factors effecting the brand on cpd-(final project)

Quantitative Techniques in Business

FINAL TERM PROJECT

A SURVEY REPORT ON

Factors effecting the Brand on Consumer Purchase Decision

An empirical study in context of Electric Industry sector of Pakistan

Submitted byThe Rose

M.com 1(A)

Submitted to Prof. Nadeem Iqbal

Submitted Date 08/02/2012

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“Dedication”

“We dedicate all our efforts to the Holy Prophet (PBUH); who showed us honest

ways of business, social justice and dignity of work through His deeds.”

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“Acknowledgment”

All the praises are for Allah who is the master of judgment day and who is Merciful, Beneficent to His creation. We have the pears of my eyes to admire blessing of the compassionate and omnipotent because of the words are bound, knowledge is limited and time is short to express His dignity. We offer our humblest thanks from the deepest core of our heart to the Holy Prophet Hazrat Muhammad (PBUH) who is forever a model of guidance and knowledge of humanity.

We wish to express our deep sense of gratitude to our worthy Sir. Nadeed Iqbal for his co-operation, valuable guidance and supervision under which this project has been completed.

We are also thankful to our deer class fellows for their help, association, good wishes and encouragement, which enable us to complete this project.

We specially acknowledge all the persons who helped and support us in regard to provide information for completing this report.

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Table of Contents

Table of ContentsIntroduction…………………………………………………………………………………………………………………………………….6

Hypothesis………………………………………………………………………………………………………………………………………7

Variables…………………………………………………………………………………………………………………………………………7

Methodology………………………………………………………………………………………………………………………………….8

Data preparation……………………………………………………………………………………………………………………………..8

Data analysis…………………………………………………………………………………………………………………………………..8

Descriptive………………………………………………………………………………………………………………………………………8

Production of relationship between variables………………………………………………………………………………..15

Correlation…………………………………………………………………………………………………………………………………….18

Regression…………………………………………………………………………………………………………………………………….19

Conclusion…………………………………………………………………………………………………………………………………….20

References…………………………………………………………………………………………………………………………………...20

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Factors effecting the Brand on consumer purchase decision an empirical study in context of Electric Industry sector of

Pakistan

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Consumer Purchase Decision

Brand

Product Quality

Price

Packaging

Availability


Factors effecting the brand on consumer purchase decision

Introduction

The basic aim of this survey is to determine the impact of Brand on Consumer purchase decision an empirical in context of electric industry sector of Pakistan. Some of the brand has a good impact on customer to purchase a product. The brand has very significance in market. The customer purchase the brand on the base of its quality and price. If the price of a brand is reasionable then the customer agree to purchase it. An attractive packaging are also play an important role to increase the demand. The customer keep in his mind that the availability of the brand should be easy in the market. The consumer is always remimber the quality of the product in his mind because when any consumer want to purchase any brand then it’s mean he know about the brand, quality product, packaging etc.

Theoretical Framework

Research Question

What is the impact of brand on consumer purchase decision?

HYPOTHESIS

H0: There is no relationship between brand and consumer purchase decision.

H1: There is relationship between brand and consumer purchase decision.

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H0: There is no relationship between product and consumer purchase decision.

H2: There is relationship between product and consumer purchase decision.

H0: There is no relationship between price and consumer purchase decision.

H3: There is relationship between price and consumer purchase decision.

H0: There is no relationship between packaging and consumer purchase decision.

H4: There is relationship between packaging and consumer purchase decision.

H0: There is no relationship between availability and consumer purchase decision.

H5: There is relationship between availability and consumer purchase decision.

Variables

Dependent Variable


A decision which is taken by the Consumer for buying the product is called consumer purchase decision.

Independent Variables

Brand

A type of product manufactured by a company under a particular name is called brand. (Google)

Product Quality

The collection of features and characteristics of a product that contribute to its ability to meet given requirements.

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Price

The amount of money expected, required, or given in payment for something. (Brainy Quote)

Packaging

All products made of any materials of any nature to be used for the containment, protection, handling, delivery and preservation of goods from the producer to the user or consumer. (DOE, 2010)

Availability

The quality of being at hand when needed is called Availability. (Google)

Methodology

Primary data was collected usage below this Questioner from a sample of Forty-five Consumers in Lahore. Quality of Data was checked through validity and reliability procedures. Data was analyzed statistically by using SPSS software.

Data preparation

After receiving the filled questionnaire we collect and arrange the data, after that we analyze the whole questioner and select the fulfilled questions and rejected those questions whose are not attempted by the consumers. Then we put the data in to SPSS software and defined the variable from the data and find out the frequencies, five figure summaries, Graphs, Histograms and scatter plot of the data. After that we generate the result of whole data and prepare a report.

Data Analysis

In order to analyze the data descriptive statistics were used. The results are given below;

Descriptive

Age

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Interpretation

To summarize the data of age variable frequency table and bar drawn, that shows there are only two responses. The valid percentage and cumulative percentage also show in this frequency table. The graph of age also shows the frequency of age.The bar in bargraphs are usually saprated and the hights of the bars shows the frequancy of the age.

Gender

Interpretation

To summarize the data of gender variable frequency distribution column drawn that shows the two types of responses male and female. The valid percentage of male is 55.6 and female is 44.4. The bar graph also shows the frequency distribution of gender variable.

Qualification

Interpretation

To summarize the data of variable qualification frequency distribution column drawn which shows the two types of responses. The valid percentage of Bachelor is 62.2 and Master & above is 37.8. The bar graph of qualification also shows the two levels of responses.

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Profession

Interpretation

To summarize the data of variable profession frequency distribution column drawn which shows the two types of responses category. The valid percentage of student is 82.2 and the valid percentage of others is 17.8. The bar graph of variable profession also has drawn which shows two levels of profession responses.

Organization

Interpretation

To summarize the data of variable organization frequency distribution table drawn which shows the two types of responses category. The valid percentage of responses S.G.C. is 88.9 and the other one valid percentage is 11.1. The bar graph of variable organization also shows two different heights of two different responses.

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Designation

Interpretation

To summarize the data of variable designation frequency distribution column drawn which shows the three types of responses category. The valid percentage of salaried person’s responses is 15.6, student’s responses are 68.9 and the other is 15.6. The bar graph also has drawn which shows the three different heights of salaried persons, students and other responses.

Brand

Interpretation

The case processing shows Five Figure Summary (FFS) of variable Brand which shows the results maintained mean, median, mode, low quartile, upper quartile and medium quartile. It’s also show the standard deviation, variance, skewness, range, minimum, maximum and percentiles. The Box plot of this variable also shows valid result, in which there is no outlier.The upper quartile is 5.00,Middle is 3.75 and lower quartile is 1.00. The whiskers indicate the expected range of scores. Below the HISTOGRAM of

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variable brand, the variable also has drawn which shows the different heights and a distribution curve also show the normally distribution process.

Product

Interpretation

The case processing shows five figure summary (FFS) of variable Product which shows the results maintained mean, median, mode, low quartile, upper quartile and medium quartile. It’s also show the standard deviation, variance, skewness, range, minimum, maximum and percentiles. The BOXPLOT of this variable also shows valid result, in which there is no any outlier. The whiskers indicate the expected range of scores. Below the HISTOGRAM of variable product, the variable also has drawn which shows the different heights and a distribution curve also show the normally distribution process.

Price

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Interpretation

The case processing shows five figure summary (FFS) of variable Price which shows the results maintained mean, median, mode, low quartile, upper quartile and medium quartile. It’s also show the standard deviation, variance, skewness, range, minimum, maximum and percentiles. The BOXPLOT of this variable also shows valid result, the whiskers indicate the expected range of scores. In which there is one lower outlier and the ID number of that outlier is (#41). (Note this number will not be the participant’s ID unless you specify that SPSS should report this by ID number). Below the HISTOGRAM of variable price, the variable also has drawn which shows the different heights and a distribution curve also show the normally distribution process.

Packaging:

Interpretation

The case processing shows five figure summary (FFS) of variable Packaging which shows the results maintained mean, median, mode, low quartile, upper quartile and medium quartile. It’s also show the standard deviation, variance, skewness, range, minimum, maximum and percentiles. The BOXPLOT of this variable also shows valid result, in which there is no lower or higher outlier. The whiskers indicate the expected range of scores. Below the HISTOGRAM of variable packaging, the variable also has drawn which shows the different heights and a distribution curve also show the normally distribution process.

Availability

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Interpretation

The case processing shows five figure summary (FFS) of variable Availability which shows the results maintained mean, median, mode, low quartile, upper quartile and medium quartile. It’s also show the standard deviation, variance, skewness, range, minimum, maximum and percentiles. The BOXPLOT of this variable also shows valid result, the whiskers indicate the expected range of scores. In which there are two-lower outlier and the ID number of that outlier is (#39) and the second outlier is (#41). (Note this number will not be the participant’s ID unless you specify that SPSS should report this by ID number). Below the HISTOGRAM of variable Availability, the variable also has drawn which shows the different heights and a distribution curve also show the normally distribution process.


Interpretation

The case processing shows five figure summary (FFS) of variable Consumer Purchase Decision which shows the results maintained mean, median, mode, low quartile, upper quartile and medium quartile. It’s also show the standard deviation, variance, skewness, range, minimum, maximum and percentiles. The BOXPLOT of this variable also shows valid result, in which there are three outliers, two are high and the one is low. The ID number of first outlier is (#41); the second is (#42), and the last outlier ID number is (#15). (Note this number will not be the participant’s ID unless you specify that SPSS should report this by ID number). Below the HISTOGRAM of variable Consumer Purchase Decision, the variable also has drawn which shows the different heights and a distribution curve also show the normally distribution process.

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Prediction of relationship between Variables

In order to predict the relationships between variables scatter plot are drawn. Dependant variable are taken on y-axis and Independed variable on x-axis. The result is as follows;

Relationship between Consumer purchase decision and Brand

Interpretation

The output shows a scatter plot for two scale variables i.e. Consumer purchase decision and Brand. The overall pattern of the dots show that it is from diagonal upward straight regression line showing positive association between brand and consumer purchase decision and points fit the line pretty well and R sq. value is 0.041. For more understanding the above graph, a line in scatter plot show the direction of the brand to consumer purchase decision. It is also show the relationship between the brand and consumer purchase decision.

Relationship between Consumer purchase decision and Product

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Interpretation

The output shows a scatter plot for two scale variables that is Consumer purchase decision and Product. The overall pattern of the dots show that it is from diagonal upward straight regression line showing positive association between product and consumer purchase decision and points fit the line pretty well. For more understanding the above graph, a line in scatter plot show the direction of the product to consumer purchase decision. It is also show the relationship between the product and consumer purchase decision.

Relationship between Consumer purchase decision and Price:

Interpretation

The output shows a scatter plot for two scale variables that is Consumer purchase decision and Price. The overall pattern of the dots show that it is from diagonal upward straight regression line showing positive association between Price and consumer purchase decision and points fit the line pretty well. It is also show the relationship between the price and consumer purchase decision.

Relationship between Consumer purchase decision and Packaging

Interpretation

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The output shows a scatter plot for two scale variables that is Consumer purchase decision and Packaging. The overall pattern of the dots show that it is from diagonal upward straight regression line showing positive association between packaging and consumer purchase decision and points fit the line pretty well. It is also show the relationship between the packaging and consumer purchase decision.

Relationship between Consumer purchase decision and Availability

Interpretation

The output shows a scatter plot for two scale variables that is Consumer purchase decision and Availability. The overall pattern of the dots show that it is from diagonal upward straight regression line showing positive association between Availability and consumer purchase decision and points fit the line pretty well. It is also show the relationship between the availability and consumer purchase decision.

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Correlation

Interpretation

To investigate if there was a statistically significant association between all the variables, a correlation was computed. All the variables were approximately normal there is a linear relationship between them hence fulfilling the assumptions for Pearson’s correlations. The positive sign shows that there is a positive relationship between the variables.

Regression

Variables Entered/Removedb

Model

Variables

Entered

Variables

Removed Method

1 AVAILABILITY,

BRAND,

PRODUCT,

PACKAGING,

PRICEa

. Enter

a. All requested variables entered.

b. Dependent Variable: consumer purchase

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Model Summary

Model R R Square

Adjusted R

Square

Std. Error of the

Estimate

1 .734a .538 .479 .41861

a. Predictors: (Constant), AVAILABILITY, BRAND, PRODUCT,

PACKAGING, PRICE

ANOVAb

Model Sum of Squares df Mean Square F Sig.

1 Regression 7.966 5 1.593 9.092 .000a

Residual 6.834 39 .175

Total 14.800 44

a. Predictors: (Constant), AVAILABILITY, BRAND, PRODUCT, PACKAGING, PRICE

b. Dependent Variable: consumer purchase

Coefficientsa

Model

Unstandardized Coefficients

Standardized

Coefficients

t Sig.B Std. Error Beta

1 (Constant) 3.133 .417 7.506 .000

BRAND .154 .064 .301 2.425 .020

PRODUCT .402 .110 .502 3.660 .001

PRICE -.096 .113 -.117 -.849 .401

PACKAGING -.010 .110 -.012 -.090 .929

AVAILABILITY -.397 .077 -.621 -5.126 .000

a. Dependent Variable: consumer purchase

Regression Equation:

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Y=-1.946-0.756X1+0.505X2+0.596X3+0.297X4+0.050X5

Interpretation

Simultaneously multiple regression was conducted to investigate the best predictors of brand. The combination of variables to predict brand from product, price, packaging, availability, consumer purchase decision was statistically significant, F=3.851, p<0.05. The beta coefficients are presented in last table. The adjusted R square value was 0.245. This indicates that 24% of the variance in brand was explained by the model.

Conclusion

In last we conclude my study of impact of brand on consumer purchase decision. After complete analysis we know that which ways brand completely impact on consumer purchase decisions. When consumer purchases a branded product first of all he checks the Product quality, price, packaging and availability of the product. In our study we prepare a complete analysis of these variable and give the result of this variable and also check the relationship

between these variables. It is also ensured that the brand should always effect the consumer purchase decision. If the brand quality, price, packaging, etc. are very good then it creates an impression for the consumer and the consumer should be decided to purchase it.

References

Brainy Quote. (n.d.). Retrieved from www.brainyquote.com: http://www.brainyquote.com/words/pr/price206593.html#ixzz1iaOW2EkE

DOE. (2010). Retrieved from http://www.doeni.gov.uk: http://www.doeni.gov.uk/niea/waste-home/regulation/regulations_packaging/definition_of_packaging.htm

Google. (n.d.). Retrieved from www.google.com: http://www.google.com.pk/#hl=en&sa=X&ei=SZQFT5HfEYPtrQfW-6AG&ved=0CBUQvwUoAQ&q=definition+of+brand&spell=1&bav=on.2,or.r_gc.r_pw.,cf.osb&fp=483f9059388b4d56&biw=1366&bih=673

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Google. (n.d.). Retrieved from wordnetweb.princeton.edu/perl/webwn: http://www.google.com.pk/#hl=en&sa=X&ei=ZpcFT8HxIovQrQeH3dn8Dw&ved=0CBUQvwUoAQ&q=definition+of+Availability&spell=1&fp=1&biw=1366&bih=673&bav=on.2,or.r_gc.r_pw.,cf.osb&cad=

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factors effecting the brand on cpd-(final project)

Education

electric industry

consumer purchase

show thestandard

boxplot ofthis

distribution

shows valid

scatter plot

consumerpurchase