Which of the following is not true about the effect of expectations and motives on perceptions?

1) Individuals act and react on the basis of ________, not on the basis of ________.

A) objective reality; their previous experiences

B) their previous experiences; their perceptions

C) their perceptions; objective reality

D) their perceptions; their previous experiences

E) their previous experiences; peer pressure

C

2) Your interpretation of visual and sensory input about polo shirts may be different from your classmate's because perception is ________.

A) objective

B) subjective

C) irrelevant

D) noise

E) based on personality traits

subjective

3) The process by which an individual selects, organizes, and interprets stimuli into a meaningful and coherent picture of the world is known as ________.

A) observation

B) perception

C) realization

D) rationalization

E) understanding

B) perception

4) ________ can simply be described as "How we see the world around us."

A) Knowledge

B) Perception

C) Motivation

D) Attitude

E) Understanding

Perception

5) ________ is/are the immediate and direct response of the sensory organs to stimuli.

A) Sensory receptors

B) Sensation

C) Sensory input

D) Sensory adaptation

E) Sensory blocking

Sensation

6) Products, packages, brand names, advertisements, and commercials are examples of ________.

A) sensations

B) receptors

C) realities

D) stimuli

E) intensities

stimuli

7) As sensory input ________, our ability to detect changes in input or intensity ________.

A) decreases; increases

B) increases; increases

C) decreases; remains constant

D) remains constant; decreases

E) increases; remains constant

A) decreases; increases

8) When a product is ________, memory of the ________-related attributes increases.

A) scented; non-scent

B) non-scented; scent

C) auditory; non-auditory

D) non-auditory; auditory

E) quiet; scent

A) scented; non-scent

Perception

How we see the world around us. Is highly individualistic

The Elements of perception

Sensation
Absolute threshold
Differential threshold
Subliminal perception

Sensation

Most basic
Immediate response of the sensory organs (sight, smell, touch)

Absolute Threshold

lowest level at which an individual can experience a sensation
Changes over time
More you do something, less novel it becomes

just noticeable difference (JND)

The minimal difference that can be detected between two similar stimuli
Chipotle raising their prices

Kellogg reducing box sizes to avoid a price increase is an example of

JND in the product context

subliminal perception

Stimuli too weak or brief to be consciously seen or heard

The aspects of perception

Selection
Organization
Interpretation

Selection

Depends on the nature of the stimulus, expectations, and motives.
Where a product is located, the display itself.

Selection exposure

We seek out messages that resonates , are pleasant

Selective attention

Heighten awareness when stimuli meet their needs
We prefer different nessages and mediums

Perceptual defense

Screening out threatening stimuli

Organization

Put stimuli into groups and perceive them as a whole
Figure and ground, grouping, closure
Product placement

Interpretation

Occurs because consumers have unique motives interests and experiences

Elements that affect interpretation

Stereotypes
Physical appearance
Descriptive terms
First impression
Halo effect

Consumer Imagery

Consumer perceptions of all the components of a brand or product.

Packaging

Conveys the image that the brand communicates to the buyer

Color image weight important

Services

Intangible (not able to be touched)
Often want a differentiated positioning strategy

Perceived Price

Reflect the value the customer receives from their purchase
Subjective

Perceived Quality

Intrinsic Cues: physical properties of a product
Extrinsic cues: Properties no inherent to the product

Characteristics of services

Intangible
Variable
Perishable
Simultaneously produced and consumed

The perception of price is an indicator of

product quality

Store Image

Brands carried
Prices
Level of service
Store ambiance
Clientele
Product Assortment
Discounts

Perceived Risk

Degree of uncertainty by the consumer as to the consequences of a specific pruchase

How we handle risk

seek info
stay brand loyal
select by brand image
Rely on store image
Buy the most expensive
Seek Reassurance

Perceptual Mapping

Helps a marketer position how a product is in a consumers mind

9) The point at which a person can detect a difference between "something" and "nothing" is that person's ________ for that stimulus.

A) adaptation level

B) absolute threshold

C) just noticeable difference

D) differential threshold

E) sensory adaptation

B) absolute threshold

10) Two people driving together may spot a billboard at different times. This means they have different ________.

A) absolute thresholds

B) differential thresholds

C) just noticeable differences

D) adaptation levels

E) sensory adaptations

A) absolute thresholds

11) John drives by the same billboard every day on his way to work. He has seen the billboard so many times, that he no longer notices it. This is an example of ________.

A) sensory adaptation

B) just noticeable difference

C) differential threshold

D) perceptual blocking

E) absolute threshold

A) sensory adaptation

12) Sensory adaptation is of concern to national advertisers, who try to continuously change their advertising campaigns. They are concerned that consumers will ________.

A) get bored of their competitors' ads

B) get used to their ads

C) not understand their ads as intended

D) develop positive reactions to their ads

E) become more attuned to competing advertising

B) get used to their ads

13) Some TV ads change sensory input by using silence or louder sounds in their ads to generate attention. This is a form of advertising used in order to overcome ________.

A) sensation

B) preference for competitive advertisements

C) sensory adaptation

D) the just noticeable difference

E) perceptual blocking

C) sensory adaptation

14) Brand names stamped on eggs in supermarkets, featured on video screens in taxis, placed on subway tunnels in between stations, and featured on doctor's examination tables are examples of ________.

A) sensory adaptation

B) objective reality

C) viral advertising

D) ambush marketing

E) experiential marketing

D) ambush marketing

15) The minimal difference that can be detected between two similar stimuli is called the ________.

A) perceptual threshold

B) differential threshold

C) sensory threshold

D) absolute threshold

E) sensation threshold

B) differential threshold

16) Weber's law states that ________.

A) the stronger the initial stimulus, the weaker the second stimulus must be to exceed the JND

B) the JND of a second stimulus is inversely related to the strength of the original stimulus

C) the stronger the initial stimulus, the greater the second stimulus must be to exceed the JND

D) consumers who buy the same products regularly are more likely than those who buy less frequently to notice changes in price, packaging, or product attributes

E) the more information consumers are given about a particular product, the more likely they are to purchase that product

C) the stronger the initial stimulus, the greater the second stimulus must be to exceed the JND

17) Which of the following is true of JND?

A) Decreasing prices below consumers' JND is likely to cause a significant rise in sales.

B) Making product improvements that far exceed consumers' JND is likely to maximize company revenues.

C) There is no JND for decreased product volume sold in existing packaging.

D) Making drastic changes to a company's logo to an extent well beyond consumers' JND allows companies to update their image without losing their ready recognition.

E) Increasing prices below consumers' JND is likely to go unnoticed by consumers.

E) Increasing prices below consumers' JND is likely to go unnoticed by consumers.

18) Which of the following is NOT an implication of the JND for logos?

A) Marketers usually make numerous small changes.

B) Marketers minimize noticeable changes to maintain consumer recognition.

C) Marketers who make dramatic changes to logos may anger customers.

D) Marketers who crossed the differential threshold have chosen to return to their original logos.

E) Marketers should always try to cross the JND and make dramatic changes.

E) Marketers should always try to cross the JND and make dramatic changes.

19) A stimulus may be too faint or brief to be consciously seen or heard, such as a deeply embedded or a very briefly flashed image, but may still be perceived by one or more sensory receptor cells. This is called ________.

A) subliminal perception

B) sequential transition

C) supraliminal perception

D) sensory adaptation

E) perceptual blocking

A) subliminal perception

20) Which of the following is true of the relationship between consumers' perceptions and their expectations?

A) Individual motivation does not affect perception.

B) Ads with irrelevant sexuality generally lead to better recall of the product advertised due to the attention-getting nature of the sexual content.

C) People tend to make observations and arrive at conclusions completely independent of their expectations.

D) Consumers tend to perceive products and product attributes according to their own expectations.

E) What consumers expect to see is completely dependent on their objective, first-hand experience with the particular product or advertising medium.

D) Consumers tend to perceive products and product attributes according to their own expectations.

21) Which of the following is true of the relationship between consumers' perceptions and their motives?

A) In general, there is a heightened awareness of stimuli that are irrelevant to consumers' needs.

B) The stronger the consumer's need, the greater the tendency to ignore related stimuli in the environment.

C) In general, there is decreased awareness of stimuli that are relevant to consumers' needs.

D) The stronger the consumer's need, the greater the tendency to pay attention to related stimuli in the environment.

E) Consumers tend to pay equal attention to all advertising, regardless of their needs at any given time.

D) The stronger the consumer's need, the greater the tendency to pay attention to related stimuli in the environment.

22) Which of the following does NOT provoke attention?

A) shocking images

B) contrasting images

C) adaptation

D) unrealistic images

E) contrasting sounds

C) adaptation

23) Which of the following is NOT true about the effect of expectations and motives on perceptions?

A) People see what they expect to see based on familiarity, previous experience, and expectations.

B) Stimuli that conflict sharply with expectations often receive less attention than those that conform to expectations.

C) Irrelevant sexuality can distract from the ad's main message.

D) People tend to perceive the things they need or want.

E) There is decreased awareness of stimuli that are irrelevant to a consumer's needs.

B) Stimuli that conflict sharply with expectations often receive less attention than those that conform to expectations.

24) ________ is a concept related to perception. People actively seek out messages that they find pleasant and actively avoid painful or threatening ones.

A) Selective attention

B) Selective exposure

C) Perceptual defense

D) Perceptual blocking

E) Perceptual organization

B) Selective exposure

25) After buying a Mini Cooper, Kate began paying more attention to advertisements for Mini and spent more time on websites reading about how much Mini drivers love their cars because she was sympathetic to these messages and found them pleasant. This is an example of ________.

A) selective attention

B) selective exposure

C) perceptual defense

D) perceptual blocking

E) perceptual organization

B) selective exposure

26) ________ refers to consumers' heightened awareness of stimuli that meet their needs or interests, and minimal awareness of stimuli irrelevant to their needs.

A) Selective attention

B) Selective exposure

C) Perceptual defense

D) Perceptual blocking

E) Perceptual organization

A) Selective attention

27) Listening to the radio on the way home from work, Paul is particularly aware of an ad for McDonald's because he is getting hungry. This is an example of ________.

A) selective attention

B) selective exposure

C) perceptual defense

D) perceptual blocking

E) perceptual organization

A) selective attention

28) Consumers subconsciously screen out stimuli that they find psychologically threatening, even though exposure has already taken place. This is consistent with the perception factor of ________.

A) selective attention

B) selective exposure

C) perceptual defense

D) perceptual differentiation

E) perceptual organization

C) perceptual defense

29) Canada requires tobacco firms to feature graphic health warnings on cigarette packs. In a perception context, this is to try to combat ________ where people no longer pay attention to the warning labels on packets.

A) selective attention

B) selective exposure

C) perceptual defense

D) perceptual differentiation

E) perceptual organization

C) perceptual defense

30) Consumers need to protect themselves from being bombarded with stimuli by simply tuning out such stimuli from their conscious awareness. This is known as ________.

A) selective attention

B) selective exposure

C) perceptual defense

D) perceptual blocking

E) perceptual differentiation

D) perceptual blocking

31) Joe passes many billboards on his way to work, but rarely even recognizes that they are there because he is paying attention to the road. By protecting himself from being overwhelmed by the billboards, Joe is engaging in ________.

A) defensive stimulation

B) selective exposure

C) perceptual defense

D) perceptual blocking

E) perceptual organization

D) perceptual blocking

32) In the figure and ground principle of Gestalt psychology, ________.

A) the ground is usually perceived as distinct and central to the image

B) the common line that separates the figure and the ground is generally attributed to the ground

C) figure and ground relationships are always interpreted in the same way

D) figure typically appears to be subordinate to ground and, therefore, less important

E) the ground is usually perceived as indefinite, hazy, and continuous

E) the ground is usually perceived as indefinite, hazy, and continuous

33) In product placement scenarios, marketers place an advertised product into a TV show or film by having it used by the cast, integrated into the plot, or associated with a character. In product placements, the product is considered the ________ and the show is the ________.

A) entertainment; brand

B) figure; ground

C) ground; perceptual organization

D) perceptual block; perceptual organization

E) ground; figure

B) figure; ground

34) To simplify life, people have a natural tendency to select stimuli from the environment and organize them into groups and perceive them as a unified whole. In a perception context, this is known as ________.

A) figure-ground

B) perceptual blocking

C) perceptual mapping

D) grouping

E) closure

D) grouping

35) Individuals express their need for ________ by organizing their perceptions so that they form a complete picture.

A) closure

B) interpretation

C) grouping

D) figure-ground patterns

E) exposure

A) closure

36) When stimuli are highly ambiguous, an individual will usually ________.

A) ignore them

B) block them out

C) interpret them according to one's own needs, wishes, and interests

D) take extra time to understand the intentions of the source

E) consult others as to their meaning

C) interpret them according to one's own needs, wishes, and interests

37) When an ad for Benetton featured the hands of two men — one black and one white — handcuffed together to promote racial harmony, people perceived that a white man was arresting a black man. This is an example of ________.

A) the halo effect

B) a consumer stereotype

C) the persistence of first impressions

D) effective product positioning

E) perceptual blocking

B) a consumer stereotype

38) Marketers take advantage of ________ when they extend a brand name associated

with one line of products to another.

A) physical appearances

B) perceptual blocking

C) the halo effect

D) the persistence of first impressions

E) consumers' tendency to jump to conclusions

C) the halo effect

39) In 2009, the Axe brand launched a line of hair care products to complement its existing assortment of body washes and deodorants, hoping to leverage the Axe brand equity to expand into a new category of men's personal care products. This is an example of a manufacturer taking advantage of ________.

A) physical appearances

B) perceptual blocking

C) the halo effect

D) the persistence of first impressions

E) perceptual defense

C) the halo effect

40) Ragu, a maker of spaghetti sauces, chose to launch some of its most successful flavors in the new pouch packaging format in order to take advantage of ________ to gain quick customer acceptance of the new format.

A) perceptual mapping

B) Gestalt psychology

C) the halo effect

D) selective exposure

E) consumers' need for closure

C) the halo effect

41) ________ refers to consumers' perceptions of all the components of products, services and brands, and to how consumers evaluate the quality of marketers' offerings.

A) First impressions

B) Consumers' stereotypes

C) Consumers' imagery

D) Symbolic features

E) Symbolic attributes

C) Consumers' imagery

42) Why would a brand want to update its image?

A) to create emotional bonds between brands and consumers

B) to fulfill a need in a straightforward way

C) to be more similar to competitors

D) to hide its core benefit

E) to be perceived as a "me too" offering

A) to create emotional bonds between brands and consumers

43) Which of the following is least likely to convey a fragrance brand's image on its own?

A) the product's name

B) the product's appearance

C) the product's packaging

D) the product's features

E) the product's fragrance

E) the product's fragrance

44) ________ is the customer's view of the value that he or she receives from the purchase.

A) Reference price

B) Perceived price

C) Efficiency price

D) Value price

E) Differential price

B) Perceived price

45) ________ is any price that a consumer uses as a basis for comparison in judging another price.

A) Reference price

B) Perceived price

C) Efficiency price

D) Value price

E) Differential price

B) Perceived price

46) Which of the following is an illustration of a price discount that would be viewed as most favorable given the "right side effect"?

A) a discount from $26 to $25

B) a discount from $22 to $21

C) a discount from $19 to $18

D) a discount from $16 to $15

E) a discount from $39 to $38

B) a discount from $22 to $21

47) Which of the following is NOT a strategy that helps consumers engage in dissonance reduction when they encounter prices that are significantly different from their expectations?

A) seeking additional information

B) forming cognitions that justify the high price

C) perceiving the price as within the given acceptable price range

D) considering buying other brands

E) trivializing some aspects of the buying situation

C) perceiving the price as within the given acceptable price range

48) ________ are physical characteristics of the product itself, such as size, color, flavor, or aroma.

A) Intrinsic cues

B) Product quality ratings

C) Extrinsic cues

D) Brand images

E) Brand personalities

A) Intrinsic cues

49) The most widely accepted framework for researching service quality stems from the premise that a consumer's evaluation of service quality is a function of the ________ of the gap between the customer's expectations of service and the customer's assessment of the service actually delivered.

A) type and physical characteristics

B) intangible attributes

C) extrinsic cues

D) magnitude and direction

E) intrinsic cues

D) magnitude and direction

50) ________ measures the gaps between customers' expectations of services and their perceptions of the actual service delivered.

A) Reference price

B) The SERVQUAL scale

C) The Service Index

D) Brand image

E) The Tangibility Index

B) The SERVQUAL scale

51) Which of the following is NOT a dimension measured in the SERVQUAL scale?

A) reliability

B) responsiveness

C) assurance

D) empathy

E) ignorance

E) ignorance

52) Which of the following is true of services?

A) It is more difficult for consumers to evaluate the quality of products than the quality of services.

B) Services are simultaneously produced and consumed.

C) Services are tangible.

D) Services are highly consistent in quality.

E) Services are durable.

B) Services are simultaneously produced and consumed.

53) The purpose of institutional advertising is to ________.

A) promote a specific product line

B) promote a specific retail outlet as a way of improving the manufacturer's image through the retail store image

C) boost the corporate image

D) enter a product category totally unrelated to the one with which the corporate name has become synonymous

E) promote the product category as a whole

C) boost the corporate image

54) When consumers buy the most expensive model to mitigate the risk of purchasing a poorly performing product, they are using ________ to minimize their risk.

A) information-seeking behavior

B) brand loyalty

C) narrow categorization

D) the price/quality relationship

E) perceptual blocking

D) the price/quality relationship

55) Consumers are more likely to view price as an indicator of quality if ________.

A) they have little information to go on

B) they are confident in their ability to make the product or service choice

C) they are experts

D) they are familiar with the store where the product is purchased

E) they are familiar with the product or service

A) they have little information to go on

56) ________ is promotion that is designed to promote a company's overall image without overtly referring to specific products.

A) Status advertising

B) Institutional advertising

C) Store image

D) Brand image

E) Global advertising

B) Institutional advertising

57) ________ is the uncertainty that consumers face when they cannot foresee the consequences of their purchase decisions.

A) Reference price

B) Service quality

C) Brand image

D) Intrinsic cues

E) Perceived risk

E) Perceived risk

58) Low-risk perceivers have been described as broad categorizers and tend to ________.

A) make their choices from a wide range of alternatives

B) limit their choices to a few safe options

C) exclude some perfectly good alternatives in order to minimize the chance of a poor selection

D) avoid new products about which they know little

E) be very brand loyal

A) make their choices from a wide range of alternatives

59) Barry has avoided purchasing a new laptop because prices keep falling and he is worried that, if he buys a laptop today, the same laptop will be cheaper in six months. Barry perceives ________ associated with the purchase of a new laptop.

A) financial risk

B) social risk

C) psychological risk

D) functional risk

E) time risk

A) financial risk

60) Alice needs a new cell phone, but is anxious about which phone she should buy. Many of her friends own popular phone models but complain about lost calls, short battery life, and poor predictive text functionality. While she has identified several attractive phone models, she doesn't feel like she can really try the phones out in such an artificial setting and is nervous that she might pick a phone that doesn't work as well as she had hoped. Alice perceives ________ associated with the purchase of a new phone.

A) financial risk

B) social risk

C) psychological risk

D) functional risk

E) time risk

D) functional risk

61) ________ is the risk that the time and effort spent in product search may be wasted if the product does not perform as expected.

A) Financial risk

B) Social risk

C) Psychological risk

D) Functional risk

E) Time risk

E) Time risk

62) If a mobile phone company, Mobile Power, offers a money-back guarantee to offset concerns that the product will not be worth its cost, it is an attempt to help mitigate consumers' perception of ________.

A) functional risk

B) financial risk

C) psychological risk

D) social risk

E) physical risk

B) financial risk

63) If a cell phone company, Mobile Power, offers a warranty on their phones as an assurance their phones will perform as expected, it is likely an attempt to help mitigate consumers' perception of ________.

A) functional risk

B) financial risk

C) psychological risk

D) social risk

E) physical risk

A) functional risk

64) Ragu, a spaghetti sauce maker, has decided to launch its most popular sauce flavors in a small pouch format that is more convenient to use. When they choose to launch their most popular sauce flavors, which are "tried and true," instead of new flavors, Ragu is seeking to minimize consumers' perception of ________.

B) functional risk

65) Ragu, a spaghetti sauce maker, has decided to launch its most popular sauce flavors in a small pouch format that is more convenient to use. When they choose to launch their most popular sauce flavors, which are "tried and true," instead of new flavors, Ragu is trying to appeal to ________.

D) narrow categorizers

66) If a consumer is concerned he will be embarrassed when his friends see him with a particular product, he is perceiving ________ risk.

B) psychological

67) Jeff wants to switch mobile phone carriers, but is concerned that if he switches, he may have to compare all the different carriers' calling plans again if he experiences a lot of "dropped calls" with his new provider. He is perceiving ________ risk.

C) time

68) Lola is concerned about the impact of genetically modified ingredients found in foods on the long-term health of her family members. She is perceiving ________ risk.

D) physical

69) Which of the following is NOT a way for a consumer to overcome perceived risk?

A) use a random choice model

B) seek information

C) remain brand loyal

D) rely on store image

E) buy the most expensive model

A) use a random choice model

70) In the JUICE MINI CASE, Fruit Fusions is taking advantage of ________ in extending its brand name association to its new juice line as a means of increasing consumer acceptance of the new product.

A) umbrella positioning

B) product repositioning

C) contrast

D) consumer stereotypes

E) the halo effect

E) the halo effect

71) In the JUICE MINI CASE, Fruit Fusions only sells its new juice line through high-end grocery stores and lunch boutiques in an effort to create a high-end reputation for its juice line through ________.

A) retail store image

B) consumer stereotypes

C) playing on consumers' need for closure

D) making a good first impression

E) perceived risk

A) retail store image

72) In the JUICE MINI CASE, Fruit Fusions' print ads are meant to draw a reader's attention through ________.

A) consumers' need for closure

B) an attribute focus

C) figure and ground relationships

D) consumers' tendency to jump to conclusions

E) consumers' tendency to group stimuli together

C) figure and ground relationships

73) In the JUICE MINI CASE, Fruit Fusions explores consumers' ________ in order to determine the best price for its new fruit drinks.

A) satisfaction prices

B) efficiency prices

C) relationship prices

D) internal reference prices

E) satisfaction-based prices

D) internal reference prices

74) In the JUICE MINI CASE, Fruit Fusions places its advertisements in magazines focused on health and wellness under the assumption that people reading such magazines are interested in health foods and are more likely to seek out information about Fruit Fusions from the advertisements than consumers reading a magazine focused on news and entertainment. This phenomenon is known as ________.

A) selective exposure

B) perceptual defense

C) selective organization

D) the contrast effect

E) perceptual blocking

A) selective exposure

75) For each individual, reality is a totally personal phenomenon, based on that person's needs, wants, values, and personal experiences.

Answer: TRUE

76) Marketers are much more interested in what consumers objectively know about their products than what they perceive.

Answer: FALSE

77) The minimal difference that can be detected between two similar stimuli is called the absolute threshold.

Answer: FALSE

78) According to Weber's law, a consumer will notice a 25 cent rise in the price of a 50 cent product more than a 25 cent rise in the price of a $10 product.

Answer: TRUE

79) The marketer's objective is to far exceed consumers' JND for product improvements in order to engender greater brand loyalty from consumers.

Answer: FALSE

80) There is strong evidence that subliminal advertising persuades people to buy goods or services.

Answer: FALSE

81) People perceive all stimuli to which they are exposed.

Answer: FALSE

82) People usually see what they expect to see, and what they expect to see is usually based on familiarity, previous experience, or expectations.

Answer: TRUE

83) Irrelevant sexuality in advertising leads viewers to remember the sexual aspects of the ad, not the product or brand advertised.

Answer: TRUE

84) In one type of perceptual defense, individuals sometimes unconsciously distort information that is not consistent with their needs, values, and beliefs.

Answer: TRUE

85) People tend to experience the numerous stimuli they select from the environment as separate and discrete sensations.

Answer: FALSE

86) Deliberate blurring of figure and ground, as when Absolut Vodka embeds the distinct shape of its bottle in a print image, can result in greater engagement of the audience with the advertisement.

Answer: TRUE

87) Completed messages or tasks are better remembered than those that are incomplete.

Answer: FALSE

88) When forming first impressions, the perceiver typically knows which stimuli are relevant, important, or predictive of later behavior.

Answer: FALSE

89) Products and brands have symbolic value for individuals, who evaluate them on the basis of their consistency with their personal pictures of themselves.

Answer: TRUE

90) Positioning is more important to the ultimate success of a product than are its actual characteristics.

Answer: TRUE

91) Because services are intangible, image becomes a key factor in differentiating a service from its competition.

Answer: TRUE

92) Delivery vehicles painted in distinct colors, restaurant matchbooks, packaged hotel soaps and shampoos are all ways to make service offerings seem more tangible with visual images.

Answer: TRUE

93) When consumers evaluate concrete attributes of a product, such as performance and durability, they rely less on price and brand name as indicators of quality than when they evaluate the product's prestige and symbolic value.

Answer: TRUE

94) Reference pricing coupled with limited-time availability (e.g. regularly $599, now $359 and on sale, three days only) produces more favorable price and store perceptions than each technique used alone.

Answer: TRUE

95) When consumers encounter prices that are in line with their expectations and feel harmonious, they engage in dissonance reduction.

Answer: FALSE

96) Consumers are influenced by risks that exist whether they perceive the risks or not.

Answer: FALSE

97) The amount of risk perceived depends on the specific consumer.

Answer: TRUE

98) Psychological risk is the risk that a poor product choice may result in social embarrassment.

Answer: TRUE

99) Low-risk perceivers have been described as narrow categorizers because they limit their choices to a few safe alternatives.

Answer: TRUE

100) Define Weber's law in the context of the differential threshold and cite an example of Weber's law in practice.

Answer: Another term used for the differential threshold is the just noticeable difference (JND). The JND between two stimuli is not an absolute amount, but an amount relative to the intensity of the first stimulus. Weber's law states that the stronger the initial stimulus, the greater the additional intensity needed for the second stimulus to be perceived as different. For example, if the price of a large container of orange juice is $5.50, most consumers will probably not notice an increase of 25 cents, however, a similar 25 cent increase in the price of gasoline would be noticed very quickly by consumers because it is a significant percentage of the initial base cost of gasoline.

101) How do marketers take advantage of the JND?

Answer: Marketers need to determine the JND for their products for two reasons: (1) so that negative changes like reductions in product size are not readily discernable to the public, and (2) so that product improvements such as larger size are very apparent to consumers without being wastefully extravagant. They are careful about logo and packaging changes because they want to maintain familiarity with the existing brand and its image and avoid making consumers confused or angry about changes.

102) What is subliminal perception? How does it relate to marketing?

Answer: When people are stimulated below their level of conscious awareness because the stimuli are too weak or too brief to be consciously seen or heard, this is known as subliminal perception.

98) Psychological risk is the risk that a poor product choice may result in social embarrassment.

Answer: TRUE

99) Low-risk perceivers have been described as narrow categorizers because they limit their choices to a few safe alternatives.

Answer: TRUE

Which of the following is true of the relationship between consumers perceptions and their expectations?

Which of the following is true of the relationship between consumers' perceptions and their expectations? Consumers tend to perceive products and product attributes according to their own expectations.
Perception-based theories of concepts hold that concepts represent categories exclusively in terms of perceivable qualities and relations. A concept such as GORILLA, then, would be made up of stored perceptual images of gorillas and their typical behavior.

How do our expectations contexts emotions and motivation influence our perceptions?

How do our expectations, contexts, emotions, and motivation influence our perceptions? Perceptual set is a mental predisposition that functions as a lens through which we perceive the world. Our learned concepts (schemas) prime us to organize and interpret ambiguous stimuli in certain ways.

What are the strategic implications of the process of perception for marketers?

Perception has strategy implications for marketers, because consumers make decisions based on what they perceive, rather on the basis of objective reality. The lowest level at which an individual can perceive a specific stimulus is called the absolute threshold.