CASE ANALYSIS REPORT
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Table of Contents
1. Introduction..................................................................................................................................1
2. Consumer decision making process.............................................................................................1
Need recognition..........................................................................................................................1
Information search.......................................................................................................................1
Evaluation of alternatives.............................................................................................................2
Purchase.......................................................................................................................................3
Post-purchase...............................................................................................................................4
3. Reflection and Analysis of Internal and External Influences......................................................4
3.1. Internal influences.................................................................................................................4
Motivation................................................................................................................................4
Personality................................................................................................................................4
Attitude.....................................................................................................................................5
3.2. External influences................................................................................................................5
Diffusion of innovation............................................................................................................5
Social and Cultural influences..................................................................................................6
Conclusion.......................................................................................................................................7
References........................................................................................................................................8
1. Introduction
Consumer behavior is a psychological aspect of a person that determines whether they will buy
any products, services, or other items. Any consumer's behavior is influenced by a variety of
factors. Recently, I have bought three items of medium and high involvement – a laptop, a
washing machine, and a bunk bed; however, my purchase decisions were affected by several
influencers. So, this report investigates my consumer decision making process and demonstrates
a reflection and analysis of several internal and external influences affecting my decisions.
2. Consumer decision making process
Need recognition
Currently, I have made three items, including a laptop, a washing machine, and a bunk bed.
According to Stankevich (2017), a person makes purchases when he/she realizes that he/she is in
need of certain items. I determined to purchase these products when knowing circumstances of
not having such products:
● Laptop: My laptop broke; I need to come to borrow a laptop from my friends to complete
my assignments. This is inconvenient for my friends and I.
● Washing machine: In winter, there are many clothes to be washed, which is time-
consuming. I want to save time for my studying and working.
● Bunk bed: Since I stay with my friends, sleeping on the same bed is sometimes
uncomfortable, so having a bunk bed creates a private space for each person.
Information search
In the information search stage, there are two kinds of searches customers engage before making
purchase decisions, including (1) basing on the past experiences and (2) searching new
information from various sources (Money & Crotts, 2003). For the first type of search, the
customer recalls his experiences. If he has had a positive or satisfying experience in the past, his
quest for information comes to an end to make a prompt decision (Qazzafi, 2019). This is the
case for my laptop. As I had a satisfying experience with the brand I bought my former laptop
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from – good after-sale service, high-quality laptop, I decided to purchase a new one from the
brand without considering other brands.
For a new product like a washing machine with a relatively high price and I have no past
experience, I need to refer to different sources. The customer prefers searching for information
when he tries a new product. Information sources usually employed for this stage include
personal sources (like family and friends), commercial sources (like advertisement, webs), public
sources (like social media), and experimental sources (examining and using the product)
(Hanaysha, 2018). I referred to a personal source – my neighbor’s washing machine. Also, I used
commercial sources - searching on the Internet at Bestbuy.com to refer to other brands.
The bunk bed takes much time to be considered because it has the highest price. Samadou and
Kim (2018) indicate that consumers perceive high-price products to have a high risk; they spend
much time searching information to prevent risk. So, I spent about 4 days searching for
information about the bunk bed listed in New York Magazine. I looked at the brand’s
advertisement (commercial sources), and read users’ comments about the product on Facebook
at Cheap bunk bed reviews page (public sources). I wanted to know its specifications – comfort,
softness, hardness, and dimensions to see whether it fits my room or not.
Evaluation of alternatives
When a consumer gathers knowledge about a product or brand, they rank the item or brand to
assess their options according to different criteria (Stankevich, 2017). A group of options is
called an evoked set and a set of criteria is called evaluation criteria (Ferrell et al., 2014). Such
criteria are founded on a number of qualities or advantages the consumer anticipates from the
product (Mishra, 2018).
For the bunk bed and the washing machine, I had a set of criteria to consider: low or, at least,
reasonable prices, high quality, appropriate dimensions with my room, high durability, and
allowable washing volume. These criteria are objective features that come from the functional or
the utilitarian aspects of the products (Mishra, 2018). Then, I made an evoked set. The evoked
set of the bunk bed was DHP bunk bed, Walker Edison bunk bed, and Max & Lily bunk bed,
while the evoked set of the washing machine was Insignia™, Amana, and Hotpoint. However, I
was still wondering which brand I should purchase because all of them met my criteria. So, I
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extended my criteria. The extended criteria for the bunk bed was strength and steps to save space
when it is not used while the extended criterion for the washing machine was energy-saving. As
Verma and Rojhe (2021, p. 3040) state, consumers follow extended criteria when they face
conflicts among different choices.
In contrast, since I believed in the brand I bought my former laptop from, I spent no time
evaluating alternatives. My second laptop becomes a habitual purchase, so alternatives are not
considered (Mishra, 2018).
Purchase
After evaluation of alternatives, the customers make their purchase decision. For the laptop, I
decided to purchase it from Dell brand – the brand I bought my former laptop. For the bunk bed
and the washing machine, I purchased them from DHP and Hotpoint respectively.
According to Schiffman et al. (2014, p. 504), consumers make choices based on predetermined
rules, which are usually compensatory and non-compensatory rules. The compensatory rule
balances the advantages and disadvantages of the options under consideration and permits the
advantages to outweigh the disadvantages while the non-compensatory rule eliminates
alternatives that fail to reach a certain standard (Verma & Rojhe, 2021, p.3040). At this stage, I
followed compensatory rules when purchasing the washing machine while employing non-
compensatory rules when purchasing the bunk bed.
For the washing machine, I considered which criteria can outweigh the others in the evoked set.
Particularly, the allowable washing volume of the washing machine can outweigh its weight, the
energy-saving can outweigh the price, while quality and durability should be maintained. As
such, I decided to purchase the washing machine from Hotpoint.
For the bunk bed, I applied non-compensatory rules since it relates to human life and my
financial burden (i.e., the bed must not collapse when we are sleeping but must be reasonably
priced). So, all of the criteria when I evaluated the alternatives must be met. The most important
criteria is strength to ensure it does not collapse, followed by having steps. So, I decided to
purchase it from the DHP brand.
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Post-purchase
After purchase, customers assess their purchases, and the degree of customer satisfaction may be
greater than the level of their perceived performance, and vice versa, by comparing their
expectations with the perceived quality of the products (Oke et al., 2016, p. 46). As such, if they
find the purchased items satisfactory, they have an intention to re-purchase the items from the
brands if they are in need again (Oke et al., 2016, p. 46). After my purchase, I found them to
meet my expectations, at least until now, so I intended to purchase them if I have demands in the
future.
3. Reflection and Analysis of Internal and External Influences
3.1. Internal influences
Motivation
The first internal influence affecting my purchase decisions is motivation, which is defined as a
driving factor that propels people to take action, resulting from a tension that develops as a result
of an unmet need (Kler et al., 2022, p.712). All of my purchases follow the motivation theory
called Hull's Drive Reduction Theory, which states that when a physiological need is not
satisfied and stress is felt, the person tries to satisfy the need (Kringelbach & Berridge, 2017,
p.27). Accordingly, if I do not purchase a new laptop, I feel discomfort when constantly
borrowing my friends’ laptop; if I do not purchase a washing machine, I feel tired of washing
clothes by hand everyday; and if I do not purchase a bunk bed, my relative and I must sleep on
the narrow bed without having privacy and comfort. These items also comply with the Maslow's
Hierarchy of Needs – that is, the laptop fulfills my esteem needs when I want to gain confidence
in my study, while the other items fulfill my physiological needs (i.e. clothes and sleep).
Personality
Personality refers to the enduring traits, interests, drives, beliefs, self-concept, abilities, and
emotional patterns that make up a person's characteristics (Uher, 2017). According to Freud’s
(1936) theory, there are three types of personality, including ID, Ego, and SuperEgo (Zhang,
2020, p.229). Generally, when I feel nervous about something, I am more likely to find a way to
gain it, which implies ID personality (Zhang, 2020, p.229). I purchased a laptop since I was
nervous about my study, my upcoming assignments, so I wanted to have a new laptop to keep up
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with my study. I purchased a washing machine because I feel anxious about spending so much
time washing my clothes everyday, while I can spend such time working and studying. Also, I
purchased a bunk bed because I am nervous about sleeping with my relative on the narrow bed
that might cause discomfort for the two of us. Generally, the ID personality represents
psychological desires.
Attitude
Attitude, which is condition of believing, valuing, or feeling something that encourages an action
or behavior (Altmann, 2008, p.146), is closely linked with consumers’ purchase decisions.
Attitude includes four types – namely, utilitarian, ego-defensive, value-expressive, and
knowledge function. With my three purchases I made, I followed a utilitarian attitude for my
laptop and washing machine purchase and an ego-defensive attitude for my bunk bed purchase.
Utilitarian attitudes assist a person in remembering which things make them feel happy and
which make them feel sad. Such attitudes allow a person to know which objects to pursue and
which to avoid. These mindsets assist individuals in achieving their unique objectives and wishes
(Carpenter et al., p.5). With these attitudes, the laptop enables me to keep up with my studying
and complete my assignment in my schedulé without relying on other people, avoiding
disturbance I make to others. Meanwhile, the washing machine helps me to avoid doing
housework whilst having time to work and study, and even relax.
On the other hand, ego-defensive attitudes try to defend self-image or concepts – that is, they try
to protect the self-esteem of a person from threats. These attitudes may frequently be used to
justify some bad actions or beliefs (Carpenter et al., p.6). Accordingly, I bought the bunk bed
because I want to have a private space and also not express my silly actions when sleeping with
my relatives. I want to preserve my image as a girl who is beautiful and mature, with behaviors
towards the image of a dignified girl.
3.2. External influences
Diffusion of innovation
The diffusion of innovation theory states that a person's interest in buying a new good or service
relies on how they view it regarding some of the innovation's features, such as relative
advantage, compatibility, complexity, or user-friendliness, observability, and trialability. A
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person will be more interested in adopting a product if they find it to have a higher relative
advantage over competing products in terms of performance, compatibility with their interests,
ease of use, observability (the degree to which the results or benefits offered by the product can
be observed), and trialability (the degree to which a product or service can be used before being
purchased) (Menon & Sujatha, 2021, p.2). In compliance with the theory, my selection of three
brands is based on relative advantage, user-friendliness, and observability and trialability.
I selected Dell brand to purchase my laptop because it is among the brands that provide reliable,
durable, well-built, and trustworthy laptops in comparison with some other brands. In the past, I
had purchased a laptop from a brand other than Dell. However, it did not work well and for a
long time – I needed to have it repaired several times. Meanwhile, my former Dell laptop was so
durable that I could use it for several years without having it fixed for any time.
Meanwhile, the washing machine from Hotpoint brand is selected based on the degree of user-
friendliness. It has basic functions I deserve, like washing, drying, super-drying, and rinsing like
other machines. But the most important thing is that I can set up all my desired steps of washing
clothes for the first time, and then I just press the “Start” button for the next time to wash my
clothes following the set program. Other brands in my evoked set require me to set up from the
beginning for every time I have clothes washed.
Finally, the bunk bed is selected based on observability. Before purchasing, I am allowed to see
what parts of the bed includes, how strong it is, and what kind of wood it is made of. I can even
be allowed to try lying on the bed, climbing on the upper bed and jumping on it to verify its
quality.
Social and Cultural influences
Social class, customer reference, and Japanese culture are the two influencers of the social and
cultural factors affecting my purchase decisions. Regarding social class, it is the level at which
various groupings of people are classified by economy (Cohen et al., 2017). Social class is
divided into three levels – low, middle, and high -income social classes. As my family belongs to
a relatively high-income class, I also classify myself as a relatively high-income class.
Accordingly, I also select products that might be relatively expensive but high-quality. Dell
laptop is among the most expensive in comparison with its competitors but within my budget.
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The main factors contributing to Dell laptops' high price are their hardware components and
technical support (Tabassum, 2022). So, I determined to purchase a Dell laptop.
Customers usually reference others before selecting a brand. When purchasing a washing
machine, I refer to my neighbor, which is classified as a comparative reference group that
embraces different behaviors and attitudes that a person wants to gain (Williams, 1970). In this
case, I would like to reduce my chores to save time for other tasks since my neighbor has a
washing machine to reduce time spent on washing clothes, so I purchased a washing machine
also.
Finally, the Japanese culture of sleeping separately leads to my purchase of a bunk bed. Since I
am a person who is interested in Japanese culture, which starts when I learn Japanese, I follow a
separate sleeping pattern of the culture. Separate sleeping means serenity to the Japanese people.
It implies that a person values his sleep and will not allow anything to wake him up
(Slobodenpecat, 2020). Inheriting this spirit, I favor a bunk bed to allow my cousin and me to
sleep separately while saving the room space.
Conclusion
In conclusion, my three purchases recently, including a laptop, a washing machine, and a bunk
bed, went through the customer purchase journey and were affected by internal and external
influencers. In the “need recognition” phase, I found out disadvantages in circumstances with no
three items to determine whether I really need them or not. In the “information search” phase, I
based on my past experiences and searched for new information to give a list of possible brands
to be purchased. Then, in the “evaluation of alternatives”, I gave a set of criteria to match my
desires with the proposed brand. In the “purchase” phase, I relied on compensatory and non-
compensatory rules to determine which brand I would purchase. Finally, in the “post-purchase”
phase, I compared my expectations with the products’ performances to evaluate the products’
quality for the next purchase, if any. Generally, my three purchases are in line with my
motivation, personality as an ID, and attitudes as internal influencers, and diffusion of innovation
and social/cultural factors as external influencers. For any other purchase, I still follow the
journey to select the best product.
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