Linear processing in a semantic network: An alternative view of consumer product evaluation

While the linear model has been very successful in explaining the product evaluation process of consumers, it is quite uncertain what the model actually means in terms of underlying cognitive processes. An alternative model is developed, based on semantic network models developed in the psychology of memory, and used to explain the product evaluation process. It is shown that in certain cases this model leads to an information integration process structurally similar to the lineat model.     

Consumer habit forming,information acquisition,and buying behavior

Based on the three stages of consumer decision making proposed by Howard, this study analyzes the influences of consumer habit formation on information acquisition, stored information, and buying behavior. Using a sample of women having or expecting their first child, their habit formation with regard to three baby-related products is assessed. The data confirm most of the hypotheses derived from the theoretical model. Implications for marketing are discussed.     

Using voice analysis for analyzing bargaining processes in industrial marketing

Marketing processes on capital goods markets are often characterized as bargaining processes. Bargaining behavior is influenced by cognitive as well as activating factors. This article is concerned with the development of a new concept to measure the activation component by using voice analysis as an activational indicator. Literature concerning voice analysis is reviewed and two experiments are reported to support the hypothesis that the voice pitch may be used as a valid activational indicator.     

Impulsive consumer buying as a result of emotions

The concept of impulse buying is discussed and characterized as encompassing purchases with high emotional activation, low cognitive control, and a largely reactive behavior. A study is conducted to investigate whether emotions causing impulse buying can be identified empirically by interview data and observation of the mimical expression of buyers and nonbuyers. The results support the validity of the techniques employed.     

Optimal price and advertising policy for new products

Extending a model originally proposed by Bass, a “diffusion model” is developed that allows us to investigate the effects of certain price and advertising strategies during and after the introduction of new products by means of numerical computer simulation. The distinction between “innovators” and “imitators” forms the core of the model. A wide variety of implications for marketing strategies is derived.     

Risk distribution and bonding mechanisms in industrial marketing

This paper models the interactive process of planning, negotiating, selling, and putting into operation a highly complex technical object as a “precarious partnership.” The process consists of several steps or phases. Typically, the participants in such a process are in different relative positions of strength and especially information. For the weaker side, these differences usually bring about the danger of being exploited by the other side. If the interactive process consisted of isolated phases only, this danger could prevent the interaction. However, in the course of the entire process, the relative positions are repeatedly switched. This fact influences incentives, behavior, and expectations of both sides, which in return reduces the potential confilict over time, strengthens the mutual commitment, and limits the risks of cooperation to the extent that cooperation becomes possible and reasonable. Many procedural and institutional characteristics of the marketing of complex technical objects fit into this interpretation. The method of analysis used in this article could help to narrow the gap between marketing science and the economic analysis of market processes.     

Detrimental effects of television advertising on consumer socialization

As in the United States, there has been a heated discussion about possible negative effects of TV advertising on children in the Federal Republic of Germany. Results obtained in the United States are not readily transferable, owing to differences in media structure. Based on interviews with experts and a qualitative content analysis of relevant documents, this article tries to organize claims made about detrimental effects into dimensions of detrimentality.     

The application of probit,logit, and tobit in marketing: A review

Recent work on the analysis of qualitative dependent variables having considerable potential in marketing research are reviewed and illustrated. In particular, three related models, probit, logit, and tobit, are discussed in a nontechnical manner. In the last few years, there has been a resurgence of interest among biologists, economists, and other social scientists in developing and generalizing these three models. Yet, despite their apparent utility in marketing research, there have been only one or two rather limited applications to date. The object of this review is to enable researchers to evaluate these models and to relate them to their existing statistical procedures. The models are defined and related to the multivariate methods commonly used in marketing research. Second, the theoretical problems associated with using regression analysis and similar procedures on qualitative data are noted and the assumptions needed to resolve such problems are presented. Third, marketing applications are reviewed and an illustration of a general form of the probit model is evaluated and compared.     

Issues in fitting theoretical and measurement models in marketing

This article reviews the applications of linear structural equation modeling in business. It further examines the extent to which measurement models are constructed to fit theory models. The consensus appears to be that modelers intuitively use congeneric models without considering the appropriateness of such use. The other measurement models, such as tau equivalent or parallel form models are used very little in the literature. In addition, there is no use of common factor measurement models. The article also examines the extent to which various indices of fit are used in modeling marketing phenomena. Although chi square tests of model fit are used most frequently, the study documents increasing use of yet other indices, which perhaps more accurately reflect the extent to which the model fits.     

Perceived importance of selected product information sources in two time periods by United States and West German consumers

Perceived use of different types of information sources in the purchase of a major durable good is investigated in two countries (West Germany and the U.S.), two age groups (under 35, 35 and over), and two time periods (1970 and 1976). A logit model is constructed to allow probabilistic conclusions about the relationships among time, country, and age as explanatory variables and information source types as response variables. Product testing is found to increase in importance between time periods in both countries and to have the highest probability of use in combination with peer group as a source. Advertising has twice the probability of perceived use in the U.S. as in West Germany, and probability of use has not changed between years. Age is found not to be significant in perceived importance of sources.     

Capital cost and adjusted present value: Reconciliation and amplification

In recent years the adjusted present value method has been propounded for capital budgeting analysis. A comparison of the standard cost of capital approach to the adjusted present value method indicates that the two analyses produce exactly equivalent present value appraisals, as long as the enterprise contemplating the asset has a policy of keeping the degree of leverage constant. The conclusions reached are independent of the firm's target leverage position matching its present posture.