There Are Five Stages in the Consumer Purchase Decision Process

question 171

Multiple Choice

There are five stages in the consumer purchase decision process. The third stage is

• A)information search.
• B)purchase decision.
• C)alternative evaluation.
• D)opportunity testing.
• E)problem recognition.

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Definitions:

Negative Externalities

Unintended and adverse side effects suffered by third parties or the environment as a result of economic activities.

Direct Controls

Government policies that directly constrain activities that generate negative externalities. Examples include maximum emissions limits for factory smokestacks and laws mandating the proper disposal of toxic wastes.

Economic Efficiency

A situation where resources are allocated in a way that maximizes the net benefit to society or achieves the desired output with the least waste.

Negative Externalities

Costs suffered by a third party as a result of an economic transaction or activity, not reflected in the transaction's price.