The marketer must understand how consumers make their buying decisions. In some cases it is very difficult to find out who the buyer is and who the user is. There are different roles played by the consumer. So to understand properly consumer buying decision process it is necessary to understand the different roles played by them. They are:
i) INITIATOR: initiator is the person who brings the idea to buy a product for eg. Son brings the idea to buy a computer.
ii)INFLUENCER: influencer is the person with whom influence person wish tobuy anyproduct. For eg, Son’s friend influences him to buy a computer.
iii)GATEKEEPER: it is the person inside the house who informs that there is no budget to buy it. For example, in this case father says there is no budget to buy the cycle.
iv) DECIDER: it is the person who decides to buy the product like mother decides to buy the computer for her son.
v) BUYER: now the family member go to the market and buy the product. Like in this case mother and father go to the shop to buy a computer.
vi) USER: at the end the family uses the computer.
Therefore all these are the different roles played by the consumer in buying decision process.
When the buyer’s need is raised to a particular level they become the motives which mean “I want to achieve this” which ultimately affect the consumer buying behavior. This means that the consumers have the desire which motivate them to buy a particular product. The buying motives of the consumer are divided into two categories: Continue reading “2 Buying Motives of consumer”
The buying behavior of consumer is affected by a number of factors which are generally uncontrollable. These factors are also known as determinants of consumer buying behavior. All these factors affect the buying behavior of consumer differently. Continue reading “Determinants of consumer buying behavior”
I have already discussed the meaning of capital structure. Today I will discuss the different theories of capital structure.
1.) Net income approach: this theory is given by Durand. As per the theory the value of firm can be increased and its cost of capital can be reduced by increasing proportion of debt in its capital structure. The approach is based upon following assumptions:- Continue reading “Theories of capital structure”
Consumer is now a day treated as “KING” and it is very difficult to understand consumer behavior as consumer behavior is complex. Consumers are rational they think before buying. Therefore the marketer must understand the consumer behavior before starting the marketing strategy. He must study the likes and dislikes of the consumer. All consumers are different in their cultural background, income, life style, personality, beliefs and attitudes etc. But one thing is common as all of them are “consumer”. So the marketing manager must know the answer of following questions. Like:
What customers like to buy?
When they buy?
How they buy?
Why they buy?
From where they buy?
Marketing environment is very important in marketing management. It is uncontrollable and ever changing. So for the success of the company it is very essential to regularly monitoring the marketing environment. It consists of:- Continue reading “Marketing environment”
I have already discussed the meaning of capital structure. Today I will discuss the different forms of capital structure
- equity share capital only
- equity share capital + preference share capital
- equity share capital + long term debentures
- equity share capital + preference share capital+ long term debentures Continue reading “Different forms of capital structure”
The term of marketing mix was given by James Culliton. Marketing mix means set of tools which are used by the firm to achieve its marketing objectives. Four p’s of marketing are classified by E. I. McCarthy. Continue reading “4 P’s of marketing or Marketing Mix”
To run and manage a company funds are required from the start till the end. If the funds are inadequate the business suffers, if the funds are not properly managed the entire organization suffers. So it is very essential for every firm to have a optimum capital structure for the smooth working of the business. Continue reading “Capital structure meaning”
I will discuss the various concepts related to financial management. But first thing we need to understand the definition of financial management. Finance is like the blood for the business as blood is essential for the human body; similarly finance is essential for the business. No business can run without adequate finance. That’s why it is very essential to manage the finances of the business. Financial management means to plan and control the financial resources of the firm. Continue reading “What is Financial management”