In response to Chris' post...

"Do you think price is always an important role? Or does it sometimes not matter? How important is it for a company to scout out competitor's prices and adjust as needed?

I believe price is a very important component to a company. It tends to be the main driver to the overall success of a company. Many consumers, especially in today's economy are looking for the lowest prices with any product they purchase. For example, if a consumer sees that Hannaford's is selling a jar of peanut butter for $4, but is a loyal customer at Shaw's where the peanut butter is $5.50, the consumer may begin to think that products at Shaw's may be overpriced. Therefore, it is important for a company to check out the competitor's prices, that way they can either match the competitors or lower their prices. I personally always look for the lowest prices, especially when it comes to products in the grocery store. Price is something that affects any consumer, therefore it should be one of their main concerns when purchasing a product. When buying a product of more value, such as a car, the consumer is most likely going to shop around and learn about the features being offered for a variety of cars. People want the most for their money, because money is such a scarce asset these days.

Do you think companies such as Shaw's and Hannaford's should put into effect the "matching" rule, where they match the competitor's prices? Or do you believe that will have a negative effect on the overall profit?

"Can't Buy my Love"

Currently I am reading a book named, Can't Buy my Love, by Jean Kilbourne, and it is about how advertising changes the way we think and feel. The book talks about thousands of different radio, television, magazine and newspaper ads that have been published in the past few decades. I was astonished to read about the basis behind some of the advertisements.

One of the most surprising categories I read about was automotive sales advertisements. Many ads today represent the car as not only a sex symbol but also a substitute for sex. Some of the ads read as followed; "after Lumina satisfies what you need, it quickly responds to what you want." A Mercedes-Benz ad picture Marilyn Monroe's face with the Mercedes symbol replacing her famous mole above her lip. A Toyota Celica was described as having "vivacious curves, a shimmering body and .. striking good looks." It is amazing that one -third of the land in our cities is devoted to cars and that Americans today are spending more money on driving each year than on health, education or food. Automotive marketers are spending $12.8 billion a year in media. What I found to be even more shocking was that the top three automakers were spending over six billion dollars a year on advertising. Some of the automotive ads go beyond comparing a car to a partner, but compare your child to your car. One ad featured a wallet with a picture on each side when you opened it, one of two children and a dog and another of a car. The caption below the picture reads, "if anybody should ask, go ahead and show them your pride and joy. The Civic 4-Door." At first glance of that ad someone would probably think the ad is referring to the person's children, but in-fact the ad is referring to their car because cars are much less trouble compared to children.

The book does an efficient job of demonstrating how advertising does influence everyone whether they realize it or not. Companies are spending over $200 billion a year on advertising, $250,000 just to produce an "average" commercial, so whether you like it or not these advertising are reaching you, and making you think in a different fashion. Marketers have a strapping set of skills which allow them to draw consumers in without making them feel as though they have been "captured" by media. What do you think? Do you think some advertisements are inappropriate or are they just adding humor to attract more consumers? Do you feel like you personally are affected by advertising?