Models of Consumer´s Choice

 
The article is concerned with the consumer’s choice models and with the determining factors of
his/her behaviour particularly according to the attitudes of a neoclassical theory and its modern
modifications, which are compared with the concepts of other authors. It contents a short summary
of important concepts of a consumer’s choice analysis. The goal of the article is to give a basic
survey of attitudes to the analysis of consumer’s behaviour. However, it is especially concerned
with the possibilities of the marginalist analytical apparatus use in a consumer’s choice.
Consumer’s preferences are viewed as exogenous variables in a neoclassical theory. They are
not explained in a framework of the concept but are viewed as given ones. Methodological
individualism, rational behaviour, equilibrium and perfect information of a consumer are next
features of this concept. Simple precautions are a necessary condition for the model application.
Methodological individualism means that principles of individual subjects behaviour are the
most important determining factors of model functioning. These subjects abide by the principle of
total utility maximizing in given conditions. The concept of equilibrium is static. Perfect information
precautions need not be necessarily fulfilled because contemporary concepts of consumer’s
behaviour function in the conditions of risk and uncertainty.
Institutional concepts of consumption are derived from T. Veblen’s theory of leisure class
consumption. Preferences are influenced by the position of a consumer subject in the social
hierarchy. Not only preferences, resources and individual behaviour but also social institutions are
important factors of consumption in institutionalist concepts. Consumption is also viewed as social
behaviour. Psychological aspects of consumer subjects behaviour are also important.
The article is concerned with the consumer’s choice models and with the determining factors of his/her behaviour particularly according to the attitudes of a neoclassical theory and its modern modifications, which are compared with the concepts of other authors. It contents a short summary of important concepts of a consumer’s choice analysis. The goal of the article is to give a basic survey of attitudes to the analysis of consumer’s behaviour. However, it is especially concerned with the possibilities of the marginalist analytical apparatus use in a consumer’s choice.

Consumer’s preferences are viewed as exogenous variables in a neoclassical theory. They are not explained in a framework of the concept but are viewed as given ones. Methodological individualism, rational behaviour, equilibrium and perfect information of a consumer are next
features of this concept. Simple precautions are a necessary condition for the model application. Methodological individualism means that principles of individual subjects behaviour are the most important determining factors of model functioning. These subjects abide by the principle of total utility maximizing in given conditions. The concept of equilibrium is static. Perfect information precautions need not be necessarily fulfilled because contemporary concepts of consumer’s behaviour function in the conditions of risk and uncertainty.

Institutional concepts of consumption are derived from T. Veblen’s theory of leisure class consumption. Preferences are influenced by the position of a consumer subject in the social hierarchy. Not only preferences, resources and individual behaviour but also social institutions are important factors of consumption in institutionalist concepts. Consumption is also viewed as social behaviour. Psychological aspects of consumer subjects behaviour are also important.