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1 A Study on Perceived Behaviour of Students on Laptop Purchase Decision. Submitted to LOVELY PROFESSIONAL UNIVERSITY Master of Business Administration FACULTY OF BUSINESS & APPLIED ARTS LOVELY PROFESSIONAL UNIVERSITY PUNJAB Submitted By :Raghavendera (11506176) Submitted To : Dr Pardeep Bawa Poonam Klair (11509730) Sachin Dawar (11509354) Anish Kumar (11509390) Gopi Ram (11509080)

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A Study on Perceived Behaviour of Students on Laptop

Purchase Decision.

Submitted to

LOVELY PROFESSIONAL UNIVERSITY

Master of Business Administration

FACULTY OF BUSINESS & APPLIED ARTS

LOVELY PROFESSIONAL UNIVERSITY PUNJAB

Submitted By :Raghavendera (11506176) Submitted To : Dr Pardeep Bawa

Poonam Klair (11509730)

Sachin Dawar (11509354)

Anish Kumar (11509390)

Gopi Ram (11509080)

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CONTENTS:

S.No Particulars Page No.

1 Abstract 3

2 Need and Objectives of the Study 3

3 Identification of Variables 4

4 Research Methodology 4-5

5 Statistical Tools Used 5-10

6 Findings 10- 13

7 Conclusion and Suggestions 14

8 References 16

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ABSTRACT:

The laptop Industry is growing at a very fast rate because of changes in work life of

consumers. As the need for "anytime anywhere" access to information is increasing, the sale

of laptops is also increasing. Ease of use, longer battery life, mobility, ability to multi-task,

instant on/off and substantial breadth of applications available have caused rapid growth and

change in demand patterns. The ease of use and multi-task ability is driving enterprises to

experience laptop in workplace rather than traditional PCs. This study will help marketers to

know which factor influence the buying behaviour of customers. In different stages of laptop

purchase decision making and perceived impact of WOM on purchase behaviour. The study

will establishes the crucial role played by the various factors namely: price, features, friend’s

referrals and Inter-personal Influence during purchase of laptops.

KEY WORDS: Price, Word of Mouth, Features, Consumer Purchase Decision Making,

Referrals, Interpersonal Influence.

I. ABOUT INDUSTRY

The introduction of computer technology has transformed the lives of the humanity in general

with the speed, quality and density with which the information is being transferred, retrieved

and stored resulting in enhancing the efficiency and effectiveness. Mobile computing has

become highly popular in the last decade, and advances in computer and mobile device

technology allow users to meet their computing needs from every place at any time.

Following the success of desktop computers, laptop computers have become highly popular

as portable versions of desktops with the full functionality of desktop computing and the

portability that allows users to carry them anywhere. Laptop market is going flourish in India.

The need for anytime-anywhere access to information is pursing laptop demand in the market

due to their convenience in terms of portability, flexibility and adaptability. In every field of

life like, hospitality, railways, metro trains, corporate houses, academics, professionals etc.

laptops are current day demand that simplify work and life as well. It contributes towards the

upliftment of performance, work easiness by introducing the home office concept and

provide a creative insight for the work. India’ developing economy notifies positive impact of

this technology and continuously moving towards growth. Initially laptop market started

functioning as a niche market but now it has various market segmentations as per their

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market demand. The laptop is a high value/high involvement product. It involves the target

consumer’s interpretation of the product features, price, services, promotional offers,

warranty/guarantee, usage, benefits and also about the manufacturing organization for the

consumer. Therefore, the first and the foremost challenge facing the manufacturers are to

consolidate the all factors regarding laptops in the minds of the consumers. This calls for

increasing the value proposition and excitement of the brand by incorporating newer and

newer features in the laptops.

1.2 Major Players:

Figure I: Showing Major Players of Laptops

The major players usually provides good service support, well-executed documentation and

driver downloads that will remain available for many years.

1.3 India Laptop Industry Current Scenario

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At Present Brands like Apple, Dell, Sony, Hp, And Toshiba Are Being Regarded As The

Most Preferable Options When It Comes To Laptops. However, Other Companies Like

Samsung Are Also Making Their Mark. Indian Companies Such As Wipro Have Some

Takers As Well.

1.4 Top Laptop Brands in India

A) Apple

Apple is one of the leading laptop brands in India well known for its opulence in terms of

both software and costs involved. Its most preferred models are MacBook, MacBook Pro, and

MacBook Air. However, its customer service is a problem area and this makes it a brand that

is hard to maintain.

B) Lenovo

Lenovo has always been known for its capability to withstand rough usage. Users also like it

for its wide screen. Its most prominent ranges are ThinkPad, Essential, and IdeaPad.

Following are the various Lenovo laptops available in the market:

1. Lenovo G Series G410 204952Q

2. Lenovo Y Series Y410 775788Q

3. Lenovo G Series G410 204955Q

4. Lenovo Y Series Y510 775852Q

5. Lenovo G Series G510 405625Q

6. Lenovo Y Series Y410 775789Q

7. Lenovo Y Series Y410 775762Q

C) Dell

When it comes to graphics Dell leads the way. The Inspiring range has performed really well

in India and the Studio Series has been doing commendably as well. Following are its leading

models:

1. Dell Inspiron 14

2. Dell Studio XPS 13

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3. Dell Inspiron 15

4. Dell Studio XPS 16

5. Dell Studio 17

D) HP

HP laptops are well known for their efficiency along with light weight and bright screens. Its

Pavilion range has been extremely successful in India. Following are its most prominent

models:

1. HP Pavilion DV6516TX

2. HP Pavilion DV9704TX

3. HP Pavilion DV2401TU

4. HP Pavilion DV6767TX

5. HP Pavilion DV9502AU

6. HP Pavilion DV2701TX

7. HP Pavilion DV2601TX

8. HP Pavilion DV2819TX

9. HP Pavilion DV9223

II. REVIEW OF LITERATURE

By Raghavendra Kumar:

[1] Nasır and Yoruker (2006) Has Found That There Are Seven Factors Which Influence

Consumers’ Laptop Purchase Decisions. These Factors Can Be Stated As Follows: Core

Technical Features, Post Purchase Services, Price And Payment Conditions, Peripheral

Specifications, Physical Appearance, Value Added Features, And Connectivity And

Mobility. On The Other Hand, Stayers, Satisfied Switchers And Dissatisfied Switchers

Demonstrate A Significant Difference Only In One Factor: Price And Payment Conditions.

The Results Show That When Compared To Stayers And Satisfied Switchers, Dissatisfied

Switchers Give Less Importance To Price And Payment Conditions Related Factor.

[2] Kanwar (2012) mention that People Who Are Using And Owning Laptops Introduction

Years Of Computers, Today They Have Been Used By Almost All Age Groups, And By

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Both Males And Females, And The Gap Between Age Groups And The Gap Between Males

And Females With Respect To Computer Usage/Ownership Decreases. Furthermore,

Consumers’ Desire For Portable And Attractively Designed Pcs Forces The Companies To

Produce Laptops/Notebooks. In Addition, Extended Battery Life, Price Cuts, Prevalence Of

Home offices, And Integrated Wireless Networking Also Cause To The Increased Sales Of

Laptops. On The Supply Side Of The Market, The Companies Try To Make Profit And Even

Survive In A Highly Competitive Environment.

[3] Iqbal (2012) attempted to the aim of this study was to investigate how retailer influence

brand image of laptop brands and to explore how age and gender influence consumers

perception. Before the main findings are presented it is important to understand that this

quantitative study like any other quantitative study is subject to certain limitations. Firstly the

generalization of this study is only possible for the Swedish market and neighbouring

Scandinavians countries which share similar socio-economic characteristics as Sweden. Also

the respondents of the study are not general consumers, they are highly educated university

students and therefore this study is limited to a certain segment of the market which has some

know-how of laptop brands and retailers used in the study.

[4] Mohan (2013) is defined as In This Study Two Main Factors Have Been Identified,

Namely First Factor Is Efficiency and Performance; Second Factor Is Model Portability.

These Two Factors Define The Seven Features Of Laptop Identified In This Research.

Laptop Brands Can Plan Marketing Strategies And Promotional Activities Focussed On

These Seven Features And The Two Factors To Attract Customers To Their Brand.

[5] Dhal (2015) In Present Marketing Scenario, The Study Of Consumer Behaviour Has

Become Essential. Consumers Are The Kings Of Markets. Without Consumers No Business

Organization Can Run. Customer Behaviour Study Is Based On Consumer Buying

Behaviour, With The Customer Playing The Three Distinct Roles Of User, Payer And Buyer.

Consumer Buying Behaviour Has Become An Integral Part Of Strategic Market Planning.

Through This Study We Can Draw The Conclusion That The Customers Are Interested On

Service And Feature Are The Most Important Dimension To Purchase A Laptop. Apart From

This Point the Customer Also Specifies Other Eight Dimensions Are DVD Drive, Fashion

and Trend, Design and features.

By Anish Kumar:

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[1] Li.P (2010) pointed out; some Factors Which Affect Students‟ Decision Making On

Buying Products Online or In Retail Shops Were Initially Defined. These Factors Include:

Price, Convenience, Efficiency, Product Range, Service And Safety. Most Literature Shows

That Online Price Is Normally Cheaper Than Retail Price. Also Online Shopping Makes The

Consumers‟ Purchasing More Convenient And Efficient. People Can Search Products Online

More Quickly and They Can Find Much Wider Product Ranges Then In Retail Shops.

However There Are Still Some Disadvantages For Online Shopping. People Can Get Better

Service In Retail Shops Because Staff In Retail Shops Can Give Advice And Help. Another

Weak-Point For Online Shopping Is Safety. There Are Still Lots Of Consumers Who Are

Afraid Of The Safety Of Online Payment.

[2] Taneja (2012) Has Studied About Laptop Choice Which Is Dependent On Personality

And Gender Of The Person. Relationship Has Been Found Between The Personality And The

Brand Of Laptops Possessed. Also, There Seems To Be A Dependency Between The

Personality And Buying Behaviour.

[3] Arasu (2013) The Reason For Some Of The Parameters Like Configuration Specs And

The Price Of Laptops Not A Major Factor Is Because The Major Brands That Offer Deals At

Our Campus Do Not Differ By Much In Terms Of These Parameters. Hence The Respondent

Is More Sensitive Towards The Other Differentiators. Therefore The Brands Those Are Able

To Maintain The Best Configuration Fit With Consistent Performance, Innovating With Their

Designs To Create Competitive Differentiating Factor At Affordable Price Range Will Rule

The Buying Decisions Of Students.

[4] Arora (2014) Integrated That The Number Of People Who Are Using And Owning

Personal Computers (PC) Substantial Increases In All Over The World. Adverse To The

Founding Years Of Data Processors, Today They Have Been Applied By Nearly All Age

Groups, And By Both Males And Females. Furthermore, Consumers’ Desire For Portable Pcs

Forces The Companies To Produce Laptops/Notebooks. In Such Event, It Becomes

Exceedingly Important To Determine The Agents That Are Influencing Consumers’ Purchase

Decisions. The Customer Base Of A Society Is Comprised Of Its Current Customers And

Those Customers Who Are Acquired From Competitors Can Be Either Satisfied Switchers

Or Dissatisfied Switchers. In This Work, It Has Been Found That Features, Price, Services,

Guarantee/Warranty, Dealer’s Dealing and Promotional Offers/Advertisement, All These

Elements, Influence Consumers’ Laptop Purchase Decisions. In Order To Improve The

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Market Share, Companies Should Provide Better Featured Laptops And Should Work On

Price Strategy, Easy Availability Of Laptops. In Order To Retain The Market Share And

Improve The Market Share, Marketers Should Also Find Out Their Loopholes, Especially

They Should Work On Quality Aspect And Services Aspect On Their Branding. The

Marketers Should Also Plan And Make Strategies In Order To Tap The Consumers From All

Segments.

By Sachian dawar:

[1] Hoskins (2005) The Review States That The Preference For Laptops Are Being Replaced

By Notebook And This Has Become The Emerging Trend Due To Various Reasons Like

Less Price , Affordability , Portability Etc. Another Reason For The Preferences For Laptops

And Computers Is The Internet, Which Acts Like A Second Teacher With Collective

Knowledge On This Planet. Even Parents Consider This As The Perfect Knowledge For

Learning. There Is Various Determinants On Which They Go For The Laptops. Those

Factors Are Like Portability, Convenience, Toughness, Powerfulness, Sturdy, Connections

Size, Technical Specs, Battery Life, And Price And Laptop Security.

[2] Sharma (2012) Experienced That The Entire Study Shows That Laptop Usage Is Very

Much Popular In Between The Students Whether Their Residential Status Is Urban And

Rural. It’s The Present Day Demand to Run Hand with the Latest Technology. This

Technology Not Only Simplify Students Task But It Also Seem To Morale Boost Up Of The

Students. Students Found Themselves Connected With The Entire World With The Help Of

Laptops And By Mean Of This They Can Contribute A Lot For The Nation.

[3] Kasisomayajula (2013) This Article Is Done In Order To Find Out The Performance Of

LG IT Products Among Its Competitors As Hyderabad Is A Fast Developing Metropolitan

City Always Buzzing With Activities The Rate Of Towards Electronic Product Is High And

They Prefer Customers, The Best Too. Any Business And All The Related Activities Revolve

Around The Customers Only. Customer Satisfaction Can Be Achieved Only By Offering

Better Quality Products Backed Up By Performance And Better Services. This Can Be

Satisfied By Designing The Products In Such A Way That Is Suits The Wants And

Preferences Of The Customer.

[4] Adithya (2013) Found That According To The Study, There are 8 Important Facts That

Helps Student To Make Decision Regarding Purchase Like Hardware, Design, Offer, Brand,

Original Software, Components, Advertisement And Innovation. The Desktop And Laptop

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Purchases Are Not Related. It Means Students Having Desktop May Or May Not Purchase

Laptop. Friends Play a Major Role Making Purchasing Decision of Laptop As 89% (178) Of

Respondents Say That Friend’s Suggestions Are Helpful in Deciding Brand and

Configuration.

By Gopi ram:

[1] Tania (2009) This Study Has Provided Factors Can Be Stated As Follows: Branding,

Technical Features, Special Features, Values And Mobility. On The Other Hand, Male and

Female Consumers Demonstrate A Significant Difference in Two Factors: Branding and

Mobility. From The Managerial Perspective, The Findings Of This Study Imply That When

A Consumer Decides To Buy A New Laptop, The Company Should Consider The Type Of

Customers, Their Purpose And The Characteristics. However, Since All Consumer Groups

(Male And Female) Find Branding And Mobility Extremely Important, These Features

Should Be Emphasized In Advertisements. This Research Finding Can Also Benefit Laptop

Providers Who Would Want To Reach Out The University Teachers As Their Targeted

Market. This Study Recommends Companies To Invest In Technology Through R&D And

Create Differentiation At Utmost Level. This Research Has Been Limited To Laptop Sector

And The Factors Influencing Consumers’ Purchase Decisions In This Market, Since Sectorial

Differences Play A Vital Role, It Is Also Recommended To Replicate This Study In Distinct

Sectors.

[2] Sudhakar (2011) Stated that The Opinion Of Students Regarding Laptops Perception. All

Companies’ Features Are Not Satisfying The Students Needs Like Weight And Quality Of

Adapter, Advanced Features Are Lagging Etc., And Innovative Measures Has To Be Taken

To Reduce The Heat Of The Laptop And Battery Back Up Has To Be Improved.

[3] Taneja (2012) Has Studied About Laptop Choice Which Is Dependent On Personality

And Gender Of The Person. Relationship Has Been Found Between The Personality And The

Brand Of Laptops Possessed. Also, There Seems To Be A Dependency Between The

Personality And Buying Behaviour.

By Poonam:

[1] Solayappan (2009) the Research Has Shown That Branded Computers Play A Prestigious

Role In The Students Segment. Due To The Computer World Everything Is In The Hands Of

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The Students. All Categories Of Students Expect After Sales And Service. Being Offered

Proper and Prompt Service, the Customers Really Feel The Value Of Branded Computers.

They Are Satisfied With Their Brand And They Also Turn To Be Opinion Leaders. This

Research Shows That Student Segments Require Quality As Well As Service; These Factors

Will Promote The Branded Computers. If The Marketer Wants To Defeat The Competition,

They Should Provide Qualitative And Original Products. When The Customers Enjoy The

Value Of The Product, And Start Using The Branded Computers They Become Surrogate

Buyers. Professional Students Are Happy With Guarantee And Warrantee Of The Product.

The Marketer Can Give Guarantee and Warrantee As Per Buyer’s Expectation. If Any

Physical Damage, Short Circuit Happens, The Marketer Can Fulfill The Needs And Wants

Of The Customers. Availability Of Components And Products At The Right Time Ensures

Time Value For Customers. In Case Of Non-Availability Of The Product, If The Customers

Are Made To Wait For A Longer Time, They Will Turn Out To Be Mercenary Customers.

[2] Melville (2010) Students Are Concerned About Every One Of These In Their Laptops.

The Most Prominent Brand On Campus Is Apple, Followed By Dell And HP. There Is A

Small Group Of Toshiba And Acer Users, However, Three Quarters Of Franklin Pierce

Students Use Apple, Dell, Or HP Laptops. Both Apple And Dell Users Were Satisfied With

The Tech Support Found Here At Franklin Pierce. Though There Is A Small Group Of

Toshiba Users, The Majority Of Them Were Very Satisfied With The Tech Support. Acer,

Asus, and Sony Users All Were Neutral In Terms Of the Tech Support. HP, However, Were

the Least Satisfied Users Here At Franklin Pierce. Over 95% Of The Students At Franklin

Pierce Would Agree WIFI To Be An Important Feature With A Laptop. As This Campus Is

Gaining More WIFI Hotspots, It Will Become More Convenient For Students To Have WIFI

Capabilities; It Could Be Expected For Students To Have WIFI In The Future.

[3] Nath, Vikas And Goswami (2010) Promotion Of A Brand Can Address Price/ Costs,

Tangible Brand Attributes Or Intrinsic Brand Attributes (Equities). As Purchasers Consider

The Tangible Product Features In Concert With Brand Equity (And Price), They Arrive At A

Set Of Products In A Category Which They Will Consider For Purchase (I.E. their

Consideration Set). Thus, A Brand's Equity Is Dependent On Effective Communications To

The Target Market(S) And Brand Equity Can Be Improved To Some Extent With Improved

Effectiveness Of Communications One Part Is Due To The Physical And Readily Identifiable

(And Replicable) Features Of The Brand That Delivers Specific, Tangible Benefits To The

Buyer, Thus Impacting Purchase Choice. These Are The Tangible Product Features. The

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Second Part Is Due To Some Perceived Intrinsic Value Associated With The Brand Name

Due To Such Things As The Image Transferred To The Buyer, Trust, Longevity In The

Marketplace, Social Responsibility, Consistent Performance, And So Forth (I.E. The

Intangibles), and Impacting Purchase Choice. The Third Component Is The Price/Cost Of

The Product.

III. NEED AND OBJECTIVES OF THE STUDY:

Customers are very conscious about price and brand image of laptop which affect their own

social image because they both are help to create a level of satisfaction in consumers mind

which influence the demand of laptops. This study help marketers to innovate new product

according to customer need and word of mouth has been recognized as the most influential

source of product information for consumers. It will also help the marketers to project the

perceived impact of such word of mouth on their purchase behaviour.

3.1 Objectives of the Study:

1. To find out the satisfaction level of laptop users regarding price.

2. To find out the perceived impact of WOM on laptop purchase decision.

VI. IDENTIFICATION OF VARIABLES:

A. Brand Image

B. Price

C. Features (Design, Quality, Weight, Battery Backup, Durability, Hard Disk

Capacity, Wi-Fi, Processor Speed, Graphics, and Screen Size Etc.)

D. Purpose of Use

E. Social Image Associated With Brand

F. Friend or Family’s Referral

G. Reliability on Sources of Purchase

H. Brand Ambassador

I. Budget For Laptop

J. Availability of Service Station

K. WOM

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V. RESEARCH METHODOLOGY:

Primary data was collected through a structured questionnaire distributed among students of

Lovely Professional University, Phagwara (Punjab). The questionnaire contained multiple

choice questions as well as it also consist of various parameters that were identified for

analysing the purchase behaviour of students towards laptop. The study was conducted in two

phases. In first phase, about 75 students owning laptops were identified having strong

attachment with families and friends and little knowledge about various components of

laptops. From this data, 60 questionnaires are shortlisted for research and further calculation.

5.1 As brand loyalty and consumer’s trust reflects the customer base of the company which is

related to its performance this study attempts to explore the perception of customers in

respect to the brand image for lap top which they are using. The entry of various brands, the

quality and efficiency of lap tops provided by industry and the promotional attempts and

adding diversification in lap tops features of these companies has changed the taste of the

people in India. In respect to customer services and product offered there are notable

perceived differences. Hence this comparative study on products provided by the different

companies looks for bringing out the differences between the perceptions of the customers

regarding different brands. This study is descriptive in nature.3.1 research design

This study is descriptive in nature. The quantitative technique will be used to collect the data

by conducting the survey with the help of structured questionnaire.

5.2 Sampling technique

The samples will be drawn from lovely professional students. The sampling technique

followed will be convenience quota sampling. Sample would be chosen from the students

purchasing lap tops as per their perception.

5.3 Selection of test items

In order to test the hypotheses formulated for the study a self-structured questionnaire. Was

constructed as per the insight of the researcher and literature review. Sample size consists of

60 respondents as there was time constraint.

5.4 Sample size

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The subjects for the study was 60 students from the university from different disciplines

during the academic year 2014-2015. Simple random sampling technique was observed to

give equal opportunity to every person irrespective of gender and discipline. All the subjects

belonged to LOVELY PROFESSIONAL UNIVERSITY and their age regarding between

twenty to twenty six years

VI. STATISTICAL TOOLS USED

6.1 Identification of Variable:

A variable is an object, event, idea, feeling, time period, or any other type of category which

help to measure significance, satisfaction, level of risk. During this research variables are

taken like brand image, price, features, purpose of use, social image associated with brand,

friend or family’s referral, reliability on sources of purchase, brand ambassador, budget for

laptop etc.

6.2 Questionnaire Formation on Selected Variables:

The questionnaire is framed on the basis of shortlisted variables on nominal as well as ordinal

scale, they are non-metric scales in nature and non-parametric test was applied as well as on

metric scale and para-metric test is applied.

6.3 Data Entry and Calculation:

The research is being done on the perceived impact of students on laptop purchase decision

on various parameters questions are based on five point likert scale to examine the various

parameters like satisfaction, risk or trust, etc. the total number of respondents are 60 thereby,

data were feed on SPSS and Z test was applied with the help of SPSS.

7 FINDINGS:

7.1 Satisfaction Factors for Laptop Users:

The price is one of the most important variable to find out satisfaction level of laptop user,

the respondent were asked to rate the satisfaction level of laptop price on five point likert

scale (viz. Highly Satisfied, Satisfied, Neutral, Dissatisfied, Highly Dissatisfied.)

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In order to understand effect of WOM , the respondents were asked to select the relation

influencing more while making purchase division, they have to identify the relation (viz.

parents, brother/sister, friends, peers, personal influence) on nominal scale secondly, the

respondents were asked to rate the level of risk involved in making purchase decision by

referring friends and family (viz. Highly Risky, Less Risky, Moderate, Very Less Risky,

Negligible Risky) to rate the level of risk and trust on five point likert scale. Z test was

applied here and hypothesis framed were as follows (Table I):

Table No I Showing The Statements of Hypothesis:

S.no Null Hypothesis Statement

H0 I H0 The perceived satisfaction for price is insignificant.

H0 II H0 The perceived impact of trust by WOM is insignificant.

Table II Showing One Sample Statistics & Sample Test

Factor Mean Z-Value Sig. SD

Price 2.1167 -4.636 0.000 .64022

WOM (Trust) 2.9500 3.615 0.001 .96419

(At 0.05 Level of Significance)

7.2 Satisfaction Levels of Price:

Z Value for this factor is -4.636 with 59 degree of freedom and mean value is 2.1167 P value

is 0.000 and the level of significance is 0.05 which exceeds the P value thereby rejecting the

null hypothesis in favour of alternative hypothesis i.e. the perceived satisfaction for price is

significant

IMPLICATION:

Customer buying decision is a series of choices but price is playing a major role. Consumers

are always consider price factor before making a purchase. According to our survey the

perceived satisfaction for price is significant, it means that there is a significant effect of price

on buying behaviour of customers, by using this information, the marketers able focus on

price of laptop because it is main factor which affect the purchase decision of consumer and

this survey also reveals that average budget of the customers for buying laptop lies mostly

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between 30000-40000 it means the marketers must set the price accordingly to increase the

sales.

7.3 WOM:

Z Value for this factor is 3.651 with 59 degree of freedom and Mean value is 2.9500; p value

is 0.001 and the level of significance is 0.05 which exceeds the p value thereby(table II),

rejecting the null hypothesis in favour of alternative hypothesis i.e. the perceived impact of

trust by WOM is significant.

Table III Showing Referrals used in laptop purchase Decision Making

Trust Frequency Percentage (%)

Parents 12 20

Brothers/Sisters 14 23.33

Friends 26 43.33

Personal 8 13.33

Total 60 100

Table IV showing the perception of respondents on various level risk for referrals

Impact factor Frequency Percentage %

Highly risky 4 6.66 %

Referrals used in laptop purchase Decision

Parents Brothes/Sisters Friends Pesonal

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Less risky 11 18.33 %

Moderate risk 28 46.66 %

Very less risk 14 23.33 %

Negligible risk 3 5%

Total 60 100

IMPLICATION:

From Table III and IV we can interpret that respondents are considering their friends in

majority. They are feeling less risk by using referral of family and friend before making

purchase decision as compare to personal point of view, but the risk level is also moderate.

People are spending time to get all the information about the brand and features at their home

with the help of referrals and it is easy to gather information by taking opinion of their friends

and relatives.

The marketers should focus on technical support and services because it will help them to

create customer satisfaction and the previous customers’ referrals will help them as an

influencing medium for new customers which is the concept of WOM.

VII. CONCLUSION AND SUGGESTIONS:

The results show that the price of laptop is an important factor which highly influence the

purchase behaviour of the customers. Hence the marketers must plan the strategies according

to that and must regulate the price of the laptop considering the budget of the customers as ,

from the research it has been found that mostly the budget of customers lies between 30000-

40000 therefore the price must be set according to that to gain maximum satisfaction of the

customers.

The results also show that the perceived impact of laptop purchase decision is more

influenced by the families and friends of the customers. The majority of customers use

referrals before purchasing their laptop. People think that trust is the most important thing

while making decision although the level of risk is moderate. Companies need to generate

trust about their products and services and capture the potential customers through WOM

they have to plan a proper customer service for their existing customer because they are the

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one who influence new customers as well as company should retain existing ones through

such advertisements endorsing USP like trust .

IX. LIMITATIONS:

The scope of generalization is limited because of use of convenience sampling.

Small Sample size because of constraint of time and resources and target population being

students.

Respondent’s (students) feedback being influenced by friends so reliability of results is

limited.

It was restricted area to Lovely Professional University

The consumer behaviour varies according to different laptop brands

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X. REFRENCES:

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[2] Berger J and Schwartz E M. What Drives Immediate and Ongoing Word of Mouth?

Journal of Marketing Research. 48; 2011: 869 –880.

[3] Chu S C. Determinants of Consumer Engagement in Electronic Word-of-Mouth (eWOM)

in Social Networking Sites.

International Journal of Advertising. 30(1); 2011: 47–75.

[4]Jung N Y and Kim S. Determinants of Electronic Word-of- Mouth: Meta- Analysis of

Quantitative Research. Proceedings of the Atlantic Marketing Association. 2012:342-361.

[5] Sharma P. “Study of Brand Choice of Laptops by Management and Engineering

Students”, International Refereed Research Journal, Vol. – Iii, Issue–4(2), October 2012,

Accessed From

http://www.researchersworld.com/vol3/issue4/vol3_issue4_2/Paper_07.pdf

[6] Kanwar R. “Study of Consumer Behaviour while Purchasing Laptops in Chandigarh &

Mohali”, International Journal of Computing and Business Research (IJCBR), Volume

3 Issue 2 May 2012, accessed from

http://www.researchmanuscripts.com/may2012/17.pdf

[7] Trusov M. Bucklin R E and Pauwels K. Effects of Word-of-Mouth Versus Traditional

Marketing: Findings from an Internet Social Networking Site. Journal of Marketing. 73;

2009:90–102.

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[8] Zamil A M. The Impact of Word of Mouth (WOM) on the Purchasing Decision of the

Jordanian Consumer. Research Journal of Internatıonal Studıes. 20; 2011: 24-29.

Annexure:

QUESTIONNAIRE

Dear Respondent,

We are the students of Lovely Professional University (LPU), conducting a study on

“Perception of Youth towards Purchasing Dell Laptop” as part of our MBA program. You are

requested to spare some time for the information required in the survey which is going to be

conducted in LPU. The information provided by you will be used for academic purpose only.

Your participation is completely voluntary and all responses will be anonymous.

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1. Which brand of laptop, do you have?

a. Sony

b. Apple

c. Hewlett Packard

d. Dell

Specify here if other..........................

2. Rate the satisfaction level of your laptop brand.

Very satisfied Satisfied Neutral Dissatisfied Very Dissatisfied

3. To what extent has the product been successful to meet your needs?

To fullest extent 50%-80% Morethan80%

Below 50% Can’t say

4. Rate your satisfaction on the following dimension for your laptop purchase.

5. Allocate points out of 100 to the following attributes.

6. What is the main purpose of using the Laptop?

Personal Educational Official Entertainment

Others..................... (Please Specify)

7. How many hours you use your Laptop in one day?

1-3hr 3-5 5-6 hrs above 6 hrs less than 1hr

8. Select the relation influencing more while making purchase decision.

peers parents friends relatives Brother/sister

Attributes Highly

satisfied

Satisfied Neutral Dissatisfied Highly dissatisfied

Price

Design

Quality

Weight

Battery

Durability

Technical support

Attributes Points out of 100

Hard disk capacity

Wi-Fi

Processor speed

No. of USB ports

Graphics

Screen size

Cd/Dvd

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9. Do you think the laptop brand you own affect your social image?

1. YES 2. NO

10. If yes, rate the impact of brand image of laptop on your social image.

VERY HIGH HIGH NEUTRAL LOW VERY LOW

11. Do you find salesman as a reliable source of information in purchase decision?

1. YES 2. NO

12. If yes, than when do you make the use of salesman referral at the time of laptop purchase?

1. During problem identification

2. During gathering information

3. During choosing the best option

4. During services (after using the same)

13. Select the risk factor involved in making purchase decision by referring friends or

relatives:-

Highly risky Less risky Moderate Very less risk Negligible risk

14. Specify the type of brand ambassador who influence your purchase decision?

1. Sportsman

2. Scholar

3. Film star

4. Business man

15. Select the factor which determines the propose brand equity of laptop for purchase

decision?

performance Social image values trustworthiness attachment

16. Do you intend to buy accessories with new laptop?

1. Yes 2. No

17. IF yes, rate the importance of buying accessories with laptop?

Very important Important Moderate Less important Highly less

important

18. What is your budget for laptop (INR)?

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10000 –20000 20000-30000 30000-40000 40000-50000 50000 & above

19. Does the availability of service centre near your home affect your choice of brand?

1. Yes 2. No

Personal Information:

Name of the Respondent:

Age (in years):

15-20 20-25 25-30 30-35 35 and above

Gender (M/F):Male [ ] Female[ ]

Family income (INR):

Below 10000 10000-30000 30000-60000 60000-90000 Above 90000

Signature: