FACTORS AFFECTING CONSUMER PURCHASING DECISION IN THE

MANUFACTURING SECTOR IN KENYA: A CASE STUDY OF BRITISH

AMERICAN TOBACCO COMPANY.

BY
AWINO JAVAN ELISHA

A RESEARCH PROJECT SUBMITTED IN PARTIAL FULFILLMENT OF THE

REQUIREMENT FOR THE AWARD OF DIPLOMA IN PURCHASING AND SUPPLY
CHAIN MANAGEMENT TO THE KENYA INSTITUTE OF MANAGEMENT.

JANUARY 2018
 DECLARATION
Declaration by the Student
This research project is my original work that has not been presented to any other
examination body. No part of this research should be reproduced without my consent or that
of Kenya Institute of Management.

Name:………………………………..Sign:……………………….Date………………
KIM/DBM/28211/16

Declaration by the Supervisor

This research project has been submitted with my approval as The Kenya Institute of
Management Supervisor.

Name:…………………………..Sign:……………………….Date:………………
Lecture Supervising

For and on behalf of the Kenya Institute of Management

Name:……………………………Sign:………………………..Date:…………………
Branch Manager, Nairobi

ii
 DEDICATION
This Project is dedicated to my beloved parents for their love and encouragement in all my
endeavors.

iii
 ACKNOWLEDGEMENT
I would like to pass my sincere gratitude to all those who in one way or another ensured the
successful completion of this project. I would like to thank my supervisor Mrs Alice Kaloki
for her positive guidance and words of encouragement. I would also like to recognize the
efforts of the lecturers at The Kenya Institute of Management, who struggled towards my
understanding of the course. Lastly I thank the management of British American Tobacco
Company for granting me an opportunity to conduct a research study in their organization.

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 ABSTRACT
The purpose for the study was to determine the factors affecting consumer purchasing
decision in the manufacturing sector with reference to BAT. The specific objectives was to
identify the extent to which procurement procedures affect consumer purchasing decision,
to examine the effect of packaging design on consumer purchasing decision, to determine
the effect of pricing on consumer purchasing decision, to determine the effect of ICT on
consumer purchasing decision in the manufacturing sector. This study will be significance
to the management of BAT and future researchers. The study covered a population of 150
employees in the organization and use stratified random sampling technique. Were 33% of
the entire target population formed the sample size of 50. The research used descriptive
research design. Data was analyzing using quantitative and qualitative techniques and was
presented using descriptions, tables, diagrams, charts and graphs. Under each finding
percentage was used to interpret data.

Descriptive research design and questionnaires were used to collect data. The data was
analyzed both quantitative and qualitative by the use of statistical and non- statistical
method, which involves analyzing closed and open ended questions. On this, the
population that was targeted was total of 50 employees. The data was presented by use of
both the graphs and charts

The study findings indicate that 70% agreed that procurement procedures affect consumer
purchasing decision in the manufacturing sector. A total of 91% agreed that packaging
design affect consumer purchasing decision in the manufacturing sector. A total 72%
agreed that pricing affect consumer purchasing decision in the manufacturing sector and
82% agreed that information technology affect consumer purchasing decision in the
manufacturing sector.

The study recommends companies to embrace information technology for further

development. Organization should continuously endeavor to use technology so as to
undercut competition. Organization should ensure that there are enough facilities to be
used when communicating to consumers. The organization should ensure that employees
are competent in order to perform effectively.

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 TABLE OF CONTENTS
DECLARATION………………………...……............................................................ii
DEDICATION..............................................................................................................iii
ACKNOWLEDGEMENT............................................................................................iv
ABSTRACT...................................................................................................................v
TABLE OF CONTENTS..............................................................................................vi
LIST OF TABLES......................................................................................................viii
LIST OF FIGURES .....................................................................................................ix
LIST OFABBREVIATIONS/ACRONYMS..................................................................x
OPERATIONAL DEFINITION OF TERMS...............................................................xi

CHAPTER ONE
INTRODUCTION OF THE STUDY
1.1 Introduction...........................................................................................................1
1.2 Background of the Study......................................................................................1
1.3 Statement of the Problem......................................................................................5
1.4 Objectives of the Study.........................................................................................6
1.5 Research Questions...............................................................................................7
1.6 Significance of the Study......................................................................................7
1.7 Limitations of the Study........................................................................................8
1.8 Scope of the Study................................................................................................9

CHAPTER TWO
LITERATURE REVIEW
2.1 Introduction ........................................................................................................10
2.2 Review of Theoretical Literature .......................................................................10
2.3 Review of Analytical...........................................................................................22
2.4 Summary.............................................................................................................23
2.5 Conceptual Framework.......................................................................................23

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 CHAPTER THREE
RESEARCH DESIGN AND METHODOLOGY
3.1 Introduction.......................................................................................................25
3.2 Study Design.....................................................................................................25
3.3 Target Population.............................................................................................. 25
3.4 Sample Design.................................................................................................. 26
3.5 Data Collection Procedure................................................................................ 27
3.6 Data Analysis Methods..................................................................................... 27

CHAPTER FOUR
DATA ANALYSIS PRESENTATION AND INTERPRETATION OF FINDINGS
4.1 Introduction…………………………………………………………………...29
4.2 Presentation of Findings……………………………………………………... 29
4.3 Summary of Data Analysis…………………………………………………... 43

CHAPTER FIVE
SUMMARY OF FINDINGS, CONCLUSIONS AND RECOMMENDATIONS
5.1 Introduction…………………………………………………………………...45
5.2 Summary of Findings………………………………………………………... 45
5.3 Conclusions…………………………………………………………………...47
5.4 Recommendations…………………………………………………………….48
5.5 Suggestions for Further Study……………………………………………….. 49
REFERENCES…………………………………………………………………….50

APPENDICES
Appendix- I Letter of Authorization
Appendix- II Questionnaire

vii
 LIST OF TABLES
Table 3.1 Target Population ..................................................................................26
Table 3.2 Sample Size ...........................................................................................26
Table 4.1 Response Rate .......................................................................................29
Table 4.2 Gender of the Respondents.....................................................................30
Table 4.3 Respondent Age group............................................................................31
Table 4.4 Number of Years in Service ...................................................................32
Table 4.5 management Level..................................................................................33
Table 4.6 level of education………………………………………………………..34
Table 4.7 Effect of procurement procedures...........................................................35
Table 4.8 Rating of procurement procedures..........................................................36
Table 4.9 Effect of packaging design......................................................................37
Table 4.10 Rating of packaging design.....................................................................38
Table 4.11 Effect of pricing......................................................................................39
Table 4.12 Rating of pricing.....................................................................................40
Table 4.13 Effect of ICT...........................................................................................41
Table 4.14 Rating of ICT..........................................................................................42

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 LIST OF FIGURES

Figure 1.1 Organizational Structure........................................................................5

Figure 2.1 Conceptual Framework.......................................................................23
Figure 4.1 Response Rate ....................................................................................30
Figure 4.2 Gender of the Respondents..................................................................30
Figure 4.3 respondent age group...........................................................................31
Figure 4.4 Number of Years in Service.................................................................32
Figure 4.5 Management level…………………………………………………......33
Figure 4.6 Highest Education Level......................................................................34
Figure 4.7 Effect of procurement procedures........................................................35
Figure 4.8 Rating of procurement procedures.......................................................36
Figure 4.9 Effect of Packaging design..................................................................37
Figure 4.10 Rating of packaging design..................................................................38
Figure 4.11 Effect of pricing....................................................................................39
Figure 4.12 Rating of pricing..................................................................................40
Figure 4.13 Effect of ICT........................................................................................41
Figure 4.14 Rating of ICT.......................................................................................42

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 LIST OF ABBREVIATIONS/ACRONYM

DBM Diploma in Business Management

BAT British American Tobacco

KIM Kenya Institute of Management

MBO Management by Objectives

x
 OPERATIONAL DEFINITON OF TERMS

Banking floor Banking hall is a room in commercial bank used for purpose of
customer service. The service involved in banking hall include,
cash, deposits, cash withdrawal, enquiries etc.

Competition is the rivalry among sellers trying to achieve such goals as

increasing profits, market share, and sales volume by varying
the elements of the marketing mix: price, product, distribution,
and promotion.

Cost Cost is the amount of expenditure (actual or national) incurred

on or attributable to a specific thing or activity. It also presents
a specific, a foregoing or lease of something of value.

Government policy Organizational policy is the deliberate plan action to guide

decisions and achieve rational outcomes. The government is the
one that decides what is appropriate and so the organizations
negotiate their terms so as avoid clashing with their hosts, the
government.

Operation Management involves utilizing resources from staff, materials,

equipment and technology. Operations managers acquire,
develop and deliver goods to client based on client wants and
abilities of the company.

Technology Making, usage modification and knowledge of tools, machines,

techniques and methods of organization in-

Order to solve a problem, improve pre-existing solution

to a problem, achieve a goal or perform a specific functions.

xi
ii
 CHAPTER ONE
INTRODUCTION OF THE STUDY

1.1 Introduction
This study covers an investigation to the factors affecting consumer purchasing decision in
manufacturing sector. The chapter consists of eight sections namely, the introduction,
background of the study, statement of the problem, objective of the study, research question,
significance of the study, scope of the study and finally limitation of the study.

1.2 Background of the study

In today’s global markets in the evaluation stage, the consumer ranks brands and forms
purchase intentions. And they preferred to buy high quality products and they look on the
attitudes of others and unexpected situational factors which based on expected income,
expected price, and expected product benefits (Kotler, 2008). In order for every final
consumer in East Africa to purchase a particular goods or services, he or she must reach the
purchasing decision to those goods or services but this purchasing decision differ from one
final consumer to another due to several factors which affect purchasing decision such as
price, attitude, advertisement, social influences, fashion, education, family life cycle and
income (William, 2010).

A consumer engages in purchasing activities several times per day. The purchase itself is the
only visible evidence of a more complex process that a consumer goes through for every
decision he or she makes. However, every purchase decision is different and requires
different amount of time and effort. A decision-making process starts with the recognition of
need. There are a few types of classifications of need recognition. One type is where the
buyer recognizes a need or problem that can be triggered by internal or external stimuli.
Internal stimuli are a human’s basic needs, for example hunger that makes stomach grumble
and gets the consumer buy a hamburger. External stimuli can be for example an
advertisement that can get you to thinking about buying a new computer. According to Kotler
& Armstrong (2010), the consumer often sees a significant difference between the current
state and desired state. The need recognition process can occur naturally but often marketers
can set it in motion. Marketers are trying to create demand where consumers are encouraged
to use a product regardless of the brand they choose. Marketers will try to convince
consumers to choose their brand instead of others. (Solomon 2004).

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Sometimes consumers can choose products without any information and other times
information needs to be searched carefully for identifying all alternatives. According to
Solomon, (2004) the consumers can get information from multiple sources by talking with
friends or family, reading magazines or using the Internet search or handling the product. The
amount of the searching will mostly depend on your drive, obtaining of the information and
satisfaction got from the search. Nowadays consumers get a huge amount of information
from commercial sources that are controlled by marketers. Still, the most effective sources
tend to be personal such as family or friends. Consumers can obtain information and increase
awareness towards available brands. This information helps consumers to drop some brands
when making the final selection of the brand.

The evaluation of alternatives will vary among customers’ and purchases. According Wright,
(2006) in some cases customers make little or no evaluation and make their buying decision
based on impulse and intuition. In cases where little or no evaluation of alternatives is used
can be originated by a habitual decision process. On the other hand, the consumers who are
engaged to an extended problem solving process may carefully evaluate among several
brands. The alternatives that are actively considered during the selection process are known
as consumers’ evoked set. This evoked set consists of products or brands that are already in
the consumer’s memory plus important ones in retail environment. Even if a consumer
ponders among many alternatives, the evoked set usually includes only a small number of
alternatives. These alternatives share few similar features with each other (Solomon 2004).
All consumer-buying decisions are not alike and amount of effort put into the decision
making process differs. When the decision-making process is almost automatic, snap
judgment can be made with little information search. This kind of routinely made buying
decision involves little risk and low involvement. Other times the decision-making process
requires a lot of time and information search. The products that are bought rarely involve
high risk and extensive problem solving (Kardes et al. 2011).

Consumer behavior studies individuals and groups when they select, purchase, use and
dispose products, ideas, services or experiences. There is a huge variety of consumers from a
small child asking mum to buy a new game to an international corporation executive making
a huge investment deal. Consumers seek items to satisfy their basic needs and desires.
Consumer behavior is much more than studying what consumers buy. It attempts to
understand how the decision-making process goes and how it affects consumers’ buying
behavior. According to Solomon (2004), marketers study consumers buying patterns to solve

2
where they buy, what they buy and why they buy. However, why consumers buy a specific
product is not easy to solve because the answer is locked deep within the consumers’ mind.
According to Kardes et al. (2011), generally consumers can be categorized to individual and
organizational consumers. Individual consumers try to satisfy their own needs and wants by
purchasing for themselves or satisfy the need of others by buying for them. These individual
consumers can come from different backgrounds, ages and life stages.

A consumer’s buying behavior is influenced by cultural, social, personal and psychological

factors. Consumer behavior is a part of human behavior and by studying previous buying
behavior; marketers can estimate how consumers might behave in the future when making
purchasing decisions. According to Kotler & Armstrong (2010), the focus on the social,
personal and psychological characteristics of consumer behavior, every consumer is an
individual, but still belongs to a group. The group to which a consumer belongs is called a
membership group. This is a direct and simple classification. The second group type is a
reference group. The reference group influences the self-image of consumers and consumers’
behavior. The reference group provides some points of comparison to consumers about their
behavior, lifestyle or habits. Usually there are many smaller reference groups, which are
formed by family, close friends, neighbors, work group or other people that consumers
associate with. The groups to which a consumer does not belong yet can also influence. These
aspiration groups are groups where a consumer aspires to belong and wants to be part in the
future (Khan, 2006).

Family members can influence individual consumers’ buying behavior. A family forms the
environment for an individual to acquire values, develop and shape personality. This
environment offers the possibility to develop attitudes and opinions towards several subjects
such as social relations, society and politics. A family creates first perceptions about brands or
products and consumer habits.

According to Khan (2006), the consumers who have created brand perceptions when they
were young can carry out these same brand selections in the adult life without even
recognizing that their family influenced these selections. Individuals play many different
roles in their lives. Each role consists of activities and attitudes that are expected from an
individual to perform according to the persons around him. Social status reflects the position
that individuals have in social groups based on such things as money and wealth, education or

3
occupation. In many societies status is important and people want the admiration of others.
Social status can be acquired by being successful in life or being born 60.
Consumers’ change during their life and buying of products alter depending on age and stage
of life. Age related factors are such as taste in food, clothing, recreation and furniture.
Moreover, environment, values, lifestyle, hobbies and consumer habits evolve during
lifetime. Family life stages change purchasing behavior and brand selection. Traditionally a
family life cycle included only young singles and married couples with children. Nowadays
marketers are focusing on alternative, nontraditional stages such as unmarried couples,
childless couples, same sex couples, single parents and singles marrying later in life.
According to Kotler & Armstrong (2010), it can be assumed that consumers ‘taste can change
during lifetime and has influence on coffee brand selection indifferent stages of life. A
consumer’s occupation and purchasing power influence purchasing decisions and buying
behavior. The income level affects what consumers can afford and the perspective towards
money. People, who share similar occupations, tend to have similar taste in music, clothing
and leisure activities. They usually socialize with each other, and share the same kind of
values and ideas. Income level affects on what consumer can afford and perspective towards
money (Solomon2004). Individuals from lower income groups are probably more interested
in buying products that are necessary for survival than spending on luxury brands or designer
clothes.

A consumer is an individual who has different kind of needs. These needs can be biological
like thirst or psychological arising from the need of recognition or belonging. A need can be
aroused to a sufficient level of intensity when it alters a motive. A motive is basically a need
that drives a person to seek satisfaction. Abraham Maslow is probably the most know
psychologist who has examined these human needs. He sought to explain why humans are
driven by different needs at different times (Kotler & Armstrong 2010). The basic rule is to
satisfy first the basic need before proceeding up the ladder. When that need has been fulfilled,
it stops being a motivator and a person focuses on the next most important need.

1.2.1 Profile of British American Tobacco Kenya Ltd (BAT.NRB)

British American Tobacco Kenya Limited is a Kenya based company, which is engage in the
manufacture and sale of cigarette and tobacco. The company has over 10 brands sold in the
Kenya market. The company’s factory in Nairobi supplies various markets and produces a
range of products. The company’s factory is a manufacturing hub for the Eastern Europe,
Middle East and Africa region. The company’s brands include Dunhill, Embassy and

4
Sportsman. The company also offers Rothmans in the Kenyan market. The company’s
company other products include Dunhill Release, a mentholated convertible cigarette;
Embassy fresh, a differentiated menthol cigarette, and Dunhill Switch, a capsule offer. The
company has a Green leaf Threshing plant in Thika. The company is subsidiary of British
American Tobacco Plc.
1.2.2 Organization structure
Figure 1.1 Organization Structure of British American Tobacco

CEO

Procurement Finance Marketing Production

Manager Manager Manager Manager

Procurement Finance Marketing Production

Officers Officers Officers Manager

Finance Marketing Production

Procurement
Supporting Supporting Supporting Staf
Supporting Staf
Staf Staf
Source: BAT (2017)
1.3 Statement of the problem
As the number of educated Kenyan is growing rapidly with the new younger generation, their
expectations and demands for customer service has increased, as well as their options and
choices. Consumers or buyers will ask a lot of sensible and technical questions, and demand
specifications and explanations about their products. Opinions on product comparisons,
selection and choices are been tested frequently. The attitudes that consumers have about
products has also changed from the past. Some consumers, who have created brand
perceptions when they were young, can carry out these same brand selections in the adult life
without even recognizing that their family influenced these selections. This area cannot be
over-emphasized (Euro monitor, 2007). The selection of the best alternative whereby
consumers ready for the buying act, an exchange of money, a promise to pay or support in

5
return for ownership of a specific product or performance of specific service is what known
as purchasing decision. This act is a problem because it is very difficult for consumers to
purchase or to reach purchasing decision without influenced by any internal and external
factors even if the goods or service is of low quality, quantity as well as low price.

Hence, with the changing economy and a new generation in Kenya, the entrepreneurs must
recognize changes in consumers’ purchasing patterns, as well as how they make purchasing
decisions, in order to keep up with their needs and requirements. Manufacturers must also
equip themselves with through knowledge about their products and services. They must live
up to consumers’ expectations. Otherwise their traditional and conservative sales and
marketing strategy will put them way behind and out of business very soon. A very different
approach has to be drafted to attract these new consumers. As well as coming up with new
ideas, being unique and offering better services, products, or being different from the rest is
essential (Kotler & Keller, 2006). Even though studies have been done on consumer
purchasing decisions, little study has been done to establish the factors affecting consumer
purchase decisions at BAT. The researcher therefore, concludes that this is a research gap that
needs to be addressed by establishing perceived factors affecting the consumer purchase
decisions at British American Tobacco (BAT).

1.4 Objective of the study

1.4.1 General objective

The main objective of the research is to determine factors affecting consumer purchasing
decision in the manufacturing sector

1.4.2 Specific objectives

i. To identify the extent to which procurement procedures affect consumer purchasing

decision in manufacturing sector in Kenya?

ii. To examine the effect of Packaging design on consumer purchasing decision in

manufacturing sector in Kenya.

iii. To determine the effect of pricing on consumer purchasing decision in manufacturing

industry in Kenya.

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 iv. To determine the effect of information and communication technology on consumer
purchasing decision in the manufacturing sector in Kenya.

1.5 Research Questions

i. What extent does Procurement procedures affect consumer purchasing decision in

manufacturing sector in Kenya?

ii. What are the effects of Packaging design on consumer purchasing decision in
manufacturing sector in Kenya?

iii. How does pricing affect consumer purchasing decision in manufacturing sector in
Kenya?

iv. How does ICT affect consumer purchasing decision in manufacturing sector in
Kenya?

1.6 Significance of the study

The results of the study may be beneficial to various groups of people in various ways.

1.6.1 British American Tobacco company

The British American Tobacco Organization, the findings of the study will assist British
American Tobacco Company in determining ways in which they can enhance their products
and get more customers compared to their competitors.

1.6.2 Procurement officers

Procurement officers will again information on how to exploit the cost saving aspect in their
various functional areas. The findings of this study will provide a better understanding of the
factors affecting consumer purchasing decision and provide insights on how they can be
minimized.

1.6.3 Consumers

Consumers are main reason why most organization exists and therefore, everything that the
organization does is in the interest of customers. Consumers also benefit since they will be
able to know the factors that affect them specially when making the purchasing decision of a
product.

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1.6.4 Researchers and academicians

The findings will be able to help other researchers and also scholars who need the
information about the factors that affect consumer purchasing decision in manufacturing
sector and help them promote their education and also learn new things.

1.7 The limitations of the study

The following were the potential limitation to this study and ways in which the researcher
intends to counter each of them.

1.7.1 Biased information

The researcher experienced challenges in situations where the respondents give untrue
information. This is because this had the potential of affecting the validity of the researcher.
The researcher surmounted this by approaching the respondents in a professionally, assured
them of their confidentiality and engaging them in an interaction that ensured they don’t
introduce any bias.

1.7.2 Misunderstanding of the question

Some of the respondents also may have misunderstood the questions asked and ended up
giving the wrong information. To overcome this, the researcher took the initiative of
administering the questionnaire personally and ensured that clarification was offered when
needed.

1.7.3 Confidentiality

Some of the information being sought was of confidential nature and some respondents were
not willing to give such information. This was likely to prevent the researcher from accessing
the required information for study. The researcher subdued this by assuring the respondents
that the information will be used for academic purpose and that the information was going to
be handled in strict confidence.

1.7.4 Lack of cooperation

The researcher experienced lack of cooperation from the respondents. The information being
sought required an individual to take some time off from his busy schedule and fill in the
questionnaire. Also, some respondents were hostile and failed to assist the researcher in

8
conducting the survey despite being in the right position to respond on the issues of concern.
The researcher overcomes this by increasing the number of respondents.

1.8 The scope of the study

The researcher was limited in assessing the factor affecting consumer purchasing decision in
the manufacturing sector in Kenya with specific reference to British America Tobacco
Company which is situated in industrial area in Nairobi. The study covered a population of
150 employees consisting of top level management, middle level management and support
staff. The research study was carried out within a period of three months June to October
2017.

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 CHAPTER TWO

LITERATURE REVIEW

2.1 Introduction

The main purpose of this chapter is to understand what other contributions writers have on
the subject matter of the factors affecting consumer purchasing decision in manufacturing
sector. This chapter will help appreciate what other writers; both local and international have
written about the field of study and asses what possibly need to be researched further. Most
importantly try and fill in the blanks the researchers haven’t filled. The chapter concludes by
critically analyzing the researcher`s reasons for carrying out the research n a summary of
findings.

2.2 Review of Theoretical Literature

2.2.1 Procurement procedures

Lysons and Farrington (2006) defined a process as a set of sub process or stages focused on
achieving an output. Procurement process is a cycle or chain that shows the activities that
procurement goes through in obtaining a given need for operational and strategic purpose.
Wan lu (2007) argues that process consists of flow charts and blue print to describe a process
in pictures using symbols with arrow lines.

A procurement policy is simply the rules and regulations that are set in place to govern the
process of acquiring goods and services needed by an organization to function effectively
(Findlay 2009). The exact process will seek to minimize expenses associated with the
purchasing; the establishment of a set roster of vendors, and establishing reorder protocols
that help to keep inventories how without jeopardizing the function of the operation. Both
small and large companies as well as nonprofit organizations routinely make us of some sort
of procurement policy (Bartik 2009). There is no correct way to establish a procurement
policy, factors such as the size of the business, the availability of vendors to supply necessary
goods and services and cash flow and credit of the company will often influence the
purchasing procurement approach. (Golder 2007). The size of the company is likely to make
a difference in the formation of the procurement policy, in small company may not be able to
command the volume purchase discounts that a large corporation can manage with relative
ease (Gadde 2007).

10
Procurement policy benefits the organization by keeping cost in line and clearly defining how
purchases will be made (Hall 2009). As the needs of the entity change, there is a good chance
that the procurement policy will be adjusted to meet those new circumstances. This is
necessary to make sure the policy continues to function in the best interests of the company
or nonprofit organization and keep acquisition process simple and orderly (Gunther 2007),
according to PPOA (2007) the public procurement system in Kenya has been undergoing
consistent reforms with the global trend since mid 1990`s, most notably within the period
covering 1997 to 2001 and 2005. Previous to these reforms the legal framework governing
public procurement was very amorphous providing a conducive environment for the
perpetration of various malpractices in public procurement including the endemic corruption
that characterize the system. George (2010) contends that the level of compliance with
procurement regulations greatly influences the efficiency of the procurement procedures in
public sector organizations.

According to Patrick (2009), with the official launch of public procurement reforms, the
country set on the reform road in the area of public procurement by; putting in place a unified
legal and regulatory framework to guide the reforms. This was realized through the
gazettement of the exchequer and audit act public procurement, regulations (2009), which
harmonized all the treasury circulars and manual governing procurement in the public sector.
Putting in place an institution to oversee development and implementation of the public
procurement policy in Kenya and improve transparency. This was realized through the
creation of the public procurement directorate (PPD) to oversee the procurement process in
Kenya and the public procurement companies review and appeals board (PPCRAB) to handle
tendering disputes Act (PPOA 2007).

According to Johnson (2010), the landmark in the reforms was 2005 when the public
procurement and disposal act (2005) was enacted by parliament. The act established an
oversight body, the public procurement oversight authority (PPOA), public procurement
oversight advisory board and the public procurement administrative review board. Its
amended all other laws relating to procurement in public entities ensuring that all of it is done
under the umbrella of the Act thus widening the scope of application of the law and providing
a proper basis for enforcement. With the gazettement of the subsidiary legislation entitled
public procurement and disposal regulations 2006, the law becomes operational on 1st
January, 2007 (PPOA 2007).

11
2.2.2 Packaging design

Retie and Brewer (2000) state that package design is one of the most significant parts of
product strategy. Approximately 70 percent of all purchase decisions of goods are made at the
point of purchase. According to this we can conclude that the package itself is the only
marketing communication to the consumer during decision making time.

There are various factors influencing the buying behavior of consumers such as; packaging
color, design of wrapper, printed information, background image, packaging material,
innovation.

Packaging color, it has been proved that colors have strong effect on perception and therefore
color of packaging can be important. The right choice color is an important factor in creating
the impression needed to influence brand and product selection (Gofman 2010). Color of
packaging has an important role in making apart one company product from other. Cheskin
(2002) say that the selection the selection of the colors of color combinations is a necessary
process for creating a good design package. Color is a key element of design due to the fact
that it is a usually vivid and memorable. The package color can have a significant effect of
consumers` ability to recognize the product. Packaging color draws attention of the
consumer; every color creates different meaning according to the consumer perception. White
and black color are used for creating power, red for energy, blue is used for trust, green for
balance.

Packaging material, material of packaging is important which prevent the product from loss.
High quality material will attract customers more than a low (shah, Ahmed 2013). Front style
is important element of packaging which attract customer attention. Packaging information
can create contrary results. It can lead to misleading or inaccurate information through small
fronts and dense writing style which re used on the package (Deliya, Parmar 20012).

Design of wrapper, Ulrich R. Orth (2009) `` packaging is used for identification of the
product`` it plays an important role in attracting the consumer eye catching graphics make the
product stand out on the shelf and attract the consumer. Graphics can affect through colors
and printed lines on the package on which different signs and symbols are allocated.
Hologram and combinations of various materials can encourage consumers to touch the
package, thereby inspiring them to try the product (Rundh 2009). Printed information
contains all the information related to the product quality, price, description which help to

12
identify the brand. This helps customers to make the right decision and to purchase the
product. It is one of the most visible parts of product and important element of market mix
(Shah et al, 2003).

Background image, Goldberg (2000) said that image on the product is important so that they
increase the attention and increase familiarity with the particular product. Background image
is the image in that is created in the mind of the customer which helps to identify the brand of
the product. Pictures on the package in form of attractive situation such as mountains,
beaches, luxury houses and cars can assist in triggering lifestyle aspirations (Rundh 2009).
Many cosmetic companies design the background image of richness, luxury and exclusivity.

2.2.3 Pricing

According to Asker (2003) in ordinary usage, price is the quantity of payment or

compensation for something .Economist view money as the exchange ratio between goods
that are exchanged for each other. In the case of barter of two goods in the quantities x and y,
the price of a unit of the first good the ratio y/x, while the price of unit of second good is the
ratio x/y .This however has not been used consistently, so that old confusion regarding value
frequently reappears. The value of something is quantity counted in common units of value
called numeraire, which may even be an imaginary goods, this is done to compare different
goods. The unit of the value is frequently confused with price, because market value is
calculated as the quantity of some goods multiplied by its nominal price (Berkowits2007)

Caruana, (2004), theory of price asserts that the market price reflects interaction between two
opposing considerations. On the one side are demand considerations based on marginal
utility, while on the other side are supply consideration based on marginal cost. An
equilibrium price supposed to be at once equal to marginal utility (counted in units of
income) from buyer´s side and marginal cost from the seller´s side. Though this view is
accepted by almost every economist and it constitutes the core of mainstream economics, it
has recently been challenged seriously.

All profit organization and nonprofit organization face the task of setting a price on their
products. Through most of history, prices were set by buyers and sellers negotiation with
others. Sellers would ask for higher price than they expected to receive, and buyers would
offer less than they expected to pay, through bargaining they would arrive at an acceptable
price. Setting one price for all buyers is a relatively modern idea. It was given impetus by the

13
development of large scale retailing at the end of nineteenth century, Woolworth, Tiffany and
others advertised a strictly one price policy because they carried so many items and
supervised so many employees (Caruana, 2004).

Kotler (2003) through most history, price has operated as the major determinant of buyer
choice. This is still true in poorer nations, among poorer groups and major commodity type
products. However non price factors have become relatively more important in consumer
purchasing decision in the recent decades. Yet price still remains one of the most important
elements determining the company market share and profitability

Price is the only element in marketing mix that produces revenue, the other elements
represent cost. Yet many companies do not handle pricing well. The most common mistake
are pricing; pricing is cost orientated; price is not revised often enough to capitalize on
market changes; price is independently of the rest of the marketing mix rather than as an
intrinsic element market positioning strategy; and price is not varied enough for different
product items and market segments. Companies handle pricing in a variety of ways. In small
companies, prices are oftenest by top management rather than by the marketing or sales
department. In large companies, pricing is typically handled by divisional and product line
managers. Even here, top management set the general pricing objectives and policies and
often approves the prices proposed by lower levels of management (Kotler2003).

In industry where pricing is a key factor, companies will often establish a pricing department
to set prices of assist others in determining appropriate prices. This department reports either
to the marketing department or top management. Others who exert an influence on pricing
including sales managers, production manager, finance manager and accountants, pricing is a
problem when a firm has to set a price for the first time. This happens when a firm develops
or acquires a new product, when it introduces its regular product into a new distribution
channel or geographical area, and when it regularly enters bid on new contract work. The
firm has to consider a large number factors in setting a price for the first time:-selecting the
pricing objectives, determining demand, estimating costs, analyzing competitors prices and
offers, selecting a pricing method and selecting the final price ( Kotler, 2003)

Kotler (2002) the company first has to decide what it wants to accomplish with the particular
product. If the company has selected its target market and market positioning carefully, then
its marketing-mix strategy, including price, will be fairly straight forward. Pricing strategy is
largely determined by the prior decision on market positioning. It the same time, the company

14
may pursue additional objectives. The clearer a firm is about its objectives, the easier it is to
set price. Each possible price will have a different impact on such objectives as profits, sales
revenue, and market share. A company normally modifies its price as the product passes
through the product life cycle. The introductory stage is especially challenging. We can
distinguish between pricing and genuine product innovation that is patent protected and
pricing a product that imitates existing product. Pricing an innovative product, Companies
launching a patent-protected innovative product can choose between market-skimming
pricing and market-penetration pricing.

Kotler (2003) continues to talk about market-skimming pricing; many companies that invent
new patent-protected products set high price initially to skim the market. They estimate the
highest price they can charge given the comparative benefit of their new product versus the
available substitutes. They set a price that makes it just worthwhile for some segments of the
market to adopt the new material. After the initial sale slow down, they lower the price to
draw in the next price sensitive layer of customers. In this way, the companies skim the
maximum amount of revenue from various segment of the market, they first introduces an
expensive version of new camera and gradually introduce simpler, lower-priced models to
draw the new segment. Market skimming makes sense under the following conditions, a
sufficient number of buyers have a high current demand, The unit costs of producing small
volume are not so much higher that they cancel the advantage of charging what the traffic
will bear, the higher the initial price will not attract more competitors, the higher price
supports the image of superior product. Market-penetration pricing, other company set low
price on the innovative p

roduct hopping to attract a large number of buyers and win large market share. The lowing
conditions favor setting low price. The market is highly price sensitive, and a low price
stimulates more market growth, production and distribution cost fall with accumulated
production experience and a low price discourages actual and potential competition.

Rotich (2006) product-mix pricing, the logic of setting a price on a product has to be
modified when the product is part of a product mix. In this case, the firm searches for a
mutual set of prices that maximize the profits on the total product mix. Pricing is difficult
because of various products have demand and cost interrelationship and are subject to
different degrees of competition under the following situation, product line pricing companies
normally develop product lines rather than single products. Optional- offers product pricing

15
Companies optional products or features along with their main product. Management can
price this option higher to make them independently profitable or price them low to act as a
traffic builder. Captive-product pricing companies in certain industries produce products that
must be used with the main product. Example of captive product is razor blades and camera
film. Manufacturers of the main product (razor and cameras) often price them lower and set
high markups on supplies.

The task is to read the min of the competitor by using inside and outside sources of
information. The problem is complicated because the competitors can put different
interpretation on, say, a company price cut: the competitor can surmise that the company is
trying to steal the market, that the company is doing poorly and trying to boost its sale, or that
the company wants the whole industry to reduce price to stimulate total demand. When there
are several competitors, the company must stimulate each competitor`s likely reaction. If all
competitors behave alike, this stimulate amount to analysis of typical competitor. If
competitors do not act uniformly because of critical deference in size, market share or
policies operate analysis are necessary (Armstrong, 2005).

2.2.4 Information Communication Technology

Globalization is driven in large part of Information Technology, or IT. IT is composed of

computer and telecommunication, especially the internet has already had a significant effect
on purchasing process and procedures. By sharing information and processing electronic
transaction over the internet, suppliers are bang converted in to e-suppliers and customers are
being converted in to e-buyers. Large undertaking such afraid, have inducted that eventually
all that suppliers will be e-suppliers.

ICT has been applied in the procurement function to enhance the efficiency and effectiveness
of the function through reduced lead times, enable better stock control, project sales,
determine re-order level and stock control management. Various benefits resulting from the
application of ICT in procurement has led to its increased use and nowadays some of retail
organizations are making it mandatory to their suppliers due to positive results it delivers
(Chorafas, 2001). However, there are limitations that prevent its rapid implementation and
use. The cost of acquiring such technology is at times prohibitive to some organization and
there is need for an organization to train its personnel adequately in order to equip them with
the necessary skill (Kotler, 2003)

16
E-commerce is defined by the UK Department of trade and industry (DTI) as any form of
business transaction carried out electronically over public telephone system. E-commerce is
usually concerned with buying and selling of product and services over the internet. It`s
usually refers to a website that an online forefront or catalogue and the facility for electronic
order processing. E-commerce may also be conducted via more limited forms of electronic
communication, including e-mail, for and emerging use of telephone calls over the internet
(Lysons and Farrington, 2006)

Veness (2000) stated that technology seems to offer boundless possibilities and hope. A
company`s technology aids in work-flow design by facilitating communication and work
procedures. Technology aid in work procedures is called operational technology. Different
type of industries, departments and task require different levels of operational technology to
function. Technology that facilitates communication is called information technology or IT.
Similar to operational technology, IT changes depending on the needs of organization design.
As the characteristics of the firm`s technology change, the firm`s structure will also change to
accommodate new coordination needs. Change in organization structure also come about due
to changes complexity, or speed of information processing that a firm must undertake to
make decisions. Differentiation provides the benefits of a division of labor. But without
integrity this benefits are lost and few benefits are obtained from units being grouped together
within the firm. Managers should attempt to strike a balance between differentiation and
integrity Technology is the making, modification, usage, and knowledge of tools, machines,
techniques, crafts, systems, methods of organization, in order to solve a problem, improve a
pre-existing solution to a problem, achieve a goal or perform a specific function. It can also
refer to the collection of such tools, machinery, modifications, arrangements and procedures.
Technologies significantly affect human as well as other animal species' ability to control and
adapt to their natural environments. The human species' use of technology began with the
conversion of natural resources into simple tools. The prehistorically discovery of the ability
to control fire increased the available sources of food and the invention of the wheel helped
humans in travelling in and controlling their environment. Recent technological
developments, including the printing press, the telephone, and the Internet, have lessened
physical barriers to communication and allowed humans to interact freely on a global scale.
However, not all technology has been used for peaceful purposes; the development of
weapons of ever-increasing destructive power has progressed throughout history, from clubs
to nuclear weapons (Brauley, 2005).

17
Technology has affected society and its surroundings in a number of ways. In many societies,
technology has helped develop more advanced economies (including today's global
economy) and has allowed the rise of a leisure class. Many technological processes produce
unwanted by-products, known as pollution, and deplete natural resources, to the detriment of
the Earth and its environment. Various implementations of technology influence the values of
a society and new technology often raises new ethical questions. Examples include the rise of
the notion of efficiency in terms of human productivity, a term originally applied only to
machines, and the challenge of traditional norms. Philosophical debates have arisen over the
present and future use of technology in society, with disagreements over whether technology
improves the human condition or worsens it. Neo-Luddism, anarchy-primitivism, and similar
movements criticize the pervasiveness of technology in the modern world, opining that it
harms the environment and alienates people; proponents of ideologies such as Tran’s
humanism and techno-progressivism view continued technological progress as beneficial to
society and the human condition. Indeed, until recently, it was believed that the development
of technology was restricted only to human beings, but recent scientific studies indicate that
other primates and certain dolphin communities have developed simple tools and learned to
pass their knowledge to other generations (Griffin, 2002).

John (2006), asserts that computer industry, threats come from a stagnant economy and
growth and the quick relationship into decline phase having important effects on the
marketing. The cost of technology is plummeting causing the customers value such as quality,
service relationship. Technology still provides value through the development of new
products, still change existing product and the way they are produced. Many companies are
using Technological Development to allow recycling products through the manufacturing
cycle several times. Conflicts in managing systems and process arise when they do not
deliver to users what they are expected to deliver. Users expect an appropriate design and full
support if either of these are lacking, they are rightly angry that is; their design does not take
sufficient account of user needs and is not user friendly .They no longer serve their original
purpose. The manager pays insufficient attention to developing them to meet new demands.
Support from technicians is inadequate relying heavily on computer system which is prone to
failures.

According to David (2005), a company technology can be defines as the equipment, people
and procedure used to produce its own products and services. The choice of technology

18
affects every aspect of production process. A company’s technological capability and the
ways in which it uses technology are important strategic issues. More recent technological
advances are dramatically changing the structure of the modern organization from the
assembly line to the executive suites new manufacturing and information processing
technologies are revolutionizing life in organization’s activities. Technology can be grouped
into two categories namely; information technology and communication. The two categories
affect, marketing in one way or another. Bill Gates, chairman of Microsoft states “the internet
is not just another sales channel; it will transform your business. The future company will
operate with a digital nervous system.”

Technology has an impact on the organization as a whole e.g. linking the customers to the
system, can improve efficiently and more effectively by providing better service to
customers. The application of technology has improved the organization’s ability to respond
to each customer or client’s unique products/service needs. Computer systems can help an
organization record, process and keep track of the many details needed to provide customers
with what they want, when they want it, and in the manner that they want. Technology will
help an organization to answer customer’s queries faster and to keep on customer’s
wants/needs. Technology has enabled the exchange of information between men and
machines through voice, image, data or multimedia which basically characterizes future
information technology Road Transportation which is driving our society’s dramatic
transformation to information based on economy. The availability of such enables the
information that is used or passed to be simple, secure, reliable and cost effective (Hicks,
2005).

According to Boone (2002), technology is abroad concept referring to the application of

available knowledge and skills to create and use materials, process and products. The
technology is often accorded a dominant role in business and it is often viewed as
determining products, process organization structures and the individual attitude to work. ICT
refers to the convergence of technological, developments in microelectronics, computing,
telecommunication, fibre optics and lasers. This has enhanced quality, quality and speed of
transmission, enabled the development of a global linked economy and given managers and
some workers potential, flexibility in and control over work operations. Firms operate within
certain technological imperatives, which shape not only the product ant the process they use,
but the structure of the organization between people and individual job satisfaction. To
Woodward, technologies not only determine organizations structure, but the relationship

19
between individual departments and focus on each business and are crucial to the success of a
business. Woodward’s view of technology would appear to give the manager no choice at all.
Technology is dominant and managers fail to adapt it at their peril. The reason why business
should want to develop information systems is because it improves customer’s service.

Computers system can often allow organizations to serve customers more quickly or to
provide them with additional services. To improve management information, management
decisions can only be as good as the information on which they are based, thereby enabling
managers to institute new types of enquiry when changing business conditions demand new
or different information to secure or defend competitive advantage (Hirish, 2007).

Two things are certain: first, IT is now at the centre of most businesses; second, business is a
moving target. The demand for coordinating across value chain, functions, markets, and
geographies will continue to accelerate, and it will be impossible to respond to this challenge
without driving new ways of thinking through corporate ranks. Information technology is
fundamental to corporate success, and an IT decision, like all other business decisions, must
consider the value of its contribution to the business. In light of this, a solid, sound business
case for IT investment requires mature IT and business judgment. Octavin (2005), states that
there are no shortcuts to developing maturity or to developing judgment-both take time and
experience. There is only one way to gain traction in these circumstances and that is to apply
the collective experience of both IT and business people to the pursuit and execution of a
single corporate strategy. In this case the integrated whole is definitely much greater than the
sum of the two parts.

According to Boone (2002), technology is abroad concept referring to the application of

available knowledge and skills to create and use materials, process and products. The
technology is often accorded a dominant role in business and it is often viewed as
determining products, process organization structures and the individual attitude to work. ICT
refers to the convergence of technological, developments in microelectronics, computing,
telecommunication, fibred optics and lasers. This has enhanced quality, quality and speed of
transmission, enabled the development of a global linked economy and given managers and
some workers potential, flexibility in and control over work operations. Firms operate within
certain technological imperatives, which shape not only the product ant the process they use,
but the structure of the organization between people and individual job satisfaction. To
Woodward, technologies not only determine organizations structure, but the relationship

20
between individual departments and focus on each business and are crucial to the success of a
business.

According to Deming (1995), a company technology can be defined as the equipment, people
and procedure used to produce its own products and services. The choice of technology
affects every aspect of production process. A company’s technological capability and the
ways in which it uses technology are important strategic issues. More recent technological
advances are dramatically changing the structure of the modern organization from the
assembly line to the executive suites new manufacturing and information processing
technologies are revolutionizing life in organization’s activities. Technology can be grouped
into two categories namely; information technology and communication. The two categories
affect, marketing in one way or another. Bill Gates, chairman of Microsoft states “the internet
is not just another sales channel; it will transform your business. The future company will
operate with a digital nervous system. Technology has an impact on the organization as a
whole e.g. linking the customers to the system, can improve efficiently and more effectively
by providing better service to customers. The application of technology has improved the
organization’s ability to respond to each customer or client’s unique products/service needs.
Computer systems can help an organization record, process and keep track of the many
details needed to provide customers with what they want, when they want it, and in the
manner that they want. Technology will help an organization to answer customer’s queries
faster and to keep on customer’s wants/needs. Technology has enabled the exchange of
information between men and machines through voice, image, data or multimedia which
basically characterizes future information technology Road Transportation which is driving
our society’s dramatic transformation to information based on economy. The availability of
such enables the information that is used or passed to be simple, secure, reliable and cost
effective.

According to Cole (2004), today a company cannot succeed without incorporating into its
strategy the astonishing technologies that exist and continue to evolve. Technology advance
create new products, advanced production techniques and better ways of managing and
communicating. In addition, as new technology evolves, new industries, markets and
competitive niches develop. New technologies also provide new production techniques. In
manufacturing, sophisticated robots performs jobs without suffering, fatigue, requiring
vacations or weekend off or demanding wage increase. They also provide new ways to

21
manage and communicate computerized management information systems make information
available when needed. Computer monitors productivity and performance deficiencies.
Advances in design and manufacturing technology have made it possible to reduce
substantially the amount of time to introduce a new product in market. The computers and
statistical analysis in manufacturing have boosted quality with machines and processes
integrated by means of common databases and routines that simplify procedures and reduce
the potential of human error.

According to Griffin (2002), the most significant contribution of advances manufacturing

technologies is that of mass atomization- the ability to produce a wide variety of a product by
using the same basis design and production equipment, but making certain modifications to
meet the demand of a broader market. Computers are pointing the way to an automated
society. The development of robots to work in certain hostile situations, such as fire fighting,
security of sensitive establishments and space exploration could bring considerable benefits.
Industrial robots, which have the capacity to charge industrial practice radically and to bring
about automation on a scale not yet envisaged or understood, may not be socially acceptable.
Computers are used in organizations to improve the quality and accelerate the flow of
information and thus speed up and improve the performance of planning, decision making
and control activities.

2.3 Critical literature

The use of information system has brought change in the function of purchasing and supplies.
Management has also paid more attention to this area and they have understood it is very
important to the organization. They are therefore investing a lot of resources to improve it.
This is because it enhances decision making therefore management need to take a lot of time
locking themselves in to day long meetings.

The use of information system generally improves the quality of decision they quicken the
process of decision making and facilitate proper monitoring of all the products brought in and
also able to trace when they leave the organization therefore enabling organization to plan
when to purchase. Cox and Britain (2000) argue that the use of integrated systems to monitor
products that may go bad or get damaged before they are sold gives the management
adequate information of the expected profit and tax to pay to the government. Modern
methods or purchasing and sharing of information over the internet had made it easy for the

22
purchasers and the trend seems to be on the direction. Therefore, those who have not actually
started using these systems it`s just matter of time and they start using it. The benefits of
information systems technology for much outweigh the disadvantages and it is evidenced that
proper use can results to cost saving measures.

2.4 Summary

Various authors tend to agree that despite in some case it becomes challenging to use the
system, they are quite important and their use have a lot of benefits to the organization. The
use of modern technology in other fields can also be combined in order to obtain a great deal
of benefits, for instance the merger with various institutions. Information systems play a vital
role in the organization and their use is very crucial to organizations due to the speed at which
they execute tasks. They are also able to store large amount of data and help in tracking
information of interest and give you feedback as and required.

2.5 Conceptual Framework

Figure 2.1 Conceptual framework

Independent Variable Dependent Variable

Procurement procedures

Packaging design

Factors affecting
Consumer Purchasing
Pricing Decision

Information
Communication
Technology

Source: Authors (2017)

23
2.5.1 Company Policy
The negative effect of company intervention in economic sector outweighs the benefits of
policies and methods implemented to help customer. These policies are found in both the
agricultural and business sectors of the economy. On the agricultural side, these policies
range from price policies to direct payments to input policies. On the business side, the
government can intervene by implementing strict safety and health regulations, tariffs and
subsidies and government loans. While all of these policies seem to have beneficial short-
term effects, they never have positive long-term effects.
2.5.2 Packaging design
Packaging material is important which prevent the product from loss. High quality material
will attract consumers more than low and therefore company should ensure that the material
used for packaging are of high standard in order for the co attract more customers than their
competitors.
2.5.3 Pricing
This is the market value, or agreed exchange value, that will purchase a definite quality,
weight or other measure of a good or service. As the consideration is given in exchange for
transfer of ownership, price forms the essential basis of commercial transactions. It will be
fixed by contract (such as sale of goods contract). Left to be determined by agreed upon
formula at a future date, or discovered or negotiated during the course of dealings between
the parties involved. In commerce, it boils down to what a buyer is willing to pay, a seller is
willing to accept, and the competition is allowing to be charged. With product, promotion and
place of marketing mix, it is one of the business variables over which a firm can exercise
some degree of control price is the amount of money charged for product or service, if the
prices at the organization are set appropriately will encourage making of decision making.
2.5.4 Information Communication Technology
As defined by the Information Technology Association of American (ITAA), ICT is the study,
designed, development, implementation, support or management of computer based
information systems, practically software application and computer hardware. Application of
ICT in procurement activities, linking of procurement function with departments and also
supplier organizations. Information Communication Technology estimates costs of
overstocking and under stocking and the increased efficiency of just in-time inventory
systems. Sharing of information can provide participants deficiency, flexibility and
innovation to respond to the competition of global market.

24
 CHAPTER THREE
RESEARCH DESIGN AND METHODOLOGY
3.1 Introduction
This chapter highlights the methodology and procedure that was used in collecting and
analyzing the data in the study. Research design refers to the logical and systematic planning
and directing a piece of research. The plan structure and strategy that the researcher used in
the study are discussed in this chapter. It contains information concerning the approaches that
was used to facilitate the study. It also contains details concerning the arrangement, collection
and analysis methods used in order to come up with the most relevant and valid findings.
3.2 Study design
The study was conducted using descriptive research design. This approach was facilitate an
in-depth analysis of the research variables in the understanding and interpretation of findings
and hence to enable the answering of the research questions. This study required collection of
both quantitative and qualitative data. In order to pick up the expected data that would help in
clarification and interpretation of data collected the study had to be flexible. According to
Gay (1987) descriptive research design involves taking collecting data in-order to test
hypothesis or answer research questions concerning the current state of subject of study.
The research design adopted therefore in the study involved a visit to the study site (BAT
Industrial area Nairobi) by the researcher to interview the employees and the managing staff
members that are in the industry. This was considered appropriate since it involved visiting
the respondents in their natural environment where they were expected to give the
information freely.
3.3 Target Population
Gubbins (1998) defines target population as the totality or individuals under consideration of
which the statistical attributes may be estimated by the study of a sample or samples drawn
from it. In this study, the researcher targeted the British American Tobacco Company Kenya
which is located in Industrial Area Nairobi. The
company was chosen since it register high customer visits, it`s convenient location for most
customers and its offers a wide range of products.

25
Table 3.1 Target Population
Category of population Target population Percentage
components
Supporting staff 90 60
Procurement staff 15 10
Finance staff 12 8
Marketing staff 15 10
Production staff 12 8
Management staff 6 4
Total 150 100

Source: BAT (2017)

3.4 Sampling Design
Bryman and Bell (2003) define a sample of the population that is selected for investigation.
On the other hand, sampling is the procedure used in selecting the population units that
constitute a sample. Stratified random sampling was used since each unit of the population
had an equal probability of inclusion in the sample and there is no opportunity, since there are
about 150 employees directly involved in the company`s activities, a total number of 50
employees were chosen. The researcher made use of the table of random number in order to
choose the respondents. With this method, each member had an equal opportunity of being
chosen hence bias reduced. Table 3.2 shows a tabular analysis of the sample size and sample
percentage of the study as per the identified strata.
Table3.2 Sample Size
Category of Population Target Sample Size Sample
components population percentage
Supporting staff 90 30 60
Procurement staff 15 5 10
Finance staff 12 4 8
Marketing staff 15 5 10
Production staff 12 4 8
Management staff 6 2 4
Total 150 50 100
Source: Authors (2017)
3.5 Data collection Procedures/instruments used
3.5.1 Data Collection Procedures
Both primary and secondary data was utilized in this study. Primary data refers to data
collection for the first time specifically for the issue under investigation (Sekaran, 2004). The

26
primary data in this case includes interviews and questionnaires to source crucial information
from BAT`s employees in all departments
3.5.2 Secondary Data
Secondary data is the data already existing having being collected for some other reasons,
other than the one under investigation. Under this study data will be drawn from the review
of existing literature, published reports, internet, industry analysis offered by the media,
documented materials on the subject such as journals, newspapers, company`s records,
magazines and abstracts
3.5.3 Questionnaire
Survey method was used to collect data where respondents were asked questions relating to
the factors affecting consumers purchasing decision in manufacturing sector. The data was
collected using personally administered structured questionnaire, consisting of both open
ended and closed ended questions.
3.5.4 Reliability and validity
A pilot study was carried out on a small number of respondents to detect any weaknesses in
the design and instrumentation. Since the study involved self administered type of data
collection questionnaires was revised to reduce cases of ambiguity
3.5.5 Interviewing
Interview was conducted by the researcher to get the information needed for the study, the
researcher used face to face interview where he was able to get the required information
directly from the respondent
3.6 Data Analysis Methods
Data analysis is the process of packaging the collected information in a form that can be
understood by the person undertaking the research. In this study, descriptive statistics was
used to analyze the data. This was to explain and describe what the data was showing about
the factors affecting consumer purchasing decision in the manufacturing sector. Before
analyzing the data, it was edited, coded in to excel worksheet, where the researcher was able
to use Statistical Package for Social Scientists (SPSS) to analyze the data. This was to ensure
accuracy of data. Frequency tables, graphs and measures of central tendency were used to
present the results for easier understanding and interpretation. In addition, common themes
were captured through content analysis.

27
 CHAPTER FOUR

DATA ANALYSIS, PRESENTATION AND INTERPRETATION OF FINDINGS

4.1 Introduction

28
This chapter discusses data analysis, presentation of findings and interpretation. After
collecting data from the respondents, the data was edited, classified, coded and tabulated. The
data analysis was based on the research objectives and questionnaire items which were
analyzed using statistical tools like frequency distribution tables and graphs as presented in
the results. The first section contains an analysis of information on quantitative term while the
other part details finding that form the judgmental opinion held by majority of the
respondents- the chapter is concluded through a summary of the data analysis.

4.2 Presentation of findings

This research details findings as analyzed from the feedback received from the respondents.
The quantitative analysis and results have been presented in form of tables, figures, charts
and graphs as well as percentages of the response rate.

4.2.1 Response Rate

From the findings on table and graph 4.2, out of 50 questionnaires that were administered to
the respondents, 47 of them were returned for analysis. This translated to 94% response rate
was achieved which was considered to be moderately high and good enough for the analysis.
Only three of the questionnaires issued which were not returned which accounted for 6% of
the total number issued. These findings are shown in table 4.1 and figure 4.1.

Table 4.1 Respondent Rate

Population category Frequency Percentage

Actual response 47 94

Non-response 3 6

TOTAL 50 100

Source Author (2017)

Figure 4.1 Respondent Rate

29
Source: Author (2017)

4.2.2 Gender

Table 4.2 Respondents Gender

Gender Frequency Percentage

Male 39 83

Female 8 17

TOTAL 47 100

Source: Author (2011)

Figure 4.2 Gender

Male
Female

Source: Author (2017)

From table 4.2, the findings indicate that 83% of the respondents were male where as those
who were female constituted 17%. This indicates that there were more male respondents as
compared to their female counterparts.

4.2.3 Respondents Age Group

Table 4.3 Respondents Age

Age Bracket Frequency Percentage

21-30 6 13

30
31-40 27 57

41-50 12 26

51 and above 2 4

TOTAL 47 100

Source: Author (2017)

Figure 4.3 Respondent Age Group

Source: Author (2017)

From the findings on table 4.3, and figure 4.3, the researcher established from the analysis
that majority of the respondents who constituted 57% fell into the age bracket of 31-40 years,
26% of the respondents fell within the age bracket of 41-50 years, 13% of the respondents
were aged between 21-30 years and 4% of the respondents were 51 years and above.

4.2.4 Number of year of Service

Table 4.4 Number of years of service

Category Frequency Percentage

Less than 2 Years 16 34

2-6 years 10 21

6-10 years 6 13

10-14 years 11 23

31
Above 14 years 4 9

Total 47 100

Source: Author (2017)

Figure4.4 Number of years of service

Source: Author (2017)

Table 4.4 and figure 4.4 above show the distribution the distribution of respondent according
to the number of years of service in company. 34% of the respondent had less than 2 years of
service, 21% were ranging between 2-4 years of service while 13% were of 6-10 year , 23%
represented 10-14 years of service and 9% represented above 14 years of service.

4.2.5 Management level

Table 4.5 Management level

Category Frequency Percentage

Senior management 8 17

Middle management 14 30

Supporting staff 25 53

32
Total 47 100

Source: Author (2017)

Figure 4.5 Management level

Source: Author (2017)

Figure 4.5 and table 4.5 shows the management levels of the respondents, 17% of the
respondents were of top management, 30% of the respondent where from the middle
management while 53% of the respondents were from supporting staff.

4.2.6 Highest Level of Education

Figure 4.6 Level of Education

Category Frequency Percentage

Secondary 6 13

Diploma 10 21

Degree 20 43

Masters 11 23

33
Total 47 100

Source: Author

Table 4.6 level of Education

Source: Author (2017)

Figure 4.6 and table 4.6 indicates that 13% of the respondents were having secondary
qualification in education, 21% were having diploma, and 43% were qualified with degree
while 23% indicate that the respondents had masters. From the finding indicates that majority
of the respondents are having degree certificate qualification.

4.2.7 Does Procurement procedures affect consumer purchasing decision in the

manufacturing sector?

Table 4.7 Analysis of procurement procedures on Consumer Purchasing Decision in the

Manufacturing sector

Category Frequency Percentage

Yes 36 76

No 11 24

TOTAL 47 100

34
Source: Author (2017)

Figure 4.7 Analysis of procurement procedures on consumer purchasing decision in the

manufacturing sector

Source: Author (2017)

Figure 4.7 and Table 4.7 shows effect of procurement procedures on consumer purchasing
decision in manufacturing sector. Based on the analysis 76% of the total respondents indicate
that procurement procedures had an effect on consumer purchasing decision in the
manufacturing sector, while 24% of the total respondents’ states that company policy had no
effect on effect on consumer purchasing decision in the manufacturing sector.

4.2.8 To what extent does a procurement procedure affect Consumer Purchasing

Decision in manufacturing sector?

Table 4.8 analysis of extent that procurement procedures affects consumer purchasing
decision in manufacturing sector

Category Frequency Percentage

Very High 12 25

High 16 34

Average 5 11

Low 3 6

35
No 11 24

TOTAL 47 100

Source: Author (2017)

Figure 4.8 analysis of extent that procurement procedures affect consumer purchasing
decision in the manufacturing sector

Source: Author (2017)

Table4.8 and figure 4.8 shows the response on how they rated procurement procedures based
on the analysis, 25% of the total respondents rated company policy effect on consumer
purchasing decision in the manufacturing sector very high, 34% of the respondent rated it as
high, 11% of the respondents rated it as average, 6% rated it as low while 24% of the
respondents rate procurement procedures as not affecting consumers purchasing decision in
the manufacturing sector.

4.2.9 Does packaging design affect consumer purchasing decision in the manufacturing
sector?

Table 4.9 Analysis of packaging design on consumer purchasing decision in the

manufacturing sector

Category Frequency Percentage

Yes 43 91

No 4 9

Total 47 100

Source: Author (2017)

36
Figure 4.9 Analysis of packaging design on consumer purchasing decision in the
manufacturing sector

Source: Author (2017)

Table 4.9 and figure 4.9 shows the effect of packaging design on consumer purchasing
decision in the manufacturing sector, based on analysis 91% of the total respondents stated
that packaging design affect the consumer purchasing decision in manufacturing sector while
9% disagreed. From the analysis it can be concluded that packaging design affect consumer
purchasing decision in the manufacturing sector.

4.2.10To what extent does packaging design affect consumer purchasing decision in the
manufacturing sector?

Table 4.10 Analysis of extent that packaging affects consumer purchasing decision in the
manufacturing sector

Category Frequency Percentage

Very High 18 38

High 13 28

Moderate 7 15

Low 5 10

No 4 9

Total 47 100

Source: Author (2017)

37
Figure 4.10 Analysis of extent that packaging design affects consumer purchasing
decision in the manufacturing sector

Source: Author (2017)

Table 4.10 and figure 4.10 indicate how they rated packaging design, 38% of the respondents
rated advertisement as Very high, 28% rated it as high, 15% rated it as moderate, 10% rated it
as low while 9% rated it as No this can be detected that the majority of respondents rated
Advertisement effect as having very high.

4.2.11 Does pricing affect consumer purchasing decision in the manufacturing sect?

Table 4.11 Analysis of pricing on consumer purchasing decision in the manufacturing

sector

Category Frequency Percentage

Yes 37 78

No 10 22

Total 47 100

Source: Author (2017)

Figure 4.11 Analysis of pricing on consumer purchasing decision in the manufacturing

sector

38
Source: Author (2017)

Table 4.11 and figure 4.11 shows the effect of pricing on the consumer purchasing decision in
the manufacturing sector. Based on the analysis 78% of the total respondents indicate that
pricing affect consumer purchasing decision in the manufacturing sector whereas 22% of the
total respondents stated that price had no effect on the consumer purchasing decision in the
manufacturing sector.

4.2.12 To what extent does pricing affect consumer purchasing decision in the
manufacturing sector?

Table 4.12 Analysis of extent that pricing affect consumer purchasing decision in the
manufacturing sector

Category Frequency Percentage

Very High 4 8

High 25 53

Moderate 6 13

Low 2 4

No 10 22

Total 47 100

39
Source: Author (2017)

Figure 4.12 Analysis of extent that pricing affect consumer purchasing decision in the
manufacturing sector

Source: Author (2017)

Table 4.12 and figure 4.12 show how they rated pricing effect on the consumer purchasing
decision in the manufacturing sector. The study findings indicate that 9%of the respondents
felt it was very high, 53% felt it was high while 13% felt it was moderate, 4% of the
respondents felt it was low while No respondents were represented by 22% of the
respondents, this indicates that the majority of respondents rated pricing as being high.

4.2.13 Does Information Technology affect consumer purchasing decision in the

manufacturing sector?

Table 4.13 Analysis of information technology on consumer purchasing decision in the

manufacturing sector

Category Frequency Percentage

Yes 39 82

No 8 18

Total 47 100

Source: Author (2017)

Figure 4.13 Analysis of information Technology on consumer purchasing decision in the

manufacturing sector.

40
Source: Author (2017)

Table 4.13 and figure 4.13 shows the effect of Information Technology on the consumer
purchasing decision in the manufacturing sector, based on the analysis 82%of the total
respondents indicated that technology had an effect on the consumer purchasing decision in
the manufacturing sector while 18% of the respondents stated that technology did not affect
the consumer purchasing decision in the manufacturing sector.

4.2.14 To what extent does Information Technology affect consumer purchasing decision
in the manufacturing sector?

Table 4.14 Analysis of extent that Information Technology affects consumer purchasing
decision in the manufacturing sector

Category Frequency Percentage

Very High 6 12

High 24 51

Moderate 7 15

Low 2 4

No 8 18

Total 47 100

Source: Author (2017)

41
Figure 4.14 Analysis of extend that Information Technology affect consumer purchasing
decision in the manufacturing sector.

Source: Author (2017)

Table 4.11 and figure 4.11, indicate how they rated information Technology majority of the
respondents 12% rated information technology as very high, 51% rated it as high, 15% rated
it as average while 4% of the respondents rated information technology as low while 18%
rated as No from the analysis it can be concluded that majority were of the optional that
technology had high effect to the consumer purchasing decision in the manufacturing sector.

4.3 Summery of Data Analysis

4.3.1General information

The total numbers of the respondents who successfully filled and complete the questionnaires
to the required satisfaction of the research were 47 which comprised 94% while 3 comprising
6% of the respondents who did not participate effectively. The total number of male
respondents’ was39 making 83% while the number of female respondent was 8 comprising
17%. 13% of the respondents were of the age bracket 21-30, 57% were between the age
brackets 31-40. 26% of the respondent where of age bracket 41-50 while 4% were the age of
51 and above. Senior management respondent by 17%, middle management 30%, while the
response of support staff being the highest with 53%. Analysis of respondent years of service
11% had less than 2 years, 21% had 4-6 years, 13% had 6-10 years, 23% had 10-14 years and
9% had above 14 years. Majority of the respondents 12% were secondary graduate, 21% had
diploma, 43% had degree and 23% had a master qualification.

4.3.2 Does Procurement procedure affect consumer purchasing decision in the

manufacturing sector?

42
Procurement procedures was indicated by 76% to be a factor affecting the consumer
purchasing decision in the manufacturing sector, the response of 24% indicates that
procurement procedures does not affect the consumer purchasing decision in the
manufacturing sector. Qualitatively it was found that procurement procedures highly affect
consumer purchasing decision in the manufacturing sector whereby the response by majority
indicated that by having good procurement procedures it will make the consumer purchasing
decision in the manufacturing sector.

4.3.3 Does Packaging design affect consumer purchasing decision in the manufacturing
sector?

It was found from that majority response representing 91% said that packaging design affect
consumer purchasing decision in the manufacturing sector, where the response of 9% indicate
that packaging design does not affect consumer purchasing decision in the manufacturing
sector, it was noted from the majority response indicated that the organization should use the
appropriate packaging design that will enable every consumers to choose for the appropriate
purchasing decision.

4.3.4 Does Pricing affect consumer purchasing decision in the manufacturing sector?

The response of 78% indicates pricing as a key factor affecting consumer purchasing decision
in the manufacturing sector while the response of 22% said that pricing does not affect
consumer purchasing decision in the manufacturing sector, qualitatively it was true that
pricing tries to focus every institution towards achievement of common goal which on other
hand it highly contribute to the consumer purchasing decision in the manufacturing sector

4.3.5 Does Information Technology affect consumer purchasing decision in the

manufacturing sector?

The majority response representing 82% indicating that information technology affect
consumer purchasing decision in the manufacturing sector while the response of 18%
indicated that information technology is not a factor affecting consumer purchasing decision
in the manufacturing sector.

43
 CHAPTER FIVE

SUMMERY OF FINDINGS, CONCLUSION AND RECOMMENDATIONS

5.1 Introduction

In this chapter, the findings of the research study were interpreted and explained the factors
affecting consumer purchasing decision in the manufacturing sector. These were explored
deeper in the summary of findings, the research questions were answered from findings of the
study.

5.2 Summary of findings

The summary of the study was based upon the findings obtained from the questionnaires that
were distributed to the respondents. The study revealed that there is need to pay attention to
the variable identified in this study since their contribution to consumer purchasing decision
success immense.

5.2.1 Does Procurement procedures affect consumer purchasing decision in the

manufacturing sector?

44
The majority of respondents at 76% stated that procurement procedures affect consumer
purchasing decision in the manufacturing sector. While 24% of the respondents denied that
thus the researcher concluded that procurement procedures affect consumer purchasing
decision in the manufacturing sector the extent to which procurement procedures affect
consumer purchasing decision were as follows: very high 25%, high 34%, average 11%, and
low 6% while 24% of the respondent said No. Majority of the respondent indicate that
procurement procedures affect consumer purchasing decision in the manufacturing sector.
The reason given out by the majority of the respondent 65% as to why procurement
procedures affect consumer purchasing decision in the manufacturing sector was that most
procurement procedures does not favor consumer while purchasing product and some
procurement procedures does not match with the consumer expectations.

5.2.2 To what extent does packaging affect consumer purchasing decision in the
manufacturing sector?

With the reference to the study findings 38% of the respondents indicated that packaging
design affect consumer purchasing decision at a very high rate. On the other hand 28% and
15% of the total respondents indicated that packaging design affect of consumer purchasing
decision in the manufacturing sector are high and moderate respectively while 9% of the
respondent indicated that packaging design has low effect on consumer purchasing decision
in the manufacturing sector and 9% of the respondent said No effect on price affecting
consumer purchasing decision in the manufacturing sector.

5.2.3 Does packaging design affect consumer purchasing decision in the manufacturing
sector?

According to the analysis 91% of the respondents indicated that packaging design affect
consumer purchasing decision in the manufacturing sector. A majority 91% stated yes while
9% state No. therefore the researcher concluded that yes packaging design affect consumer
purchasing in the manufacturing sector. The reason given by the majority of the respondent
(56%) as to why packaging design affect consumer purchasing decision in the manufacturing

45
industry was that many consumers tends to get new ideas on the product that they want to
purchase.

5.2.4 Does pricing affect consumer purchasing decision in the manufacturing sector?

With the reference to the study 78% of the respondents stated that pricing affect consumer
purchasing decision in the manufacturing sector while 22% of the respondent denied that
pricing affect consumer purchasing decision in the manufacturing sector. The reason given by
the majority respondents (52%) as to why pricing affect consumer purchasing decision in the
manufacturing sector was that some manufacturing sectors charge more prices on the product
that they are manufacturing and the consumer is not willing to spend too much on the product
they want to purchase. The study reveals that 8% of the respondent stated that pricing affect
consumer purchasing decision in the manufacturing sector very high, 53% as high, 13% as
moderate while 4% as low and 22% rated as No effect on consumer purchasing decision the
manufacturing sector.

5.2.4 To what extent does information technology affect consumer purchasing decision
in the manufacturing sector?

According to the research findings, 38%, 28%, 15% and 4% of the respondents that
information technology affect consumer purchasing decision in the manufacturing sector as
very high, high, moderate and low respectively. On the other hand 82% of the respondents
agreed that information technology affect consumer purchasing decision in the manufacturing
sector while 18% of the respondent denied. The reason given out by majority of the
respondent (56%) as to why information technology affect consumer purchasing decision in
the manufacturing sector was that; easy communication between the customers and the
manufacturing sector have been enhanced.

5.3 Conclusion

From the study analysis the researcher noted that procurement procedures, packaging design,
pricing and information technology affect consumer purchasing decision in the
manufacturing sector.

Procurement procedures is an essential accompaniment of all the social organization, it is to

be everywhere as a distinct and dominant activity. Therefore procurement procedures need to

46
be advanced from time to time as there are many changes that occur in the external
environment hence the institution need to be made proactive rather than being reactive
advancing in the procurement procedures. Apparently understanding the human needs are
important objectives of the organizations thus efforts to provide a motive note related to
needs would have zero results.

Customers try to rather get information from different types of media for a particular product.
When consumers are expose to packaging design of on different types ofproduct, purchase
behavior of the consumers get influenced. Customers pay maximum attention to commercial
aired on radio. Resultantly, the individuals purchasing behavior gets influenced by radio more
than other means of media channels( television, magazine, News paper, internet and word of
mouth) when they tend to compare information regarding to a particular product. A customer
does not have faith in the exhibition in magazines. Results also depict that when they see an
advertisement in magazine they do not even inquire about the quality of the products.

Majority of the respondents 82% agreed that price affect consumer purchasing decision in the
manufacturing sector. Pricing decision is management about what to be charged for the
product and services that companies deliver to maximize operational income. It was clear that
price affect consumer purchasing decision since a small portion of the respondents were
against the fact that price affect consumer purchasing decision in the manufacturing sector.

ICT as stated by the majority of the respondents from the study findings has high effect on
consumer purchasing decision in the manufacturing sector. Indeed the story for the global
views to develop it should be able to identify the technological opportunity around the area of
procurement of global sourcing so as to provide for high quality and comfortable services to
its customers so as to gain competitive advantage.

5.4 Recommendation

The following recommendations were based from the study findings.

5.4.1 Procurement procedures

It is not enough to create procedures and coordinate in an organization but managers should
support the implementation of appropriate procedures in the organization, they should also
involve the lower level management and even their customer any other who involve in the
implementation of procurement procedures. The managers should also focus on strategic

47
issues and process in the implementation of the procurement procedures that will enable the
organization to achieve their goal and also satisfy their customers need.

5.4.2 Packaging design

Marketer may rely upon radio and newspapers more than other means of media as per the
findings of the study after watching advertisement from different media customers are under
influence especially newspaper and radio and consumers have more faith in these media
while making purchase decision. Customers pay maximum attention to commercials aired on
radio.

5.4.3 Pricing

From the study analysis it was noted that price affect consumer purchasing decision in the
manufacturing sector, hence the researcher recommends that the organization should
subsidize its equipment and machines with durable and effective machine to enable the
company to save on cost of investment will lead to reduction on price of comedies and will
attract consumer and getting more customers than your competitors.

5.4.4 Information Technology

Management should base their provision services on technology for the business to develop
in the industry it should be able to identify the technology opportunity around the area of the
global sourcing so as to provide for high and comfortable services to their customers.

5.5 Suggestion of further study

The findings of this study open up other research opportunity that can be explored by future
scholars, particularly appropriate solution to the factors affecting consumer purchasing
decision in the manufacturing sector. Whilst the study was limited to factors affecting
consumer purchasing decision in the manufacturing sector, there is need for a step forward by
looking at the in-depth look at the area of ICT with the rapid change that is taking place in the
technology side.

48
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i
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Asker (1990) ordinary usage of price as payment forecast analysis of demand for goods and
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Caruana (2004) theory of price assert, Kotler (1997) Historical theory of price marketing
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Euromonitor. (2007). Pet food and pet care products in Thailand. Retrieved June 15,2007,

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Kingdo.

APPENDIX II

QUESTIONNAIRE

For each of the question below, please tick in the space provided for the answer that describes
your opinion.

SECTION A.GENERAL INFORMATION

1 Gender

Male

Female

2. Management level

Senior management

Middle management
1

51
 Support staff

3. Number of years of service.

Less than 2 years

2-6 years

6-10 years

10-14 years

Above 14 years

4. Age bracket

21-30 years

31-40 years

41-50 years

Above 50 years

5. Highest level of education

Secondary

Diploma

Degree

Masters

SECTION B: COMPANY POLICY

6 Does procurement procedure affect consumer purchasing decision in the manufacturing

sector?

Yes

No

52
Explain your
answer...........................................................................................................................................
......................................................................................................................................................
................................................................................................................................................

7 What extent does procurement procedure affect consumer purchasing decision in

manufacturing sector?

Very high

High

Moderate

Low

SECTION C: AVERTISEMENT

8 To what extent does packaging design affect consumer purchasing decision in the
manufacturing sector?

Very high

High

Moderate

Low

9 Does advertisement affect consumer purchasing decision in the manufacturing sector?

Yes

No

53
Explain
briefly............................................................................................................................................
......................................................................................................................................................
................................................................................................................................................

SECTION D: PRICE

10 (a) Does pricing affect consumer purchasing decision in the manufacturing sector?

Yes

No

(b) To what extent does pricing affect consumer purchasing decision in the manufacturing
sector?

Very high

Greatly

Average

Low

Explain.........................................................................................................................................
......................................................................................................................................................
......................................................................................................................................................
......................................................................................................................................................
..............................................................................................................................................

SECTION E: INFORMATION COMMUNICATION TECHNOLOGY

11 Does Information Technology communication affect consumer purchasing decision in the

manufacturing sector?

Yes

54
No

Please, explain
how...............................................................................................................................................
......................................................................................................................................................
......................................................................................................................................................
......................................................................................................................................................
.......................................................................................................................................

12 To what extent does information technology affect consumer purchasing decision in the
manufacturing sector?

Very high

High

Moderate

Low

THANK YOU.

APPENDIX II

55
i