Question

In consumer behaviour, the concept behind a product's market position implies that:

A) the evaluation of a product is based on What it means to a person rather than What it does.
B) the evaluation of a product is based on What it does for a person rather than What it means.
C) the top-selling brand in a product category always has a stronger market position.
D) price is the most important "P" to consider when formulating a marketing strategy.

Answer 1

A product's market position is influenced by consumer perceptions shaped by intangibles and advertising, which reflect what a product means to a person rather than just its functionality.

Step-by-step explanation:

In consumer behaviour, the concept behind a product's market position implies the perception and value of the product in the minds of the consumers. For instance, a product's market position may be influenced by intangible aspects such as a guarantee of satisfaction, reputation for high quality, or the provision of services like free delivery.

Similarly, advertising can shape preferences and beliefs about a product, influencing its market position by either making the demand curve more inelastic or increasing the demand. This does not necessarily mean that the top-selling brand always has a stronger market position or that price is the most important factor in a marketing strategy.

Option A) in the original question relates to this as it suggests the evaluation of a product is based on what it means to a person rather than what it does, reflecting the idea that consumer perceptions and non-tangible elements heavily influence market position.