21

CHAPTER II

REVIEW OF LITERATURE

INTRODUCTION

The introduction and research design of the study used in this research are

presented in the first chapter. This chapter presents the review of literature for

consumers behaviour towards Fast Moving Consumer Goods from the journals

published in India and abroad as well.

REVIEW OF LITERATURE

Mowen (1988)1found that the focus of many consumer decisions was

more on the feelings and emotions associated with acquiring or using the brand

or with the environment in which it was purchased or used its attributes. The

decision process discussed helps to gain insights into all types of purchases like

whether consumers decision was attribute-based or driven by emotional or

environmental needs.

Kent.J and ChrisAllen.T (1994)2in his study Competitive Inference

Effects in Consumer Memory for Advertising: The Role of Brand Familiarity,

explained that brand familiarity captures consumers brand knowledge structures,

that is, the brand associates that exist within a consumers memory. Although

1Mowen J.C. Beyond Consumer Decision Making, Journal of Consumer Marketing, Vol.5
No.1, July 1988, pp. 15-25
2Kent Robert.J and Chris Allen.T, Competitive Inference Effects in Consumer Memory for

Advertising: The Role of Brand Familiarity, Indian Journal of Marketing.Vol. 58, 1994 pp.97-
105
 22

many advertised products are familiar to consumers, many others are unfamiliar,

either because they are new to the market place or because consumers have not

yet been exposed to the brand. Consumers may have tried a familiar brand or

they may have family or friends who have used the brand and told them

something about it.

Baiding Hu (1997)3stated that the success of the economic reforms in

rural China has raised the living standards of rural households. This is reflected

in households' consuming goods and services that were not previously part of

their consumption pattern. However, because of differences in economic and

demographic characteristics, not every household has been able to increase

consumption. Consequently, it will be useful to investigate how the likelihood of

consuming such goods and services is affected by economic and demographic

factors. In this paper, the profit model is used to compute the marginal and mean

probabilities of consumption of five such goods and services, namely, Food away

from home, Recreation, Medical Care, Transport and Postage. The empirical

results show that the estimated probabilities of consuming the first three goods

are more sensitive to changes in the underlying economic and demographic

factors, while the probabilities of consuming the latter two goods are more

sensitive to changes in the model structure.

3BaidingHu, A Probit Analysis of Consumer Behaviour in Rural China, Mathematics and

Computers in Simulation, Vol. 43, Issue 3-6, September 1997, PP. 527- 534
Thank you for using www.freepdfconvert.com service!

Only two pages are converted. Please Sign Up to convert all pages.

https://www.freepdfconvert.com/membership