Research
Research
INTRODUCTION
The project gives an insight of the laptop sector. It helps us to know what are the basis on
which a students chooses a particular brand when he/she purchases a new laptop. The
project will help to learn about the growing laptop sector in Nepal as a whole. The
research also brings to light what all factors a student considers at the time of purchase of
a new laptop.
The project entitled "A study on consumer preference and satisfaction towards
laptops" is carried out with an objective to determine the consumer preference and
satisfaction. The primary objective of this study is to find out the consumer preference
and satisfaction towards laptops with special reference to erode. Delivering customer
satisfaction is the heart of modern marketing theory.
The rapid developments in IT sector accompanied by increased competition and
acquisitions and mergers in the market, lead both academicians and practitioners to
concentrate on the consumers’ purchase decisions in portable PC industry. The NDP
group’s report published by PC World state that in May 2003, U.S. retailers made more
money selling laptop/notebook computers than they did selling desktops. It was the first
time that laptops have outsold desktops in the U.S. This research seeks to develop a
better understanding of the factors influencing consumers’ laptop purchases. What makes
this study distinctive from other sectoral studies is that, this research also seeks the
differences among three consumer groups (stayers, satisfied switchers, and dissatisfied
switchers) of a company with respect to the factors influencing consumers’ laptop
purchases. It is found that core technical features, post purchase services, price and
payment conditions, peripheral specifications, physical appearance, value added features,
and connectivity and mobility are the seven factors that are influencing consumers’
laptop purchases. Furthermore, price and payment conditions factor shows significant
difference among three consumer groups of a company’s customer base.
Good service and customer satisfaction are very important for companies for
both small and big companies, but especially so for small companies. Today
competition between companies is growing all the time is why good service is
becoming more and more important.
When a company manager serve its customer well enough and market them
happy company can create long term customer relationship and possibly get Free
marketing at the same time when satisfied. Customer tell about the good service they
got satisfied customer have a positive impact on the company's results and that is why
it is important an and interesting to investigate this impact. When measuring customer
satisfaction it’s possible to get useful information of the company customer and the
results can be used to improve the company and its service. You get an exact idea
what your customer want and you can start developing the service. Measuring
customer satisfaction should be a continuous process that is carried out regularly, not
just one if it is done regularly results will be more beneficial.
The objectives of this study are twofold. Initially, it is aimed to determine the
factors influencing consumers’ laptop purchases, and the findings of this first objective
will provide the basis for the second research objective in the study. Secondly, it is
intended to find out whether there are differences among consumer groups of a computer
company with respect to the importance given to the factors influencing consumers’
laptop purchases. In the following part a brief and recent literature will be given about
consumers’ purchase decisions.
The research project highlights the laptop usage in study from student’s point of
view. The project further makes an attempt to identify and evaluate various factors
which influence purchase indent of management and engineering students. Finally
present paper comes with some simple and practical suggestions to improve
laptop features and that will help laptop manufacturers to develop brand
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management strategies and to make proper positioning of their brands.
The general objective of the study is to find out the brand of laptop students preferred to
use in Nepalgunj. Beside this the other subsidiary objectives of the study are:
To know the length of particular brand of laptop used by the student.
To find out the reasons for choosing the particular brand.
To know the services provided by that laptop brand.
To know the satisfaction level of students on their current laptop
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brand with his\her ratings of the ideal brand. The brand that compares most favorably
with the ideal has the highest probability of being selected for purchase. This constitutes
the link between perception and preference above mentioned. Thus here we attempt to
get information about preferred brand laptop and also try to find out the answers of the
following questions.
How long a student has been using a particular brand of the laptop?
What are the reasons for choosing the particular brand?
What opinions are there regarding the services?
Are students satisfied with their current laptop?
.
The purpose of reviewing the literature is to develop some expertise in ones area, to see
what new contributions can be made, and to receive some ideas for developing a research
design. It is a way to discover what other research in the area of our problems has
uncovered. It is also the way to avoid investigating problems that have already been
definitely answered. The review of literature establishes a point of departure for future
research avoids needless duplication of costly research effort and also reveals the areas
of needed research. In our research topic “Students Preference on Brand Laptop In
Nepalgunj” we have chosen the different types of variables i.e. dependent variable and
independent variables.
In every study a good literature review does not only provide knowledge about what has
been done in the research area but also strengths and weaknesses upon which one can
also build an insightful and purposeful study.
1.5.1Theoretical Framework
The number of laptop brand is increasing in Nepal due to attractive market available in
the country. Nowadays, different brand of laptop has come under question in terms of
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quality services. Most of them are named for their best services but in fact they do not
fulfill the requirement. This study is designed to explore answers to this problem. Beside
this theoretical framework attempt to integrate all related information logically to
identify the reasons of the problem and all the variables are involved in it. Hence our
variables on the topic:”STUDENTS PREFERENCE ON BRAND OF LAPTOP IN
NEPALGUNJ” are categorized into dependent (student preference) and independent
(service quality, product quality ,brand awareness ,advertisement, family income,
price, appearance).
Fig1.5.1: Diagrammatic representation of theoretical framework.
Advertisement
Family Income
Price
Quality
Services
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1.5.2 Conceptual Framework
The independent variables cause the dependent variables to change accordingly. The
relationship between these variables is stated below:
The satisfaction of the student highly depends on the quality of the products. The
customers always prefer those products which have better quality. Customers are
regarded as the god for every organization so they should be handled delicately.
Price is the other important factor except advertisement which affect for purchase of
laptop. For high class people, price does not affect purchase .They only focus on product
brand. But middle class and lower class people are much affected by the price. Thus, the
one those who have strong access to money will buy good branded laptop and those who
have weak access to money will buy a simple laptop.
Income do have affect on preference as more the income ,more will be preference on
expensive laptop. According to Hong and Lerch (2002), people evaluate various
objective features when buying an IT product, and because of imperfect information and
simplifications according to the decision rules people often abstract these various
features into few perceptual dimensions such as ‘usefulness’ and ‘price’.
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most important attributes in SOHOs' PC purchase decisions. In a more recent study,
Dillon and Reif (2004) examine factors influencing consumers’ e-commerce commodity
purchases, and find that a history of e-commerce purchasing have a more positive
attitude towards on-line buying.
Students’ preference on brand laptop is directly related to the services provided, like the
post purchase services (warranty, guarantee and other services). The more the services,
the more the item is preferred. Higher the services higher the purchase.
People who are educated to the brand prefer to purchase the branded product. The use of
product is directly proportional to the brand awareness. People are attracted towards the
branded product as compared to the other local products.
Now a day’s people are more sensible towards the looks and the appearance of the
product. The appearance has power to generate its demand.
Family income is another independent variable that affects the use of mobile. Higher the
income level higher the demand. So it is found that the income level of family
determines product demand.
Brand is the name of the product. Branding differentiates the product from marketers,
sellers and consumers. They convey attributes, image, values and benefits. “A Brand is a
name terms, sign, symbol, or design or a combination of intended to identify the goods
and services of one seller or a group of seller and to differentiate from those
competitors”. It is clear from above definition that brand identifies goods to the market.
It can be name trade mark, logo or other symbol. It differs from other assets like patent
and copy right; which have expiry date. Trademark is legally protected brand which
implies the ownership of the users and exclusive right to use.
Branding constitutes an important part of product mix. The word brand is comprehensive
encompassing others narrower terms. A brand name consists of words, letters or number
that can be vocalized. A trademark is the part of the brand that appears in the form of
symbol or design or distinctive in color or letter. A brand mark is recognized by sign and
differentiates its product from competing products.
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“Building brands require a great deal of time, money, promotion and packaging.
Branding suggest product difference to costumers. They convey attributes, image value
and benefits that most of the products are branded.”
According to the American Marketing Association (AMA), a brand is a “name, term,
sign, symbol or design or a combination of them, intended to identify the goods and
service of one seller or group of seller and to differentiate them from those of
competition. “Technically speaking, then, whenever a marketer creates a new name,
logo, or symbol for a new product, he or she has created a brand.
Now a days, market is being much more competitive is a subject of consideration. Even
company should carry out the research before launching a new brand. As the costumer is
the king of the market in today’s liberal economy companies cannot only be profit
oriented. There is no specific formula for success. Market is different from place to
place, consumers need taste and interest may vary from place to place. In many cases
affordability, geographical location, culture and religion also determine the people’s
need. Therefore, the success of brand largely depends on the different factors such as
innovation, quality, attractive, packing, reasonable price, availability, good publicity,
brand positioning, unique selling proposition, value addition relationship etc. (Keller,
Strategic Brand Management, 2009)
Students learnt about cellular phone from many sources, mainly from friends and
families, through advertisement and from their own experience. Whether a promotion
and advertising hurt or help a brand is under-researched (Mel, Gupta & Lehman, 1997).
In the long-run, advertisement help brands by making consumer less price sensitive and
more loyal. Exposure of an ad is crucial to be effective in changing consumer
knowledge, attitude and behaviour (Evans, Moutinho & Van Raaj, 1996). And for the ad
to be seen, it must grab the attention of its target audience. ‘Ads originality’ as defined
from Pietes, Warlop and Wedel, (2002) were easier for student to remember than
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ordinary ads by increasing attention to it. This thus increased attention to the brand being
advertised.
Advertisers must remember that advertising messages are interpreted differently between
different genders (Maldonando, Tansuhaj & Muehling, 2003; Hogg &Garrow,2003;
Putrevu, 2001). Previous study has proven that females were more likely teenage in
elaboration than men (Maldonado & Muehling, 2003). Hogg and Garrow (2003) found
that women paid more intention about the details of the characters of an ad when asked
to analyse advertising messages. They said that this may be explained by the fact that
females have a greater tendency than men to consider external information and
information related to others. Women are ‘comprehensive processors’ who try to gather
all available information about the product.
Attributes are the characteristic or features that an object may or may not have and
includes both intrinsic and extrinsic (Mowen & Minor, 1998) .Benefits is the positive
outcomes that come from the attributes. People seek products that have attributes that
will solve their problems and fulfils their needs (Mowen & Minor, 1998). Understanding
why a consumer choose a product based upon its attributes helps marketers to understand
why some consumers have preferences for certain brands (Gwin & Gwin, 2003). In the
study by Gwin and Gwin (2003), the Lancaster model of consumer demand (1966,
1979), also referred to as the product attributes model, was used to evaluate brand
positioning. This model assumes that consumer choice is based on the characteristics (or
attributes) of a brand. Each product is a bundle of attributes and that choice is based on
maximizing utility/satisfaction from the attributes subject to budget constraints
This empirical paper explores the relationship between consumer brand preference or
loyalty and price elasticity in purchase behaviour. This behaviour is conceptualized as
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resulting from two distinct but related decisions, namely a brand choice decision and a
purchase quantity decision. We argue that loyal consumers will be less price sensitive in
the choice decision than non-loyal consumers.
A) Brand awareness
Brand awareness refers to students' ability to recall and recognize the brand under
different conditions and link to the brand name, logo, and jingles and so on to certain
associations in memory. It consists of both brand recognition and brand recall. It helps
the students to understand to which product or service category the particular brand
belongs and what products and services are sold under the brand name. It also ensures
that students know which of their needs are satisfied by the brand through its products
(Keller).
B) Service
In a recent paper, Liu (2002) studied factors affecting the brand decision in the laptop
industry in Asia. Choices between laptop brands were affected by new technology
features such as memory capacity and SMS-options, size. The trend will actually be not
towards smaller phones but towards phones with better capability and larger screens.
C) Colour
Seth et.al.(2008) analysed that there is relative importance of service quality attributes
and showed that responsiveness is the most important dimension followed by reliability,
student perceived network quality, assurance, convenience, empathy and tangibles. Liu
(2002) found that the choice of a cellular phone is characterized by two attitudes: attitude
towards the laptop brand on one hand and attitude towards the network on the other.
Samuvel (2002) observed that most of the respondents consider size, quality, price,
instrument servicing are an important factors for selecting the handset while majority of
the respondents are satisfied over the payment system, quality of services, coverage area
and the process of attending the complaints regarding their laptopservice provider.
Nandhini (2001) examined that attitude of the respondents using laptop was not
influenced by either education or occupation and income. Kalpana and Chinnadurai
(2006) found that advertisement play a dominant role in influencing the students but
most of the students are of opinion that promotional strategies of cellular companies are
more sale oriented rather than student oriented. Haque et al (2007) suggested that price,
service quality, product quality &availability, and promotional offer play a main role
during the time to choose laptop communication services.
A detail plan that is prepared to search the answer of the research problem is known
as research design. Design is overall form work out line or plan performing the study.
The data are carefully studied and analysis systematically under specific major handing
so as to meet the objective of the study. On the other hand, the accumulated data are
analyzed and tabulated systematically. The entire research design is classified in the
following categories:
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This research has a descriptive research design as it is made to analyse the students’
preferences regarding the brand of laptop. The various factors influencing students’
preferences were taken into consideration. This research makes use of both quantitative
and qualitative research methodologies.
The population of the study comprise of all the students of bachelor degree in Nepalgunj.
The sample size for the research is 100 students including from the different bachelor
degree colleges in Nepalgunj. Thus the sampling method used is judgmental sampling.
Primary data is the core data of study. They are original data collected from the students
taking the sample size of 100. The data were gathered to solve the problem under
consideration. The data that were used in the study for the analysis and interpretation of
variables were purely obtained from a survey on students in Nepalgunj. The data used to
draw findings and make conclusions are fully based on the primary data.
Surveys have become so common in today’s world that the average person seldom
questions the idea about the useful information that can be obtained in a particular
manner. Various findings of one type or another are developed and are usually seen
possible after the acceptance.
Questionnaire:
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Questionnaire and observation are two basic methods of collecting data in marketing
research. In questioning, data is collected by asking questions a formal list of such
questions is called a questionnaire.
Speed and cost:- questionnaire is usually faster and cheaper than observing
interviewee. It has moreover better gathering activities. As a result, less time
is wasted in a questionnaire study.
respondent cannot furnish information because they are unable to remember the derived
facts, or they have never known the facts.
Types Of Questionnaire
After collecting the data, the collected data are tabulated on different headings. SPSS
computer software is used for data entry and analysis and the results are presented with
the help of tables and figures.
The responses are categorized, tabulated, processed and analysed using different
methods. For the analysis of data, frequency table and cross tabulations are used
according to the requirement.
Data analysis is the process of developing answers to questions through the examination
and interpretation of data. Its purpose is to change the data from an unprocessed form to
an understandable presentation.
a) Classification and Tabulation of Data
The data collected was classified and tabulated in order to make it easily
understandable. The data was classified in chronological order i.e. on the basis of time
intervals. After classification, the data was tabulated i.e. arranging the data in rows and
columns systematically.
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There is nothing in the world without limitation even with god. So is the case with this
research. It is very difficult to find any study as in its complete form. There are some
limitations of the study though the attention had been paid to reduce it. It is very hard to
find a research design without error. Limitations occur due to lack of the resources that is
Time, Knowledge, and Finance resources. The limitations of this study are given as
follows:
It is theoretical research report but not the professional one. It is only done to
fulfill the course requirement.
CHAPTER II
In today’s changing scenario customers are having power towards success or failure of
any branded product. As our product is laptops of different brands is well known among
our respondents, and it is used by our respondent in their daily life directly or indirectly.
So we got good response from the corporate world as well as common people.
The most familiar form of laptop is a manually operated device with one or more sets of
many services, features and function. Each set of services, features and function can be
in one of two states: either 'closed' meaning the contacts are touching and feeling can
flow between them, or 'open', meaning the contacts are separated and none concluding.
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The term 'laptop' is also applied to telecommunications networks, business, institution,
etc and signifies a network that is competitive advantages over other, such as the public
is using laptop in their daily life such telephone network was before a decades. The
common feature of all these usages is they refer to laptop that controls a connectivity
with whole world with a very few charge in all respect: audio, video, text, animation
with help of internet connection.
Now, a days laptops are matter of consideration for users because these days they are
more focusing on the changing trend and Comfort ability. Due to this companies of
branded laptop and manufacturers are more focusing on changing trends and consumer
demand, this helps in gaining good market share among users.
HCL
HP
COMPAC
IBM
LENOVO
DELL
WIPRO
OTHERS
Respondent Profile
The population of the study comprise of all the students of bachelor degree in Nepalgunj.
The sample size for the research is 100 students including from the different bachelor
degree colleges in Nepalgunj. Thus the sampling method used is judgmental sampling.
The sample size for the research is 100 students shows that 28% of respondents are of
Management that includes BBA & BBS , 17% of respondents are of Humanities, 26% of
respondents are of Allied Science that includes allied science, 16% of the respondents
are of BSC Nursing and 17% of the respondents are of Engineering.
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Out of total students 49% were male and 51% of the students were female. Respondents
are picked on judgment of the researcher. The purpose of picking those respondent is to
get true & reliable data without any biasesness. The ratio was on the number students
studying different courses in bachelor level in nepalgunj.
In this chapter, all data collected from the bachelor degree students in Nepalgunj are
presented with the needed tables and diagrams. This study includes view of 100
respondents from different bachelor degree colleges in Nepalgunj. The data are presented
in the tabular format along with the necessary diagrams and percentage are analysed.
Gender Percentage
Male 49%
Female 51%
Total 100
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Percentage
51.5
51
50.5
50
49.5 Percentage
49
48.5
48
Male Female
According to the above table and bar diagram, out of total students 49% were male and
51% of the students were female.
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The above table and pie chart shows that 28% of respondents are of Management that
includes BBA & BBS , 17% of respondents are of Humanities, 26% of respondents are
of Allied Science that includes allied science, 16% of the respondents are of BSC
Nursing and 17% of the respondents are of Engineering.
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Newspaper TV Friends Internet others
0%
12%
28%
33%
27%
The above table and figure indicates that 12% of the students know about laptops
through newspaper advertisement. Similarly, 33% of them become familiar with the
laptops through TV followed by friends and internet 27% and 28% respectively.
Any product can be promoted by a company through the effective use of media. Media
includes newspaper, TV, internet, journals etc mostly and also friends play vital role in
advertising the product.
With the help of given figure, it can be said that media have the effective impact among
the students. It proves that various media have to be used by the competitor to survive in
the tough competition. Media will help to increase the market share of such products.
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Fig.4: Laptop preference according to price range
40
35
30
25
20 Percentage
15
10
5
0
< 30000 30000 - 40000 - >50000
40000 50000
From the above table and figure it was found that majority of the students prefer the
laptop with the price range of 30000 to 40000 i.e 38% .30% of the students prefer the
laptop with the price range less than 30000. Similarly, 15% of the students prefer the
laptop with price range of 30000 to 40000. 17% of the students prefer the laptop with
price range greater than 50000.
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40
35
Percentage of the respondent
30
25
20
15
10
5
0
<1 years 1 - 2 years 2 - 4 years > 4 years
laptop used duration
26% of respondents prefer to use the particular laptop brand for less than 1 years, 34%
prefer to use the particular laptop for time between 1 to 2 years, 27% prefer to use the
particular laptop for time between 1 to 2 years, 27% prefer to use the particular laptop
brand for time between 2 to 4 years and 13% prefer to use the particular laptop brand for
time greater than 4 years
From the data we get to know that most of the students use the laptop for 1 to 2 year.
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90
80
Percentage of respondent
70
60
50
40
Male
30
Female
20
10
0
Slim and Light Thick and Small Large
Heavy
Preferred laptop interms of appearance
From the above table and diagram we get to know that out of total sample (100) 73%
respondents prefer laptop to be slim and light, 8% of them like the appearance to be thick
and heavy, 9% of them like the appearance to be small and rest of the other ie. 10%
prefer the large laptops.
Among male respondents, 69.4% of them prefer the slim and light appearance of mobile,
8.2% of them prefer thick and heavy laptop, 12.2% prefer small laptops and 10.2%
prefer large laptops.
Among female respondents, 76.5% of them prefer the slim and light appearance of
mobile, 7.8% of them prefer thick and heavy laptop, 5.9% prefer small laptops and 10%
prefer large laptops.
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Fig7: Appealing factor of the particular laptop
Appealing Factors
Percentage
28
25
18
13
9
7
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120
100
80
60
40
20
0
Highly Satisfied Moderately Dissatisfied Highly Total
satisfied satisfied dissatisfied
From the above figure we conclude that most of the respondents are well satisfied by
their current laptop but still it has to work out on improving the facility. About 29% of
the respondents are highly satisfied with their current laptop,48% of them are satisfied,
18% of them are moderately satisfied, 2% of them are dissatisfied and 3% of them are
highly dissatisfied.
Reason Percentage
Advertisement 14
Appearance 21
Price 14
Quality 36
Service 15
Others 0
Total 100
.
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Fig9: Reason to like the current laptop
120
100
80
60
40 Percentage
20
According to the above table and diagram, 14% of the respondents like the current
laptopbecause of advertisement, 21% like because of appearance, 14% like because of
quality, 15% like because of service.
Thus, most of the students like the current laptopbecause of quality, followed by
appearance.
50
40
Highly Dis Satisfied
30 Dis Satisfied
20 Neutral
Satisfied
10
Highly Satisfied
0
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Entertainment
IBM lenovo HP Dell HCL Compaq WIPRO Other(name)
4%
6% 15%
11%
10%
16%
18%
20%
As per the above diagram, on the basis of entertainment Dell & HP are the most preferred brand
with 20% & 18% respectively.
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Value for price
IBM lenovo HP Dell HCL Compaq WIPRO Other(name)
5%
22% 17%
11%
20%
18% 7%
As per the above diagram, on the basis of value for price Dell & other brands are the most
preferred brand with 22% & 20% respectively.
Reliability
IBM lenovo HP Dell
HCL Compaq WIPRO Other(name)
10% 10%
6%
12%
15%
18%
14%
15%
As per the above diagram, on the basis of reliability HP & Dell are the most preferred brand with
18% & 15% respectively.
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Table 2.2.14 :Brand Preferences based on availability
Easily available
IBM lenovo HP Dell HCL Compaq WIPRO Other(name)
15% 15% 6%
13% 3%
15%
13%
20%
As per the above diagram, on the basis of easily availability HCL & Dell are the most preferred
brand with 20% & 15% respectively.
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Efficiency of battery
IBM lenovo HP Dell HCL Compaq WIPRO
6%
9% 18%
11%
8% 27%
21%
As per the above diagram, on the basis of easily availability Lenova & HP are the most preferred
brand with 27% & 21% respectively.
Special services
IBM lenovo HP Dell HCL Compaq WIPRO Other(name)
8% 12%
10%
10% 20%
15%
15%
10%
As per the above diagram, on the basis of easily availability Lenova & HP are the most preferred
brand with 20% & 15% respectively.
Quality
IBM lenovo HP Dell HCL Compaq WIPRO Other(name)
4%
6% 15%
11%
10%
16%
18%
20%
As per the above diagram, on the basis of easily availability Dell & HP are the most preferred
brand with 20% & 18% respectively.
Most of the respondents are using of laptop due to its best service and reliability.
Most of the respondents are influenced by availability (44%) and price (16%) and
least influencing factor is weight (9%).
the modes of awareness of laptop among respondents, that is 44% of
respondents are come to know from media, 27% are from magazine, 16% are
from other and 13% respondents are know about switches from reference group.
Level of satisfaction among respondents towards branded laptop, we made a
survey regarding satisfaction level and we find that 39% of respondents are
satisfied with the performance of branded laptop, 17% excellent,12% average
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and only 2% respondents are disappointed with the performance of branded
laptop.
Hp and Compaq is the most preferred brand of laptop among respondents 55% of
total sample.
It is revealed that most of the respondents from our sample 41% are brand loyal
to their preferred branded laptop despite price hike only a small proportion of
respondent’s i.e 39% are more inclined towards price sensitivity rather than the
brand preference.
During non-availability of most preferred brand of branded laptop apple is in
demand it contains 8%.
Most of the Students are ready to pay for a laptop from 30,000 to 40,000 and they
spend according to their family income.
Mostly students see laptop advertisement on television. They also know about
laptop from friends circle and internet.
34% students are using the laptops since last 1 to 2 years.
Mostly students prefer slim and light laptop rather than thick and heavy, small
and large sized laptop.
Service features like faster internet connectivity, efficient data transfer, higher
compatibility with other electronic devices and warranties make the students to
prefer the laptop most.
High storage is the most appealing attribute that make respondents to buy the
laptop followed by colour and high resolution camera respectively.
Almost all students are well satisfied by quality of laptop but still it has to work
on improving the facility because still there is some dissatisfaction.
Most of the students like the current laptop because of quality, followed by
appearance.
Appearance, Price, and advertisement are the important factors for the students
while purchasing laptops.
CHAPTER III
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The previous chapters have discussed and explored the facts and matters required for the
various Management of the study. As the objective of the research is not only to point
out the problems but also to correct and direct for further growth and improvement.
Having completed the basic analysis for the study, the final and most important task for
the research is to enlist findings of the study and recommend for further improvement.
3.1 Conclusion
The project gives an insight of the laptop sector. It helps us to know what are the basis on
which a students chooses a particular brand when he/she purchases a new laptop. The
project will help to learn about the growing laptop sector in Nepal as a whole. The
research also brings to light what all factors a student considers at the time of purchase of
a new laptop.
Year by year the number of people who are using and owning personal computers
(PC) substantially increases in all over the world. Contrary to the introduction years of
computers, today they have been used by almost all age groups, and by both males and
females, and the gap between age groups and the gap between males and females with
respect to computer usage/ownership decreases. Furthermore, consumers’ desire for
portable and attractively designed PCs forces the companies to produce
laptops/notebooks. In addition, extended battery life, price cuts, prevalence of home-
offices, and integrated wireless networking also cause to the increased sales of laptops.
On the supply side of the market, the companies try to make profit and even survive in a
highly competitive environment. Furthermore, the rapid development in technology,
particularly in nano-technology, leads companies to make huge amounts of investments
in R&D. Moreover, the acquisitions and mergers in the sector and new players in the
market also influence the companies operating in IT industry. In such a volatile industry,
it becomes extremely important to learn the factors that are influencing consumers’
purchase decisions. The customer base of a company is comprised of its current
customers and those customers who are attracted from competitors. In addition, the
customers who are acquired from competitors can be either satisfied switchers or
dissatisfied switchers. Hence, it is equally crucial to learn about whether there is a
difference among stayers, satisfied switchers and dissatisfied switchers with respect to
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their laptop purchase decision factors. This issue becomes exceptionally vital when the
consumers decide to upgrade/change their laptops.
In this study, it has been found that there are seven factors which influence
consumers’ laptop purchase decisions. These factors can be stated as follows: core
technical features, post purchase services, price and payment conditions, peripheral
specifications, physical appearance, value added features, and connectivity and mobility.
On the other hand, stayers, satisfied switchers and dissatisfied switchers demonstrate a
significant difference only in one factor: price and payment conditions. The results show
that when compared to stayers and satisfied switchers, dissatisfied switchers give less
importance to price and payment conditions related factor.
From the managerial perspective, the findings of this study imply that when a
consumer of a company decides to buy a new laptop or in technical terms to upgrade his
laptop, the company should consider which customer base he belongs to. For instance, if
the consumer is a stayer, the company can offer price discounts when he decides to
upgrade his laptop. Likewise, the company can give special promotions to stayers when
they bring their former laptop and exchange it with a recent model of the company’s
laptops. It is also seen that among all factors, mobility and connectivity factor has
received the lowest importance (2.82/4) from three groups of consumers. This can be
attributed to the fact that due to the nature of laptops, being mobile is an expected
feature. Another explanation to this result can be that consumers usually do not like to
use technological words such as infrared and Bluetooth, they prefer to say connecting to
Internet or mobile phone, sending pictures and documents to printer, and etc. Hence, it
will not be sufficient and efficient to merely underlie this feature in advertisements. If
this feature has to be mentioned in ads then the tone and the words used should be plain
and explanatory. However, since all consumer groups find core technical features and
post purchase services extremely important, these features should be emphasized in
advertisements. It has to be also noted that post purchase services factor is tremendously
important since it is directly related with customers’ brand loyalty.
This study recommends companies to invest in technology through R&D and
create differentiation at utmost level. This research has been limited to laptop/notebook
sector and the factors influencing consumers’ purchase decisions in this market, since
sectoral differences play a vital role, it is also recommended to replicate this study in
distinct sectors.
Management students are price conscious while compared to the professional students.
Reasonable prices as well as credit facilities are the factors to determine the Management
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and students to purchase branded computers. So, if companies can properly and
favorably concentrate on this segment, sales volume of the product can increase.
Consumers can thus benefit from a reasonable price. All categories of students expect
after sales and service. Being offered proper and prompt service, the customers really
feel the value of branded computers. They are satisfied with their brand and they also
turn to be opinion leaders. Management students are impressed with promotional value
such as offers, styles etc. Promotional strategy is a tool for promoting the branded
computers. It can serve to stimulate learning. The marketer can provide cash discount,
free gift, components and free accessories without raising the actual price. Cues serve to
direct customer drives when they are consistent with consumer expectations. Marketers
must be careful to provide cues that fail to meet those expectations. Cues are to serve as
the stimuli that guide customer actions in the direction desired by the marketer. In the
market-place, price, styling, packaging, advertising, and store displays all serve as cues
to help customer fulfill their needs in product-specific ways. This research shows that
student segments require quality as well as service; these factors will promote the
branded computers. If the marketer wants to defeat the competition, they should provide
qualitative and original products. When the customers enjoy the value of the product, and
start using the branded computers they become surrogate buyers. Professional and
science students are happy with guarantee and warrantee of the product. The marketer
can give guarantee and warrantee as per buyer’s expectation. If any physical damage,
short circuit happens, the marketer can fulfill the needs and wants of the customers. The
marketer can exploit this belief and turn his product into customer delight. Availability
of components and products at the right time ensures time value for customers. In case of
non-availability of the product, if the customers are made to wait for a longer time, they
will turn out to be mercenary customers. If the marketer overcomes the non-availability,
then it is possible to convert all the enquiry seekers into customers.
References
xxxix
i. Alvarez, E. J. (2001). Your Bank's Image: Keeping it Consistent. Bank
Marketing, 33(3), April, pp. 30-36.
ii. Wolff, H.K. & Pant, P.R. (2003). A Handbook For: Social Science Research and
Thesis Writing. Kathmandu:Budda Academic Publisher and Distributor.
iii. Cohen, david,Christopher Ga, Hua Hwa Au Yong and Esther Choong March
2006 CUSTOMER SATISFACTION: A STUDY OF BANK CUSTOMER
RETENTION IN NEW ZEALAND
iv. Howards K. Wolff and Prem R. Pant (1999) A handbook of social science
research and thesis writing. Ghattekulo Dillibazar, Kathmandu
v. Ian Howard Frederick Bull (15 November 2005) The relationship between job
satisfaction and organizational commitment among high school teachers in
disadvantaged areas in the western cape.
vi. Parasuraman, A., Berry, L.L., Zeithaml, V.A. (1991a) Refinement and
reassessment of the SERVQUAL scale, Journal of Retailing, 67(4), pp.420-450.
vii. Koirala, K.D.(2012).Principle of Marketing. Kathmandu: Buddha Academic
Publishers & Distributors.
viii. Kotler,P., Keller ,K.L., Koshy, A. & Jha, M.(2012).Marketing Management :A
South Asian Perspective.New Delhi:Pearson Education.
xl
Branded Laptop preferred by executive class people:
Part –A
1. Please name the laptop that comes to your mind immediately ………………….
Yes No
4. Most important reason for using the particular laptop (Tick one)
Part –B
xli
6. Rate the factors in order of importance that influences you
Entertainment(gameoriented)
Reliability
Easily available
Efficiency of battery
Comfort
Special services
Quality
Light in weight
xlii
Factors HCL HP COMPAC IBM LENOVO DELL WIPRO Other(name)
Entertainment
Reliability
Easily available
Efficiency of battery
Special services
Quality
Light in weight
10. Please check three most important reasons why you selected the branded laptop
12.Education
xliii
Graduate Post Graduate Any other
13. Occupation
15 .Gender
Male Female
Name of Respondent :
Contact no. :
xliv