A study consumer behaviour

A PROJECT REPORT

A STUDY ON CONSUMER BUYING BEHAVIOUR IN TIKONA DIGITAL NETWORKS (P) LTD

In partial fulfillment for the award of the degree

Of

MASTER OF BUSINESS ADMINISTRATION

SUBMITTED BY

VISHWA KUMBH

1109670057

UNDER THE GUIDANCE OF

Internal Guide: MS. EVITA SRIVASTAVA

School of Management

Vishveshwarya instituted of Enggnerring & Tecnnology Gr.Noida.

AFFILIATED TOMAHAMAYA TECHNICAL UNIVERSITY, NOIDA

2

CERTIFICATE

This is to certify that Vishwa Kumbh is a Post-graduate student of

Vishveshwarya Instituted of Enggnering&technology,Gr.Noida. and

has successfully undergone a Summer Internship Program (SIP), in the topic on

“STUDY ON CONSUMER BUYING BEHAVIOUR IN TIKONA DIGITAL NETWORKS (P)

LTD”, during the period May 2012 to July 2012 with Tikona Digital

networks Pvt. Ltd.

The information submitted is true and original to the best of our knowledge.

DR.SURENDRA TIWARI Name of Supervisor: MS. EVITA SRIVASTAVA

Head of MBA Department Designation: Sr. Asstt Professor

Date: Department: MBA

Vishveshwarya instituted of enggnerring & tecnnology Gr.Noida.

Vishveshwarya instituted of Enggnerring & Tecnnology Gr.Noida

3

DECLARATION

I hereby declare that the information presented is correct to the best of my knowledge and the

analysis is as per the norms and guidelines provided for the report. I have utilized the requisite

concepts and applied the required methodologies to analyze the primary data collected to reach the

conclusion present in the report.

I claim the report to my indigenous work and have not been presented anywise for any

purpose ,what-so-ever.

Date Vishwa kumbh

Place (singnature of student)


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ABSTRACT

The project for TIKONA DIGITAL NETWORKS (P) LTD is aimed for successful

functioning of the organization. The researcher collected the primary information required for the

study through a structured questionnaire. Website and books are the main part of secondary data.

The nature of the study was descriptive. The sampling method used is convenience Sampling.

The sampling size was 100 Respondents. This includes only consumers. The researcher while

analyzing converted data made use of simple tabulations, percentage, correlation, chi-square test.

The need of the study is to study the CONSUMER BUYING BEHAVIOUR for successful

functioning of TIKONA DIGITAL NETWORKS (P) LTD.

Finally, the last two chapter deal with the finding from the survey and the suggestion to the

company is given followed by the conclusion.


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ACKNOWLEDGEMENT

Training is a real experience. Training for an MBA student, three months of summer training is

practically more resourceful than all the management classes he had in the classroom. It is an

experience, which sees one through his management career. This is mainly attributed to the fact that

during these days of summer training every student comes to know about the real business world.

Herein he learns how to put the lessons and the theories that he has learnt from numerous books at

work. He learns business management in all ways.

Firstly I would like to acknowledge our institute Vishveshwarya Instituted of

Enggnering& technology,Gr.Noida for providing me an opportunity to work on the field of

Marketing. I am also thankful to Dr.S.P Pandey (Director-VIET) on allotting his valuable time

for interaction that helps in attaining proper orientation to the study.

With due respect, I am sincerely thankful to Mr. Abhiram Bajpai (Zonal Sales

Manager, Tikona Digital Networks) and Mr. Bhupendra Singh for the

appropriate guidance, support & cooperation during this internship and in fact without them

navigational assistance life would have been very difficult.

I am also grateful to my faculty guide Mrs. Evita srivastva for guiding, inspiring and

motivating me to work in this area.

Without his line of action, invaluable guidance and time, it would not have been possible for me to

complete this project work.

I would also like to thank all those who directly or indirectly helped me in my training. I would like

to express thanks to all my friends who helped me in time and again in whatever possible ways

during completion of the project as well as those persons from whom I have learned much more in

past that help me in applying my ideas in the project report.


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CONTENTS

ABSTRACT i

ACKNOWLEDGEMENT ii

LIST OF TABLES iii

LIST OF FIGURES iv

CHAPTER NO CONTENTS PAGE NO

1 1.1 Introduction

1.2 Statement of the Problem

1.3 Company Profile

1.4 Product Profile

1.5 Objectives Of The Study

1.6 Need For The Study

1.7 Scope Of The Study

1

2

3

5

8

9

10

2 2.1 Review of Literature 12

3 3.1 Research Methodology

3.2 Method Of Data Collection

3.3 Tools Of Analysis

23

25

26

4 4.1 Data Analysis And Interpretation

4.2 Findings Of The Study

29

54

5 5.1 Suggestions

5.2 Conclusion

5.3 Limitation

56

57


7

Bibliography

Appendix

58

59

LIST OF TABLES

TABLE.NO

CONTENTS PAGE.NO

1 Age Profile of the Sample Population 30

2 Qualification of the Respondents 31

3 Income Level of the customers 32

4 Consumers using internet connection 33

5 Showing the users intending internet connection 34

6 Different uses of Internet 35

7 Showing the users of particular company 36

8 Existing users of Tikona wireless broadband 37

9 Tikona brand awareness 38

10 Source of brand awareness 39

11 Users those who collect information before making purchase 40

12 Word of mouth referrals by friends/ relatives 41

13 Influence of Advertisements on Buying Decision of Consumers 42

14 Preference by consumers regarding the features of brand 43

15 Influence of Different Sources of Information on consumer buying decision

45

16 Influence of different attributes of information on consumer buying decision

46

17 Satisfaction with Tikona wireless broadband in comparison with other brands

47

18 Tikona performance in terms of after sales service 48


8

19 Tikona performance in terms of maintenance 49

20 Tikona performance in terms of consumer expectation 50

LIST OF FIGURES

TABLE.NO

CONTENTS PAGE.NO

1 Age Profile of the Sample Population 30

2 Qualification of the Respondents 31

3 Income Level of the customers 32

4 Consumers using internet connection 33

5 Showing the users intending internet connection 34

6 Different uses of Internet 35

7 Showing the users of particular company 36

8 Existing users of Tikona wireless broadband 37

9 Tikona brand awareness 38

10 Source of brand awareness 39

11 Users those who collect information before making purchase 40

12 Word of mouth referrals by friends/ relatives 41

13 Influence of Advertisements on Buying Decision of Consumers 42

14 Preference by consumers regarding the features of brand 44

15 Influence of Different Sources of Information on consumer buying decision

45

16 Influence of different attributes of information on consumer buying decision

46

17 Satisfaction with Tikona wireless broadband in comparison with other brands

47

18 Tikona performance in terms of after sales service 48

19 Tikona performance in terms of maintenance 49

20 Tikona performance in terms of consumer expectation 50


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CHAPTER 1

1.1 INTRODUCTION

Before business can develop marketing strategies, they must understand what

factors influence buyers behaviour and how they make purchase decisions to satisfy their needs and

wants. Buyers are moved by a complex set of deep and subtle emotions.

Consumer behaviour is the study of when, why, how, and where people do or do not buy a product.

It blends elements from psychology, sociology, social anthropology and economics. It attempts to

understand the buyer decision making process, both individually and in groups.

Consumer behaviour refers to the mental and emotional process and the observable behaviour of

consumers during searching, purchasing and post consumption of a product or service.

It studies characteristics of individual consumers such as demographics and behavioural variables in

an attempt to understand people's wants. It also tries to assess influences on the consumer from

groups such as family, friends, reference groups, and society in general.

Customer behaviour study is based on consumer buying behaviour, with the customer playing the

three distinct roles of user, payer and buyer. Relationship marketing is an influential asset for

customer behaviour analysis as it has a keen interest in the re-discovery of the true meaning of

marketing through the re-affirmation of the importance of the customer or buyer. A greater

importance is also placed on consumer retention, customer relationship management personalisation,

customisation and one-to-one marketing. Social functions can be categorized into social choice and

welfare functions.


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1.2 STATEMENT OF THE PROBLEM

As we know that customer is the king of any business, It is essential to understand customer

expectations their preferences towards the product and their needs and wants. Without understanding

consumer behaviour no companies can survive.

It serves as a feedback from the consumer and provide the companies the message regarding the

consumer attitudes, companies position, competition, opinions of the consumer regarding the product

etc.

Now a days almost all the companies involves in collecting the data from consumers regarding their

product and brand. They employee marketing people to let them know consumer behaviour.

By keeping all this points in mind, as consumer behaviour plays a vital role for any organization, this

project “A STUDY ON CONSUMER BUYING BEHAVIOUR IN TIKONA DIGITAL

NETWORKS PVT LTD”, does the same.


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1.3 COMPANY PROFILE

Tikona Digital Networks (TDN) is engaged in building the next generation wireless broadband

services for home and enterprise customers in India. TDN has an all India Class-A ISP license

granted by the Ministry of Communications, Govt. of India, for this purpose. TDN envisions a

powerful Broadband-enabled India and will make all possible contribution to make this happen.

TDN would also be building a comprehensive services framework that can deliver leading edge

voice, video, IT applications and multimedia content services over any broadband or IP-centric

network. Such a framework can be outsourced by service providers globally, who desire to offer next

generation services to their customers. TDN has engaged the best-in-class technology partners to

build the required capability frameworks.

Innovation is our driving force and we create environment for the young talent in our company to

conceive and incubate new ideas in order to develop and deliver useful services and solutions for our

customers, thereby sustaining our competitive advantages.

TDN was founded in mid 2008 by veterans from the telecom industry, who have built some of the

largest networks in India for mobile, enterprise, broadband and DTH services. TDN is adequately

funded by top-end global investors and is committed to comply with the highest standards of

corporate governance.

Prakash Bajpai

Founder,MD&CEO

Prakash Bajpai has a rich 31 years of experience in IT and Telecom Industry. He has been

instrumental in building and leading organizations and business with revenueof more than $2billion.

An engineering graduate from Delhi University, Prakash started his career with IBM as an

electronics engineer. He then moved to Phillips, where he was involved in the launch of color TV

transmission in India. He was one of the first few employees of Tata Telecom. His experience cuts


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across geographies as he worked with AT&T Network Systems in the US. Post returning to India, he

spearheaded the Marketing, Sales & Network Planning activities at Tata Lucent Technologies. He

then joined Hughes Telecom as President & CEO where he pioneered India's first Integrated

Broadband Network in Maharashtra & Goa. He also led

Hughes Telecom to launch India's first IPO (US$ 225 m) in the telecom sector. Prior to launching

Tikona, Prakash was the President and CEO at Reliance Communications, where he was responsible

for the Broadband, Enterprise, Data Center, PCO and DTH businesses of the company.

Prakash has also attained graduation from a number of in-house Management Programs conducted

by the AT&T School of Business Management including mini-MBA in Financial Management

Tarun Kumar

Chief Technology Officer

Tarun has over 19 years of industry experience spanning in IT, broadband and digital broadcast

technologies. He has successfully deployed and managed operations of many technology intensive

projects including enterprise and retail broadband BSS, cutting edge Interactive IPTV over metro

Ethernet network, service delivery platforms for New-age products and broadband radio access

networks.

Tarun is an electronics and communication engineer with M Tech (Integrated Electronics) from

Indian Institute of Technology (1990 batch).


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1.4 PRODUCT PROFILE

Tikona sells the services to peoples as a wireless broadband. It employees 4G technology through

which consumers are able to access the internet without any wire but with a high download speed of

2mbps.

Tikona provides this services to consumers via various schemes

Circuit breaker plans

Fixed monthly plans

Unlimited plans

2 MBPS CIRCUIT BREAKER PLANS


Details CB499 CB299 CB49

Monthly plan charges 499 299 49

Installation charges 500 500 500

Modem rental 0 0 50

Free usage 5000 1000 100

Guaranteed maximum bill amount 999 999 999

Subscription amount 1102 881 661

Maximum PC Registration 8 8 8

Maximum simultaneous PC connections 8 8 8

14

FIXED MONTHLY CHARGE PLANS

Details FMC599 FMC799 FMC1499 FMC2499

Monthly plan charges 599 7899 1499 2499

Installation charges 500 500 500 500

Bonus Bandwidth of 2Mbps(MBs/month) 4000 8000 15000 50000

Speed beyond Free usage 256 512 750 1024

Charges during NILL NILL NILL NILL

Subscription amount 1213 1433 2205 3308

Maximum PC Registration 8 8 8 8

Maximum simultaneous PC 2 3 4 5


15

UNLIMITED USAGE PLANS

Details UNLTD

549

UNLTD

649

UNLTD

799

UNLTD13

99

UNLTD

3499

UNLTD

1649

Plan charges 549 649 799 1399 3499 1649

Installation

charges

500 500 500 500 500 250

Download speed 300 600 750 1024 2048 300

Subscription

amount

1157 1267 1433 2095 4411 2095

Maximum PC

registration

8 8 8 8 16 8

Maximum

simultaneous

PC connections

2 2 2 4 6 2

1.5 OBJECTIVES OF THE STUDY Vishveshwarya instituted of Enggnerring & Tecnnology Gr.Noida

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The study the buying behaviour of the consumers Tikona digital network connec-

tion. know how the Company has been encountering the aggressive marketing

strategies of competitors. find out what marketing strategies should be undertaken

to increase the market share of the brand

To understand how these factors influence consumers buying decision. And un-

derstand what consumers consider while going for purchasing a wireless inter-

net broadband connection

understand the consumers perception towards the company. Tikona digital net-

work.

To determine whether there is any deviation between the features of the brand

and the acceptance of the consumers.

.

1.6. NEED & SCOPE FOR THE STUDY


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Before business can develop marketing strategies, they must understand what factors influence

buyers behaviour and how they make purchase decision to satisfy their needs and wants.

This study aims towards collecting information about consumers Psychology towards wireless

internet connection and thus helping Tikona in understanding customers nature and help in de-

veloping strategies which will thus help them in increasing their business.

This study helpful to know in which stage the brand would be in industrial

life cycle.

It is done to understand what consumers consider while going for purchasing a wireless inter-

net broadband connection.

By this study we came to know how the organization retaining and sustaining its customer.

The main purpose of this project is to study consumers buying

behaviour and develop strategies which help Tikona in increasing their market share.

This study is mainly focused on various factors that affect consumers buying decision. Such

as social, psychological and personal.

The survey was conducted among different groups and all possible local areas in Noida were

considered for the study. The sample size was of 100 people who included people from vari-

ous age groups and different income levels. The data was collected through filling of ques-

tionnaire and interview.

The survey helped in understanding the various factors that influenced the buying decisions

of the customers and understanding their needs when it comes to wireless broadband internet

connection.

This study helps to understand the satisfactory level of consumers towards the brand. And

also understanding the consumer attitudes and their buying motives by means of company

brand image.

CHAPTER 2


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2. REVIEW OF LITERATURE

LITERARY REVIEW:

Psychologists have long been interested in the topics of buying and shopping behaviour.

Some major perspectives in psychology such as behaviourism and cognitivism have formulated

different theories to explain buying motivation and behaviour. The behaviourists stress the process of

operant conditioning and individual’s history of reinforcement, while the cognitive approach puts its

accent on individual’s free will and intentional, voluntary action. The views of these two

perspectives can be examined in terms of the nature of buying behaviour and the process of choice.

Based on their different conception about the nature of buying behaviour, the behaviourist and

the cognitive theorists have different views on the process of choice when buying. The behaviourists

propose that consumer choice begins with an external stimulus such as an advertising message or

word-of-mouth communication. Etc. However, the cognitive psychologists adopt a different

approach to explain the process of choice. They consider the choice of buying as a rule-following

behaviour Etc.

To the behaviourists, therefore, choice of buying is simply a behaviour, the only way of acting in

a given set of circumstances defined in terms of controlling contingencies. On the other hand, the

cognitive theorists present choice of buying as an outcome of internal, mental deliberation and

psychological decision. Actually, although the behaviourists and the cognitive theorists have

different ideas of the content of choice, they do share similar view on the unconscious feature of

choice (rather involuntary response to discriminative stimulus and the following of rules).

THEORITICAL REVIEW:

Consumer is the king and it is the consumer who determines what a business is. Therefore, a sound

marketing program should start with a careful analysis of the habits, attitudes, motives and needs of

consumers.

Consumer behaviour is prerequisite though the process is highly complicated. At the same

time, a firm’s ability to establish and maintain satisfying exchange relationships depends on the level


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of understanding of buying behaviour. Thus, buying behaviour is the decision process and acts of

people involved in buying and using products.

Need for Understanding Consumer Behaviour

Knowledge of consumer behaviour would render immense help for planning and implementing

marketing strategies.

Secondly, the proof of establishing consumer orientation in the marketing. This is known only when

marketing mix is developed to include positive answers to the questions listed in the beginning of

this chapter.

Thirdly, by gaining a better understanding of the factors that affect buyer behaviour, marketers are in

a better position to predict how consumers will respond to marketing strategies.

Finally, consumer is the principal—a priori of business. The efficiency with which a free market sys-

tem of enterprise operates, in the last analysis, depends upon the extent of consumer understanding

possessed by the business cannot possibly fulfill its obligations in a meaningful and responsive man-

ner. This is exactly the reason why consumer behaviour is given importance in modern marketing.

Consumer Decision Behaviour

It is a usual behaviour with most consumers to seek the objective of creating

maintaining a collection of goods and services that provides current and future satisfaction.

The various types of consumer decision-making vary considerably and are classified

as follows:

1. Routine response behaviour.

2. Limited decision-making, and

3. Extensive Decision-making.

1. Routine decision behaviour - is usually found in the cases of frequently purchased and low-cost

items. They are also aware of alternative brands, for instance, if you intended to buy a particular

would switch over to a second preferred brand of their choice. Thus, products that are bought

through routine response behaviour are purchased quickly with very little mental effort.


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2. Limited decision-making - is pertinent in the case of purchases made by the consumers less

frequently. The investment needed also will be comparably high. Hence, the consumers may acquire

information about all possible brands and some amount of mental exercises would follow to arrive at

a decision about all possible brands. Thus, limited decision-making requires a moderate amount of

time for information gathering and deliberation.

3. Extensive decision-making _is required when a consumer wants to purchase unfamiliar products

which is totally new, having high unit value and bought preferably once in his life time. Before such

a product is bought, the consumer uses many criteria for evaluating alternative brands and substitute

products and spends much time in seeking information and deciding on the purchase. An interesting

but a notable point in this connection is that the type of decision-making need not necessarily remain

constant. The following illustrates the variations more clearly.

Very High Moderate Very Low

Factors Influencing Consumer Buying Behaviour

Several factors determine the buying behaviour of consumers. These factors may be

classified as follows:


Extended Consumer Decision-makingLimited Consumer Decision-makingRoutine Consumer Decision-making

Level of Prior Experience

Frequency of Purchase

Amount of Perceived Risk

Time Pressure

Degree of Search

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(1) Personal Factor:

These include factors unique to a particular person. Numerous personal factors influence

purchase decisions:

(a) Demographics

Individual characteristics such as age, sex, race, ethnicity, income, occupation and family life

cycle are called demographics. These have a bearing on who is involved in family decision-making.

(b) Life styles

Life style means an individual’s pattern of living expressed through activities, interests and

opinions. Life style patterns include the ways people spend-time, the extent of their interaction with

others, and their general outlook on life and living, people partly determine their own life styles and

partly these are shaped by personality and demographics.

(c) Situation. Situational factors are influences resulting from circumstances, time and

location that affect the consumer buying behaviour.

(2) Social factors: The factors that other people exert on buying behaviour are called social

factors. These factors are as follows

(a) Roles and Family Role means the activities that a person is supposed to perform. A

person occupies several positions and, therefore, he/she has many roles.

(b) Reference Group A reference group is any group that exercises a positive are three

major types of reference groups—membership, aspiration and dissociative. A reference group may

serve as an individual, point of comparison and source of information.

(c) Opinion leader


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The reference group members who provides information about a specific share that

interests members of the group is called opinion leader. An opinion leader is likely to be most

influential when consumers have high product involvement buy low product knowledge, when they

share the attitudes and values of the opinion leader and when the product details are numerous and

complicated.

(d) Social Class

A social class means an open group of individuals with similar social rank. Quite

often people in a society are classified into upper, middle and lower classes on the basis of their

income and occupation. Consumers belonging to a particular social class tend to have common

behavioural patterns. They may have similar attitudes and values.

(e) Culture and Sub-cultures

Culture is the aggregate of customs, beliefs, values, and objects that a society uses to

cope with its environment and passes on to future generations. Our culture determines what we want

and wear,. It also influences how we buy and use products. Cultural changes affect marketing mix.

(3) Psychological factors:

Factors that operate within individuals and determine their general behaviour are as

follows:

(a) Perception

Perception is the process of selecting, organizing and interpreting information to

derive meaning. Different people perceive the same thing at the same time in different ways.

(b) Motives

A motive means an internal force that orients a person’s activities towards need

satisfaction. A set of motives affects a buyer’s actions. Motives that influence where a person buys

products on a regular basis are known as patronage motives. These include location, price, variety,

service and behaviour of sale people. Marketers use depth interviews, projection and other methods

to know and understand the motives of buyers


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(c) Learning

Changes in an individual’s behaviour due to information and experience are called

learning. A consumer tends to repeat purchase actions which create satisfaction. Inexperienced

buyers use price as an indicator of quality more advertisements, salespersons, friends and relatives.

They also learn by buying and using products.

(d) Attitudes

Attitude refers to an individual’s enduring evaluation, feelings and behavioural

tendencies toward an object or idea. An individual’s attitudes remain generally stable and do not vary

from moment to moment. Attitudes play a significant role in determining consumer behaviour.

(e) Personality

Personality refers to a set of internal traits and distinct behavioural tendencies that

result in consistent patterns of behaviour. An individual’s personality is the outcome of heredity and

personal experiences. It makes the individual unique.. Personality influences the type of brand and

products purchased.

(f) Self-concept

Self-concept of self-image means a person’s perception or view of himself.

Individuals develop and alter their self=concept through interaction of social and psychological

dimensions. Research shows that a buyer purchases products that reflect and enhance the self-

concept. A person’s self-concept may also influence selection of products category and brand.

Consumer Buying decision Process

The process which consumers proceed while making their buying decisions is known as the

consumer buying decision process. This process consists of five stages a s shown in following fig.

Arrows connect all the elements in the decision process and show the impact of

demographics, social factors, and psychological factors upon the process.


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Arrows show feedback. (a) Shows the impact of social and psychological factors

(b) Shows the impact of a purchase on social and psychological factors such as social

class.

Roles and Family

The stages in consumer buying decision process are below:

1. Problem Recognition

A buyer recognizes the problem when he becomes aware of the desired state and an actual condition. The

speed with which a consumer recognizes the problem can be quite fast or slow. Sometimes, a person has a

problem or need but is unaware of it. Marketers use advertising, personal selling and other methods to help

trigger recognition of such needs or problems.

2. Information search

After recognizing the problem or need, a buyer search for product information that can resolve the

problem or satisfy the need. There are two types of information search. In the internal search which is our self

and external search which consists of friends, relatives, and media. Marketers repeat advertisements and use

visuals to increase consumer learning of information.

3. Evaluation of alternatives

A successful information search yields a number of brands that a buyer views as possible alternatives.

This group of products/brands is called the buyer’s evoked set. Various objective and subjective

characteristics that are important to the buyer are used to evaluate the alternatives. Cost and warranty are

examples of objective criteria whereas brand image and style are examples of subjective

characteristics.

4. Purchase


Stimulus Problem Awareness

Information Search

Evaluation of

Alternatives

Purchase Decision

Post-purchase

Behaviour

Person Specific Influences

Social & Psychological Influences

25

In this stage the buyer chooses the product or brand to be bought. Product availability may

influence which brand is purchased. The terms of sale (price, delivery, warranty, maintenance

agreement, installation and credit arrangement) are settled finally, the actual purchase takes place.

5. Post-purchase behaviour

After the purchase, the buyer begins evaluating the product to ascertain if its actual

performance meets the expectations. Many criteria used in evaluating alternatives are applied again

for this purpose. The outcome of this stage is either satisfaction of dissatisfaction. Shortly after

purchasing an expensive product, a buyer doubts whether he make the right decision.

Buying Motives of Consumers

A buying motive means what induces a customer to buy a product. There is a buying motive

behind every purchase. But the motive may differ from one buyer to another. Buying motives may be

classified as follows:

1. Internal and External Motives

Internal buying motives are inherent in the minds of consumers. They arise from the basic

needs like hunger, safety, comfort, pleasure, etc. internal buying motives may be rational or

emotional.

External buying motives are those which a customer learns or acquires from his environment.

Social status, social acceptance, achievement, etc. are examples of such motives. Income, education,

occupation, religion, culture, family and social environment influence external motives.

2. Rational and Emotional Motives

Buying motives are those which are based on logical reasoning and consideration of

economic consequences. They include the cost, durability and dependability of the product/service.

Emotional buying motives are based on personal feelings. These motives include ego,

prestige, love and affection, status, pride, etc.

3. Product and Patronage Motives

Product motives are of two types-primary and secondary. Primary buying motives are

the reasons due to which consumers buy one class of products rather than another. These motives


26

arise directly from human needs and wants. These include the desire for health, beauty, knowledge,

relaxation, recognition, etc.

Secondary or selective buying motives induce consumers to buy certain kinds of products.

These include desire for convenience, dependability, durability, economy, versatility, etc.

CHAPTER 3

3.1 RESEARCH METHODOLOGY


27

The purpose of the research methodology is to describe the research procedure. This includes the

overall design, the sampling procedure, the data collection method analysis procedures. This section

is important because it is hard to discuss methodology without using technical terms. Yet, most of

the reader will not understand the technical language. This study was made based on primary data.

Distributing the questionnaire to the respondents collected the data. The questionnaire containing

questions relating to socio- economic status of the respondents.

RESEARCH DESIGN:

A research design is the specification of methods and procedure for acquiring the information

needed to structure or to solve problem. It is the overall operational pattern of frame work of the

project that stipulates procedures.

A research design is therefore defined as “A plan, structure and strategy of investigation

conceived so as to obtain answers to research question and control vacancies.”

Descriptive Research Design:

Descriptive research is contract to explorative research is marked by the prior

formulation of specific research question. The problem, perhaps as a result of an exploratory study,

before the project is initiated. He should be able to define clearly what he wants to measures and to

setup appropriate and specific means for measuring it. Descriptive research design includes surveys,

fact findings, and enquiries of different kinds.

The main characteristic of this method is that researcher has no control over the variable. He can

only report what has happened or what is happening. Most EX-POST FACTO research projects are

used for descriptive studies in which the researcher seeks to measure such items. Descriptive

research will be applicable to the existing problems.

RESEARCH INSTRUMENT

The research instrument used in this study “structured questionnaire”. Structured questionnaire are

those questionnaire in which there are predetermined question relating to the aspect for which the


28

researcher collects data. The questions are presented with exactly the same wording in the same

order to all the respondents.

QUESTIONNAIRE DESIGN

The structured questionnaire for appraisal system with the following types of questionnaire open

ended, multiple choice, types of questions.

AREA OF STUDY

The area of study is confined to customers of TIKONA Digital Networks (P) Ltd, New delhi.

SAMPLING METHOD

The sampling method involved is convenient sampling method.

CONVENIENT SAMPLING

Convenient sampling is also known as purposive are deliberate sampling. This

sampling method involves purposive or deliberate selection of particular unit of the universe for

constituting a sample which represents the universe. When population elements are selected for

inclusion in sample based on the case access, it can be called convenience sampling.

SAMPLE

Sample denotes only a part of the conclusions are drawn on the basis of entire universe.

SAMPLE SIZE

The sample size is restricted to 100 customers. The sample questionnaire consists of closed ended

quetionnaire.

3.2 DATA COLLECTION METHODS

DATA SOURCES


29

Data sources can be classified into two types namely.

*Primary data

*Secondary data

PRIMARY DATA

Primary data consists of original information collected for specific purpose. In

this study, primary data has been used. To obtain the primary data a well structured both open ended

and close ended questionnaire was prepared to get the response. The respondents were given up the

questionnaire and made them fill it to get their response.

SECONDARY DATA

Secondary data can be defined as the information already existing some where having

been collected for some other purpose. In this study the secondary information is obtained from the

various books, articles and from the company.

TOOLS FOR DATA COLLECTION

The following tools were used for data collection.

A. Questionnaire

B. Personal interview

3.3 TOOLS OF ANALYSIS

The statistical tools and test used for this study are. Vishveshwarya instituted of Enggnerring & Tecnnology Gr.Noida

30

Simple percentage analysis

Chi-square test.

Correlation Analysis

SIMPLE PERCENTAGE ANALYSIS:

Simple percentage analysis is used for analysis of the data that is collected for

research work, simple percentage are often used in data presentation for the simplify, numbers,

through the use of percentages, the data are reduced in standard form with base equal to which it

facilitates the relative comparisons.

Simple percentage method = no. of respondents / total no. of samples * 100.

CHI-SQUARE TEST:

The chi-square test is one of the most useful non-parametric tests used in statistical

analysis. The chi-square test was first used by Karl Pearson in 1900; it is used to compare the

observed and expected frequencies. It is important to keep in mind that the chi-square test only tests

whether two variables are independent. It cannot address questions of which is greater or less. Using

this chi-square test, we cannot evaluate directly the hypothesis, the test can only test whether the two

variables are independent or not.

A set of expected frequencies is desired under the assumption that the null hypothesis is

true. This test enables us to find of the deviation of the expected frequency from theoretical ones is

just by chance or due to the inadequacy of the theory to fit the data.

Oi (I = 1, 2, 3,….., n) be the set of observed frequencies and

Is E i (I = 1, 2, 3……, n) be the set of expected frequencies, then Karl Pearson’s chi-

square statistics is given by

N

X2 = ∑ ( Oi –Ei )2 /Ei

I=1/Ei

This statistics has a constraint that

n n

∑ Oi = ∑ Ei


31

i=1 i=1

If the above calculated X2 value is less than the tabulated X2 the value, we accept the null hypothesis.

While comparing the calculated value of X2 with the table value we have to determine the degree of

freedom. The degrees of freedom may be considered as the number of independent observations in

the sample minus number of k observations which can be estimated using the independent

observations . The degree of freedom

V=n-k n n

Since we have that ∑ Oi = ∑ Ei = N, the total frequency, can find one observation say

nth i=1 i=1

Observation using the remaining (n-1) observations, ∑n=n-∑Ei, = 1, 2, 3….n-1

Hence, the above-defined chi-square has n-1 degrees of freedom. The observed chi-square value

should be compared with the tabulated chi-square with (n-1) degrees of freedom.

CORRELATION ANALYSIS:

Correlation analysis deals with the association between two or more variable . It does not tell

anything about cause and effect relationship.

Correlation value shall always lie between +1 and -1. it shows there is perfect positive correlation

between variables. When r=0, there is no correlation.

r =cov (x,y) /s.d (x)* s.d(y)

r-correlation Coefficient

x & y are variables

CHAPTER 4

4.1 DATA ANALYSIS & INTERPRETATION


32

The data after collection has to processed and analyzed in accordance with the outline laid down for

the purpose at the time of developing the research plan. This is essential for a scientist study and for

ensuring that we have all the relevant data. Processing implies editing, coding, classification and

tabulation of collected data so that they acquiescent to analysis.

The term analysis refers to the computation of certain measures along with searching for

patterns of relationships that exits among data groups. Thus, “In the process of analysis, relationships

or difference supporting of conflicting with original or hypothesis should be subjected to statistical

tests of significance to determine with that validity data can be said to indicate any conclusions.”

Analysis of data in general way involves no: of closely related operation that performed with

the purpose of summarizing the collected data and organizing them in such manner that the answers

the research questions.

1. Age Profile of the Sample Population

2.


33

TABLE NO: 1 Age Profile of the Sample Population

Attributes No.of Respondents Percentage

Less than 18 Years 9 9

Between 18-23 Years 23 23



More than 45 Years 8 8

FIGURE NO: 1 Age Profile of the Sample population

05

10152025

3035404550

Less than 18Years

Between 18-23 Years

Between 23-28 Years

Between 28-45 Years

More than 45Years

Age group of respondents

Per

cen

tag

e

Inference:

It is found that 69% of respondents are in the age group 18-28 years, 14% are in the age group of

28 to 45 years, only few respondents are in age group who are less than 18 years and more than 45

years.

3. Qualification of the Respondents

4.


34

TABLE NO: 2 Qualification of the Respondents


10th pass or below 8 8

Higher Secondary level 18 18

Graduate 42 42

Post Graduate 32 32

FIGURE NO: 2 Qualification of the Respondents

05

10

15202530

354045

Belowsecondary

level

HigherSecondary

level

Graduate PostGraduate

Qualification

Per

cen

tag

e

Inference:

It is found that 26% of the respondents are below higher secondary level, 42% are graduates

and 32% are post graduates.

3.Income Level of the customers


35

TABLE NO: 3 Income Level of the customers

Attributes No. of Respondents Percentage

Less than 10,000 14 14

10,000-20,000 24 24

20,000-40,000 34 34

Greater than 40,000 28 28

FIGURE NO: 3 Income Level of the customers

0

5

10

15

20

25

30

35

40

Less than10,000

10,000-20,000

20,000-40,000

Greater than40,000

Monthly Income

Per

cen

tag

e

Inference:

It is found that 14% of the respondent’s monthly income is less than Rs. 10000, 24% is in

between 10000 and 20000, 34% is in between 20000 and 40000, 28% is greater than 40000.

4. Do you have an internet connection?

TABLE NO: 4 Showing the users of internet connection


36


Yes 69 69

No 31 31

FIGURE NO: 4 Showing the users of internet connection

Inference:

It is found that 69% of the respondents are having internet connection and 31% are not having

internet connection.

5. If No, are you looking for an internet connection?

TABLE NO: 5 Showing the users intending internet connection


69%

31%

YesNo

37


Yes 65 65

No 35 35

FIGURE NO: 5 Showing the users intending internet connection

Inference:

It is found that 65% of the respondents who are not having internet connection are looking for

internet connection, while 35% don’t have any idea of purchasing a new one.

6. For what purpose do you use internet?

TABLE NO: 6 Different uses of Internet


65%

35%

YesNo

38


Research/Studies 8 8

Job search 22 22

Emails 35 35

Chatting 25 25

Downloading 10 10

FIGURE NO: 6 Different uses of Internet

Inference:

It is found that 8% of the respondents use internet for research, 22% for searching jobs, 35%

for checking mails, 25% for chatting and 10% for downloading.


8%

22%

35%

25%

10%

Research/StudiesJob searchEmailsChattingDownloading

39

7. Which internet connection you are using currently?

TABLE NO: 7 Showing the users of particular company

Atttributes No.of Respondents Percentage

Airtel 25 25

Bsnl 33 33

Reliance 18 18

Mts 9 9

Others 15 15

FIGURE NO: 7 Showing the users of particular company

25%

33%

18%

9%

15%

AirtelBsnlRelianceMtsOthers

Inference:

It is found that 25% of the respondents use airtel service, 33% are using BSNL, 18% are

using reliance, 9% are using MTS and 15% are using other services.


40

8. Have you used Tikona wireless broadband?

TABLE NO: 8 Existing users of Tikona wireless broadband


Yes 25 25

No 75 75

FIGURE NO: 8 Existing users of Tikona wireless broadband

25%

75%

YesNo

Inference:

It is found that 25% of the respondents are using Tikona and 75% are not the users of Tikona

product.


41

9. If No, are you aware of the Tikona wireless broadband?

TABLE NO: 9 Tikona brand awareness


Yes 87 87

No 13 13

FIGURE NO: 9 Tikona brand awareness

87%

13

YesNo

Inference:

It is found that 87% of the respondents are aware of Tikona and only 13% are

unaware of the existence of Tikona product.


42

10. If Yes, how do you came to know about this brand?

TABLE NO: 10 Source of brand awareness


Pamphlets 8 8

Newspaper/magazines 31 31

Sales Executives 42 42

Any other source 19 19

FIGURE NO: 10 Source of brand awareness

8%

31%

42%

19%

PamphletsNewspaper/magazinesSales ExecutivesAny other source

Inference:

It is found that 8% of the respondents came to know about the brand through TV ads, 31%

through newspapers, 42% through sales executives, 19% through other sources.


43

11. Did you collect any information before making purchase?

TABLE NO: 11 Users those who collect information before making purchase


Yes 90 90

No 10 10

FIGURE NO: 11 Users those who collect information before making purchase

90%

10%

YesNo

Inference:

It is found that 90% of the respondents collected information before making a purchase

decision while 10% did not collect any information.


44

12. Have your friends/ relatives opinions influenced you to buy Tikona wireless broadband?

TABLE NO: 12 Word of mouth referrals by friends/ relatives


Strongly agree 33 33

Agree 26 26

Neutral 11 11

Disagree 23 23

Strongly disagree 7 7

FIGURE NO: 12 Word of mouth referrals by friends/ relatives

33%

26%

11%

23%

7%

Strongly agreeAgreeNeutralDisagreeStrongly disagree

Inference:

It is found that 33% of the respondents strongly agree that friends had a major influence in

purchase decision, 26% agree, 11% are neutral, 23% are disagree and 7% strongly disagree that

friends had a major influence in purchase decision.


45

13. Has the advertisement insisted major influence in your buying decision?

TABLE NO: 13 Influence of Advertisements on Consumer’s buying decision


Strongly agree 23 23

Agree 11 11

Neutral 22 22

Disagree 9 9

Strongly disagree 35 35

FIGURE NO: 13 Influence of Advertisements on Consumer’s buying decision

23%

11%

22%9%

35%


Inference:

It is found that 23% of the respondents strongly agree that advertisement had a major influence

in purchase decision, 11% agree, 22% are neutral, 9% are disagree and 35% strongly disagree that

advertisement had a major influence in purchase decision.


46

14. What are the features you look in a product before making purchase decision? Give

preferences.

TABLE NO: 14 Preference by consumers regarding the features of brand

Particulars Strongly

agree

Agree Neutral Disagree Strongly

disagree

Brand Credibility 32 28 16 14 10

Price & Discount 36 24 14 14 12

After Sales

Service

38 32 12 10 8

Value for Money 28 34 16 14 8

Add on features 26 32 28 8 6

FIGURE NO: 14 Preference by consumers regarding the features of brand

32%

30%

17.2%

12%

8.8%


Inference:

It is found that 32% of the respondents strongly agree that features had a major influence in

purchase decision, 30 % agree, 17.2% are neutral, 12% are disagree and 8.8% strongly disagree that

friends had a major influence in purchase decision.


47

15. Whom do you consult while buying a wireless internet broadband connection?

TABLE NO: 15 Influence of Different Sources of Information on consumer buying decision


Friends 43 43

Relatives 21 21

Internets 12 12

Newspaper/Magazines 19 19

Any other source 5 5

FIGURE NO: 15 Influence of Different Sources of Information on consumer buying decision

43%

21%

12%

19%5%

FriendsRelativesInternetsNewspaper/MagazinesAny other source

Inference:

It is found that 43% of the respondents are influenced by their friends, 21% by relatives, 12% by

internets, 19% by newspapers and 5% by Any other source while making purchase decision.


48

16. Rate the following attributes according to the importance you give while buying a wireless

internet broadband connection?

TABLE NO: 16 Influence of different attributes of information on consumer buying decision


Brand name of the company 5 5

Net Speed 25 25

Area wise Connectivity 10 10

Price of the product 15 15

Monthly Tariff plans 45 45

FIGURE NO: 16 Influence of different attributes of information on consumer buying decision

5%25%

10%

15%

45% Brand name of the

companyNet SpeedArea wise ConnectivityPrice of the productMonthly Tariff plans

Inference:

It is found that 5% of the respondents are influenced by brand name of the company, 25% by

net speed, 10% by area wise connectivity, 15% by price of the product, and 45% by monthly tariff

plans available while making purchase decision.


49

17. How satisfied are you with Tikona wireless broadband compared with the others

substitutes available in the market?

TABLE NO: 17 Satisfaction with Tikona wireless broadband in comparison with other brands


Highly satisfied 12 12

Satisfied 28 28

Neutral 53 53

Dissatisfied 5 5

Highly dissatisfied 2 2

FIGURE NO: 17 Satisfaction with Tikona wireless broadband in comparison with other brands

12%

28%

53%

5% 2%

Highly satisfiedSatisfiedNeutralDissatisfiedHighly dissatisfied

Inference:

It is found that 12% of the respondents are highly satisfied with product, 28% are

satisfied, 53% are neutral, 5% are dissatisfied and 2% is highly dissatisfied with product.


50

CHI-SQUARE TEST:

Particulars Strongly

agree

Agree Neutral Disagree Strongly

disagree

Total

Brand

Credibility

32 28 16 14 10 100

Price &

Discount

36 24 14 14 12 100

After Sales

Service

38 32 12 10 8 100

Value for

Money

28 34 16 14 8 100

Add on

features

26 32 28 8 6 100

Total 160 150 86 60 44 500

NULL HYPOTHESIS: H0

There is no significant difference between the features of the brand and the acceptance of the

consumers.

ALTERNATIVE HYPOTHESIS: H1

There is significant difference between the features of the brand and the acceptance of the

consumers.

Calculated value of chi-square=19.528

Tabulated value of chi-square at 5% level of significance=26.3

Since Tabulated value > Calculated value

Null Hypothesis Accepted. There is no significant difference between the features of the brand

and the acceptance of the consumers.


51

CORRELATION ANALYSIS:

NULL HYPOTHESIS:

There is no significant difference in the purchase influenced by the word of the mouth

referrals of friends and the purchase influenced by the advertisements.

ALTERNATIVE HYPOTHESIS:

There is significant difference in the purchase influenced by the word of the mouth referrals of

friends and the purchase influenced by the advertisements.

X Y XY X2 Y2

33 23 759 1089 529

26 11 286 676 121

11 22 242 121 484

23 9 207 529 81

7 35 245 49 1225

100 100 1739 2464 2440

r= cov(x,y)/s.d(x)*s.d(y)

r= -0.578

Since the value of r is negative,

Alternative hypothesis get accepted. There is significant difference in the purchase influenced

by the word of the mouth referrals of friends and the purchase influenced by the

advertisements.


52

4.2 FINDINGS OF THE STUDY

Majority of the respondents are in the age group of 18 to 28 years. This group forms the ma-

jor target segment of Tikona Broadband.

Majority of the respondents who use internet connections are educated people who have com-

pleted either graduation or post graduation.

Mostly respondents whose monthly income is greater than Rs.20000 are using internet con-

nection.

70% of the respondents are having internet connections at home.

65% of the respondents who are not having internet connection are looking for internet con-

nection, while 35% don’t have any idea of purchasing a new one.

Majority of the respondents use internet for chatting, downloading and checking mails. Only

few use it for searching jobs and research purposes.

Majority of the respondents are using reputed broadband services like BSNL, Reliance, Air-

tel. Only few use new services like MTS and others.

While majority of the respondents are aware of the existence of Tikona Broadband, only few

respondents have used it.

Majority of the respondents came to about this brand through sales executives and pamphlets

issued along with newspapers.

Majority of the respondents collect all the relevant information necessary before making pur-

chase.

Nearly 60% of the respondents are influenced by their friends and relatives while making a

purchase decision.

Majority of the respondents are not influenced by the advertisements while making purchase

decision.

Monthly tariff plans and net speed are the important factors taken into consideration while

making purchase decision.

40% of the customers are satisfied with Tikona broadband while only 7% are dissatisfied

with this product, all others response is neutral.

40% of the respondents are satisfied with after sales service while only very few are dissatis-

fied with the after sales service.

40% of the customers are satisfied with the maintenance of Tikona broadband while only 7%

are dissatisfied, all others response is neutral


53

Nearly 50% of the respondents are satisfied as the product meets the expectation of the cus-

tomers while 43% of the respondents feel neutral.

There is no significant difference between the features of the brand and the acceptance of the

consumers.

There is significant difference in the purchase influenced by the word of the mouth referrals

of friends and the purchase influenced by the advertisements.

CHAPTER 5

5.1 SUGGESTIONS Vishveshwarya instituted of Enggnerring & Tecnnology Gr.Noida

54

Most of the respondents came to know about this brand only through sales executives. Steps

can be taken to improve the awareness of the product among people.

Majority of the respondents are using reputed brands like BSNL, Reliance etc. Steps can be

taken to make Tikona a reputed brand.

Tikona is bought by majority of the people for its low tariff plan and high net speed. This

shall be maintained.

Further this brand is available only in major cities like Chennai, Bangalore, Mumbai etc.

Steps can be taken to promote the product in other parts of India.

Advertisements play a meager role in influencing people in making a purchase decision. Only

friends and relatives play a major role in influencing people. Steps can be taken to improve

advertisements in television and radio to promote the product.

Respondents are satisfied with the after sales service of the product, feel that the product is

easy to maintain and also the product meets the expectation of the customers. This shall be

maintained.

5.2 CONCLUSION


55

Consumer behaviour plays a vital role recent days so the researcher carefully under takes the

survey of consumers to find out its effect on TIKONA DIGITAL NETWORKS PVT LTD on the

basis of that survey.

All the things are mostly favourable to Tikona, the Tikona should continue the same strategy.

Tikona should concentrate on sales promotional activities & recruits additional number of employees

in service department in order to provide uninterrupted service to consumers.

Tikona have a good brand image among consumers so in order to retain the consumers and to

sustain the image it is recommended that the organization should follow the suggestions as given

above in the project.

.8. LIMITATIONS OF THE STUDY


56

This study is restricted to marketing area.

Time is the major limitation of this study .

This study is performed only for a period of 90 days.

Convenience sampling is used in this study.

Less number of consumer’s are taken as sample in this study i.e. 100 Respondents.

Information collected is ineffective for consideration becasuse due to less number of samples.

BIBLIOGRAPHY


57

Dr. GUPTA C.B. Dr. N. RAJAN NAIR. Marketing Management, New Delhi Sultan Chand

& Sons, Publishers 2003.

KOTHARI. C.R. Research methodology, New Delhi, New Age International

GUPTA S.P., STATISTICAL METHODS, New Delhi, Sultan Chand & Sons, Publishers

2003

PHILIP KOTLER, Kevin LANE KELLER, ABRAHAM KOSHY, MITHILESHWAR Mar-

keting Management,13th Edition, New Delhi, Pearson Education, 2008

LEON G. SCHIFFMAN, LESLIE LAZAR KANUK, Consumer Behaviour,9th Edition,

New Delhi, Prentice Hall of India Pvt. Ltd., 2007

ANNEXURES

QUESTIONNAIRE


58

Respected madam/sir,

As a part of my project I would like to gather some information from you

Which will help me in an in depth study of project. The information provided by

You will be kept confidential and will be used for academic purpose only. I would

be obliged if you co-operate with me in filling the questionnaire.

1. Name ………………………………………………….

2. Gender

a) Male

b) Female

3. Age

a) Less than 18 years

b) Between 18-23 years

c) Between 23-28 years

d) Between 28-45 years

e) More than 45 years

4. Qualification of the Respondents

a) 10th pass or below

b) Higher secondary level

c) Graduate

d) Post Graduate

5. Monthly Income of the Family

a) Less than Rs. 10,000


59

b) Between Rs. 10,000-Rs. 20,000

c) Between Rs. 20,000-Rs. 40,000

d) More than Rs. 40,000

6. Do you have an internet connection?

a) Yes

b) No

7. If No, are you looking for an internet connection?

a) Yes

b) No

8. For what purpose do you use internet?

a) Research/Studies

b) Job Search

c) Emails

d) Chatting

e) Downloading

9. Which internet connection you are using currently?

a) Airtel


60

b) Bsnl

c) Reliance

d) Mts

e) others

10. Have you used Tikona wireless broadband?

a) Yes

b) No

11. Are you aware of the Tikona wireless broadband?

a) Yes

b) No

12. If Yes, how do you came to know about this product?

a) Advertisements

b) Newspapers/ Magazines

c) Company Sales Executives

d) Any other source

13. Do you collect any information before making purchase?

a) Yes

b) No

14. Have your friends/ relatives opinions influenced you to buy Tikona wireless broadband?


61

a) Strongly agree

b) Agree

c) Neutral

d) Disagree

e) Strongly disagree

15. Has the advertisement insisted major influence in your buying decision?

a) Strongly agree

b) Agree

c) Neutral

d) Disagree

e) Strongly disagree

16. What are the features you look in a product before making purchase decision?

Give preferences.

a) Brand credibility

b) Price and discount

c) After sales services

d) Value for money

e) Add on features

17. Whom do you consult while buying a wireless internet broadband connection?

a) Friends

b) Relatives

c) Internets

d) Newspaper/ Magazines

e) Any other source

18. Rate the following attributes according to the importance you give while buying a wireless

internet broadband connection?


62

a) Brand name of the company

b) Net Speed

c) Area wise Connectivity

d) Price of the product

e) Monthly Tariff plans

19. How satisfied are you with Tikona wireless broadband compared with the others substitutes

available in the market?

a) Highly satisfied

b) Satisfied

c) Neutral

d) Dissatisfied

e) Highly dissatisfied


A study consumer behaviour

Documents

mba student

mba vishveshwarya

business management

consumer buying behaviour

noida certificate

project report

enggnerring tecnnology

days of summer training