Consumer behavior is the actions and decisions of people who purchase goods and services. It is an important concept for understanding marketing strategies, since it helps marketers to develop products that meet customer needs as well as influences their choice (Vashisth & Gaurav, 2017). Consumer behavior has continued to evolve over time due to various factors such as political-legal, economic, social-cultural, ecological, technological and business ethics. This paper will discuss how these factors affect consumer behavior towards Ford Mustang and influence their decision making process.
The political-legal factor includes policies, laws and regulations set by government bodies that could have a direct impact on consumers’ buying behavior (Zhao et al., 2018). For instance in India the taxation policies imposed on cars has been very high which puts off customers from purchasing big cars such as Ford Mustang. The economic factor involves income level of consumers which can be either high or low impacting their ability to buy certain products (Chakrabarti et al., 2016). Low income levels restricts customers from buying cars like Ford Mustang whereas high income levels enable them to buy luxury vehicles like this one. Moving onto the social-cultural factor; culture plays a major role in influencing consumer behaviour because it defines accepted norms of behaviour among different societies (Harrison & Himelfarb 2018). In some countries car ownership is seen as a status symbol where owning a Ford Mustang might be considered prestigious while other would not perceive it so highly due to cultural differences.
Examine how Political-Legal, Economic, Social- Cultural, Ecological, Technological and Business ethics factors influence the consumer’s decision-making process and the consumer behavior towards Ford Mustang.
The ecological factor deals with environmental conditions surrounding society that may have a positive or negative impact on consumer behaviour (Gundogan et al., 2019). For example if there are frequent traffic problems due to overcrowding then customers may opt out from purchasing luxury vehicles such as the Ford Mustang since they are more expensive and take up more space than smaller cars making them difficult to drive in cities with poor infrastructure. Additionally technology has created new ways for companies like Ford Motors communicate with potential customers through digital channels such demand websites providing information about features available in its products like mustang thus helping shape preferences of buyers (McCarthy & Koufaris 2019). Business ethics also affects consumer behaviour towards company’s product when scandals related unethical practices come into light; this could tarnish brand image leading people not wanting anything associated with brand including its products like mustang thereby reducing sales figures (Kerzner & Kerzner 2017).
In conclusion all these six factors discussed above play an imperative role in shaping consumer behaviors toward any product including mustang manufactured by companies like ford motors . Political legal requirements need to be followed while considering taxes etc during sale of car ,economic condition gives idea about affordability ,social cultural environment creates preference ,ecological situation provides insight regarding availability of resources ,technology helps creating hype around product using internet medium even before launch date while business ethics help maintaining trust between buyer seller relationship(Berger&Berman 2013)