A consumer behaviour model is a theoretical framework for explaining why and how customers make purchasing descion. A Consumer Behavior model is a theoretical framework for explaining why and how customers make purchasing decisions. Discus a) The Nicosia Model; b) The Howard Sheth model and C ) Engel – Blackwell – Milniard model

A consumer behaviour model is a theoretical framework for explaining why and how customers make purchasing descion. A Consumer Behavior model is a theoretical framework for explaining why and how customers make purchasing decisions. Discus a) The Nicosia Model; b) The Howard Sheth model and C ) Engel – Blackwell – Milniard model

Practical Management Science

6th Edition

ISBN:9781337406659

Author:WINSTON, Wayne L.

Publisher:WINSTON, Wayne L.

Chapter13: Regression And Forecasting Models

Section13.4: Multiple Regression Models

Problem 12P

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During the early 1990s, Hoover was faced with a period of economic recession in which discretionary expenditure on consumer durables was held back. In these conditions, most vacuum sales were replacements for worn out machines or first-time buys for people setting up home. The challenge was to increase the sales of machines bought to upgrade existing equipment. The company came up with the idea of offering free airline tickets to America for anybody buying one of its vacuum cleaners. For many people, a holiday in the USA may have been perceived as an unnecessary and unaffordable luxury during a period of recession, but one that might be justified if it came free with the purchase of an 'essential' vacuum cleaner. The immediate result of the sales promotion was to boost the company's sales of vacuum cleaners to more than double the level of the previous year. So far so good, but then serious problems set in. The first problem occurred when Hoover could not satisfy demand for its vacuum…
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