Do Consumers Really Make Rational Decisions Essay

Do Consumers Really Make Rational Decisions - Essay ExampleTo be able to answer the question regarding the rationality of the choices made by the consumers, it is strategic to explore the issues related to the decision-making turn of the consumers. There ar different internal and foreign factors that can affect the choices of the consumers. The internal factors of a consumer allow in factors in his or her psychological core such(prenominal) as motivation, ability, and opportunity exposure, attention, and perception knowledge and agreement attitude formation and change, memory and retrieval. These factors comprise the core values of a consumer which can affect the decisions that he or she makes. In addition to these factors, the external aspects or the consumers culture also contributes to the choices made. The external parameters argon composed of the consumer diversity, the social class and household influences, the psychographics or the values, personality, and lifestyles, an d the social influences. Through the interaction of the internal and external factors, the decision-making process can be completed.... The problem can be equated to the privation of a consumer which can yet be answered by a particular product or service. This need also dictates the possible consequent of the decision-making process. The needs of a consumer can be defined by the necessities of the daily existence (Mullen and Johnson, 1990, p. 91). One paradigm that presents the basis of a consumers needs is the Maslows hierarchy of needs which defines the consumer behavior as an mental picture of the human needs. The said needs then are considered as underlying factor of consumption which are classified into physiological and psychological needs. Physiological needs are for survival thus considered basic and entrap at the lowest level of hierarchy. This is followed by another physiological need which is the safety needs such as shelter and insurance. The next levels consecutiv ely comprise the psychological needs such as belongingness and revel needs need for esteem and self-actualization needs (Jansson-Boyd, 2009, p. 119). By tapping any of the said needs different companies and handicraft can generate profits. Although this is one of the basic factors, the consumers needs are only considered as one of the many a(prenominal) factors that contribute to the complicated web of interaction to come up with the clients choice. Actual operation of Decision-Making It is important to consider that the said needs are the stimuli that can lead to the decision of the client to obtain a particular product or avail a particular service offered. Once the need of the client had been recognized, it leads to the second level of the decision-making process which is deciding whether to buy a product or not. It is important to consider that the act