Download GTU (Gujarat Technological University) MBA (Master of Business Administration) 2016 Summer 3rd Sem 2830101 Consumer Behavior Cb Previous Question Paper
Seat No.: ________ Enrolment No.___________
GUJARAT TECHNOLOGICAL UNIVERSITY
MBA ? SEMESTER (3) ? EXAMINATION ? SUMMER 2016
Subject Code: 2830101 Date: 04/05/2016
Subject Name: Consumer Behavior (CB)
Time: 10.30 AM TO 01.30 PM Total Marks: 70
Instructions:
1. Attempt all questions.
2. Make suitable assumptions wherever necessary.
3. Figures to the right indicate full marks.
Q. No. Question Text and Option 6
Q.1 (a) Purchasing a T.V. is an example of
1.
A. Routinized problem
solving
B. Extensive problem solving
C. Limited problem
solving
D. None of the above
2.
An individual?s desired state of being (personal) is termed as:
A. Actual self image B. Ideal self image
C. Social self image D Ideal social self image
3.
Family is an example of:
A. Dissociative groups B. Aspirational groups
C. Secondary groups D. Primary groups
4.
nAFF stands for:
A. Need for affirmation B. Need for affrontation
C. Need for affiliation D. None of the above
5.
Consumers who are the last to latch on to an innovation are called:
A. Laggards B. Achievers
C. Majority D. Innovators
6.
When a daughter learns preparing tea watching her mother prepare tea, it is -
A. Experimental
learning
B. Classical learning
C. Observational
learning
D. Cognitive learning
Q.1 (b) Explain the following terms with relevant examples:
1. Attitude
2. Absolute threshold
3. Reference group
4. Semiotics
04
Q.1 (c) Explain the theory of Maslow?s hierarchy of needs. 04
Q.2 (a) Explain the tri-component model of attitude formation. 07
(b) Citing examples, explain how marketers position their offerings keeping
in mind the family life cycle.
07
OR
(b) Explain the theory of learning applicable to the purchase of a cell ?phone. 07
Q.3 (a) Which are the theories / strategies of attitude change? 07
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1
Seat No.: ________ Enrolment No.___________
GUJARAT TECHNOLOGICAL UNIVERSITY
MBA ? SEMESTER (3) ? EXAMINATION ? SUMMER 2016
Subject Code: 2830101 Date: 04/05/2016
Subject Name: Consumer Behavior (CB)
Time: 10.30 AM TO 01.30 PM Total Marks: 70
Instructions:
1. Attempt all questions.
2. Make suitable assumptions wherever necessary.
3. Figures to the right indicate full marks.
Q. No. Question Text and Option 6
Q.1 (a) Purchasing a T.V. is an example of
1.
A. Routinized problem
solving
B. Extensive problem solving
C. Limited problem
solving
D. None of the above
2.
An individual?s desired state of being (personal) is termed as:
A. Actual self image B. Ideal self image
C. Social self image D Ideal social self image
3.
Family is an example of:
A. Dissociative groups B. Aspirational groups
C. Secondary groups D. Primary groups
4.
nAFF stands for:
A. Need for affirmation B. Need for affrontation
C. Need for affiliation D. None of the above
5.
Consumers who are the last to latch on to an innovation are called:
A. Laggards B. Achievers
C. Majority D. Innovators
6.
When a daughter learns preparing tea watching her mother prepare tea, it is -
A. Experimental
learning
B. Classical learning
C. Observational
learning
D. Cognitive learning
Q.1 (b) Explain the following terms with relevant examples:
1. Attitude
2. Absolute threshold
3. Reference group
4. Semiotics
04
Q.1 (c) Explain the theory of Maslow?s hierarchy of needs. 04
Q.2 (a) Explain the tri-component model of attitude formation. 07
(b) Citing examples, explain how marketers position their offerings keeping
in mind the family life cycle.
07
OR
(b) Explain the theory of learning applicable to the purchase of a cell ?phone. 07
Q.3 (a) Which are the theories / strategies of attitude change? 07
2
(b) Prepare a questionnaire to measure consumer attitude towards Mountain
Dew.
07
OR
Q.3 (a) Explain the classical conditioning theory of learning, and its applications
in marketing.
07
(b) How would you apply the ELM model for marketing of a laptop and a
new energy drink?
07
Q.4 (a) Explain the consumer decision making process, with relevant examples. 07
(b) How will the social class of consumers influence their decision making
related to holidays, vacations and tours and travels?
07
OR
Q.4 (a) Write a note on the factors influencing adoption of a new innovation. 07
(b) With relevant and adequate examples, explain how the Indian culture and
specific subcultures are having an impact on our consumption decisions
and choices.
07
Q.5
Attempt ANY ONE CASE:
Case 1: A PRODUCT FAILURE AT SATURN
Saturn is attempting to create committed customers. Saturn, a division of
General Motors, advertises around the theme:
A different kind of company. A different kind of car.
Thought Saturn cars cost only $10,000 to $16,000, the firm attempts to
provide its customers the same level of service and consideration
typically associated with expensive luxury cars. Its stated objective i5 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, I think 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, no 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 1993 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 $ 35 million. 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 connection
today.
FirstRanker.com - FirstRanker's Choice
1
Seat No.: ________ Enrolment No.___________
GUJARAT TECHNOLOGICAL UNIVERSITY
MBA ? SEMESTER (3) ? EXAMINATION ? SUMMER 2016
Subject Code: 2830101 Date: 04/05/2016
Subject Name: Consumer Behavior (CB)
Time: 10.30 AM TO 01.30 PM Total Marks: 70
Instructions:
1. Attempt all questions.
2. Make suitable assumptions wherever necessary.
3. Figures to the right indicate full marks.
Q. No. Question Text and Option 6
Q.1 (a) Purchasing a T.V. is an example of
1.
A. Routinized problem
solving
B. Extensive problem solving
C. Limited problem
solving
D. None of the above
2.
An individual?s desired state of being (personal) is termed as:
A. Actual self image B. Ideal self image
C. Social self image D Ideal social self image
3.
Family is an example of:
A. Dissociative groups B. Aspirational groups
C. Secondary groups D. Primary groups
4.
nAFF stands for:
A. Need for affirmation B. Need for affrontation
C. Need for affiliation D. None of the above
5.
Consumers who are the last to latch on to an innovation are called:
A. Laggards B. Achievers
C. Majority D. Innovators
6.
When a daughter learns preparing tea watching her mother prepare tea, it is -
A. Experimental
learning
B. Classical learning
C. Observational
learning
D. Cognitive learning
Q.1 (b) Explain the following terms with relevant examples:
1. Attitude
2. Absolute threshold
3. Reference group
4. Semiotics
04
Q.1 (c) Explain the theory of Maslow?s hierarchy of needs. 04
Q.2 (a) Explain the tri-component model of attitude formation. 07
(b) Citing examples, explain how marketers position their offerings keeping
in mind the family life cycle.
07
OR
(b) Explain the theory of learning applicable to the purchase of a cell ?phone. 07
Q.3 (a) Which are the theories / strategies of attitude change? 07
2
(b) Prepare a questionnaire to measure consumer attitude towards Mountain
Dew.
07
OR
Q.3 (a) Explain the classical conditioning theory of learning, and its applications
in marketing.
07
(b) How would you apply the ELM model for marketing of a laptop and a
new energy drink?
07
Q.4 (a) Explain the consumer decision making process, with relevant examples. 07
(b) How will the social class of consumers influence their decision making
related to holidays, vacations and tours and travels?
07
OR
Q.4 (a) Write a note on the factors influencing adoption of a new innovation. 07
(b) With relevant and adequate examples, explain how the Indian culture and
specific subcultures are having an impact on our consumption decisions
and choices.
07
Q.5
Attempt ANY ONE CASE:
Case 1: A PRODUCT FAILURE AT SATURN
Saturn is attempting to create committed customers. Saturn, a division of
General Motors, advertises around the theme:
A different kind of company. A different kind of car.
Thought Saturn cars cost only $10,000 to $16,000, the firm attempts to
provide its customers the same level of service and consideration
typically associated with expensive luxury cars. Its stated objective i5 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, I think 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, no 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 1993 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 $ 35 million. 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 connection
today.
3
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? Mrs. K, a customer,
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."
Q.1) How will publicity about the recall affect Saturn's image among non-
owners?
Q.2) Evaluate the manner in which Saturn handled the recall.
14
OR
Case 2: Renault Duster
When French automotive giant Renault first entered India through a joint
venture with Mahindra & Mahindra, it placed high hopes on its maiden
product offering Logan - a mid-sized sedan launched in 2007. But the car
with its dated looks and high pricing failed to strike a chord with Indian
consumers. Such was the scale of the failure that it ended up killing the
joint venture in 2010. Renault's brand name took a massive hit in India.
Ironically, the Logan's failure laid the foundation for the success of
Renault's compact sport-utility vehicle (SUV) Duster.
After its break-up with Mahindra & Mahindra, Renault chose to go alone.
It set up a Rs 4,500 crore factory at Oragadam near Chennai along with
its global partner Nissan Motor Company. The first few products it rolled
out from the new plant were positioned as "image drivers". It launched
premium sedan Fluence in May 2011 and premium SUV Koleos that
September. Its next offering was the Pulse, a compact car launched in
January 2012. The Pulse was a cross-badged version of Nissan's Micra,
and was also positioned as a premium offering. Renault's focus on
resurrecting its image in India and consequent premium offerings meant
poor volumes in a country that prefers value for money.
Renault desperately needed a "volume driver" to shore up its operations.
It identified a gap in the SUV segment. "There were SUVs costing Rs 20
lakh and above manufactured by global players and those priced from Rs
6 lakh to Rs 10 lakh produced by Indian companies. The company
launched the Duster priced between Rs 8 lakh and Rs 12 lakh in July
2012. The Duster took the Indian market by storm and grabbed a 23 per
cent market share within a year.
The Duster was Renault's first 'real' offering in India after the Logan.
"The Logan's failure reminded us of the importance of understanding the
customer, getting the product right and positioning the Duster correctly at
the time of the launch," says Marc Nassif, Managing Director, Renault
India.
FirstRanker.com - FirstRanker's Choice
1
Seat No.: ________ Enrolment No.___________
GUJARAT TECHNOLOGICAL UNIVERSITY
MBA ? SEMESTER (3) ? EXAMINATION ? SUMMER 2016
Subject Code: 2830101 Date: 04/05/2016
Subject Name: Consumer Behavior (CB)
Time: 10.30 AM TO 01.30 PM Total Marks: 70
Instructions:
1. Attempt all questions.
2. Make suitable assumptions wherever necessary.
3. Figures to the right indicate full marks.
Q. No. Question Text and Option 6
Q.1 (a) Purchasing a T.V. is an example of
1.
A. Routinized problem
solving
B. Extensive problem solving
C. Limited problem
solving
D. None of the above
2.
An individual?s desired state of being (personal) is termed as:
A. Actual self image B. Ideal self image
C. Social self image D Ideal social self image
3.
Family is an example of:
A. Dissociative groups B. Aspirational groups
C. Secondary groups D. Primary groups
4.
nAFF stands for:
A. Need for affirmation B. Need for affrontation
C. Need for affiliation D. None of the above
5.
Consumers who are the last to latch on to an innovation are called:
A. Laggards B. Achievers
C. Majority D. Innovators
6.
When a daughter learns preparing tea watching her mother prepare tea, it is -
A. Experimental
learning
B. Classical learning
C. Observational
learning
D. Cognitive learning
Q.1 (b) Explain the following terms with relevant examples:
1. Attitude
2. Absolute threshold
3. Reference group
4. Semiotics
04
Q.1 (c) Explain the theory of Maslow?s hierarchy of needs. 04
Q.2 (a) Explain the tri-component model of attitude formation. 07
(b) Citing examples, explain how marketers position their offerings keeping
in mind the family life cycle.
07
OR
(b) Explain the theory of learning applicable to the purchase of a cell ?phone. 07
Q.3 (a) Which are the theories / strategies of attitude change? 07
2
(b) Prepare a questionnaire to measure consumer attitude towards Mountain
Dew.
07
OR
Q.3 (a) Explain the classical conditioning theory of learning, and its applications
in marketing.
07
(b) How would you apply the ELM model for marketing of a laptop and a
new energy drink?
07
Q.4 (a) Explain the consumer decision making process, with relevant examples. 07
(b) How will the social class of consumers influence their decision making
related to holidays, vacations and tours and travels?
07
OR
Q.4 (a) Write a note on the factors influencing adoption of a new innovation. 07
(b) With relevant and adequate examples, explain how the Indian culture and
specific subcultures are having an impact on our consumption decisions
and choices.
07
Q.5
Attempt ANY ONE CASE:
Case 1: A PRODUCT FAILURE AT SATURN
Saturn is attempting to create committed customers. Saturn, a division of
General Motors, advertises around the theme:
A different kind of company. A different kind of car.
Thought Saturn cars cost only $10,000 to $16,000, the firm attempts to
provide its customers the same level of service and consideration
typically associated with expensive luxury cars. Its stated objective i5 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, I think 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, no 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 1993 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 $ 35 million. 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 connection
today.
3
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? Mrs. K, a customer,
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."
Q.1) How will publicity about the recall affect Saturn's image among non-
owners?
Q.2) Evaluate the manner in which Saturn handled the recall.
14
OR
Case 2: Renault Duster
When French automotive giant Renault first entered India through a joint
venture with Mahindra & Mahindra, it placed high hopes on its maiden
product offering Logan - a mid-sized sedan launched in 2007. But the car
with its dated looks and high pricing failed to strike a chord with Indian
consumers. Such was the scale of the failure that it ended up killing the
joint venture in 2010. Renault's brand name took a massive hit in India.
Ironically, the Logan's failure laid the foundation for the success of
Renault's compact sport-utility vehicle (SUV) Duster.
After its break-up with Mahindra & Mahindra, Renault chose to go alone.
It set up a Rs 4,500 crore factory at Oragadam near Chennai along with
its global partner Nissan Motor Company. The first few products it rolled
out from the new plant were positioned as "image drivers". It launched
premium sedan Fluence in May 2011 and premium SUV Koleos that
September. Its next offering was the Pulse, a compact car launched in
January 2012. The Pulse was a cross-badged version of Nissan's Micra,
and was also positioned as a premium offering. Renault's focus on
resurrecting its image in India and consequent premium offerings meant
poor volumes in a country that prefers value for money.
Renault desperately needed a "volume driver" to shore up its operations.
It identified a gap in the SUV segment. "There were SUVs costing Rs 20
lakh and above manufactured by global players and those priced from Rs
6 lakh to Rs 10 lakh produced by Indian companies. The company
launched the Duster priced between Rs 8 lakh and Rs 12 lakh in July
2012. The Duster took the Indian market by storm and grabbed a 23 per
cent market share within a year.
The Duster was Renault's first 'real' offering in India after the Logan.
"The Logan's failure reminded us of the importance of understanding the
customer, getting the product right and positioning the Duster correctly at
the time of the launch," says Marc Nassif, Managing Director, Renault
India.
4
The company went back to the drawing board to understand the Indian
customer. It identified a focus group of about 200 people whose profile
matched the potential buyer of the Duster. It then short-listed 30 families
from this focus group across five Indian cities for an ethnographic study
spread over two months. During this period members of the product
development team lived with their target customers to observe them,
understand their lives and needs. They also spent time with the customers
to know what they liked and did not like about their vehicles.
The exercise enabled the company to understand what a car should have
to meet an Indian customer's needs. "We understood that a critical
purchasing factor of a car in India is the exterior design," a company
executive said. "People loved an SUV with rugged looks that stood out in
a crowd, but at the same time wanted it to operationally perform like a
sedan - easy to drive and [offering] good fuel efficiency." The study
revealed that Indian consumers liked a strong dose of chrome on their
cars, especially the exterior. They liked body-coloured bumpers. Inside
the car they preferred a dual-tone interior, and wanted the switches for
power windows on the door rather than in the central console. Since a
good proportion of Indian cars are chauffer-driven, the rear seats needed
special treatment. Indians preferred inclined seats for greater comfort.
Rear air-conditioning was critical and so was the armrest, a mobile
charger and a reading light. Some storage space was also welcomed.
The European Duster did not have these attributes. Renault made several
changes in the car to suit Indian conditions.
When the car finally hit the market, Nassif was proved right. Today, more
than 60,000 Dusters are running on Indian roads. "The Duster succeeded
because it is the right product at the right time in the right segment at the
right price," says Sumit Sawhney, Executive Director for Sales and
Marketing at Renault India.
Of late, Sawhney's job has become a trifle difficult. SUV sales - like auto
sales in general - have slumped in recent months. Enhanced competition
from rivals such as Ford's compact SUV EcoSport is chipping away the
Duster's market share (it dropped to 20 per cent in July). Nassif, for his
part, has a different challenge now. The Duster has resurrected Renault's
brand image in the country, and Nassif realises the company needs to
capitalise on the car's success. "The Renault brand cannot sustain in India
only on the Duster. We will need more products," he says. Renault India
needs many more Duster-like successes.
Q.1) What steps were taken by Renault to understand the Indian
consumer?
Q.2) Which strategies will you recommend to Renault to ensure more
?Duster-like? successes?
14
*************
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This post was last modified on 19 February 2020