Hence, by the process of perception we make sense of the world around us. Perception plays a pivotal role in an organization as it influences the following: Perception is an intellectual, psychological process which is subjective as individuals perceive similar incident differently. Expectancy effect: It is the tendency of an individual to interpret any person or object based on how he expects the person or object to be in the first place.Selective Perception: This means a person sees, feels or hears what he wants to and skips other information which are inconsistent to his view.Perceptual checking minimizes the negative effects of projection. Projection: It is a psychological defence mechanism which makes a person compare his negative traits with other people and conclude that they are better off than others.It affects the performance appraisal of employees in a company. A negative halo effect is known as the reverse halo effect. Halo effect: It is the process of generalizing from a comprehensive analysis to a single attribute or trait.It may affect the interview process in an organization. In reality, there is a difference between the perceived notion of each category and the actual traits of the members. Stereotyping: It is the effect caused by forming a certain belief about a category of stimuli and generalizing that notion to encounters with each member of that category.Recency effect, on the other hand, is that human beings remember latest events more than the less recent ones. Primacy/ Recency Effect: The first impression is given the most important which is known as the primacy effect.

It involves the following phenomena: primacy effect, selective perception, stereotyping, halo effect, projection and expectancy effect.

Interpretation: It is the formation of an idea about the information that is sensed, selected and organized.

Closure: It is the ability to organize stimuli so that together they form a whole pattern.

Proximity: This is the closeness of stimuli to one another that affects perception.

Grouping: Assembling of stimuli on the grounds of similarity.

Organization: It is the process by which we sort stimuli into a meaningful pattern.

Internal factors: These are attitude, motives, experiences, interests and expectations.

External factors: These are size, intensity, proximity, motion and novelty.

Selection: This is governed by two types of factors:.

In this case, consumers need to conduct their own research, taking into account information from various sources like the company’s marketing pages or customer reviews.

Reception: In this process, a person receives the information through stimuli. This consumer buying behavior involves expensive products, items that shoppers have no adequate knowledge about, or high-risk investments.

The factors which affect the perception are shown in the figure below: Process of Perception

Consumer perception definition pdf