Earlier in the text, individual difference characteristics such as personality were discussed. Do you believe that situational influences or individual differences have a greater effect on consumer behavior? Explain your choice and defend your position citing several examples.

Individual Consumer's (different) personal taste & preferences; situational factors [future expectations, economic activity, climate] effecting demand, consumer's theory.

Explanation:

Demand is the quantity of good buyers are able & willing to buy, at a given price & period of time.

Individual taste & preferences are an important factor effecting consumer's demand. If consumer's taste & preferences change in favour of good, the demand of that good increases. If consumer's taste & preferences change against a good, demand of that good decreases.

Situational influences also effect consumer demand. Level of economic activity, Future expectations about price or income rise or fall, climatic factors, urgency of the demand etc - all these situational factors influence demand. If prices are expected to rise in future, current demand increases & vice versa. If income is expected to rise in future, current demand increases & vice versa. At higher level of economic activity prevailing, demand is high & vice versa. Climatic factors also effect demand - eg air conditioners would be demanded more in summer rather than winter.