Consumer Buying Behaviour Final Project
Consumer Buying Behaviour Final Project
By
NESAMUDHEEM
REGD.No.LMAPLBA039
Mr. Ibrahim K P
Assistant Professor,
Department of Management studies
Markaz law college , Kaithapoyil, Calicut (dist).
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DECLARATION
Date:
Name:
Place:
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CERTIFICATIFICATION
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ACKNOWLEDGEMENT
I thank every employee of Lulu international shoping mall pvt. Ltd for
his/her help and guidance in completing my project. I also greatly thank all
the customers (The GODS of my Project) without whose feedback this
project would stand nothing.
Nesamudheen.
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ABSTRACT
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TABLE OF CONTENTS
1. INTRODUCTION
2. OBJECTIVES
CHAPTER 1 3. RESEARCH METHADOLOGY
4. SCOPE 7 - 13
5. LIMITATION
1. INDUSTRY PROFILE
CHAPTER 3 2. COMPANY PROFILE 26 - 43
1. FINDINGS
CHAPTER 5 2. SUGGESTIONS 64 - 66
1. BIBILIOGRAPHY
CHAPTER 6 2. QUESTIONNAIR
67 -71
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CHAPTER 1
1. INTRODUCTION
2. OBJECTIVES
3. RESEARCH METHADOLOGY
4. SCOPE
5. LIMITATION
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INTRODUCTION:
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INTRODUTION TO CONSUMER BEHAVIOR:
One thing that we have in common is that we all are consumers. In fact
everybody in this world is a consumer. Every day of our life we are buying
and
different tastes, likes, dislikes, and adopt different behavior patterns while
purchasing using evaluating and disposing of products and services that they
exact will satisfy o how individuals make decisions to send their available
study of “What they buy”, ”Why they buy”, “When they buy it”, “Where
they
buy it”, “how often they buy it” and “how often they use.
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OBJECTIVES
Primary objective :–
Secondary objectives: –
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RESEARCH METHODOLOGY
Exploratory Research:
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1) Primary data:
2) Secondary data:
Secondary sources are the other important sources through which the data
was collected. These are the readily available sources of the data where one
had need not put much effort to collected, because it is already been
collected and part inan elderly manner by some researcher, experts and
special.
3) Sample size:
4) Period of study:
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5) Research approach:
The survey method was adopted for collected the primary data.
Survey research is systematic gathering of data from respondent through
questionnaire.
6) Research instrument:
The data for this research study was collected by survey technic using
interview method guided by questionnaire.
7) Collection of Data:
Questionnaire and personal interviews are the methods that I have
used for collecting the data.
LIMITATIONS:
Time has been a major constraint throughout the study as it has been only
for duration of 21 dats
As this survey was restricted to one hypermarket only this cannot be
stated
as an in depth research on this subject.
Enough care is taken in formulating the questionnaire, still some errors
may creep in.
The consumer behavior varies according to different products.
Quality verses price was not taken into the consideration.
The project is based on the interview methodology by a stured
questionnaire and the personal skills of the person undertaking the project
affect the results.
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CHAPTER 2
1. REVIEW OF LITERATURE
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CONSUMER BUYING BEHAVIOR
Definition:
Consumer behavior refers to the mental and emotional process and the
observable behavior of consumers during searching, purchasing and post
consumption of a product or service.
Consumer behavior involves study of how people buy, what they buy,
when they buy and why they buy. It blends the elements from psychology,
sociology, sociopsychology, anthropology and economics. It also tries to
assess the influence on the consumer from groups such as family, friends,
reference groups and society in general.
Buyer behavior has two aspects: the final purchase activity visible to any
observer and the detailed or short decision process that may involve the
interplay of a number of complex variables not visible to anyone.
Purchase decision:
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purchasing the product. Purchase of the product can either be through the
store, the web, or over the phone.
Ever have doubts about the product after you purchased it? This simply is
post purchase behavior and research shows that it is a common trait amongst
purchasers of products. Manufacturers of products clearly want recent
consumers to feel proud of their purchase, it is therefore just as important for
manufacturers to advertise for the sake of their recent purchaser so
consumers feel comfortable that they own a product from a strong and
reputable organization. This limits post purchase behavior. i.e. You feel
reassured that you own the latest advertised product.
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consumer behavior. So they can be simply a band like the Spice Girls or
your immediate family members. Opinion leaders are those people that you
look up to because your respect their views and judgments and these views
may influence consumer decisions. So it maybe a friend who works with the
IT trade who may influence your decision on what computer to buy. The
economical environment also has an impact on consumer behavior; do
consumers have a secure job and a regular income to spend on goods?
Marketing and advertising obviously influence consumers in trying to evoke
them to purchase a particular product or service.
Peoples social status will also impact their behavior. What is their role
within society? Are they Actors? Doctors? Office worker? and mothers and
fathers also? Clearly being parents affects your buying habits depending on
the age of the children, the type of job may mean you need to purchase
formal clothes, the income which is earned has an impact. The
lifePerformence of someone who earns £250000 would clearly be different
from someone who earns £25000. Also characters have an influence on
buying decision. Whether the person is extrovert (out going and spends on
entertainment) or introvert (keeps to themselves and purchases via online or
mail order) again has an impact on the types of purchases made.
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is a natural human desire and people do strive for this belonging. Esteem
need is the need for status and recognition within society, status sometimes
drives people, the need to have a good job title and be recognized or the need
to wear branded clothes as a symbol of status.
But how does this concept help an organization trying to market a product
or service?
Well as we have established earlier within this website, marketing is
about meeting needs and providing benefits, Maslow’s concept suggests that
needs change as we go along our path of striving for self-actualization.
Supermarket firms develop value brands to meet the psychological needs of
hunger and thirst. Harrods develops products and services for those who
want have met their esteem needs. So Maslow’s concept is useful for
marketers as it can help them understand and develop consumer needs and
wants.
CUSTOMER :
“Since the customer are the main focus of any organization its
structure should be so flat i.e., people fluently interact with the customer and
maintain continuous feedback about the customer’s moods and methods in
order to shape its business portfolio and strategies”.
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manner similarly: people at the operation level with superior competency
and capability supplied with superior products and strategies can acquire a
place for an organization in the market place. Retail outlets are the contact
points of the customers and therefore the image of the organization largely
depends upon the quality of the people managing the interventions and
transactions at the level.
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Social factors influence buyer’s behavior. A person’s reference
group-family, friends, social organizations, professional associations-
strongly affect product and brand choices. The buyer’s age, life-cycle stage,
occupation, economic circumstances, lifePerformence, personality, and other
personal. Characteristics influence his or her buying decisions. Consumer
life-Performences the pattern of acting and interacting in the world are also
an important influences on purchase decisions.
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How Consumers Buy:
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Factors Influencing Consumer Behavior:
Psychological Factors:
Motivation
Perception
Learning
Attitudes and Beliefs
Social Factors:
The human beings live in a complex social environment wherein they are
surrounded by several people who have different buying behaviors. Since the
man is a social animal who likes to be acceptable by all tries to imitate the
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behaviors that are socially acceptable. Hence, the social factors influence the
buying behavior of an individual to a great extent. Some of the social factors
are:
Family
Reference Groups
Roles and status
Cultural Factors:
Culture
Subculture
Social Class
Personal Factors:
There are several factors personal to the individuals that influence their
buying decisions. Some of them are:
Age
Income
Occupation
Lifestyle
Economic Factors:
The last but not the least is the economic factors which have a significant
influence on the buying decision of an individual. These are:
Personal Income
Family Income
Income Expectations
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Consumer Credit
Liquid Assets of the Consumer
Savings
These are some of the underlying factors that influence the consumer
behavior, and the marketer must keep these in mind, so that appropriate
strategic marketing decision is made.
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CHAPTER 3
1. INDUSTRIAL PROFILE
2. COMPANY PROFILE
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INDUSTRY PROFILE
SOMEKEY FACTORS:
ECONOMIC INDICATORS:
RETAIL CATEGORIES:
SALES:
This can prove especially difficult for companies that sell apparel, since
consumers tend to be rather fickle with regard to their individual fashion
tastes. An effective advertising campaign, appealing store layout, and
attractive signage are also ways that companies can increase traffic and sales.
Furthermore, retailers have had to develop attractive websites to compete
against a growing number of online competitors.
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GROSS MARGIN:
The difference between the prices retailers pay manufacturers for their
goods and the prices they charge is called the markup. Cost of sales is what
is paid to the manufacturers plus outlays for freight, store occupancy,
employees, insurance, and utilities. Gross margin is a good measure of how
well a company builds sales, sets the markup, and controls costs and
expenses.
Proper inventory management is vital. Too much inventory increases
carrying costs and forces markdowns to improve turnover. (Turnover is the
cost of sales divided by the average value of inventory over a given period.)
Conversely, an overly lean inventory may translate into lost sales
opportunities. Generally, the higher the turnover, the greater the flexibility in
setting the markup; this improves the chances of maximizing profit.
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A. Hypermarkets in India:
Hypermarket being so giant in size occupy large floor space thus larger
cost are in the form of rentals. Being fully AC and organised they have huge
expenditure on electricity bills, cleaning and salary. Initially it was the
excitement of new store, so they worked fine but once the novelty wore off
such stores started to struggle with the cost because people were not buying
enough. Moreover, there were always some traditional grocery shoppers who
relied on kiranas and their local vendors. Hypermarket was unable to sustain
the low prices and increasing prices meant the loss of customers. The
retailers became fearful of their plight as eventually hypermarkets started to
shut down. For example, Big apple who had about 20 stores within 5 km
were closed to merely 1 store within 10 km
In India people are highly dependent on kiranas shop near their place that
provide good discount and have cordial and personal relation with each
customer. They even provide the facility of home delivery.
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Challenges faced by hypermarkets in India:
A.Internal Factors
B. External Factors
1.Saturation
2.High cost of Real states
3.Diverse taste and preferences
4.Buying Behavior
5.Competition with kirana stores
These are the internal and external factors that are also the
challenges faced by hypermarket in India.
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COMPANY PROFILE
LULU Mall, in the city of Kochi, Kerala, is the largest shopping mall in India
in terms of total area With an average daily footfall of more than 80,000, it is
one of the most visited places in Kerala. Spanning 17 acres (6.9 ha) with a
total built up area of more than 2.5 million square feet the mall has a total
retail space of 1.7 million square feet. The mall was opened on March 2013.
It contains more than 215 outlets, including food courts, restaurants, family
entertainment zones, a multiplex, ice skating rink and bowling alley The
estimated cost for this project is more than ₹16 billion or US$250 million
The property is owned and managed by Yusuff Ali M.A. Chairman and
Managing Director of Lulu Group International, which has extensive
business in retail, hospitality, real estate etc. Lulu Mall in Kochi was their
maiden retail venture in India.
It is one of the largest retail chains in Asia and is the biggest in Middle East
with 150 outlets in the Gulf Cooperation Council (GCC) countries. Lulu
Hypermarket is administrated by Lulu Group International which also have
13 malls all over the GCC Countries, Lulu International Shopping Mall
largest mall in India along with Marriott Hotels & Resorts, Kochi in the
same Lulu campus and largest mall in Malaysia. Research firm Deloitte,
recently placed it amongst the world’s 50 fastest growing retailers. Lulu has
also started Lulu Convention Centre in Thrissur which is spread across an
area of 18 acres (73,000 m2) with a built-up area of 160,000 square feet
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(15,000 m2). Lulu's project of Lulu Bolgatty International Convention
Centre in Bolghatty Island is one of the largest Convention Centre in South
Asia along with the third largest Grand Hyatt branded hotelin the same
campus. In 2016, Yusuff Ali M.A. founder of Lulu purchased the Scotland
Yard Building in London.According to 2013, Yusuff Ali holds 9.37 per cent
share in Cochin International Airport. Lulu Group International has bought a
10 per cent stake in the UK-based trading firm, East India Company, and a
40 per cent stake in its fine foods subsidiary for around $85 million in total.
HISTORY:
Lulu Group International opened its first supermarket in Abu
Dhabi, United Arab Emirates, in 1995, when the retail business scenario in
the region started to change with the entry of Continent (now Carrefour).
Later, more Lulu Supermarket stores were opened in different parts of Abu
Dhabi There are also several Lulu stores found in the emirate of Dubai. In
the late 1990s, the Lulu Center department stores were launched, and the
group expanded to other countries in the Middle East.
In 2000, the first Lulu Hypermarket store was opened in Dubai. With this
launch, the Group embarked on an aggressive expansion plan. It soon grew
into a chain with several outlets across the UAE, Kuwait, Qatar, Kingdom of
Saudi Arabia, Bahrain, Oman, and Yemen. On March 10, 2013, Lulu
Hypermarket was opened in Kochi, India at Lulu Mallwhich is the largest
shopping mall in India.Lulu group also plans to invest Rs 1,000 crore to set
up an international convention centre, a five-star hotel and a mall
in Lucknow, India. They have also started construction of Lulu mall
in Trivandrum, which on completion will be the second biggest mall in India
after the one in Kochi.
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OPERATIONS:
International:
In April 2013, Lulu Group launched its UK operations
in Birmingham with the inauguration of a logistics and packaging facility
under the name, Y International. The 20,000 sq ft facility procures and
exports food, non-food, chilled and frozen products of British origin to Lulu
Hypermarkets spread across the Gulf countries. Date coding and labeling for
different countries, translation of labels, Halal and other relevant
certifications are also carried out here
There are three malls in the capital city, Riyadh and one each
in Khobar and Jubail . Latest outlet opened in Riyadh in July 2018. And
other locations are given below.
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LOCATIONS:
Oman 2005 19
Bahrain 2007 6
Kuwait 2007 6
Qatar 2000 6
Egypt 2010 1
India 2013 2
Yemen 2006 1
Indonesia 2016 2
Malaysia 2016 1
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VISION:
MISSION:
VALUES:
Integrity
Teamwork
Accountability
Innovation
Commitment
LuLu Hypermarket has partnered with banks in the Middle East to create
co-branded cards that help loyal customers gain special privileges and
rewards every time they shop. The ADCB LuLu Credit Card in association
with the Abu Dhabi Commercial Bank (ADCB) helps users gain points on
every AED 1 spent at any Lulu outlet in the UAE.
The LuLu Doha Bank Shopping Credit Card in association with Doha
Bank gives cardholders a 5% rebate on every purchase made from a LuLu
outlet in Qatar. Shopping points can also be accumulated and redeemed on
purchases
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OWNERSHIPS:
Lulu Hypermarket is owned by the parent company LuLu Group
International.LuLu Group International also owns Twenty14 Holdings,
which owns hotels across the world.
Multiplex:
The mall features a 71,000 square feet (6,600 m2), 9 screen PVR
Cinemas multiplex on the second floor, with exclusive entry elevators
from outside.
Leisure zone
The third floor has a leisure zone which includes an indoor climbing wall,
ice skating rink, 5D Cinema, arcade gaming zone, rides, party hall and a
12 lane bowling alley.
Five-Star Hotel:
Adjacent to the shopping mall is a Marriott Hotel. The hotel stands at a
height of 84 meters and has a Helipad
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division, the Group has interests in Imports & Exports, Trading, Shipping,
IT, Travel & Tourism and Education.
The group is currently active in 21 countries and operates 136 retail stores.
The group has announced a massive expansion plan over the next 10 years.
The Group opened its first supermarket in the early nineties in Abu
Dhabi and gradually expanded to cover different parts of Abu Dhabi. With
the launch of LuLu Centers, the department store format, the Group began to
expand in other Emirates and by the late nineties had firmly established its
presence in the regional retail sector.
The year 2000 saw the Group embark on an aggressive expansion plan
with the opening of the first LuLu Hypermarket in Dubai. The rest as they
say is history. Today the LuLu Hypermarkets, Supermarkets and Department
Stores control 32% of the retail market share with 136 stores spread across
the GCC, India and Egypt and is regarded as the retail pioneer constantly
setting new benchmarks for the industry.
Firmly following the tagline "LuLu, where the world comes to shop", the
Group has always tried to be a one stop shop for the multi-ethnic community
of the region with an international mix of products as well as staff of
different nationalities. The 500,000 plus shoppers who patronize LuLu daily
are the true testament to the popularity of the LuLu brand.
Shopping Malls:
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mixed use project segment. In the last 6 years of its operations, LIP has
successfully launched several major projects viz., Mushriff Mall, Khalidiyah
Mall, Al Wahda Mall, Al Raha Mall, Mazyad Mall and Al Foah Mall. It has
also won the management rights of the prestigious Madinat Zayed Shopping
Centre and Gold Centre in Abu Dhabi
Al Tayeb Cold Stores are the exclusive importers of many of the leading
brands in frozen meat, poultry, vegetables and dairy products viz., Doux,
Frangosul, Dat Schaub, Tyson and Heinz Watties. This division has an
excellent infrastructure setup including extensive cold storage facilities and
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distribution network. Al Tayeb Meat Est. undertakes import and distribution
of fresh and frozen Indian meat and poultry
- FMCG (branded)
- Fresh meat
- Frozen food
Warehouse:
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Vallarapadam Sea Port. Apart from Lulu, the ware houses are being let out
as readymade space to other companies also. The warehouses are designed
with state of the art utilities including cold rooms for perishables making it
the preferred choice of many companies.
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their needs and requirements in detail to provide optimal solutions to protect
their goods from any kind of damages. These services are provided to our
customers at very reasonable rates and within the specified time frame. Our
services are highly in demand by various manufacturing units, logistics,
supply chain management and many other industries.
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CHAPTER 4
DATA ANALYSIS AND INTERPRETATION
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SEX OF THE RESPONDENTS:
Female 65 72.2 %
Total 90 100 %
GENDER
80.00%
72.20%
70.00%
60.00%
50.00%
40.00%
30.00% 27.70%
20.00%
10.00%
0.00%
MALE FEMALE
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AGE GROUP OF THE RESPONDENTS:
20 - 40 40 44.4 %
41 - 60 30 33.3 %
61 above 05 05.5 %
Age
5.50%
16.60%
20 below
33.30% 20-40
41-60
61 above
44.40%
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OCCUPATION OF THE RESPONDENTS:
Business 24 27%
Home maker 32 36%
Student 4 4.0%
occupation
40%
36%
35%
30%
27%
24%
25%
20%
15%
10% 9%
4%
5%
0%
professional service business homemaker student
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INCOME PER MONTH OF THE RESPONDENTS:
Rs.10000-15000 42 47%
Rs.15000-30000 17 19%
14%
20%
19% 10000-15000
15000-30000
30000 and above
47%
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IMPORTANCE OF UPDATED PRODUCTS, QUALITY OF PRODUCTS,
PRICE OF PRODUCTS AND EASE OF FINDING PRODUCTS .
A.Updated products:
Important 30 33.3 %
50
50
45
40
33.3
35
extremely important
30
Important
25
16.3 Not important
20
15
10
5
0
updated products
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B.Quality of products:
Important 25 27.7 %
5.5
27.7
Extremely important
important
Not important
66.6
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C.Price of products:
Important 30 33.3 %
22.2
44.4
extremely important
33.3 important
not important
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D. Ease of finding products:
Important 38 42.2 %
5.5
100%
90%
80% 42.2
60% Important
Extremely important
50%
40%
52.2
30%
20%
10%
0%
INFERENCE:
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MOTIVES OF RESPONDENT:
Advertisement 16 18 %
Verity of choices 38 42 %
Need of products 25 28 %
MOTIVES
45% 42%
40%
35%
30% 28%
25%
20% 18%
15% 12%
10%
5%
0%
Discounts and Advertisement verity of choices need of products
offers
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PURCHASING CAPACITY :
1000-5000 22 24 %
5000-10000 18 20 %
10000-15000 25 26 %
30%
26%
24%
25%
20%
20% 17%
13%
15%
10%
5%
0%
Less than 1000-5000 5000-10000 10000-15000 15000 and
1000 above
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SATISFACTORY LEVEL OF THE RESPONDENTS:
A.Updated products:
60
54.4
50
40 36.6
Extremely satisfied
Satisfied
30
Dissatisfied
Extremely dissatisfied
20
10 6.6
2.22
0
INFERENCE:
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B.Quality of products:
Satisfied 23 25.5 %
Dissatisfied 02 02.2 %
2.2
25.5
Extremely satisfied
Satisfied
Dissatisfied
72.2 Extremely dissatisfied
INFERENCE:
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C.Price of products:
Satisfied 25 27.7%
Dissatisfied 18 20.0%
35
30
25
20
15
10
0
Extremely satisfied Satisfied Dissatisfied Extremely dissatisfied
INFERENCE:
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D.Ease of finding the products:
Satisfied 29 32.2%
Dissatisfied 06 6.60%
6.6 1.1
Extremely satisfied
32.3 Satisfied
Dissatisfied
60 Extremely dissatisfied
INFERENCE:
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PURCHASE INTERVEL OF RESPONDENTS:
Weekly 25 28%
Monthly 28 31%
Occasionally 13 14%
Rarely 09 10%
100%
10%
90%
14%
80%
70%
31% Rarely
60%
Occasionally
50% Monthly
40% Weekly
28%
30% Daily
20%
10% 17%
0%
No of respondents
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ACCEPTANCEREGARDING TIME OF PURCHASE, ASSISTANCE OF
EXECUTIVE, AMBIENCE OF STORE AND PRICE
Disagree 5 06%
No of respondents
0%
6%
20%
Strongly Agree
Agree
33%
Neutral
Disagree
Strongly disagree
36%
INFERENCE: 36% of respondents agree that the are able to purchase with
time and effort.
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B.Adequate assistance of sales executives:
No of respondents
5.50%
13.30%
33.30%
Strongly Agree
Agree
22.20%
Neutral
Disagree
25.50%
Strongly disgree
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C.Ambience of Hyper market :
Agree 25 27.7 %
Neutral 20 22.2 %
Disagree 0 00.0 %
percentage
00
22.20%
Strongly Agree
Agree
50% Neutral
Disagree
Strongly disgree
27.70%
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Reasonableness of price over product :
Agree 40 44%
Neutral 18 20%
Disagree 5 6%
Strongly disagree 2 2%
No of respondents
2%
6%
28%
20% Strongly Agree
Agree
Neutral
Disagree
Strongly disgree
44%
Product.
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CHAPTER 5
1. FINDINGS
2. SUGGESTION
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FINDINGS
As per the findings all are having the awareness of Lulu Hyper
Market. We can say that Lulu Hyper Market have good place in the
minds of the customers.
As per the findings 72.2% customers of Lulu Hyper Market are
females.
The customers who were mainly between the age of 21-40 years are
shopping at Lulu Hyper Market.
As per findings 36% of respondents are home makers and 27% of
respondents are professionals.
As per findings majority of respondents give more importance to
quality of products.
As per findings verity of choices in Lulu Hyper Market is a good
motivating factor for the customers to purchase from Lulu.
As per the findings majority of customers makes an average purchase
of 10,000-15,000 rupees in one purchase .
As per findings majority of respondents are satisfied with quality of
products of Lulu Hyper Market.
As per findings majority of respondents visit Lulu Hyper MarketLulu
Hyper Market monthly. By this we can say that most of customers
coming Lulu regularly.
As per the findings most of the respondents agree with the statement
that they purchase products with time and effort.
As per findings majority of customers are happy with the assistance
from the sales executives.
As per the findings majority of customers agrees that they get good
products with reasonable price.
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SUGGESTIONS
An attempt has been made to bring few suggestions before the Lulu
Hyper Market . These suggestions have been made within the preview
of the data available.
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CHAPTER 6
1. BIBILIOGRAPHY
2. QUESTIONNAIR
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BIBILIOGRAPHY
WEB SITES
1. WWW.GOOGLE.COM
2. WWW.HERO HONDA.COM
3. WWW.GOOGELFINANCE.COM
4. WWW.INDUSTRYSINDIA.COM
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QUESTIONNAIRE
Dear sir/madam
I request you to kindly spare few minutes of your time to fill out this survey
for research purpose in order to enhance your shopping experience.
1. Gender
a. Female b. male
2. Age
3. Occupation
a. Professional
b. b. service
c. c. business
d. homemaker
e. student
a. Updated products
b. Quality of products
c. Price of products
d. Ease of finding products
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6. What motivates you for purchasing from Lulu Hyper Market
a. discounts and offers
b. advertisement
c. verity of choices
d. need of product
a. Updated product
b. Quality of product
c. Price of product
a. Daily
b. Weekly
c. Monthly
d. Occasionally
e. Rarely
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10. To what extend do you agree with the following statement about your
purchase from lulu Hypermarket regarding statements below:
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