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Acknowledgement
This report is the result of efforts put in by many people who contributed to it by offering valuable guidance, support for literature, critical reviews and encouraging advice. To acknowledge all the people who have helped to fulfill the project is not possible for any researcher. But in spite of all that it becomes the responsibility of the researcher and also the part of research ethics to acknowledge those who had played an important role in completion of the project. I would like to thank our Director Prof. Rajesh Kothari for providing me an opportunity of getting some practical exposure in the final stage of our MBA program. I am thankful to Mr.Manish Singhal (project head), Mr. Sanjay Sinha and Mr. Ravindra Singh HCL Jaipur for leading me throughout the project and explore new horizons of learning and encouraged me whenever I feel losing. I feel privileged to express my deep gratitude to all the buyers, customers and dealers for their co-operation during my course of project. I would like to thank to Ms. Ajay Mishra and all other persons in the department for their accommodating nature and their exposure and invaluable guidance throughout the project and with whom I discussed all problems I faced in completing my project. They helped me many a times going out of turn. In spite of being busy in routine work they spent quality time with me and never hesitate to corporate and help me out. Last but not the least I would like to thank the entire Department of HCL, jaipur for their help and support for the constant endurance they extended to me during the project.
CONTENTS
1. 2.
5 6
PROJECT
3. 4. 5. 6. 7. 8. 9. 10.
RESEARCH METHODOLGY AND LIMITATION INTRODUCTION TO CONSUMER ATTITUDE COMPANY PROFILE ABOUT THE PROJECT ANALYSIS OF CONSUMER ATTITUDE OF HCL LAPTOP SWOT ANALYSIS KEY FINDINGS, RECOMMNEDATION AND CONCLUSION BIBLIOGRAPHY
7 9 15 21 23 36 37 40
PREFACE
In todays customer centered markets consumers have more choice because off their different habits, attitude, opinion, perception, personality, etc. and therefore, they have really become choosy. Their buying behavior constantly undergoes modification, consumer are the king in the market, so it is important to know consumer behavior and why they buy one particular product when other quality is equally attractive . This project report has been prepared to satisfy dual purpose. The market survey done was to know us the consumer habits, buying criteria, inspiration, time period, frequency rate, and place, effect of an advertising and sales promotion of HCL. The principal concern of this report is to show the various results or output that I have found during the Survey of consumer behavior, what the buyer know about the product as well as the brand awareness of HCL. An attempt has been made to provide the idea of HCL to various consumers. In writing this report we have put our practical experience of interaction with buyers at Digi-Life, a retail outlet of HCL and many other retail showrooms in Jaipur.
EXECUTIVE SUMMARY
Theories are being developed, designed and stated on the groundwork of their practical implementation and usage. Work experience seems to be the most effective and indispensable factor of making an individual an adept. This is because one cannot do without being exposed to varying circumstances and possible consequences. Research studies not only develops individual skills and abilities but also provides proficiency in work experience. I have done training in a Branch Office of H.C.L, at Jaipur, which constitutes an essential part of two years MBA program. I was assigned a project Consumer Attitude towards HCL Laptops. Consumer Attitude during buying new Laptops is a vast topic to study. In order to analyze the subject minutely the topic is being divided into three parts. First part of my project is all about designing a suitable questionnaire so that the various variable factors that the consumer behavior and their effectiveness in molding the same can be studied. The next part is dedicated to selection a suitable sample size of consumers using mobile connections and taking their feedback through the questionnaire. Well in the last part of my study is devoted on doing the analysis and interpretation from the feedback collected from the respondents. Then application of suitable statistical tool is decided on to arrive at some results. Based on these results, a conclusion will be drawn there after which stand as an ultimate result of my study in the concerned will field so called CONSUMER ATTITUDE DURING TAKING NEW LAPTOPS. The services structure can be renewed based on the provide suggestions and recommendations which can help to increase the client base and increase the market share in the concerned field as the findings will basically revolve around the most favored services by the investors and locate the core areas where the services can be improved further according to the market demand.
1.1 PROBLEM DEFINITION: The Bank is facing the problem of its international trade business not growing even after giving the full marketing support. The communication techniques and dealings with the customers is also a problem to the executives. 1.2 OBJECTIVES OF RESEARCH PROJECT: PRIMARY OBJECTIVES: To analyze the performance of HSBC in international trade services To study the process followed by HSBC in trade operations and the various documents required to carry out international trade. SECONDARY OBJECTIVES: To identify different sources of finance provided by HSBC to Importers and Exporters To study role of the bank as an intermediary in international trade To offer suggestions based upon the findings. 1.3 SCOPE GEOGRAPHICAL SCOPE: The same problem is being faced by all the other branches of HSBC Bank even out of the Jaipur city. Since my sample size and geographical area is defined and confined to a particular city, the contribution would be limited to that. SERVICES SCOPE: Study the increasing business scope of the bank Market segmentation to find the potential customers for the bank To study how the various services are positioned in the market. Corporate marketing of products and services Customers perception on the various products and services of the bank
representative of the whole group during my summer training. I have collected primary data from present customers of HCL and new buyers of laptops.
Sampling Units: Different customers of HCL availing at HCL service center Jaipur and new coustomer from HCL Digi LIfe. Sample Technique: Random Sampling. Research Instrument: Structured Questionnaire. Contact Method: Personal Interview.
3. INTRODUCTION
PREFACE
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As the title of my project is Consumer Behavior towards Laptops first of all we need to understand that What is consumer buying behavior? Before business can develop marketing strategies, they must understand what factors influence buyers behavior and how they make purchase decisions to satisfy their needs and wants. Buyers are moved by a complex set of deep and subtle emotions. Their behavior result from deeply held values and attitudes, their perception of the world and their place in it, from common sense, impulse or just plain whimsy. There are also several stages through which the consumer exhibit before deciding to purchase goods or services. These include 5 steps which are: problem or need recognition, information search, alternative evaluation, purchase and post-purchase evaluation.
Consumer behavior refers to the mental and emotional process and the observable behavior of consumers during searching, purchasing and post consumption of a product or service. Consumer behavior involves study of how people buy, what they buy, when they buy and why they buy. It blends the elements from psychology, sociology, sociopsychology, anthropology and economics. It also tries to assess the influence on the consumer from groups such as family, friends, reference groups and society in general. Buyer behavior has two aspects: the final purchase activity visible to any observer and the detailed or short decision process that may involve the interplay of a number of complex variables not visible to anyone.
a) SOCIAL FACTORS
Social factors refer to forces that other people exert and which affect consumers purchase behavior. These social factors can include culture and subculture, roles and family, social class and reference groups. Example: By taking into consideration Reference group, these can influence/ affect the consumer buying behavior. Reference group refers to a group with whom an individual identifies herself/ himself and the extent to which that person assumes many values, attitudes or behavior of group members. Reference groups can be family, school or college, work group, club membership, citizenship etc. Reference groups serve as one of the primary agents of consumer socialization and learning and can be influential enough to induce not only socially acceptable consumer behavior but also socially unacceptable and even personal destructive
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behavior. For example, if fresher student joins a college / university, he/she will meet different people and form a group, in that group there can be behavior patterns of values, for example style of clothing, handsets which most of group member prefer or even destructive behavior such as excessive consumption of alcohol, use of harmful and addictive drugs etc. So, according to how an individual references him / her to that particular reference group, this will influence and change his/her buying behavior.
b)
PSYCHOLOGICAL FACTORS
These are internal to an individual and generate forces within that influence her/his purchase behavior. The major forces include motives, perception, learning, attitude and personality. Example: Attitude is an enduring organization of motivational, emotional, perceptual and cognitive processes with respect to some aspect of our environment. Consumer form attitude towards a brand on the basis of their beliefs about the brand. For example: consumers of Sony products might have the belief that the products offered by Sony are durable; this will influence those customers to buy Sony products due to this attitude towards the brand.
c)
PERSONAL FACTORS
These include those aspects that are unique to a person and influence purchase behavior. These factors include demographic factors, lifestyle, and situational factors. Example: Lifestyle is an indicator of how people live and express themselves on the basis of their activities, interests, and opinions. Lifestyle dimension provide a broader view of people about how they spend their time the importance of things in their surroundings and their beliefs on broad issues associated with life and living and themselves. This is influenced by demographic factors and personality. E.g. A CEO or Manager is likely to buy more formal clothes, ties and shoes or PDAs and less informal clothes like jeans as compared to a Mechanic or Civil
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engineer. So according to their lifestyle and profession, the buying behavior of people differs from one another.
a) Problem Recognition
Purchase decision making process begins when a buyer becomes aware of an unsatisfied need or problem. This is the vital stage in buying decision process, because without recognizing the need or want, an individual would not seek to buy goods or service. There are several situations that can cause problem recognition, these include: Depletion of stock Dissatisfaction with goods in stock Environmental Changes Change in Financial Situation Marketer Initiated Activities Example: Its when a person recognizes that she cannot use her Laptop, because its display is not working or any hardware problem i.e. the phone has hardware problems and needs to be repaired or buying a new piece.
b) Information Search
After the consumer has recognized the need, he / she will try to find the means to solve that need. First he will recall how he used to solve such kind of a problem in the past, this is called nominal decision making. Secondly, a consumer will try to
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solve the problem by asking a friend or goes to the market to seek advice for which product will best serve his need, this is called limited decision making. Sources of information include: Personal sources Commercial Sources Public sources Personal experience Example: (continuing from previous) The user of the Laptop after recognizing that her laptop is damaged, she will eventually try to find out how she can repair her laptop. If she cannot repair it herself she will ask a friend to help out, if the friend cannot solve the problem she will go to laptop repair shop, if they also cannot repair it then she will try to find which laptop is good and that can serve her need. In this process of information collection it will yield awareness of brands of laptop she can buy.
c) Alternatives evaluation
Consumers evaluates criteria refer to various dimension; features, characteristics and benefits that a consumer desires to solve a certain problem. Product features and its benefit is what influence consumer to prefer that particular product. The consumer will decide which product to buy from a set of alternative products depending on each unique feature that the product offers and the benefit he / she can get out of that feature. Example: When that user got enough information concerning the different brands of laptop available in the market, she will decide which kind of a laptop and brand shes going to buy depending upon her need.
d) Purchase Action
This stage involves selection of brand and the retail outlet to purchase such a product. Retail outlet image and its location are important. Consumer usually prefers a nearby retail outlet for minor shopping and they can willingly go to a far away store when they purchase items which are of higher values and which involve higher sensitive purchase decision. After selecting where to buy and what to buy, the consumer completes the final step of transaction by either cash or credit.
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Example: (continuing from previous) After selecting brand of the laptop and model from different alternatives of laptop, she will make a final decision of where to buying that laptop and make the final transaction procedures.
e) Post-purchase Actions
Consumer favorable post-purchase evaluation leads to satisfaction. Satisfaction with the purchase is basically a function of the initial performance level expectation and perceived performance relative to those expectations. Consumer tends to evaluate their wisdom on the purchase of that particular product. This can result to consumer experiencing post purchase dissatisfaction. If the consumers perceived performance level is below expectation and fail to meet satisfaction this will eventually cause dissatisfaction, and so the brand and/ or the outlet will not be considered by the consumer in the future purchases. This might cause the consumer to initiate complaint behavior and spread negative word-of-mouth concerning that particular product. Example: (continuing from previous) If she decided to buy a laptop she will try to compare the quality of music, it provides and performance, if they meet her expectations. If she will find that her expectation are meeting she will be satisfied, if she found that there are more additional features that she did not expect this laptop to have, she will be delighted, otherwise, she will be dissatisfied. Since my title is Consumer behavior during taking new laptop, I need to do the survey of existing/new consumers of the service of different laptop providers. Hence, my project is totally based on comparative analysis of different attributes shaping the consumer behavior during taking new laptop. Till date I have completed the survey of 50 consumers of different laptop providers and I got many Suggestions & Recommendations from the customers.
4. COMPANY PROFILE
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HCL is a leading global Technology and IT Enterprise with annual revenues of US$ 5 billion. The HCL Enterprise comprises two companies listed in India, HCL Technologies and HCL Info systems (www.hclinfosystems.in) The 3 decade old enterprise, founded in 1976, is one of India's original IT garage start ups. Its range of offerings span R&D and Technology Services, Enterprise and Applications Consulting, Remote Infrastructure Management, BPO services, IT Hardware, Systems Integration and Distribution of Technology and Telecom products in India. The HCL team comprises 60,000 professionals of diverse nationalities, operating across 23 countries including 500 points of presence in India. HCL has global partnerships with several leading Fortune 1000 firms, including several IT and Technology majors. The TIME magazine has referred to HCL as an "intellectual clean room where its employees could imagine endless possibilities". The fact is, over the last thirty years that HCL has been operational; the company has stood by its values and core philosophy. Fueled by the entrepreneurial zeal of its founders, HCL developed the first indigenous micro-computer in 1978, at the same time as Apple. Since then, HCL has had a 3 decade rich history of inventions and innovations. Entrepreneur is the term that best describes the HCL employees. Ever since HCL entered into an alliance in 1970s, partnerships and HCL have been inseparable. Bonds have been forged with partners to co - create value. Strong inorganic growth is a testimony to the spirit of partnerships. Developed the first indigenous micro-computer at the same time as Apple and 3 years before IBM's PC in 1978. This micro-computer virtually gave birth to the Indian computer industry. HCL's in-depth knowledge of Unix led to the development of a fine grained multiprocessor Unix in 1988, three years ahead of Sun and HP. Along with the swiftly growing software technology industry, HCL, which was hitherto known as the pioneer in modern computing made the advent into software development. HCL's R&D was spun off as HCL Technologies in 1997 to mark their advent into the software services arena.
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Today, HCL sells more PCs in India than any other brand, runs Northern Ireland's largest BPO operation, and manages the network for Asia's largest stock exchange network apart from designing zero visibility landing systems to land the world's most popular airplane. And this it does across 19 countries and across 360 service locations in India. At a time when India had a total of 250 computers, Shiv Nadar led a young team which passionately believed in and bet on the growth of the IT industry. That vision in 1976, born out of a Delhi "barsaati" (akin to a garage start up), has resulted 3 decades later in creating a $5 billion global Enterprise. From designing India's first PC at the same time as global IT peers in 1978; to working on the Boeing Dreamliner's Flight Management Systems today, HCL has stayed a true Pioneer of Modern Computing. HCL now employs over 59,000 professionals, with a global presence in 20 countries and a pan India presence across over 500 locations. HCL's business spans IT Hardware manufacturing & distribution, System Integration, Technology & Software services, Business Process Outsourcing, and Infrastructure Management.
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17
2. IT Infrastructure Solutions
(HCL Info systems)
a.
b.
Display Products: Introducing great display products that you would love
setting your eyes on.
c.
Networking Products :Enjoy fast data transfer with our exclusive range of
Networking Products.
d.
e.
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f.
g.
h.
i.
particular Laptop provider. b) To study the consumers satisfaction towards different laptop providers. c) To assess the general problems faced by the laptop users. d) To offer valuable suggestions to improve the customer base of HCL laptop.
5.2
Information Technology becomes the necessity of life to a common man. In the modern world an individual tends to communicate and work right from the place where he/she stands. Even while sitting in a car or Aero plane he / she wants to work within a fraction of second at quick speed with interference, without any disturbance like hang of processor, out of order, etc; most of which delay the work. Laptop providers emerge as a boon quench such a thirst, thus by providing facilities, which a common man cannot imagine. Though the IT industry has its origin in the recent past and the growth has been excellent. Day by day many new competitors enter the market with new attractive schemes, provide additional facilities, add new features to existing ones, reduce the charges, introduce varieties of brands, models a healthy competition that benefits the subscribers. Hence in this context, it is important to study the various attributes or factors which shape the consumers mind during taking or switching over to new mobile connections. In terms of value- addition to the organization, this study will definitely help the Company to grow in future. As, we all are aware of the fact that a fierce competition is going on, in order to stay alive in the market place. In this situation, one competitor tries to penetrate through the loop holes of the other competitor. This project will visualize all sorts of loop holes which the HCL possesses right now and will also give a complete insight to all types of problems such as, whether the products & services are competent enough to fight back their competitors products & services or not.
5.3
The present study is contained to Jaipur and it is decided to consider HP, Sony, Acer, Lenovo and other cell phone service rendered to the customers.
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The main objectives of this study is to analyze the customer behavior during taking new Laptop and consumers of different Laptop providers of Jaipur city has been taken for the current research work.
5.4
Statement of problem:
In our country the growth of service marketing especially IT Infrastructure industry is still in its infancy stage, as compared to the industrially advanced countries. It is for the fact that the economy of our country has been in the developing stage. There are various cellular service services providers in our country and they are playing an essential role in fulfilling the needs of the customers. Now-a-days, the customers are more dynamic. Their taste, needs and preference can be changing as per current scenario. Hence the development of IT Infrastructure industry mainly depends on the customer satisfaction. However the following questions may arise regarding customer satisfaction
a) Does the IT Infrastructure satisfy the social responsibility? b) What are the expectations by the customers regarding service provided by
the Laptop provider? c) Whether the service provided by IT Infrastructure industry is satisfying the customers? d) Are the facilities available adequate to satisfy the customers?
6.2 QUESTIONNAIRE:
Name _____________________ ________________________________ ______ Age 0-25yrs 25-35yrs 35-55yrs > 55yr. Gender: Male Female Marital status: married unmarried Occupation: _____________________ Qualification: Undergraduate Graduate Post-graduate Professional degree (Specify) __ 1. Please name the Desktop/Laptops you are currently using a) HP b) Compaq c) SONY d) Acer e) Lenovo f) Hcl g) Others 2. Which Brand of Laptop do you prefer to buy? a) HP b) Compaq d) Acer e) Lenovo g) Others
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c) SONY f) Hcl
3. Who influenced you to by the particular Laptops? a) Family Member b) Neighbors d) Friends e) Advertisement g) Others 4. What is the purpose of buying? .. 5. Why do you prefer (laptop), specify the reason? .. 6. Rate the factors which influence your purchase decision (1 to 5)? a)Brand Image b)Availability c)Customer care service d)Price e)configuration 7. Have you heard of HCL products? a) Friends b) Family . .. . . .
c) Relations f) Dealers
c) Retailer
d) Advertisement
8. What is your awareness regarding HCL products? a) Complete b) Less c) None 9. Rate the attributes as per preferences:Colors Style Quality Varieties Tech spec Portability Weights Size
10. Do you like something about HCL products, if yes please specify?
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--------------------------------------------------------------------------------------------------------11. Would you buy HCL products:Yes No 12. If No, please specify some of the reasons. 13. What price are you willing to pay for a Laptop? ----------------------------------------------------------------------------------------------------------14. Please give your valuable suggestion / opinion for HCL. -----------------------------------------------------------------------------------------------------------
25
40 35 30 25 20 15
38
18
10 5 0 6
H P
Dell
Acer S ony H CL
Most of the respondents are using HP/Compaq (38%) and (24%) of the respondents are using Dell. About 18% are using Acer, while 12 are using Sony. Others are used different brand laptops.
7.2 Consumers preference towards Laptop providers on the basis age group
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H P 8 7 6 5 4 3 2 1 0
Dell 8
Acer
S ony
H CL
6 5 4 3 2 3 2 1 2 11 11 5 4
Inference:
1. Among respondents up to 25 years of age group, majority of them (i.e. 16%) are using HP/Compaq followed by Dell (10%). 2. Consumers in the age group of 25 35 years 12% of respondents mostly prefer HP/Compaq and 10% of the respondents are using Dell. 3. 08% of customers, who are in the age group of 35 55 years, are using HP/Compaq. 4. In (above 55 years) 02% respondents are using HP/Compaq.
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60 50 44 40 30 20 10 0 22 28
56
No. Of Respondent
%Of espondent
The married respondents using Laptops are about 44%, and the unmarried respondents using Laptops are about 56%.
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20.4, 13%
20.4, 13%
27.4, 17%
The majority of the respondents 57% (post graduates) are Using Laptops and 27% (graduates) respondents are using Laptop. 7.5 Composition of respondents on the basis of occupation
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East 45 40 35 30 25 20 15 10 5 0 B usiness
Inference:
West 42
30
21 1 8 15 9 4 Em ployee 8 1 2 S tudent
The employees are using Laptops are 30% and the students are using Laptops are 42% only.
30
28
14 7 4 8
0 Below10000
B etween 2000030000
Ab ove 50000
Inference:
About 44% of respondents get monthly income between 10000-20000 and about 28 % of respondents get monthly income between Rs. 20000-30000, and 14% of respondents are get monthly income as between Rs.30000-50000.
7.7 Composition of respondent showing various factors inducing to purchase the laptop
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12 6 8 4 2 4
F riends
Others
On the basis of purchasing the Laptops 42% of the respondents are induced by their friends, and relatives have the least effect on the respondents (02%) in inducing them to buy Laptops.
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24%
76%
Personal Use
B usines Use s
Inference: It can be inferred from here that 24% of the respondents are using their Laptops for their business, and 76% of the respondents are using Laptops for their personal usage.
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N Of R o. espondent
%of R espondent
Inference: 22% of respondents are purchasing the Laptops by its brand image, and 32% of respondents are choosing the Laptops by their prices..
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Neces ity s
S tatus
L uxury
C puls om ion
22%
4% 12% 62%
Inference: 62% of the respondents are states that Laptops are necessity, and 4% of respondents are only states that Laptops are luxury.
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8.1 Strength The strength of HCL lies in its robust distribution channel structure and a feeling of Indian company. It has almost all the latest technology needed for giving the customer a smooth and flaunt less service. 8.2 Weakness The weakness of HCL lies in its unsatisfactory awareness as compared to IT infrastructure leaders such as HP/Compaq, Acer, Dell. Its one major weakness is its less advertisement. So it should give attention to this aspect.
8.3 Opportunity It has a ready technological platform for Laptops and Palmtops. It can leverage it in its favor to give its customers new products across its network. 8.4 Threat The possible threat to HCL comes from Indian company like Wipro and MNCs like HP and Acer. It should strive hard to differentiate itself from others in a meaningful way. The perception of the general mass is also not very favorable about it, so it should actively involve itself in branding itself.
9.1 FINDINGS:
1. On the basis of consumer preference, majority of the peoples are preferred
HP/Compaq.
2. On the basis of age group, most of the respondents (38%) are using
more level.
6. On the basis of family income, 44% of the respondents are using Laptops,
entertainment.
11. Majority of the peoples are seeking brand image, for their Laptops. 12. On the basis of prices and value for money of HCL laptops, majority of
9.2 RECOMMENDATION
1. HCL should try to expand their customers network and Laptops range.
2. HCL should try to attract the young people. (Up to 25years) 3. HCL should try to attract old peoples also. 4. All the Laptops providers are made good advertisements for their service but
HCL is not as good as other players in advertising and promotion. Because, advertisements are take a major part for influencing the consumers.
5. HCL should try to increase product variety at compatible prices. 6. Many of the peoples are unaware about the various product rendered by
HCL. So the HCL should try to make awareness of their customer services to their customers.
7. HCL attract the customers by their low prices even then it has very less
laptops share in the Industry, so it should try those features what other players are providing instead of only low price.
8. Buyers are highly dissatisfied about the awareness of the HCL laptops. So
they should try to aware the potential customers by advertisement and promotion technique.
9. HCL should give some extra offers to their customers.
9.3 CONCLUSION:
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This is a technological era, significance of information cannot be overemphasized. This study attempts to find out the factors effecting consumer behavior and the satisfaction of consumer regarding Laptops providers. In todays world many peoples are using Laptops. So, Laptops providers are increasing in more level. So Laptops provider is should over come another ones competition. So, it leads to adding new features, technology, periodical offers to their product. So, the consumers get maximum benefit from their Laptops provider. Now-a-days, Laptops are a necessity to all. Because, along with bridging the gap between office and home, it has given a sense of comfort to the men and women also. And only few persons feel that Laptops are luxury one. India is rapidly evolving on the lines of other developed countries in the sphere of IT, so HCL wants to leverage this opportunity it should give due attention on increasing its customer base rapidly.
BIBLIOGRAPHY
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BOOKS Kothari, C.R., Research Methodology, New Age Publisher, Delhi 2009, p.24,36,348 Schiffman & Kanuk, Consumer Behaviour Pearson Education,Delhi 2004,p.25,85,119,251. Kotler Philip, Marketing Management Pearson Education 12th Edition 2007, p.87, 145. Ramaswamy & Namakumari, Marketing Management Macmillan Business Books,3rd Edition, p.153, 234,236, 605,606 Leon G. Schiffman, Hvard Hansen, Leslie Lazar ... - 2008 - Business & Economics - 494
INTERNET SOURCE
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