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INTRODUCTION
This chapter presents the overview of the problem and its setting. It includes the
The aim of the present study is to investigate the factors that affect the consumer
buying behavior towards mobile phone. With the help of factor analysis ten decision
factors of consumer buying behavior were derived. On these ten factors a multiple
buying decision as a dependent variable. The findings showed that “Speed &
Performance” has the highest positive impact on the satisfaction followed by “brand &
advertising” and “recommendations & reviews”. The study provided useful insights of
Smartphones are very useful and so many people had it. Many of those users are
looking at the quality, performance, and brand of the phone they buy and also they
looking at the price of it, if they capable to buy it. And this research will tells us what to
do when buying smartphones and what characteristics of the smartphones is good for
people.
All marketing decisions are based on assumptions about consumer behavior. In
order to create value for consumers and profits for organizations, marketers need to
understand why consumers behave in certain ways to a variety of product and services
offered. In order to determine the factors those influence the preferences of the today’s
situations is vital.
Understanding consumer behavior and knowing customers have and never will be
simple. Consumers may say one thing but do another. They may not be in touch with
their deeper motivations. They may respond to influences that change their mind at the
last minute. These issues have lead to theories like that of the black box approach taken
on by Futrell (2000). It refers to how marketers are not able to tap into consumer minds,
thus “keeping them in the dark” (Futrell, 2000, p.3). In other words, marketers can apply
various stimuli and observe the conduct of consumers, but they cannot observe the
and the mental, emotional and physical processes they use to select, obtain, consume and
dispose of products or services, to satisfy needs and wants, and the impact that these
many internal and external forces or stimuli. The starting point is the manufacturers and
marketer’s stimuli in the form of product offering through some promotional methods,
available of the product or services at a reasonable price and to satisfy and retain the
customers through proper customer relationship management method. The marketing and
environmental stimuli enter the buyer’s mind through cultural, social, personal and
psychological factors i.e., the choice of the product/brand/service is totally depends upon
Peers have more influence amongst teenager’s smart phone buyers compared to parental
influence (Lachance et al., 2003). Bristol and Manglegurg (2005) say “Peer influence
goods.” Consumer behavior in context of mobile phones has been studied widely
throughout the globe, indicating the importance of price, technology and brand as the
(2005) study of factors affecting consumer choice for mobile phones in Finland found
that price, brand and size of the phone are the main factors in purchase of any new mobile
phone.
The result of impressions of consumers gained from various sources about the
brand is called brand image. Many factors such as trying out the Camera Speed &
Performance Battery Life Brand & Advertising Price Advantage Reviews and
Recommendations .Brand image is seen as the sum of the emotional and aesthetic
impressions that occur in the consumers about the product. Various characteristics such
as what that the brand reminds, what it evokes in the eyes of the consumer as well as the
buying behaviour of the consumer must be dealt with in order to determine the brand
On the study of Doyle (2002), the important product decisions in any marketing
context are product, variety, product performance, product features, product design,
product presentation, sizes, etc. Attitude of the consumer plays an important role in
Color) is one of the most important factors that affect brand loyalty (Mahmud and Gope,
2012).
If a product fulfils the customer’s expectations, the customer will be pleased and
consider that the product is of acceptable or even high quality. If his or her expectations
are not fulfilled, the customer will consider that the product is of low quality. This means
that the quality of a product may be defined as the ability to satisfy the customer’s needs
Garvin (1987) proposed that product quality can be captured in eight dimensions:
perceived quality. Quality assessment is very critical and personal that may be viewed
from different dimensions, particularly the product attributes/features and its outlook, its
Income of the buyer may determine the degree of quality of a product; a particular
brand may be viewed as of good quality by the person having low income and low
buying power, while a higher income person may see it as inferior.
The price of a brand and company and store prestige may be considered as
significant cues for quality. It is encouraging to be able to confirm that such stimuli as
price information and the reputation of a store or company are used as cues to the quality
according to prospect theory (Tversky and Kahneman, 1991); this perception affects the
Consumers have a variety of prices in their memory against which they evaluate
the current price of a product. The upper price limit is the price above which the
While the lower price limit is the price below which the consumer considers the product
to be of poor quality. The acceptable price range is the difference between the two limits.
In addition to price uncertainty, the width of the acceptable price range is determined by
the “customer’s price consciousness” (Widrick and Sorce, 1991, p.4), “price knowledge”
(Kosenko and Rahtz, 1988, p.16), or “purchase frequency” (Urbany and Dickson, 1991,
p.17). Hence, these studies suggested that occasional buyers (presumably with higher
price uncertainty) have a wider range of acceptable prices as well as a higher midpoint
The degree that consumers distinguish and react to price levels and price changes
is price sensitivity (Goldsmith et al, 2005). Price sensitivity can works as an indicator of
how much a consumer willing to pay. Therefore, price has an important effect on
consumers' purchase behaviour and as a result on sales and profits of the business (Han et
al, 2001).
Promotions refer to the entire set of activities which communicate the product,
brand or service to the users. The idea is to make people aware, attract and induce to buy
Sales promotion tools are used by most organizations in support of advertising and public
relations activities, and they are targeted toward consumers as final users.
The objectives of the study is to identify the decision factors that affects the
buying behavior of consumer with respect to mobile phones and To study the influence
Drawn from the issues, the purpose of this research is to better understand the
1.1. Age
1.2. Sex
phone devices?
2.1. Camera
4. What is the effect of these factors in buying behavior of Mobile phone devices?
Conceptual Framework
analysis to study. After reviewing the selected article, researchers are provided analysis
framework which is an evolving body of knowledge concerning consumers’ selection
behaviour has been emerging in the marketing literature. The common themes conducted
through the research to identify the factors affecting the consumers’ on buying behavior
There are seven factors that influenced consumers’ brand loyalty towards certain brands.
The factors are “Camera Speed & Performance Battery Life Brand & Advertising Price
a. age
b. gender
c. family monthly
income
Consumers’
Consumers’
Buying
Buying Behavior
Behavior
Extent of the following of Mobile
of Mobile Phone
Phone
factors manifested in
buying behavior of
devices
devices
Mobile phone devices
a .Camera
b. Speed & Performance
c. Battery Life d.
Brand & Advertising e.
Price Advantage f.
Reviews &
Recommendations
g.Physical Dimension
Research Paradigm
This research paper was expected to come up with very interesting findings
related to the factors affecting consumers’ buying behavior of Mobile phone devices
Brand Companies. This study helps the brand companies as a whole by assisting
in filling the knowledge gap on the understanding consumers’ choice criteria on brand
selection and to gain ideas on how brand selection process is being made by individual
consumers.
Consumers. This study helps consumers to have ideas on what are the factors that
they should considered on selecting brand and to better understand the importance of
phone devices using the distributed rating scale within Wesleyan University-Philippines
(WU-P) students. This paper only focuses on the data that have been obtained from 200
Definition of Terms
Age. The term refers to the age bracket of the respondents from 18 to 22.
Brand. The term describes as name, symbol, logo or other item used to
distinguish a product or services and its provider, as well as to differentiate from its
competitors.
made by the consumers as regards on selection of brand that attains their expectation,
family within a month by working and/or capitalizing on the works of others. Ranging
from low (below 20,000) middle (21,000-50,000) to high (51,000 above) income family.
Gender. The term implies to the classification of one’ sex between female
Price. The term views as the value or the cost suggested by the brand’s company
subjecting on the brand or its company for the attraction and popularization to the
customers.
Quality. The term identifies as level of excellence of the brand based on the