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Chapter 10 Reference Groups, Family Influences And Social Class MKT348 Dr. Franck Vigneron What is a Group? • Two or more people who interact to accomplish either individual or mutual goals • A membership group is one to which a person either belongs or would qualify for membership • A symbolic group is one in which an individual is not likely to receive membership despite acting like a member Reference Group A person or group that serves as a point of comparison (or reference) for an individual in the formation of either general or specific values, attitudes, or behavior. Broad Categories of Reference Groups • Normative Reference Groups • Comparative Reference Groups Normative Reference Group A group that influences the general values or behavior of an individual. Comparative Reference Groups A group whose norms serve as a benchmark for highly specific or narrowly defined types of behavior. Indirect Reference Groups Individuals or groups with whom a person identifies but does not have direct face-toface contact, such as movie stars, sports heroes, political leaders, or TV personalities. Factors That Affect Reference Group Influence • Information and experience • Credibility, attractiveness, and power o the reference group • Conspicuousness of the product Factors Encouraging Conformity: A Reference Group Must ... • Inform or make the individual aware of a specific product or brand • Provide the individual with the opportunity to compare his or her own thinking with the attitudes and behavior of the group • Influence the individual to adopt attitudes and behavior that are consistent with the norms of the group • Legitimize the decision to use the same products as the group Selected Consumer-Related Reference Groups • • • • Friendship groups Shopping groups Work groups Virtual groups or communities • Consumer-action groups Informal Groups A group of people who see each other frequently on an informal basis, such as weekly poker players or social acquaintances. Shopping Group Two or more people who shop together. Reference Group Appeals • • • • Celebrities The expert The “common man” The executive and employee spokesperson • Trade or spokes-characters • Other reference group appeals Family Two or more persons related by blood, marriage, or adoption who reside together. Extended Family A household consisting of a husband, wife, offspring, and at least one other blood relative. Single-Parent Family Households consisting of one parent and at least one child, because of divorce, separation, and out-ofwedlock births. Consumer Socialization The process by which children acquire the skills, knowledge, and attitudes necessary to function as consumers. Other Functions of the Family • Economic well-being • Emotional support • Suitable family lifestyles Dynamics of Husband-Wife Decision Making • Husband-Dominated • Wife-Dominated • Joint – Equal – Syncratic • Autonomic – Solitary – Unilateral The Family Life Cycle • Traditional Family Life Cycle – – – – – Stage I: Bachelorhood Stage II: Honeymooners Stage III: Parenthood Stage IV: Postparenthood Stage V: Dissolution • Modifications - the Nontraditional FLC Social Class The division of members of a society into a hierarchy of distinct status classes, so that members of each class have either higher or lower status than members of other classes Social Class and Social Status • Social status is usually defined in terms of one or more of the following socioeconomic variables: – Family Income – Occupational Status – Educational Attainment The Measurement of Social Class • Subjective Measures • Reputational Measures • Objective Measures Subjective Measures In the subjective approach to measuring social class, individuals are asked to estimate their own socialclass positions. Reputational Measures The reputational approach requires selected community informants to make initial judgments concerning the social-class membership of others within the community. Objective Measures of Social Class A method of measuring social class whereby individuals are asked specific socioeconomic questions concerning themselves or their families On the basis of their answers, people are placed within specific social-class groupings. Objective Measures • Single-variable indexes – – – – Occupation Education Income Other Variables • Composite-variable indexes – Index of Status Characteristics – Socioeconomic Status Score SingleVariable Index The use of a single socioeconomic variable (such as income) to estimate an individual’s relative social class. CompositeVariable Index An index that combines a number of socioeconomic variables (such as education, income, occupation) to form one overall measure of social class standing. Consumer Behavior and Social Class • • • • Clothing, Fashion, and Shopping The Pursuit of Leisure Saving, Spending, and Credit Social Class and Communication