Assignment

Name : Kajale Anant

Roll No: MBA19027 IGBS

Assignment on Unit no 4:

"Describe from your own recent experience what factors led to problem
recognition in at least three different products or service situation (not
necessary purchases). Explain the similarities or differences that exists in these
situations."

Explain what happens when there is a stock out:

Stock outs are generally negative. If the consumer is committed to a choice, consumers
report lower satisfaction and higher likelihood to switch stores on subsequent trips. Retailer
needs a strategy to avoid stock out to keep sales, online fulfilment, bring from other store. It
could also be positive, in cases when the consumer is not committed to a choice, leading to
decreased decision difficulty

There are numerous situations that may cause consumer problem recognition to occur.
Although discussion of all the potential sources is impossible, we can present the most
significant reasons and explain briefly how each one might arise.
1.Planning Problems:
The problem occurrence is expected but immediate solution is not necessary but are
brought in anticipation of being used in the future,
For example:-Multiple companies have to manage funds due to this upcoming recession. So
these situations lead to problem recognition.
2.Depleted or inadequate stock of goods:
The consumer uses up the assortment of goods he has and must repurchase in order to re-
supply her needs. As long as there still is a basic need for the item, problem recognition
should result from its consumption. Sometimes the consumer’s stock of goods is inadequate
for even his everyday needs and may require a purchase.
For example:- I want to hang a Photo Frame but found that I don’t have the necessary tools
such as a drill and screwdriver.
3.Dissatisfaction:
The dissatisfaction with the present products also arises the situation for problem
recognition.
For example:- Using a shampoo but it does not provide the necessary effect thus a result of
this problem is resolved by purchasing some new type of shampoo.
4.Changing financial circumstances:
The financial status of the consumer has a very important relationship to problem
recognition. The present or anticipated financial picture may trigger problem recognition as
the consumer determines what purchases can be afforded.
For example:- Purchase of expensive Rolex Watch or mobile phone(APPLE) as a status
symbol.

Conclusion
Above situations above differ from each other as they were generated because of different
sector they belong ,it also depends on the situation depends upon the perspective of the
person as he/she may find them stylish and wearable and other person may not or any
other relevant problems.