Consumer Behavior, 10e (Solomon)

Chapter 10 Organizational and Household Decision Making

1) A number of specific decision roles are played when a collective decision must be made. The
person who brings up the idea or need is the ________.
A) initiator
B) gatekeeper
C) influencer
D) buyer
Answer: A
Diff: 1
Learning Outcome: Discuss the influence of groups and word-of-mouth (WOM)
communication.
Skill: Concept
Objective: 10-1
AACSB: Communication abilities

2) ________ buyers are people who purchase goods and services on behalf of companies for use
in the process of manufacturing, distribution, or resale.
A) Individual
B) Consumer
C) Global
D) Organizational
Answer: D
Diff: 1
Learning Outcome: Discuss the influence of groups and word-of-mouth (WOM)
communication.
Skill: Concept
Objective: 10-2

3) ________ marketers specialize in meeting the needs of organizations such as corporations,

government agencies, hospitals, and retailers.
A) Consumer
B) Business-to-business
C) Filter-down
D) Horizontal
Answer: B
Diff: 1
Learning Outcome: Discuss the influence of groups and word-of-mouth (WOM)
communication.
Skill: Concept
Objective: 10-2

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4) Business-to-business marketing often involves more of an emphasis on personal selling than
on advertising or other forms of promotion. Which of the following is the chief reason for this
emphasis?
A) Personal selling is more cost-efficient than advertising.
B) Personal selling is more time-efficient than advertising.
C) Organizational buyers do not respond to advertising or promotions.
D) Organizational buyers typically require more face-to-face contact with sellers than end
consumers do.
Answer: D
Diff: 2
Learning Outcome: Discuss the influence of groups and word-of-mouth (WOM)
communication.
Skill: Concept
Objective: 10-2
AACSB: Communication abilities

5) Many factors have been identified that distinguish organizational and industrial purchase
decisions from individual consumer decisions. Which of the following is NOT one of those
distinctions?
A) Purchase decisions made by companies frequently involve many people.
B) Organizational and industrial products are often bought according to precise, technical
specifications.
C) Impulse buying commonly occurs in organizational purchasing because of sales stimulation
from direct salespeople.
D) Organizational purchase decisions tend to be riskier than individual consumer purchase
decisions.
Answer: C
Diff: 2
Learning Outcome: Describe the stages of consumer decision making.
Skill: Concept
Objective: 10-2

6) Like end consumers, organizational buyers are influenced by both internal and external
stimuli. Which of the following is an example of an organizational buyer's internal stimuli?
A) the nature of the organization
B) the buyer's willingness to take risks
C) the technological environment's impact on the organization
D) the economic environment's impact on the organization
Answer: B
Diff: 2
Learning Outcome: Describe the stages of consumer decision making.
Skill: Concept
Objective: 10-2
AACSB: Communication abilities

2
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7) In many organizations, more complex organizational decisions tend to be made by a(n)
________ in which different individuals play different roles in the decision-making process.
A) value chain
B) purchasing network
C) information network
D) buying center
Answer: D
Diff: 1
Learning Outcome: Discuss the influence of groups and word-of-mouth (WOM)
communication.
Skill: Concept
Objective: 10-2

8) When a B2B buyer purchases the same product over and over without modification, the
buying strategy is known as a ________.
A) habitual decision
B) straight rebuy
C) modified rebuy
D) new task
Answer: B
Diff: 1
Learning Outcome: Describe the stages of consumer decision making.
Skill: Concept
Objective: 10-2

9) Many companies are finding that it's both cost efficient and productive to call on outsiders
from around the world to solve problems their own researchers can't handle. The Internet
provides a great mechanism for assembling the solutions. A new term to describe this strategy is
________.
A) market predicting
B) B2B e-commerce
C) problem sourcing
D) crowdsourcing
Answer: D
Diff: 1
Learning Outcome: Discuss the influence of groups and word-of-mouth (WOM)
communication.
Skill: Concept
Objective: 10-2
AACSB: Use of information technology

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10) When a buying center composed of assorted specialists is organized to gather a lot of
information and evaluate possible purchases in a high-risk situation, the strategy in use is most
likely ________.
A) new task
B) straight rebuy
C) modified rebuy
D) innovative rebuy
Answer: A
Diff: 1
Learning Outcome: Discuss the influence of groups and word-of-mouth (WOM)
communication.
Skill: Concept
Objective: 10-2

11) A group of friends who are not related to each other meet regularly for dinner and celebrate
holidays together. This group of friends is best described as a(n) ________.
A) extended family
B) intentional family
C) household
D) buyclass group
Answer: B
Diff: 2
Learning Outcome: Describe the effects of changing family structures on family decision
making.
Skill: Concept
Objective: 10-3

12) A good definition of an extended family unit is ________ living together.

A) one parent and at least one child
B) two parents and at least one child
C) at least two generations of a family
D) three generations of a family
Answer: D
Diff: 1
Learning Outcome: Describe the effects of changing family structures on family decision
making.
Skill: Concept
Objective: 10-4

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13) A nuclear family is defined as ________.
A) one parent and at least one child
B) two parents and at least one child
C) at least two generations of a family
D) three generations of a family
Answer: B
Diff: 1
Learning Outcome: Describe the effects of changing family structures on family decision
making.
Skill: Concept
Objective: 10-4

14) If at least one person lives at an address, this person and any other occupants of the address
are considered to be a(n) ________.
A) extended family
B) nuclear family
C) household
D) intentional family
Answer: C
Diff: 2
Learning Outcome: Describe the effects of changing family structures on family decision
making.
Skill: Concept
Objective: 10-4

15) Which of the following countries has a birth rate closest to 2.0?
A) Spain
B) the United States
C) Greece
D) Germany
Answer: B
Diff: 2
Learning Outcome: Describe the effects of changing family structures on family decision
making.
Skill: Concept
Objective: 10-4
AACSB: Multicultural and diversity understanding

5
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16) Research has shown that the percentage of American women of childbearing age who define
themselves as voluntarily childless is ________.
A) about the same as it was ten years ago
B) about the same as it was five years ago
C) rising
D) declining rapidly
Answer: C
Diff: 2
Learning Outcome: Describe the effects of changing family structures on family decision
making.
Skill: Concept
Objective: 10-4

17) Which of the following refers to couples who both have incomes and do not have children?
A) boom-babies
B) boomerangers
C) DINKS
D) MUPPIES
Answer: C
Diff: 1
Learning Outcome: Describe the effects of changing family structures on family decision
making.
Skill: Concept
Objective: 10-4
AACSB: Multicultural and diversity understanding

18) If a couple is responsible for raising two children and must also care in some way for their
aging parents, the couple is a member of the ________ generation.
A) sandwich
B) laggard
C) boomerang
D) backward boomer
Answer: A
Diff: 1
Learning Outcome: Describe the effects of changing family structures on family decision
making.
Skill: Concept
Objective: 10-4
AACSB: Multicultural and diversity understanding

6
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19) An adult child who moves out of the family house and then returns to live with parents once
again is called a ________.
A) javelin child
B) rebounder kid
C) boomerang kid
D) DINK
Answer: C
Diff: 1
Learning Outcome: Describe the effects of changing family structures on family decision
making.
Skill: Concept
Objective: 10-4
AACSB: Multicultural and diversity understanding

20) Which of the following has led an increasing number of men and women ages 18 to 24 to
return home to live with their parents?
A) increasingly difficult college entrance requirements
B) the shrinking job market
C) shifting cultural attitudes toward nontraditional families
D) the growing number of extended family living situations
Answer: B
Diff: 2
Learning Outcome: Describe the effects of changing family structures on family decision
making.
Skill: Concept
Objective: 10-4

21) Glenn found a stray cat and "adopted" it. If Glenn is typical of the majority of Americans,
how will he come to view himself in relationship to the cat?
A) Glenn will see himself as a father figure and may refer to himself as "Daddy" when talking to
the cat.
B) Glenn will keep the cat fed, but will otherwise generally ignore the animal.
C) Glenn will find himself increasingly resentful of the cat because of the extra expense and time
that is required to care for a pet.
D) According to statistics, Glenn will probably neglect the animal because it did not cost him
anything.
Answer: A
Diff: 2
Learning Outcome: Describe the effects of changing family structures on family decision
making.
Skill: Concept
Objective: 10-4

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22) FLC models relate to how________.
A) the needs and expenditures of a family change over time
B) the federal government monitors the growth of B2B commerce
C) the federal government regulates rental living conditions
D) the size of family units has changed over the last 100 years
Answer: A
Diff: 2
Learning Outcome: Describe the effects of changing family structures on family decision
making.
Skill: Concept
Objective: 10-4

23) ________ spend less than average on most products and services because their households
are small and their incomes are low.
A) DINKS
B) Twenty-somethings
C) Thirty-somethings
D) Seniors
Answer: B
Diff: 2
Learning Outcome: Describe the effects of changing family structures on family decision
making.
Skill: Concept
Objective: 10-4
AACSB: Multicultural and diversity understanding

24) Families have alternatives in purchasing. In a(n) ________ purchase decision, the group
agrees on the desired purchase, differing only in terms of how it will be achieved.
A) accommodative
B) consensual
C) contemplative
D) authoritarian
Answer: B
Diff: 1
Learning Outcome: Describe the effects of changing family structures on family decision
making.
Skill: Concept
Objective: 10-5
AACSB: Communication abilities

8
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25) Studies show that mothers are working more and doing less housework. Fathers are working
less and doing more housework. What is the best way to explain this trend?
A) age gentrification
B) income reversal
C) gender convergence
D) decision blurring
Answer: C
Diff: 2
Learning Outcome: Describe the effects of changing family structures on family decision
making.
Skill: Concept
Objective: 10-5
AACSB: Multicultural and diversity understanding

26) With respect to socioeconomic status, ________ families make more joint decisions than
other types of family units.
A) lower-class
B) middle-class
C) higher-class
D) ultra-high class
Answer: B
Diff: 2
Learning Outcome: Describe the effects of changing family structures on family decision
making.
Skill: Concept
Objective: 10-5
AACSB: Communication abilities

27) If a couple follows the synoptic ideal in decision-making, the couple ________.
A) acts as independent purchasing agents serving each person's individual needs
B) acts independently but with a common goal in place
C) argues about decisions, but eventually reaches some form of majority view
D) makes joint decisions with a common purpose
Answer: D
Diff: 2
Learning Outcome: Describe the effects of changing family structures on family decision
making.
Skill: Concept
Objective: 10-5
AACSB: Communication abilities

9
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28) Which of the following is NOT one of the three distinct children markets?
A) gatekeeper market
B) influence market
C) primary market
D) future market
Answer: A
Diff: 2
Learning Outcome: Describe the effects of changing family structures on family decision
making.
Skill: Concept
Objective: 10-6

29) ________ socialization is the process by which young people acquire skills, knowledge, and
attitudes relevant to their functioning in the marketplace.
A) Sex-role
B) Consumer
C) Role
D) Cognitive
Answer: B
Diff: 1
Learning Outcome: Explain how marketers can best appeal to members of different age
subcultures.
Skill: Concept
Objective: 10-6
AACSB: Communication abilities

30) ________ parents are likely to censor the types of media their children consume and also
tend to have negative views about advertising.
A) Neglecting
B) Synoptic
C) Indulgent
D) Authoritarian
Answer: D
Diff: 2
Learning Outcome: Describe the effects of changing family structures on family decision
making.
Skill: Concept
Objective: 10-6
AACSB: Communication abilities

10
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31) A child's stage of ________ reflects his ability to comprehend concepts of increasing
complexity.
A) sex-role socialization
B) consumer socialization
C) role differentiation
D) cognitive development
Answer: D
Diff: 1
Learning Outcome: Explain how marketers can best appeal to members of different age
subcultures.
Skill: Concept
Objective: 10-6
AACSB: Communication abilities

32) Psychologist Jean Piaget believed that children pass through distinct stages of ________.
A) consumer socialization
B) multiple-intelligence
C) role differentiation
D) cognitive development
Answer: D
Diff: 2
Learning Outcome: Explain how marketers can best appeal to members of different age
subcultures.
Skill: Concept
Objective: 10-6
AACSB: Communication abilities

33) A child in the ________ developmental stage will use storage and retrieval strategies but
only when prompted to do so.
A) limited
B) preoperational
C) cued
D) strategic
Answer: C
Diff: 2
Learning Outcome: Explain how marketers can best appeal to members of different age
subcultures.
Skill: Concept
Objective: 10-6
AACSB: Communication abilities

11
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34) Athletic prowess, musical ability, and spatial skills are all examples of ________.
A) cognitive development
B) multiple intelligence
C) cognitive socialization
D) strategic convergence
Answer: B
Diff: 2
Learning Outcome: Summarize the major theories of learning and describe their marketing
applications.
Skill: Concept
Objective: 10-6

35) Rick and his decision team purchase office equipment that will be used by the entire
organization in the next month. This is an example of which of the following forms of decision
making?
A) individual decision making
B) syncretic decision making
C) collective decision making
D) synoptic decision making
Answer: C
Diff: 2
Learning Outcome: Discuss the influence of groups and word-of-mouth (WOM)
communication.
Skill: Application
Objective: 10-1
AACSB: Analytic skills

36) Michelle Roberts has a tough job at PJK Tile. She has to examine information from vendors
and decide which of these vendors (and their proposals) should be presented to her company's
purchasing group. No one at PJK Tile sees more information on vendors than Michelle. Which
of the following roles does Michelle fulfill for PJK Tile?
A) initiator
B) influencer
C) gatekeeper
D) buyer
Answer: C
Diff: 2
Learning Outcome: Discuss the influence of groups and word-of-mouth (WOM)
communication.
Skill: Application
Objective: 10-1
AACSB: Analytic skills

12
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37) Every time Sue Samuels comes in from a long selling trip, she makes sure to give reports to
all her colleagues on knowledge she has gained and experiences she had while on the road. She
has found that her "information tips" are a great way to set the stage for decision-making that she
would like to go her way. Based on her actions, what role is Sue playing in her organization?
A) initiator
B) gatekeeper
C) influencer
D) user
Answer: C
Diff: 2
Learning Outcome: Discuss the influence of groups and word-of-mouth (WOM)
communication.
Skill: Application
Objective: 10-1
AACSB: Analytic skills

38) Pam Henry is a purchasing agent for MicroTel. Each Tuesday she places an order for ten
boxes of photocopier paper with her supplier, but each week the size and quality of the paper is
different due to shifting consumer demands. In this example, Pam is participating in which of the
following buying situations?
A) new task
B) straight rebuy
C) modified rebuy
D) innovative rebuy
Answer: C
Diff: 2
Learning Outcome: Describe the stages of consumer decision making.
Skill: Application
Objective: 10-2
AACSB: Analytic skills

39) Wang Lin lives with his parents and siblings, as well as his grandparents and one uncle.
Wang Lin lives with what is called a(n) ________ family.
A) nontraditional
B) universal
C) nuclear
D) extended
Answer: D
Diff: 2
Learning Outcome: Describe the effects of changing family structures on family decision
making.
Skill: Application
Objective: 10-4
AACSB: Analytic skills

13
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40) Carlos and Mirabelle have three children and live in Spain. Which of the following best
expresses how they will be treated in Spanish society?
A) Spain feels that its population is too large. Carlos and Mirabelle will be asked to voluntarily
limit the size of their family.
B) Spanish families are traditionally very large; Carlos and Mirabelle will be shunned by older
relatives for not having a large family.
C) The Spanish government is encouraging people to have more children. Carlos and Mirabelle
might receive subsidized utilities and other benefits from the Spanish government.
D) They will fit into the society without notice because they are right at the Spanish norm for
family size.
Answer: C
Diff: 3
Learning Outcome: Describe the effects of changing family structures on family decision
making.
Skill: Application
Objective: 10-4
AACSB: Multicultural and diversity understanding

41) Tyler returned home after college to live with his parents. This was to be a temporary
arrangement; however, days became months and months became three years. Tyler's dad
wonders if he will ever move out and get his own apartment. Tyler is part of an increasing trend
called ________.
A) drop-out kids
B) DINKS
C) failure "Xers"
D) boomerang kids
Answer: D
Diff: 2
Learning Outcome: Describe the effects of changing family structures on family decision
making.
Skill: Application
Objective: 10-4
AACSB: Analytic skills

14
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42) Ellen was asked to fill out a questionnaire. She described herself as more likely to engage in
exercise, more likely to go out to bars and restaurants, and more likely to consume more alcohol
than people in other age groups. Which of the family life cycle categories would Ellen best fit?
A) young bachelors and newlyweds
B) families with young children
C) families with older children
D) older couples without children
Answer: A
Diff: 2
Learning Outcome: Describe the effects of changing family structures on family decision
making.
Skill: Application
Objective: 10-4
AACSB: Analytic skills

43) The Smith family is trying to decide on a vacation destination. Mom wants to go to the big
city to shop, Dad wants to go to the beach to relax, and the two teenage kids want to go to
Orlando, Florida, where the action is. Because no one can agree on where to go, Dad makes the
decision (because he is paying for it), and the Smiths go to the beach. This is an illustration of
which of the following types of purchase decisions?
A) consensual purchase decision
B) accommodative purchase decision
C) contemplative purchase decision
D) assumptive purchase decision
Answer: B
Diff: 2
Learning Outcome: Describe the effects of changing family structures on family decision
making.
Skill: Application
Objective: 10-5
AACSB: Analytic skills

44) Julie wants to go back to school. It will cost a lot of money and affect Jeff, her husband.
They sit down together and work out a plan that will allow Julie to finish her degree. This is an
example of a(n) ________ decision.
A) autonomic
B) convergent
C) syncretic
D) family-flow
Answer: C
Diff: 2
Learning Outcome: Describe the effects of changing family structures on family decision
making.
Skill: Application
Objective: 10-5
AACSB: Analytic skills

15
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45) Jennifer and Ted have been married about six months. One of Jennifer's complaints about
Ted's behavior during their brief marriage is that he seems to make all the decisions when the
couple has to purchase high-risk or expensive durables (such as furniture or a new car). Ted is
making ________ decisions.
A) autonomic
B) syncretic
C) synoptic
D) consensual
Answer: A
Diff: 2
Learning Outcome: Describe the effects of changing family structures on family decision
making.
Skill: Application
Objective: 10-5
AACSB: Analytic skills

46) Meredith works hard to keep her family together in this fast-paced world. She coordinates
visits with relatives, calls and writes often to her parents and grandparents, and makes sure her
husband remembers all significant birthdays and anniversaries. In this example, Meredith is
primarily responsible for the continuation of the family's ________.
A) customer networks
B) cognitive development
C) kin-network system
D) life cycle
Answer: C
Diff: 2
Learning Outcome: Describe the effects of changing family structures on family decision
making.
Skill: Application
Objective: 10-5
AACSB: Analytic skills

47) Dale and Patty Johnson have been married for fifteen years. Dale works in a meat packing
plant and Patty works part time as a clerk in a fast-food restaurant. Who is most likely to be the
family financial officer?
A) Dale
B) Patty
C) They are both equally likely.
D) If Patty is working, then she is, but when she is not, then Dale is.
Answer: B
Diff: 3
Learning Outcome: Describe the effects of changing family structures on family decision
making.
Skill: Critical Thinking
Objective: 10-5
AACSB: Reflective thinking skills

16
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48) Which of the following findings would most strongly support the theory that gender
convergence is increasing in American married couples?
A) Partners in married couples are increasingly making autonomic decisions about
transportation.
B) Partners in married couples are making fewer consensual purchase decisions about clothing.
C) Partners in married couples are making fewer accommodative purchase decisions about
vacations.
D) Partners in married couples are increasingly making syncretic decisions about furnishings for
the home.
Answer: D
Diff: 3
Learning Outcome: Describe the effects of changing family structures on family decision
making.
Skill: Critical Thinking
Objective: 10-5
AACSB: Reflective thinking skills

49) Kelly and Paul are authoritarian parents. Of the following types of purchase decisions, which
are they LEAST likely to use with their children?
A) accommodative
B) consensual
C) autonomic
D) task specialization
Answer: B
Diff: 3
Learning Outcome: Describe the effects of changing family structures on family decision
making.
Skill: Synthesis
Objective: 10-5
AACSB: Reflective thinking skills

50) Of the following, parental yielding is most likely to happen in a family with ________
parents.
A) authoritarian
B) neglecting
C) indulgent
D) autonomic
Answer: C
Diff: 2
Learning Outcome: Describe the effects of changing family structures on family decision
making.
Skill: Synthesis
Objective: 10-6
AACSB: Reflective thinking skills

17
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51) Collective decision-making occurs when more than one person is involved in the purchasing
process for products or services that may be used by multiple consumers.
Answer: TRUE
Diff: 2
Learning Outcome: Discuss the influence of groups and word-of-mouth (WOM)
communication.
Skill: Concept
Objective: 10-1

52) In an organization, the initiator fills the role of trying to sway the outcome of the decision.
Answer: FALSE
Diff: 2
Learning Outcome: Discuss the influence of groups and word-of-mouth (WOM)
communication.
Skill: Concept
Objective: 10-1
AACSB: Communication abilities

53) About $2 trillion dollars worth of products and services change hands among organizations,
which is actually more than end consumers purchase.
Answer: TRUE
Diff: 2
Learning Outcome: Describe the stages of consumer decision making.
Skill: Concept
Objective: 10-2

54) One of the differences between organizational buying and consumer buying is that in
organizational buying the decisions are often more risky, as an individual's career may be on the
line.
Answer: TRUE
Diff: 2
Learning Outcome: Describe the stages of consumer decision making.
Skill: Concept
Objective: 10-2

55) A straight rebuy decision is generally a habitual decision on the part of the purchasing agent.
Answer: TRUE
Diff: 1
Learning Outcome: Describe the stages of consumer decision making.
Skill: Concept
Objective: 10-2

18
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56) The modified rebuy situation has high risk because of the extent of the buying effort and the
buyer's involvement.
Answer: FALSE
Diff: 2
Learning Outcome: Describe the stages of consumer decision making.
Skill: Concept
Objective: 10-2

57) A prediction market is one of the hottest new trends in retail buying, through which store
owners can reliably predict advance demand.
Answer: FALSE
Diff: 2
Learning Outcome: Discuss the influence of groups and word-of-mouth (WOM)
communication.
Skill: Concept
Objective: 10-2
AACSB: Use of information technology

58) Married couples represent the majority of American households.

Answer: FALSE
Diff: 2
Learning Outcome: Describe the effects of changing family structures on family decision
making.
Skill: Concept
Objective: 10-3
AACSB: Multicultural and diversity understanding

59) The median age of first marriages for women in the United States has remained relatively
steady for the past 60 years.
Answer: FALSE
Diff: 2
Learning Outcome: Describe the effects of changing family structures on family decision
making.
Skill: Concept
Objective: 10-4
AACSB: Multicultural and diversity understanding

60) Because of increased immigration, the United States has a fertility rate approaching 4.0.
Answer: FALSE
Diff: 3
Learning Outcome: Describe the effects of changing family structures on family decision
making.
Skill: Concept
Objective: 10-4
AACSB: Multicultural and diversity understanding

19
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61) Older consumers spend more per capita on luxury items such as gourmet foods and upscale
home furnishings.
Answer: TRUE
Diff: 2
Learning Outcome: Describe the effects of changing family structures on family decision
making.
Skill: Concept
Objective: 10-4
AACSB: Multicultural and diversity understanding

62) In accommodative decision making, family members are more likely to engage in problem
solving and consider alternatives until the means for satisfying the group's goal is found.
Answer: FALSE
Diff: 2
Learning Outcome: Describe the effects of changing family structures on family decision
making.
Skill: Concept
Objective: 10-5
AACSB: Communication abilities

63) Nearly half of married women buy pants for their husbands.
Answer: TRUE
Diff: 2
Learning Outcome: Describe the effects of changing family structures on family decision
making.
Skill: Concept
Objective: 10-5

64) Women who live what has been termed the juggling lifestyle struggle with compromises
between conflicting cultural ideals of motherhood and professionalism.
Answer: TRUE
Diff: 1
Learning Outcome: Describe the effects of changing family structures on family decision
making.
Skill: Concept
Objective: 10-5
AACSB: Multicultural and diversity understanding

65) According to research on the stages of consumer development, most children make
purchases on their own by the age of eight.
Answer: TRUE
Diff: 2
Learning Outcome: Explain how marketers can best appeal to members of different age
subcultures.
Skill: Concept
Objective: 10-6

20
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66) The 1990 Children's Television Act restored all of the restrictions on television advertising to
children that were originally put in place by the Federal Trade Commission in the 1970s.
Answer: FALSE
Diff: 3
Learning Outcome: Explain how marketers can best appeal to members of different age
subcultures.
Skill: Concept
Objective: 10-6
AACSB: Ethical understanding and reasoning abilities

67) At work, Sally opens the mail, sorts it for content and need, throws away materials that she
does not think are necessary, and puts the mail in three executives' mailboxes. In this instance,
Sally functions as an influencer.
Answer: FALSE
Diff: 2
Learning Outcome: Discuss the influence of groups and word-of-mouth (WOM)
communication.
Skill: Application
Objective: 10-1
AACSB: Analytic skills

68) Jill is approaching 40 years of age. She has two children and both of her parents are still alive
but not in good health. Jill could be labeled as a member of the Sandwich Generation.
Answer: TRUE
Diff: 2
Learning Outcome: Describe the effects of changing family structures on family decision
making.
Skill: Application
Objective: 10-4
AACSB: Analytic skills

69) Charles lived in Maine, went to college in New Hampshire, and then moved to Boston to
work. When Charles was 30 years old, he lost his job and moved back to live with his parents in
Maine until he found another job. Charles would be called a boomerang kid by marketers.
Answer: TRUE
Diff: 2
Learning Outcome: Describe the effects of changing family structures on family decision
making.
Skill: Application
Objective: 10-4
AACSB: Analytic skills

21
Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall
70) Kix Cereal is promoted as being "kid-tested and mother-approved." The front of the cereal
box promotes the cereal's nutritional value, and the back has games for kids to play. Kix likely
considers children its primary market.
Answer: FALSE
Diff: 3
Learning Outcome: Explain how marketers can best appeal to members of different age
subcultures.
Skill: Application
Objective: 10-4
AACSB: Analytic skills

71) Purchase decisions made by companies frequently involve only one person because of the
nature of organizational buying.
Answer: FALSE
Diff: 2
Learning Outcome: Discuss the influence of groups and word-of-mouth (WOM)
communication.
Skill: Critical Thinking
Objective: 10-2
AACSB: Reflective thinking skills

72) Nearly half of Americans aged 25 to 40 have at some point lived with a person of the
opposite sex. These changes are part of a broader shift toward innovative family creation and
having more than two children during procreation years.
Answer: FALSE
Diff: 2
Learning Outcome: Describe the effects of changing family structures on family decision
making.
Skill: Synthesis
Objective: 10-4
AACSB: Reflective thinking skills

73) Because Americans separate their feelings for their pets from their own self-concepts, it
would be a risky marketing strategy for well-known brand names to market products for pets
with the same brand name as the one used for consumer products.
Answer: FALSE
Diff: 2
Learning Outcome: Describe the effects of changing family structures on family decision
making.
Skill: Critical Thinking
Objective: 10-4
AACSB: Reflective thinking skills

22
Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall
74) "We just got our steps done and that was a big project. The contractor would talk to my
husband and not talk to me. And I said, 'Excuse me, I'm here, too!'" This is an illustration of this
woman's gender convergence and need for syncretic decision-making.
Answer: TRUE
Diff: 3
Learning Outcome: Describe the effects of changing family structures on family decision
making.
Skill: Synthesis
Objective: 10-5
AACSB: Reflective thinking skills

75) Children in the limited stage of cognitive development are more likely to distinguish between
television commercials and programming than children in the cued stage of cognitive
development are.
Answer: FALSE
Diff: 2
Learning Outcome: Describe the effects of changing family structures on family decision
making.
Skill: Synthesis
Objective: 10-6
AACSB: Reflective thinking skills

76) What specific roles are played within the buying center of an organization or a household
when a collective purchase decision must be made? Identify and describe each of these five
roles.
Answer: Decision roles include:
a. Initiator—the person who brings up the idea or purchase need.
b. Gatekeeper—the person who conducts the information search and controls the flow of
information available to the group; in organizational contexts, the gatekeeper identifies possible
vendors and products for the rest of the group to consider.
c. Influencer—the person who tries to sway the outcome of the group's decision; some people
may be more motivated to get involved. Participants also differ in terms of the amount of power
they have to convince others of their choice.
d. Buyer—the person who actually makes the purchase; the buyer may or may not actually use
the product. This person may pay for the item, procure it or both.
e. User—the person who winds up using the product or service.
Diff: 3
Learning Outcome: Discuss the influence of groups and word-of-mouth (WOM)
communication.
Skill: Concept
Objective: 10-1
AACSB: Communication abilities

23
Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall
77) The organizational buyer's perception of the purchase situation is influenced by a number of
factors. According to the text, what are three of these factors?
Answer: The factors include: a) the organizational buyer's expectations of the supplier; b) the
organizational climate of his own company; and c) the buyer's assessment of his own
performance.
Diff: 2
Learning Outcome: Describe the stages of consumer decision making.
Skill: Concept
Objective: 10-2
AACSB: Communication abilities

78) What are some of the key differences between organizational purchase decisions and
individual consumer decisions?
Answer: Although there are more similarities between organizational buying and consumer
buying than most believe, there are important differences. Key among them:
∙ Purchase decisions made by companies frequently involve many people. Some do the actual
buying, some directly or indirectly influence the decision, and some employees actually use the
products or services.
∙ Organizational and industrial products are often bought according to precise, technical
specifications that require rational criteria and knowledge about the product category.
∙ Impulse buying of industrial/business products is rare. Most decisions are based upon past
experience with the products and a careful weighing of alternatives.
∙ Decisions are often high risk, especially in the sense that a buyer's career may be riding on
his or her demonstration of good judgment.
∙ Companies are usually part of a narrow customer base and the dollar volume of purchases is
often substantial. The buyer often has a fairly high degree of influence over the supplier.
∙ Business-to-business marketing often involves more of an emphasis on personal selling than
on advertising or other forms of promotion.
Diff: 3
Learning Outcome: Describe the stages of consumer decision making.
Skill: Application
Objective: 10-2
AACSB: Analytic skills

24
Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall
79) Identify and explain the three decision-making dimensions that describe the purchasing
strategies of an organizational buyer. These dimensions form the basis of a buyclass theory of
purchasing.
Answer: Organizational buying decisions can be divided into three dimensions, which range
from the most complex to the least complex. This classification scheme is called the buyclass
theory of purchasing (framework), and it uses the decision-making dimensions to describe the
purchasing strategies of an organizational buyer. The dimensions are: a) the level of information
that must be gathered prior to making a decision; b) the seriousness with which all possible
alternatives must be considered; and c) the degree to which the buyer is familiar with the
purchase.
Diff: 3
Learning Outcome: Describe the stages of consumer decision making.
Skill: Concept
Objective: 10-2
AACSB: Communication abilities

80) What are the differences between the extended and nuclear family?
Answer: The extended family consists of three generations living together and often includes
grandparents, aunts, uncles, and cousins. The nuclear family is a mother and a father and one or
more children. The nuclear family became the model American family unit over time, replacing
the extended family as the most common.
Diff: 2
Learning Outcome: Describe the effects of changing family structures on family decision
making.
Skill: Application
Objective: 10-4
AACSB: Analytic skills

81) Explain and characterize the family life cycle concept.

Answer: The family life cycle combines trends in income and family composition with the
changes in demands placed upon this income. As we age, our preferences and need for products
and services tend to change.
Diff: 2
Learning Outcome: Describe the effects of changing family structures on family decision
making.
Skill: Concept
Objective: 10-4

25
Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall
82) The family life cycle shows the longitudinal changes that can occur in households. What are
the variables that are necessary to describe these changes?
Answer: Because the interests, necessities, and demands vary among families, it is necessary to
identify what variables are related to these changes.
a. The age of the adults—a 60-year-old is interested in and is able to purchase products that
may be of little interest to a 25-year-old.
b. The marital status of the adults.
c. The presence of children in the home.
d. The age of the children—a home with a new baby suddenly finds needs for things they may
not have even contemplated before the child arrived.
Diff: 2
Learning Outcome: Describe the effects of changing family structures on family decision
making.
Skill: Application
Objective: 10-4
AACSB: Analytic skills

83) Define consumer socialization and discuss sources of influence on children.

Answer: Consumer socialization is the process by which young people acquire skills,
knowledge, and attitudes relevant to their functioning in the marketplace. The major sources of
consumer socialization influence are the family and the media for younger children; older
children are also influenced by friends and teachers.
∙ Family influence—parental influence is both direct (explicit attempts to teach values) and
indirect (by serving as models for children to observe and imitate and by creating opportunities
for children to be exposed to external information sources, such as television, salespeople, and
peers).
∙ Parental-style influence—three dimensions combine to form different segments of parental
styles. The dimensions seem to be the parents' emotional relations with the child, parental control
over media and communication about consumption values, and parental views about advertising.
Three parental styles:
∙ Authoritarian parents are hostile, restrictive, and emotionally uninvolved with
their children, lack warm relationships with their children, but are actively filtering media
to which children are exposed and tend to have negative views about advertising.
∙ Neglecting parents are more detached from their children; they do not exercise
much control over what their children do.
∙ Indulgent parents communicate about media messages on consumption with their
children, are less restrictive, and allow children to learn more about the marketplace on
their own.
∙ Television—the media teach people about a culture's values and myths. Children watch a
great deal of television, and are affected by advertising messages.
Diff: 3
Learning Outcome: Explain how marketers can best appeal to members of different age
subcultures.
Skill: Concept
Objective: 10-6
AACSB: Communication abilities

26
Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall
84) The five decision roles mentioned in the text apply to the B2B organization, and they also
apply to family decision making. List the five decision-making roles and create a chart that
shows how these roles might impact a family's breakfast food decision and the location of the
next family vacation.
Answer: Cereal Next vacation
Initiator child child, mother, father
Gatekeeper child child, mother, father
Influencer child child, mother, father
Buyer mother, father mother, father
User child child, mother, father

Student answers may vary depending on assumptions and the construction of the chart.
Diff: 2
Learning Outcome: Describe the effects of changing family structures on family decision
making.
Skill: Synthesis
Objective: 10-1
AACSB: Reflective thinking skills

85) Characterize the straight rebuy, the modified rebuy, and the new task decision in
organizational purchasing. Provide an example of each.
Answer:
a. A straight rebuy is like a habitual decision. This entails an automatic decision, as when an
inventory level reaches a pre-established reorder point. Most organizations maintain an approved
vendor list. As long as experience with the vendor is satisfactory, there is little to no ongoing
information search or evaluation. For example, an office might need to reorder paper.
b. A modified rebuy situation involves limited decision-making. It occurs when an organization
wants to repurchase a product or service, but with some minor modifications. This decision
might involve a limited search for information, most likely by speaking to a few vendors. The
decision will probably be made by one or a few people. For example, an office might need to buy
a new printer.
c. A new task involves extensive problem solving. Because the decision has not been made
before, there is often a serious risk that the product won't perform as it should or that it will be
too costly. The organization designates a buying center with assorted specialists to evaluate the
purchase, and they typically gather a large amount of information before coming to a decision.
For example, an office might need to purchase smartphones for all employees.
Diff: 2
Learning Outcome: Describe the stages of consumer decision making.
Skill: Critical Thinking
Objective: 10-2
AACSB: Reflective thinking skills

27
Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall
86) What are the two types of purchase decisions made by families? Indicate the common
practice within families with respect to these decisions and give an example of each form.
Answer: Two basic types of purchase decisions are made by families:
∙ Consensual purchase decisions—these are characterized by group agreement on the desired
purchase, with differences existing only in terms of how it will be achieved. In such cases, the
family will consider alternatives until it finds the means for satisfying the group's goal.
∙ Accommodative purchase decisions—these are characterized by groups that have different
preferences or priorities and cannot reach agreement on a purchase that will satisfy the minimum
expectations of all members. It is here that bargaining, coercion, compromise and the wielding of
power are all likely to be used to achieve the primary goal of agreement on the purchase.

Family purchases are often characterized by accommodative rather than consensual decisions.
Student examples will vary.
Diff: 2
Learning Outcome: Describe the effects of changing family structures on family decision
making.
Skill: Critical Thinking
Objective: 10-5
AACSB: Reflective thinking skills

87) Explain what is meant by a family identity. Then give two examples of how a family identity
may be constructed.
Answer: A family identity defines a household both to the household members and to outsiders.
It is mutually constructed by all family members. Family rituals, narratives, and everyday
interactions help families maintain their structure, maintain their family character, and clarify
members' relationships to one another. For example, a mother might make pancakes for breakfast
every Saturday morning, or the children might help the father make pizza every Sunday night for
dinner. (Examples will vary.)
Diff: 2
Learning Outcome: Describe the effects of changing family structures on family decision
making.
Skill: Critical Thinking
Objective: 10-5
AACSB: Reflective thinking skills

28
Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall
88) Discuss the differences between autonomic and syncretic buying decisions. Explain how
gender convergence affects buying decisions for a married couple.
Answer: Autonomic buying decisions—traditionally were made by one spouse or the other. Men
had sole responsibility for buying cars; women picked out the draperies.
Syncretic buying decisions—decisions made jointly by both spouses; for example, vacation
destinations.

With respect to gender convergence, there are more similarities than differences between men
and women. People of each gender are assuming some of the traditional roles performed by their
partners. More men are shopping in grocery stores and more women are shopping in Home
Depot.
Diff: 3
Learning Outcome: Describe the effects of changing family structures on family decision
making.
Skill: Critical Thinking
Objective: 10-5
AACSB: Reflective thinking skills

89) Who in a working-class family typically plays the role of the family financial officer? Use
income, education, and length of marriage to discuss when this officer will become more likely
to use syncretic decision-making.
Answer: The family financial officer is the person who takes care of the family bills and decides
how any surplus will be spent. In a working-class family, this role is typically held by the wife.

As income and education rise, both spouses are more likely to play this role and decisions are
more likely to become syncretic. The longer a couple has been married, however, the more likely
it is that one spouse will look after the family's financial matters.
Diff: 3
Learning Outcome: Describe the effects of changing family structures on family decision
making.
Skill: Synthesis
Objective: 10-5
AACSB: Reflective thinking skills

29
Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall
90) Referring to the three stages of limited development, cued development, and strategic,
explain why many consider it unethical to advertise to children.
Answer: Piaget postulated that children go through stages of cognitive development as they
grow older. At young ages children do not comprehend the world as adults do. They do not think
the same way adults do and cannot be expected to use information in the same manner. Recent
research suggests that Piaget's stages of cognitive development are not as fixed. The three
developmental stages advocated by this approach are limited, cued, and strategic. In general,
children under the age of 6 are limited in that they do not use storage and retrieval strategies.
Children between the ages of 6 and 12 are generally cued, meaning they are able to use these
strategies when prompted. Children 12 and older are strategic, independently using storage and
retrieval strategies. In other words, it isn't until age 12 that children begin to show a more adult
pattern in how they combine elements in the world into meaning. Children may not realize the
true nature of promotion and hence believe everything they are shown. They also have a
tendency to take a literal interpretation of what they are shown.
Diff: 3
Learning Outcome: Explain how marketers can best appeal to members of different age
subcultures.
Skill: Synthesis
Objective: 10-6
AACSB: Ethical understanding and reasoning abilities

30
Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall