Thesis

`
i
SUPERVISORS EVALUATION

Name of Student: Phan Vu Ngoc An
Group: K1A
Name of supervisor: Assoc.Prof Nguyen Thi Gam
Thesis title: Factors affecting consumers buying behavior at Minh Cau supermarket
I. Evaluation of content
1. Progress of writing thesis:
2. The content of thesis
- Literature review:
- Research methodology:
- Data analysis:
- Research findings:
- Conclusions:
3. Format and structures of thesis
- Format (Layout, font.):
- Structures (standard, well-organized, logical, coherent):
4. Other comments:
II. Evaluation

Date:
Supervisor

`
ii
ACKNOWLEDGEMENT

I would like to express my gratitude to all those who gave me the possibility to
complete this thesis.
I am deeply indebted to my supervisor Assoc.Prof. Nguyen Thi Gam, whose help,
stimulating suggestions and encouragement helped me in all the time of research for and
writing of this thesis.
I would like to thank the Minh Cau Supermarket for giving me permission to
commence this thesis, to do the necessary research work and to use departmental data.
All staffs from the International Cooperation Central for Training & Study Abroad
of Thai Nguyen University of Economics and Business Administration supported me in my
research work. I want to thank them for all their help, support, interest and valuable hints.
Especially, I would like to give my special thanks to my family whose patient love
enabled me to complete this thesis.

`
iii
TABLE OF CONTENTS
Chapter 1: INTRODUTION .................................................................................................... 1
1.1 Justification ......................................................................................................................... 1
1.2 Research objectives ............................................................................................................... 2
1.2.1 General objectives .............................................................................................................. 2
1.2.2 Specific objectives: ............................................................................................................ 2
1.3 Research scope ...................................................................................................................... 2
1.3.1 Location of study ............................................................................................................... 2
1.3.2 Duration of study ............................................................................................................... 2
1.3.3 Subject of study ................................................................................................................. 2
1.3.4 Research content ................................................................................................................ 2
1.4 Contributions ........................................................................................................................ 2
Chapter 2: LITERATURE REVIEW ..................................................................................... 3
2.1 Consumer market and the factors affecting consumers buying behavior ............................ 3
2.1.1 Overview of consumer market and consumer buyer behavior .......................................... 3
2.1.1.1 Consumer market ............................................................................................................ 3
2.1.1.2 Consumer buyer behavior ............................................................................................... 3
2.1.1.3 Consumer definition ....................................................................................................... 3
2.1.1.4 The basic characteristics of the consumer market .......................................................... 3
2.1.1.5 Characteristics of consumers frequency come to supermarket ..................................... 3
2.1.1.6 Model of consumers behavior ....................................................................................... 4
2.1.2 Supermarket ....................................................................................................................... 4
2.1.3 Factors affecting consumers buying behavior .................................................................. 6
2.1.3.1 Cultural ........................................................................................................................... 6
2.1.3.2 Social .............................................................................................................................. 6
2.1.3.3 Personal ........................................................................................................................... 7
2.1.3.4 Psychological .................................................................................................................. 9
2.1.4 The buying decision behavior .......................................................................................... 11
2.1.4.1 The roles in the buying decision behavior .................................................................... 11
2.1.4.2 The types of buying decision behavior ......................................................................... 12
2.1.5 Researching buying decision process .............................................................................. 13
2.1.5.1 Need recognition & Problem awareness ....................................................................... 14
2.1.5.2 Information search ........................................................................................................ 14
2.1.5.3 Evaluation of alternatives ............................................................................................. 15
2.1.5.4 Purchase ........................................................................................................................ 15
2.1.5.5 Post-Purchase evaluation .............................................................................................. 16
2.1.6 Thai Nguyen retail sale market ........................................................................................ 17
`
iv
2.2 Related empirical studies .................................................................................................... 17
2.3 Theoretical framework ........................................................................................................ 19
Chapter 3: RESEARCH METHODOLOGY....................................................................... 21
3.1 Analytical framework ......................................................................................................... 21
3.1.1 Analytical model .............................................................................................................. 21
3.1.2. Description and measurement of variables ..................................................................... 22
3.2 Data collection .................................................................................................................... 23
3.2.1 Primary data ..................................................................................................................... 23
3.2.2 Secondary data ................................................................................................................. 23
3.2.3 Tool of analysis
3.3 Data analysis ....................................................................................................................... 23
Chapter 4: RESEARCH FINDINGS .................................................................................... 25
4.1 Characteristics of the Minh Cau Supermarket .................................................................... 25
4.1.1 Organization structure of Minh Cau supermarket ........................................................... 25
4.1.2 Function, assignment and business sector of the supermarket ........................................ 25
4.1.3 Resources at Minh Cau supermarket ............................................................................... 26
4.1.3.1 Financial resource ......................................................................................................... 26
4.1.3.2 Facilities and technique ................................................................................................ 26
4.1.3.3 Human resource ............................................................................................................ 26
4.1.4 Loyal customers ............................................................................................................... 27
4.1.5 The target market ............................................................................................................. 27
4.2 Status of buying behavior of the consumer at Minh Cau supermarket ............................... 28
4.2.1 Characteristics of study subject ....................................................................................... 28
4.2.1.1 Gender ........................................................................................................................... 28
4.2.1.2 Age ................................................................................................................................ 29
4.2.1.3 Income .......................................................................................................................... 30
4.2.1.4 The size of households .................................................................................................. 31
4.2.2 Status of buying behavior of the consumer at Minh Cau supermarket ............................ 32
4.2.2.1 People regularly purchase at the supermarket .............................................................. 32
4.2.2.2 Shopping frequency at the supermarket ........................................................................ 33
4.2.2.3 Income and shopping frequency at the supermarket .................................................... 34
4.2.2.4 Gender and shopping frequency at the supermarket ..................................................... 36
4.2.2.6 People purchased at Minh Cau supermarket ................................................................. 37
4.2.2.7 Regular buying frequency at Minh Cau supermarket ................................................... 38
4.2.2.8 Shopping needs before coming to Minh Cau supermarket ........................................... 39
4.2.2.9 Shopping reason of consumers when come to Minh Cau supermarket ........................ 40
4.2.2.10 Information source about products of consumer ........................................................ 41
`
v
4.2.2.11 Type of products is bought the most by consumer at Minh Cau supermarket ........... 42
4.2.2.12 Gender and buying products at Minh Cau supermarket ............................................. 43
4.2.2.13 Products offered by Minh Cau supermarket ............................................................... 44
4.2.2.14: Promotional program offered by Minh Cau supermarket .......................................... 45
4.2.2.15: The most satisfactory service at Minh Cau supermarket ........................................... 46
4.2.2.16: Factors effecting consumer purchase ......................................................................... 48
4.2.3 Assessment of criterions at Minh Cau supermarket ........................................................ 49
4.2.3.1 Product quality .............................................................................................................. 49
4.2.3.2 Product price ................................................................................................................. 49
4.2.3.3 Service quality .............................................................................................................. 50
4.2.3.4 Service equipment ......................................................................................................... 51
4.2.3.5 Display space ................................................................................................................ 51
4.2.3.6 Atmosphere of the supermarket .................................................................................... 52
4.2.4 Factors impact on buying decision of the consumer at Minh Cau supermarket .............. 52
4.2.4.1 Influence of friends and colleagues on buying decision ............................................... 52
4.2.4.2 Influence of the family on buying decision .................................................................. 53
4.2.4.3 Influence of status in the family on buying decision .................................................... 54
4.2.4.4 Influence of jobs on buying decision ............................................................................ 55
4.2.4.5 Influence of economic condition on buying decision ................................................... 55
4.2.4.6 Influence of product quality on buying decision .......................................................... 56
4.2.4.7 Influence of product price on buying decision ............................................................. 57
4.2.5 Reliability analysis ........................................................................................................... 58
4.2.6 Regression model ............................................................................................................. 59
4.3 General evaluation .............................................................................................................. 64
Chapter 5: CONCLUSIONS AND RECOMMENDATIONS ............................................ 66
5.1. Conclusions 66
5.2 Recommendations ............................................................................................................... 68
5.2.1 Improving price policy ..................................................................................................... 68
5.2.3 Enhancing the mixed promotion ...................................................................................... 70
5.2.4 Loyal customer care service ............................................................................................ 72
5.2.5 Providing customers with information about products .................................................... 72
5.2.6 Improving customer research ........................................................................................... 73
5.2.7 Solutions impact on members in the family .................................................................... 74
5.2.9 Policy about employees of the supermarket. ................................................................... 76
APPENDICES ......................................................................................................................... 77
REFERENCES ........................................................................................................................ 81

`
vi

LIST OF FIGURES

Order Contents Page
Figure 2.1 Stimulus-Responses model of Buyer Behavior 4
Figure 2.2 The basic factors affecting consumer behavior 6
Figure 2.3 Maslows Hierarchy of Needs 10
Figure 2.4 Buyers decision process 14
Figure 2.5 Steps from the evaluation to buying decision stages 16
Figure 2.6 Hypothesis model 19
Figure 3.1 Researching factors affecting consumers buying behavior 21
Figure 4.1 Organization structure of Minh Cau supermarket 24

LIST OF TABLES AND CHARTS

Order Contents Page
Table 2.1 Four types of Buying behavior 12
Table 4.1 Minh Cau supermarkets rate of labors of years 25
Table 4.2 Gender rate of customer 27
Table 4.3 Age of customer 28
Table 4.4 Income of customer 29
Table 4.5 The size of households 30
Table 4.6 People regularly purchase at the supermarket 31
Table 4.7 Shopping frequency at the supermarket 32
Table 4.8 Effective of income to shopping frequency 33
Table 4.9 Effective of gender to shopping frequency 34
Table 4.10 Effective of age to procurement frequency 35
Table 4.11 Rate of people purchased at Minh Cau supermarket 35
Table 4.12 Regular buying frequency at Minh Cau supermarket 36
Table 4.13 Shopping needs before coming to Minh Cau supermarket 37
Table 4.14 Shopping reason of consumers when come to Minh Cau supermarket 38
`
vii
Table 4.15 Information source of consumer about products 39
Table 4.16 Type of product is bought the most by consumer at Minh Cau supermarket 40
Table 4.17 Gender and buying products at Minh Cau supermarket 41
Table 4.18 Minh Cau supermarket has enough products for consumer to select? 42
Table 4.19 The promotional program is been the most interest by consumer 43
Table 4.20 The most satisfactory service at Minh Cau supermarket 44
Table 4.21 The priority level for factors when consumers purchase 45
Table 4.22 Product quality 46
Table 4.23 Product price 46
Table 4.24 Service quality 47
Table 4.25 Service equipment 48
Table 4.26 Display space 48
Table 4.27 Atmosphere of the supermarket 49
Table 4.28 Level of influence of friends and colleagues on buying decision 49
Table 4.29 Level of influence of the family on buying decision 50
Table 4.30 Level of influence of status in the family on buying decision 51
Table 4.31 Level of influence of jobs on buying decision 51
Table 4.32 Level of influence of economic condition on buying decision 52
Table 4.33 Level of influence of product quality on buying decision 53
Table 4.34 Level of influence of product price on buying decision 54
Table 4.35 Level of influence of personal experience on buying decision 54
Table 4.36 Values of Cronbachs alpha 55
Table 4.37 Item-Total Statistics 55
Table 4.38 Model sumary 56
Table 4.39 ANOVA
b
56
Table 4.40 Coefficients
a
57
Table 4.41 Results of Regression Analysis 59
Table 4.42 Results of logit analysis 60
Table 4.43 Logit analysis 76
Chart 4.1 Minh Cau supermarkets customer group rate 26
Chart 4.2 Gender rate of customer 27
Chart 4.3 Age of customer 28
Chart 4.4 Income of customer 29
`
viii
Chart 4.5 The size of households 30
Chart 4.6 People regularly purchase at the supermarket 31
Chart 4.7 Shopping frequency at the supermarket 32
Chart 4.8 Effective of gender to shopping frequency 34
Chart 4.9 Rate of people purchased at Minh Cau supermarket 36
Chart 4.10 Regular buying frequency at Minh Cau supermarket 37
Chart 4.11 Shopping needs before coming to Minh Cau supermarket 38
Chart 4.12 Shopping reason of consumers when come to Minh Cau supermarket 39
Chart 4.13 Information source of consumer about products 40
Chart 4.14 Type of products is bought the most by consumer at Minh Cau supermarket 41
Chart 4.15 Minh Cau supermarket has enough products for consumer to select? 42
Chart 4.16 The promotional program is been the most interest by consumer 43
Chart 4.17 The most satisfactory service at Minh Cau supermarket 44
`
1
Chapter 1: INTRODUTION
1.1 Justification
The Vietnam is in the process of flourished development. Along with this is the
trend of the world economic integration. This is a good opportunity but also a big
challenge for Vietnamese enterprises since the current business is still very young, lacks of
knowledge about international laws and practices. However, it enables the country to
attract foreign investment; Vietnamese consumers have access to a wide range of items
which are plentiful in models and types. Therefore, it is a very difficult problem for
Vietnamese enterprises to overcome if they want to survive and develop in market.
So as to succeed, a company needs to understand consumers. This should be the top
concern among all aspects of the company's marketing programs. Especially, for
supermarkets, studying customers behavior is much more important in order to have
economical and effective strategies attracting customers. Researching consumers behavior
will help the company promote the consumption of products and work more effective in
general.
Thai Nguyen city is an economic, cultural, political and social center of the
Northeast. The citys education system stands the third to the whole country, and the
second to the North. With high population and a great number of students from local
universities, colleges and secondary vocational schools, the city is an attractive market for
many types of products. In recent years, Thai Nguyen peoples standards of living have
been significantly changing. This change not only creates new demands, but also varies
people consuming habits and methods. More and more people have moved from
traditional to modern shopping channels such as supermarkets, convenient stores, etc. for
various reasons such price and quality reliability, diversity of products categories, or more
comfortable space. This is also caused by consumers personal factors: they want to show
themselves, their lifestyle, and personality through shopping.
I have just finished a graduation internship at Minh Cau supermarket. The fact
shows that since its establishment, Minh Cau supermarket has achieved a great
development in the ability of attracting customers. The supermarket has not only expanded
much more areas, but also added many new types of goods; the reasonable marketing
policies applied have somewhat satisfied the buyers needs and psychology. However, the
economic situation is changing, and the competition, with not only other supermarkets
such as DOS'MART, HAPRO MART, TON MUI but also convenient stores, specialized
`
2
shops, traditional markets, is increasingly fierce. Therefore, so as to stand the first in
consumers choices, Minh Cau supermarket needs understand better their behaviors and
factors that affect their buying behaviors, and know their needs and expectations now and
in the future; thereby makes and implement appropriate marketing strategies to satisfy
customers better and promote the development of the supermarket.
Therefore, I chose the topic, "Factors affecting consumers buying behavior at
Minh Cau Supermarket for my graduation thesis.
1.2 Research objectives
1.2.1 General objectives
Hopefully the research will contribute to development strategies to make Minh Cau
the most preferred supermarket in Thai Nguyen, and at the same time bring the consumers
maximum satisfaction.
1.2.2 Specific objectives
Overview of theoretical basis on factors affecting buyers behavior
Customers perception the form of supermarket business
Studying factors that affect consumers' buying behavior
Proposing recommendations to develop strategies affecting the buying behavior of
consumers
1.3 Research scope
1.3.1 Location of study
At Minh Cau supermarket, 1 Phan Dinh Phung and Bac Kan street - Thai Nguyen City.
1.3.2 Duration of study
The data is from the time Minh Cau supermarket was established and from the
actual survey in March 2013.
1.3.3 Subject of study
Customers who have been shopping at Minh Cau super market.
1.3.4 Research content
This thesis focuses on researching factors affecting the buying behavior of
consumers.
1.4 Contributions
Contributing to the marketing system of Minh Cau supermarket in the process of
planning and implementation development strategies in order to bring, the best benefits
and satisfaction to the consumers, as well as increase products sales and consumption.
`
3
Chapter 2: LITERATURE REVIEW

2.1 Consumer market and the factors affecting consumers buying behavior
2.1.1 Overview of consumer market and consumer buyer behavior
2.1.1.1 Consumer market
All the individuals and households that buy or acquire goods and services for
personal consumption.
2.1.1.2 Consumer buyer behavior
The buying behavior of final consumers individuals and households that buy goods
and services for personal consumption.
2.1.1.3 Consumer definition
An individual who buys products or services for personal use and not for
manufacture or resale. A consumer is someone who can make the decision whether or not
to purchase an item at the store, and someone who can be influenced by marketing and
advertisements. Any time someone goes to a store and purchases a toy, shirt, beverage, or
anything else, they are making that decision as a consumer.
2.1.1.4 The basic characteristics of the consumer market
Its scale is large and constantly growing.
Its customers vary in profession, age, gender, income, educational level. This
difference creates the diversity of needs, expectations, purchasing power and other
features in the behavior of buying and using products.
Along with the social development and change, new demands, preferences, and
properties always appear. Therefore, marketers should always modify their
products or services.
2.1.1.5 Characteristics of consumers frequency come to supermarket
Supermarket is a kind of modern stores which are integrated or specialized
business, diverse in goods category structure, meet the standards of the business area,
technical equipment and business organization and management level, have convenient
and civilized methods of service in order to satisfy customers buying demands.
The customers characteristics when coming to supermarket:
Regular buyers: they may come several times a week and mostly live nearby
the supermarket. They are very loyal to the supermarket.
`
4
Those customers who buy sometimes: according to surveys, almost of them are
very busy with work and live far from the supermarkets, but they usually buy in
large orders.
Customers who are less likely to buy at the supermarket: most of them come for
a visit or entertainment. Some, however, come for purchase with a very big
order.
2.1.1.6 Model of consumers behavior

Figure 2.1: Stimulus-Responses model of Buyer Behavior
Marketers want to understand how the stimuli are changed into responses inside the
consumers black box, which has two parts. First, the buyers characteristics influence how
he or she perceives and reacts to the stimuli. Second, the buyers decision process itself
affects his or her behavior. We look first at buyer characteristics as they affect buyer
behavior and then discuss the buyer decision process.
2.1.2 Supermarket
Definition:
A supermarket, a large form of the traditional grocery store, is a self-service shop
offering a wide variety of food and household products, organized into aisles. It is larger in
size and has a wider selection than a traditional grocery store, but is smaller and more
limited in the range of merchandise than a hypermarket or big-box market.
Buyer responses
Product choice
Brand choice
Retail choice
Dealer choice
Purchase timing
Purchase amount
Purchase frequency
Buyers black box
Buyers decision
process
Affecting
Factors
- Need recognition
& Problem
awareness
- Information
Search
- Evaluation of
Alternatives
- Purchase
- Post-Purchase
Evaluation
- Culture
- Social
- Individual
- Psychology

Marketing stimuli
Product
Price
Place
Promotion
Other stimuli
Population
Economic
Culture
Social
Political
`
5
Features of supermarket:
A supermarket has many useful features to help with your shopping. Some of these
include:
Everything you need under one roof
Fresh and frozen items
Easy to navigate around
Car parking
Supermarkets are very useful when it comes to shopping, as everything that a family
may need is situated under one roof. Any food that is required is sold in supermarkets,
whether it is fresh or frozen. Fruit, vegetables, meat and fish can be purchased from the
same shop, and at the same time people can also purchase clothes, drinks, and even
entertainment items such as CDs and DVDsetc
The items for sale in supermarkets are placed on the shelves, in the aisles, in a simple
way, so that people can find the things they want to purchase. The variety of goods
available is huge, so people have more choice in a supermarket than they would in a corner
shop or newsagent.
Car parking is available at most supermarkets, and is normally free. When traveling
to individual shops for food it is difficult to park and you will have to pay in most places.
Because of the amount of stock that is purchased and sold by supermarkets, it is
possible for supermarkets to have offers on most of the time. Some items are reduced,
whilst others are available on a buy one get one free basis.
Supermarkets are laid out in a certain way, according to their brand. Everything in
the supermarket is uniform, and colors are the same throughout, even to the extent of own
brand goods that the supermarkets sell.
Staff members in the supermarkets are required to wear the corporate colors and the
uniform worn is the same for everyone who works at the store, with name badges and
position clearly on view for the public to see.
All supermarkets have a customer service desk, where complaints and returned goods
are dealt with.
`
6
2.1.3 Factors affecting consumers buying behavior

Figure 2.2: The basic factors affecting consumer behavior

2.1.3.1 Cultural
Culture
Culture is the most basic factor deciding a persons desires and behavior. A child
when growing up will accumulate a number of values, perceptions, preferences and
behavior through his or her family.
Subculture
Every culture has its branches which create more specific characteristics and the
level of integration with the society for its members. An individuals hopping behavior will
be affected by the characteristics of that individual's branching culture.
2.1.3.2 Social
Social class
Social classes are relatively homogeneous and stable parts of society, which are
hierarchically classified including members that have the same values, interests and
behavior.
Reference group
A persons reference group includes groups that directly (face to face) or indirectly
influence the person's attitude or behavior. Groups that have a direct impact on a person are
Cultural
Culture
Subculture

Personal
Age & life cycle
stage
Occupational
Economic
circumstance
Lifestyle
Personal & Self
concept

Psychological
Motivation
Perception
Learning
Beliefs &
Attitudes
Social
Social class
Reference
group
Family
Roles &
Status
Buyer
`
7
called the member groups. Some are the primary groups such as a family, friends,
neighbors and colleagues, in which the members have regular communication relations.
The supermarket should try to identify the reference groups of its target customers.
People are strongly influenced by their reference group in at least three ways. The
reference groups create conditions for an individual to approach new behavior and
lifestyles. These groups also affect a persons attitudes and self-concept because the person
often wants to integrate. These groups create the general standards and pressure to comply,
which can affect the persons selection of products and brands.
Family
A familys members are important reference group that has the most influence. We
can distinguish two families in a buyers life. The orientation family consists of the
person's parents. Therefore, even if the buyer is no longer in the relationship with his/her
parents, their influence to his/her behavior can still be very strong.
A more direct influence on buyers daily shopping behavior is their own family. As
studied for many years, a family is the most important organization of goods purchase in
society. The supermarkets should consider the role and relative influence of the husbands,
wives and children to the purchase of different products and services. This issue will vary a
lot in different countries and social classes.
Roles & Status
Customers often choose the products that can express their role and status in
society. Marketers are aware of the ability of expressing social status of a product and
brand. However, the status varies in social classes and geographical region.
2.1.3.3 Personal
Age & Life cycle stage
Peoples age and life directly affect their shopping locations and perception as well
as their own experiences of selecting a product.
There are three major periods of life: youth, middle age, old age. Peoples demands
in each are different; a product may not fit a certain age but be suitable for the others.
Customers criteria for selection of products also vary in each. For example, for people
under 25, the products they are interested in are mainly cosmetic, shampoos and fashion.
Normally they go to a supermarket for visit or relaxation and they are very fond of
promotions. For those who are married or parents, their interests are various but mainly
milk, confectionery and food that are good for their baby. Their daily demands for goods
`
8
are quite high. Therefore, items in the Supermarket should be various in types and designs,
especially ensure the quality, to be able to meet the needs of all ages.
Occupational
Occupation has great influence on the choice of consumers selection as well as
shopping frequency. The shopping time of people with busy work is different from free
ones, and mainly in evenings or on weekends. They usually buy a lot each time with a
large order. People with different careers have different shopping perception and criteria
for product selection. For instance, for a doctor, the products quality and health insurance
are the most important factors, and the price is after.
Economic circumstance
Customers choice of products is much influenced by their economic status. Their
income is usually reflected in the value of their purchase order each time and the money
needed to buy a product.
According to our study, for most people with high income, the price is no longer
important but the products quality. A rich man is unlikely to hesitate to buy a high-class
tea-set, according to some of the salesmans advice and recommendation, no matter how
much it costs. In the case, the important thing is customers care services.
Lifestyle
A persons lifestyle is showed through his/her acts, communication, concerns and
viewpoint. Consumers lifestyle relates to what they will buy and how they behave when
shopping. Each lifestyle requires different types of marketing.
For example, successful people are interested in luxury and reputing products; the
elderly, who are passive, nervous and have a limited budget, are careful and very loyal to
their favorite brands.
Thus, through buyers lifestyle, the Supermarket can find and sell the customers
preferred products, and use this as a way to segment the market.
Personal & Self concept
Personality is usually described through the persons self-confidence,
independence, stained, humbleness, sociality, and adaptability. It can also be expressed
through the persons communication, behavior, and consumption habits. Understanding
customers personality will enable to win their love and trust. Self-concept is an
individual's mental images of themselves. It is related to the personality of each person. So,
the Supermarket needs to understand the relationship between the customers self-concept
and products or services.
`
9
2.1.3.4 Psychological
A persons buying behavior are further influenced by four major psychological
factors: motivation, perception, learning, and beliefs and attitudes.
Motivation
Need is psychological characteristic, and things which people require to survive and
develop. At any certain time, people also have a lot of needs. Some needs have biological
origin. Other needs are from psychological origin. At the different times, people are
motivated by different needs. They will try their best to satisfy the first and most important
needs. When one of the important needs is satisfied, it will be no longer current motivation,
and they try again their best to satisfy the next important need. Foreseeing this means to
understand and know which of consumers needs to satisfy them.
Maslows theory of motivation:
The theory of A Maslow explains the motivation of the needs corresponding to
different times of different individuals.
Main contents of the theory:
There are a lot of needs which exist in an individual. They compete with each other
in satisfying. The individuals will arrange in a priority order for these needs
following important level to meet them.
People will try their best to satisfy the most important need. The satisfied need is no
longer motivated role, and people will change to the next need.
Theory of A Maslow helps marketers understand that there are different products
and marketing activities, corresponding to the specific conditions of the market and
society.
`
10

Figure 2.3: Maslows Hierarchy of Needs
Nowadays, life has changed a lot comparison with the past; consumers are more
and more knowledgeable. They have moved gradually from purchasing at traditional
markets, small shops to supermarkets. This is not only because goods in the supermarkets
are diversity, reasonable price, guaranteed cargo, clean and modern space, but also there is
a motivated factor when we purchase products at supermarkets not disturbed, not all
possible options and able to select products comfortably. This means, they wanted to be
respected. This is considered to be difference between supermarket and traditional market.
It makes a motivation to change strongly the habits of the consumer.
Perception
A person is always a motivation ready to act. Will that person perform following
manner in the fact? This is also impacted directly by persons knowledge about that
situation.
Self-actualization
Needs
(Self-development
and realization)

Esteem needs
(Self-Esteem, recognition, status)
Social needs
(Sense of belonging, love)
Safety needs
(Security, protection)

Physiological needs
(Hunger, Thirst)
`
11
Knowledge is a process through selection, organization, and explanation
information of the whole world created meaningful picture about surrounding world.
Knowledge depends on not only physical factors, but also relationships of factors to the
environment and a lot of things in that individual.
Learning
When someone acts, he or she knows about knowledge which describes changes in
action of the physical person. It has origin from experience. Almost actions of people are
cognized. According to theorists, a persons knowledge is created through interaction of
motivation, stimulus, mirrors, and consolidated reaction.
Beliefs & Attitudes
Beliefs: Through doing and learning, people acquire beliefs and attitudes. These,
in turn, influence their buying behavior. A belief is a descriptive thought that a person has
about something. Beliefs may be based on real knowledge, opinion, or faith and may or
may not carry an emotional charge. Marketers are interested in the beliefs that people
formulate about specific products and services because these beliefs make up product and
brand images that affect buying behavior. If some of the beliefs are wrong and prevent
purchase, the marketer will want to launch a campaign to correct them.
Attitudes: People have attitudes regarding religion, politics, clothes, music, food,
and almost everything else. Attitude describes a persons relatively consistent evaluations,
feelings, and tendencies toward an object or idea. Attitudes put people into a frame of mind
of liking or disliking things, of moving toward or away from them. Attitudes are difficult
to change. A persons attitudes fit into a pattern; changing one attitude may require
difficult adjustments in many others. Thus, a company should usually try to fit its products
into existing attitudes rather than attempt to change attitudes.
2.1.4 The buying decision behavior
2.1.4.1 The roles in the buying decision behavior
With productions very easily to identify purchasers, such as: shavers are usually
men, women are choosing cosmetic, etc. However, some productions need to be selected
by a lot of people. Therefore, we can distinguish five roles of people in deciding purchase:
Advocate: The first person give idea to purchase a product or service.
Influential person: person has opinion or idea which influences in decision.
Undertaker: people decide all factors in purchasing decision, what should purchase,
what do you purchase, where do you purchase, etc.
`
12
Purchaser: people execute purchasing in the fact.
User: people consume or use products, services.
Marketers need identify factors because they contain consumers wishes to their
products and services. Thanks to this, they can control the marketing program tally.
2.1.4.2 The types of buying decision behavior
Based on the participating level of purchaser and different level among labels,
Assael divided into four types of procurement activities of the consumer.
Table 2.1: Four types of buying behavior
High Involvement Low Involvement
Significant differences
between brands
Complex Buying Behavior Variety Seeking Behavior
Few differences between
brands
Dissonance Reducing
Buying Behavior
Habitual Buying Behavior

Complex buying behavior
Consumer has complex purchase when they take part much in purchase and know
clearly big difference among labels. Consumer participates a lot in purchasing expensive
products which are little purchased, have much risk, and highly expressed effect.
Normally, consumer does not know about types of products and understand them much.
Purchaser will have to go away a learning process to make belief about product,
attribute, and then select carefully. People make marketing a product to need consumers to
take part in, understand action, take information, and evaluate. They should build strategies
to support purchaser learning about effects of the product, their relative information, and
assessment about relative characteristics of the enterprise label. They bring difference for
characteristics of the label.
Dissonance reducing buying behavior
Sometimes, consumers take part in a lot in procurement, but they find labels are not
very different between them. Participating is also because that good expensive, little
purchase, and a lot of risk. In this case, purchaser will go surrounding to see what are sold,
but purchase quickly because distinguish among labels is not very clear. They can react
following useful price or convenient procurement condition.
For example, purchasing carpet requires to take part much in decision because of
expensive thing. However, consumers can think that with a certain price, labels of carpet
`
13
are the same. After purchasing, they cannot satisfy with them because they feel about
characteristics or hear good words of other types of carpets. In this sample, consumer acted
firstly, then they believe, and finally they have some attributes.
Therefore, marketing information of the supermarket has to make belief and give
evaluations to help consumers feel assured with their selection.
Habitual buying behavior
Many products are purchased in the condition that has little participation of
consumer and is not big differences among labels. For example, in the case, purchasing
napkins: Consumers does not concern a lot about this product, when go to the supermarket
they buy old type because of their habits, not loyalty with product. They are ready to buy
another type if they do not find old type without seeing time, and they purchase product
passively because it is familiar with product through advertisement programs, not passing
normal steps: belief- attribute- action. Like that, procurement process is belief in label
which is formed following intellectuality that is received passively, the next action is
purchase, and the final step is assessment.
For products little purchaser takes part in and labels little different, people make
marketing to find that the least effect is using price and solutions to stimulate consuming
products because purchaser does not closely become fond of any label.
Variety-Seeking behavior
Some procurement situations, consumers take note little, but there are many
different labels. In this case, we often see consumers change labels many times. With
example about candy products the first time, user can through his or her belief with a
certain label to buy product, then use and assess it. However, they can comfortably select a
different label to find out diversity or another taste.
For this type of product, marketing strategy is different from labels which lead in
the market and subsidiary labels.
2.1.5 Researching buying decision process
Every consumer has the different ways to choose every product, some people learn
carefully about product information before giving decision, some people are ready to
purchase any type of product and it brings any label, etc. Like that, marketer can classify
the consumer following procurement ways. Enterprises need learn about process through
procurement decision of the consumer, the way that consumer accesses and makes
familiarly with product, how does their belief with product and their satisfaction with
product in which of level.
`
14

(Source: Philip Kotler, 2011)
Figure 2.4: The stages of the buying decision process
2.1.5.1 Need recognition & Problem awareness
Procurement process actually begins when consumers understand about their needs,
and consider gaining their wishes. Need begins from internal stimulus or outside; some
needs can be satisfied by purchase and consumption goods and services. Thus, to give
procurement decision, it has to begin from any need and it must be strong enough to
motivate people taking action meaning purchase. However, only consciousness about need
is not enough to create procurement. Consumer has many different needs and wishes, but
there is only certain time and money. Therefore, there are always competitions between
needs. The most necessary demand will be satisfied.
Marketers need learn and identify about stimulus which create consumers needs.
Thanks to this, using strategies to suggest and stimulate those needs, direct consumers
concern about their products.
2.1.5.2 Information search
After recognizing their needs, consumers will begin looking for information. Firstly,
they will learn about products and marks in the market. There are a lot of marks, but
consumer only concerns about some known marks. Consumers will begin selecting trade-
marks which they wish by their hobby and belief valuable, along with criterions.
The key concern of marketers is resources of the main information that consumers
look for and relatively affect of that resource the next procurement decision.
Those resources of information are divided into four groups:
Personal sources: family, friends, neighbors, acquaintances.
Commercial sources: advertising, salespeople, dealer Web sites, packaging,
displays.
Public sources: mass media, consumer rating organizations, Internet searches.
Experiential sources: handling, examining, using the product.
These resources of information change depending on types of products and
characteristics of purchaser. Generally, consumer receives the most information from
Need
recognition &
Problem
awareness

Information
Search

Evaluation
of
Alternatives

Purchase

Post-
Purchase
evaluation

`
15
commercial information, and this is held by marketers. However, the most effect is
individual information resource which has effect on decision of the consumer through
assessments.
2.1.5.3 Evaluation of alternatives
In the information managing process about received products, consumers will give
their final schemes. They mainly base on consciousness suitably for giving comments
about products. With every different consumer, he or she recognizes characteristics of the
product differently, and with every different type of product, consumer also evaluates
characteristics not similarly with each other.
Basing on the belief, they will identify the importance of attributes, which of
attributes meeting need, wish, and bringing effect will be high evaluated, as well as can
make criterion to compare to products of the other mark.
Evaluating the importance of the attributes also bases on information and
experience available. This means consumer has trend building their belief in the trade-
marks.
Marketers need take note these to make changing consumers knowledge, belief,
and evaluation with their products.
2.1.5.4 Purchase
In evaluation process, consumers formed themselves hobby with selected labels to
compare. Thanks to this, they plan to purchase their most favourite label. However,
procurement decision still depends on some outside factors interfering between purchase
intention and decision.
Procurement decision process still depends on many factors such as: attitude of
relative people, friends, colleagues, along with bad or good information and evaluation that
they give to consumer. If people disagree, at once, the consumer will consider again their
decision; and contrast, if people are favorites with the product, the consumer is supported
and confirmed their belief more.
This shows that from evaluating plans to purchasing always have a time and a lot of
changes in this time. Therefore, marketers need shorten this time by persuading,
promotional programs, advertising attribute quality to consumers decide to purchase product
sooner and better. After deciding purchase which of type of labels, the consumer will decide
purchasing time, place, seller, the way to move accounting, and other issues. Like that,
purchasing something launches series of other decisions which consumers have to think about.
`
16
Marketers need help the consumer to give these decisions quickly and effectively because this
help will make the consumer to give quick decisions and satisfy more.

Figure 2.5: Steps from the evaluation to buying decision stages
2.1.5.5 Post-Purchase evaluation
After purchasing products, marketers need concern about the way to use products
of consumers, and their satisfaction with them. The consumer always expects the belief of
products, and when that belief or any details, features of products meet or do not meet the
consumers expect, they will cause their satisfaction or dissatisfaction.
A phenomenon often happens after procurement is perceived instability. After a
long consideration and decision process, consumers will purchase following the best plan,
however, after purchasing, they again doubt about that. The perceived instability is queries
after buying of consumers. It appears from difficulties and procurement schemes. If
instability is not solved suitable, the consumer will do not feel satisfaction with selected
products, even they act well. This can cause returned pay product or find out more
information to reduce painfulness. In higher level, it can cause deleting products.
The instability is often high when:
High value procurement
The same between selection plans
The importance of purchase decision is large
Need
recognition
& Problem
awareness
Purchase
intention
Attitudes of
others
Unexpected
factors

Purchase
`
17
Therefore, marketers should concern about customers not only when they purchase, but
also take note after purchasing to customers believe quality product of the enterprise.
2.1.6 Thai Nguyen retail sale market
Thai Nguyen is one province in the North East of Vietnam, adjoining with Ha Noi
capital. Because convenient biological position Thai Nguyen becomes one social economic
center of the northern midland and mountainous. Communication is executed through rail,
road, river systems, and takes Thai Nguyen City to make the knob. Thai Nguyen City has
area of 189.705 km
2
, 256.346 thousands of people (1/ 2009), and population density of
1.287.95 people/ km
2
. With current population, it is also enough to make the retail sale
market at Thai Nguyen province more exciting. Now, in area of the City has had a lot of
supermarkets, shops, selected shops, retail sale shops, especially in big supermarkets such
as: Minh Cau, Har-pro, Dos mart which has meet a lot consumers needs. However,
business activities are still small and discontinuous. Therefore, in a business shop often
lack of goods which customer wants, it has not considered yet customers are the king,
service manner is not concerned in true level, and it has not made yet customers belief
with products of the enterprise.
Today, consumers have prominent characteristics; they spend a lot of time on
learning about content of advertisement and marketing programs to make sure that they do
not buy at an unfair price. They will continue learning about information in the
procurement decision process. Their belief about products and services is reduced, they
will actively look for companies and trade- marks which they believe to purchase and
satisfy their needs. Thus, enterprises need through advertisement messages and truthful and
opening marketing programs to take customers belief.
The price issue is not too sensitive as before, the importance is food safety.
Therefore, Supermarket business form will be the modern model developed in the future,
and selected as main procurement channel by consumer.
Inclusion, The potential retail market at Thai Nguyen City is also very big.
Consumers are more intelligent and health issue is being put at the leader. Supermarkets
trend will be a big opening trend to establish commercial centers.
2.2 Related empirical studies
Philip Kotler (1994), Four majors factors that influence consumer buyer
behavior
Showed that: Consumers buyer behavior and the resulting purchase decision are
strongly influenced by cultural, social, personal and psychological characteristics. An
`
18
understanding of the influence of these factors is essential for marketers in order to develop
suitable marketing mixes to appeal to the target customer.
The length of this decision process will vary. A consumer may not act in isolation in
the purchase, but rather may be influenced by any of several people in various roles. The
number of people involved in the buying decision increases with the level of involvement
and complexity of the buying decision behavior.
Other people often influence a consumers purchase decision. The marketer needs to
know which people are involved in the buying decision and what role each person plays, so
that marketing strategies can also be aimed at these people.
Nguyen Thi Gam (2009), Study on factors influencing purchasing behavior of
young consumers at ages 18 25 to clothing products in Thai Nguyen city.
Research finding: Understanding customer psychology and predicting their
potential needs are one of the important factors for success. Study on consumer behavior
helps companies to produce and sell products more quickly and effectively, particularly for
clothing products in Thai Nguyen. Our research findings showed that factors such as
fashionable design, diversified color, good materials and reasonable price are important
fact ors influencing buying decision of the young consumers at ages of 18 25.
Philip Kotler & Gary Armstrong (2011), Principle Marketing
Nguyen Thi Gam (2010), Customer Behavior, Thai Nguyen University
Publication
Showed that: Retail network in Vietnam is still inadequate and needs appropriate
policies of the Government to be more complete.
Joel B.Cohen & Dipankar Chakravarti (1990), Consumer Psychology.
Research finding: Recent research in consumer psychology has moved beyond a
replication style that substituted consumption stimuli for their counterparts in traditional
psychological paradigms (e.g. brand names in memory-interference studies and product
attributes in impression-formation research). This research has forged links between
underlying psychological processes and consumer behavior. The challenge for future
research is to develop broader and more realistic specifications of the contextual factors
that constrain and mediate consumer behavior. We hope that the next review of consumer
psychology will report further progress in this direction.

`
19
2.3 Theoretical framework

Figure 2.6: Hypothesis model
Influence of friends and
colleagues on buying
decision
Influence of the family on
buying decision
Influence of economic
condition on buying
decision
Influence of jobs on buying
decision
Influence of status in the
family on buying decision
Influence of product quality
on buying decision
Influence of product price
on buying decision
Influence of personal
experience on buying
decision
Shopping
frequency at
supermarket
Shopping at
Minh Cau
supermarket
`
20
Hypotheses
H
1
There is a positive relationship between influence of friends and colleagues on
buying decision with shopping frequency at the supermarket.
H
2
There is a positive relationship between influences of the family on buying
decision with shopping frequency at the supermarket.
H
3
There is a positive relationship between influences of status in the family on
H
4
There is a positive relationship between influences of jobs on buying decision
with shopping frequency at the supermarket.

H
5
There is a positive relationship between influences of economic condition on
H
6
There is a positive relationship between influences of product quality on buying
H
7
There is a positive relationship between influences of product price on buying
H
8
There is a positive relationship between influences of personal experience on
H
9
There is a positive relationship between influence of friends and colleagues on
buying decision, influence of the family on buying decision, influence of status in the family
on buying decision, influence of jobs on buying decision, influence of economic condition
on buying decision, influence of product quality on buying decision, influence of product
price on buying decision and influence of personal experience on buying decision with
shopping at Minh Cau supermarket.

`
21
Chapter 3: RESEARCH METHODOLOGY

3.1 Analytical framework
3.1.1 Analytical model

Figure 3.1: Researching factors affecting consumers buying behavior
Survey and interview customer in
Minh Cau Super-Market

Formulation of the problem and
the research questions

Determine the factors affecting
consumers buying behavior

Finding theoretical foundation
and formulation theoretical
framework

Design questionnaire

Processing and analysis data

Research results and conclusion

Analysis secondary data:
- Collected through the statement of Minh
Cau Super-Market, on the Website, the
newspapers and magazines.
- Related empirical studies

Sample size = 120

Using SPSS software
Descriptive statistics
Reliability analysis
Regression
Using Eview software
Logit analysis

R
e
s
e
a
r
c
h

F
a
c
t
o
r
s

A
f
f
e
c
t
i
n
g

C
o
n
s
u
m
e
r
s

B
u
y
i
n
g

B
e
h
a
v
i
o
r

`
22
3.1.2. Description and measurement of variables
The actual purchase decision is part of a much larger buying process and affected
by factors. Marketers want to be involved throughout the entire buyer decision process.
Independent variables:
Influence of friends and colleagues on buying decision
1. No effective 3. Normal 5. Very effective
2. Little effective 4. Effective
Influence of the family on buying decision
Influence of status in the family on buying decision
1. Once/Month 3. Three times/Month
2. Twice 4. Over three times/Month
Influence of jobs on buying decision
Influence of economic condition on buying decision
Influence of product quality on buying decision
Influence of product price on buying decision
Influence of personal experience on buying decision
Dependent variables:
Shopping frequency at the supermarket
Shopping at Minh Cau supermarket
1. Yes 2. No
`
23
3.2 Data collection
3.2.1 Primary data
Subject of study
Consumers as regular buyer at Minh Cau supermarket chains.
Location of study
Minh Cau Super Market chains which are located in Minh Cau Street and Mo Bach
Street.
Duration of study
The survey was conducted in March 2013.
Sample Size
Because the number of customers is not fixed and based on the information from
Sale department of Minh Cau supermarket that The number of customers
shopping at Minh Cau supermarket was in ranged from 4000 8000
person/Month. Due to time consuming and difficulties to encourage customers
during their shopping at the Minh Cau supermarket, we were able to randomly
collect data from 120 customers for further analysis.
Sample selection
Sample is selected randomly.
Criteria of sample selection
In order to get better evaluation of the supermarket, this study selected respondents who
regularly shopping at Minh Cau supermarket. They should be clear and well understand
supermarket operation, quality of goods and services and marketing programs.
Content of questionnaire
Interviewees information
Influence Factors
Assessment criteria
Process of survey:
Step 1 : Pre-test of the questionnaires
With sample size: 120
Step 2 : Adjusting the questionnaires
Step 3 : Performing a official survey
3.2.2 Secondary data
Collected from Minh Cau supermarkets reports of results, and resources
announced on the Website, in magazines and newspapers, professional publications.
3.2.3 Tool of analysis
SPSS software and Eview software were used to analysis data.
3.3 Data analysis
Descriptive methods
`
24
The method of descriptive statistics for synthesis, processing and transforming data
into information: the responses were evaluated and used to compute descriptive
statistics (frequency, mean, standard deviation, etc.) for each of the explained variables.
These data were present by:
Tables
Charts
Numbers
Reliability analysis:
The reliability of the scale was used to test the reliability of the data. Cronbachs
Alpha coefficients were used to test the data. Many researchers agree that the
Cronbachs Alpha from 0.8 to near 1, the measurement scale as well, from 0.6 to 0.8 is
used.
Regression
Regression was used to define effect of each independent variable with dependent
variable.
The following multivariate regression equation was used:
Y

= B
0
+ B
1
X
1
+ B
2
X
2
+ B
3
X
3
+ B
4
X
4
+ B
5
X
5
+ B
6
X
6
+ B
7
X
7
+ B
8
X
8
+
Of which: Y: Shopping frequency at the supermarket

X
1:
X
2
: Influence of the family on buying decision
X
3:
X
4
: Influence of jobs on buying decision (1)
X
5
: Influence of economic condition on buying decision
X
6
: Influence of product quality on buying decision
X
7
: Influence of product price on buying decision
X
8
: Influence of personal experience on buying decision

: Standard error
Logit analysis
Logit analysis was used to measures the relationship between a categorical
dependent variable and one or more independent variables, which are usually (but not
necessarily) continuous, by using probability scores as the predicted values of the
dependent variable.
Y = B
0
+ B
1
X
1
+ B
2
X
2
+ B
3
X
3
+ B
4
X
4
+ B
5
X
5
+ B
6
X
6
+ B
7
X
7
+ B
8
X
8
+
Of which: Y: Shopping at Minh Cau supermarket
X
1:
X
2
: Influence of the family on buying decision
X
3:
X
4
: Influence of jobs on buying decision (2)
X
5
: Influence of economic condition on buying decision
X
6
: Influence of product quality on buying decision
`
25
X
7
: Influence of product price on buying decision
X
8
: Influence of personal experience on buying decision

: Standard error
Chapter 4: RESEARCH FINDINGS
4.1 Characteristics of the Minh Cau Supermarket
- Name : Minh Cau Super Market
- International name : Minh Cau Mart
- Address : Minh Cau supermarket, 1 Phan Dinh Phung Street - Thai Nguyen City
- Phone : 0280 858 213
- Website: www.httfood.com.vn
- Established : 30/4/2007
- Management Company : Thai Nguyen Food Join Stock Company
4.1.1 Organization structure of Minh Cau supermarket
Minh Cau supermarket is organized and managed closely following one system
from above to under, including departments: managing director, vice president, business
division, administration division- general office, accounting department, sales department,
and store department and protection group. Organization structure of the supermarket is
presented in the following figure.

(Source: Administrative department)
Figure 4.1: Organization structure of Minh Cau supermarket
4.1.2 Function, assignment and business sector of the supermarket
Minh Cau supermarket was found in the city contributed to give annually retail sale
level increasing, and meeting consumers needs following modern cultural trend and
suitably for strong economic development situation of the province.
Supermarket Director
Business
department
Accountant
department
Security
department
Store
department
Administrativ
e department
Sale
department
Vice Director
`
26
For consumer, purchasing products in supermarkets will be safer. Although
products are various, they are tested of functional agencies. Goods at the supermarkets are
ensured criterions: clear origin, quality, time of using, legal good, etc
Minh Cau supermarket is carried on business, stored to perform wholesale, retail
sale types of goods about food quality, consumption goods, equipment, household
appliances, as well as distribute above types of goods.
4.1.3 Resources at Minh Cau supermarket
4.1.3.1 Financial resource
Financial resource of Minh Cau super market is established from Thai Nguyen food
joint stock Company. After supermarket carrying on business stably, financial resources
are opened; purchasing equipments is responsibility of Minh Cau supermarket.
4.1.3.2 Facilities and technique
From when established up to now, Minh Cau supermarket has had changes about
business area from 881m
2
to 1000m
2
, along with staffs division and department systems
are improved modern. In supermarket, there are also refrigerator system, freeze things,
camera system, air- condition system, etc. they make Minh Cau supermarket to become a
modern procurement place, and make diversity lifes consumer.
In 2012, opened one more branch in no 88, Duong Tu Minh Road, Hoang Van Thu
Ward, Thai Nguyen City to expand market share in the retail sale market, and service
consumers needs with the first expense about 8 billion VND and nearly 5 thousands of
types of goods.
4.1.3.3 Human resource
Any business forms, people are the most important factor. For supermarket, sale
force is representation for supermarket before customer. Therefore, business effect of
supermarket depends a lot on service attitude of sale person and accounting person.
Table 4.1: Minh Cau supermarkets rate of labors of years

(Source: Administrative department)
Year
2010 2011 2012
Quantity Rate Quantity Rate Quantity Rate
Staff 33 68,75 30 55,56 55 65,47
Officer 15 31,25 24 44,44 29 34,53
Total 48 54 84
`
27
The number of labors of supermarket has increased through years. In 2010, the
number of labors is only 48 people, but it increased more 6 people, and the whole labor is
up to 54 people. The increasing number of labors in 2012 because supermarket expanded
business place, that is Minh Cau supermarket II at no 88, Duong Tu Minh Road, Hoang
Van Thu Ward, Thai Nguyen City. In 2012, the number of labors in creased more 30
people. This rate increased 62, 5% comparison with 2010.
4.1.4 Loyal customers
Before strong competition with other supermarkets in the area, over years Minh
Cau supermarket made itself a number of loyal customers through improving service
quality and customer care.
Loyal customers are regular consumers purchase at the supermarket. That is the
main purchasing force of the supermarket, and is people who evaluate the most truthful
about activities of supermarket. Until 2012, Supermarket has had 2848 loyal customers,
and still continues increasing annually.
4.1.5 The target market
Customers come to Minh Cau supermarket assembles mainly near location of the
supermarket, such as: Phan Dinh Phung Ward, Hoang Van Thu Ward, and areas
surrounding Minh Cau I supermarket. For Minh Cau II supermarket has just opened and
carried on business, most of customers come from Hoang Van Thu Ward, Mo Bach Ward,
Quan Trieu Ward, Nong Lam, and surrounding areas. Although focusing on groups of
consumers who have the average income, supermarket still meets a few customers who
have low income with identification structure as follow:

(Source: Business department, 2011)
Chart 4.1: Minh Cau supermarkets customer group rate
`
28
85% customer has the average income. Because of the average income, they want
low price or acceptable price. They mainly purchase products to service for daily needs,
such as: food, household appliances, soap, dentifrice, etc. Besides, supermarket also
services some customers who have high and low income, 10% customers has high income,
and only 5% customers has low income. Because the peoples standard of living increases
higher and higher, supermarket has policy to open types of goods for group of customers
who has high income in the future to receive higher income and profit.
Inclusion, the target customer is people in the radius 10km2 and there is average
income, a few customers have low and high income. They are customers who Minh Cau
supermarket wants to tend mainly. In the near future, supermarket has policies to increase
group of customers who have high income.
4.2 Status of buying behavior of the consumer at Minh Cau supermarket
Through researching and survey in super market Minh Cau, bring an overview of
the factors affecting the buying decisions of consumers.
4.2.1 Characteristics of study subject
4.2.1.1 Gender
Table 4.2: Gender rate of customer

The number of people taking part in procurement activities at Minh Cau
supermarket is quite large and takes place regularly. Basing on researching results, we
want to learn about the rate between men and women in the whole selected 120 samples.

Frequency Percent Valid Percent Cumulative Percent

Male 32 26.7 26.7 26.7
Female 88 73.3 73.3 100.0
Total 120 100.0 100.0
`
29

Chart 4.2: Gender rate of customer
Through a sample survey with 120 customers coming to the supermarket, in which
88 people were women accounted for 73.3% of customers to the supermarket, 26.7%
customers is men. This explains that female customers are main homemaker in the family,
and they come to the supermarket more than men, because it has many types of goods to
service the familys daily life, and they often concern about food, household appliances,
cosmetic, etc
4.2.1.2 Age
With the number of customers and the rate of gender like that, some things which
we received researching results about age of customers purchasing at Minh Cau
supermarket.
Table 4.3: Age of customer
Below 23 10 8.3 8.3 8.3
From 24 - 35 55 45.8 45.8 54.2
From 36 - 50 42 35.0 35.0 89.2
Over 50 13 10.8 10.8 100.0
Total 120 100.0 100.0

`
30

Chart 4.3: Age of customer

Group of female customers is also regular consumers of the supermarket.
Customers come here mainly to purchase daily life things for family, most of the
purchasers are people who got married, specifically in 120 selected customers to survey,
there were 45.8% of customers aged above 35 years and 45.8% from 24 to 35 years, this
age group are married or about to get married. At this age, needs about necessary types of
goods for family activities are very large.
4.2.1.3 Income
Income is an important factor which directly impacts on ability and buying decision
of the consumer when they come to supermarket. Through investigation, we want to learn
about regular customers coming to supermarket, which of level is their income?
Table 4.4: I ncome of customer

Bellow 4 000 000 VND 52 43.3 43.3 43.3
From 4 000 000 8 000 000 VND 49 40.8 40.8 84.2
From 8 000 000 - 12 000 000 VND 14 11.7 11.7 95.8
Over 12 000 000 VND 5 4.2 4.2 100.0
Total 120 100.0 100.0
`
31

Chart 4.4: I ncome of customer

Looking at the inome chart and through statistic table, we can see the number of
customers who has the average income below 4 million accounting for 43.33% meaning 52
people in the total 120 surveyed customers, and in quite level is 40.83% from 4 to 8
million. This group accounts for the majority of customers purchasing at Minh Cau
supermarket.
The number of people has income from 8 to 12 million and above 12 million
accounting for 15.84%, this is group of high income customers who have stable job and
income.
Generally, we can see that income level of customers who going to the supermarket
mainly quite average income which accounts for the big rate. They recognize and have
needs about modern shopping place. This says that income level of people in the area of
Thai Nguyen City is quite high. Supermarket business form will also continue developing
in the future.
4.2.1.4 The size of households
With received investigation figures, we want to learn about customers of Minh Cau
supermarket, and how does their size of households?
Table 4.5: The size of households


From 1 - 2 person 15 12.5 12.5 12.5
From 3 - 4 person 76 63.3 63.3 75.8
`
32
Over 4 person 29 24.2 24.2 100.0
Total 120 100.0 100.0

Chart 4.5: The size of households
Household scale from 3 to 4 people is the highest percentage of 63.33%, this is
reasonable due to 45.83% of consumers aged from 24 to 35 years old, and 35% of
customers aged from 36 to 50 years old. Up to 12.5% of households have scale from 1 to 2
people; almost people aged from above 50, their children had stable job and personal life.
Some people below 23 years old, they have not got married yet, live far away their home
but near supermarket. There are 24.17% of households with more than 4 people and they
scattered in all ages.
4.2.2 Status of buying behavior of the consumer at Minh Cau supermarket
4.2.2.1 People regularly purchase at the supermarket
Group of customer is main regular purchaser in the family accounting for 56.7%
meaning 68 people in the total 120 surveyed customers. This group of customer is subjects
who regularly come to the supermarket to purchase and service daily life needs of the
family. They play important role in contributing to the supermarkets income.

Table 4.6: People regularly purchase at the supermarket
Parents 12 10.0 10.0 10.0
Husband/Wife 24 20.0 20.0 30.0
Children 11 9.2 9.2 39.2
`
33
Yourselves 68 56.7 56.7 95.8
Brother/Sister 5 4.2 4.2 100.0
Total 120 100.0 100.0

Chart 4.6: People regularly purchase at the supermarket
There is 20% of another regular customer who is husband or wife of surveyed
person, 10% of father or mother, and 13.34% of other members in the family, such as:
children or young and old brother or sister.
4.2.2.2 Shopping frequency at the supermarket
According to accounting result, we see balance between groups of customers and
frequency going to the supermarket. We see that frequency of customer going more 3
times in one month; it is accounting the highest rate of 30%. This is loyal customers. They
have the biggest frequency of going to the supermarket and account the highest rate %.

Table 4.7: Shopping frequency at the supermarket
Once/Month 25 20.8 20.8 20.8
Twice/Month 31 25.8 25.8 46.7
`
34

Chart 4.7: Shopping frequency at the supermarket

Groups of customers have frequency < 3 times, which have the near same rates.
This is group of customer who are not very a lot of procurement needs at the supermarket.
They go to supermarket with quite low frequency. They come here mainly to buy with the
big number of products using a long time, or only look at the supermarket. Supermarket
needs have suitable policies to excite the consumption in this group of customer.
4.2.2.3 Income and shopping frequency at the supermarket
We found that groups of customers with income below 4 million/Month accounted
for the largest number of samples 43.33% above the total 120 people , and group of
customer with quite income from 4 to 8 million/Month accounted for 40.83%, in which 24
people in both two groups to supermarket with frequency above 3 times/ month. They are
regular customers purchasing at the supermarket. This shows that goods in Minh Cau the
supermarket meet well shopping needs of the majority of population in area when the
average income is not also very high.
We can include that procurement frequency does not depend on a lot customers
income.
Table 4.8: Effective of income to shopping frequency
Three times/Month 28 23.3 23.3 70.0
Over three times/Month 36 30.0 30.0 100.0
Total 120 100.0 100.0
Procurement frequency Total
`
35

However, we can be seen from above table, a limitation of Minh Cau supermarket
that is subject with income > 8 million/Month not too much shopping needs here. That
shows that Minh Cau supermarket has not really appealed to customers with the high
income. Maybe, because types of goods do not meet their tastes and needs, or due to Minh
Cau supermarket also brings ordinary nature, yet provides luxury services and goods to
meet this subject. These are customers who need to be concerned more specially by the
supermarket. When we stimulate their procurement needs, they will bring large revenues.
Income
Once/Month Twice/Month
Three
times/Month
Over three
times/Month
Bellow 4 000 000 VND 11 20 8 13 52
From 4 000 000 - 8 000 000
VND
10 9 16 14 49
From 8 000 000 - 12 000
000 VND
2 2 3 7 14
Over 12 000 000 VND 2 0 1 2 5
Total 25 31 28 36 120
`
36
4.2.2.4 Gender and shopping frequency at the supermarket
From investigation result of procurement frequency, we can see that group of
customer with three times/Month above accounted for 53.3%. We want to base on this
result to learn about gender of this group of customer.
Table 4.9: Effective of gender to shopping frequency

Chart 4.8: Effective of gender to shopping frequency

Result shows that group of customer with above 3 times/Month shopping at Minh
Cau supermarket, in which the female rate of 45% in the whole selected 120 customers to
investigate, male is 8.34%.
Gender
Total Procurement frequency Male Female
Once/Month 13 12 25
Twice/Month 9 22 31
Three times/Month 5 23 28
Over three times/Month 5 31 36
Total 32 88 120
`
37
4.2.2.5 Age and shopping frequency at the supermarket.
With investigation result of frequency and age of customers like that, we still has
not yet had detail review of every group of customers age purchasing at the supermarket
with different frequencies, and below result will express about that.
Table 4.10: Effective of age to procurement frequency
Age
Total Procurement frequency Below 23 From 24 - 35 From 36 - 50 Over 50
Once/Month 2 8 11 4 25
Twice/Month 4 15 7 5 31
Three times/Month 2 12 13 1 28
Over three times/Month 2 20 11 3 36
Total 10 55 42 13 120

The result shows that groups of customers shopping at the supermarket with
frequency from above 3 times/ month, most of them aged from 24 to 50 years old, in which
the most age is from 24 to 35 years old accounted for 32 people. This is age group has the
largest frequency because they have just got married and a lot of procurement needs to
service their home.
4.2.2.6 People purchased at Minh Cau supermarket
In the whole surveyed 120 people, most of customers are familiar and regular with
the supermarket, but some customers are the first time buying at here, through the practical
investigation we want to determine the rate between these two types of customers.
Table 4.11: Rate of people purchased at Minh Cau supermarket


Yes 117 97.5 97.5 97.5
No 3 2.5 2.5 100.0
Total 120 100.0 100.0
`
38
Chart 4.9: Rate of people purchased at Minh Cau supermarket
In the number of 120 people, only 3 people have never purchased at Minh Cau
supermarket before. 170 people purchased and still continue procurement at here. This
shows that some customers know and understand about Minh Cau supermarket, although
this number can be a few or a lot of people.
4.2.2.7 Regular buying frequency at Minh Cau supermarket
Many consumers know and take part in purchasing at Minh Cau supermarket, but
their regular procurement frequency level is not the same, basing on investigated figures
we want to statistic shopping level of customers.
Table 4.12: Regular buying frequency at Minh Cau supermarket

Rarely 8 6.7 6.7 6.7
Very few 17 14.2 14.2 20.8
Normaly 52 43.3 43.3 64.2
Regularly 32 26.7 26.7 90.8
Too often 11 9.2 9.2 100.0
Total 120 100.0 100.0
`
39

Chart 4.10: Regular buying frequency at Minh Cau supermarket
43.33% of customers with the normal procurement level; they only come to the
supermarket with the rather high frequency from 1 to 3 times/month. 26.67% of customers
with regular frequency, and 9.17% of customers corresponding to customers with high
regular frequency above 3 times/month; thanks to this, we see that supermarket must try its
best more to attract consumers and increase their procurement participating level with
higher frequency.
4.2.2.8 Shopping needs before coming to Minh Cau supermarket
Customer frequency comes to the supermarket quite high and with various needs,
from surveyed result we want to learn about consumers shopping needs before coming to
the supermarket.
Table 4.13: Shopping needs before coming to Minh Cau supermarket
Yes 105 87.5 87.5 87.5
No 15 12.5 12.5 100.0
Total 120 100.0 100.0

Basing on chart, we can see majority of customers identified their needs, such as
what do they buy, where do they buy, how do they buy? Before they come to Minh Cau
supermarket. Specifically, 87.5% of people answered that before coming to the
supermarket, they had their personal needs.

`
40

Chart 4.11: Shopping needs before coming to Minh Cau supermarket

12.5% of customers remaining is coming to the supermarket with object seeing
products, enjoying atmosphere, or only to travel, then they have shopping need. Because
Minh Cau supermarket is located in the crowded people center area, households and
individuals come to Minh Cau supermarket with entertainment object.
4.2.2.9 Shopping reason of consumers when come to Minh Cau supermarket
From personal procurement needs, customers come to Minh Cau supermarket to
purchase any products and outside factors impact on their selection, they base on these
reasons to give procurement decision.
Table 4.14: Shopping reason of consumers when come to Minh Cau supermarket

Good information about product 25 20.8 20.8 20.8
Reasonable prices 33 27.5 27.5 48.3
Show casing beautiful goods 15 12.5 12.5 60.8
Attractive promotion 12 10.0 10.0 70.8
Quick payment 17 14.2 14.2 85.0
Enthusiastic staff 9 7.5 7.5 92.5
The atmosphere in supermarket 9 7.5 7.5 100.0
Total 120 100.0 100.0
`
41

Chart 4.12: Shopping reason of consumers when come to Minh Cau supermarket

Through above chart, we can evaluate quality as well as product price at Minh Cau
supermarket quite good and suitably with consumers expectation and wishes. Expressing
through 20.83% and 27.5% of customers answered that their shopping reason is because of
receiving good information and suitable price of product.
4.2.2.10 Information source about products of consumer
Consumer can look for information about products or supermarket from different
resources, such as: relatives, friends, and colleague, advertisement programs, television, radio,
newspaper or from assistant programs, specifically in boxes of products, etc. Through survey
process, we want to learn about information resources which consumers can be access.
We can see that most of consumers looking for product information from friends
and colleagues with the rate of 36.7 %. This is close people in their life; they can easily
share experiences and understanding about products with each other when they purchased
goods from Minh Cau supermarket. They also take information from packing of the
product with 21.7%, and from advertisement programs on the television with 17, 5%.
Table 4.15: I nformation source of consumer about products

Friends, family, colleges 44 36.7 36.7 36.7
Television, magazines, newspapers 21 17.5 17.5 54.2
Sponsorship programs 6 5.0 5.0 59.2
Seller 14 11.7 11.7 70.8
On goods packaging 26 21.7 21.7 92.5
`
42

Chart 4.13: I nformation source of consumer about products
Assistant programs execute marketing for Minh Cau supermarket poorly. This
shows that most of customers can exploit information about products from assistant
programs. By nature, Minh Cau supermarket has few assistant activities, only 5% of
customers answered that they take information from assistant programs of the supermarket.
4.2.2.11 Type of products is bought the most by consumer at Minh Cau supermarket
Most of customers come to Minh Cau supermarket concern about two main types
of goods to service familys daily activities needs; they are foods and household
appliances. From surveyed figures, there are 30.8% of customers with concern about foods,
and 29.2% of customers with concern about household appliances. Now, for these two
types of goods, supermarket has very a lot of selection for consumers and meets needs.
Table 4.16: Type of product is bought the most by consumer at Minh Cau supermarket

Food 37 30.8 30.8 30.8
Chemical products 19 15.8 15.8 46.7
Houseware 35 29.2 29.2 75.8
Fashion 10 8.3 8.3 84.2
Other 19 15.8 15.8 100.0
Other 9 7.5 7.5 100.0
Total 120 100.0 100.0
`
43

Food 37 30.8 30.8 30.8
Chemical products 19 15.8 15.8 46.7
Houseware 35 29.2 29.2 75.8
Fashion 10 8.3 8.3 84.2
Other 19 15.8 15.8 100.0
Total 120 100.0 100.0

Chart 4.14: Type of products is bought the most by consumer at Minh Cau supermarket
Some consumers concern about different types of goods, cosmetic products are a
bit lower with 15.83%. This type of good is concerned by most of women because of needs
about making beauty and using goods quite highly. Types of goods such as fashion or
different goods have not yet attracted consumers because they have not yet highly
evaluated these types of goods in the supermarket. In the future, Minh Cau supermarket
needs focus more on developing models, types, and quality of above products because that
is also a big profit of it, when the standard of consumers living has been improved, and
their needs with all types of goods are more and more.
4.2.2.12 Gender and buying products at Minh Cau supermarket
Basing on concerned types of goods in the supermarket, we want to identify how
does gender affect goods which customers concern in Minh Cau supermarket?
Table 4.17: Gender and buying products at Minh Cau supermarket

`
44
78.3%
21.7%
Yes No

Type of good is concerned at Minh Cau
supermarket Gender
Total Male Female
Food 8 29 37
Chemical products 6 13 19
Houseware 7 28 35
Fashion 0 10 10
Other 11 8 19
Total 32 88 120

From surveyed result and comparison, they show that women often concern about
foods with 29 people in the whole 120 surveyed people. Cosmetic, household appliances
and women fashion are also concerned too by female gender. Some other goods, such as
electronics and technical things are concerned by men with 11 people.
4.2.2.13 Products offered by Minh Cau supermarket
In the current procurement trend, supermarkets are executing policy One stop
shopping. Meanwhile, Minh Cau supermarket has quite scale, thus, does it meet enough
products for consumer to select? This is one of the concerns of this researcher.
Table 4.18: Minh Cau supermarket has enough products for consumer to select?

Chart 4.15: Minh Cau supermarket has enough products for consumer to select?
Yes 94 78.3 78.3 78.3
No 26 21.7 21.7 100.0
Total 120 100.0 100.0
`
45

Practical surveyed result shows 78.3% corresponding to 94 people evaluating the
number of products in the supermarket are diversity and enough products to select for their
needs. Remaining 21.7% evaluated that products of Minh Cau supermarket have not been
enough diversity for them to refer. The number 21.7% is not small, supermarket needs
expand and diverse types of products more for consumers who will have consumption
space with all selections meeting their needs.
4.2.2.14: Promotional program offered by Minh Cau supermarket
Currently, supermarket should apply a lot of promotional forms to attract
customers; Minh Cau supermarket executed some promotional policies. Which of current
promotional programs of Minh Cau supermarket is been the most interest by consumers?

Table 4.19: The promotional program is been the most interest by consumer
Surveyed result shows that 34.2% of customers like to be decreased price directly
in the bill, accounting for the big rate. Because customers can save clearly if they are
decreased amount of money. Psychology likes cash than other things, which makes
consumers like promotional form more. Next, promotion by products accounting for 25%,
and the discount folder is 20%. This can understand that customers prefer to decrease the
price by other products, but it is not high percentage as decreasing the price in the bills,
because promotional products can be products which they do not use.
Giving the mark is the form which customers are not really interested when only
7.5% of customers prefer this promotional type. This does not have effect on customers
who go to the supermarket with low frequency or do not have high shopping need. This
promotional program is suitable for customers who go to the supermarket with high
frequency and big need.

Direct discount on the invoice 41 34.2 34.2 34.2
Coupon 24 20.0 20.0 54.2
Promotion by bundled products 30 25.0 25.0 79.2
Lucky draw 11 9.2 9.2 88.3
Bonus point 9 7.5 7.5 95.8
Other 5 4.2 4.2 100.0
Total 120 100.0 100.0
`
46

Chart 4.16: The promotional program is been the most interest by consumer
4.2.2.15: The most satisfactory service at Minh Cau supermarket
Now, at Minh Cau supermarket there are a lot of services to support customers
feeling the most convenient and comfortable in shopping process, to save money and time.
Thanks to this, we want to learn about customers satisfaction which of services is satisfied
the most by customers in the supermarket.
Table 4.20: The most satisfactory service at Minh Cau supermarket
Warranty services 28 23.3 23.3 23.3
Transport service 19 15.8 15.8 39.2
Consulting services 33 27.5 27.5 66.7
Promotions 40 33.3 33.3 100.0
Total 120 100.0 100.0

The rate of customers who satisfy with guarantee service is 23.33%, promotional
service is 33.33%, and guidance service is 27.5% which accounts for big satisfaction of
customers with services at the supermarket. This shows that almost services of the
supermarket meets quite good for consumers needs, as well as brings comfort about
information, promotional programs, award after sales for consumers. This is also expressed
through unequal level not too big between customers satisfaction with services.
`
47

Chart 4.17: The most satisfactory service at Minh Cau supermarket
The supermarket needs try its best more in the diversity of services to bring
consumers all necessary support in their shopping process, as well as superlative
satisfaction with all services.
`
48
4.2.2.16: Factors effecting consumer purchase
Consumers procurement decision is impacted a lot by factors, such as price,
quality of product, trade- mark, packing, and promotional form. For factor, every consumer
has different priority level to decide to purchase products. Through this study, we want to
identify factor which the consumer will be the most priority when they select products.
Table 4.21: The priority level for factors when consumers purchase

There is 85% of people answered that they are the most priority for price and
product quality, in which 48.3% for price, other factors are behind. For this group of
customer, their income is the average level, firstly they concern about price before
purchasing.
37.5% of customers answered that they put quality in the leader of priority with
their shopping. For this group of customer, price or other factors such as: trade- mark or
packing and promotion do not impact on their procurement decision by evaluating about
product quality. They have income quite good, and they are not income which causes
difficulty in their purchasing.
Group of customer respect trade- mark accounting for 10%, for this group, the
trade- mark is prerequisite condition to evaluate about their products, little concern about
price or quality because they think that products have trade-mark, they will have the right
quality and price with their expectation.
Only 4.2% of customers concern about promotional factor, they are people who
like promotional programs and do not demand high about remaining factors.

Responses
Percent of Cases Factors N Percent
Price 58 48.3% 48.3%
Quality products 45 37.5% 37.5%
Brand 12 10.0% 10.0%
Promotions 5 4.2% 4.2%
Total 120 100.0% 100.0%
`
49
With packing factor, there is not any customer who considers the most priority to
purchase products; consumers often arrange this factor behind other factors, such as: price,
quality, trade- mark, and promotion.
4.2.3 Assessment of criterions at Minh Cau supermarket
4.2.3.1 Product quality
Nowadays, the issue of product quality is taken notions and demanded by
consumers specially. Therefore, we want to learn how do consumers evaluate about the
product quality at Minh Cau supermarket?
Table 4.22: Product quality

There are not customers evaluating badly about the product quality, most of them
agree to the quality of products in normal level of 49.2% and good level of 45.8%. Thanks
to this, we can see the number of people evaluating in normal level which still remains
very highly. Supermarket needs improve the issue of product quality more to change
assessment into well and very well.
4.2.3.2 Product price
With competitive pressure from competitors, price is an important factor which
brings profit for supermarket. However, types of goods in Minh Cau supermarket are
evaluated in which of level, and is it suitable? This is a matter need to be concerned.
Table 4.23: Product price
Normal 59 49.2 49.2 49.2
Good 55 45.8 45.8 95.0
Very good 6 5.0 5.0 100.0
Total 120 100.0 100.0
Bad 4 3.3 3.3 3.3
Normal 56 46.7 46.7 50.0
Good 51 42.5 42.5 92.5
Very good 9 7.5 7.5 100.0
`
50

As well as product quality, criterion of product price at Minh Cau supermarket is
evaluated in normal level of 46.7% and good level of 42.5%, in balanced level by
consumer. Price policy of Minh Cau supermarket has not yet been the best with
consumers feeling. There is only 7.5% of evaluated people very good.
4.2.3.3 Service quality
Attitude and profession of employees and customers support services in shopping
process are factors which contribute to make a picture of Minh Cau supermarket; it will
attract consumers to come to the supermarket. Moreover, these factors also bring good
points to compete. Nowadays, service quality of Minh Cau supermarket still continue
improving better, customers of the supermarket are people who evaluate the most
objectively and painfully.
Table 4.24: Service quality

Service quality is meeting of the supermarket to consumers through services,
employees, promotional program. Minh Cau supermarket performed this quite good
through 48.3% of surveyed people evaluated that the service quality is in good level.
Total 120 100.0 100.0

Frequency Percent
Valid
Percent
Cumulative
Percent
Bad 1 0.8 0.8 0.8
Normal 56 46.7 46.7 47.5
Good 58 48.3 48.3 95.8
Very good 5 4.2 4.2 100.0
Total 120 100.0 100.0
`
51
However, the supermarket needs improve more service quality in all aspects to consumers
change from normal assessment level of 56% to good or very good.
4.2.3.4 Service equipment
With business area up to 1000m
2
, including a lot of departments with various types
of products, along with the big number of people shopping at the supermarket in everyday,
need about service equipment for carrying on business of the supermarket as well as
customers procurement is very much. Status of equipment situation under evaluating of
consumer also gives clear comments to Minh Cau supermarket.
Table 4.25: Service equipment

Equipment of Minh Cau supermarket still meets enough using need for consumers,
47.5% of customers evaluated in normal level, 46.7% of customers evaluated in good level
about equipment of the supermarket. Equipment support consumers in shopping process
cannot be lack, it will help to save their time, effort, and make them to feel comfortable.
4.2.3.5 Display space
Science, width, and beauty display space are factors which bring excitement and
convenience in selecting products of customers, they help to save time and make
consumers an ideal shopping space where they can choose without employees assistance.
Supermarket needs evaluate of customers about this to build a display space which satisfy
customers.
Table 4.26: Display space
Bad 3 2.5 2.5 2.5
Normal 62 51.7 51.7 54.2
Good 40 33.3 33.3 87.5
Bad 1 0.8 0.8 0.8
Normal 57 47.5 47.5 48.3
Good 56 46.7 46.7 95.0
Very good 6 5.0 5.0 100.0
Total 120 100.0 100.0
`
52
Very good 15 12.5 12.5 100.0
Total 120 100.0 100.0

At the moment, with business area up to 1000m2, Minh Cau supermarkets space is
enough to display types of products which supermarket carries on business, as well as brings a
science space in arranging every department following different goods. This makes consumers
feel convenient in selecting and looking for products. 33.3% of customers evaluated that
display space of the supermarket is good, and 12.5% is very good.
4.2.3.6 Atmosphere of the supermarket
Supermarket not only is a place where people purchase normally, but also is place
to relax, reduce stress. It brings a fresh and comfortable atmosphere for customers. This
atmosphere will be a factor which attracts consumers and creates their most comfortable
feeling. Therefore, we want to know: how does consumers assessment about the
atmosphere in supermarket? Thanks to this, we will give some best solutions to improve.
Table 4.27: Atmosphere of the supermarket

Frequency Percent
Valid
Percent
Cumulative
Percent
Bad 2 1.7 1.7 1.7
Normal 67 55.8 55.8 57.5
Good 41 34.2 34.2 91.7
Very good 10 8.3 8.3 100.0
Total 120 100.0 100.0

The supermarket where consumers come to satisfy shopping needs, and with fresh
atmosphere, clean and crowded space, it also brings a space which helps consumer relax
when they step in shopping activity. 34.2% of customers evaluated supermarkets
atmosphere well, 55.8% of customers evaluated in normal level.
4.2.4 Factors impact on buying decision of the consumer at Minh Cau supermarket
4.2.4.1 Influence of friends and colleagues on buying decision
Friends and colleagues are people who have effect on procurement decision of the
consumer, and effective level of this group of factors on the consumer is thing which we
want to concern.
`
53
Table 4.28: Level of influence of friends and colleagues on buying decision

Influence of friends and colleagues on customers is not big enough to decide
shopping. There is 54.2% of people answered that they are impacted on normal level
meaning they only ask and listen to the information from their friends and colleagues, not
really strong impacted on shopping decision. Only 20.8% of people answered that they has
been effect, and 5% of customers is strongly impacted from friends and colleagues
information resource. The remaining number of customers is little or no impacted by
friends and colleagues.
Friends and colleagues have not yet been real group of factor affect consumers
shopping.
4.2.4.2 Influence of the family on buying decision
Consumers family is factor which has big effect on their shopping decision
because the family often links with the interest from purchasing products, such as: foods,
household appliances which service for daily needs of consumers family.
Through certain figure, specially, 43.3% of customers answered that they are
influenced from their families in daily procurement decisions. They have to think, look for
information and ask ideas from members in their families or they must wonder about
effects of products for the family when they purchase them. 38.3% of people answered that
they are influenced normal; this group of customer only consider their families like
information resource tobut not affected really their decision.

Table 4.29: Level of influence of the family on buying decision
No effective 5 4.2 4.2 4.2
Little effective 19 15.8 15.8 20.0
Normal 65 54.2 54.2 74.2
Effective 25 20.8 20.8 95.0
Very effective 6 5.0 5.0 100.0
Total 120 100.0 100.0

Frequency Percent
Valid
Percent
Cumulative
Percent
`
54

Surveyed result shows that family factor also impacts on consumers shopping
decision, but it is not clearly.
4.2.4.3 Influence of status in the family on buying decision
The role of status in the family is a factor which links with customers, and how
does this factor affect their shopping decision? This is a question which we want to learn in
this study.
Table 4.30: Level of influence of status in the family on buying decision

This factor is not really important to impact on purchasers decision; because
44.2% of customers answered that its influence is in normal level. Simply, customers do
not have to take note a lot their role in the family and how does their procurement
influence on their family? They only buy products because of necessary needs of
individual and family. 25.8% of customers thought that this factor influences on their
decision, and 11.7% of customer is influenced a lot by this factor.
Normal 46 38.3 38.3 49.2
Effective 52 43.3 43.3 92.5
Total 120 100.0 100.0
Normal 53 44.2 44.2 62.5
Effective 31 25.8 25.8 88.3
Very effective 14 11.7 11.7 100.0
Total 120 100.0 100.0
`
55
4.2.4.4 Influence of jobs on buying decision
Current social structure has a lot and diversity of jobs, from received figures; we
want to learn about influence of jobs on customers procurement decision whether or not.

Table 4.31: Level of influence of jobs on buying decision
Normal 49 40.8 40.8 60.8
Effective 39 32.5 32.5 93.3
Total 120 100.0 100.0

Surveyed result showed that job is also one important factor which has effect on
customers shopping decision. For normal types of goods, such as foods or household
appliances, all subjects with different jobs have needs, but with fashion or electric things,
jobs also have certain influences. Customers have stable jobs such as staff members, and
businessmen with quite and high income; they purchase these types of goods higher.
32.5% of customers answered that jobs have effect on their procurement decision, 6.7% of
customers was big influence, and 40.8% of customers answered that this factor impacts on
their decision normally.
4.2.4.5 Influence of economic condition on buying decision
Consumer bases on their economic condition to participate in shopping activities and
give decisions to their selected products. This factor is very important to customers when they
want to satisfy their needs. Its influence is expressed through surveyed figures below.

Table 4.32: Level of influence of economic condition on buying decision
`
56

With 44.2% of customers answered that they are influenced and 21.7% of
customers was very big influence, we can include that economic condition is a very
important factor to consumers procurement decision. The majority of this group has
average income or quite average one, before purchasing they have to base on their
economic condition. The remaining number of people has high income or quite high one,
the economic condition impacts normally or little on their procurement.
4.2.4.6 Influence of product quality on buying decision
When consumers purchase any products, they always learn about and select very
carefully, as well as evaluate factors of that product, such as price, quality, trade-mark, etc.
The more quality factor put the leader, the more consumers are improved. For Minh Cau
supermarkets customers, how does this factor influence on their purchasing decision
which we want to research.
Table 4.33: Level of influence of product quality on buying decision

Normal 23 19.2 19.2 25.8
Effective 64 53.3 53.3 79.2
Very effective 25 20.8 20.8 100.0
Total 120 100.0 100.0
Normal 32 26.7 26.7 34.2
Effective 53 44.2 44.2 78.3
Very effective 26 21.7 21.7 100.0
Total 120 100.0 100.0
`
57
As buying products consumers often expect very big on product quality which they
purchase in their using process. It is expressed by 53.3% of customers answered that factor
of product quality influences on their decision and 20.8% of customers answered that they
are impacted a lot.
4.2.4.7 Influence of product price on buying decision
Price is factor concerned special by consumers when they select their products,
basing on price of the product and their economic condition, consumers can give specific
procurement decision. Influence of price on procurement decision is thing which the study
expresses.
Table 4.34: Level of influence of product price on buying decision
Normal 39 32.5 32.5 42.5
Effective 49 40.8 40.8 83.3
Very effective 20 16.7 16.7 100.0
Total 120 100.0 100.0

For people, with the average income, price factor is very important to their
procurement decision, this expresses through 40.8% of customers selected influence level
on price factor, and 16.7% of customers is impacted very big, remaining 32.5% of
customers has income above quite level and they are different factors priority, such as
product quality, trade- marks, etc; and price is not influenced a lot on them.
4.2.4.8 Influence of personal experience on buying decision
In procurement participating process, consumer actively stores shopping experience
with every type of product. Thus, how does experience affect consumers procurement
decision?
Table 4.35: Level of influence of personal experience on buying decision
`
58

Anybody also has procurement experience with types of products, before
purchasing goods they often base on this experience to give decision. 34.2% of people
thought that they are influenced by those experiences, and 10.8% people influenced
very much.
However, up to 41.7% of customers answered in normal level, meaning people
only ask this factor, and it does not really impact on their decision.
4.2.5 Reliability analysis

Table 4.36: Values of Cronbachs alpha
Cronbachs alpha Internal consistency
0.9 Excellent
0.8 0.9 Good
0.7 0.8 Acceptable
0.6 0.7 Questionable
0.5 0.6 Poor
< 0.5 Unacceptable

(Source: http://en.wikipedia.org)
Reliability is the correlation of an item, scale, or instrument with a hypothetical on
which truly measures what it is supposed to. This study used the Internal Consistency
Reliability method and used the Cronbachs alpha. Cronbachs alpha is the most common
form of internal consistence reliability coefficient. By convention, alpha should be at least
0.5 or higher to retain an item in an adequate scale.
Table 4.37: I tem-Total Statistics
Normal 50 41.7 41.7 55.0
Effective 41 34.2 34.2 89.2
Very effective 13 10.8 10.8 100.0
Total 120 100.0 100.0
`
59
Scale Mean
if Item
Deleted
Scale
Variance if
Item Deleted
Corrected Item-
Total
Correlation
Squared
Multiple
Correlation
Cronbach's
Alpha if Item
Deleted
Influence of friends and
decision
24.44 15.207 0.315 0.208 0.671
Influence of the family on
buying decision
24.08 13.775 0.515 0.329 0.627
Influence of status in the
family on buying decision
24.29 14.124 0.346 0.315 0.667
Influence of jobs on buying
decision
24.30 14.750 0.328 0.271 0.670
condition on buying
decision
23.74 13.807 0.473 0.309 0.635
Influence of product quality
on buying decision
23.65 13.439 0.593 0.469 0.610
Influence of product price
on buying decision
23.91 15.193 0.252 0.349 0.687
decision
24.14 15.198 0.248 0.175 0.688

Look at the table, we can see Cronbachs alphas of all factors are in range of
acceptable result (From 0.610 to 0.688), so all these factors can be retained.
4.2.6 Regression model
Regression analysis will be carried out with 8 independent variables: Influence of
friends and colleagues on buying decision, Influence of the family on buying decision, Influence
of status in the family on buying decision, Influence of jobs on buying decision, Influence of
economic condition on buying decision, Influence of product quality on buying decision,
Influence of product price on buying decision, Influence of personal experience on buying
decision and 1 dependent variable is: Shopping frequency at the supermarket.
After using SPSS, the bellows tables are the results of regression model:
Table 4.38: Model summary
a. Predictors: (Constant), Influence of friends and colleagues on buying decision, Influence of the
family on buying decision, Influence of status in the family on buying decision, Influence of jobs
on buying decision, Influence of economic condition on buying decision, Influence of product
Model R
R
Square
Adjusted R
Square
Std. Error of
the Estimate
Change Statistics
R Square
Change
F
Change df1 df2
Sig. F
Change
1 0.626
a
0.392 0.348 0.912 0.392 8.945 8 111 0.000
`
60
quality on buying decision, Influence of product price on buying decision, Influence of personal
experience on buying decision
Adjust R square show the significant of level of models explanation. With the
result of above table, adjusted R square = 0.348 means the model explains the variance of
dependent variable (variable Shopping frequency at the supermarket) in range of 34.8%.

Table 4.39: ANOVA
b

Model Sum of Squares df Mean Square F Sig.
1 Regression 19.810 8 2.476 2.109 0.041
a

Residual 130.315 111 1.174
Total 150.125 119
a. predictors: (Constant), Influence of friends and colleagues on buying decision, Influence of the
family on buying decision, Influence of status in the family on buying decision, Influence of jobs
on buying decision, Influence of economic condition on buying decision, Influence of product
quality on buying decision, Influence of product price on buying decision, Influence of personal
experience on buying decision.
b. Dependent variable: Shopping frequency at the supermarket.
Table 4.39 show results of regression model of the regression equation. With F =
2.109 and significant is smaller than 0.05 (0.041), the conclusion is the independent
variables affects dependent variable, so the regression model have significance.
The "Coefficients" table presents the optimal weights in the regression model, as
seen in the following:
Table 4.40: Coefficients
a

Model
Unstandardized
Coefficients
Standardized
Coefficients
t Sig. B
Std.
Error Beta
1 (Constant) -1.506 0.494 -3.048 0.003
Influence of friends and colleagues on buying decision 0.041 0.131 0.031 0.312 0.755
Influence of the family on buying decision 0.259 0.123 0.221 2.106 0.037
Influence of status in the family on buying decision -0.181 0.123 -0.153 -1.470 0.144
Influence of jobs on buying decision 0.131 0.064 0.089 2.047 0.043
Influence of economic condition on buying decision 0.144 0.072 0.112 1.995 0.048
Influence of product quality on buying decision 0.150 0.073 0.093 2.064 0.041
Influence of product price on buying decision 0.148 0.073 0.092 2.040 0.044
Influence of personal experience on buying decision 0.163 0.071 0.140 2.289 0.024
a. Dependent Variable: Shopping frequency at the supermarket
`
61
The independent variables have Sig. smaller than 0.05, so the variables are
significant at the 95% confidence level. At 95% confidence, the independent variable
affects the dependent variable (Shopping frequency at the supermarket). From the table, we
can see two independent variables are Influence of friends and colleagues on buying
decision (X
1
) and Influence of status in the family on buying decision (X
3
) have Sig. at
0.755 and 0.144, higher than 0.05. It means these independent variables do not affect the
dependent variable and they have not significance to the model.
Based on the values for the weights can now be found by observing the "B" column
under "Unstandardized Coefficients we can write the regression equation as follows:
Y = -1.506 + 0.259X
2
+ 0.131X
4
+ 0.144X
5
+ 0.150X
6
+ 0.148X
7
+ 0.163X
8
Y: Shopping frequency at the supermarket
X
2
: Influence of the family on buying decision B
2
= 0.259
X
4
: Influence of jobs on buying decision B
4
= 0.131
X
5
: Influence of economic condition on buying decision B
5
= 0.144 (1)
X
6
: Influence of product quality on buying decision B
6
= 0.150
X
7
: Influence of product price on buying decision B
7
= 0.148
X
8
: Influence of personal experience on buying decision B
8
= 0.163

Or it can be rewritten the equation as follows:
Shopping frequency at the supermarket = Y = -1506 + 0.259 Influence of the
family on buying decision + 0.131 Influence of jobs on buying decision + 0.144 Influence of
economic condition on buying decision + 0.150 Influence of product quality on buying
decision + 0.148 Influence of product price on buying decision + 0.163 Influence of personal
experience on buying decision
Thus, based on the regression results we can find 6 factors that affect Shopping
frequency at supermarket of consumer at Minh Cau supermarket are: Influence of the
family on buying decision, Influence of jobs on buying decision, Influence of economic
condition on buying decision, Influence of product quality on buying decision, Influence of
product price on buying decision, Influence of personal experience on buying decision.
4.2.7 Hypothesis testing
Based on the results of the regression analysis, we conducted tests of model
assumptions. After doing regression analysis we can conclude about the hypothesis testing
of the study model are as in figure 2.6. We can see in the regression equation, factor that
affects to the Shopping frequency at the supermarket are decided and ranked in regression
analysis. Positive signs of the beta coefficient show the significant relationship between 6
factors (Influence of the family on buying decision, Influence of jobs on buying decision,
`
62
Influence of economic condition on buying decision, Influence of product quality on
buying decision, Influence of product price on buying decision, Influence of personal
experience on buying decision and Shopping frequency at the supermarket factor have the
same way relation.
`
63
Table 4.41: Results of Regression Analysis
Hypothesis B
t-
value
Sig. Result
H
1
There is a positive relationship between influence of
friends and colleagues on buying decision with shopping
frequency at the supermarket

0.041 0.312 0.755 Rejected
H
2
There is a positive relationship between influence of the
family on buying decision with shopping frequency at the
supermarket

0.259 2.106 0.037 Accepted
H
3
There is a positive relationship between influence of status
in the family on buying decision with shopping frequency at
the supermarket

-0.181 -1.470 0.144 Rejected
H
4
There is a positive relationship between influence of jobs
on buying decision with shopping frequency at the
supermarket

0.131 2.047 0.043 Accepted
H
5
economic condition on buying decision with shopping

0.144 1.995 0.048 Accepted
H
6
product quality on buying decision with shopping frequency
at the supermarket

0.150 2.064 0.041 Accepted
H
7
product price on buying decision with shopping frequency at
the supermarket

0.148 2.040 0.044 Accepted
H
8
personal experience on buying decision with shopping

0.163 2.289 0.024 Accepted
The regression results show that factors B of H
2
= 0.259, H
4
= 0.131, H
5
= 0.144,
H
6
= 0.150, H
7
= 0.148, H
8
= 0.163 with Sig. H
2
= 0.037, Sig. H
4
= 0.043; Sig. H
5
= 0.048,
Sig. H
6
= 0.041, Sig. H
7
= 0.044, Sig. H
8
= 0.024 (<0.05). It means that when other
factors do not change if each of factor increases by 1 unit, the shopping frequency at the
supermarket increases number of units corresponding beta, so hypothesis H
2
, H
4
, H
5
, H
6
,
H
7
, H
8
were accepted.
The hypothesis H
1
and H
3
were rejected. Because the indicators were unsatisfactory. B
of H
1
= 0.041 and H
3
= -0.181 with Sig. H
1
= 0.755, Sig. H
3
= 0.144 (>0.05).
`
64
4.2.8 Logit analysis

Table 4.42: Results of logit analysis
Shopping at Minh Cau supermarket
Independent variables Coefficient z-values e
k
Influence of personal experience on
buying decision
0.750343 2.124382
Influence of the family on buying
decision
0.084141 0.213458
Influence of product price on buying
decision
-0.123248 -0.359380
Influence of status in the family
0.526559 1.473665
Influence of product quality on
buying decision
-0.034772 -0.075724
Influence of friends and colleagues
on buying decision
-0.765004 -2.043136
Influence of jobs on buying decision
0.186852 0.490799
Influence of economic condition on
buying decision
0.111167 0.070293
N 120

Based on survey data, the regression coefficient was estimated by Logit model. The
results that shown from table above indicated that we can conduct analyze trends and
influence of each factor to customers purchase at Minh Cau supermarket.
The estimated coefficient of shopping experience of previous customers had
affected to purchasing decision at Minh Cau supermarket was statistically significant. It
means that, customer have tend to repurchase in this supermarket.
The estimated coefficients of friends and colleagues variable also had statistic
significant.
H
9
has 2 factors had statistic significant.
4.3 General evaluation
From surveyed figures and researching results, we can see status of issues which we
study in Minh Cau supermarket:
Main factors have the biggest effect on consumers purchasing activities are
family, Job, economic condition, quality and product price. These factors directly impact
on process which gives their buying decision and follow them during shopping
participating process.
`
65
Customers are women who come to the supermarket with big frequency. They are
different groups of ages with stable income, they are housewives in the family and concern
a lot about types of goods, such as: foods, appliances, cosmetic.
The average income and shopping needs of people live in Thai Nguyen City, as
well as to service higher and higher daily activities, frequency coming to the supermarket
does not depend on income. Thanks to this, they look for detail information and become
more carefully of demands, such as: price, product quality, trade- mark. Almost
information is taken from family, friends, and colleagues or through advertisement
programs or in the boxes of products.
Business situation of Minh Cau supermarket is with quite good level. It is
expressed through painful and objective evaluations of customers when they purchase
products here:
Supermarket has good and professional service quality, customer support
services, and promotional programs which attract consumer.
The number of products of the supermarket is quite various; a lot of types of
goods, models which help customers have many selections. However, supermarket also
needs expand more different types of goods to attract male customer, besides foods,
cosmetic, and household appliance which are concerned mainly by female customer.
Product price of the supermarket is evaluated suitably, but it also has not really
attracted to consumer and supermarket needs consider its price policy carefully to compete
stronger.
Atmosphere of the supermarket brings comfort, clean, and happiness for
customer. Moreover, display space at the supermarket is quite large, products are arranged
the science and enough equipment to help customer select the most conveniently.

`
66
Chapter 5: CONCLUSIONS AND RECOMMENDATIONS
5.1. Conclusions
Through researching results and situation of Minh Cau supermarket, we can see that:
Service quality of employees of Minh Cau supermarket has been improved with
48.3% of customers evaluated well. However, many customers think that employee of any
supermarkets is the same enthusiastic. This shows that employee of Minh Cau supermarket
has not yet made difference in their attitudes and service manner. Supermarket held short
training courses for employees, but it has not yet achieved effect like its wish.
Equipment of the supermarket through survey performance and customers
evaluation, we can see in quite good level. 46.7% enough means and necessary equipment
for business, as well as procurement process of consumer.
Space in the supermarket is evaluated the width and science which help purchaser
feel more comfortable and save time.
A big difference between supermarket and other places is supermarket where
focuses a lot of types of goods, and diversity of color and model. Therefore, up to 78.3% of
customers evaluated that products of the supermarket are enough for them to select. In
other words, customers concern a lot when supermarket has new products. Products are
concerned most such as: foods, household appliances, cosmetic, in which female customers
are people who often concern about them because they are customers who often come to
the supermarket. Supermarket also needs expand their types of products to attract male
customers.
Although Minh Cau supermarket has applied many different pricing methods, there
is up to 46.7% of customers evaluated that the prices products of Minh Cau supermarket is
in the average level, not really the best and most suitable price.
Promotional forms of the supermarket have not yet concerned by customers
because they think that those products are not quality. They come to the supermarket, they
know about promotional programs or if they have accounting card, they will know about this
program. But in the fact that, when promotion is successful, Minh Cau supermarkets income
often increases from 20% to 30%, however, a lot of programs do not achieve effectively.
Therefore, the supermarket needs understand clearly unsuccessful reasons of them.
Media activities about picture and introducing products and services of the
supermarket have not been really effective. Most of consumers know about supermarket
through product information channel from friends and colleagues with 36.7% and in the
`
67
boxes with 21.7%. Television and newspaper channels, assistant programs account for the
rate very low.
In the survey, female customer accounts for 73.3%, and male customer only
accounts for 23.7% because women are main purchaser in the family.
Income, job, and household size influence on procurement frequency. Surveyed
result shows that the number of customers with low and average income accounting for
43.3%, and quite good income accounting for 40.83%. These two groups of customers
come to the supermarket with the most regular frequency. Remaining 15.84% of people is
group of customer with high income above 8 million VND, but their frequency is not high
because they have not yet been really attracted by products of the supermarket. May be,
due to types of products are not various and do not meet their shopping needs about quality
or trade mark. This is group of customer quite careful of selecting products following
their standards.
Consumers buying decision is impacted a lot by outside factors. Following
evaluation of consumers, factors such as family, job, economic condition, quality and price
of product impact strongly on consumers decision. They have to think, consider, and
select to give right and suitable decision for above factors.
Many customers think that price is also very important, but it does not remain a
sensitive factor to give the procurement decision as before. Consumers concern a lot about
quality with 37.5% of people takes note especially when they purchase products. The
quality is putting the leader, price and trade- mark are the next things. Group of customer
do not concern about price with above good income people.
Regular customers are people giving main procurement decision when they purchase
products. However, they are influenced by factors, such as family with 50.8%, economic with
65.9%, product price with 57.5%, and product quality with 74.1%. Knowledge of consumers
about going to the supermarket is different form ago. Going to the supermarket not only helps
save time, but also increases united among members in the family.
Customers go to Minh Cau supermarket because of a lot of products, suitable
price, safe and convenient place, accessible traffic. Besides, it also has happy, fresh, clean,
and comfortable atmosphere very suitably for customers a long with their families come
and relax, reduce stress after stressful study and working.
Product quality is concerned the top by customers. 45% of customers evaluated
that the product quality of Minh Cau supermarket is good, but there is up to 49.2% of
`
68
customers thought that product has normal quality. Like that, products of the supermarket
have not yet made differences.
If Minh Cau supermarket wants to become the supermarket of number one in Thai
Nguyen province with strong development, stable competition, build beautiful picture and
attract customers, it needs take note these factors.
5.2 Recommendations
5.2.1 Improving price policy
The rationale of the solution
Most of types of goods in the supermarket are necessary goods using every day.
These products are sold in all shops. Therefore, price is a main factor to compete.
Following received information, many customers think that product price of the
supermarket is higher than free market. For groups of customers with income below 4
million, price impacts a lot on shopping decision. Although price does not remain a
sensitive as before, because customers have a lot of selection about purchasing place, they
do not go to supermarket very easily. The potential customer of the supermarket in the
future is very large, competitive price will attract a lot of consumers coming to the
supermarket.
Content of solution
Firstly, supermarket needs identify clearly its business object. Thanks to this, we
can identify price for different types of goods. At every time, the price of products can
increase or reduce. For key types of goods which are enjoyed and believed by customers,
supermarket needs increase their price to improve profit. For types of products selling low,
supermarket needs reduce more to increase the number of purchasing consumers. These
goods should be displayed easy to see.
Moreover, supermarket needs research carefully factors which impacts directly on
price. These factors can be from inside or outside.
Inside factors are object of marketing mix, expense and other factors. To control
them, when supermarket plans detail marketing policy, and suitably for practical condition
of the situation.
Outside factors include characteristic of the market, nature and structure of the
competition. They impact a lot on the price of product.
More importantly, supermarket must often conduct surveys about price of the
market. Now, supermarket has a lot of business employees, this survey will be easier.
`
69
Reporting results of price will give director committee considering truthfully about their
policy. However, they need understand why does competitor decrease price? What do
types of goods decrease? If competitor reduces to consume old goods, supermarket also
needs consider again the object of supermarket. Supermarket also should build personal
plan to adjust price more suitably in time. Keeping its position is the cheap price
supermarket.
Moreover, supermarket also needs concern about providers for the supermarket. To
look for the cheapest price, but quality still ensure. This is an important part which helps
the supermarket compete price, and still achieve profit as its wish.
Result of the solution
Flexible and sensitive price policy with the market.
Building information channel about retail sale market, competitors.
Identifying customers reaction about product price of the supermarket.
5.2.2 Product strategy
The issue about product quality remains some problems
The diversity of goods still has not been meet customers needs.
Product packing of the supermarket is not beautiful and does not have effect on
advertising picture of it.
Content of solution
Product quality: Selecting the prestige provider is to ensure the quality of products
which supply for carrying on business of the supermarket. Test regularly using time, wrong
products.
The diversity of products: building goods more various
Designing private boxes of the supermarket: beautiful, special, and convenient in
moving of the customers.
Supermarket needs build products testing table every day, and give every group to
test using time, wrong and poor quality products. They have to respond for performance
result with management unit of the supermarket.
Putting standard targets for provider who supermarket will select priority order of
targets, specifically as follow:
- The most importance is quality and safety of the product. Product quality is the first
criterion which provider of supermarket needs to achieve.
`
70
- Basing on supply and deliver goods that are ensured the quantity, time, etc. Thanks
to this, supermarket will select suitable provider and leave off supplier who does not
achieve standards.
- We should put product quality in the leader. If providers are wrong in the first time,
they should remind, the second wrong time, the supermarket should change different
provider.
Making diversity of products by two ways: expanding more new potential types of
products, and invest the dept for current goods. Specially, expanding new types of goods,
such as: vegetables, fruits, fast food, etc. Investing the dept for carrying on business goods
such as: diversity of fashion for consumers in middle age, and shoes also should be more
various. Now, Minh Cau supermarket has not had shoes for ages from 9 to 12 years old.
Most of customers of Minh Cau are women and got married, need for their child is very
big. Therefore, supermarket needs invest goods for children in the school age.
Besides, the supermarket needs look for new provider with new types of goods;
products of it will be various and attract customers effectively.
Supermarket needs identify about the width and dept of good schedule which it
carries on business to tend about effectively attractive to customers. Beside types of goods
with the strong position such as rice, the supermarket should expand more some goods
strategy to attract customers.
Box is a quite important issue to attract more customers coming to the supermarket.
Therefore, supermarket should use this factor in its business. Specifically: boxes should
have traditional red and special color of the supermarket, logo, and Minh Cau picture.
Results of solution
Making Minh Caus picture in customers mind with products.
Safety about quality.
The market leader about diversity of products and new product development.
5.2.3 Enhancing the mixed promotion
In the modern life, media facility and information technology develop; advertisement
has become one tool which has big role in propaganda and introducing trade-marks to all
enterprises. Advertise with 3 main objects, such as: introducing, persuading, and reminding
which have contributed to introduce trade- marks with consumers largely, continuously
(building the loyalty) of the enterprises. Advertisement of every different company and
`
71
trade- marks which depends on knowledge, finance, the potential market, consumed or
industrial goods, etc.
Following surveyed result, most of customers live in Phan Dinh Phung Ward. A lot
of customers of other wards or places do not know information about Minh Cau
supermarket. Like that, media activities of the supermarket are very poor. Activities are
also simple and ineffective.
Content of the solution
Advertisement through television station
With communication on the television station, Minh Cau supermarket can
depend on its ability to select advertisement time and frequency. However, the best
advertisement time is before and after news program, or between films.
Advertisement on Website
Now, the supermarket has Website on the Internet to introduce personally about
Minh Cau supermarket, because Internet is mean which a lot of households and offices use.
However, current Website of the company is designed simple, not enough product, and
slow up to date. Therefore, company needs give website management of the company for
one individual or one professional department to ensure exploiting more effects of the
advertisement through supermarkets Website.
Besides Website of the supermarket, it should use other websites to introduce,
advertise for picture of the supermarket by the way to purchase space of some websites
relative to business area which consumers often visit and read information.
Leaflets
To customers know about Minh Cau supermarket, before performing promotional
program. Supermarket can hang banderol in main road lines of city where crowded people
move or leaflets. This solution only attracts new customers in short time, but it also
impacts on their psychology, they want to see goods and take part in promotional
programs.
Making picture of the supermarket in consumers mind.
Attracting customers to come and learn about products and services of the
supermarket.

`
72
5.2.4 Loyal customer care service
Most of loyal customers of Minh Cau supermarket live in scope of Thai Nguyen city.
This market has three big supermarkets and near one hundred of small and big shops with
types of goods which supermarket is carrying on business. Therefore, it has a lot of
competitors which influence on gaining customers for them. Making loyalty of customers
by close customer care service programs is one important object.
Supermarket is having program: changing card for close customers, however, this
activity is still conducting passively, not active to perform program with its truthful
meaning. Therefore, supermarket has to design plans to conduct this activity following
main steps:
Firstly: basing on customer file, and close customer file in 2012. Through
individual number phone and address, we will come to their houses and guide changing
card, provide over useful information of the new card, easy procedure and using, etc. Due
to they are people who often purchase products to make sure stable income of the
supermarket.
Secondly: encoding information through card, and customers only find benefits of
paying price discount, supermarket will receive important individual information to
increase sales when it is necessary or make basic on customer care campaign.
Thirdly: for customers, we can encourage consumers to purchase more by the way
to store marks for every purchasing time and receive gifts.
Until 2012, Minh Cau supermarket has 2848 close customers. Making and keeping
their loyalty to gradually move the number of regular customers into close customers.
5.2.5 Providing customers with information about products
Most of customers go to the supermarket alone regularly. Therefore, their
information about products will be less than when they go to supermarket with their
family, friends, and colleagues. Thus, supermarket must have policies to provide customers
with more information. In other words, information channel which customers look for
products on the boxes of them accounting for 21.7%, supermarket needs have solutions to
provide customers with more information very importantly.

`
73
Any product which is sold in the supermarket, they need have information about
function, effect, produce place and time, as well as using time in the products clearly.
At displayed place of any product, we can link paper with word line ensuring
quality of Minh Cau supermarket. Thanks to this, supermarket can make belief to
customers when they give procurement decision.
Besides, supermarket can provide more information for customers who go to the
supermarket alone through sale person of it. Because the rate of information looks for this
information limited, we can develop this channel. Therefore, the supermarket should have
enthusiastic employees with customers.
Providing customers with enough information when they purchase products.
Making consumers safety when they purchase goods.
Helping consumers give decision faster.
5.2.6 Improving customer research
Marketing research activity is an activity which has decision meaning about business
result. It meets target customers wish in which of level with limited social condition.
Researching activity of the supermarket only stops in basic investigation level about
demography, we will know about peoples standard of living of areas near supermarket.
Thanks to this, giving lists of goods and price policy to carry on business, it has not yet
concerned about different factors which affect customers procurement activity. In every
different period, taste and knowledge of consumers are also different with each other.
Thus, to have exactly and in time information, we have research customers, but no longer
different ways.
Researching customer
Main subject of this study is consumer at the city. Supermarket should take
information characteristic, such as: degree, job, income, settle, psychology characteristics
of every group of customer, picture of Minh Cau supermarket in customers mind.
Researching business environment
Researching business environment is the study activity about competitors and macro
policies of the State. Thanks to this, we can find opportunities and challenges in the business.
`
74
In the business environment researching, supermarket should concern all aspects, such as:
product, market solutions, price, etc.
After researching, supermarket can receive following information:
Identifying income level, job of customer to give business products suitably.
Determining the total demand of Thai Nguyen market.
Planning list of regular customers coming to the supermarket.
Picture of Minh Cau supermarket in consumers mind.
Evaluation of customer about the supermarket, thanks to this, giving perfect
solutions to complete products and services.
Opening more branches of Minh Cau supermarket in places where high need has.
Evaluation of customers about supermarket business formation.
5.2.7 Solutions impact on members in the family
In Vietnam, words speaking and advice from members in the family or surrounding
people about selecting products and labels which are more important than received
information from advertisement. Therefore, most of the products in the supermarket are
goods which service daily life needs; influence of members in the family on procurement
decision is very big. However, the final decision person is purchaser, in which 73.3% of
members in the family is female. Therefore, Supermarket should have solutions to impact
on members of the family very importantly.
Identifying role of members in the family: who influences, who decides, who
purchases, who uses. Thanks to this, supermarket will have policies to impact on every
member.
Age of customers from 24 to 35 years old is 45.8%. Most of the people in this age
have kids, products such as: toy, and candy should be displayed in low shelves and kids
can find them.
Making a new space will not only attract regular consumer, but also members in the
family. They will consider supermarket like a relax place.
Carrying on business products with function for female, such as losing weight
coffee which other supermarkets do not have.

`
75
Attracting members in the family along with going to the supermarket. Thanks to
this, increasing the potential number of customers in different ages coming to Minh Cau
supermarket.
Making familiar picture of Minh Cau supermarket in customers mind when they
are young.
5.2.8 Policy about atmosphere in the supermarket
Atmosphere in the supermarket is one reason which makes customers come and
purchase to reduce stress. Minh Cau supermarkets atmosphere also exists a lot of issues
which are not concerned right level.
Hallway should be rearranged conveniently to customers purchase products when
they come here. Besides, goods should be arranged science and beautiful eyes.
Music should select suitably for the target customers of the supermarket.
Should spray perfume which help come customers feel comfortable when they
come here.
Minh Cau supermarket has the way to wait accounting of customers, which is also
narrow and causes difficulty in payment. It also causes painful feeling for customers.
Supermarket should expand more accounting waited paths to overcome inconvenience.
Employees should be science trained strictly about basic knowledge in displaying
goods to avoid arranging goods following personalitys feeling.
Supermarket should make beautiful space to increase procurement frequency of
customers, such as: the way to display goods, making more beautiful supermarket and rest
space for customers waiting, such as open an automatic coffee machine, etc.
According to the study of some foreign specialists, perfume can help customers to
stay in supermarket longer. This solution can be simple and help supermarket to improve
high profit, but supermarket managers hardly know. Besides, this solution does not lose a
lot of expense.
Supermarket should select suitable music for the target customers of the
supermarket; avoid causing trouble feeling because of different types of music.
Specifically, supermarket should select pop music, not too young or old which will be
suitable for most of the customers of the supermarket. Music should not change different
songs to bother customers.
`
76
Moreover, camera system of the supermarket should not only use to protect stealing.
Minh Cau supermarket has camera, but little notion and only considering like one procedure.
Minh Cau supermarket needs consider camera system as a tool to learn about customers
psychology, such as: customers look any place longest, customer takes note in which of place
when they enter the supermarket, etc... This will be tool to investigate customers without
expense as other methods if supermarket knows the way to use camera suitably.
Making a convenient, beautiful, and comfortable space to service well for reducing
stress need of the purchaser.
Atmosphere in the supermarket will have new characteristics which differ from
competitors.
In the near future, this is factor to attract customers purchase.
5.2.9 Policy about employees of the supermarket.
Employees of the supermarket are bridge which reaches customers with
supermarket. Service quality of employees influences on satisfying consumer with
participating in the procurement process.
Professional sale person line- up is long and stable competitive factor of Minh Cau.
Supermarket should open training courses regularly which have quality to improve
knowledge about sale and communicating with customers for employees of the
supermarket.
There are policies to encourage employees to work creatively and enthusiastically.
Holding employees in a science line- up to make harmonious way in work and
service customer best.
Employees are divided work to respond to their working, but they must support
with each other in the working process to complete general tasks.
Besides, staff organization of the supermarket must have policies which arrange the
number of suitable employees, such as: increase people in rush hour, and holidays and
festival to service customers better and reduce tire of the employees.
Making picture of the supermarket through staff.
Attracting customers by the way to improve service quality.

`
77
APPENDICES
INFORMATION VOTE

With a desire to serve our customers better, we launched an investigation to search
for information about Supermarket customers, to serve better your needs. Would like you
to help us more completely customer care. We are committed that your information giving
will be guaranteed confidentiality.
Interviewees information
Please indicate some information about yourself:
Name: Gender: Age:
Address: Job:
Occupation Number of households border:
Question 1: Your income/Month?
1. Bellow 4.000.000 VND 3. From 8.000.000 VND 12.000.000 VND
2. From 4.000.000 VND 8.000.000 VND 4. Over 12000.000 VND
Question 2: In families who often go shopping in supermarkets?
1. Parents 4. Yourselves
2. Husband/Wife 5. Brother/Sisters
3. Children
Question 3: Frequency of your shopping at the supermarket?
Question 4: Do you ever shopping at the Minh Cau supermarket yet?
1. Yes 2. No
Question 5: How often do you shopping at Minh Cau supermarkets?
1. Rarely 3. Normally 5. Too often
2. Very few 4. Regularly
Question 6: When come to Minh Cau supermarket, have you need shopping yet?
1. Yes 2. No
Question 7: What reason do you shopping when come to Minh Cau supermarket?
1. Good information about the product 5. Quick payment
2. Reasonable prices 6. Enthusiastic staff
3. Showcasing beautiful goods 7. The atmosphere in the supermarket
4. Attractive promotion
`
78
Question 8: Which source did you looking for the information about product?
1. From friend, family, colleges 4. Seller
2. From Television, magazines, newspaper 5. On goods packaging
3. From Sponsorship programs 6. Other
Question 9: Do you care about the most items at the Minh Cau supermarket?
1. Food 4. Fashion
2. Chemical products 5. Other
3. Houseware
Question 10: At the Minh Cau supermarket, have got enough product for your choose or
not?
1. Yes 2. No
Question 11: Which promotion do you like?
1. Direct discount on the invoice 4. Lucky draw
2. Coupon 5. Bonus points
3. Promotion by bundled products. 6. Other
Question 12: Which services at Minh Cau supermarket you satisfied the most?
1. Warranty service 3. Consulting services
2. Transport services 4. Promotions
Question 13: Which factors are you interested in when choosing to buy products? (priority
order from 1-5)
Price Brand Promotions
Quality products Packaging products

Influence Factors
No
effective
Little
effective
Normal Effective Very
effective
1 2 3 4 5
How your Friends, colleagues influence your decision to
buy at the Minh Cau supermarket Ming Bridges?

How family influence your decision to buy at the Minh
Cau supermarket?

How your position in the family affect your decision to
buy at Minh cau supermarkets?

How your job affect your decision to buy at Minh Cau
supermarkets?

`
79
How economic conditions affect your decision to buy at
your Minh Cau supermarket?

How good products at Minh Cau supermarket affect
your decision to buy at?

Minh Cau supermarket products having affordable price
affect your buying decision or not?

How your shopping experience before affect to your
deciding to buy in Minh Cau supermarket?

Assessment criteria
Very
bad
Bad Normal Good Very
good
1 2 3 4 5
How did you evaluate the quality of products in Minh
Cau supermarket?

How did you assess the value of the product at the Minh
Cau supermarket with the others in the area like?

How did you evaluate the service quality of Minh Cau
supermarket?

How do you evaluate the quality of supermarket
equipment at Minh Cau supermarket?

How do you assess the exhibition space of the Minh Cau
supermarket?

How do you evaluate the atmosphere in Minh Cau? ``
If you have any recommendations, please write down here:
...........................................................................................................................................................
...........................................................................................................................................................................................................................
.
Sincerely thank for your participation!

`
80
Table 4.43: Logit analysis
Dependent Variable: Shopping at Minh Cau supermarket
Method: ML - Binary Logit (Quadratic hill climbing)

Sample: 120
Included observations: 120
Convergence achieved after 4 iterations
Covariance matrix computed using second derivatives
Variable Coefficient Std. Error z-Statistic Prob.
decision
0.750343 0.353205 2.124382 0.0336
influence of the family on
buying decision
0.084141 0.394180 0.213458 0.8310
influence of product price
on buying decision
-0.123248 0.342945 -0.359380 0.7193
influence of status in the
family
0.526559 0.357313 1.473665 0.1406
influence of product quality
on buying decision
-0.034772 0.459196 -0.075724 0.9396
influence of friends and
decision
-0.765004 0.374427 -2.043136 0.0410
influence of jobs on buying
decision
0.186852 0.380710 0.490799 0.6236
condition on buying
decision
0.111167 1.581468 0.070293 0.9440
Mean dependent var 0.875000 S.D. dependent var 0.332106
S.E. of regression 0.314110 Akaike info criterion 0.789279
Sum squared resid 11.05049 Schwarz criterion 0.975112
Log likelihood -39.35674 Hannan-Quinn criter. 0.864747
Restr. log likelihood -45.21242 Avg. log likelihood -0.327973
LR statistic (7 df) 11.71135 McFadden R-squared 0.129515
Probability(LR stat) 0.110460
Obs with Dep=0 15 Total obs 120
Obs with Dep=1 105

`
81
REFERENCES

Abraham Maslow (1987), Motivation and Personality, HarperCollins Publishers.
Abraham Maslow (1943), A Theory of Human Motivation, Psychological
Review, 50.
Joel B.Cohen & Dipankar Chakravarti (1990), Consumer Psychology
Nguyen Thi Gam (2010), Customer Behavior, Thai Nguyen University
Publishers.
Nguyen Thi Gam (2009) : Study on factors influencing purchasing behavior of
young consumers at ages 18 25 to clothing products in Thai Nguyen city,
Journal of science and technology, 67(5).
Philip Kotler (1994), Four majors factors that influence consumer buyer behavior
Philp Kotler & Gary Armstrong (2011), Principle Marketing, Prentice Hall

Thesis

Uploaded by

Document Information

Original Description:

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

Thesis

Uploaded by

Copyright:

Available Formats

`

You might also like