.

(c)  Problem recognition stage in the consumer decision process

(d)  Bett man's information processing model

(e)  Types of problem solving behaviour.


6.  Read the case given below and answer the questions given at the end of the case.

The kellogg challenge Kellogg Company has distribution in over 150 countries and vet is still unknown to one - third of the world's population. According to its CEO, 'the company plans to change all that" Kellogg has built a company called cereal plant in Latvia and has sales in Poland and Hungary. It has also constructed a cereal plant in India and also has entered the Chinese market. Entry to these two countries have helped to enhance the non U.S. sales which in 2001 were 62% of total volume and 49% of total revenue. However, the company is aware that international expansion and the development of global Brands for its products will not be easy. To work towards its global aspirations, the company has reorganised itself into four divisions: North America, Latin America,Europe and Australia. According to the CEO : "The  way we used to be organized, we were a U.S. based multinational-a company with a big domestic business and, by the way, sonic international business. That was the way we were thinking ; that was the way the organisation was structured. Today, if you talk to customers in the UK, Canada, or Australia, they'd think of Kellogg as being based in the UK or Canada or Australia. We are global in organisational structure and business, but also multi domestic.

We now have a number of truly global brands (Frosted Flakes and Corn Flakes, with Froot Loops and Rice Krispies close behind and Frosted Mini Wheats and Honey Nut loops moving rapidly). There used to be slight variations in our food around the world but

now you will recognise the products wherever you go Advertising for frosted flakes is now global and that for other Brands may follow. Expanding into many markets will involve more than trying to gain share from the other cereal marketers. It will require altering long held traditions. : "In Asia for example, consumers are used to eating something warm, soft and savoury for breakfast and we are going to sell them something that is cold, crisp and sweet or bran tasting. That's quite a difference." The challenge is made greater by the existence of local competitors and traditional breakfast - food suppliers in countries like China and India. Competition is strong even in these countries where consumption is low. For example, in India, with consumption at 10 bowls per year per person compared to ten pounds in the U.S., there are more than 50 direct and indirect competitors from packaged food manufacturers, to a whole lot of traditional breakfast meals in both organized and unorganised sector.

Questions :

(a)  What are the needs and values involved in the consumption of a product such as breakfast cereal ?

(b)  What consumer behaviour variables would support and what would harm the chances

of Kellogg succeeding with cold cereal in India ?

(c)  Suggest an appropriate promotional strategy for Kellogg's cornflakes, looking at the perception related barriers people may have against this form of breakfast. 

December, 2011

Ms-61 : Consumer Behaviour


1. (a)  What are the major applications of life style marketing utilised by present day marketer ? Illustrate using suitable examples.

(b)  As a retailer of expensive leather luggage, which approach to lifestyle segmentation

would you apply and why ?

2. (a)  does the self concept theory explain the influence of self concept on consumption ?

(b)  You are trying to promote safe driving habits among motorcyclists and scooterists. Explain what approach to attitude change would you apply to change their attitudes towards safe driving ? Justify your answer.

3.  What are the factors that determine the importance of reference group influence on buying decisions ? Name two products each where in your view there would a strong reference group influence on.

(a) product choice

(b) brand choice. Explain why this type of influence would operate ?

4.  Discuss the different types of problem solving behaviour in buying decisions. What type of problem solving behaviour can be expected in the following purchase decisions and why ?

(a) Purchase of your first laptop

(b) Purchase of an office shirt by you.

5.  Write short notes on any three  of the following.

(a) Personality as a variable influencing consumer behaviour.

(b) Instrumental conditioning.

(c) Influence of child on family buying decisions.

(d) Post purchase behaviour

(e) Bett  man's  information processing model


6.   Read the case study given below and answer the questions at the end of the case.

Brand ambassador : employing real customers to get the word around. People love talking about things that make them happy - including their favorite products and brands. For example, if you really like an airline - they fly with flair and get you there at a reasonable price or you just love your recently acquired Sony camera - it is too good to keep the knowledge of the experience to yourself. In the old days, you would have chatted up these brands with a few friends and family members, but these days technology allows you to spread the word about products and brands experiences to thousands of other consumers. In response, Marketers are now working to harness the new found communications power of their everyday customers by turning them into influential brand ambassadors. Companies like Sony, Microsoft and McDonald's are now

developing a new breed of brand ambassador programs that organize and multiply consumer to consumer interactions about their brands. These programs employ everyday consumers who are passionate about their products to act as part PR agents and part sales reps. Marketers select their brand ambassadors very carefully, based on customers' devotion to a brand and the size of their social circles. Once selected, the ambassadors are trained with real brand knowledge to go along with their passion for the brand. The ambassadors then tap into friends, family groups and wider audience through personal conversations, blogs, and online social media. For the  ambassadop,  rewards include product samples, gifts, discounts and token cash payments. Perhaps most important to many brand enthusiasts, they get inside access to company's information about new products and services about to be launched. Brand ambassador programs leverage the power of peer to peer communication. Consumers hear about products and brand experiences  from others just like themselves - people they trust - rather than from commercial marketing sources. Sony used brand ambassadors to jumpstart the launch of its new GPS camera, a high tech device that draws on satellite tracking technology to let you record the exact location of every picture you take and later map them out using Google maps. Sony selected customer ambassadors who like to travel, take pictures and

use online communications. "this is a product with emerging technology and we really need to let consumers see people using it' says Sony's director of digital imaging. Out of 2000 or more online applicants, Sony picked only 25 brand ambassadors. The ambassadors were given a free camera and other equipment along with lessons on how to use them. They were encouraged to show the camera to friends, associates, and anyone else who asked; handout discount coupons and blog weekly about their travel and picture taking adventures on a dedicated Sony micro site. College campuses are traditional fertile

ground for ambassadors. Marketing companies identify and manage college student ambassadors for diverse products and services. The brand ambassador approach has its critics. For example, some view the practice as underhanded or deceptive, most firms advise their ambassadors to openly reveal that they are representatives. Others worry that brand ambassadors may be perceived as pressure agents who promote products because they get free stuff - or worse, as annoying interfering people best avoided. The best ambassadors, however, it has been found, are people who are seen as friendly, everyday brand loyalists for love to talk to people about their own experiences.

Questions  :

(a) Based on your own understanding of reference groups, how effective would brand ambassadors be as reference groups for relatively expensive, infrequently bought products and services ? How would your answer change if the product in question was detergent or cooking oil ?

(b) In your view, in the Indian marketing context, is the concept of brand ambassadors likely to succeed ? Justify your answer.

(c) Comment upon Sony's strategy of using brand ambassadors to launch its cameras. What can be the possible dangers of using this approach ? 

June, 2013



1. Distinguish between the following giving suitable examples :

(a) Convenience and shopping products

(b) Product Line and Product Mix

(c) Tangible specifications and Augmented features of a product

(d) Skimming Pricing and Penetration Pricing

2. (a) How would marketing strategies vary across different stages of Product Life Cycle ?

Explain giving suitable examples.

(b) "Though so many managers have been swept into product-line extension mania, many of them are also discovering that the problems and risks associated with extension proliferation are formidable". Discuss the statement.

3. (a) What is the rationale for test marketing ? Discuss the situations where you think test marketing is not desirable.

(b) Discuss the relative advantages and disadvantages of setting responsibility of developing new products at the corporate level.

4. Write short notes on any three of the following :

(a) BCG Matrix

(b) Concurrent Engineering

(c) Concept Testing

(d) Brand Equity Measurements

(e) Market Potential and Market Demand


5. A company manufacturing biscuits now plans to launch a new range of biscuits targetted at health and calorie conscious customers as well as diabetics. The company intends to produce these biscuits with multigrains and lower sugar as well as calorie content. It is planned to offer the biscuits in different flavours like apple, orange, vanila etc. to cater to the different tastes of the customers. The company now has to decide upon the different aspects of the new launch like the ingredients, flavours, branding, packaging and labelling of the product.

Questions :

(a) Suggest some methods for generating ideas regarding the product attributes of the proposed range of biscuits.

(b) Identify the characteristics of a good brand name and suggest a suitable brand name for the new offerings.

(c) Suggest an appropriate positioning strategy.

(d) Discuss the significance of packaging and labelling decisions in the marketing of these new products.

December, 2012



1. (a) Explain the various roles that different people as individuals can take in the context of consumer buying behaviour, taking the examples of :

(i) Toys

(ii) Car

(b) Discuss the applications of Lifestyle

Marketing giving suitable examples.

2. (a) What is Organisational buying behaviour ? Discuss the major influencing factors on organisational buying.

(b) Why do you need to study consumer attitudes ? What are the inputs you would like to include in your questionnaire if you wanted to measure consumer attitude towards a newly introduced fruit based health drink ?

3. (a) What do you understand by the term 'Culture' ? How does subcultural analysis

help a marketer in the segmentation exercise ? Explain giving suitable examples.

(b) You are a marketing manager of a company manufacturing washing machines. How

will you respond to the post purchase feelings of your customers in order to build and maintain their satisfaction ?

4. Write short notes on any three of the following :

(a) Sensory Thresholds

(b) Motivational Conflicts

(c) Trait Theory of Personality

(d) Family Life Cycle Concept

(e) Howard Sheth Model of Consumer Decision Process.


5. (a) How does reference group influence vary over product categories ? What type of

reference group influence can you expect for the following products and why ?

(i) Clothing

(ii) Bread

(b) For the above two product categories explain the kind of information search behaviour you can expect from the consumers and why ?

You are here: Home Ms-61 question Bank