Consumer Behaviour and the Factors Affecting Purchase of Apple Products - Research Proposal Example

? Study of Consumer Behaviour and the factors affecting purchase of Apple products The topic of consumer behaviour is critical for the marketers. Understanding the perception of consumers will help in targeting their exact requirements. Proper strategies for attracting consumers might make them loyal customers which are highly favoured by the marketers. There are several other positive buying behaviours which showcase the constancy of the customers. One such activity is the word-of-mouth promotion of the consumer for the brand. In this context, consumers generally refer the brand to their friends and relatives and influence them to try the product. The objective of this research proposal is to understand and analyse factors affecting behaviour of consumers while purchasing products of Apple Company. In order to obtain essential research data related to the company and various strategies implemented by the company, extensive secondary research has been done. The study will try to figure out the relationship between factors affecting consumer behaviour and its relationship with purchasing decisions made by the consumers. The overall aim of the study has been divided into smaller objective and each objective has been studies thoroughly. The study has used both qualitative and quantitative method for data collection as well as data analysis. Primary data is collected through questionnaire as well as focus group methods. Contents Contents 3 Introduction 4 Research Questions 5 Literature Review 5 Research Methodology 6 Justification 6 Research Methods 6 Research Philosophy 6 Research Approach 7 Research Strategy 8 Data Collection Method 8 Data Analysis 9 Reference List 10 Introduction The use of computer tablets and smartphone has seen a dramatic increase in the recent past. Also, mobile applications have taken up the last spot in various gossips around mobile industry. Latest mobile applications companies such as Apple have revolutionalised the distribution of technologically advanced products. They have also become extremely visible and one of the most profitable part of the company. For decades, consumers have been the most puzzling and complex factor for the marketing and business professionals. Consumer behaviour, decision making processes, reasons for various choices etc, have always been the topic of interest as well as awe for these marketers (Blackwell, Miniard and Engel, 2006). However, with the help of technology as well as various business analysis tools, marketers have been able to crack many of these puzzles. That is why the study of consumer behaviour is one of the critical factors in every business strategy (Pride and Ferrell, 2012). The study of consumer behaviour considers various reasons such as situational, personal, social and psychological, reason for shopping products and services, buying and using them, becoming loyal customers and disposing them. Mobile communications have hugely impacted the way individuals and communities interact with each other and perform business. Smart phones have become a must have item for executives and business professionals because the offering of smartphone are more advances and versatile compared to regular mobile phones. Several factors can be attributed to customers getting attracted to a particular product or service as well as switching from one product to another. These can be product quality, design and style and support services offered by the products (Hoyer and Macinnis, 2008). In case of mobile and technological products, competition is more intense. Availability of technology has made the competition tough and decreases the overall life of mobile products. Thus, companies now require to be constantly innovating in order to survive in the market. Consumer behaviour can also be affected by various other factors such as situational, psychological, personal, family and culture. Marketers try to find out the various trends so that they are able to reach their target customers in the most convenient and cost-effective way. Marketers also try to influence the behaviour of consumers by controlling various factors such as store layout, availability of services and products, grouping, music, advertising and pricing. Research Questions The overall aim of the study is to evaluate the factors the influence consumer buying behaviour while purchasing products from Apple Company. However in broader terms the research also aims to highlight the complex nature of consumer buying behaviour and its influences on the overall marketing strategies of an organisation. The three research questions can be summarized as follows; 1. Understand and evaluate the relationship between factors affecting consumer behaviour and decision making process of consumers while service or product purchasing. 2. Evaluating the various consumer behaviour strategies followed by the company. 3. Analysis of the factors influencing consumer behaviour and its relationship with overall purchasing process of the consumers. Literature Review Consumer behaviour can be defined as the study of processes when groups or individuals purchase, select, use and dispose services, products, experiences or ideas in order to satisfy their needs and desires (Solomon 1995). In marketing terms, consumer behavior can be referred as pre and post-purchase activities. The activities which can be considered as pre-purchase are regarding increasing the awareness about need or want and consecutively searching as well as evaluating different alternatives. Activities regarded as post purchase includes product or service evaluation after purchase is done and the growing anxiety in case of expensive and rarely used items (Neal, Quester and Pettigrew, 2006). Post purchase activities give rise to various repeat purchase implications. Various consumer buying behavior studies have been conducted in the past. Acebron, Mangin and Dopico, (2000) conducted a similar study. The aim of the study was to evaluate the impact of buying behavior on fresh foods. In another study conducted by Variawa (2010), influence of packaging on the decision making process of consumers was analysed. Lee (2005) conducted a study in order to evaluate the five stages of consumer decision making. It was found that family members have a powerful effect on the overall purchasing decisions of consumers. Research Methodology Research methodology is defined as the way by which data and information is collected and the technique applied for analysing those data for the purpose of reaching a conclusion and making a business decision (Somekh and Lewin, 2004). This study principally seeks to investigate the factors influencing consumer behaviour in business. This topic will be evaluated in the context of Apple and hence the objective of the study is to find out the various factors which affect the purchasing behaviour and decision making process of consumers while buying Apple products. The study has three research questions, but the main thrust of the study will be on the questions pertaining to the importance consumer behaviour for buying and purchasing decisions. Hence, on the basis of this the hypothesis of the research is as follows:- H0: Factors affecting consumer behaviour influences the purchasing decisions. H1: Factors affecting consumer behaviour do not influence the purchasing decisions. Justification The prime intention of this study is uncover whether factors affecting consumer behaviour affects the purchasing decisions of consumers or not. Hence, it is evident that the study will need to determine the correlation between factors affecting consumer behaviour and their overall purchasing decisions. In addition, the study will also involve collection of in depth information about the ways to influence consumer behaviour and how it can be beneficial. Thus, it is also obvious that the study will also involve qualitative data. Hence, a mix approach will be used to accomplish the study. Research Methods Research Philosophy Research philosophy can be defined as the systematic and calculative search for values, knowledge, mind, reason, language and existence. The four major research philosophies are described below: Positivism Tobin and Joseph (2006) have suggested that the philosophy of positivism is based on the belief that reality is always stable and can be objective. In this type of research, the goal is to fill the knowledge gap or find universal laws. It is based on objective reality and explanatory theories and tests. The most commonly used research tool is questionnaire method and the most commonly used research design is fixed design (Blaxter, Hughes and Tight, 2006; Scharff, 2002). Interpretivism The philosophy of interpretivism is also known as anti-positivist. The goal of the research is to solve the problem and find out how cultural and situational variations help in shaping the reality. The behaviour of human being while they observe a situation is deemed by this approach (Mukherji and Albon, 2009). Researchers following interpretivism approach mainly undertake qualitative data analysis. Pragmatism It adopts knowledge approaches which are scientific. The aim is to use this approach in problem solving. Since it is not associated with any philosophical debate, it is free to choose any methods, procedures and technology in order to solve the problem (Srivastava and Rego, 2011). Realism This research philosophy is concentrated in the real world and the beliefs which already exist in the environment. Direct realism and critical realism are majorly used in this approach. Direct realism is associated with feeling, hearing, seeing etc. In critical realism researchers argue about personal experience for a particular situation (Sekaran and Bougie, 2010). Research Approach Research approach is defined as the approach taken by the researcher in address or researching the subject of concern. There are two broad research approaches namely inductive approach and deductive approach. Deductive Approach In deductive approach, a pattern is followed which involve exploration of main focus of the research. After that the study moves to a more generalised approach, in order to test the validity a hypothesis is also developed. Monette, Sullivan and DeJong (2005) further explained this approach through hypothesis. According to his theory, hypothesis can be derived from the theory propositions. Deduction starts with a pattern which is expected and is tested against various observations (Beiske, 2007). Deductive approach is used reason from particular to general. It can be said that deductive approach is used to test whether a particular case of theory can be applied to a more general circumstance or not (Gulati, 2009). Inductive Approach In Inductive approach specific observations are used in more generalised terms. Deductive approach is reversed in this process and conclusion can be derived with strong evidences (Goddard and Melville, 2004). Inductive argument is based on probable truth and comes with a certain degree of uncertainty. The usage of this approach is outdated and rarely implemented. Research Strategy A research strategy reflects the general goals and approach of a research study. Research strategy can be descriptive, correctional, non-experimental, experimental or quasi-experimental. A descriptive strategy measures variables in their natural state of existence. In a co-relational strategy two variables exist. While non-experimental strategy demonstrates difference between two conditions or groups, in experimental strategy one variable is manipulated while observing or measuring a second variable. For the current research, descriptive strategy will be used (Saunders, Lewis and Thornhill, 2009). Data Collection Method Data collection and sampling is a critical part of the research process. This study will involve collection of data from both secondary and primary sources (Burns, 2000). The secondary data will be collected from various sources which are mainly consisting of books, online databases, journal articles and authentic websites. Primary data will be collected directly from the market (Bryman, 2008). The data collection instruments to be used for this study are questionnaire survey and focus group interview. Another important factor of the study is to select the respondents or appropriate sample and decide on the sample size (Thompson, 2012). The technique used for this purpose is sampling. This study will have two groups of participants which are company executives and the customers of Apple Company. The sampling technique is the simple random sampling of the probability sampling. Data Analysis The analysis of data is the process of cleaning, inspecting, transforming and modeling of data for the principal purpose of underlining and gaining useful information and helps in drawing a conclusion of the study (Kumar, 2011). In addition, this also helps in decision making. For a research study data analysis is an important part and the outcome of the study also greatly depends upon the information. Moreover, analysis of data also helps in testing the hypothesis of the study. As mentioned earlier, in order to address the research question i.e. to evaluate the factors affecting behaviour of customers towards the purchase of Apple products, the study will consider a mixed approach. This study will make use of both statistical packages as well as office suite to analyze the data. The statistical package which will be used is SPSS (Statistical Package for Social Science) and in office suite it will use MS-Excel (Pannerselvam, 2004). It is also proposed that the study will also present a number of graphs and charts to present the data in a meaningful format. Reference List Acebron, L. B., Mangin, J. P. L. and Dopico, D. C., 2000. A proposal of the buying model for fresh food products: The case of fresh mussels. Journal of International Food and Agribusiness Marketing, 11(3), pp. 75–96. Beiske, B., 2007. Research methods: Uses and limitations of questionnaires, interviews and case studies. California: GRIN Verlag. Blackwell, R., Miniard, P. and Engel, J., 2006. Consumer behavior. Mason: Thompson Learning. Blaxter, L., Hughes, C. and Tight, M., 2006. How to research. 3rd ed. New York: McGraw-Hill International. Bryman, A., 2008. Social research methods. 3rd ed. Oxford: Oxford University Press. Burns, R. B., 2000. Introduction to research method. London: Sage Publications. Goddard, W. and Melville, S., 2004. Research methodology: An introduction, 2nd edition. Oxford: Blackwell Publishing Gulati, P.M., 2009. Research management: Fundamental and applied research. New Delhi: Global India Publications. Hoyer, W.D. and Macinnis, D.J., 2008. Consumer behavior, 5th edition. Connecticut: Cengage Learning. Kumar, S., 2011. Knowledge discovery practices and emerging applications of data mining. New Delhi: Idea Group Inc (IGI). Lee, M., 2005. Relationship marketing and consumer switching behavior. Journal of Business Research, 58(12), pp. 1681-1689. Monette, D.R., Sullivan, T.J. and DeJong, C.R., 2005. Applied social research: A tool for the human services, 6th edition. California: Sage Publications. Mukherji, P. and Albon, D., 2009. Research Methods in Early Childhood: An Introductory Guide. London: SAGE. Neal, C., Quester, P. and Pettigrew, S., 2006. Consumer behaviour: Implications for marketing strategy, 5th edition. Berkshire: McGraw-Hill. Pannerselvam, R., 2004. Research methodology. New Delhi: PHI Learning Pvt. Ltd. Pride, W. M. and Ferrell, O. C., 2012. Foundations of marketing. 5th ed. Connecticut: Cengage Learning. Saunders, M., Lewis, P. and Thornhill, A., 2009. Research Methods for Business Student. 5th ed. New Jersey: Pearson Education Inc. Scharff, R. C., 2002. Comte after Positivism. Cambridge: Cambridge University Press. Sekaran, U. and Bougie, R., 2010. Research methods for business: A skill building approach, 5th Edition. Hoboken, N.J./Chichester: John Wiley and Sons. Solomon, M.R., 1995. Consumer behavior. New Jersey: Prentice Hall. Somekh, B. and Lewin, C., 2004. Research methods in the social sciences. California: SAGE. Srivastava, T. N., and Rego, S., 2011. Business research methodology. New Delhi: Tata McGraw-Hill Education. Thompson, S. K., 2012. Sampling. 3rd ed. New Jersey: John Wiley & Sons. Tobin, P. and Joseph, K., 2006. The use of stories and storytelling as knowledge sharing practices: A case study in the South African mining industry. [pdf] University of Pretoria. Available at: [Accessed 19 October 2013]. Variawa, E., 2010. Buying behaviour and decision-making criteria of Base of the Pyramid consumers: The influence of packaging on fast moving consumer goods customers’ brand experience. [pdf] University of Pretoria. Available at: http://upetd.up.ac.za/thesis/available/etd-07232011-131708/> [Accessed 19 October 2013]. 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