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Howard Sheth Model

The document summarizes the Howard-Sheth model of consumer behavior. [1] The model was proposed by John Howard and Jagdish Sheth in 1969 to explain consumer decision making. [2] It identifies four major variables that influence consumer behavior: inputs, perceptual constructs, outputs, and exogenous variables. [3] The model aims to understand consumer purchasing decisions at three levels: extensive problem solving, limited problem solving, and routinized response behavior.

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rahul viju
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2K views

Howard Sheth Model

The document summarizes the Howard-Sheth model of consumer behavior. [1] The model was proposed by John Howard and Jagdish Sheth in 1969 to explain consumer decision making. [2] It identifies four major variables that influence consumer behavior: inputs, perceptual constructs, outputs, and exogenous variables. [3] The model aims to understand consumer purchasing decisions at three levels: extensive problem solving, limited problem solving, and routinized response behavior.

Uploaded by

rahul viju
Copyright
© © All Rights Reserved
Available Formats
Download as PDF, TXT or read online on Scribd
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ASSIGNMENT
BUSINESS MARKETING

Submitted by:

Sujit Chandrashekhar Hegde

4SF18MBA84

“Marketing”

Department of Business Administration

Sahyadri College of Engineering and Management Adyar,


Mangalore – 07

Submitted to:

Prof, Padmanabha.b

Department of Business Administration

Sahyadri College of Engineering and Management

Adyar, Mangalore – 07
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HOWARD SHETH MODEL


Introduction:
John Howard and Jagadish Sheth put forward the Howard Sheth model of consumer behaviour in
1969, in their publication entitled, ‘The Theory of buyer Behaviour’.
Howard-Sheth model is one of models that represent consumer behaviour on the market. It
attempts to explain the rationality of choice of the product by the consumer under conditions of
incomplete information and reduced processing capability. It analyses the external symptoms of
behaviour, reactions and thought processes that cannot be subject to direct observation

Utilizing the learning theory thoroughly and systematically, John Howard came out with the first
truly integrative model of buyer behaviour. He was the first to introduce the difference between
problem solving behaviour, limited problem solving and automatic response behaviour. The model
is essentially an attempt to explain brand choice behaviour over time and therefore specially
pertinent to our field. Focussing on repeat buying, the model relies on four major components -
stimulus inputs, hypothetical constructs, response outputs and exogenous variables.
This are the three levels of decision making:
1. Extensive problem solving - early stages of decision making in wich the buyer has little
information about brands and has not yet developed well defined and structured criteria by wich
to choose among products.
2. Limited problem solving - this is a more advance stage; choice criteria are well defined but the
buyer is still undecided about which set of brands will best serve him. Thus, the consumer still
experiences uncertainty about which brand is best.
3. Routinized response behaviour - buyers have well defined choice criteria and also have strong
predispositions toward the brand. Little confusion exists in the consumer's mind and he is ready to
purchase a particular brand with little evaluation of alternatives.

According to the Howard Sheth model of consumer behavior there are four major sets of variables;
namely:

1. Inputs: These input variables consist of three distinct types of stimuli (information sources) in the
consumer’s environment. The marketer in the form of product or brand information furnishes
physical brand characteristics (significative stimuli) and verbal or visual product characteristics
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(symbolic stimuli). There are impersonal sources like mass media communication and advertising,
over which the firm has no control.

Input Variable

Significative stimuli – Price, Quality and availability.

Symbolic stimuli – Verbal and Visual traits

Social stimuli – family, reference group

2. Perceptual and Learning Constructs: The central part of the model deals with the psychological
variables involved when the consumer is contemplating a decision. Some of the variables are
perceptual in nature, and are concerned with how the consumer receives and understands the
information from the input stimuli and other parts of the model. For example, stimulus ambiguity
happened when the consumer does not understand the message from the environment. Perceptual
bias occurs if the consumer distorts the information received so that it fits his or her established
needs or experience. Learning constructs category, consumers’ goals, information about brands,
criteria for evaluation alternatives, preferences and buying intentions are all included. The
proposed interaction In between the different variables in the perceptual and learning constructs
and other sets give the model its distinctive advantage.
3. Outputs: The outputs are the results of the perceptual and learning variables and how the
consumers will response to these variables (attention, brand comprehension, attitudes, and
intention).
4. Exogenous(External) variables: Exogenous variables are not directly part of the decision-
making process. However, some relevant exogenous variables include the importance of the
purchase, consumer personality traits, religion, and time pressure.

Some exogenous variables: Importance of the purchase, Time at the disposal of the buyer,
Personality traits, Financial status etc.
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Conclusion

The decision-making process, which Howard-Sheth Model tries to explain, takes place at three
Inputs stages: Significance, Symbolic and Social stimuli. In both significative and symbolic
stimuli, the model emphasizes on material aspects such as price and quality. These stimuli are not
applicable in every society. While in social stimuli the model does not mention the basis of
decision-making in this stimulus, such as what influence the family decision? This may differ from
one society to another.

Most scholars agree that the study of consumer behavior was advanced and given an impetus by
Howard Sheth Model. The major advantage and strength of the model lied in the precision with
which a large number of variables have been linked in the working relationships to cover most
aspects of the purchase decision and the effective utilization of contribution from the behavioural
sciences.
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References:

https://www.mbaknol.com/marketing-management/howard-sheth-model-of-consumer-behavior/

Consumer behaviour by Dr. M. Prasanna kumar

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