TENTATIVE SYLLABUS SUBJECT TO CHANGE CONSUMER BEHAVIOR Summer 2008 New York University Stern School of Business

Professor: Office: Phone: E-mail: Office Hours:

Ellie Kyung Tisch 825 (212) 998-0523 ekyung@stern.nyu.edu TBD and by appointment

Course #: Schedule: Classroom:

C55.0002.01 MW 3:00-5:55 pm Tisch UC-62

*Note: E-mail is the best way to contact me outside of class. I check and respond to e-mail daily.

COURSE GOALS
We are all consumers. We buy groceries, computers, and cars. We purchase services ranging from bank accounts to college educations. However, we also know that consumers are different from one another. We buy different clothes, drive different cars, and eat different foods. Moreover, even the same consumer can make different decisions depending on the situation. So how are we to construct coherent marketing strategies? In this class we will try to learn how and why consumers behave the way that they do. We will explore our intuitions about our own behavior. We will learn about theories developed in marketing, psychology and other behavioral sciences. And we will learn how to use these theories to predict how consumers will respond to different marketing activities. The goals of this class are to: Acquire a framework for analyzing consumer behavior problems Learn how consumer behavior can be affected by different marketing strategies Show how behavioral evidence can be used to evaluate alternative marketing strategies Develop a deeper understanding of consumer behavior by learning about relevant psychological and sociological theories Acquire experience in applying these theories to real-world consumer behavior problems

TENTATIVE SYLLABUS SUBJECT TO CHANGE COURSE RESOURCES

Required Text Consumer Behavior (10 edition), by Roger D. Blackwell, Paul W. Miniard, and James F. Engel, th Thomson Southwestern (available at the NYU Bookstore; The 9 edition is fine as well). Ordering the book online will be significantly cheaper, but just keep in mind that you will have to wait for it to arrive (e.g. http://www.bigwords.com, http://www.varsitybooks.com, http://www.half.com) Note that the text will primarily serve as background reading to help you understand the lectures. The exams, projects, and assignments will be based material covered during lectures. Copies of the book are also on reserve at the Bobst Library. Required HBS Case Packet Cases can be purchased and downloaded online at http://www.hbsp.com and are also available at the NYU Bookstore as a course packet.

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Claiborne Asks Web Surfers to Name New Line (9-500-055) Starbucks: Delivering Customer Service (9-504-016) LOreal of Paris: Bringing Class to Mass with Plenitude (9-598-056) BMW Films (9-502-046) Analyzing Consumer Perceptions (9-599-110)

Readings & Assignments Additional cases, exercises, journal articles, and recent news from the popular business press will be provided throughout the semester. The journal articles will provide you with a deeper insight into selected topics and methods of consumer behavior research. The business news articles, cases, and exercises will give you the opportunity to apply the textbooks conceptual framework to current real-world marketing problems. The readings and assignments will be handed out in class and posted on the class website (if an electronic copy is available). Course Website : http://sternclasses.nyu.edu This website has many useful things on it, including continuously updated information on assignments, readings, course schedule, etc. Please check regularly. Class Notes The PowerPoint slides for each class will be available for downloading from the website and will also be handed out at the start of class. Note, however, that these slides only present an outline of the class discussion. You will still need to take additional notes to fully capture the material discussed in class. Additional Literature You can find additional literature using the Stern Virtual Business Library (http://www.nyu.edu/library/bobst/vbl/), as well as links on the class website.

TENTATIVE SYLLABUS SUBJECT TO CHANGE STUDENT EVALUATION

Your evaluation will be based on 2 exams, 1 individual assignment, 3 case study preparations, and your class participation: Case Preparations: Assignment: Midterm Exam: Final Exam: Class Participation: Case Preparations 15% 15% 15% 25% 35% 10%

You will be asked to prepare 3 Harvard Business School cases for class discussion. Each case preparation contributes 5% towards your final grade. To make sure that you have read and thought about the cases in advance, I will ask everyone to e-mail me a (max) 2 page preparation sheet by 6pm the day before we discuss the case in class. For more information on the case preparations, please see the separate handout. Assignment 15%

The assignment is designed to help you better understand and remember the issues discussed in class. The assignment should be done either individually or in a group of two and will require considerable time and effort. The assignment will be based on our discussion of consumer choice processes, so you will receive more information on this assignment when we cover this in class. Students are responsible for knowing when the assignment and case preparations are due. If you are unable to turn in an assignment on or before the due date, for whatever reason (e.g., illness), you must contact me prior to the due date. Midterm Exam 25%

The midterm exam will be based on the lectures, class discussions, assigned readings, and class assignments. The exam will include multiple choice, short answer, and essay questions. It is unlikely that a request for a make-up exam will be granted. All students who do not attend the exam and who do not have a prior agreement with me will receive a zero for the exam grade. Final Exam 35%

The final exam is not cumulative. The exam will consist of multiple choice, short answer, and essay questions. Again, it is unlikely that a request for a make-up exam will be granted. All students who do not attend the final exam and who do not have a prior agreement with me will receive a zero for the exam grade.

TENTATIVE SYLLABUS SUBJECT TO CHANGE

Class Participation 10%

I expect that you all realize the importance of attending the classes. Attending classes is not optional. It will substantially increase your understanding of the assigned readings and provide you with insight into issues beyond those covered in the readings. It will also give you the opportunity to actively participate in class discussions and obtain a better class participation grade. Note, however, that your mere presence is not sufficient to earn points for class participation. What matters more is the quantity and, especially, the quality of your contributions to class discussions.

CLASS POLICY

Be prepared: Make sure that you have read the readings assigned for each class. This will help you to better understand the material discussed in class and to actively participate in class discussions. Attend all classes: I expect everyone to attend all classes. Aside from being an essential part of the learning experience, regular attendance is an obvious prerequisite for contributing to class discussions and receiving a grade for class participation. Please also note that you are responsible for knowing any changes or assignments announced in class. Arrive on time: Late-comers are very disturbing. Systematic tardiness will have a

negative impact on your class participation grade.

Respect assignment deadlines: Late assignments will not be accepted without a prior agreement. Be honest: Cheating and plagiarism will result in a grade of F for the assignment/test for all parties involved.

TENTATIVE SYLLABUS SUBJECT TO CHANGE CLASS SCHEDULE

Please note that this is a tentative class schedule it will change in the course of the semester depending on the length of class discussions and the possible scheduling of guest speakers. SESSION Session 1: 06 / 30 Monday Session 2: 07 / 02 Wednesday Session 3: 07 / 07 Monday Session 4: 07 / 09 Wednesday Session 5: 07 / 14 Monday Session 6: 07 / 16 Wednesday Session 7: 07 / 21 Monday Session 8: 07 / 23 Wednesday TOPIC Introduction to the Course Overview of Consumer Behavior ASSIGNMENT Read Chapter 1 Read Claiborne Case

PART I: THE CONSUMER DECISION MAKING PROCESS Consumer Behavior and Marketing 1. Pre-Purchase Process Case Discussion: Starbucks The Consumer Decision Making Process Need Recognition & Search; Exposure & Attention Comprehension & Opinion Formation Case Discussion: LOral of Paris Storage & Retrieval Midterm Course Review Midterm Exam Evaluation & Choice 2. Purchase Process Evaluation & Choice Choice Project Overview Decision Biases 3. Post-Purchase Process Decision Biases Consumption & Evaluation Read Chapter 6 DUE: Starbucks Case Read Chapters 3 & 4 Read Chapter 15 Learning Theories Handout DUE: LOral Case Read Chapter 16 DUE: Personal Profile Read Chapter 2

TENTATIVE SYLLABUS SUBJECT TO CHANGE

PART II: INDIVIDUAL INFLUENCES ON THE DECISION MAKING PROCESS Session 9: 07 / 28 Monday Session 10: 07 / 30 Wednesday Session 11: 08 / 04 Monday Session 12: 08 / 06 Wednesday Demographics, Psychographics, & Consumer Motivation Consumer Beliefs, Attitudes, & Intentions Read Chapters 7 & 8

PART III: ENVIRONMENTAL INFLUENCES ON THE DECISION MAKING PROCESS Culture & Consumer Behavior Group and Personal Influence Read Chapters 11 & 13 DUE: Choice Assignment

PART IV: REVIEW, PROJECT PRESENTATIONS, & FINAL EXAM Case Discussion: BMW Films Case Course Review DUE: BMW Films Case

Final Exam