Effect of packaging and labeling information on consumer learning with respect to food product in Punjab (India)

Submitted to Lovely Professional University In partial fulfillment of the requirements for the award of degree of MASTER OF BUSINESS ADMINISTRATION

Submitted by: Group No TM04 Asad Gour Rajan Kumar RT1901 B43 RT1901 A17.

Supervisor: Mr. Abhishek Dutta Senior lecturer.

Prashant Kumar RT1901 A19 Chandan Kumar. RT1901 B58

DEPARTMENT OF MANAGEMENT LOVELY PROFESSIONAL UNIVERSITY PHAGWARA

(2011)

TO WHOMSOEVER IT MAY CONCERN

This is to certify that the project report titled ________________________________________ _____________________________________________________________________________ carried out by Mr._________________(student name), S/o or D/o____________(Fathers Name) has been accomplished under my guidance & supervision as a duly registered MBA student of the Lovely Professional University, Phagwara. This project is being submitted by him/her in the partial fulfillment of the requirements for the award of the Master of Business Administration from Lovely Professional University.

His dissertation represents his original work and is worthy of consideration for the award of the degree of Master of Business Administration.

___________________________________ (Name & Signature of the Faculty Advisor) Date:

DECLARATION

I, "________________________________(student's name), hereby declare that the work presented herein is genuine work done originally by me and has not been published or submitted elsewhere for the requirement of a degree programme. Any literature, data or works done by others and cited within this dissertation has been given due acknowledgement and listed in the reference section.

_______________________ (Student's name & Signature)

_______________________ (Registration No.)

Date:__________________

Acknowledgement:
It was a great pleasure and a unique experience to work on this project and on its completion. We would like to express my sincere thanks and gratitude to those who have extended their valuable time, co-operation and guidance during the time of the study. Completing a project without proper guidance is like sailing alone in an ocean without a compass. We must affirm our thankfulness to our guide Mr. Abhishek Dutta for their kind guidance, during my capstone project. We must put on record our gratitude towards our faculty, without whom we, would not have reached to the conclusion of the project. It was through their efforts that we could complete the project well in time. The respondents constituted the back bone of the project. Thanks to the respondents who had taken out some time out of their busy schedule to fill in my questionnaire without which the survey could not have taken place.

Prashant Kumar Chandan Kumar Asad Gour Rajan Kumar

Executive Summary
Objective/purpose of the study This descriptive study aims to identify the most important factors which influence consumers learning after reading the packaging information on the food product. Scope of the study

The study has been conducted in Ludhiana, Jalandhar and Phagwara of Punjab. It is decided to consider all malls in these places like big bazaar, vishal mega mart, easy day, where can easily find out the respondent for the survey.

Methodology The study was descriptive in nature with survey method being used to complete the study because this research is the most commonly used and the basic reason for carrying out descriptive research is to identify the consumer learning through the information given on food products. Population of research has been taken the people of various cities of Punjab. A sample size of 500 consumers of Punjab (100 respondent from Ludhiana, 200 respondent from Jalandhar and 200 respondent from Phagwara) are taken for the purpose of study and analysis. The sampling technique has been used; Simple random sampling technique for choosing the various cities of Punjab that is Ludhiana, Phagwara, and Jalandhar, quota sampling for dividing the number of respondent in the selected city (Ludhiana, Phagwara, and jullundhar) 100 respondent from Ludhiana, 200 respondents from Jalandhar and 200 respondents from Phagwara, and Convenience sampling technique for collecting the data conveniently from the mall of selected cities of Punjab for the survey. Primary data was collected with the help of structured questionnaire and personal interview with consumers and for analysis of collected data we will use SPSS, Microsoft excel.
5

Findings The study shows the people of Punjab really health Conesus. Packaging information plays important role to make purchase decision of customer. The mostly consumers check the content detail, nutritional facts and the way of using. The packaging information is significantly effect on consumer learning. The most important thing is all respondents are aware about the food packet information. All respondents are checking packaging information at the time of purchasing food products. Recommendation After analyzing the facts and by talking to the people following suggestions came out: 1. The information provided by companies on food packet, the font size is much smaller which is not seen clearly to all therefore companies should give it in appropriate size for clear view to all on food packet.
2. The 2nd most important thing is that in some cases abbreviation are used for few words that

is not understandable to some people. So there should be full name must be given with abbreviation.
3. During conversation with respondents many of them said that in some product they were

not able to find the information easily due to the information is given in some case at the bottom of the packet, in some case at the upper side of the packet, and sometime they did not find the information that is useful to them. So therefore companies should try to give it at a fixed place every time which can be found by the customer easily. 4. The information provided by companies on food packet, should be in contrast and deep color for the purpose of visibility.
6

5. The language used for packaging information should be simple and the easily understandable by customers.

TABLE OF CONTENT

S. No
1

NAME OF THE TOPICS Chapter - 1 : a) Introduction to the topic b) Consumer learning Chapter - 2 : a) Review of literature Chapter 3 : a) Need of the study b) Objective of the study c) Scope of the study d) Research methodology e) Hypothesis f) Factor analysis Chapter 4 : a) Data analysis b) Demography analysis by charts & bar graph Chapter 5 : a) b) c) d) e) f) g) Findings Conclusion Limitation Recommendation Reference Important URL Appendix (questionnaire).

PAGE NO.
08 09 10-14 15 16 16 17-19
19 20-25 27-29 30-37

38 39 40 41 42-43 44 45-47

CHAPTER-1: INTRODUCTION TO THE TOPIC

7

Packaging is the science, art and technology of enclosing or protecting products for distribution, storage, sale, and use. The objective of foodstuff packaging is to guarantee that consumers have access to complete information on the content and composition of products, in order to protect their health and their interests. Other information may provide details on a particular aspect of the product, such as its origin or production method. Some foodstuffs, such as genetically modified organisms, allergenic foods, foods intended for infants or even various beverages, are also subject to specific regulations. In 1990, the Nutrition Packaging and Education Act went into effect. The USDA and the FDA designed the requirements so that consumers would have useful information about the food they eat. According to the Nutrition Packaging and Education Act, all food packets must contain the following information:

Common name of the product Name and address of the products manufacturer Net contents in terms of weight, measure or count, and:

Ingredient List Lists the ingredients in descending order of predominance and weight. In Crispy Crunches, the ingredients are listed at the bottom of the label. As you can see, the predominant ingredient is corn, next is oil, then cheese, etc. Serving Sizes Each package must identify the size of a serving. In Crispy Crunches, one package contains one serving. The nutritional information given on the food packet is based on one serving of the food. Nutrition Facts each package must identify the quantities of specified nutrients and food constituents for one serving. From this information, you can gleam some very useful information.

Consumer learning:

A process by which individuals acquire the purchase and consumption knowledge and experience that they apply to future related behavior. Information given on the packet of food product helps consumer to make cognitive learning in their mind. The cognitive learning may influence the consumer buying behavior and make different perceptions about product.

(Some pics of food product on which it is showing the packaging information)

CHAPTER-2: REVIEW OF LITERATURE

Drichoutis, Andreas C., Panagiotis Lazaridis, and Rodolfo M. Nayga (2006) Diet-related health problems have increased dramatically over the last few years. Consequently, nutritional packaging has emerged as an important aspect of consumers' food purchase decisions. Nutritional content in food products is considered to be a credence attribute. However, if trustworthy nutritional labels are available, nutritional labels could function as a search characteristic. This paper synthesized the results of empirical research related to nutritional label use. The summary of results presented in this paper provides valuable information for directions for future research and development of theoretical and empirical studies. Our review indicates that several factors affect the use of nutrition information, but a number of these factors have conflicting effects due to differences and diversity in methodology, data, timing, location, and scope of the studies. In addition, although there is some consistency as to which general factors are considered by researchers, the range of factors included in the individual studies varied considerably. There also seems to be a need to broaden research in specific directions in order to increase the generalizability of the findings. Petra Tenblt, et.al (2007) The purpose of this paper is to provide insight into whether GM-packaging leads to different processing behavior of food stimuli compared to when products are not labeled. A task was designed to investigate people's categorization behavior as a function of information provided. In two studies each participant was randomly allocated to either the experimental "GM-labeled condition", or the control "nonlabeled condition". Different processing strategies and different characteristics are used to judge products that are labeled as genetically modified or not. GM packaging of foods is interpreted to induce analytical processing of information and therefore the products are classified relatively more often on the basis of verifiable categorization criteria compared to when they were not labeled as GM. When products are not labeled as GM, information is more likely to be automatically processed and non-verifiable categorization criteria are used. This is the first study to examine the processes that packaging as GM brings about. The categorization criteria on the basis of which the participants classified the products into two groups were scored. Six different
10

criteria were mentioned by the participants (whether they ate it or not, whether it was healthy or not, whether the products were vegetable or animal, whether it was natural or not, whether it was a processed product or not and whether it they accepted it or not). We regrouped the criteria in two major groups, namely the "verifiable categorizations. Hilary Oliver (2008) so many consumers are taking time to read nutrition labels, there is also a marketing opportunity for food manufacturers to provide consumer-friendly information on labels that may entice shoppers to switch brands at the point of purchase," said Deepak Varma, senior vice president of Nielsen Customized Research. "Food marketers can make relatively low investments in pack and packaging changes compared to advertising and promotions, and drive significant sales. Alan Osborn (2009) A proposed regulation on the provision of food information to consumers -suggests, has a rather broader remit than the simple packaging of food and drink products. In respect of actual packaging, the proposed resolution clarifies the responsibility for packaging in respect of different food business operators along the supply chain, introduces a minimum print size for carrying information on labels, and requires that information on allergenic ingredients should be available for non-pre-packed foods sold through retail and catering outlets. At present there were no comprehensive rules on compulsory packaging in the EU and the present legal provisions have become simply confusing, thus giving rise to legal uncertainty. . Uniform EU rules on food packaging "is a necessary step", such uniformity would make for transparency in the interests of consumers and would offer food enterprises a greater degree of legal certainty, since a whole series of existing provisions would be combined in the new regulation. Jennie Feight, Nashat Zuraikat (2009) the issue of cloned food packaging came to the forefront on January 15, 2008, with the release of a controversial report by the Food and Drug Administration (FDA). This paper aims to explore issues surrounding cloned food sources, specifically the increasingly vocal demands by the American public for mandatory packaging. This paper reviews literature to examine the culture and structure of the FDA over the past ten years. Ethical, economic and public health concerns surrounding cloned food sources are also examined. Comparisons are made to the shared history of genetically modified organisms (GMOs). Political process and implementation of the Cloned Food Packaging Act (S. 414) are explored. The FDA faces legal and cultural pressure to speed medications to market. The processes created by this struggle also affect the regulation of agriculture; this can be seen in the similar histories of GMOs and cloned food. Ethical issues surrounding cloned food packaging include animal welfare and
11

the usurpation of the creator's role. Nicholas J Ollberding (2010) this research indicates that a simple logo helped students identify healthful food choices, and positively influenced food choice," commented Professor Freedman. "It would be interesting to determine if a combination of point-of-purchase nutrition information, coupled with economic incentives (e.g. lower prices for healthier foods) would further drive consumers to choose these healthier food items. We must aggressively test such options in light of the increasing threat of obesity to the health of our society. Low rates of label use also suggest that national campaigns or modification of the food label may be needed to reduce the proportion of the population not using this information. Possible changes to the current label that have been suggested include bolding calorie information, reporting the total nutrient intake for foods likely to be consumed in a single sitting, and using more intuitive packaging that requires less cognitive processing such as a red, yellow, and green 'traffic light' signs on the front of the label. The food label alone is not expected to be sufficient in modifying behavior ultimately leading to improved health outcomes, but may be used by individuals and nutrition professionals as a valuable and motivating tool in our efforts to combat obesity and diet-related chronic disease. Swati Bhardwaj (2010) The Food Safety and Standards Act 2006, amended in 2008, says food items should carry labels that include the weight of the product, list of ingredients present and nutrition information-including total calories (energy value) as well as amounts of protein, carbohydrate, fat, sodium (salt), sugars, dietary fibre, vitamins and minerals. According to Anoop Mishra, director and head of the department of diabetes, obesity and metabolic diseases, Fortis Hospitals, New Delhi, it is a myth that if a label says "cholesterol free", then the product will not affect blood cholesterol levels. , the small-scale manufacturers either skip this packaging procedure or mislead the consumers through false claims," says Swati Bhardwaj, nutritionist, National Diabetes, Obesity and Cholesterol Foundation (N-Doc), New Delhi. Even larger companies, some playing by more stringent rules in international markets, are guilty of misleading with labels such as "heart healthy", "fat free" or "sugar free", based on myths and half-truths. Kala Vijayraghavan, Ratna Bhushan. (2010) Most food companies in India have started reducing portion sizes and are reformulating existing products to reduce saturated fat, cholesterol, added sugars and sodium in line with global trends. Food and beverage companies are gearing up to meet the requirements of the integrated food law that will be mandatory this year, say industry players. The unified food law plans to set up, among other things, mandatory packaging of ingredients, and a scientific panel to audit the claims
12

made by functional foods flooding the market. The food law will also include a feature called 'food recall'. Hawkes, Mintel (2004),As at least 65 per cent of food purchase decisions are made in-store, food labels are clearly intended to influence consumption choices at point of purchase by providing information relevant to the decision in hand. They combine size, color, images and informative
Packaging

can also directly reinforce advertising and other brand

communications, and stimulate an interpretation of the meaning of these communications in relation to these and other associations already stored in consumers' minds. The meaning a consumer ascribes to a food can be related to a variety of different attributes the food is perceived to possess, such as a particular health or social value. Dimara Efthalia, Skuras Dimitris (2005) The purpose of this work is to examine the range of information consumers seek on labels of quality products and construct an indicative check-list of various types of informational packaging as well as to examine whether quality of information demanded segregates the market-creating segments to be targeted by firms. The study records the range of informational packaging sought by consumers as well as critical factors influencing their consuming behavior. Informational
packaging linking product to place ranks top among a wide set of information sought on labels. A

Poisson count data model reveals that consumers willingness to acquire information from labels is influenced by various socio-economic characteristics and, in general, high demand for information is associated with higher expenditures for wine. Singla Manisha (2010) Nutritional
packaging of food products is not mandatory in India at present and the Indian Government is on

the verge of introducing a code of conduct for it. The aim of this paper is to provide some initial guidelines for the above-said purpose so as to have consumer friendly packaging policies. Food labels are read by the consumers for brand comparisons and not for consulting nutritional information. Difficult terminology, small font size and inability to understand nutritional labels are the major problems encountered by the consumers. Television, friends, magazines are commonly used for assessing nutritional information. Labels are considered more consumers friendly when benchmarks regarding serving size are provided. Income level, size of household, number of children and age did not play a role in the usage of nutritional labels by the consumers. Consumers with special dietary needs used nutritional labels regularly. A. Stuart Stephen (2010) This pilot study for a larger research project aims to quantify and categories elements of food label information and establishes an indicative physical relationship between mandatory and other information thereby articulating the relative balance between information intended to inform
13

healthy dietary choices and that intended to perform other functions such as aiding purchase decisions. Findings indicate the amount of available space on labels devoted to mandatory information ranged between 17 and 31 per cent, whilst the amount allocated to commercial information ranged between 18 and 45 per cent. Unoccupied space varies between 32 and 54 per cent. This indicates there is an imbalance between mandatory and commercial information, with the weighting in favour of the latter. Borin Norm, Obispo San Luis, Cerf C. Douglas (2011) The purpose of this paper is to investigate the impact of different levels of environmental information on key consumer metrics. More specifically, it aims to evaluate environmentally benign products against those that have negative environmental impacts. The results show that consumer perception of product quality, value, and purchase intentions does not differ significantly between products with positive environmental messages and those without any message. Products with positive environmental messages are viewed better than products with negative environmental messages. It is also found that the impact of environmental information is greater for consumable products.

14

CHAPTER-3: Need, Objective, Scope & Methodology

Need of the study

SOURCE:- www.unifem.org.in/.../Punjab/Punjab%20A%20brief%20Profile.pdf -

Today consumers are more educated than previous 20 year as we seen in above table hence the awareness of consumer about packaging information has increased. Thus the study is very useful for food industry to understand the consumer buying behavior related to food products. Because the literacy rate of Punjab in 1991 was 58.51% which increases in 2001 to 74.19% which is showing there are great development of Punjab during census 1991 to 2001 in education because it leads the whole development thats why we feel the need of this study means people how much become and what effect came due to literacy about their right and responsibility with respect to purchasing of any food products.
15

Objective:

To know the factors which influence consumers learning after reading the packaging information on food product.

Scope of the study

The study has been conducted in Ludhiana, Jalandhar and Phagwara of Punjab It is decided to consider all malls in these places like big bazaar, vishal mega mart, easy day, where can easily find out the respondent for the survey.

16

Research methodology

Research in common parlance refers to a search for knowledge. One can also define research as a scientific and systematic search for pertinent information on a specific topic. According to Clifford Woody1 research comprises defining and redefining problems, formulating hypothesis or suggested solutions; collecting, organizing and evaluating data; making deductions and reaching conclusions; and at last carefully testing the conclusions to determine whether they fit the formulating hypothesis.

Research design
The study- The study was descriptive in nature with survey method being used to complete the study because this research is the most commonly used and the basic reason for carrying out descriptive research is to identify the consumer learning through the information given on food products. Descriptive research is also called Statistical Research. And it describes data and characteristics about the population or phenomenon being studied. Descriptive research answers the questions who, what, where, when and how. The main goal of this type of research is to describe the data and characteristics about what is being studied. Here we are also going to find out the effect of packaging information on consumer learning with respect to food product.

- CLIFFORD WOODY Professor of Education, University of Michigan

17

Sampling design:
Population Population of research was the people of various cities of Punjab (Ludhiana, Jalandhar and Phagwara).

Sample size A sample of 500 consumers of Punjab (100 respondent from Ludhiana, 200 respondent from Jalandhar and 200 respondent from Phagwara) and analysis. are taken for the purpose of study

Sampling unit: Sample unit of study was the area of Ludhiana, Phagwara and jullundhar, and in sample unit it is decided to consider the mall of these areas which named as vishal mega mart, big bazaar, and easy day.

Sample element: The sample element was the each and every consumer who purchasing packed food products in the organized mall in various cities of Punjab like Ludhiana, Phagwara and Jalandhar.

Sampling technique
18

The sampling technique has been used Simple random sampling technique for choosing the various cities of Punjab that is Ludhiana, Phagwara, and Jalandhar. The quota sampling has been used for dividing the number of respondent in the selected city (Ludhiana, Phagwara, and jullundhar) 100 respondent from Ludhiana, 200 respondents from Jalandhar and 200 respondents from Phagwara. The Convenience sampling technique has been used for collecting the data conveniently from the mall of selected cities of Punjab for the survey.

Data collection: Data was collected through primary and secondary sources.

Primary data: Primary data was collected with the help of structured questionnaire and personal interview with consumers.

Secondary data: Source of secondary data was collected with help of published, journals and magazines, the websites.

Method of data analysis: Analysis of data is a process of inspecting, cleaning, transforming, and modeling data with the goal of highlighting useful information, suggestion, and supporting decision making. And for analysis of collected data we will use SPSS, Microsoft excel.

19

HYPOTHESIS

Null hypothesis
H0- all variable have same effect on consumer learning with respect to food packaging information

Alternative hypothesis
H1 all variable dont have same effect on consumer learning with respect to food packaging information.

Factor analysis

20

KMO and Bartlett's Test Kaiser-Meyer-Olkin Measure of Sampling Adequacy. Bartlett's Test of Sphericity Df Sig. 210 .000 Approx. Chi-Square .807 3.294E3

Communalities

Initial respondent's view about mfg. date. respondent's view about exp. date. respondent's view about price. respondent's view about weight. respondent's view regarding isi mark. respondent's view regarding batch no. respondent's view regading packaging date. respondent's view regarding content detail. respondent's view regarding company name. respondent's view regarding product name. respondent's view regarding company tag line. respondent's view regarding logo of brand. respondent's view regarding contact no. & website. respondent's view regarding tax detail. respondent's view regarding nutritional facts. respondent's view regarding trade mark. respondent's view regarding term and condition. respondent's view regarding food grade. respondent's view regarding vege or non vage segment. respondent's view regarding mfg. address. respondent's view regarding way of using. 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000

Extraction .657 .728 .702 .745 .658 .734 .442 .402 .621 .723 .658 .663 .642 .655 .539 .644 .677 .582 .495 .585 .494

Extraction Method: Principal Component Analysis.

21

22

Total Variance Explained Extraction Sums of Squared Initial Eigenvalues Componen t 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 Total 4.576 3.235 1.755 1.301 1.121 1.059 .937 .769 .706 .661 .637 .595 .523 .505 .461 .441 .411 .397 .342 .312 .256 % of Variance 21.790 15.403 8.358 6.195 5.336 5.045 4.460 3.663 3.364 3.150 3.033 2.835 2.493 2.404 2.195 2.099 1.955 1.891 1.626 1.485 1.219 Cumulative % Total Loadings % of Variance 21.790 15.403 8.358 6.195 5.336 5.045 Cumulative % Total Rotation Sums of Squared Loadings % of Variance 13.429 10.779 10.723 9.757 9.673 7.765 Cumulative % 13.429 24.208 34.931 44.688 54.361 62.127

21.790 4.576 37.193 3.235 45.551 1.755 51.746 1.301 57.082 1.121 62.127 1.059 66.587 70.250 73.614 76.764 79.797 82.632 85.124 87.529 89.724 91.823 93.778 95.669 97.295 98.781 100.000

21.790 2.820 37.193 2.264 45.551 2.252 51.746 2.049 57.082 2.031 62.127 1.631

Extraction Method: Principal Component Analysis.

23

Analysis:Screen plot shows the eigenvalues against the component number. It means it also shows extraction of that factor which eigenvalues is at least 1 or greater than 1. So by the above screen plot we can say we have got six factors among all 21 components which eigenvalues is greater than 1.

24

Component Matrix Component 1 respondent's view about mfg. date. respondent's view about exp. date. respondent's view about price. respondent's view about weight. respondent's view regarding isi mark. respondent's view regarding batch no. respondent's view regarding packaging date. respondent's view regarding content detail. respondent's view regarding company name. respondent's view regarding product name. respondent's view regarding company tag line. respondent's view regarding logo of brand. respondent's view regarding contact no. & website. respondent's view regarding tax detail. respondent's view regarding nutritional facts. respondent's view regarding trade mark. respondent's view regarding term and condition. respondent's view regarding .531 2 -.509 3 -.100 4 -.272 5 .179 6 .009

.445 .435 .492

-.621 -.449 -.067

-.093 -.084 -.182

-.348 .308 .555

.115 .216 .320

.016 .404 .232

.481

.049

-.319

-.336

.428

-.162

.469

.552

-.120

.117

.342

-.257

.596

-.137

-.070

-.233

-.093

.024

.574

.210

.069

.023

.137

-.069

.434

-.324

.567

-.007

.055

-.060

.315

-.388

.679

-.105

.035

.029

.321

.455

.474

.075

.124

.318

.418

.435

.395

-.310

-.023

.217

.367

.639

.285

.110

-.077

.000

.442

.543

-.379

.088

.040

.112

.643

-.034

-.128

.099

-.296

-.103

.514

.297

-.276

-.432

-.166

.039

.374

.283

-.188

-.062

-.480

.433

.570

-.098

25

-.032

.163

-.357

-.303

Component Matrix Component 1 respondent's view about mfg. date. respondent's view about exp. date. respondent's view about price. respondent's view about weight. respondent's view regarding isi mark. respondent's view regarding batch no. respondent's view regarding packaging date. respondent's view regarding content detail. respondent's view regarding company name. respondent's view regarding product name. respondent's view regarding company tag line. respondent's view regarding logo of brand. respondent's view regarding contact no. & website. respondent's view regarding tax detail. respondent's view regarding nutritional facts. respondent's view regarding trade mark. respondent's view regarding term and condition. respondent's view regarding .531 2 -.509 3 -.100 4 -.272 5 .179 6 .009

.445 .435 .492

-.621 -.449 -.067

-.093 -.084 -.182

-.348 .308 .555

.115 .216 .320

.016 .404 .232

.481

.049

-.319

-.336

.428

-.162

.469

.552

-.120

.117

.342

-.257

.596

-.137

-.070

-.233

-.093

.024

.574

.210

.069

.023

.137

-.069

.434

-.324

.567

-.007

.055

-.060

.315

-.388

.679

-.105

.035

.029

.321

.455

.474

.075

.124

.318

.418

.435

.395

-.310

-.023

.217

.367

.639

.285

.110

-.077

.000

.442

.543

-.379

.088

.040

.112

.643

-.034

-.128

.099

-.296

-.103

.514

.297

-.276

-.432

-.166

.039

.374

.283

-.188

-.062

-.480

.433

.570

-.098

26

-.032

.163

-.357

-.303

27

Rotated Component Matrix Component 1 respondent's view about mfg. date. respondent's view about exp. date. respondent's view about price. respondent's view about weight. respondent's view regarding isi mark. respondent's view regarding batch no. respondent's view regarding packaging date. respondent's view regarding content detail. respondent's view regarding company name. respondent's view regarding product name. respondent's view regarding company tag line. respondent's view regarding logo of brand. respondent's view regarding contact no. & website. respondent's view regarding tax detail. respondent's view regarding nutritional facts. respondent's view regarding trade mark. respondent's view regarding term and condition. -.080 2 .694 3 .259 4 .237 5 -.018 6 .214

-.233

.715

.270

.260

-.046

.143

-.131

.234

.204

.177

.038

.746

.288

.058

.184

-.045

.009

.789

.378

.701

-.047

-.128

.012

.074

.818

.141

-.032

-.162

.080

.106

.105

.462

.326

.150

.292

.062

.501

.213

.145

.148

.201

.149

.106

.148

.240

.719

-.047

.103

-.044

.124

.138

.827

-.033

.044

.423

-.195

-.239

.404

.432

.183

.367

.086

-.168

.389

.572

-.117

.619

-.242

-.006

.147

.421

-.048

.506

.100

.034

-.390

.443

.201

.239

.191

.596

.016

.279

.111

.255

.446

.134

-.165

.552

-.174

-.016

-.027

.223

-.149

.773

.080

28

Rotated Component Matrix Component 1 respondent's view about mfg. date. respondent's view about exp. date. respondent's view about price. respondent's view about weight. respondent's view regarding isi mark. respondent's view regarding batch no. respondent's view regarding packaging date. respondent's view regarding content detail. respondent's view regarding company name. respondent's view regarding product name. respondent's view regarding company tag line. respondent's view regarding logo of brand. respondent's view regarding contact no. & website. respondent's view regarding tax detail. respondent's view regarding nutritional facts. respondent's view regarding trade mark. respondent's view regarding term and condition. -.080 2 .694 3 .259 4 .237 5 -.018 6 .214

-.233

.715

.270

.260

-.046

.143

-.131

.234

.204

.177

.038

.746

.288

.058

.184

-.045

.009

.789

.378

.701

-.047

-.128

.012

.074

.818

.141

-.032

-.162

.080

.106

.105

.462

.326

.150

.292

.062

.501

.213

.145

.148

.201

.149

.106

.148

.240

.719

-.047

.103

-.044

.124

.138

.827

-.033

.044

.423

-.195

-.239

.404

.432

.183

.367

.086

-.168

.389

.572

-.117

.619

-.242

-.006

.147

.421

-.048

.506

.100

.034

-.390

.443

.201

.239

.191

.596

.016

.279

.111

.255

.446

.134

-.165

.552

-.174

-.016

-.027

.223

-.149

.773

.080

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Component Transformation Matrix Compo nent 1 2 3 4 5 6 1 .483 .648 .111 .191 .336 -.429 2 .466 -.340 -.342 -.641 .365 -.077 3 .491 -.361 -.134 .315 -.613 -.367 4 .253 -.293 .909 -.116 .068 .081 5 .385 .439 -.022 -.275 -.454 .614 6 .309 -.234 -.163 .604 .409 .540

Extraction Method: Principal Component Analysis. Rotation Method: Varimax with Kaiser Normalization.

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CHAPTER-4: Analysis and interpretation

We have used factor analysis test to analyze the data which is collected through the survey. Factor analysis is used for data reduction and summarization. As we have used 21 variables for our study that is to know the factors which influence consumers learning after reading the packaging information on food product, and after applying the factor analysis on the collected data we reduced them into six factors which are obtained by gathering together the variables that have high correlation into one factor. The output tables of the factor analysis are shown below. For applying the factor analysis test first of all need of apply the Bartletts test of sphericity or the Kaiser-Meyer-Olkin (KMO) test on collected data to measure the sampling adequacy which will tell us about the correlation between the variables. If the correlations between the variables are small, it means less than 0.5 than factor analysis may not be appropriate for that data. It means the value of KMO to measure of sampling adequacy should be greater than 0.5 in order to run factor analysis appropriately but in the case of our study it came out 0.807 which shows the data is appropriate for applying the factor analysis. Also the Bartletts test statistics was significant i.e. we rejected the null hypothesis which stated that there is no correlation between the variables. Principle component factor analysis was used which considers the total variance in the data. Then the factors were chosen based on Eigen values associated with them which must be at least 1.00. Varimax procedure was used to obtain rotated component matrix in which it is considered that entire variable which value came out more than 0.5 and through it we have gathered all derived variable under 6 factors. From the correlation matrix we can see that the variables combined under one factor have high correlation. The commonality for a variable indicates the variance in the variables that is explained by the six factors obtained.

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The factors obtained from the analysis are as follows: FACTORS Manufacturing attribute Brand detail Legal attributes VARIABLES batch no content detail Contact no. & website tax detail manufacturing address ISI mark exp. Date manufacturing date nutritional fact food grade veg or non-veg segment way of using product name company name logo of the brand trade mark term & condition weight price

Standardized product

Product detail

Product value

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Our null hypothesis is rejected because all factors do not have same effect on the consumer learning with respect of food packet. And our alternative hypothesis is selected and we conclude that: The output of the factor analysis is obtained by requesting the principle component analysis. We get the output comprises the communality for all 21 variables and the Eigen value of the factor which have Eigen value of 1 or more than 1. The first step in interpreting the output is to look at the factor extracted. The last column of table of total variance shows that the six factor extracted together account for 62.127% or 62% of total variance this is good deal because with only six factor. I have lost only about 37.873% or 38% of the information content while 62% is retain by the six factors extracted out of the 21 original variables. The first factor which named as manufacturing attribute identifies with variables like (batch no, content detail, contact no. & website, tax detail and manufacturing address). The second factor which named as standardized product identifies with variable like (ISI mark, exp. date, manufacturing date), third factor which named as product detail identifies with variable like (nutritional fact, food grade, veg or non-veg segment and way of using), Fourth factor which named as brand detail identifies with variable like (product name and company name), Fifth factor which named as legal attributes identifies with variable like (logo of the brand, trade mark and term & condition), and six factor that named as product value identifies with variable like (weight and price).

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THE DESCRIPTIVE ANALYSIS OF THE DEMOGRAPHIC OF THE SAMPLE FROM THE DATA COLLECTED CAN BE SHOWN BY THE BAR GRAPHS BELOW:

Age group :-

Age
18 21 22 - 35 36 45 45 above

Total 73 291 109 27 500

Percentage 14.6% 58.2% 21.8% 5.4% 100%

Analysis
The above table and bar graph showing the Age of the respondents those who participated in the survey According to the analyzed bar graph, the findings conclude that almost 58% of the respondents of our survey belongs to 22-35 age group, 22% of survey come under 36-45, 15% of survey come in under 18-21 and above 45are only 5%.

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Gender :-

Gender Male Female

Total 409 91 500

Percentage 81.8% 18.2% 100%

Analysis
The above table and pie chart showing the gender of the respondents those who participated in the survey According to the analyzed pie chart, the findings conclude that almost 82% of the respondents of our survey is male and 18% of our Respondent of our survey is female.

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Occupation:-

Occupation Student Self employed salaried Any other

Total 223 125 105 47 500

Percentage 44.6% 25% 21% 9.4% 100%

Analysis
The above table and bar graph showing the occupation of the respondents those who participated in the survey and it is showing the occupation of respondent. According to the analyzed bar graph, the findings conclude that student are the bigger part of our respondent because they are total 44.60% , than self employed which is 25% , salaried 21% and the person who are not student, not self employed, not salaried that is 9.40%.

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Income own or family (p/month.):-

Details
15000-20000 20000-30000

30000-35000
35000-above

Total 88 257 94 61 500

Percentage 17.6% 51.4% 18.8% 12.2% 100%

Analysis
The above table and bar graph showing the income of the respondents in which we analyzed that the most people income is 20000-30000 that is 51% total of our respondent and after that people are belonging to 30000-35000 that is 19%, 18% people of our respondent income have 1500020000 and 12% have above 35000.

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Are you aware about information given on food packet?

Yes No

Total 500 0 500

Percentage 100% 0% 100%

Analysis: The above table and pie chart showing the awareness of the respondents those who participated in the survey According to the analyzed pie chart, the findings come out that all respondents (100%) of our survey is aware about the information given on food packet.

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If yes how did you come to know?

By food packet By dept. of consumer affair Awareness programme by the govt. Any other media.

Total 297 131 53 19 500

Percentage 59.4% 26.2% 10.6% 3.8% 100%

Analysis
The above table and bar graph showing the source by which respondent get aware about the food packaging information in which we analyzed that the most people got awareness, by food packet that is 59% total of our respondent and after that 26% respondent have told they got awareness by department of consumer affair. 11% got awareness by govt. awareness programme and 4% told by any other media.

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Do you check the information given on food packet before purchase?

Yes No

Total 500 0 500

Percentage 100% 0% 100%

Analysis: The above table and pie chart showing the how much percentage of total respondents are checking the packaging information given on food product. According to the analyzed pie chart, the findings come out that all respondents (100%) of our survey is checking the packaging information before purchasing of food product.

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Do you recommend others to check for the information on food packet before purchasing?

Yes No

Total 500 0 500

Percentage 100% 0% 100%

Analysis: The above table and pie chart showing the loyalty of respondents towards packaging information of food product. According to the analyzed pie chart, the findings come out that all respondents (100%) of the survey are loyal towards packaging information of food product.

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CHAPTER-5: findings, Conclusion, Limitations & Recommendations

Findings:
After analyzing the response of the consumer interviewing through questionnaire and observation the following were found in the study.

The study shows the people of Punjab really health Conesus. Packaging information plays important role to make purchase decision of customer. The mostly consumers check the content detail, nutritional facts and the way of using. The packaging information is significantly effect on consumer learning. The most important thing is all respondents are aware about the food packet information. All respondents are checking packaging information at the time of purchasing food products.

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Conclusion:

This study was carrying out with the objective of to know the factors which influence consumers learning after reading the packaging information on food product, and on the basis of survey we analyzed the result by which we can say packaging information plays a vital role to get learn consumer about the food product related information. And now todays consumer are more health conscious thats why they check information which is very necessary in the case of food products like nutritional facts, packaging date, expire date, and way of using thats why we can say, really food packet information effect on consumer learning.

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Limitation of the study:

Money was the greatest limitations in carrying out the surveys. The sampling was of convenience sampling, where the error could be of the highest level. The sample size was 500 which can not represent the taste of a large no. of population. The answer given by the respondents believe as true statement. The response given by customers may be in botherness by some other factors. The respondents in many cases were hesitant to give exact information. Some facts cannot be represented in statistical form which is also a drawback. Some questions were of subjective nature and could not be included in the interpretation.

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Recommendation:
After analyzing the facts and by talking to the people following suggestions came out: 1. The information provided by companies on food packet, the font size is much smaller which is not seen clearly to all therefore companies should give it in appropriate size for clear view to all on food packet.
2. The 2nd most important thing is that in some cases abbreviation are used for few words that

is not understandable to some people. So there should be full name must be given with abbreviation, if it is use. 3. During conversation with respondents many of them said that in some product they were not able to find the information easily due to the information is given in some case at the bottom of the packet, in some case at the upper side of the packet, and sometime they did not find the information that is useful to them. So therefore companies should try to give it at a fixed place every time which can be found by the customer easily.

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4. The information provided by companies on food packet, should be in contrast and deep color for the purpose of visibility.
5. The language used for packaging information should be simple and the easily

understandable by customers.

Reference:

Drichoutis, Andreas C.et.al (2006) Consumers Use of Nutritional Labels: A Review of Research Studies and Issues Academy of Marketing Science Review; Vol. 5 pg. 1 ISSN 15261794.

Petra Tenblt, Nanne De Vries, et.al (2007) Effects of packaging on information processing British Food Journal; Vol.109, Iss. 4; pg. 305. Hilary Oliver (2008) Nutrition labels get more attention Natural Foods Merchandiser; Vol. 29, Iss. 9; pg. 1, 1 pgs Alan Osborn (2009) EU pushes ahead with additives and packaging legislation for food and drinks sectors Management briefing: Food information, just - Drinks. Bromsgrove; pg. 7, 6 pgs

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Jennie Feight, Nashat Zuraikat (2009) Cloned food packaging: history, issues, and bills; International Journal of Pharmaceutical and Healthcare Marketing; Vol. 3, Iss.2; pg. 149

Devson.c (2010)Health Care, Hospitals; Nutritional Packaging and Point-of-Purchase Signs Influence Healthy Food Choices Biotech Business Week; vol.4 pg. 1069. Kala Vijayraghavan, Ratna Bhushan (2009) Food cos have a label solution Tribune Business News Washington. Jennie Feight, Nashat Zuraikat (2009) Cloned food packaging: history, issues, and bill S International Journal of Pharmaceutical and Healthcare Marketing. Vol. 3, Iss. 2; pg. 149

Hawkes, Mintel (2004) Food and nutrition information: a study of sources, uses, and understanding", British Food Journal; Vol. 99 No.2, pp.43-99. Dimara Efthalia,Skuras Dimitris (2005) Consumer demand for informative packaging of quality food and drink products: a European Union case study Journal of Consumer Marketing, vol. 22 No:2, pp:90-100 ISSN 0736-3761.

Singla Manisha (2010) Usage and understanding of food and nutritional labels among Indian consumers, British Food Journal; Vol. 112,No:1, pp:83-92. Stuart Stephen (2010) The relationship between mandatory and other food label information, British Food Journal; Vol: 112, No:1, pp:21-31. Borin Norm, Obispo San Luis, Cerf C. Douglas (2011) Consumer effects of environmental impact in product packaging, Journal of Consumer Marketing, Vol. 28, Number:1, pp:76-86, ISSN:0736-376.

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Important URL

http://proquest.umi.com/pqdweb? did=1135733971&sid=5&Fmt=3&clientId=129893&RQT=309&VName=PQD

http://proquest.umi.com/pqdweb? did=1247925731&sid=3&Fmt=3&clientId=129893&RQT=309&VName=PQD http://proquest.umi.com/pqdweb? did=1586878461&sid=3&Fmt=3&clientId=129893&RQT=309&VName=PQD http://proquest.umi.com/pqdweb? did=1667078001&sid=3&Fmt=3&clientId=129893&RQT=309&VName=PQD

http://proquest.umi.com/pqdweb? did=1882768001&sid=5&Fmt=3&clientId=129893&RQT=309&VName=PQD

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http://proquest.umi.com/pqdweb? did=2106903691&sid=1&Fmt=3&clientId=129893&RQT=309&VName=PQD http://proquest.umi.com/pqdweb? did=1786790621&sid=3&Fmt=3&clientId=129893&RQT=309&VName=PQD http://proquest.umi.com/pqdweb? did=1882768001&sid=3&Fmt=3&clientId=129893&RQT=309&VName=PQD http://www.emeraldinsight.com/order_form.htm?ref=Abbott,%20R.%20+%281997%29+ %22Food%20and%20nutrition%20information:%20a%20study%20of%20sources, %20uses,%20and%20understanding%22%2C+British%20Food%20Journal %2C+Vol.99+No.2+pp43-9

http://www.emeraldinsight.com/journals.htm?articleid=1463998&show=abstract http://www.emeraldinsight.com/journals.htm?articleid=1834393&show=abstract http://www.emeraldinsight.com/journals.htm?articleid=1834388&show=abstract http://www.emeraldinsight.com/journals.htm?articleid=1905617&show=abstract

APPENDIX
QUESTIONNAIRE

Name: - ..

City: - .

Age group : 18 21 36 45 22 35 45 above

Gender :49

Male Occupation:Student Salaried

female

Self Employed If any other

Than specify ..

Income own or family (p/month.):15000-20000 30000-35000 20000-30000 35000-above

1. Are you aware about information given on food packet?

Yes

No

(If no than go question no 7)

1(a).If yes how did you come to know?

By food packet Awareness programme By the govt

by dept. of consumer affair any other media

Than specify...

2. Do you check the information given on food packet before purchase?

Yes

No

(If no than go question no 8)

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2(a).If yes than how often? Always Often 3. Which information of food packet affects your learning more before purchasing? (please rate according to yourself 1 to 5) 1- Definitely agree, 2- Probably agree, 3- Might or might not, 4- Probably not agree, 5Definitely not agree. sometime

Sr. No

Factors I would buy food product only after seeing the manufacturing date on the product. I would buy food product only after seeing the expiry date on the product. I would buy food product only after seeing the price on the product. I would buy food product only after seeing the weight on the product. I would buy food product only after seeing the ISI mark on the product. I would buy food product only after seeing the batch no. on the product. I would buy food product only after seeing the packaging date on the product. I would buy food product only after seeing the content detail on the product. I would buy food product only after seeing the company name on the product. I would buy food product only after seeing the product name on the product. I would buy food product only after seeing the company tag line on the product. I would buy food product only after seeing the logo of brand on the product. I would buy food product only after seeing the contact no. & website on the product. I would buy food product only after seeing the tax detail on the product. I would buy food product only after seeing the nutritional facts on the product. I would buy food product only after seeing trade mark on the product. I would buy food product only after seeing the term & condition on the product. I would buy food product only after seeing the food grade on the product. I would buy food product only after seeing the vegetarian. Or nonvegetarian segment on the product. 51 I would buy food product only after seeing the manufacturing address on the product. I would buy food product only after seeing the way of using on the product.

1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13. 14. 15. 16. 17. 18. 19. 20. 21.

4. Do you think the information given on food packet is useful? Beneficial Not beneficial 5. What makes you unaware about information given on food packet? Less advertisement Never mind less publicity not shopping up to some extent

6. Why dont you check the information given on food packet before purchasing?

No need Others cause

Unimportant

Please specify

7. Do you recommend others to check for the information on food packet before purchasing?

Yes

No

8. Please share your any other feelings about food packet information.

___________________________________________________________________ ___________________________________________________________________ ___________________________________________________________________

THANKS FOR CO-OPERATION.

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