Consumer Behavior and Risk Mitigation in Cryptocurrency Use

Consumer behaviour

Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY..................................................................................................................................3
Consumer behaviour theory.........................................................................................................3
2a Risk involved in cryptocurrency use.......................................................................................4
2b buyers mitigate the risk in consumer buying process.............................................................5
CONCLUSION................................................................................................................................6

INTRODUCTION
A consumer behaviour can be defined as a study of human behaviour, group and organization
where all the activities are associated with buy, sales and use disposal of goods and services.
Moreover, the consumer behaviour may include their emotions, preferences and attitude that gets
affected due to buying behaviour of the company. This report is the based on the cryptocurrency
case study (Ter Ji-Xi, Salamzadeh and Teoh, 2021). Crypto can be defined as a accumulation of
the binary data that is designed to perform as the medium of exchange. This report will cover the
consumer research theory that is phycology. Further, it also evaluates the risk which are involved
in the cryptocurrency. This will also analyse how buyers can mitigate the risk in the consumer
buying process.
MAIN BODY
Consumer behaviour theory
Consumer behaviour is the study of group, individual person and organization. It is also analysed
how consumer emotion, attitude and preferences affect the buying behaviour of the company.
Psychological theory: this theory includes different factors that is perception, personal attitude
towards the situation and the ability to understand information (Ter Ji-Xi, Salamzadeh and Teoh,
2021). Moreover, the motivation also affects the behaviour of the consumer.
Motivation: it is the most important and the primary factor of the phycological factor. As
motivate affect the buying behaviour of the consumer. Moreover, it has explained in the mallow
hierarchy theory that motivation drives people to satisfy their needs. While buying the
cryptocurrency, consumer analyse their need and wants to make huge profit before taking any
decision to purchase.
Perception: perception also play crucial role while purchases any product. What is the consumer
view towards the product and services? If it is positive then consumer automatically purchase but
if it is negative then the consumer will not prefer to buy it (Breidbach and Tana, 2021).
Moreover, perception is the process in which best product get selected out of the available
alternatives. Customer positive and negative perception plays crucial role in purchasing
cryptocurrency.
Learning: the individual learning also plays crucial role while selecting any product. Consumer
learning is totally depended on its interest and skill and knowledge. This skill or knowledge get