Describe why the Tylenol tampering case is relevant to an understanding of consumer purchase decision-making
What will be an ideal response?
Marketers sometimes struggle to dispel negative perceptions, ideas or facts — mental files — consumers might hold in their minds about specific organizations and their products. Marketers cannot expect consumers always to feel positively about their organizations and families of products.
The source of negative opinions varies. They can stem from the marketer's history or certain experiences consumers have had with an organization or its product line. On occasion, competitors' marketing efforts may contribute to these perceptions or negative feelings may merely be a by-product of the general marketing environment. In certain instances, as in the Tylenol case described below, events overtake a marketer. Whatever the source, marketers must be alert to the existence of negative consumer perceptions and take steps to crystallize opinion in the opposite direction.
When Tylenol capsules laced with cyanide killed consumers in 1982, Johnson & Johnson was able to calm public fear and minimize criticism by taking several active steps to alter the perceptions that might have led to the demise of the product. First, the marketer recalled the entire product inventory from store shelves. Then Johnson & Johnson revised Tylenol's format and packaging in order to mitigate the possibility of future, similar incidents. The company announced these changes in a major communication campaign. That effort was intended to restore consumer trust in Tylenol by displacing negative mental files through actions and communications designed to rebuild confidence in the product.
You might also like to view...
On January 15, 2016, the accounts receivable balance was $7,000 and the balance in the allowance for doubtful accounts was $700 . On January 16, 2016, a $200 uncollectible account was written-off. The net realizable value of accounts receivable on January 16 immediately after the write-off is:
a. $6,300 b. $6,800 c. $6,500 d. $7,900
Companies whose securities are sold to the general public must adhere to standards established by the Securities and Exchange Commission
Indicate whether the statement is true or false
Use the information in Table 10.2. The total cost of the staffing plan, including the cost of regular wages, hiring, and layoffs using a chase strategy with hiring and layoffs but no overtime, is:
A) less than or equal to $42,000. B) greater than $42,000 but less than or equal to $43,000. C) greater than $43,000 but less than or equal to $44,000. D) greater than $44,000.
During the year, a firm purchased $256,900 of merchandise and paid freight charges of $36,870. If the total purchases returns and allowances were $13,690 and purchase discounts were $9,160 for the year, what is the net delivered cost of purchases?
A. $289,240 B. $270,920 C. $197,180 D. $298,300