Does Economical Crisis Effect Consumer Behavior Dissertation

Does Economical Crisis Effect Consumer Behavior - Dissertation Example This study will greatly benefit different parties for instance; current investors, potential investors, scholars, the government and consumers themselves. The current players in these industries will be able to gain knowledge on how their products are faring in the market and with this they are able to develop strategies on how to improve their position. To scholars, this study will enable them to gain knowledge as well as understanding as to why luxury brands are still being purchased despite the economic crisis. The government will also gain a better understanding of the standards of living and with this develop suitable policies. For the potential investors, they are well-equipped to make decisions concerning venturing into such industries. Lastly, the study will also provide essential data.The ImpactAccording to Smith (2009), as most consumers struggle to fit in the economic crisis, most companies have realized the opportunity for capturing the changing consumers’ profile. This is by offering lower priced products, a strategy for continuity and winning consumers. Sullivane (2008) informs that new products should enter the market at low prices and be promoted through special offers or free samples. Not very long ago, luxury was beyond most people’s reach and it was mostly available to the elite. For example, Louis Vuitton was once renowned for making products solely for European aristocrats. Compare this to the current situation where its logo-ridden products are worn the world-over by teenagers.