Consumer Decision Making
Major Purchases
Think of the last major purchase you made (No less than $100) and give me a verbal ‘walk-through' of the decision rule you used when deciding on the model and brand you eventually bought.
Start by telling me whether this purchase represented an extensive problem solving decision or a limited problem solving decision, explain your answer. Please make sure you understand the difference between the two.
Then tell me whether you used a compensatory or a non-compensatory decision rule. If you used a non-compensatory decision rule specify which one you used: Conjunctive, Disjunctive, or Lexicographic.
Make sure your explanation is consistent with the model you claim to have used - how you explain yourself will tell me how well you understand these different models...
Please limit your answer to one typewritten double-spaced page with one inch margin around the body of the text (this means do not take-up a third or more of a page with your name, class, instructor, etc. information)
A few hints:
• VERY VERY FEW purchase decisions involve extensive problem solving...
o What makes a decision an extensive problem solving decision is based on what type of information you look for, NOT how much information you look for, how long it takes you, or how much effort you put into it.
o If you find yourself thinking your decision was so difficult or lengthy it just HAD to be an 'extensive problem solving decision; chances are you will be mistaken...
o If you tell me yours was a very extensive problem solving decision, I will immediately know you do not understand this concept - there are no 'degrees' of extensive decision making, it either is or is not an extensive decision making choice
• Upgrading your iPhone will not work well as an example for this assignment because this usually does not involve a realdecision between two or more alternatives...
• The words you use will tell me if you were in an accepting or a rejecting mode during your decision making, so make sure the model you claim to have used is consistent with this.