Consumer Behaviour

The term consumer is often used to describe two different kinds of consuming entities, the personal consumer and the organizational consumer. The personal consumer buys goods and services for his or her own use e.g., shaving cream or shampoo, for the use of the household or as a figt for a friend. In each of these contexts the goods are bought for final use by individuals, who are referred to as “end users” or “ultimate consumers.” The second category of consumer, the organizational consumer, encompasses for profit and non-profit business, government agencies and institutions all of which must buy products, equipments and services in order to run their organizations. Consumer behaviour is the study of when, why, how and where people do or do not buy product. It blends elements from psychology, sociology, social anthropology and economics. It attempts to understand the buyer decision-making process, both individually and in groups. It studies characteristics of individual consumers such as demographics and behavioural variables in an attempt to understand people’s wants. It also tries to assess influences on the consumer from groups such as family, friends, reference groups and society in general.