Factors Affecting Consumer Buying Behavior Special Reference to Mobile Phones

DECLARATION

I hereby that the project report, entitled “RESEARCH METHODOLOGY”, submitted to GURU GOBIND SINGH INDRAPRASTHA UNIVERSITY, NEW DELHI, is a record of an original work done by me under the guidance of DR. MANISHA GUPTA , Faculty Member, LINGAYA’S LALITA DEVI INSTITUTE OF MANAGEMENT AND SCIENCES, MANDI ROAD, NEW DELHI-110047 and this project work has not performed the basis for the reward of any Degree to my best knowledge.

Place : New Delhi         Candidate’s Signature

Date : June 6th, 2020        Abhishek Dubey

                                                                                      

CERTIFICATE

This is to certify that ABHISHEK DUBEY, BBA IV-A ENROLLMENT NO. 41019201718 has successfully completed the RESEARCH METHODOLOGY project. This project has been done in partial fulfillment for BACHELOR IN BUSINESS ADMINISTATION (BBA) course. The student has also made his project to my entire satisfaction and as per requirement of the course.

The work has not been anywhere else for the award of degree. All source of information have been duly mentioned.                                                                              
                                       SIGNATURE

                                   Dr. Manisha Gupta
                                      (Project Guide)                                                  
ACKNOWLEDGEMENT

Accomplishment of any task necessarily depends upon the willingness and enthusiastic contribution of time and energy of many people. From the starting till the completion of this project, there are many people without those assistance all my efforts would have been fruitless.

I, therefore, acknowledge all who generously helped me by sharing their time, experience and knowledge with me without which this project would have never been accomplished. I acknowledge that we are thankful to our respected professor DR. MANISHA GUPTA for guiding me to complete the project with honest attention without her kind help the project completion would not have been possible.

I am thankful to my classmates who gave their support and commitment to make this project successful.

TABLE OF CONTENTS

S.No.	Topic
1	Declaration
2	Certificate
3	Acknowledgement
4	List of Tables
5	List of  Figures
6	List of Symbols
7	List of Abbreviations
8	Chapter1: Introduction Introduction to Research Methodology  Characteristics of Research Scope of Research Methodology Types of Research Research Process Types of Data Population and Sampling Questionnaire Designing Process Introduction to SPSS
9	Chapter2: An Introduction on Evolution of Mobile Phones  Evolution of Mobile Phones  Objectives of the Study  Review of Literature  Research Methodology  Data Collection  Sampling Techniques  Limitations of the study
10	Chapter3: Data Analysis and Interpretation
11	Conclusion and Recommendations
12	Bibliography
13	Appendices

LIST OF TABLES

Table No.	Particulars
1.1	Showing the difference between Applied and Fundamental Research
1.2	Showing difference between Exploratory, Descriptive and Casual Research
1.3	Showing difference between Qualitative and Quantitative Research
1.4	Showing Conceptual and Empirical Research
1.5	Showing difference between Population and Sample
3.1	Showing number of respondents owing a mobile phone
3.2	Showing different brands of mobiles used by the respondents
3.3	Showing how long respondents using mobile phones
3.4	Showing what amount the respondents are willing to spent
3.5	Showing from the respondents often see the mobile advertisement
3.6	Showing the basis of respondents to choose a particular mobile
3.7	Showing respondents to choose mobile on the basis of it’s features
3.8	Showing the respondents choose mobiles as a factor of durability
3.9	Showing the respondents who choose influence most in the purchase decision
3.10	Showing the respondents basic need for using mobile phone
3.11	Showing which advertisement of mobile phone impresses the respondents
3.12	Showing the respondents liking the T.V. advertisements of mobile phones
3.13	Showing according to the respondents which mobile brand provides them best After Sale Service
3.14	Showing the respondents choose the mobile phones on the basis of After Sale Services

LIST OF FIGURES

Figure No.	Figures
1.1	Showing the scope of research methodology
1.2	Showing Research Process
1.3	Population and Sample
1.4	Phases of Questionnaire Design Process
2.1	Showing Evolution of mobile phones
2.2	Showing Market Share in India
2.3	Showing the changes and growth of smart phones in global market
2.4	Showing the market share of phones 2007-2016
2.5	Showing mobile phone buying decision

LIST OF SYMBOLS

S.NO.	SYMBOLS	Nomenclature & Meaning
1.	∑	Greek letter Sigma
2.	%	Percentage/Percent
3.	/	Or
4.	!	General Punctuation/Exclamatory Mark

LIST OF ABBREVIATIONS

S.NO.	Abbreviated Names	Full Names
1.	ESS	Encyclopedia of Social Sciences
2.	e.g.	Example
3.	Etc.	Et cetera
4.	Ph. D.	Doctor of Philosophy
5.	NSSO	National Sample Survey Office
6.	SPSS	Statistical Package for the Social Sciences
7.	IBM	International Business Machine
8.	SMS	Short Message Service
9.	GPS	Global Positioning System
10.	AIFL	Art Institute of Fort Lauderdale
11.	TAIP	The Art Institute of Philadelphia
12.	GST	Goods and Services Tax

CHAPTER: 1

Introduction to Research Methodology

What is Research?

According to D. Slesinger and M. Stephenson in the Encyclopedia of Social Sciences (ESS) define research as “ the manipulation of things, concepts or symbols for the purpose of the generalizing to extend, correct or verify knowledge, whether that knowledge aids in construction of theory or in the practice of an art.”  In simple words, research (re-search) means to “search again”. It signifies the patient study and scientific investigation wherein the researchers takes another, more careful look data to discover all that can be known about the subject of study.

Characteristics of Research:

• Research begins with a problem on the form of a question in the mind of researchers.
• Researchers demands the identification of a problem, stated in clear, unambiguous terms.
• Research deals with the main problem through appropriate sub-problems.
• Research requires a plan.
• Research seeks direction through appropriate hypothesis and is based on obvious assumption.
• Research deals with facts and their meanings.
• Research is circular.

Scope of Research Methodology

Figure1.1: Showing the scope of research methodology

Based on the types of environment, the scope of business research involves research at three levels:-Environmental Level: When research relates in the external environment then it is known as Environmental level. For e.g.: Research on various innovations, competitors, new products etc. The research at environmental level aids in the opportunity and threat analysis. Under environmental research we can cover the following areas of research:

• Competitor’s advantage: Organizations generally conduct research for finding out different ways through which they have a competitive advantage over the competitors.
• Technical innovations: Another area of research is technological innovations. Organizations always strive for the usage of new technologies, processes and equipment.
• Industrial fears: Every industry faces some fears which affect the existence of industry. All the organizations conduct research for finding out ways in order to migrate fears.
• Quality issues: Another field which calls research work is quality. There is always a scope of quality improvement and any organization which has better quality can charge a premium.
• New product development

Organizational Level: Research relating to internal environment i.e. the primary departments of the organization, is known as organizational level research. Research at the organizational level helps in analyzing its strengths and weakness. For e.g.:

• Production Management: The research performs an important function in product development, diversification, introducing a new product, product improvement, process technologies, choosing a site, etc.
• Personnel Management: Research works well for job redesigning, organization restructuring, development of motivational strategies, improvement in the abilities and skills of employees, employee satisfaction and organizational development.
• Financial Management: Research can be useful for portfolio management, distribution of dividend, capital raising, hedging and looking after fluctuation in foreign currency and product recycle.
• Materials Management: Research is utilized on choosing the supplier, making the decisions relevant to make or buy as well as in selecting negotiation strategies.
• General Management: Research contributes greatly in developing the standards, objectives, long-term goals, and growth strategies.

Marketing Level: The marketing level department plays a vital role in promoting the business and mission of an organization. It serves as the face of the company. Marketing research covers all the aspects of marketing of goods and services. There are various ways of classifying marketing aspects into categories according to the activity involved such as :

• Product Research: It deals with the design, development of new product, the viability of existing products and estimating the demand in relation to the consumer’s future preferences in relation to style, product performance and competition.
• Sales Research: It involves an examination of the company’s selling activities. This is usually held by outlet or marketing zones and is analyzed over a specific time period to enable direct comparisons over time.
• Customer research: It deals with buyer behavior. It entails researching the economic, social and psychological factors affecting decisions under different buying situations at the consumer, trade or industrial level.
• Pricing Research: It deals with decision about the cost to the buyer, including the judgment of price changes, the effectiveness of relative positioning and to estimate demand in the competitive marketing.
• Promotional Research: It is concerned with testing and evaluating the effectiveness of the various methods used in developing and promoting a company’s product services. Marketing research provides the decision maker with information that allows the reduction of uncertainty surrounding business decisions.

Types of Research

Research can be classified as various ways and these are discussed in detail in succeeding sections:

On the basis of application-Pure or Applied:

Research can either be pure (basic or fundamental) or applied (or action) research. Gathering knowledge for knowledge’s sake is termed ‘pure’ or ‘basic’ or ‘fundamental’ research. These studies are directed towards finding information concerned with generalization and with the formulation of a theory that has a broad base of applications. It is non –commercial research which might encompass some natural phenomenon or pure mathematics or human behavior.

On the other hand, applied research is often based on basic research or pure research. Applied research, unlike pure research, is based on and conducted in order to solve a specific and practical problem which could relate to a number of fields such as medicine, technology, education or agriculture.  Applied research focuses on analyzing and solving real-life problems using scientific methods.

Difference between Applied and Fundamental Research 

Basis of Comparison	Applied/Action                    Research	Fundamental/Basic/          Pure Research
Aim	Aim at finding a solution for an immediate and specific problem related to real life.	Aims to advance knowledge mainly concerned with generalization and formulation of a theory.
Goal	Applied research is conducted with a certain goal in mind.	Pure research is conducted without a particular goal in mind.
Focus	Focus on a problem at hand rather than the ones that can rise in future.	Futuristic in nature.
Basis	Applied studies are usually based on the data of pure research.	Pure research is self-exploratory in nature.
Applicability	Improve understanding of particular business or management.	Expand knowledge of processes of business and management.
Result	Results in solution to the problem. New insights limited to problem.	Results in universal principles through new ideas, principles and innovative ways of thinking.
Relevance	Findings of practical relevance and value to the managers and organization.	Findings of significance and value to society in general.
Time Dimension	Tight time scales.	Flexible time scale.

   Table1.1: Showing the difference between Applied and Fundamental Research  

On the basis of Purpose- Exploratory v/s Descriptive v/s Casual

Difference between Exploratory, Descriptive and Casual Research

Basis of  Comparison	Exploratory      Research	Descriptive  Research	Casual Research
Purpose	To analyze the data and to explore the possibility of obtaining as many relationships as possible between different variables without knowing their end applications.	To describe the characteristics of objects, people, groups, organizations, environments, situations, communities, phenomena, outcomes or programmes.	To explain the cause and effect relationship.
Features	Flexible or unstructured.	Planned and structured.	Highly structured and sequential.
Prerequisite	Researcher’s skill in observing and recording all possible information and impressions.	Researcher’s prior knowledge of the problem situation.	Researcher’s strong knowledge of theoretical background.

Table1.2: Showing difference between Exploratory, Descriptive and Casual Research

On the basis of measurement – Quantitative v/s Qualitative:

Difference between Qualitative and Quantitative Research

Basis of Comparison	Qualitative Research	Quantitative Research
Objective	Understanding underlying motivations, attitudes and perceptions: providing inside into problems definition providing hypotheses and language for subsequent quantitative evaluation.	Quantify data to generalize and predict future behavior (with caution) or understand differences between subjects.
Sample	Small and narrow. Not statistically projectable.	Large and broad. Usually statistically projectable.
Methods	Focus groups, in-depth interviews, ethno- graphies , shop-along, etc. Which can be in–person, by phone or online.	Surveys conducted by phones, online/mobiles or mail.
Data collection	Semi-structured, using discussion guides, can evolve over the course of the study.	Highly structured questionnaires.
Data analysis	Non-statistical, generally non-numeric, subjective and interpretive.	Numeric, statistical, objective, summation.
Focus	Wide-angle lens examining the breadth and depth of the topic.	Narrow-angle lens testing a very specific topic.
Type of data collected	Words, images, or objects.	Numbers and statistics.
Form of data collected	Open-ended responses, interviews, participants observations, field notes and reflections.	Data based on precise measurements using structured and validated data-collection instruments.
Type of research	Exploratory -observe and interpret.	Descriptive or casual-measure and test.
Variables	Study the whole phenomenon and not specific variables.	Specific variables studied.

Table1.3: Showing difference between Qualitative and Quantitative Research

On the basis of research method- Conceptual v/s Empirical

Basis of Comparison	Conceptual            Research	Empirical         Research
Purpose	To develop new concepts or to reinterpret existing ones in some new light.	To come up with conclusion which are capable of being verified by observation or experiment.
Methodology	Breaking down a theorem or concept into its constituent parts to gain a better and deeper understanding of the issue concerning the theorem.	Framing a working hypothesis to get the probable results.

Table1.4: Showing Conceptual and Empirical Research

 Research Process:

Figure1.2: Showing Research Process

The research process consists of six sequential and closely related steps namely:

• Problem Identification, Definition and Formulation
• Conducting the literature review
• Research design- selecting the method of research
• Collecting the data
• Data analysis
• Report writing

Yet, the completion of one step is not at all required before moving on to the next step. Practically, the research process is quite useful yet the steps might overlap, once or continuously, rather than following the strictly suggested order. For example, while proposing a qualitative study which would involve primary data source, the researcher must think of the practically of data collection. Otherwise, the study might not get completed.

A common classification based on the source of data can be:

• Primary Data
• Secondary Data

Primary data:

Primary data (also called first hand or raw data) is the data collected by the investigator himself/herself with a specific purpose in mind. Primary data is highly factual as it is the original source of information. It is originates for the first time through researcher’s direct efforts and experience. It especially addresses the study’s research problem.

Examples of primary data:

1. Data collected by a Ph. D. student for his/her research project.
2. Collection of data during the national census of a country.

Features of primary data:

• Reliable: The information being first hand will be highly reliable and credible.
• Original: Source of gathered data is original.
• Validity: Data collected is valid subject to researcher’s due diligence.
• Accurate:  Verification of information is advised, to check for errors.

Advantages of using primary data:

• Data specific to the problem under study is collected.
• Quality of the data collected (for the investigator) is ensured.
• The data is original and relevant to the topic of the study hence, ensures a high degree of accuracy.
• Data’s reliability is very high due to the collection through concerned and reliable parties.

Secondary Data:

The data which is collected by someone else for some other purpose but utilized by the researcher for another purpose is called secondary data. It refers to the researcher’s interpretation of the initial or primary data which was originally collected by another researcher.  

Examples of secondary data:

1. Census data is used to analyze the impact of career choices on earnings.
2. A study conducted on malnutrition on the basis of data published by National Sample Survey Office (NSSO).

Advantages of using secondary data:

• Avoids the hassles of data collection, being easily available and accessible.
• Economical
• Quality of data is not the personal responsibility of the investigator.
• Faster to access, including the work of the best scholars all over the world.
• Guides the researcher in choosing the direction in which he/she should go for the specific research.

Population and sampling:

Population (also called universe in statistics) refers to the entire group of element on which the research is based. For example, if the researcher wants to study the production process of paper industry, then all organizations involved in the production of paper industry would constitute the entire population. The population includes all the items under consideration for the particular study and is usually very large. The population is generally denoted by the Greek letter Sigma (∑). Thus, population depending on the nature of the data required, can constitute persons, families, farms, cattle in a region, trees or birds in a forest, fish in a tank, etc.

Difference between Population and Sample

Population	Sample
1.     The measurable quality is called a parameter.	The measurable quality is called a statistic.
2.     The population is a complete set.	The sample is a subset of the population.
3.     Reports are a true representation of opinion.	Reports have a margin of error and confidence interval.
4.     It contains all members of a specified group.	It is a subset that represents the entire population.

Table1.5: Showing difference between Population and Sample 

Questionnaire Designing Process:

Designing a questionnaire is not a as simple task as it looks at first sight. It is an art or skill acquired through experiences. There exist no principles or rules that would guide or help the researchers to design an ideal and appropriate questionnaire. Hence, it is the researcher’s skill and creativity that would guide towards questionnaire design. Questionnaire designing process are explained as follows:

Part 1: Pre- construction Phase

The pre-construction phase of the questionnaire design process consists of three steps: specification of the required information in the light of research objectives, an overview of respondents characteristics and decision regarding selecting an appropriate survey sample. These steps are explained below:

• Specification of the required information in the light of research objectives: In this step, the researcher considers research questions such as ‘what is the management decision’? (relating to problem solving research) or ‘what is the management concerns’? generally with respect to research and development related to any area of management concern (called problem identification research).Thus, the exact information which is needed from respondent is clearly defined.

• An overview of respondent’s characteristics: It is vital that the researcher has a clear idea of target population and determines the sample for the study. A particular question may not be appropriate for all populations and for different segments within the populations. While constructing a questionnaire, researcher has to keep the profile of a probable respondent in mind. For example, while assessing the impact of “Goods and Services Tax” (GST), the researcher has to contact the businessmen impacted by the new law. Here, a housewife or a school student will not be able to provide the relevant information.
• Decision regarding selecting an appropriate survey technique: The third step in phase 1 is the decision regarding selecting an appropriate survey technique. The researcher needs to specify how the desired information will be collected. For example, a lengthy and difficult-to-answer question must be avoided in a telephone interview method but not may be appropriate in a personal interview technique.

Part 2: Construction Phase

Phase 2 is the real construction phase of the questionnaire design process. It consists of six steps and they are as follows:

• Decision regarding question format: In this step, the types of questions and relevant coding procedures are the determined. Decision encompasses which type of questions to ask – open-ended (unstructured) or closed-ended questions.
• Decision regarding question wording: Question wording refers to the exact word used while framing the content and structure of the question. Wording of the questions is a very important aspect of questionnaire design. There are instances where different words could mean the same thing.The guidelines for deciding the exact words of the question are as follows:

1. Questions words must be simple and easy to understand
2. Vague or Ambiguous word must be avoided.
3. Double-Barrelled Questions must be avoided.
4. Avoid leading and loaded questions and avoid using overstated words.
5. Implied Assumption must be avoided
6. Respondent’s memory should not be overtaxed and generalization must be avoided and estimation must be avoided.
7. Negative wording must be avoided.

• Decision regarding question sequencing: Another aspect that should receive the attention of the researchers is the sequence or order of questions to be contained in a questionnaire. The researchers have to gain confidence and cooperation of the respondent along with him/her to respond.
• Decision Regarding Question Response Choice: In case of closed-ended questions, the researcher has to make an important decision about the number of response choices to be presented before the respondent. For example, Which soft drink would prefer? In this type of situation, a researcher has to frame the alternative keeping the research objective in mind.
• Decision regarding questionnaire layout: The questionnaire should be presented in such a manner that responses to questions are simplified and leaves a favourable impression in the mind of the respondent. The appearance of a questionnaire is particularly important in mail surveys because the instrument, must sell itself and convince the recipient to complete and return it.
• Produce the first draft of the questionnaire: At this stage, a researcher produces the first draft of the questionnaire. The researcher must recheck and ensure that each question in the questionnaire is distinctly separated the font size should be proper without over crowding the questions on a single page. Instruction to answer a question should be as close as possible to the concerned question.

Phase 3: Post-construction phase

Phase 3 is the post-construction phase of the questionnaire design process. It consists of three steps and they are explained below:

• Go for pre-testing of the questionnaire: Assessment of questions and instrument is extremely important to improve the results of the study. Pre-testing of the questionnaire helps to do so as it involves administering the questionnaire to a small sample of the target population in an environment and context similar to the actual study. The pre-testing is used to:Ensures that the questionnaire is appropriate for the survey in terms of content, structure wording, sequencing, layout, instructions, difficult level and language.Check that the information required from the target population is actually collected through the research instrument.Discovering ways to increase response rate and ensures the engagement of respondents.
• Revisiting the questionnaire based on the inputs obtained from pre-testing: Pre-testing of the questionnaire might have provided many inputs in a subjective manner. At this stage, the researcher must objectively incorporate all the inputs obtained from the pre-exercise. After incorporating suggestion from the pre-testing, a researcher can go for second pre-testing. It is always possible that the second pre-testing may also reveal some of the problems of the questionnaire.
• Revised final draft of the questionnaire: After careful examination of all the incorporations obtained from pre-testing and or second pre-testing, the researcher is now ready with the final draft of the questionnaire and administers the same to the sample taken from the target population. The researcher must be fully confident that the questionnaire is ready to administer with the desired level of accuracy.

INTRODUCTION TO SPSS

SPSS stands for Statistical Package for the Social Sciences and is used for complex statistical data analysis by various researchers. The SPSS software package was created for the management and statistical analysis of social science data. It is widely coveted due to its straightforward command language and impressively thorough user manual.

Processing and analysis of data using SPSS is done by market researchers, health researchers, survey companies, government entities, education researchers, marketing organizations, data miners, and many more. Most top researchers use SPSS to analyze survey data, mine text data and perform quantitative analysis. It is based on a point and click interface.

SPSS is most often used in social science field such as psychology, where statistical techniques are involved at large scale. In the field of psychology, techniques such as cross-tabulation, t-test, chi-square test, etc. are available in the analyze menu of the software. SPSS includes some sophisticated inferential and multivariate statistical procedures such as factor analysis, discriminant analysis, analysis of variance, etc. A technique called missing value analysis in SPSS enables the user to fill in the missing blanks in order to create better models to estimate. The analysis provides the user with procedures for data management and preparation.

Functions of SPSS:

• SPSS offers four programs that assist researchers with their complex data analysis needs.
• Statistics Program: It furnishes a plethora of basic statistical functions like frequencies and cross tabulation.
• Modeler Program: It enables the researchers to build and validate predictive models using advanced statistical procedures.
• Text Analytics for Survey Program: It helps survey administrators uncover powerful insights.
• Visualization Designer: It allows researchers to use their data to create a wide variety of visuals like density charts and radial box plots very easily.

Benefits of SPSS:

1. SPSS is an extremely powerful tool for manipulating and deciphering survey data.
2. It makes the process of pulling, manipulating and analyzing data clean and easy.
3. It provides countless opportunities for statistical analysis.

CHAPTER 2 

EVOLUTION OF THE MOBILE PHONES 

In The Beginning 

Alexander Graham Bell invented telephone and 1878 he made the first phone call. Motorola introduced some of its first cell phones during the 1980s. Those phones were completely different from the devices we have today since from non side they were cost effective and handy.

The first smart phone was developed by IBM & BellSouth which came out to in public in 1993 These smart phones are advancing at a very fast pace and are not restricted to just internet browsing or playing games. Now you can do every possible thing with these modern handled devices. The feature of these smart phones was only calling and all they include No Internet, No SMS, No Touch Screen, No GPS, No Video, No Camera, No Music and No Bluetooth.       

The radio telephone technology gave way to the invention of cell phones. In 1956, the first automatic mobile phone system, was designed by Ericsson. It was heavy weighted but did not require any hand control. The first mobile phone developed by Motorola in 1973 and It was Martin Cooper who placed the first call at AT and T Bells Labs from the street of New York. In 1977 the invention of cell phones made the communication much easier, quicker and more reliable. Cell Phones are continuously advanced with the changing technology. That is why they are modified every year.    

Many of the early cell phones were considered to be “car phones,” as they were too large and cumbersome to carry around in a pocket or purse. However, in 1983, the Motorola DynaTAC 8000x arrived on the market. Though huge by today’s standards, it was considered the first truly mobile phone because it was small enough to carry. 

“You always have the trendsetters who are not afraid of trying new things and then everyone else follows,” says Patricia Grullon, an Industrial Design instructor at The Art Institute of Fort Lauderdale (AIFL). “These trendsetters are key to make any product popular.” However, cell phone use hadn’t spread to the general public yet. “They were primarily used in the sales and business world, but not often for personal use like you see today,” says Kreg Jones, an industrial designer and Industrial Design instructor at The Art Institute of Philadelphia (TAIP).

Though the DynaTac and subsequent models were smaller, mobile, and ultimately cooler, they still had their faults. Bulky, luggable models like the Nokia Mobira Talkman and the Motorola 2900 Bag Phone had longer battery lives and more talk time, making them more popular at the time. As the technology advanced, cell phone companies figured out how to pack all the features their customers wanted into a smaller, portable, more affordable model.

A Shifting Purpose

Early cell phones were just for talking. Gradually, features like voicemail were added, but the main purpose was talk. Eventually, cell phone manufacturers began to realize that they could integrate other technologies into their phone and expand its features. The earliest smart phones let users access email, and use the phone as a fax machine, pager, and address book.

In recent years, the purpose of the cell phone has shifted from a verbal communication tool to a multimedia tool, often adopting the name “mobile device” rather than being called a phone at all. We now use our cell phones more for surfing the web, checking email, snapping photos, and updating our social media status than actually placing calls.

“Rapidly expanding software titles, better screen resolution, and constantly improved interface make cell phones easier to navigate, and more fun to use. Add to that an expanding capacity that can hold as much memory as a computer would just a few years ago, and you can see why it’s an exploding market,” Grullon says.

The cell phones of today are also replacing our other gadgets, such as cameras and video cameras. When cameras were first introduced on phones, the images were low quality and the feature was considered to just be an extra. “Now, we're seeing a very fast shift to where consumers don't even bother carrying their point-and-shoot cameras anymore, and just use their cell phones,” says Jamie Lendino, a tech journalist and senior mobile analyst for PCMag.com. Modern day smart phones — the Apple iPhone in particular — changed everything that consumers expect from their phones. The app market has transformed the phone into a virtual toolbox with a solution for almost every need.                                    

Changing Shape

It’s not just the technology of the cell phone that has changed over time, the physical design has also gone through a roller coaster of changes. Original car phones and bag phones were as large as modern day computers and just as heavy. “Like computers, the cell phone over time has become drastically smaller,” Jones says. He recalls reviewing focus group results while working with Ericsson GE Mobile in the mid-90s. “Customer research showed that the phone was so small that the user interface was unacceptable. Though the phone may have functioned perfectly well, their opinion was partially driven by the perception that the phone was too small. Eventually, customers’ perceptions shifted and they demanded a smaller, sleeker cell phone. Just in recent years, cell phone designs have actually started to become larger and simpler, making room for a larger screen and less buttons. Because phones have become mobile media devices, the most desirable aspect is a large, clear, high-definition screen for optimal web viewing.  Even the keyboard is being taken away, replaced by a touch screen keyboard that only comes out when you need it. The most obvious example of this is the Apple iPhone and subsequent competitors like the Droid models.

Future of the Cell Phone

The cell phone has changed and developed so rapidly in the past decade that it seems as though almost anything you can imagine is possible for the future. According to Jones, the convergence of all our tech gadgets into one mobile device will continue to advance.  He anticipates that “the majority of the hardware and the software can be moved to ‘the cloud’ and the product will mainly be comprised of the input and the display.”

Objectives of the study:

• The objective of the study is the process by which individuals search for select, purchase, use and dispose of goods and services, in satisfaction of their need and wants. The main aim of customer buying behavior is to meet and satisfy the need and the wants of the target customers.
• The main aim and use of studying customer buying behavior for value+store is to increase the sales and profit of the store, to satisfy the customers need and want and to maintain the goodwill of the store by satisfying the need and want of customers.
• The study gives a brief about the perception and buying behavior of customers towards various mobile brands, customer reference level associated with different mobile phones, major features which a customer look for in a mobile before making a purchase and factors that influence decision-making in purchasing a mobile phone. 

Review of Literature

The development of mobile phones and technologies has been an extended history of innovation and advancements cropped up due to dynamic changes in consumer needs and preferences. Among these developments, mobile phones devices have had one of the fastest household adoption rates of any technology in the world’s modern history. Nowadays, mobile headsets have become an integral part of human daily life and personal communication across the globe.

 In currently highly competitive mobile phone market, manufacturers constantly fight to  find  additional competitive edge and differentiating elements to persuade consumers to select their brand instead of a competitor’s. There are various studies conducted to identify factors that make companies better than their competitors in influencing the consumers purchase decision.

Ethiopia is a developing country and has witnessed fast economic growth and developments in mobiles telecommunication penetration in recent years. Due to these reasons, there is a dynamic increase in the number of mobile phone device users. This attracted large number of international firms to enter into mobile industry and offer various brands of mobile phones. However, the choice of consumer is diverse due to various factors associated with consumer behavior. In this context, it is important to study the various factors which shape the consumers mind during the purchase of mobile phones devices.

Based on previous research studies and literatures reviewed the following conceptual framework and research hypothesis word developed for this research project. Accordingly six independent variables (i.e. price, social factors, durability, brand name, product features and after sales services) thought to influence the dependent variables (i.e. decision to by) are identified.

Conceptual framework of the study:

Research Methodology

This chapter describes the research methodology adopted to achieve the objectives of the study. It includes the scope of the study, research design, collection of data, analysis of data and limitations of the study.

Scope of the study

The scope of the study is to get the first hand knowledge about the buying behavior of consumers towards different brands of mobile handsets in rational consumers. The scope is restricted to the factors affecting the preference of consumers while choosing a mobile handset in rational consumers. This is done to avoid perceptual bias and for providing objectively to the study.

Research Design

The research design constitutes the blueprint for the collection, measurement and analysis of data. It is the study strategy for a study and the plan by which the strategy is to be carried out. The research design of the project is descriptive as it describes data and characteristics associated with the population using mobile phones. Descriptive research is used to obtain information concerning the current status of the phenomena to describe “what exists” with respect to variables in a given situation.

Data collection

Primary Data

Primary Data is that data which is collected for the first time. It is original in nature in the shape of raw material. For the purpose of collection of primary data, a well structured questionnaire was framed which was filled by the respondents. The questionnaire was comprises of close ended as well as open ended questions. In close ended questions dichotomous, checklist questions, and multiple choice questions are used.

Secondary Data 

Secondary Data is the data which is already collected by someone. They are secondary in nature and are in shape of finished product. Secondary data was collected so as to have accurate results. Required data was collected from various books, magazines, journals and internet.

Sampling Design

Sampling refers to selecting some of the elements which the researcher is targeting in his/her study. Since the study is restricted to rational consumers only the universe for the study consists of all the mobile phones owners.

Universe

Universe is the infinite number of elements which the researcher is targeting in his/her study. Since the study is restricted to my known consumers only the universe for the study consists of all the mobile owners.

Population

Population is finite number of elements which the research is going to target in particular area. All the mobile phone users who are known to me to select the population of data.

Extent

Extent refers to the geographical area where there is a scope of population. The extent of the study is my friends and relatives.

Sampling Technique

The selection of the respondents was done on the basis of convenience technique based on the non probability method of sampling.

Sample size

Sample size is the size of sample drawn from the population which is the true representative of the research. The number of respondents included in the study was 25 for convenience in evaluating and analyzing the data and because of time constraint.

Data Analysis and Interpretation

For the purpose of analyzing, raw data was summarized in a table and from this table the results have been carried out. The question having multiple/alternative choices were analyzed by taking percentages. In this case of questions on non-probability, mean scores were calculated. 

In case of checklist questions the average of total number of responses was calculated. In case of explanatory questions, the general suggestions were summarized.    

Limitations of the study

• Sincere efforts have been made to collect authentic and reliable information from responses from the respondents, however the report is subject to the following limitations:
• Some respondents were reluctant to give the information, so their responses may be biased.
• Time could be a major limitation it may have affected the inferences drawn in the study. Only 25 respondents have been selected due to time constraints.
• Sample may not be the true representative of the universe.
• Study was conducted from those who are in my contact, so the results of the study may not be applicable in other areas.

Chapter 3

Data Analysis and Interpretation

This chapter analyze the behavior and preference of the consumer for various brands of mobile handset based on various factors which influence their buying decision.

This chapter therefore deals with the analysis and discussion of the project.

Results of the study

Yes/No	No. of Respondents	%age
Yes	25	100
No	0	0
Total	50	100

  





Table3.1: Showing number of respondents owing a mobile phone                                                     
                  

Brands	No. of Respondents	%age
Samsung	6	26.9%
Apple	4	15.4%
Xiaomi MI	13	50%
OPPO	1	3.80%
Others	1	3.90%

Table3.2: Showing different brands of mobiles used by the respondents

Interpretation:

From the above table, we can conclude that out of  25 respondents 26.9% have Samsung, 15.4% have Apple, 50% have Xiaomi MI, 3.80% have OPPO. Apart from these brands 3.90% of respondents have other brands like One Plus, Realme, Asus, etc. It’s evident from the tables that Xiaomi MI is the most preferred brand of the customers.

   

Time Duration	No. of Responses	%age
Less than 2 years	16	65.2%
2 to 4 years	8	30.8%
4 to 6 years	1	3.1%
6 years and above	-	Nil

Table3.3: Showing how long respondents using mobile phones

Interpretation:

From the above table, we can conclude that out of 25 respondents 65.2% using Xiaomi MI less than 2 years, 30.8% using Samsung from 2 to 4 years, 3.1% using Apple from 4 to 6 years and no one using any mobile from 6 years and above.

Amount	No. of Respondents	%age
Less than 20000	10	40%
20000 to 30000	10	40%
30000 to 40000	4	12%
40000 and above	1	8%

Table3.4: Showing what amount the respondents are willing to spent

Interpretation:

From the above table, out of 25 respondents 40% willing to spent Rs. 20000 to Rs. 30000, 12% willing to spent Rs. 30000 to Rs. 40000 and 8% willing to spent Rs. 40000 and above.

Advertisements	No. of Respondents	%age
Television	8	30.8%
Newspaper	0	Nil
Magazine	2	7.7%
Internet	14	57.7%
Other	1	3.8%

Table3.5: Showing from the respondents often see the mobile advertisement

Interpretation:

From the above table, out of 25 respondents often see the mobile advertisement 30.8% through television, no one see through newspaper, 7.7% through magazine, 57.7% through internet and 3.8% through other sources.

Basis to choose mobile	No. of Respondents	%age
On the basis of price	5	23.1%
Camera quality	4	15.4%
Battery life	2	7.7%
Processor	10	38.5%
Recommended by friends	4	15.4%

  Table3.6: Showing the basis of respondents to choose a particular mobile

Interpretation:

From the above table, out of 25 respondents 23.1% choose mobile on the basis of price, 15.4% choose mobile on the basis of camera quality. 7.7% choose on the basis of battery life, 38.5% choose on the basis of processor and 15.4% choose mobile which are recommended by friends.

Basis of  Options	No. of respondents	%age
Yes	25	100%
No	0	Nil
Sometimes	0	Nil

Table3.7: Showing respondents to choose mobile on the basis of it’s features

Interpretation:

From the above table, out of 25 respondents 100% chooses “Yes” option which means they choose mobile according to the features and there is no any responses to the other options.

Basis Options	No. of respondents	%age
Yes	23	92.3%
No	2	7.7%
May be	0	Nil

Table3.8: Showing the respondents choose mobiles as a factor of durability

Interpretation:

From the above table, out of 25 respondents 92.3% chooses option “Yes” which means they choose mobile as durability factor, 7.7% responses on the option “No” which means they do not choose mobile as a durability factor and there is no response on the option “May be”.

Influencing decision	No. of Respondents	%age
Friends	9	38.5%
Family	5	19.2%
Pear group	6	23.1%
Other	5	19.2%

Table3.9: Showing the respondents who choose influence most in the purchase decision

Interpretation: 

From the above table, out of 25 respondents 38.5% takes mobile decision from their friends, 19.2% from family, 23.1% from pear group and 19.2% from other.

Basic Needs	No. of Respondents	%age
For calling	16	64.4%
Listening music	3	11.5%
Gaming	3	11.5%
Status symbol	3	11.5%

Table3.10: Showing the respondents basic need for using mobile phone

Interpretation:

From the above table, out of  25 respondents 64.4% uses mobile phones “for calling”, 11.5% uses mobile phones for “listening music”, 11.5% uses mobile phone for “gaming” and 11.5% uses mobile phones for “status symbol”.

Advertisement	No. of Respondents	%age
Slogan and Music	7	26.9%
Picture and Colour	9	38.5%
Story	4	15.4%
Spokes	5	19.2%

Table3.11: Showing which advertisement of mobile phone impresses the respondents

Interpretation:

From the above table, out of 25 respondents 26.9% mobile phones impresses by “slogan and music”, 38.5% impresses by “picture and colour”, 15.4% impresses by “story”, 19.2% impresses by “spokes”.

T.V Advertisements	No. of respondents	%age
Samsung	4	15.4%
Apple	19	76.9%
Xiaomi MI	1	3.4%
OPPO	1	3.3%
Other	0	Nil

Table3.12: Showing the respondents liking the T.V. advertisements of mobile phones

Interpretation:

From the above table, out of 25 respondents 15.4% likes the advertisements of “Samsung”, 76.9% likes the advertisements of “Apple”, 3.4% likes the “Xiaomi MI” and 3.3% likes the advertisements of “OPPO” and there is no response on the “other” option.

T.V Advertisements	No. of respondents	%age
Samsung	10	38.5%
Apple	11	43.3%
Xiaomi MI	3	15.4%
OPPO	1	2.8%
Other	0	Nil

Table3.13: Showing according to the respondents which mobile brand provides them best After Sale Service

Interpretation:

From the above table, out of 25 respondents 38.5% chooses “Samsung” for best After Sale Services, 43.3% chooses the option “Apple”, 15.4% chooses the option “Xiaomi MI” and 2.8% chooses the option “OPPO” for best After Sale Services.

Yes/No/Rarely	No. of respondents	%age
Yes	21	84.6%
No	2	7.7%
Rarely	2	7.7%

Table3.14: Showing the respondents choose the mobile phones on the basis of After Sale Services

Interpretation:

From the above table, out of 25 respondents 84.6% selected option “Yes” which means they choose mobile on the basis of After Sale Service and 7.7% chooses option “No” as well as option “Rarely” which means they do not purchase mobile phone on the basis of After Sale Services.

Correlation and T- test analysis of the study

This study shows all the independent responses from the respondents and this analysis also shows the respondent’s purchase-decisions regarding mobile phones. It also signifies the mean of the data, standard deviation and standard error mean.

 Interpretation:

The correlation analysis from the above table signifies that there is less variance for the factors which influence most in the purchase decision to the respondents and the respondent’s responsiveness and preferences for the mobile phone are there is a less difference at an extent.

Interpretation:

The study interprets out of 25 respondents, 5 respondents chooses option Family and other 9 respondents chooses option Friends. The mean, standard deviation and standard mean error is 3.2, 1.304 and 0.583 from first response who choose option as Family and from other the mean is 2.78, standard deviation is 1.563 and standard error mean is 0.521.     

 Interpretation:

The above table shows the independent sample for t-test analysis and it signifies the respondent’s difference in the selection of the mobile phone and this analysis is also mention the degree of freedom of the data. 

Interpretation:

The above is a parametric type of test and if information about population is completely known by means of its parameters and it is small sample type test. It shows the variances of the data from the respondents. The data signifies the mean difference, biasness and standard error for equal and unequal variances. 

Conclusion and Recommendation

The mobile phone represents the convergence instrument of the future. It becomes a necessity for many people throughout the world. The ability to keep in touch with family, business associates, and storing data are only a few of the reasons for the increasing importance of mobile phones. Cell phone manufacturers have produced a wide range of cell phones, which sell for prices that range from very inexpensive to thousands of rupees.

The above findings and results reflected the preferences, expectations and satisfaction level of mobile phone users. The study would help the companies in understanding the factors that influence the purchase decision of the consumers and their expectations from the mobile handset. The result of the study indicates that the mobile phones are no longer the status symbol for the consumers. Brand and features in a handset are preferred over their prices. People here are new and require new innovative features in mobile phone every new day.

Since the study was restricted to the selected customers who are known to me only so there is need to study more in other places of the city to get the clear view of the findings.  

All the above data is analyzed and interpreted through the use of SPSS software. Most of the respondent’s response positively to fill the questionnaire answers and gave suggestions with points which are the facts and their interest as well as preferences related to the use of mobile phones and also the respondents gave some suggestions.

The study is related to the t-test analysis of data which shows the different responses from the respondents to choose a particular mobile phone on their basis needs and preferences. The study signifies the mean difference, standard deviation, standard error and confidence level of the respondents and it also shows the biasness of their particular want for choosing the particular mobile phone.

Bibliography

• Books: Mr. Rjat Kapoor, The Times of India, Netaji Subhash Marg, Main Road, Dariyaganj, New Delhi- 110092, publishing year in 2016. Ms. Ishita Pathak, Oxford University Press, YMCA Library Building 1, Jai Singh Road, New Delhi- 110001, publishing year in 2018.
• Journals: Neeraj Kumar Jain, “Indian Journal of Marketing” Vol. 3, July 2014, from page 36 to 38. Shubhankar Mishra,  “Hindustan Times” Vol. 2, February 2015, from page 14 to 17.

Websites

• http://www.scribd.com/mobile
• http://www.researchgate.net/journal
• http://www.economicstime.in
• http://www.hindustantimes.in/research
• http://www.timesofindia.in/mobileresearch 
• scibd.com

APPENDICES
Questionnaire:

Factors Affecting Consumer Buying Behavior Special Reference to Mobile Phones

Name: ……………………………..

Gender:

o   Male

o   Female

          Age:

o   Less than 20

o   20 to 30

o   30 to 40

o   40 and above

          What is your income level (per month)?

o   Less than 20000

o   20000 to 40000

o   40000 to 60000

o   60000 to 80000

o   80000 and above

           What is your occupation?

o   Service

o   Student

o   Professional

o   Business

o   Other

1.      Which mobile phone you are currently using?

o   Samsung

o   Apple

o   Xiaomi MI

o   OPPO

o   Other

2.      How long are you using your mobile phone?

o   Less than 2 years

o   2 to 4 years

o   4 to 6 years

o   6 years and above

3.      Which is your favourite brand in mobiles?

o   Samsung

o   Apple

o   Xiaomi MI

o   OPPO

o   Other

4.      What amount would you be willing to pay for a mobile phone?

o   Less than 20000

o   20000 to 30000

o   30000 to 40000

o   40000 and above

5.      Where do you often see the mobile advertisement?

o   Television

o   Newspaper

o   Magazine

o   Internet

o   Other

6.      On what basis do you choose particular mobile phone?

o   On the basis of price

o   Camera quality

o   Battery life

o   Processor

o   Recommended by friends

7.      Did you choose the mobile phone on the basis of it’s features?

o   Yes

o   No

o   Sometimes

8.      Did you consider the durability of phone as a factor when you choose mobiles?

o   Yes

o   No

o   Maybe

9.      Who influence the most in the purchase decisions?

o   Friends

o   Family

o   Pear group

o   Other 

10.    What is your basic need for using mobile phone?

o   For calling                                              
o   Listening music

o   Gaming

o   Status symbol

11.  Which of the following would be impressed you the most in advertisements of mobile phones?

o   Slogan and Music

o   Picture and Colour

o   Story

o   Spokes

12.  Consider the T.V. advertisement you like what brand?

o   Samsung

o   Apple

o   Xiaomi MI

o   OPPO

o   Other

13.  According to you which mobile brand provides you the best after sale service?

o   Samsung

o   Apple

o   Xiaomi MI

o   OPPO

o   Other

14.  Did you choose to buy mobile phones on the basis of after sale service provided by them?

o   Yes

o   No

o   Rarely

15.  Which is the best brand to you and why?

……………………………………………………

               Suggestions:

               ……………………………………………………