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A DISSERTATION REPORT On

A study on consumer behaviour toward imported product .A study of Chinese product vs domestic product)

SUBMITTED IN PARTIAL FULFILLMENT FOR THE AWARDS OF DEGREE OF MASTERS OF BUSINESS ADMINISTRATION (M.B.A) (SESSION 2012- 2013)

Under the Supervision of: Mr .Mayank pant Sr. Lecturer U.I.M.

Submitted By:Trilok singh karki M.B.A. 4rd SEM

UTTRANCHAL INSTITUTE OF MANAGEMENT DEHRADUN

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(AFFILIATED TO UTTARAKHAND TECHNICAL UNIVERSITY, UTTARAKHAND)

CERTIFICATE

I have the pleasure in certifying that Mr. Trilok singh karki is a bonafide student of fourth 4TH semester of the Masters Degree in Business Administration of Uttaranchal Institute of Management, Dehradun under Class ID No MBA-14121112102. He has completed his Summer Training Project work entitled A study on consumer behaviour toward imported product .A study of Chinese product vs domestic product under my guidance.

I certify that this is his original effort and has not been copied from any other source. This project has also not been submitted in any other university for the purpose of award of any degree. This project fulfils the requirement of the curriculum prescribed by Uttarakhand Technical University, Dehradun for the said course.

Signature:

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Name of the Guide: Mr. Mayank pant Date: .

DECLARATION

I declare that the Dissertation Report A study on consumer behaviour toward imported product .A study of Chinese product vs domestic product is a record of independent research work carried out by me during the academic year 2012-13 under the guidance of my faculty guide Mr. Mayank Pant of Uttaranchal Institute of Management. I also declare that this dissertation is the result of my effort and has not been submitted to any other University or Institution for the award of any degree, or personal favour whatsoever. All the details and analysis provided in the report hold true to the best of my knowledge.

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TRILOK SINGH KARKI

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PREFACE

This Research is a part of my DISSERTATION REPORT is an integral part of every M.B.A course. We cant rely merely upon theoretical knowledge. It is to be complemented by practical know how for it to be fruitful. A positive and correct result of the classroom learning needs realities of practical situation.

The report submission enables the management students to themselves work in research by them own for getting benefit in the future. It gives them real feel of research work, which helps them to better equip themselves with the required skills. I got the opportunity to complete research work on A study on consumer behaviour toward imported product .A study of Chinese product vs domestic product. In particular I was lucky enough to be part of study and I was assigned to do some research regarding the strategy formulation for marketing of the product/services of the institute. It has been a great learning experience for me.

The study would not have been possible without the unconditional guidance and support of my guide.

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TABLE OF CONTENTS

Acknowledgement Introduction Literature survey Objective of the research Research Methodology Data interpretations Findings of study Limitation Conclusions Bibliography

6 7-19 21-31 32 33-36 37-43 45 46 47 48

Questionnaire

49-51

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ACKNOWLEDGEMENT

I express my deepest sense of gratitude the GOD almighty for the abundant blessing without which the study would have never been light of the day. I hereby acknowledge my sincere gratitude to the U.T. University and the Management for giving me an opportunity to undergo MBA Degree Course and to undertake this project work successfully. I wish to express my deep sense of thanks to our HOD Mr. Saurabh Joshi. I owe my reverential gratitude faculty guide Mr. Mayank Pant for her valuable guidance and suggestions rendered at each stage of the project. Last, but not Least I would like to acknowledge the wholehearted support of my parents, faculties, and friends who helped me at various stages in completing this work successfully.

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CHAPTER-1

INTRODUCTION TO THE TOPIC


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INTRODUCTION:
Why marketing mix mapping for lenovos computers.
In the 1980s, with economic reform in progress, the Chinese government hired Liu Chuanzhi to distribute imported computers. Liu founded Lenovo in 1984 with a group of ten engineers in Beijingwith 200,000 yuan. Their first significant effort, an attempt to import televisions, failed. The group rebuilt itself within a year by conducting quality checks on computers for new buyers. Lenovo soon started developing a circuit board that would allow IBM-compatible personal computers to process Chinese characters. This product was Lenovo's first major success. In 1990, Lenovo started to manufacture and market computers using its own brand name.[6] Lenovo officially claims that it was founded on 1 November 1984. Lenovo's incorporation was approved by the Chinese government on the same day. Jia Xufu, one of the founders of Lenovo, claims the first meeting in preparation for starting the company was held on 17 October of the same year. Eleven people, the entirety of the initial staff, attended. Each of the founders were middle-aged members of the Institute of Computing Technology, Chinese Academy of Sciences. The 200,000 yuan used as start-up capital was approved by Zeng Maochao. The name for the company agreed upon at this meeting was the Chinese Academy of Sciences Computer Technology Research Institute New Technology Development Company.

2. Design of the study:


1. To know the perception regarding the brand lenovo. 2. Marketing mix mapping for lenovo in computer segments.

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3. Identify and monitor competitors marketing strategies and activities:


The Strategic Marketing Management Analysis of Lenovo GroupWang, Wen Cheng, Dept. of Business Management, Hwa Hsia Institute of Technology, TaiwanChu, Ying Chien, Department of Tourism and Leisure, National Penghu University,TaiwanChen, Ying Chang, Department of Hotel and Restaurant Management, Ching Kuo Institute of Management and Health In recent years, market competition in the market economy is fierce, the different economic performances and behaviors based on the enterprises own interests, to enhance their own economic strength and to achieve the exclusion of similar economic agents. Competition in the IT market is to drive their own material interests, because of the inherent dynamic of all economic actors, as well as the loss of their material interests are similar in the market bycrowding out of economic actors. But How a newly established global brand build its brand awareness and be a successful global brand become a critical issue. 2005, Lenovo PC merge IBM computer and become the No.3 computer company in the world. As for Lenovo Group, in order to achieve success in the fierce competition of the products market it needs effective marketing strategy to attain profit and improve its development in Chinese IT market.The Lenovo Group operating activities are often completed through marketing products, producing, research, marketing portfolio. The Lenovo Group product and the quality of products constrain the results of pricing, promotion, and marketing. Therefore, the Lenovo Group managers attention should also be given to brand-name marketing, addition to make efforts in the flexibility of the marketing. Marketing strategy, especially the brand strategy is the real insight beyond product and services specific forms, and can be able to give consumers the direct interests, the image of the expression. To establish the product brand, it should be to establish the Lenovo Group brands, because good corporate image is the fundamental point of the brand building. This research is going to present the conclusion of a set of practical marketing modules applied in the IT industry; it will further enhance the Lenovo Group marketing in the computer market. Keywords: marketing strategicLenovo Groupglobal brandIT industry Merge has become a common and efficient strategy for a local company to become global brand. But How a newly established global brand build its brand awareness and be a successful global brand become a
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critical issue. (Chen, 2006) Along with Chinese economic and political reform getting thorough, the society has changed huge; the development of Lenovo is facing the unprecedented opportunity and the challenge. According to the basis characteristics of macroscopic external environment, if Lenovo wants to develop, it must reform the management system, establishes the unification guiding ideology and the reasonable management mechanism, and adopts strengthened core competitive power, market development, and product development etc. integration strategy. Only then can consolidate the leading position of Lenovo, win in the intense extracurricular market competition, and receive the good social efficiency and the economic efficiency.Study on Lenovos developmental strategy plan is the application and development of strategic management theory in Lenovo Company. By analysis of internal the external environment and study the future development direction of Lenovo, this article has utilized the knowledge and method of the economic, the management, the marketing, the pedagogy etc to make a localization for future development and propose the strategy plan and tactics conception localization of Lenovo. During try to instruct practical work of our national Lenovo, this article also developed some new thoughts about the strategic management content. The Introduction of the Lenovo is one of the largest famous personal computer makers in the world. Today, Lenovo strives to be the global market share leader in each of the market we serve. On September 24, in 2004, Lenovo purchased the personal computer business and the brand ThinkPad famous computer IBM in the IT industry all over the world. This landmark transaction is taken as its most important stage of the international strategy in the computer industry. This marks the trinity Lenovo's internationalization strategy has risen to a new stage, which indicates that Lenovo already in the United States established a brand-name image localization. Now, the Lenovo has become the global application company (sales) that have their own package plants in more than 7 countries and cooperation plants in many countries and make the local enterprises business license and distribution contract. Lenovo is also one of the major global companies (sales), and it has its own production plants in 7 countries, its products are marketing in nearly 80 countries. Analysis of the Marketing and Management CapabilitiesIn the domestic market, according to statistics of Zhong Yikang Company: Lenovo is actually the first brand in Chinese IT industry: Lenovos overall share of computer market in China has reach ed 21%, significantly ahead of competitors; Lenovo has a monopoly status in the personal computer market; Lenovos personal computer market share is 24%, which is much higher than the internationally recognized
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monopoly; Lenovo also surpasses in the business computer market; Lenovos business computer market share is 14%, which is higher than domestic computer suppliers and the strong brand ranks the first. In the international market, Lenovo has three products occupy the first three positions in the world market share of the computer industries. According to the results of the latest survey of the global authority consumer market survey and analysis institutions, EUROMONITOR show that on turnover statistics, the Lenovo Group ranked the third in the world personal computer manufacturers, Lenovo's goal is to become the world's first personal computer manufacturers in the near future.

SWOT Analysis of Lenovo

In order to propose and justify a forward strategy for Lenovos goods, we use the method of SWOT (strength, weakness, opportunity and treat) to analysis the Lenovo in the follow: Table 1: SWOT Summary of the Lenovo

STRENGTHS WEAKNESSES

- The Lenovo goods and services have good quality - The brand recognition and traditional reputation of Lenovo are very good - Expanding global markets strategy of the marketing - The diversification of products - Owns very convenient and beautiful images - Good public relationship and sponsorship
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- Single marketing channel, the products and services are mainly sold by monopolized stores - Large number of product lines lie in the expansion of overseas - Product styles are too fewer to choose - Marketing sources are not rich - Prices are not cheap - Takeover Lenovo to become the largest computer seller - Specialty business computer industry takes larger market in the world - European countries market exploration, such as England, France, Italy, Germany, and so on - Division of products - There are too many cheap products appearing in the world - Competition from other shoppers embedding on form factors more pleasing to the consumer - The market protect in some countries is strong - Foreign exchange rate fluctuations

OPPORTUNITIES THREATS

Today, Lenovo continues to carry out the proud tradition of the good product and services quality founded by Lenovo long time ago that will be of great benefit to companies in the coming years. And the purpose of this Lenovo tradition pioneered by Lenovo is just the best quality of raw materials, the production of the best quality products. Miles & Snow(1978) proposed that the organization for changes its product/market in accordance to the environment change the degree, does for the enterprise strategy classified datum, stressed that the organization to the changeable environment's response including (1) defender (Defenders), its goal is standing
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firm the existing customer, the maintenance present market share, therefore pays great attention in the narrow product/market domain, favors does not surmount the original scope to seek for the new opportunity; (2) explorer (Prospectors), its goal grows in the pursue product/market's innovation as well as the expansion, therefore, seeks the market opportunity continually, favors holds the post of the change in the industry innovation (Creator); (3) assayer (Analyzers), its goal in the choice by the explorer was confirmed that has the development potential the new domain to promote the improvement fast the new product, therefore, is the fore-mentioned two kind of syntheses, moreover is in a product - market change domain manages (4) reactor (Reactors) in a relative stabilization, lacks the consistent strategy, is only makes the simple response to the environment pressure.With an increasingly competitive market, competition among enterprises gradually evolved from short-term competition to long-term competitiveness, that is no longer focused on a certain stage, winning or losing the competitiveness of certain products, and to focus on the product, pricing, marketing, promotion strategy, combined with a clear positioning of the brand strategy to accumulate, fostering sustainable market advantage. Although Lenovo is already the leading enterprises of computer industry in the world, however, in the face of other powerful and internationally renowned brands, it still appeared too weak and feeble in the industry.

The Marketing Mix: Ingredients for Success


The marketing mix, earlier known as the 4 Ps, (but now has a few more), is a vital part of any marketing strategy. This is a tool whereby the marketer takes decisions on what and how a product should be, where it can be sold, how it should be priced, how it will be promoted, how to equip the people who are responsible for selling the product and so on. Getting the marketing mix right is equally important for the large corporation and the small business owner. One of the most critical marketing management decisions is that decision of setting the marketing mix values, and selecting and employing strategy that periodically changes that marketing mixes in response to changing business environment. The marketing mix problem involves setting the values of the marketing decision variables; the four Ps; namely, Product (its quality), Price, Place (distribution and sales-force expenditures) and Promotion (advertising,
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selling). Developing an effective marketing mix is important for product planners seeking to gain competitive advantage in industrial markets. The decision regarding specifying the marketing mix depends on a set of variables, such as competitor's price, competitor's product quality, competition level, forecasted sales and others. These types of variables necessitate adoption of appropriate approaches that can deal with such variables' nature marketing mix mapping is a step done to achieve this. Product: A lot of thought and effort goes into designing a product offering. The most important question, as a marketer, a person need to ask is whether there is a need for that type of product and how this product satisfies that need better than those of their competitors. This will force to think of why that product is unique, and thereby help to evolve that products Unique Selling Proposition. Price: This element of the marketing mix can be many a strategys undoing. A complete understanding of the financials that drive a business is essential before deciding a pricing strategy. Base your decision after considering the following what is the perceived value of your product in the eyes of the customer? How price elastic is the market? Do you wish to load overheads on to the new product, if an existing product line is capable of absorbing them? What is your objective do you plan to gain market share on the strength of a rock bottom price or do you wish to create a premium image targeted at niche customers and price your product accordingly? Place: This is probably that element of the marketing mix that has undergone a complete change in definition. Traditional trading and distribution models have given way to remote or virtual channels. While reaching the customer may have become simpler, your job as a decision maker has become that much more complex. You now have a plethora of options to choose from do you go for brick and mortar or direct mailing, use the phone or sell door to door? This decision should, first and foremost, be driven by customer preference and then by other considerations like logistics and economics. Indeed most businesses rely on a multi distribution channel strategy. Promotion: In a commoditized industry, this is what makes the essential difference. Possibly no other marketing mix element draws as much attention from strategy makers. Again, let consumer
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needs drive your efforts. Does your marketing communication address a specific need of the target audience? Is the message memorable? Does it spur action? Here again, the entire landscape has changed from what it was a few years ago. Promotion has gone way beyond mere advertising and public relations it is now a highly evolved process, ranging from live events to internet marketing. In these times of information overload, promotion strategies must pack sufficient punch to cut through the clutter. The marketing mix is a dynamic entity and needs to be reviewed and refined periodically. It always helps to stay in touch with the latest developments. Marketing mix mapping for the brand is done to know the standing of the brand mapped with their competitors with respect to essential element of marketing mix i.e., product, price, place, and promotion. It ensures Studying marketing mix strategies of the brand mapped and reviewed and refined periodically according to market condition and competition comparative mapping with other major players in the market, finding loopholes and building effective marketing mix strategy for Lenovo computer segment.

Industry structure and development


Lenovo in order to achieve the goal from China brand to international brand, first of all, choose to become a sponsor of the Olympic Games. Because the Olympic games partners, especially the top sponsors, Lenovo may through a variety of ways to obtain global attention on the Olympic games ,and to achieve branding more convenient on many occasions. IOC top sponsor global partners a total of 11, Lenovo became one of the first enterprise of China. In Turin Winter Olympics, Lenovo planned a series of brand promotion activities. Product promotion on the one hand, and on the other hand is a whole brand marketing. Sponsor the Olympic Winter Games, Lenovo has all round display their strength, also is more recognized by own strength .In addition, Lenovo opening up world markets by international sports star endorsements, as well as cooperation with famous events. 2006 football World Cup, Lenovo signed Brazil star Ronald in
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ho as agents of new products. After the contract signing Ronald in ho, in some emerging markets, such as India, Ronald in ho endorsements by LENOVO 3,000 laptop sales growth almost was 100%. From these data, Ronald in ho endorsements influence on Lenovo brand and market lead to a substantive breakthrough. The same year, Lenovo and NBA signed a several year global marketing co-operation agreement, both in cooperation between marketing in China and USA, Lenovo will have the right to use on the NBA Logo and star image on the own product, also with NBA star come to China, NBA China Games and other activities for marketing to China. After this series of sports marketing, to enhance Lenovos brand image and spur business growth, improve employee morale.

Lenovo Group
2 . LENOVO GLOBALIZATION DEVELOPMENT PROCESS
One of the essential conditions og globalization is that has a global passage of brand identifi es, but Lenovo followed 18 of English identifies legend has been rushed in multiple national. Lenovo PR announced of a copies information displayed, although Lenovo famous rate has up 90% in China domestic consumer , but in face what do you think Lenovo of brand representative?, different consumer answers is not same. Against this background, Lenovos decision to launch a new global brand and thorough combing and system promotion to Lenovo brand architecture. In 2004, Lenovo formally was renamed Lenovo from Legend. On March 26, 2004, Lenovo made a significant strategic change: ending of a three-year of services, high technology and global to target strategic restructuring, return to manufacturing. Lenovo had been made market share of around 30% in the area of China PC, but how to breakthrough growth is Lenovos new problems encountered. Lenovo face two choices, fi rst, globalization, exploring the PC business in the global market; the second is diversified, exploring new business in the Chinese IT market, such as communication businesses and IT services
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businesses. Has gone through a period of adjustment and select, Lenovo chose globalization. On December 8, 2004, Lenovo purchased IBMs global PC business for $ 1.25 billion, became the worlds third-largest PC maker, with 19,000 employees worldwide, manufacturing and logistics base in China, the United States, England, India, and Malaysia, and Japan and Australia and so on. In November 2005, Lenovo announced dual-branding strategy to abandon IBM and Levono earlier, started to implement brand strategy as Levono brand in the world, hoped that by virtue of the geographical advantages of the fast-growing Asia-Pacific market, through channel integration became overlord of PC machines in the world. On April 28, 2006, Lenovo officially announced and Spain Barcelona deal, its star Ronaldinho to be global brand image representative of the Lenovo Group, Lenovo then launched a campaign global branding around Ronaldinhos in China and overseas markets. But Lenovo faced a huge challenge in the global PC market. In 2006, major changes in the global PC market. Owing to the global PC market through a business market of severe recession, specializes in this area of Dell and Lenovo THINK departments are in a difficult situation and specializes in transactional business HP had a lot of\ benefi t , replace Dell as the new Overlord PC in the world. According to two leading research fi rms IDC and Gartner, released in April of this year according to the ranking of the worlds 5 largest PC vendor in the first quarter, HP continued to occupy the fi rst position, followed by Dell, Acer and Lenovo, the fifth is a Toshiba. Acer beyond Lenovo has become the worlds third largest PC vendor.

ANALYSIS OF THE GLOBALIZATION STRATEGY OF LENOVO


Global Investment Strategy
Lenovo carried out mergers and acquisitions for its investment strategy of globalization. Lenovo acquired IBMs personal computer Division, established the worlds third-largest PC vendor, the acquisition of transactions total approximately US $ 1.75 billion. After completion of the
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acquisition of the new Lenovo Group, its global headquarters in New York, the main operation center was established in Beijing and Raleigh (in the United States, North Carolina). Two years after the implementation of investment strategies, Lenovo has established branch offices in 60 countries around the world, in 160 countries sales network worldwide. Lenovo has the leading business notebook products, leading research and development capacity and product differentiation, with more innovative products capacity and more powerful combinations. Lenovo and IBM formed a long-term strategic alliance, IBM become the preferred service provider and customer fi nancing for Lenovo, Lenovo become IBM PC vendor of choice, so IBM can provide their enterprise customers with a variety of PC solutions. After Lenovo completed its acquisition of the IBM personal computer sector, three overseas private investment companies for 350 million dollars to fund the new Lenovo. At this point, Lenovo not only achieved a globalization, equity ownership in terms of products, marketing networks, but also achieved globalization of financing and other aspects. Global Brand Strategy Lenovos brand strategy is to provide premium products and supported by excellent service for customer. In 2005, the world prestigious financial press--United Kingdom financial times published Chinas list of the top ten international brands award, Lenovo in second place, and in current Chinese enterprise in the international ranking of leading brands,Lenovo still ranked second.After acquisition of the IBM PC ,Lenovo fi rst of all is to use the dual-brand strategy. LENOVO popularity is relatively abroad, but THINK is very well known abroad. So, LENOVOs strategy is to enhance brand visibility in a foreign country, with the help of IBM brand explore the Copyright Canadian Academy of Oriental and Occidental Culture 88 Analysis of Lenovo Globalization Strategy and Enlightenment to Chinese Enterprises international market, the THINK brand construction Center is to improve its reputation. And Lenovo began to try to play down the IBM trademark, it is Lenovos ultimate goal that raised LENOVO brand and play down the IBM trademark at the global.

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Global Marketing Strategy


Lenovo in order to achieve the goal from China brand to international brand, first of all, choose to become a sponsor of the Olympic Games. Because the Olympic games partners, especially the top sponsors, Lenovo may through a variety of ways to obtain global attention on the Olympic games ,and to achieve branding more convenient on many occasions. IOC top sponsor global partners a total of 11, Lenovo became one of the fi rst enterprise of China. In Turin Winter Olympics, Lenovo planned a series of brand promotion activities. Product promotion on the one hand, and on the other hand is a whole brand marketing. Sponsor the Olympic Winter Games, Lenovo has allround display their strength, also is more recognized by own strength. In addition, Lenovo opening up world markets by international sports star endorsements, as well as cooperation with famous events. 2006 football World Cup, Lenovo signed Brazil star Ronaldinho as agents of new products. After the contract signing Ronaldinho, in some emerging markets, such as India, Ronaldinho endorsements by LENOVO 3,000 laptop sales growth almost was 100%. From these data, Ronaldinho endorsements infl uence on Lenovo brand and market lead to a substantive breakthrough. The same year, Lenovo and NBA signed a severalyear global marketing co-operation agreement, both in cooperation between marketing in China and USA, Lenovo will have the right to use on the NBA Logo and star image on the own product, also with NBA star come to China, NBA China Games and other activities for marketing to China. After this series of sports marketing, to enhance Lenovos brand image and spur business growth, improve employee morale.

Globalization Intellectual Property Strategy

In the research and development stage, Lenovo is now running technical innovation system II, strongly supporting the technology transfer so that it becomes more smooth. Lenovo Research Institute, the Center for software design and industrial design center, a fi rm-level innovation platforms form the fi rst level of the platform, starting point of research and development is focused on those technology that can play a key role in the future development of the enterprise,
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and for the continuing value of the enterprise technology; And research and development institutions of the business unit level is the second-level platform, complete the relevant technology applications, products, technology is within one year of the study. Two-level research and development, under together with the companys long-term strategy and short-term patent strategy, achieve interaction between technology and market. In the course of research and development, Lenovo implemented a strict management system of intellectual property. In international trade, purchase of existing intellectual property rights of others is common form of international technology transfer and intellectual property strategy. Lenovos acquisition to IBMs PC business is mainly to get the IBM brand and core technology of IBM notebook. Through mergers and acquisitions, Lenovo has not only a high-quality research and development team of more than 2000 people, won the worlds most advanced PC technology, and have more than 5,000 patents, resulting in the huge innovation resources for enterprises in a short period of time. Lenovo as the leader of Chinas IT industry, it has been through cooperation between upstream and downstream enterprises in industry, full implementation of intellectual property rights protection. On April 18, 2006, Lenovo and Microsoft enter into genuine operating system authorization agreement, amounting to more than US $ 1 billion, is one of Chinas largest-ever contract of intellectual property rights. This initiative has opened up an effective way to block piracy and protect intellectual property rights, plan is implemented in just two months, Lenovo supporting sales of 600,000 set of Microsoft operating systems. At the same time, Lenovo purchases up to about $ 10 billion for Microsoft in global.

LENOVO GLOBALIZATION BRING ENLIGHTENMENT TO CHINA

Significance of Chinese Enterprises Globalization Strategies

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As Chinas economy technology development level raising, and globalization strategies for Chinese enterprises is dominated by Chinese companies, is a transnational integration model of service in Chinas corporate strategy. After the Chinese economy develops to a certain stage, in terms of market development space, optimize the industrial structure, access to economic resources, to seek technical sources, also breakthrough trade protection barriers, cultivation of Chinese large multinational companies with international competitiveness, globalization is an inevitable option. In addition, after China joins the WTO, both from the need for national development strategies, improve international relations, or from Chinas foreign exchange reserves, part of the economic, technical and managerial capacity of the enterprise have the basic conditions for the implementation of the global strategy. Chinese businesses need to continue to boom , Chinese enterprises must adopt 89 Copyright Canadian Academy of Oriental and Occidental Culture SUN Jing (2012). Canadian Social Science, 8 (2), 86-89 a global strategy, and eventually through the globalization strategy of China enterprises, also will be become the most successful companies in China

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CHAPTER-2 LITERATURE REVIEW

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LITERATURE REVIEW

Consumer Behaviour Christopher (1989) studied the shopping habits of consumers to form an idea of whether or not the store concepts, product ranges and strategies of the companies are appropriate towards consumer requirements. He believed that consumer behaviours are unpredictable and changing continuously changing; while trying to under try to understand how individual or group make their decision to spend their available resources on consumptionrelated items. These are factors that influence the consumer before, during, and after a purchase (Schiffiman and Kanuk, 1997), for example, feedback, from other customers, packing, advertising, product appearance, and price (Peter & Olsonetc, 2005). The essence of this approach is critical for organisational success, so that they can have a better understanding of their customer behaviours (Solomon et al., 2006). The physical action or behaviour of consumer and their buying decision every day can be measured directly by marketers (Papanastassiu and Rouhani, 2006). For that reason many organisations these days are spending lot of their resources to research how consumer makes their buying decision, what they buy, how much they buy, when they buy, and where they buy (Kotler, Amstrong, 2001). To get a well coherent result, organisations normally looked at these behaviour base their analysis on difference conceptions; whether customers buying behaviour were measured from different perspectives, such as product quality and better service, lower price structured etc (Papanastassiu and Rouhani, 2006) Different theories and researchers have claimed that when organisation fully meet all aspects of its customer needs, the result enhances their profitability (Chaudhuri, 2006), and also enable them to develop a better tackling strategies for consumer (Asseal, 1998). Possibly, the most challenging concept in marketing deals with the understanding why buyers do what they do and what method or philosophy are they using to evaluate the product after the transactions and what might be the effect on future transaction (Schiffman, 2004). The reason why marketer chooses to learning about consumers buying behaviour is, from a business perspective; to be able to be more effectively reach consumers and increase the chances for success (Sargeant & West, 2001).
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Therefore the field of consumer behaviour has take a tremendous turn in the commercial world and became the fundamental concepts of achieving company goal (Schiffman and Kanuk, 2007). More recently, different researchers and author have given their definition and meaning of consumer behaviour. For Michael R. Solomon (2001) consumer behaviours typically analyse the processes of group selected or individual purchases/dispose of product, service, concept or experiences to satisfy their need and desires. Additionally, Kotler (1996) suggested that consumer behaviours have a huge impact in a firm marketing decision making process every year. There is a risk that what a consumer does will inflict on his or her behaviour and generate consequences. (Snoj, Pisnik Koda & Mumel, 2004). The user and the purchaser can be different person, in some cases; another person may be an influencer providing recommendations for or against certain products without actually buying or using them (Solomon 1999; Solomon et al. 1999). In this case, most of the large consumer electronics retailers tend to gathered more information about customers motivating factors and what influences their buying behaviours Solomon & Stuart (2000). To get in-depth understanding consumer behaviour concepts will gives us an idea on how its plays significance role in our life and in the whole trend of business profit to various firms which will allow the researcher to get the analysis and determine product positioning, develop the message and targeting strategy in order to reach to the market (Holskins J, 2002). Consumer behaviour involves lot aspects, such as;

Complex Buying Behaviour


This kind of buying behaviours significantly involved the consumers when making a purchase decision. This kind of buying behaviours demand consumer to highly involve within the process. In case of high involvement, consumers distinguish salient differences among the competing brands (Kotler, Wong, Saunders, Armstrong, 2005). This phenomenon is particularly essential for Dixons consumers to highly involve, and engage in extensive research about the product category and make a good purchase decision about the firm own manufacturing products, in case

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they invent a new technology electronics products or audio-video equipment that is too expensive.

Dissonance reducing buying behaviour


This type of buying behaviour also has high consumer involvement. In terms of expensive and infrequent purchase, consumer also undergoes reducing dissonancy behaviour. It is extremely difficult for consumers to differential among brands in this type of buying behaviours (Kotler, Wong, Saunders, Armstrong, 2005). Differentiating Dixons electronics products/equipments in the same store from PCWorld or Currys is a daunting task and consumer buying these products may encounter dissonance reducing buying behaviour, as electronics are usually expensive and self-expressive. Consumer may easily assume that the available electronics brands in the store/market within a certain price range to be of the same quality. Then if the product does not meet customers expectations, it will result to consumer to experience post purchase dissonance (after sales discomfort) (Kotler, Wong, Saunders, Armstrong, 2005).

Habitual Buying Behaviour


Contrariwise, in this type of buying behaviour consumers have lesser levels of involvements. It implies that consumer do not have to bother to retrieved information about the available products and brands in the market. So therefore, there are no potential differences between the different brands. Whether this factor will have damaging effects on Dixons will be analyse at the findings and analysis chapter below. Because of the less level of involvement, in habitual buying behaviour consumers dont often go to the stores to purchase product, (Kotler, Wong, Saunders, Armstrong, 2005).

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However, some believed that if the consumer persistently purchasing the same product repeatedly, it becomes habit and their mindsets and perceptions changes overtime about the brand and the provider (Cohen and Manion, 1987). This conception will portray the consumer to have unconscientiously developed a brand loyalty to that particular brand due to the consumer regular buying habits (Cohen and Manion, 1987).

Variety Seeking Buying Behaviour


This type of consumer level of involvement is low. However consumer may became critical in terms of brand differences. Additionally, consumer may easily switch from PCWorld to Currys i.e. from one brand to another. The consumers can now have beliefs about the various brands and choose a brand without much evaluation. But they evaluate that product at the time of purchase. In this high technology world, consumer switches their brands not because of dissatisfaction but because of that enormous trend of technological equipment (Aaker, 1991). 1.2 Decision making The concept of decision making perceived by buying behaviour as a problem-solving activity that consumer undergo to solve different problems. The stages include; need recognition, striving for information, evaluates the alternative, purchase decisions, and post-purchase evaluations. Consumer decisions making can sometimes be confusing and relate to many ideas and beliefs. There are numerous perspectives of consumer decision making that include the cue utilisation theory, value perspective, emotional perspective, and information processing perspective.

Value perspective

This emphasises a trade-off circumstances (Lunn et al, 1997). The common value terms often involve in the trade-off between quality and price, which also may also be defined the value-formoney between quality and price, which also may defined the value-for-money perspective (Change and Wildt, 1994; Hansen, 2001; Sweeney and Soutar, 2001). Zeithaml (1988) and Levy (1999) purpose that consumers are value driven. Zeithaml (1988) claims that

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customers perceived value may be seen as a reacting of the overall evaluation of the consumption of a product or service based on perceptions of what is received and what is given. On the other hand, the value emerges partly from what consumers perceive they are receiving and partly from what consumers perceived they are giving. Moreover, Blackett and Robins (2001) consistently said that the key drivers of demand for products are awareness/familiarity, perceived quality, sales quality and price. These tool drivers influence the perception of customer in term of the decision making. .

Cue utilization theory

This phenomenon allowed consumer to judge the quality and multiplicity of different product when deciding what to purchase and how many. Hansen (2005) opined that, perhaps it might be extremely hard for consumers to evaluate the essence of different in quality aspects in relation to each other and in relation to requirement or intention to consumer the products. This has led consumers to encounter instabilities when making judgements about product quality, but may not have sufficient of time or the motivation to the considered products comparative. Attempting to overcome their uncertainty and the shortage of information, following the cue utilization theory (Olson and Jacoby, 1972), consumers may select one or more indicators (cues or stimuli) to help their judgement of the product quality. A number of cues are studied in many researches. In judging the product quality, these cues can be used to indicate, including country of origin (Eliot and Cameron, 1994), product composition (Olson, 1972), brand name, store name (Dodds, 1995) and price (Shapiro, 1973; Brooker et al., 1986). As mentioned in the cue utilisation theory, consumers try decrease risk by applying cues (e.g. brand name, price, colour, advertising, etc) as a way of determining the service or the product quality. Thus, the reliance on one or one or more cues is a risk-reduction strategy (Hansen, 2005). Dawar and Parker (1994) depicted that cues assist consumers to determining the quality of the product when there is a need to reduce the perceived risk of purchase and when consumer involvement is low. Low-involved consumers use simple decision ways or indicators in their
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assessments to the quality or the overall performance of a product. In contrast, the behaviour of high-involved consumers are analysed and described on the basis of the information processing perspective.

Information processing perspective

The information processing perspective indicated that consumer act as problem-solving cognitive individual researching for a reasoned decision (Kassarjian, 1981). Dubois (2000) describes that consumers are expected to apply their cognitive resources in creating beliefs (cognitive part) about the attribute of a product, which may result of the progression of an overall feeling (affective part) in the sense of liking/disliking product. Consumers with a positive attitude to a product are expected to be more willing to consider purchasing in (cognitive part) than consumers with less positive attitude to the same product. Emotional perspective Emotion is not the response of an evaluation process in buying a product, but it is an effective reaction to consumers perceptions of stimuli in the environment. It represents an effective view of consumer behaviours and it is caused by consumers appearance to particular stimuli (Bagozzi et al., 1999). Zajonc and markus (1982) discussed that the traditional cognitive view should be complemented by determining consumers affective responses, like the emotional responses to the perception and assessment of products and experiences. Consumer involvement also influences to emotion perspective and product evaluations. Peter et al (1999) debated that if product involvement is high, people may experience stronger affective reaction such as emotions and stronger feelings.

1.2.1

Additional Factors On Decision Making

There are many other causes that have tremendous effect on consumer decision making process, such as perceptions and attitudes. Perceptions

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Perceptions take consumers to the process of selecting, organising, and interpreting stimuli to a meaningful and coherent picture of the world (Schiffman and Kanuk (2007). Because there are so many marketing stimuli, consumers need to limit the information of product that will have an effect on the decision making. Bolfing (1988) also purposed that there are plenty of customers that have perceptual vigilance which is the stage of being screening information that is relevant. On perception process, customers express their own final perception using their consuming behaviour.

Attitudes In the purchase stage, there is attitude in the consumers mind. Without attitude, an alternative brand may be purchased (Fazio et al. 1989). Good attitude towards the product might move to a purchase decision. Attitude is connected to behavioural intention and buying forecast (Fishbein, 1980). Attitude is what we can feel about a concept that could be a person, a brand, a category, an ideology or other things we can think about and applying feeling into (East, 1997). Many writers agree that attitude is an evaluation. Attitudes are individuals broad evaluations of a concept or subjective assessments of an idea (Kotler and Armstrong, 2001). Attitude can be the most important factor in consumer decision process because they theoretically conclude that a consumer evaluation of an object (product, brand or company) represent positive or negative feeling and behavioural towards the object (Belch and Belch, 1998). Attitude influences each stage of the buying decision, as the simple assumption that attitudes causes behaviour to ignores other determinants such as personality traits, self-image, motives, behaviour and the social and physical setting in which the action occurs (Foxall, 1998). 1.3 Consumer Buying Behaviour Consumer purchasing behaviour tends to determine what it exactly is that drives consumers when making buying decisions. Many studies have been performed including the above mentioned with regard to consumer behaviourism. Three theories those understand the consumers buying decision are; radical, teleological, and picoeconomics behaviourism (Foxall,
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2007). Even though, all three theories take their own the consumers choice, they still plays complementary role with consumer behaviour. 1.3.1 Radical Behaviourism According to Foxall, (2007) refer to the radical behaviourism as Behavioural Perspective Model (BPM), see diagram below. On the one hand Figure 1, depicts two inputs of consumer behaviour, namely the behaviour setting and the learning history. These two input variables can be seen as the consumers frame of reference when making a buying decision. The behaviour setting consists of all the physical, social and temporal elements that signal the likely consequence of behaving in a particular way (Foxall, 2007: 136). The learning history refers to past experiences both positive and negative of the consumer. Additionally, it accounts for personal factors influencing the consumers choice, such as: the ability to pay, consumers mood, impulsive buying and deprivation. On the other hand, three possible consequences of consumer behaviour are depicted in Figure 1, respectively; utilitarian reinforcement, informational reinforcement and aversive consequences. Utilitarian reinforcement refers to the satisfaction consumers perceive when buying, owing and consuming economic goods. Informational reinforcement as an outcome of consumer behaviour relates to the feedback on the purchase which connects the consumers choice to the social status that comes with it. Of course the informational reinforcement outcome is not applicable to every product that can be bought, as one will not obtain any social status from buying nails for example, on the other hand, people are often judged by the car they drive, making cars an excellent example of the informational reinforcement. Lastly, aversive consequences can be described as the costs of consuming; having to wait in line, not being able to buy alternative products, relinquishing money, etc. (Foxall, 2007). Based on the level of informational and utilitarian reinforcement a grid can be composed that divides consumer behaviour in four broad categories, Maintenance purchases are characterized by necessity; therefore this category can be compared to the physiological level in Maslows hierarchy of needs, which stands for the basic requirements for human survival (Maslow, 1943). Accumulation purchases refer to consumer behaviour related to
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certain kinds of collecting, saving and instalment buying. Hedonism or pleasure purchases refer to the consumption of popular entertainment. Finally, accomplishment purchases reflect ones social and economic success, such as: acquisition and conspicuous consumption of status goods, displaying products and services that signal personal attainment (Foxall, 2007: 136). Foxall (2007) found that green consumer behaviour cannot be linked to a specific category but can be found in any of the four categories. 1.3.2 Teleological Behaviourism Teleological behaviourism proposes an interpretation of complex behavior based on final causes, i.e., the consequences of behaviour (Foxall, 2007: 132). Final causes extend outwards from the person who behaves, each fitting in the next pattern (Foxall, 2007). Hence, making a sum fits into doing homework, which fits into taking the math class, which fits into studying, which in turn fits into providing yourself with a good future. Every step (cause) is wider than the previous one and therefore more embracing, making each cause more final (Rachlin, 1994). The process of finding the causes of behaviour is one of fitting the behaviour into an ever- increasing molar pattern of response and consequences (Foxall, 2007: 132). Rachlin (1994) states that mind equal behaviour and sequences or patterns of behaviour rather than single acts. This implies that mental phenomena such as intentions, attitudes as well as pain are all defined as extended patterns of behaviour. When pain is taken as an example, people know that somebody else is in pain because of the behaviour the other person emits: grimacing, groaning, holding his arm, etc. (Foxall, 2007). A whole series of final causes may each be nested within one another, diffused over time, the whole sequence being necessary to a full explanation of the behaviour that produced them (Foxall, 2007: 132). Rachlin (1994) points out that in order to understand the full complexity of behaviours consequences, a significant elapse of time may be required, as the events that explain behaviour are temporarily extended, it will take time for the whole sequence to be completed and with that understand behaviour. When it comes to consumer buying behaviour, teleological behaviourism helps understanding consumers brand choice (Foxall, 2007). Teleological behaviourism helps to

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understand why consumers only consider only a few brands out of all the brands they can choose from when making a buying decision (Foxall, 2007). Consumers will only consider brands of which they have direct use-knowledge and which products characteristics show the greatest match compared to the consumers spending power. Teleological behaviourism also helps understanding why consumers change patterns and decide to buy another brand than they usually do. It does so by acknowledging the conflict consumers can face between utilitarian reinforcement and informational reinforcement. 1.3.3 Picoeconomics Both radical behaviourism and teleological behaviourism help to understand consumer behaviour, but both are not complete explanations of it, especially when it comes to breaking of patterns. Up to a certain extend teleological behaviourism provides an explanation for the breaking of patterns, as explained in the previous paragraph. However, picoeconomics provides a much better explanation when it comes to intertemporal bargaining. The concept of picoeconomics acknowledges that a persons choice is based on more factors than just the persons preference (Foxall, 2007). Picoeconomics apply the concept of intrapersonal interests to explain the conflict between behaviours which occurs from intertemporal rewards (Foxall, 2007). How an individual prioritizes the rewards available depends on personal rules. However, seldom such a trade-off between short-term (smaller sooner) and longterm (larger later) is isolated from other choice conflicts (Foxall, 2007). Therefore an individual might adopt a strategy in which he/she bundles all the short-term and long-term rewards, also known as reward bundling, which is a means of self-control. Self-control results from the consumers perspective that a single choice is possible between a bundle of long-term rewards and a competing bundle of short-term rewards (Foxall, 2007). Of which, as Foxall (2007) points out, directly relates to green consumer behaviour. The benefits of the longterm choice are always greater than the benefits of the short-term choice, to make a rational decision in which the total rewards obtained is the greatest is a matter bringing (imagining) the long-term rewards forward in time.

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According to picoeconomics there is a conflict of interests brought about by the differences in situation between the point at which an intention is expressed and that at which the opportunity to behave emerges (Foxall, 2007: 141). This conflict originates due to incentives available to the consumer at the moment of purchase (Ainslie, Hofmeyr & Ross, 2010). When the opportunity to behave emerges the consumer has two choices, either he stays loyal to his buying pattern, or, the consumer changes his pattern based on a variable presented by the current behaviour setting. A customer who has the intention to buy one particular electronic products/bran, might be tempted once entering the store to purchase either Dixon manufactured product or alternative that are on sales instead of the more expensive, also known as preference reversal. This is a typical situation where the consumer prefers a poorer pay-off (which might be temporarily) because it is available sooner, than a better long-term pay-off, which would be better for the consumer. Consumers apply this behaviour occasionally in the case of brand choice, but much more often at inter-product choices (Foxall, 2007). This leads to the question why consumers apply this kind behaviour. Foxall (2007) argues that just as in radical behaviourism and teleological behaviourism, the consumer tries to maximize the totality of reinforcement available to him, both informational as utilitarian reinforcement. However, it need to be noted that consumers often do this with a short-term perspective and therefore maximize their reinforcement on each shopping trip, which might be not the maximum reinforcement that can be obtained when a longterm perspective is applied. The dilemma consumers face is a conflict between informational reinforcement (maximizing the price) and utilitarian reinforcement (ensure an acceptable level of quality). However, this does not mean that consumers will always buy the cheapest product available. The usual consumer strategy is to: (1) select a suitable consideration set on basis of both reinforcements and experience; and (2) usually selects the least expensive option within the consideration set (Foxall, 2007).

1.4 Consumer Decision

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In electronics markets the consumer will make the decision to purchase technological products to fulfil and satisfy their desire. Also, there are several factors that can influence consumer to select which product they will use for provide their needs, such as; 1.4.1 Social influences According to Boone and Kutz (2006) they have stated on this point that in every consumer belong to the each social group. As earlier mostly experience can come from a group of family, neighbourhood groups, work and community. Also, a group membership can influences individuals purchase decision by values, attitude and behaviour that a group deems appropriate for its member. Hence, many consumers are often strongly making decision by people who the consumer knows and trusts.

1.4.2 Economic Man Many marketers understand consumer behaviour from economics. Especially, the assumption between people and rational in their behaviour by identified the behaviour that relating to price, consumer income, consumer taste, and quality of products. Therefore, the demand of medicine is positivity associated with low price of medicine, high price for products substitutes (high level of consumer income, high education, high tastes). Also, the quality of products included with services. 1.4.3 Personal Influences Each person is driven by variety of desires and pressures that influence behaviour by values, attitudes, personality and beliefs. This could help marketer expected the personal influence from the field of psychology. Personality and self concept that in each persons distinct personality influences his/her buying behaviour because the personality refers to unique psychological in each person. Thus, personal characteristics have relative to buying behaviour on our decision making and personality can be useful for marketer to analysing consumer behaviour for certain products or select their choice
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(Armstrong and Kotler, 2008). Buying Behaviour The marketers can better predict how consumers will respond to marketing strategies. Also, they need to understand the decision processes and acts of people involved in buying and using products Solomon (1991) stated that a consumer decision is a response to a problem. Schiffman and Kanuk (1978) depicted that decision is the selection of an action from two or more alternative choices. It means that there must be more that one alternative choice whenever a customer is making a decision. Kotler (1996) pointed out that the consumer buying process is the sum total of alternative, purchase decision, and purchase evaluation. 1.5 Decision Making Process The decision making process can be used to analysed consumer purchasing decision of certain product that required enormous level of engagement from a customer (Kotler & Armstrong, 2002). The diagram below gives a brief explanation of consumer decision making process. Five-Stage Model of the buying process: 1.5.1 Need recognition Need recognition is the leading thoughts that intercede between the confusing touch in customers mind, simply put; the consumer desire state and actual state (Schiffman, Lazar & Hansen, 2008). The actual state mainly focused on consumer who encounters difficulty with product that does not bring desire satisfaction, particular if the customer desire state is yearning for something new, the aspiration to minimise the gap between the customer desire state and current situation (Kotler & Armstrong 2002). 1.5.2 Information search Consumer searches for information after they have recognised the need. In cases where customers drive is strong, information is searched externally and more extensively (Bruner & Pozmal, 1988). When a problem has been indentified the consumers tend to engaging information search, for the purpose of reducing the risk of making a wrong choice. Thus, such

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a consumer will have a high degree of cognitive activity and will make strong efforts in evaluating and comparing of products before making decision (Bruner & Pozmal, 1988). And cues, which are important in low involvement, can be only as pieces of information in an information processing (Steenkamp, 1989). The products can be important in one of the elements to influence consumer to select the choice and acquisition process. On the other hand, as noted by some authors including Hupfer and Gardner (1971) and Kassarjian (1978), not all purchasing decisions involve equally the same high level of customer interest and engagement. However, Hoyer (2984) suggested that it is impossible to directly apply these theories to every aspect of decisions making. 1.5.3 Evaluating alternatives & Purchase Alternatives valuations are significantly different from large product categories (Kotler & Armstrong, 2002). For a better understanding in a certain product category, customers use a variety of criteria in deciding which store to visit and which product to buy, including selection, price, quality, service, value, and convenience (Boone and Kurtz, 2006). According to Kotler (1996), consumer use store and product attribute varies among consumers. Management must, however, know which attribute consumers consider and the important the consumer places on them. Evaluation of alternative that consumer can make decision can be made from price, location, quality and pharmacists relationship to choose a pharmacy (David Holdford, 2007). The evaluation process is particularly helpful in influencing customers, particularly, when customers are familiar with the desire product, their purchase behaviour tends to be quite small, consisting on average between three and five brands (Schiffman et al., 2008). 1.5.4 Purchase Decision

Bruner and Pomazal (1988) argue that a purchase is done by a consumer after s/he first recognises some kind of problem, and thus the purchase is a solution to the experienced problem. Further, Bruner and Pomazal (1988) state that to be able to conduct a purchase the problem recognised needs to be defined. Consumer tend to choose to buy the product by considering characteristics such as location, price assortment personnel, store image and service etc (Boone and Kurtz, 2006).
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In executing a purchase intension, there are five purchase sub decisions, which consumers may make up (product choice, brand choice, dealer, purchase timing, and purchase amount (Kotler, 1996). In order words consumer may answer the question of which product to buy, or might as well form a purchase intention to buy the most preferred brand. Sometimes consumers may have to choose which dealer or store they will go for purchase. In some cases, consumers may be willing to accept high prices for electronically products if the quality of the product is perceived to be of high quality. 1.5.5 Post-Purchase evaluation In most post purchase behaviours, customers tend to evaluate purchasing through a trail or experience some level of satisfaction or dissatisfaction. If the product meets his or her expectations, the consumer is likely to satisfied, but if it falls short, the consumer is likely to be dissatisfied. Thus, customers may evaluate the product prior to their preconceived expectations (Schiffman (2008). An outcome of the evaluation is either the performance that matches expectations, that performance which exceeds expectations or that the performance below expectations. The amount of dissatisfaction depends on the size of the different between expectations and performance (Kotler, 1996).

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OBJECTIVE OF THE STUDY:

To find out consumer behavior of Indian and Chinese products . To study brand awareness for Lenovo in the market place. To produce valuable inputs for the Lenovo from the Indian market with respect to element of marketing mix, i.e., Product, Price, Place and Promotion. To Study Lenovo competitors marketing mix strategies, and then comparative mapping with other major appliances players in the market, finding loopholes and building effective marketing mix strategy for Lenovo computers segment with respect

To analyze right strategic direction for Lenovo firstly by the way of studying current image of the brand Lenovos , secondly through market mix mapping.

It gives valuable inputs regard to difference that the brand is dealing with their competitors. Like if HCL, HP, DELL, SONY are present in a segment, satisfying same customer need, what is the difference in terms of product offering, technology of the products, pricing strategies of the competitors. This is also suggests competitors direct monetary pricing benefits to distribution intermediaries, i.e. distributors, direct dealers, dealers, and finally to the customers. Which clearly identifies the different requirements that customers look to be satisfied and at what prices. These different requirements can then be used to develop the alternative strategies that need to be implemented, to better access the segments and tune the product offers to suit the customer requirements and to the level of competition.

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CHAPTER-3 RESEARCH METHDOLOGY

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RESEARCH METHODOLOGY:
The system of collecting data for research projects is known as research methodology. The data may be collected for either theoretical or practical research for example management research may be strategically conceptualized along with operational planning methods and change management. Some important factors in research methodology include validity of research data, Ethics and the reliability of measures most of your work is finished by the time you finish the analysis of your data.

Descriptive Research

1-Descriptive research, also known as statistical research, describes data and characteristics about the population or phenomenon being studied. Descriptive research answers the questions who, what, where, when, "why" and how... Although the data description is factual, accurate and systematic, the research cannot describe what caused a situation. Thus, Descriptive research cannot be used to create a causal relationship, where one variable affects another. In other words, descriptive research can be said to have a low requirement for internal validity. The description is used for frequencies, averages and other statistical calculations. Often the best approach, prior to writing descriptive research, is to conduct a survey investigation. Qualitative research often has the aim of description and researchers may follow-up with examinations of why the observations exist and what the implications of the findings are. In short descriptive research deals with everything that can be counted and studied. But there are always restrictions to that. Your research must have an impact to the lives of the people around you.

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Data collection Method:


(a) Primary Data Collection Method: Survey method was used for primary data collection. We used questionnaire as an instrument for survey method. Structured questionnaire. Type of questionnaire: Open ended and closed ended.

(b) Secondary Data Collection method: Reference books. Internet.

Sampling Detail
1. Target population: The population for this research study consists of the residents of Dehradun. 2. Sampling unit: In this study the sampling unit is individual consumer. 100 consumers.

3. Sample size:

1. Primary Data Collection


For Product: Customer survey through use of a structured questionnaire. For Price: Direct meeting with the dealers to know other companies pricing, by collecting and analyzing prices for customers (MRP) dealers (D.P),direct dealers, and distributors. For Place: Obtaining feedback from the existing dealers of Lenovo and other consumer

electronic dealers in the DELHI through direct interviews. To establishing and implementing
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processes for obtaining ideas, Information and insights from the dealers regarding the Haier marketing proposition for refrigerators and washing machine, after that evaluating the feedback, assessing the benefits and any risks associated with possible options, and making recommendations towards enhancing the LENOVO marketing proposition especially place or in other words dealer expansion in DELHI city. Promotion: Observing the number of marketing activities done by the other companies by keeping the record of activities done by them, and also attending the activities to feel the difference between the Lenovo marketing activities. 2. Secondary Data Collection through company websites, journals & annual reports.

3. Analyzing and interpretation. 4. Mapping with respect to other competitors in the market in computer systems category. 5. Findings and conclusion can be drawn.

. HYPOTHESIS
Hypothesis testing is used to analyze the difference between the sample statistics, and hypothesized population parameter. The hypothesis testing starts with the formulation of a hypothesis made about a population parameter. Then for testing this hypothesis sample data is gathered. A sample mean (or a relevant test static) is determined. Sample statistic is compared against the hypothesized population parameter.

HYPOTHESIS USED :- There are two types of hypothesis: (a) Null Hypothesis and (b)
Alternative hypothesis.

Null hypothesis (Ho): There is a positive perception regarding Indian products in the consumers mind relative to Chinese products.

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Alternative hypothesis (H1): There is no positive perception regarding products in the consumers mind relative to Chinese products.

Indian

TEST OF SIGNIFICANCE: One way anova is used to test the significance of the hypothesis.

One-way ANOVA in SPSS


Introduction The one-way analysis of variance (ANOVA) is used to determine whether there are any significant differences between the means of two or more independent (unrelated) groups (although you tend to only see it used when there are a minimum of three, rather than two groups). For example, you could use a one-way ANOVA to understand whether exam performance differed based on test anxiety levels amongst students, dividing students into three independent groups (e.g., low, medium and high-stressed students). It is important to realise that the one-way ANOVA is an omnibus test statistic and cannot tell you which specific groups were significantly different from each other; it only tells you that at least two groups were different. Since you may have three, four, five or more groups in your study design, determining which of these groups differ from each other is important. Assumptions When you choose to analyse your data using a one-way ANOVA, part of the process involves checking to make sure that the data you want to analyse can actually be analysed using a one-way ANOVA. You need to do this because it is only appropriate to use a oneway ANOVA if your data "passes" six assumptions that are required for a one-way ANOVA to give you a valid result. In practice, checking for these six assumptions just adds a little bit more time to your analysis, requiring you to click a few more buttons in SPSS when performing your analysis, as well as think a little bit more about your data, but it is not a difficult task.

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Before we introduce you to these six assumptions, do not be surprised if, when analysing your own data using SPSS, one or more of these assumptions is violated (i.e., is not met). This is not uncommon when working with real-world data rather than textbook examples, which often only show you how to carry out a one-way ANOVA when everything goes well! However, dont worry. Even when your data fails certain assumptions, there is often a solution to overcome this. First, lets take a look at these six assumptions:

Assumption #1: Your dependent variable should be measured at the interval or ratio level (i.e., they are continuous). Examples of variables that meet this criterion include revision time (measured in hours), intelligence (measured using IQ score), exam performance (measured from 0 to 100), weight (measured in kg), and so forth.

Assumption #2: Your independent variable should consist of two or more categorical, independent groups. Typically, a one-way ANOVA is used when you have three or more categorical, independent groups, but it can be used for just two groups (i.e., an independent-samples t-test is more commonly used for two groups). Example independent variables that meet this criterion include ethnicity (e.g., 3 groups: Caucasian, African American and Hispanic), physical activity level (e.g., 4 groups: sedentary, low, moderate and high), profession (e.g., 5 groups: surgeon, doctor, nurse, dentist, therapist), and so forth.

Assumption #3: You should have independence of observations, which means that there is no relationship between the observations in each group or between the groups themselves. For example, there must be different participants in each group with no participant being in more than one group. This is more of a study design issue than something you can test for, but it is an important assumption of the one-way ANOVA. If your study fails this assumption, you will need to use another statistical test instead of the one-way ANOVA (e.g., a repeated measures design).

Assumption #4: There should be no significant outliers. Outliers are simply single data points within your data that do not follow the usual pattern (e.g., in a study of 100 students' IQ scores, where the mean score was 108 with only a small variation between students, one student had a score of 156, which is very unusual, and may even put her in the top 1% of IQ scores globally). The problem with outliers is that they can have a

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negative effect on the one-way ANOVA, reducing the accuracy of your results. Fortunately, when using SPSS to run a one-way ANOVA on your data, you can easily detect possible outliers. In our enhanced one-way ANOVA guide, we: (a) show you how to detect outliers using SPSS; and (b) discuss some of the options you have in order to deal with outliers.

Assumption #5: Your dependent variable should be approximately normally distributed for each category of the independent variable. We talk about the one-way ANOVA only requiring approximately normal data because it is quite "robust" to violations of normality, meaning that assumption can be a little violated and still provide valid results. You can test for normality using the Shapiro-Wilk test of normality, which is easily tested for using SPSS. In addition to showing you how to do this in our enhanced one-way ANOVA guide, we also explain what you can do if your data fails this assumption (i.e., if it fails it more than a little bit).

Assumption #6: There needs to be homogeneity of variances. You can test this assumption in SPSS using Levene's test for homogeneity of variances. If your data fails this assumption, you will need to not only carry out a Welch ANOVA instead of a oneway ANOVA, which you can do using SPSS, but also use a different post-hoc test. In our enhanced one-way ANOVA guide, we (a) show you how to perform Levenes test for homogeneity of variances in SPSS, (b) explain some of the things you will need to consider when interpreting your data, and (c) present possible ways to continue with your analysis if your data fails to meet this assumption, including running a Welch ANOVA in SPSS instead of a one-way ANOVA, and a Games-Howell test instead of a Tukey posthoc test

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CHAPTER-4 DATA ANALYSIS

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1. Which brand's laptop do you owe? a. Apple b. Samsung c. HP d. LENOVO e. Sony

DATA ANALYSIS:-

BRAND APPLE SAMSUNG HP LENOVO SONY

100 10 20 20 30 20

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Sales
APPLE SAMSUNG HP SONY LENOVO

10% 20% 20%

20% 10% 20%

2. If you have your favorite brand, why do you like the brand the most? a. Good design
DATA ANALYSIS:-

b. Reasonable price

c. Convenient after-sale service

d. Favorable brand image

e. Great specs

REASON GOOD DESIGN RASONABLE PRICE CONVENIENT AFTER-SALE SERVICE FAVORABLE BRAND IMAGE GREAT SPECS

100 20 30 20 20 10

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GREAT SPECS 10% FAVORABLE BRAND IMAGE 20%

GOOD DESIGN 20%

CONVENIENT AFTER-SALE 20%

REASONABLE PRICE 30%

3. When you buy a laptop, what is the most important consideration factor? a. Brand name
DATA ANALYSIS:-

b. Price

c. Specs

d. Design

e. Others (Specify: )

REASON BRAND NAME PRICE

100 27 36

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SPECS DESIGN OTHER

9 14 14

FACTOR
OTHER 14% DESIGN 14% SPECS 9% PRICE 36%

BRAND NAME 27%

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4. Which channel did you use when you bought your laptop? a. The brand's own website b. Online retail stores (Amazon, e-bay, etc.)

c. Electronics retail stores (Best Buy etc.) d. Warehouse stores (Walmart, Target, K-mart, etc.) e. Others (Specify: ) DATA ANALYSIS:-

REASON BRANDS OWN WEBSITE ONLINE RETAIL STORES ELECTRONICS RETAIL STORES WAREHOUSE STORES OTHER

100 20 30 20 15 15

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CHANNEL
website retail stores electronics retail stores warehouses stores other

15% 15%

20%

30% 20%

5. What was the most influential factor that affected your choice when you bought your laptop? a. Friends e. Brand image DATA ANALYSIS:b. Family members c. Advertisements d. Sales person

FACTORS CHOICE FRIENDS FAMILY MEMBERS ADVERTISEMENTS SALES PERSON BRAND IMAGE

100 20 10 30 20 20

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FACTORS CHOICE
BRAND IMAGE 20% FRIENDS 20% FAMILY MEMBERS 10%

SALE PERSON 20% ADVERTISEMENTS 30%

6. Do you think that which brand's laptop you own affects your social image? a. Yes b. Somewhat c. No

DATA ANALYSIS:-

SOCIAL IMAGE FACTORS YES NO SOMEWHAT

100 60 25 15

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SOCIAL IMAGE FACTORS


15%

YES NO 25% 60% SOMEWHAT

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Qualitative analysis
the ANOVA table for the one-way case is given by:

where

and

. The row labeled, "Corr. Total", in the ANOVA table contains the corrected total sum of squares and the associated degrees of freedom (DoF).

In here the dependent variables were the recruitment,compensation,leadership and performance appraisal. The factors were the retention and organizational satisfaction.

DEPENDENT FACTORS:-

PRICE QUALITY FEATURES TECHNICAL SPECIFICATIONS

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FACTOR:-PERCEPTION

PRICE

Between groups Within groups

1.315 26.685 28.000

3 46 49

.438 .756 .580 .525

Between QUALITY groups Within groups

.630 25.370 26.000

3 46 49

.210 .381 .552 .767

Between FEATURES groups Within groups

1.946 26.054 28.000

3 46 49

.649 1.146 .566 .341

TECHNICAL SPECIFICATI ONS

Between groups Within groups

.366 26.214 26.580

3 46 49

.122 .214 .570 .886

Inference:As the critical tabulated value is less than the table value the null hypothesis ,i.e. There is a positive perception regarding Indian products in the consumers mind relative to Chinese products is accepted and the alternate hypothesis ,i.e. There is no positive perception regarding Indian products in the consumers mind relative to Chinese products is rejected.

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CHAPTER-4
CONCLUSION AND RECOMMENDATIONS

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FINDINGS OF THE REPORT

1. We have found that consumer behavior toward imported product. By this we achieved the customer perception about the Chinese product and domestic product.

2. Operations should be more transparent and providing better services. By this investor preference about the investment in domestic product is achieved.

3. We analyses the most influential factors that affect the choice of customer of laptop( in question no.5) . By this, making decision about investment becomes easier.

4. By this analysis, it is cleared that we have to emphasis on the features of laptop for buying precipitation.

5. We also found the people have laptop within their organization and how frequent they use it.

So the basis of analysis and interpretation, we found that the consumer behavior in laptop domestic product is beneficial for the customer.

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LIMITATIONS OF THE STUDY

Due to time, geographic and monetary constraints. It may not be able to go deeper in to search

This study is related to Dehradun market only.

This project is primarily focused on computer systems category.

Unavailability of data. Especially for promotional strategies of competitors.

There could be some errors, data collection, data interpretation, and even the environment plays an important role in the outcome of the results.

Respondents may not provide full or accurate information during the survey

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RECOMMENDATIONS / CONCLUSION

As per the above discussion and the statistical analysis, the null hypothesis, i.e.; There is a positive perception regarding Indian products in the consumers mind relative to Chinese products is accepted and the alternate hypothesis ,i.e.; There is not a positive perception regarding Indian products in the consumers mind relative to Chinese products is rejected.

The presence of four core specifications,i.e. price,quality,features and specifications are of utmost importance in a product , when the organizations need to keep the demand at the highest and have a satisfied customer base. Due to the above four dependent factors its clear that the Indian products score better than the Chinese products and hence are more in demand in Indian markets compared to the Chinese products.

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Bibliography & References


1. Mckinsey Global Institute `The Bird Of Gold`: The Rise Of Indias Consumer Market, May 2007 By Mckinsey & Company 2. www.wikipedia.com 3. www.google.co.in 4. www.haierindia.com 5. Marketing management by Philip kotler 6. Prof Malcolm Mc Donald, Ian Dunbar Marketing Mapping & Segmentation Vol 2003.1 By The Marketing Process Company 7. www.aykya.com 8. Suresh Khana Secretary General CETMA Competition Issue In Consumer Electronic And Durable Industry 9. Haier features in Asias Most Admired Companies Survey by BusinessWeek.com New Delhi, -- July 2007. 10. Haier we go The Pioneer, New Delhi, November 24, 2005 11. Haier's Marketing Strategies in India international marketing case study by ICMR at www.icmr.icfai.org 12. Consumer and Trade Promotions - Haier Appliances (I) Pvt. Ltd a case study by ICMR www.icmr.icfai.org 13. www.lgindia.com 14. www.samsungindia.com 15. www.electroluxindia.com 16. www.godrej.com 17. www.whirlpoolffindia.com

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QUESTIONNAIRE
Note: All information obtained from this questionnaire will be kept confidential and will only be used for my research purpose

NAME: ________________ ADDRAESS: ________________ OCCUPATION: _______________ CONTACT NO: _______________ E MAIL: ______________________ DATE (_ _/_ _/_ _ _ _)

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Please read each question carefully and indicate your response by selecting the most appropriate choice. In general, you prefer to do your shopping of: (Select only one) Chinese product Indian product. 1. Groceries 2. Fast Food 3. Cosmetics 4. Books 5. CD/DVDs 6. Toys 7. Furniture 8. Computer products 9. Electronic 10. Jewelry

11.

Do you believe that Chinese products are really favorable for India markets.? o Yes o No o Cant say

12. Is Chinese product effect local Indian market.?

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o No o Yes o Cant say

13.Does Chinese product effect over the other Indian industries?

o Yes o No o Cant say

How important are the following factors in your decision to purchase goods between Indian and Chinese.

1(Agree)

2(Disagree)

3(Strongly agree)

4(Strongly disagree)

5(Neutral)

1 1.Variety of products
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2 .Reputation of the company 3 .Guarantees and Warrantees 4 .Privacy of the information 5 .Good description of goods. 6. Security 7. Prices 8. Parking space

THANK YOU

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