Title: Situational Factors That Affect People’s Buying Behavior
Headings: 3.2
Situational Factors That Affect People’s Buying Behavior

3.2 Situational Factors That Affect People’s Buying Behavior
Learning Objectives
The Consumer’s Physical Situation
The Consumer’s Social Situation
Video Clip
The Consumer’s Time Situation
The Reason for the Consumer’s Purchase
The Consumer’s Mood
Key Takeaway

Content: Have you ever left a store and not purchased anything because it was just too crowded? Some studies have shown that consumers feel better about retailers who attempt to prevent overcrowding in their stores. However, other studies have shown that to a certain extent, crowding can have a positive impact on a person’s buying experience. The phenomenon is often referred to as “herd behavior.” If people are lined up to buy something, you want to know why. Should you get in line to buy it too? Herd behavior helped drive up the price of houses in the mid-2000s before the prices for them rapidly fell. Unfortunately, herd behavior has also led to the deaths of people. In 2008, a store employee was trampled to death by an early morning crowd rushing into a Walmart to snap up holiday bargains. To some extent, how people react to crowding depends on their personal tolerance levels.