Analysis of the Different Factors Affecting Consumer Decision Making Process of Makati Residents When Purchasing Electronic Gadgets
When Purchasing Electronic Gadgets” Suggested revisions: ?An Analysis on the Correlation of Buyer’s Characteristics and Preferences When Purchasing Mobile Phones ? An Analysis on the Correlation of Buyer’s Characteristics, Environmental Factors and Buying Preferences When Purchasing Mobile Phones II. Statement of the Problem 1.
What are the characteristics of Makati Residents in terms of: a)Personal i. Gender ii. Age and Life cycle ii. Nature of job iv. Lifestyle1 v.
Personality and Self concept b)Cultural i. Religion ii. Social Class iii. Social group c)Social i. Reference Groups ii.
Family iii. Roles and Status d)Psychological 2. What are the environmental factors that could affect Makati residents’ buying preferences? a) Economic b) Cultural c) Political d) Technological 3. How do the following marketing strategies of mobile phone marketers affect buying preferences of Makati residents? a) Brand b) Product specifications/ features c) Promotions d) Price e) Store Location ) Product distribution/ availability 4. How do the Makati residents’ characteristics influence their preferences when purchasing mobile phones?5.
What marketing strategies may be proposed for Mobile phone suppliers/marketers that would satisfy consumers’ preferences? III. Hypothesis IV. Significance of the Study The researchers believe that the outcome of this study would be a significant contribution: •To students: this study may serve as a future reference for researches related to consumer buying behaviour and buyer decision-making process. To gadget entrepreneurs: this proposal may show which marketing strategies are be effective to specific target markets, with Makati residents as the sample population •To local manufacturer of gadgets: understanding of consumers’ decision making process and the factors that affect their preferences in electronic gadgets could help manufacturers conceptualize on which innovative features they could introduce to the market •To Filipino consumers: this study may enlighten Filipino consumers on how manufacturers use different marketing strategies to entice buyers of their products, thus making the consumers more careful of their purchasesIII. Scope and Limitations This study aims to analyse the factors affecting Makati residents’ decision making process when purchasing electronic gadgets. The researchers will specifically look into how a consumer’s demographics and the electronic gadgets’ features affect the consumers’ preferences.
The researchers will also study in detail the consumer’s decision-making process from his recognition of need for the gadgets to his evaluation of the purchased product and how this evaluation can further affect the following purchases he will make.The sample population of the study however is limited only to Class C and D Makati residents, as classified by the National Statistics Office. Data collection shall be gathered through interviews and survey , library research and foreign and local studies as reference. We aim to gather at least ___________ of respondents around the area of Makati. This research will be conducted within three(1) months, one (1) semester at Pamantasan Lungsod ng Maynila, as a requirement in research and case writing subject. Chapter 2 I.
Foreign and Local Literature Studies II. Synthesis III. Paradigm IV. Theoretical FrameworkKotler’s (2012) Consumer Behavior Model A. Input In Kotler’s Principles of Marketing (2012), he illustrates a model of consumer behaviour, specifying factors that may affect a consumer’s purchase of goods.
He starts with the environment where marketing stimuli and the socio-cultural situation of a person are considered as inputs leading to the ‘Buyer’s Black Box’. Marketing stimuli, as part of the environment’, consists of the four P’s namely product, promotion, price and place or distribution, while other environmental factors include economic, technological, political and cultural situation.Inside the buyer’s black box are the buyer’s characteristics and decision process which influence the consumer’s behavior towards a possible purchase. One of the buyer’s characteristics according to Kotler (2012) is cultural which encompasses his culture, subculture and social class. Another characteristic is social which refers to a consumer’s reference groups, family and role and status in the society. 1.
Marketing Stimuli a. Product i. Brand ii. Specifications b. Promotion i. Advertisements (TV, Radio, Print, Digital) ii.
Events . Price i. Discounts/promo d. Distribution/Place i. Availability in nearest shop 2. Others a.
Economic b. Technological c. Cultural d. B. Process 1. Buyer’s Characteristics a.
Cultural i. Culture – most basic cause of a person’s wants and behavior. The influence of culture on buying behavior varies from country to country therefore marketers have to be very careful in analyzing the culture of different groups, regions or even countries. Eg: great concern for health, value for success and achievement, freedom, hardwork etc. ii.Subculture –groups of people with shared value systems based on common life experiences and situations •Nationality •Religion •Social group iii.
Social Class b. Social – People make decisions on what to buy based on their needs. Housing, clothes and food are things everyone needs. However, in a situation when you can afford to have these needs, social considerations come into play in deciding what exactly to buy. For instance, while your family can comfortably live in a $1 million house, you may decide to purchase a $10 million house on a big ranch because you are a famous athlete, banker or politician.What influences this decision is the respect you will get from society because of that house.
c. i. Reference groups ii. Family iii. Roles and status d.
Personal i. Age and Life Cycle Stage ii. Occupation iii. Economic situation- The amount of money you have determines to a large extent what products you buy when you go to the supermarket. You may want to purchase a car, in which case, you are faced with the question of which make to buy.
Although you may have a strong desire to buy a Mercedes, you may decide to buy a Mazda.In this case, you will sacrifice your love for the luxury car because you can only afford the cheaper brand iv. Lifestyle v. Personality and Self-concept e. Psychological i.
Motivation – ii. Perception iii. Learning iv. Beliefs and attitudes 2. Buyer Decision Process a.
Need Recognition – the buyer recognizes a problem or need i. internal stimuli E. g: hunger or thirst ii. external stimuli E. g: Advertisements, talk w/ a friend b. Information Search i.
personal sources (family, friends, neighbors, acquaintances) ii. ommercial sources (advertising, salespeople, dealer Web sites, packaging, displays) iii. public sources (mass media, consumer rating organizations, Internet searches) iv. Experiential sources (handling, examining, using the product). c.
Evaluation of Alternatives- how the consumer processes information to arrive at brand choices i. Process of evaluation depends on the consumer or the situation ii. Impulse iii. Logical thinking (info search) iv. Sales people C.
Output a. Purchase A. Purchase intention to purchase decision B.2 Factors affecting purchasing decision attitudes of others •Unexpected situational factors- When you go to the supermarket, in most cases, you have an idea of what you are going to buy. Most people actually write down what they will buy so that they do not spend a lot of time thinking while on the floor of the supermarket or end up overspending.
However, human nature is such that consumers are prone to making impulse decisions to purchase things they had not planned for. You may see a good magazine at the shelf and decide to buy it, not because you had planned to but because the cover has a story you want to read. . Post-purchase Evaluation A. stage where consumers take further action after purchase, based on their satisfaction or dissatisfaction with a purchase B.
Consumer response may either be dissatisfaction, satisfaction or delight V. Conceptual Framework VI. Definition of Terms (Schiffman and Kanuk 2007) take a similar approach in defining consumer behaviour: “the behavior that consumers display in searching for, purchasing, using, evaluating, and disposing of products and services that they expect will satisfy their needs” (p. 3).