Business Administration 3321K Lecture Notes - Lecture 2: Energizer Bunny, Hells Angels, Duracell

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Lecture 2: Perception, Learning and Memory
Positivism philosophy about nature (using the scientific method), whether
we assume our intuitions are correct, we test to make sure
set the bar very high in terms of the information you need to come
to a conclusion
Positivist approach: laboratory group of experiments
competitive interference effect: energizer bunny public could get
confused and think it is Duracell
Interpretivism
only a person who is extremely passionate about the topic could
truly understand
this is how we generate theory
Interpretivist: Harley Davidson lifestyle choice (Harley or
nothing) outlaw/culture in the motorcycle culture you CANNOT
be a Hells Angel without a HARLEY DAVIDSON
Insights as to HOW people feel so passionate about a particular
brand holy grail for companies to understand this
Researchers usually pick either positivism or interpretivism.
Slide 52 (week 1) Scope and Sequence of Topics
Marketing Myopia- scope
What are they buying?
A pair of sneakers
o Enhance the athletic performance
o style
Lipstick
o Esteem
o fashion
o sex appeal
o femininity
o compliment dress/hairstyle
o brand chosen could be for separate reasons --> no product
testing on animals (interpretivistic approach)
Life insurance policy
o Peace of mind
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o reassurance
o comfort
o underlying needs could be different or different people
**WEEK 2 LECTURE SLIDES**
we are limited in our ability to process, code and abstract
information limits on how quickly we can encode everything
the way we see things is not usually consistent with reality
everyone has a unique was to encode information based on their
experiences and cognitive abilities
Slide 2 We live in a world overflowing with sensations
With corporate sponsorship there is a lot of brand communications
in campuses
As a consequence as this amount of clutter, we just add more to it
We pay attention to ads that are relevant to us in market for a
new car, more likely to pay attention to ads about cars
o reduce cognitive dissonance most advertisements help with
this
Slide 3- Sensations & Perceptions
sensory stimuli- aspects of our bodies that allow us to encode
consumers tend to remember positive memories in their lives, they
do not tend to remember negative things (Unless its very bad)
Bottle of Wine:
o utilitarian red wine enhances food digestion when you’re
eating red meat, to get drunk
Slide 4- Sensory Systems
Unique sensory quality of product
o Differentiation from competition
o Eg. BIG MAC it is constructed a certain way to please the
senses of the customers the most
Hedonic consumption
o Design/form = function/substance
o importance of aesthetics
o Eg. Harley Davidson it makes a loud sound (it is actually
patented)
o E.g. Apple simple, elegant look, aesthetically pleasing
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o E.g. Lindor Chocolate Hard outside, liquid centre (silky
technture)
Color- when we add color it become much more appealing
o Much more appetizing
o Eg. APPLE big come-back story new generation of
MACINTOSH had different colours of the same computer
the advertisement showed the 5 identical computers in
different colours with the tag line “collect all 5”
Slide 6- Vision
Vision
o Advertising, store design, packaging
o yellow is the best colour to have if you have something on
sale
o IKEA - yellow and blue sign because those are the colours of
Sweden
o Different colours have different physiological affects on the
body
Color
o Hot: red
o Cold: blue
o Cognitions (associations)
o Provokes emotion (affect)
o Reactions to color: biological & cultural
o Color in marketing is serious business
o Coffee served in a red mug is considered better than in a
green mug (bitter) coffee tastes differently to people in
different cups
o Red is a bad color to have a car in you are most likely to
get a speeding ticket
o What does black signify as a color?
associated with mourning (when someone died)
power
In Asia: mourning is associated with WHITE… while in
America WHITE = marriage
purple = color of death in LATIN MAERICA
white - color of death in JAPAN
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Document Summary

Slide 52 (week 1) scope and sequence of topics. **week 2 lecture slides** information limits on how quickly we can encode everything. We are limited in our ability to process, code and abstract: the way we see things is not usually consistent with reality, everyone has a unique was to encode information based on their experiences and cognitive abilities. Slide 4- sensory systems: unique sensory quality of product, differentiation from competition, eg. Big mac it is constructed a certain way to please the senses of the customers the most: hedonic consumption, design/form = function/substance importance of aesthetics, eg. Harley davidson it makes a loud sound (it is actually patented: e. g. Apple simple, elegant look, aesthetically pleasing: e. g. Lindor chocolate hard outside, liquid centre (silky technture: color- when we add color it become much more appealing, much more appetizing, eg. Apple big come-back story new generation of.

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