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Factors Affecting Buying Decision of

the Customers at the Store


There are several factors which affect the buying decision of the customers. Let us go through them
one by one:

1. Store Display and Presentation of Products

The store display plays an important role in influencing the buying decision of the
customers. It is the display of the store which attracts passing individuals into the store. The
store must have an attractive display to entice the customers. Shopping may be the last
priority for an individual but a creative display encourages him to spend on shopping.

A retailer must intelligently display the latest trends on mannequins to prompt the
customers to buy the same.

Make sure the products are kept on their respective racks. The merchandise should
not fall off the shelves.

Since most of us are right handed; we tend to go towards the right side of the store,
the moment we step inside. The retailer must thus display expensive and unique
merchandise on the right side of the store.

Remove old stock from the shelves.

2. Ambience of the Store

The store ambience plays an important role in attracting new customers and retaining
existing ones.

A customer would never purchase anything from a store which is not clean. Foul
smell irritates individuals and thus they leave in no time.

Play soulful music for a positive effect on the customers.

The store should be well lit and ventilated for the customers to enjoy their shopping.

3. Customer Treatment

Warm customer treatment is an effective way to pull the customers into the store. It is
essential for the retailers to treat the customers like kings to expect loyalty from them.

Understand your customers well. Try to find out what they expect from the store.

The sales representative must greet the customers with a warm smile. It makes a
difference.
Assist them in their shopping.

Never oversell.

The retailer must never lie to the customers. If something is not looking good on
them, be honest and give them a correct feedback.

If a customer comes for an exchange, dont be rude; instead help him with an
alternative.

4. Store Design and Layout

A customer would never prefer shopping from a store which gives a cluttered look.

There should be ample space in the store for the customers to move and shop freely.

Put stickers and labels (size, colour, FS (Full sleeves), HS (Half Sleeves) and so on)
on the shelves and racks.

Dont stock unnecessary furniture and fixtures in the store.

Classify the complete range of merchandise into small groups (categories)


comprising of similar and related products. Categories help the customers to locate
the products easily.

A store must have a trial (change) room.

Individuals avoid places where there is a parking hassle. The store should have an
adequate parking space.

5. Other Factors

Discounts and rebates influence the customers to shop more. A customer might not
need a product, but a discount will encourage him to purchase the same as he would
now get it at a lower price.

Promotional schemes like free gifts also affect the buying decision of the customers.
A Free T Shirt with a pair of jeans would definitely prompt the customers to shop
more.

Customers also indulge in shopping to redeem their coupons and avail discounts.

THE FACTORS INFLUENCING CONSUMER BEHAVIOR


This article is the third in a series of articles about the factors
and variables that influence the behavior of consumers.
How reacts a consumer? What are the motivations and aspirations that guide him?
What are the factors that influence him? Why he will choose a product or brand over
another?

Today, lets focus on the factors influencing consumer behavior: what are they? How
do they work? What is their level of importance to the consumer and how he reacts
to it?

There are 4 main types of factors influencing consumer behavior


There are 4 main types of factors influencing consumer behavior: cultural factors,
social factors, personal factors and psychological factors.

I. Cultural factors
Cultural factors are coming from the different components related to culture or
cultural environment from which the consumer belongs.

Culture and societal environment:


Culture is crucial when it comes to understanding the needs and behaviors of an
individual.

Throughout his existence, an individual will be influenced by his family, his friends,
his cultural environment or society that will teach him values, preferences as well
as common behaviors to their own culture.

For a brand, it is important to understand and take into account the cultural factors
inherent to each market or to each situation in order to adapt its product and its
marketing strategy. As these will play a role in the perception, habits, behavior or
expectations of consumers.

Sub-cultures :
A society is composed of several sub-cultures in which people can identify.
Subcultures are groups of people who share the same values based on a common
experience or a similar lifestyle in general.

Subcultures are the nationalities, religions, ethnic groups, age groups, gender of the
individual, etc..

The subcultures are often considered by the brands for the segmentation of a
market in order to adapt a product or a communication strategy to the values or the
specific needs of this segment.

for example.Its a real brand positioning with a well-defined target in a sector that
only offered makeup products to a caucasian target until now (with the exception of
niche brands) and was then receiving critics from consumers of different origin.
Brands often communicate in different ways, sometimes even create specific
products (sometimes without significant intrinsic difference) for the same type of
product in order to specifically target an age group, a gender or a specific sub-
culture.

Consumers are usually more receptive to products and marketing strategies that
specifically target them.
Social classes

Social classes are defined as groups more or less homogenous and ranked against
each other according to a form of social hierarchy. Even if its very large groups, we
usually find similar values, lifestyles, interests and behaviors in individuals
belonging to the same social class.
We often assume three general categories among social classes : lower class,
middle class and upper class.

People from different social classes tend to have different desires and consumption
patterns. Disparities resulting from the difference in their purchasing power, but not
only. According to some researchers, behavior and buying habits would also be a
way of identification and belonging to its social class.

Beyond a common foundation to the whole population and taking into account that
many counterexample naturally exist, they usually do not always buy the same
products, do not choose the same kind of vacation, do not always watch the same
TV shows, do not always read the same magazines, do not have the same hobbies
and do not always go in the same types of retailers and stores.

For example, consumers from the middle class and upper class generally consume
more balanced and healthy food products than those from the lower class.

They dont go in the same stores either. If some retailers are, of course, patronized
by everyone, some are more specifically targeted to upper classes such as The
Fresh Market, Whole Foods Market, Barneys New York or Nordstrom. While others,
such as discount supermarkets, attract more consumers from the lower class.

Some studies have also suggested that the social perception of a brand or a retailer
is playing a role in the behavior and purchasing decisions of consumers.

In addition, the consumer buying behavior may also change according to social
class. A consumer from the lower class will be more focused on price. While a
shopper from the upper class will be more attracted to elements such as quality,
innovation, features, or even the social benefit that he can obtain from the
product.

Cultural trends:
Cultural trends or Bandwagon effect are defined as trends widely followed by
people and which are amplified by their mere popularity and by conformity or
compliance with social pressure. The more people follow a trend, the more others
will want to follow it.

They affect behavior and shopping habits of consumers and may be related to the
release of new products or become a source of innovation for brands.

By social pressure, desire to conformity or belonging to a group, desire to follow


fashion trends or simply due to the high visibility provided by media, consumers
will be influenced, consciously or unconsciously, by these trends.

For example, Facebook has become a cultural trend. The social network has widely
grew to the point of becoming a must have, especially among young people.

It is the same with the growth of the tablet market. Tablets such as iPad or Galaxy
Tab have become a global cultural trend leading many consumers to buy one. Even
if they had never specially felt the need before.

For a brand, create a new cultural trend from scratch is not easy. Apple did it with
the tablets with its iPad. But this is an exception. However, brands must remain
attentive to the new trends and bandwagon effects. Whether to accompany it
(create a page on Facebook) or to take part in the newly created market (create its
own tablet).

II. Social factors


Social factors are among the factors influencing consumer behavior significantly.
They fall into three categories: reference groups, family and social roles and status.

Reference groups and membership groups :


The membership groups of an individual are social groups to which he belongs and
which will influence him. The membership groups are usually related to its social
origin, age, place of residence, work, hobbies, leisure, etc..

The influence level may vary depending on individuals and groups. But is generally
observed common consumption trends among the members of a same group.

The understanding of the specific features (mindset, values, lifestyle, etc..) of each
group allows brands to better target their advertising message.

More generally, reference groups are defined as those that provide to the individual
some points of comparison more or less direct about his behavior, lifestyle, desires
or consumer habits. They influence the image that the individual has of himself as
well as his behavior. Whether it is a membership group or a non-membership group.

Because the individual can also be influenced by a group to which he doesnt belong
yet but wishes to be part of. This is called an aspirational group. This group will have
a direct influence on the consumer who, wishing to belong to this group and look
like its members, will try to buy the same products.
For example, even if he doesnt need it yet, a surfing beginner may want to buy
advanced brands or products used by experienced surfers (aspirational group) in
order to get closer to this group. While a teen may want the shoe model or
smartphone used by the group of popular guys from his high school (aspirational
group) in order to be accepted by this group.

Some brands have understood this very well and communicate, implicitly or not, on
the social benefit provided by their products.

Within a reference group that influence the consumer buying behavior, several roles
have been identified:

The initiator: the person who suggests buying a product or service

The influencer: the person whose point of view or advice will influence the
buying decision. It may be a person outside the group (singer, athlete, actor,
etc..) but on which group members rely on.

The decision-maker: the person who will choose which product to buy. In
general, its the consumer but in some cases it may be another person. For
example, the leader of a soccer supporters group (membership group) that
will define, for the whole group, which supporters scarf buy and bear during
the next game.

The buyer: the person who will buy the product. Generally, this will be the
final consumer.

Many brands look to target opinion leaders (initiator or influencer) to spread the use
and purchase of their product in a social group. Either through an internal person of
the group when it comes to a small social group. Or through a sponsorship or a
partnership with a reference leader (celebrity, actor, musician, athlete, etc..) for
larger groups.

Family:
The family is maybe the most influencing factor for an individual. It forms an
environment of socialization in which an individual will evolve, shape his
personality, acquire values. But also develop attitudes and opinions on various
subjects such as politics, society, social relations or himself and his desires.

But also on his consumer habits, his perception of brands and the products he buys.

We all kept, for many of us and for some products and brands, the same buying
habits and consumption patterns that the ones we had known in our family.

Perceptions and family habits generally have a strong influence on the consumer
buying behavior. People will tend to keep the same as those acquired with their
families.
For example, if you have never drunk Coke during your childhood and your parents
have described it as a product full of sugar and not good for health. There is far
less chance that you are going to buy it when you will grow up that someone who
drinks Coke since childhood.

For brands especially for Fast-Moving Consumer Goods (FMCG) or Consumer


Packaged Goods (CPG) successfully integrate the family is both a real challenge
and an opportunity to develop a strong consumer loyalty among all the family
members.

Thats why its important for brands to be seen as a family brand in order to become
a consumer habit for parents and children when they will become adults.

Social roles and status:


The position of an individual within his family, his work, his country club, his group
of friends, etc.. All this can be defined in terms of role and social status.

A social role is a set of attitudes and activities that an individual is supposed to have
and do according to his profession and his position at work, his position in the
family, his gender, etc.. and expectations of the people around him.

Social status meanwhile reflects the rank and the importance of this role in society
or in social groups. Some are more valued than others.

The social role and status profoundly influences the consumer behavior and his
purchasing decisions. Especially for all the visible products from other people.

For example, a consumer may buy a Ferrari or a Porsche for the quality of the car
but also for the external signs of social success that this kind of cars represents.
Moreover, it is likely that a CEO driving a small car like a Ford Fiesta or a Volkswagen
Golf would be taken less seriously by its customers and business partners than if he
is driving a german luxury car.

And this kind of behaviors and influences can be found at every level and for every
role and social status.

Again, many brands have understood it by creating an image associated with their
products reflecting an important social role or status.

III. Personal factors:


Decisions and buying behavior are obviously also influenced by the characteristics
of each consumer.

Age and way of life:


A consumer does not buy the same products or services at 20 or 70 years. His
lifestyle, values, environment, activities, hobbies and consumer habits evolve
throughout his life.
For example, during his life, a consumer could change his diet from unhealthy
products (fast food, ready meals, etc..) to a healthier diet, during mid-life with
family before needing to follow a little later a low cholesterol diet to avoid health
problems.

The factors influencing the buying decision process may also change. For example,
the social value of a brand generally play a more important role in the decision for
a consumer at 25 than at 65 years.

The family life cycle of the individual will also have an influence on his values,
lifestyles and buying behavior depending whether hes single, in a relationship, in a
relationship with kids, etc.. As well as the region of the country and the kind of city
where he lives (large city, small town, countryside, etc..).

For a brand or a retailer, it may be interesting to identify, understand, measure and


analyze what are the criteria and personal factors that influence the shopping
behavior of their customers in order to adapt.

For example, it is more than possible that consumers living in New York do not have
the same behavior and purchasing habits than the ones in Nebraska. For a retailer,
have a deep understanding and adapt to these differences will be a real asset to
increase sales.

Purchasing power and revenue:


The purchasing power of an individual will have, of course, a decisive influence on
his behavior and purchasing decisions based on his income and his capital.

This obviously affects what he can afford, his perspective on money and the level of
importance of price in his purchasing decisions. But it also plays a role in the kind of
retailers where he goes or the kind of brands he buys.

As for social status, some consumers may also look for the social value of
products they buy in order to show external indications of their incomes and their
level of purchasing power..

Lifestyle:
The lifestyle of an individual includes all of its activities, interests, values and
opinions.

The lifestyle of a consumer will influence on his behavior and purchasing decisions.
For example, a consumer with a healthy and balanced lifestyle will prefer to eat
organic products and go to specific grocery stores, will do some jogging regularly
(and therefore will buy shoes, clothes and specific products), etc..
Personality and self-concept:
Personality is the set of traits and specific characteristics of each individual. It is the
product of the interaction of psychological and physiological characteristics of the
individual and results in constant behaviors.

It materializes into some traits such as confidence, sociability, autonomy, charisma,


ambition, openness to others, shyness, curiosity, adaptability, etc..

While the self-concept is the image that the individual has or would like to have
of him and he conveys to his entourage. These two concepts greatly influence the
individual in his choices and his way of being in everyday life. And therefore also his
shopping behavior and purchasing habits as consumer.

In order to attract more customers, many brands are trying to develop an image
and a personality that conveys the traits and values - real or desired of consumers
they are targeting.

For example, since its launch, Apple cultivates an image of innovation, creativity,
boldness and singularity which is able to attract consumers who identify to these
values and who feel valued in their self-concept by buying a product from Apple.

Because consumers do not just buy products based on their needs or for their
intrinsic features but they are also looking for products that are consistent and
reinforce the image they have of themselves or they would like to have.

The more a product or brand can convey a positive and favorable self-image to the
consumer, the more it will be appreciated and regularly purchased.

IV. Psychological factors


Among the factors factors influencing consumer behavior, psychological factors can
be divided into 4 categories: motivation, perception, learning as well as beliefs and
attitudes.

Motivation:
Motivation is what will drive consumers to develop a purchasing behavior. It is the
expression of a need is which became pressing enough to lead the consumer to
want to satisfy it. It is usually working at a subconscious level and is often difficult to
measure.

Motivation is directly related to the need and is expressed in the same type of
classification as defined in the stages of the consumer buying decision process.

To increase sales and encourage consumers to purchase, brands should try to


create, make conscious or reinforce a need in the consumers mind so that he
develops a purchase motivation. He will be much more interested in considering
and buy their products.
They must also, according to research, the type of product they sell and the
consumers they target, pick out the motivation and the need to which their product
respond in order to make them appear as the solution to the consumers need.

Perception:
Perception is the process through which an individual selects, organizes and
interprets the information he receives in order to do something that makes sense.
The perception of a situation at a given time may decide if and how the person will
act.

Depending to his experiences, beliefs and personal characteristics, an individual will


have a different perception from another.

Each person faces every day tens of thousands of sensory stimuli (visual, auditory,
kinesthetic, olfactory and gustatory). It would be impossible for the brain to process
all consciously. That is why it focuses only on some of them.

The perception mechanism of an individual is organized around three processes:

Selective Attention: The individual focuses only on a few details or


stimulus to which he is subjected. The type of information or stimuli to which
an individual is more sensitive depends on the person.

For brands and advertisers successfully capture and retain the attention of
consumers is increasingly difficult. For example, many users no longer pay any
attention, unconsciously, to banner ads on the Internet. This kind of process is
called Banner Blindness.

The attention level also varies depending on the activity of the individual and the
number of other stimuli in the environment. For example, an individual who is bored
during a subway trip will be much more attentive to a new ad displayed in the tube.
It is a new stimuli that breaks the trip routine for him.

Consumers will also be much more attentive to stimuli related to a need. For
example, a consumer who wishes to buy a new car will pay more attention to car
manufacturers ads. While neglecting those for computers.

Lastly, people are more likely to be attentive to stimuli that are new or out of the
ordinary. For example, an innovative advertising or a marketing message (Unique
Value Proposition) widely different from its competitors is more likely to be
remembered by consumers.

Selective Distortion: In many situations, two people are not going to


interpret an information or a stimulus in the same way. Each individual will
have a different perception based on his experience, state of mind, beliefs
and attitudes. Selective distortion leads people to interpret situations in order
to make them consistent with their beliefs and values.
For brands, it means that the message they communicate will never be perceived
exactly in the same way by consumers. And that everyone may have a different
perception of it. Thats why its important to regularly ask consumers in order to
know their actual brand perception.

Selective distortion often benefits to strong and popular brands. Studies have shown
that the perception and brand image plays a key role in the way consumers
perceived and judged the product.

Several experiments have shown that even if we give them the same product,
consumers find that the product is or tastes better when theyve been told that its
from a brand they like than when theyve been told its a generic brand. While it is
exactly the same product!

Similarly, consumers will tend to appreciate even less a product if it comes from a
brand for which they have a negative perception.

Selective Retention: People do not retain all the information and stimuli
they have been exposed to. Selective retention means what the individual
will store and retain from a given situation or a particular stimulus. As for
selective distortion, individuals tend to memorize information that will fit with
their existing beliefs and perceptions.

For example, consumers will remember especially the benefits of a brand or product
they like and will forget the drawbacks or competing products advantages.

Selective retention is also what explains why brands and advertisers use so much
repetition in their advertising campaigns and why they are so broadcasted. So that
the selective retention can help the brand to become a top of mind brand in the
consumers mind.

Learning:
Learning is through action. When we act, we learn. It implies a change in the
behavior resulting from the experience. The learning changes the behavior of an
individual as he acquires information and experience.

For example, if you are sick after drinking milk, you had a negative experience, you
associate the milk with this state of discomfort and you learn that you should not
drink milk. Therefore, you dont buy milk anymore.

Rather, if you had a good experience with the product, you will have much more
desire to buy it again next time.

The learning theories can be used in marketing by brands. As the theory of operant
conditioning which states that you can build a good image and high demand for a
product by associating it with a positive reinforcement (or rather a bad image with a
negative reinforcement).
Beliefs and attitudes:
A belief is a conviction that an individual has on something. Through the experience
he acquires, his learning and his external influences (family, friends, etc..), he will
develop beliefs that will influence his buying behavior.

While an attitude can be defined as a feeling, an assessment of an object or idea


and the predisposition to act in a certain way toward that object. Attitudes allow the
individual to develop a coherent behavior against a class of similar objects or ideas.

Beliefs as well as attitudes are generally well-anchored in the individuals mind and
are difficult to change. For many people, their beliefs and attitudes are part of their
personality and of who they are.

However, it is important to understand, identify and analyze the positive attitudes


and beliefs but also the negative ones that consumers can have on a brand or
product. To change the brands marketing message or adjust its positioning in order
to get consumers to change their brand perception.

Many factors influencing consumer behavior


As we have just seen, many factors, specificities and characteristics influence the
individual in what he is and the consumer in his decision making process, shopping
habits, purchasing behavior, the brands he buys or the retailers he goes.

A purchase decision is the result of each and every one of these factors. An
individual and a consumer is led by his culture, his subculture, his social class, his
membership groups, his family, his personality, his psychological factors, etc.. And
is influenced by cultural trends as well as his social and societal environment.

By identifying and understanding the factors that influence their customers, brands
have the opportunity to develop a strategy, a marketing message (Unique Value
Proposition) and advertising campaigns more efficient and more in line with the
needs and ways of thinking of their target consumers. A real asset to better meet
the needs of its customers and increase sales.
Hermawan Kartajaya

Born in Indonesia November 18, 1947

Hermawan Kartajaya is an Indonesian author and public speaker in the area of marketing studies. In
2000, Kartajaya co-authored "Repositioning Asia: From Bubble to Sustainable Economy" with Philip
Kotler. In it they analysed why the Asian crisis of 1997 occurred, and outlined what the governments
and companies of the region could do to develop more sustainably in the future. Kartajayas expert
analysis, in-depth knowledge, and strategic thinking, won him acclaim from many of his peers. Al
Ries said of him The positioning of Hermawan Kartajaya in marketing is unique. He is a combined
product of Western mind, Asia heart and Indonesian soul. Every company must get his advice.
2002 saw him team up with Kotler again in their book "Rethinking Marketing: Sustainable
Marketing Enterprise.

THE 7 HABITS OF HIGHLY EFFECTIVE PEOPLE


HABIT 1 : BE PROACTIVE

Your life doesn't just "happen." Whether you know it or not, it is carefully designed by you. The
choices, after all, are yours. You choose happiness. You choose sadness. You choose decisiveness. You
choose ambivalence. You choose success. You choose failure. You choose courage. You choose fear.
Just remember that every moment, every situation, provides a new choice. And in doing so, it gives
you a perfect opportunity to do things differently to produce more positive results.

Habit 1: Be Proactive is about taking responsibility for your life. You can't keep blaming everything on
your parents or grandparents. Proactive people recognize that they are "response-able." They don't
blame genetics, circumstances, conditions, or conditioning for their behavior. They know they choose
their behavior. Reactive people, on the other hand, are often affected by their physical environment.
They find external sources to blame for their behavior. If the weather is good, they feel good. If it
isn't, it affects their attitude and performance, and they blame the weather. All of these external forces
act as stimuli that we respond to. Between the stimulus and the response is your greatest power--you
have the freedom to choose your response. One of the most important things you choose is what you
say. Your language is a good indicator of how you see yourself. A proactive person uses proactive
language--I can, I will, I prefer, etc. A reactive person uses reactive language--I can't, I have to, if
only. Reactive people believe they are not responsible for what they say and do--they have no choice.

Instead of reacting to or worrying about conditions over which they have little or no control, proactive
people focus their time and energy on things they can control. The problems, challenges, and
opportunities we face fall into two areas--Circle of Concern and Circle of Influence.

Proactive people focus their efforts on their Circle of Influence. They work on the things they can do
something about: health, children, problems at work. Reactive people focus their efforts in the Circle
of Concern--things over which they have little or no control: the national debt, terrorism, the weather.
Gaining an awareness of the areas in which we expend our energies in is a giant step in becoming
proactive.

THE 7 HABITS OF HIGHLY EFFECTIVE PEOPLE


HABIT 2: BEGIN WITH THE END IN MIND
So, what do you want to be when you grow up? That question may appear a little trite, but think
about it for a moment. Are you--right now--who you want to be, what you dreamed you'd be, doing
what you always wanted to do? Be honest. Sometimes people find themselves achieving victories that
are empty--successes that have come at the expense of things that were far more valuable to them. If
your ladder is not leaning against the right wall, every step you take gets you to the wrong place
faster.

Habit 2 is based on imagination--the ability to envision in your mind what you cannot at present see
with your eyes. It is based on the principle that all things are created twice. There is a mental (first)
creation, and a physical (second) creation. The physical creation follows the mental, just as a building
follows a blueprint. If you don't make a conscious effort to visualize who you are and what you want in
life, then you empower other people and circumstances to shape you and your life by default. It's
about connecting again with your own uniqueness and then defining the personal, moral, and ethical
guidelines within which you can most happily express and fulfill yourself. Begin with the End in Mind
means to begin each day, task, or project with a clear vision of your desired direction and destination,
and then continue by flexing your proactive muscles to make things happen.

One of the best ways to incorporate Habit 2 into your life is to develop a Personal Mission Statement.
It focuses on what you want to be and do. It is your plan for success. It reaffirms who you are, puts
your goals in focus, and moves your ideas into the real world. Your mission statement makes you the
leader of your own life. You create your own destiny and secure the future you envision.

THE 7 HABITS OF HIGHLY EFFECTIVE PEOPLE


HABIT 3: PUT FIRST THINGS FIRST

To live a more balanced existence, you have to recognize that not doing everything that comes along
is okay. There's no need to overextend yourself. All it takes is realizing that it's all right to say no when
necessary and then focus on your highest priorities.

Habit 1 says, "You're in charge. You're the creator." Being proactive is about choice. Habit 2 is the first,
or mental, creation. Beginning with the End in Mind is about vision. Habit 3 is the second creation, the
physical creation. This habit is where Habits 1 and 2 come together. It happens day in and day out,
moment-by-moment. It deals with many of the questions addressed in the field of time management.
But that's not all it's about. Habit 3 is about life management as well--your purpose, values, roles, and
priorities. What are "first things?" First things are those things you, personally, find of most worth. If
you put first things first, you are organizing and managing time and events according to the personal
priorities you established in Habit 2.

HE 7 HABITS OF HIGHLY EFFECTIVE PEOPLE


HABIT 4: THINK WIN-WIN

Think Win-Win isn't about being nice, nor is it a quick-fix technique. It is a character-based code for
human interaction and collaboration.

Most of us learn to base our self-worth on comparisons and competition. We think about succeeding in
terms of someone else failing--that is, if I win, you lose; or if you win, I lose. Life becomes a zero-sum
game. There is only so much pie to go around, and if you get a big piece, there is less for me; it's not
fair, and I'm going to make sure you don't get anymore. We all play the game, but how much fun is it
really?

Win-win sees life as a cooperative arena, not a competitive one. Win-win is a frame of mind and heart
that constantly seeks mutual benefit in all human interactions. Win-win means agreements or
solutions are mutually beneficial and satisfying. We both get to eat the pie, and it tastes pretty darn
good!

A person or organization that approaches conflicts with a win-win attitude possesses three vital
character traits:
1. Integrity: sticking with your true feelings, values, and commitments

2. Maturity: expressing your ideas and feelings with courage and consideration for the ideas and
feelings of others

3. Abundance Mentality: believing there is plenty for everyone

Many people think in terms of either/or: either you're nice or you're tough. Win-win requires that you
be both. It is a balancing act between courage and consideration. To go for win-win, you not only have
to be empathic, but you also have to be confident. You not only have to be considerate and sensitive,
you also have to be brave. To do that--to achieve that balance between courage and consideration--is
the essence of real maturity and is fundamental to win-win.

THE 7 HABITS OF HIGHLY EFFECTIVE PEOPLE


HABIT 5: SEEK FIRST TO UNDERSTAND, THEN TO BE UNDERSTOOD

Communication is the most important skill in life. You spend years learning how to read and write, and
years learning how to speak. But what about listening? What training have you had that enables you
to listen so you really, deeply understand another human being? Probably none, right?

If you're like most people, you probably seek first to be understood; you want to get your point
across. And in doing so, you may ignore the other person completely, pretend that you're listening,
selectively hear only certain parts of the conversation or attentively focus on only the words being
said, but miss the meaning entirely. So why does this happen? Because most people listen with the
intent to reply, not to understand. You listen to yourself as you prepare in your mind what you are
going to say, the questions you are going to ask, etc. You filter everything you hear through your life
experiences, your frame of reference. You check what you hear against your autobiography and see
how it measures up. And consequently, you decide prematurely what the other person means before
he/she finishes communicating. Do any of the following sound familiar?

"Oh, I know just how you feel. I felt the same way." "I had that same thing happen to me." "Let me
tell you what I did in a similar situation."

Because you so often listen autobiographically, you tend to respond in one of four ways:
Evaluating: You judge and then either agree or disagree.
Probing: You ask questions from your own frame of reference.
Advising: You give counsel, advice, and solutions to problems.
Interpreting: You analyze others' motives and behaviors based on your own experiences.

You might be saying, "Hey, now wait a minute. I'm just trying to relate to the person by drawing on
my own experiences. Is that so bad?" In some situations, autobiographical responses may be
appropriate, such as when another person specifically asks for help from your point of view or when
there is already a very high level of trust in the relationship.

THE 7 HABITS OF HIGHLY EFFECTIVE PEOPLE


HABIT 6: SYNERGIZE

To put it simply, synergy means "two heads are better than one." Synergize is the habit of creative
cooperation. It is teamwork, open-mindedness, and the adventure of finding new solutions to old
problems. But it doesn't just happen on its own. It's a process, and through that process, people bring
all their personal experience and expertise to the table. Together, they can produce far better results
that they could individually. Synergy lets us discover jointly things we are much less likely to discover
by ourselves. It is the idea that the whole is greater than the sum of the parts. One plus one equals
three, or six, or sixty--you name it.
When people begin to interact together genuinely, and they're open to each other's influence, they
begin to gain new insight. The capability of inventing new approaches is increased exponentially
because of differences.

Valuing differences is what really drives synergy. Do you truly value the mental, emotional, and
psychological differences among people? Or do you wish everyone would just agree with you so you
could all get along? Many people mistake uniformity for unity; sameness for oneness. One word--
boring! Differences should be seen as strengths, not weaknesses. They add zest to life.

THE 7 HABITS OF HIGHLY EFFECTIVE PEOPLE


HABIT 7: SHARPEN THE SAW

Sharpen the Saw means preserving and enhancing the greatest asset you have--you. It means having
a balanced program for self-renewal in the four areas of your life: physical, social/emotional, mental,
and spiritual. Here are some examples of activities:
Physical: Beneficial eating, exercising, and resting
Social/Emotional: Making social and meaningful connections with others
Mental: Learning, reading, writing, and teaching
Spiritual: Spending time in nature, expanding spiritual self through
meditation, music, art, prayer, or service

As you renew yourself in each of the four areas, you create growth and change in your life. Sharpen
the Saw keeps you fresh so you can continue to practice the other six habits. You increase your
capacity to produce and handle the challenges around you. Without this renewal, the body becomes
weak, the mind mechanical, the emotions raw, the spirit insensitive, and the person selfish. Not a
pretty picture, is it?

Feeling good doesn't just happen. Living a life in balance means taking the necessary time to renew
yourself. It's all up to you. You can renew yourself through relaxation. Or you can totally burn yourself
out by overdoing everything. You can pamper yourself mentally and spiritually. Or you can go through
life oblivious to your well-being. You can experience vibrant energy. Or you can procrastinate and miss
out on the benefits of good health and exercise. You can revitalize yourself and face a new day in
peace and harmony. Or you can wake up in the morning full of apathy because your get-up-and-go
has got-up-and-gone. Just remember that every day provides a new opportunity for renewal--a new
opportunity to recharge yourself instead of hitting the wall. All it takes is the desire, knowledge, and
skill.

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