Understanding Consumption in everyday life in Economic activity

Consumption
In everyday life, a term commonly associated with the consumption of food and beverages are required to perform certain activities. For example to hold a wedding, trip, or other activity bias section was set up in charge of taking care of household consumption of food and beverages.
In economics, the notion of consumption is not just limited to the issue of eating and drinking, but on all the necessities of life in the community, both physical and spiritual needs.

A. Understanding Consumption
Consumption is the use of goods and services directed to make ends meet. As we know, the necessities of life in the community is very diverse needs such as food, drink, clothing, housing, health, education, and entertainment. To meet the various needs of the necessary goods and services.

B. Characteristic of Consumer Goods
To understand the meaning of Customer goods we can follow some of the following descriptions.
  • Consumed goods are goods produced by the human use of land, air and sunlight, and other gifts of nature are not included in the definition of consumption.
  • Goods consumed directly aimed at meeting the needs of weeks to live. The use of hoes, saws, machinery, office buildings and other capital goods is essentially aimed at producing goods and services that can not be put in terms of consumption.
  • Goods will be exhausted or consumed gradually shrinks and eventually unusable.
From the above definition of consumer goods, the goods can be directly used to meet the needs of life are called consumer goods. Such items can be divided into two kinds.
  • Items that can be used just once, such as food, beverages, and pharmaceuticals
  • Items that can be used multiple times, such as clothing, home furnishings, and vehicles. Such goods are gradually shrinking or diminishing their role and eventually unusable.
C. Purpose of consumption activities
The objective is to meet consumption needs in person. That means, that the use of the goods outside of that purpose can not be included as consumption activities. For example, a vehicle can be used directly to make ends meet owners or leased to another person.
When used by the owner, kenderaanitu is Customer goods. However, if the leased vehicle is not a Customer item.

Cases like the above vehicles may occur in the home, furniture, party equipment, or other items are rented and the results used to make ends meet.
In such case, the goods are the means of production or capital goods.

D. Consumer behavior in consumption.
Behavior is essentially goal-oriented. In other words, the behavior is generally motivated by an activity to achieve any particular goal. Motivation of the people on the forces trgantung their motives. Basically, the motives or needs are the reasons that underlie behavior.

Needs or desires of each person very much. If the count will not inexhaustible. Therefore, the individual life is always faced with a range of alternative options and should exercise the option in connection with the limited resources available.
The concept of choice is a fundamental consumer behavior. Basic concepts of consumer behavior in general states that consumers are always trying to achieve the maximum satisfaction from the use of objects. Satisfaction or utility is the degree of how much of a good or service can satisfy the needs of a person or a measure of satisfaction received from users of goods or services.

Because it deals with a measure of satisfaction from the use of goods and services, utilities often referred to as use value. Every consumer has the satisfaction level of different, but each person will strive to achieve maximum satisfaction with income and limited by the price of goods.
Theory of consumer behavior using two approaches, namely the approach or approaches to the cardinal and the indifference curve approach or ordinal approach.