Consumer Behavior

What makes a consumer make the decisions he/she makes? Many factors are involved when a consumer makes a decision to purchase or to save. Does the future look good? The consumer has to take in account if he/she will have a job in six months. Also, how does the government economy look? If there are many disasters then the consumer is more likely to save then spend. The consumer is thinking for the future and if the future is looking grim then he/she is more likely to save.
a. Consumer Preferences
Every consumer has preferences on what product he/she will purchase. Some people like foreign goods as opposed to domestic goods. Some people have brand loyalty, some people prefer rock music to classical music. There are many personal preferences that would influence a consumer while making a decision to purchase a good.
b. Budget Constraints
A factor that will influence a consumer on making a decision is whether or not he/she can afford the good. There may be a person who loves Lexus cars but simply cannot buy the car because it doesn't fit in the budget.
c. Consumer Choices
People will always purchase things that they think will make them happy. The choices the person makes must be in the boundaries of the budget and will be in the boundary of the consumer's preferences.