Premium Essay

Factors Influencing the Consumer Buying Decision of Mobile Phone in Malaysia

In: Business and Management

Submitted By jsuk3
Words 6959
Pages 28
MARKETING RESEARCH METHODS ASSIGNMENT 1
(RESEARCH PROPOSAL)

Factors influencing the consumer buying decision of mobile phone in Malaysia

Group Members: Word count-2579

1.1 Introduction

1.1 Background
With recent advancements in technology, the term mobile phones become obsolete and is replaced with the word ‘smart phones’, which has adjusted its position as the ‘new information medium’ (May and Hearn, 2005), due to the ever increasing convenience and features, such as, MMS, GPS, video call services and many more, allowing society itself to shift towards smartphone purchases (Min, et al., 2012). AC Neilsen (2012) reported that Malaysia is ranked highly in its region for smartphone usage, a total of 27%, while the closest contenders have only a slight difference in percentage (Thailand, 28% and Philippines, 29%). Furthermore, the perception of smartphones being a luxury item or a status symbol shifts to it being viewed as a necessity to daily life (Walsh and White, 2006) may have added the increase in usage rates, this can be supported by a study conducted by Syed Yahya Kamal, Syed Ardi and Tasir, Zaidatun (2008), which reported that mobile phones were viewed as a necessity by university students as it changed the methods of learning in universities. For example, info graphic research showed that out of the 57% mobile phone users, 40% use their phones to study before exams (Alexander, 2011). Furthermore, an increasing amount of students take notes, record lectures and so on, all through the use of smartphones (Mayudia Mothar, Musa Abu Hassan, Salleh Hassan and Nizam Osman, 2013).
In the present paper, the factors associated with mobile phone purchases amongst university students in Malaysia, such as, innovative features, aesthetic appeal (image), price, longevity, influence of the media,

Similar Documents

Premium Essay

Recommendation System

...CONSUMER BUYING BEHAVIOR TOWARDS MOBILE PHONE BUYING AMONG UMP ABSTRACT Consumer buying behavior refers to the buying behavior of the individuals and households who buy goods and services for personal consumption. Factors affecting how customers make decisions are extremely complex. There are many factors that can affect this process as a person works through the purchase decision. According to the black box model of consumer behavior, there are two main stimuli that is related to buyers response towards buying a certain product, in this research; mobile phone. But, which one can be much more influencing than the other in terms of buying decisions. But, which one can be much more influencing than the other in terms of buying decisions. Based on the black box model of consumer behavior, this research’s objectives are to find out the relationship between environmental factors with buyers decision making process. This study also intends to compare the two elements in environmental factors in terms influencing buying decisions to find out which stimuli is the main stimuli that mostly influence consumers mobile phone buying decisions. A survey questionnaire were conducted among 100 randomly chosen UMP students. INTRODUCTION According to Kotler and Armstrong (2001), consumer buying behavior refers to the buying behavior of the individuals and households who buy goods and services for personal consumption. Consumers around the world are different in various factors...

Words: 1180 - Pages: 5

Premium Essay

Mobile Buying Behaviour

...CONSUMER BUYING BEHAVIOR TOWARDS MOBILE PHONE BUYING AMONG UMP STUDENTS : MARKETING VERSUS ENVIRONMENTAL STIMULI. ABSTRACT Consumer buying behavior refers to the buying behavior of the individuals and households who buy goods and services for personal consumption. Factors affecting how customers make decisions are extremely complex. There are many factors that can affect this process as a person works through the purchase decision. According to the black box model of consumer behavior, there are two main stimuli that is related to buyers response towards buying a certain product, in this research; mobile phone. But, which one can be much more influencing than the other in terms of buying decisions. But, which one can be much more influencing than the other in terms of buying decisions. Based on the black box model of consumer behavior, this research’s objectives are to find out the relationship between environmental factors with buyers decision making process. This study also intends to compare the two elements in environmental factors in terms influencing buying decisions to find out which stimuli is the main stimuli that mostly influence consumers mobile phone buying decisions. A survey questionnaire were conducted among 100 randomly chosen UMP students. INTRODUCTION According to Kotler and Armstrong (2001), consumer buying behavior refers to the buying behavior of the individuals and households who buy goods and services for personal consumption. Consumers...

Words: 1185 - Pages: 5

Premium Essay

Friedman Test

...203-212 www.irssh.com ISSN 2248-9010 (Online), ISSN 2250-0715 (Print) Consumer Choice Criteria in Mobile Phone Selection: An Investigation of Malaysian University Students Safiek Mokhlis (Corresponding author) Faculty of Management and Economics, Universiti Malaysia Terengganu 21030 Kuala Terengganu, Malaysia e-mail: safiek@umt.edu.my Azizul Yadi Yaakop Faculty of Management and Economics, Universiti Malaysia Terengganu 21030 Kuala Terengganu, Malaysia e-mail: azizul_yadi@umt.edu.my (Received: 9-11-11/ Accepted: 30-11-11) Abstract The widespread use of mobile phones, the various information access means that it provided to its users, and the vast presence and significant impact of mobile phone on users’ daily life make mobile phones important devices to study. This paper focuses on studying the importance of different choice criteria in mobile phone selection among Malaysian consumers. A quantitative study drawing data from 376 university students was employed. The collected data were analyzed using SPSS. Descriptive statistics, factor analysis, and Friedman test have been employed in the study. The principal components factor analysis resulted in seven independent dimensions: (1) innovative features, (2) image, (3) price, (4) personal recommendation, (5) durability and portable aspects, (6) media influence, and (7) post-sales service. The top three most important factors influencing consumer choice of mobile phones are: innovative features, recommendation and price. Several managerial...

Words: 5202 - Pages: 21

Premium Essay

Thesis

...Abstract The purpose of this study is to analyse the factors of affecting the students’ purchase intention on mobile phone in Johor. The result is useful for manufacturer to take the feedback and make the improvement in the future. There are many factors of purchase intention and it changes with the time. Therefore, this study will focus on 4 variables to analyse which are brand, price, feature and recommendation by friends and family. Moreover, data were collected from Southern University College students in Johor Bahru. This data is based on 100 respondents who age is between 20 and 30 years old. The quantitative method would be used to collected data which can help to save time and costly. Besides, the result shows that brand is the main factor affects the students’ purchase intention. Hence, this study suggested that the mobile manufacturer should consider the above mentioned factor which helps to enhance the students to purchase. Acknowledgement In this regard, I want to express my gratitude to my supervisor, Mr. Alex Tan Wei Liang. During this time, he spends his time to guide me to complete this research study. Also, he always use his language to call me relax when I am feeling stress and bad mood. In addition, one of the important roles in this research study is the respondents. I would like to thank for them due to willing to spend their time and help me to response the questionnaire which is part of the research study. Lastly, I would like to thank...

Words: 11549 - Pages: 47

Premium Essay

Factors Affecting the Consumers' Adoption Intention of E-Wallet in Malaysia

...using only a mobile smartphone. This study is directed towards developing a model to explain the consumer's’ intention to adopt e-Wallet in the social context. It adopts Consumer Need for Uniqueness Theory based on the concept of Counter-Conformity Motivation (CCM) also known as Need For Uniqueness. Many researchers had explored the relationship of consumer’s intention to adopt on the technological usage context. However, little research in social context had been carried out. Therefore, this paper aims to examine the factors affecting the consumer adoption intention in social context. This paper found that CCM, self-identity and word-of-mouth (WOM) are the salient determinants in this study of knowledge of consumer adoption intention in e-Wallet. Keywords: e-Wallet, intention to adopt, counter-conformity motivation, need for uniqueness 1.0 Introduction According to the historical evidence, the first use of money is assumed to have started around 600 BC in term of coins (Davies and Davies, 2002). However, the world is evolving, due to the rapid change in technology. Most of the consumers have changed their ways of making bill payment. E-Wallet is the latest trend and phenomenon as the outcome of technology advancement (Patel,V, 2016). Not only that, Doan, N (2014, p. 6) claims that Mobile Wallet can also be known as Digital Wallet when the smartphone can function as the leather wallet. Mobile wallet is simply defined as a payment solution for the consumers as they would...

Words: 5991 - Pages: 24

Free Essay

Customer Loyalty Malasia

...CUSTOMER LOYALTY : THE CASE OF MOBILE PHONE USERS IN UNIVERSITI UTARA MALAYSIA Prepared by Meguellati Achour Pn. Nor Pujawati Md. Said Dr. Ali Boerhannueddin Abstract Service quality, switching barriers, and brand image are the major antecedents of customer loyalty, and loyal customers may buy more, accept higher prices and have a positive word-of-mouth effect. Also we know that the cost of selling to new customers is much higher than the cost of selling to existing customers, also the cost of attract new customers is much higher than the cost protect existing customers ten times. Although this fact is apparent to everyone, many companies are still losing customers at a formidable rate. In this context the main aim of this research is to examine the relationships between these factors and customer loyalty in the Universiti Utara Malaysia sector. Based on the theoretical model, a comprehensive set of hypotheses were formulated and a methodology for testing them was outlined. These hypotheses were tested empirically by questionnaires to demonstrate the applicability of the theoretical model. The results indicate that service quality, switching barriers, and brand image are separate constructs that combine to determine the loyalty, with service quality and switching barriers exerting a stronger influence than brand image. Finally hypotheses H1, H2 were supported, while hypothesis...

Words: 4026 - Pages: 17

Free Essay

Customer Loyality

...CUSTOMER LOYALTY : THE CASE OF MOBILE PHONE USERS IN UNIVERSITI UTARA MALAYSIA Prepared by Meguellati Achour Pn. Nor Pujawati Md. Said Dr. Ali Boerhannueddin Abstract Service quality, switching barriers, and brand image are the major antecedents of customer loyalty, and loyal customers may buy more, accept higher prices and have a positive word-of-mouth effect. Also we know that the cost of selling to new customers is much higher than the cost of selling to existing customers, also the cost of attract new customers is much higher than the cost protect existing customers ten times. Although this fact is apparent to everyone, many companies are still losing customers at a formidable rate. In this context the main aim of this research is to examine the relationships between these factors and customer loyalty in the Universiti Utara Malaysia sector. Based on the theoretical model, a comprehensive set of hypotheses were formulated and a methodology for testing them was outlined. These hypotheses were tested empirically by questionnaires to demonstrate the applicability of the theoretical model. The results indicate that service quality, switching barriers, and brand image are separate constructs that combine to determine the loyalty, with service quality and switching barriers exerting a stronger influence than brand image. Finally hypotheses H1, H2 were supported, while hypothesis...

Words: 4026 - Pages: 17

Premium Essay

Consumers Perception About Online Shopping in Indore

...ABSTRACT Today is the Era of Globalization and the consumer is not bound within boundaries of a particular place to access products available in the outer world, now he can go beyond the boundaries of any market area where he lives, to access the things of his interest. But this virtual connectivity known as “ONLINE SHOPPING OR E-TAILING” is really a challenge for Indian customers to be associated with; they face some real time problems related to trust and quality. But the Indian shopping trend shows some rigid type of behavior towards online shopping. They do not trust this shopping style as they have to see and choose a product virtually and pay for it, without any kind of physical touch, which was really difficult to be done in Indian market, but in past 2-3 years the trends have changed at least in metros and big cities. It has been observed that Indore is adapting the changes in shopping trends in metros very quickly, they love to shop from home and enjoy online shopping. So the process of analysis of factor affecting customer satisfaction levels was initiated, ACSI Model uses the three manifest variables: Customer’s Expectation, Perceived Values and Over-all Quality, which leads to satisfied customer. This will give us the clear insights of satisfied online shoppers across Indore. Factors affecting online shopping behavior Online shopping is a relatively new type of retail shopping. It has now been adopted all over the world including Thailand. In Thailand, electronic...

Words: 15765 - Pages: 64

Premium Essay

Factors Affecting Demand of Smartphone

...Inquire, Inspire and Innovate BRM 2044 RESEARCH METHODS FOR BUSINESS The Factors Affecting the Purchase Intention of the Consumers toward Smartphone. TRIMESTER 2, 2012/2013 Lecturer: Wendy Teoh Ming Yen Lecture section | BM 202 | | Student’s Name | Student’s ID | Student’s Major | Signature | (Group Leader)Member 1: | THEO WAI KIAN | 1102700074 | BANKING AND FINANCE | | Member 2: | MAH JIA YEE | 1102701193 | BANKING AND FINANCE | | Member 3: | CHEN ZI XIANG | 1111112600 | HUMAN RESOURCE | | Member 4: | TAY KHENG GUAN | 1101106830 | HUMAN RESOURCE | | Table of Contents Index Page Cover Page 1 Contents 2-3 Chapters 1: Introduction 4-11 1.1 Introduction 4-6 1.2 Background of the research and research question 6-7 1.3 Research objectives 8 1.4 Significance and justification of the study 8-9 1.5 Research scope 9 1.6 Definition of the key terms 10 1.7 Organizational of Research 11 Chapters 2: Literature Review 12-19 2.1 Introduction 12 2.2 The theory 12-13 2.3 Dependent variable 13-15 2.3.1 Purchase intention of smartphone 14-15 2.4 Independent variables 15-19 2.4.1 Product features 15-16 2.4.2 Price 16-17 2.4.3 Brand name 17-18 2.4.4 Social influences 18-19 2.5 Conclusion 19 Chapters 3: Research Methodology 20-29 3.1 Development of Research framework and hypotheses 20-22 3.1.1 Social influences 21 3.1.2 Product features 21 3.1.3 Brand names 22 3.1.4 Price 22 3.2 Research...

Words: 12112 - Pages: 49

Premium Essay

Celcom

...(BM240) SUBJECT: UNDERSTANDING CONSUMER BEHAVIOUR MGT532 PREPARED BY: 1. ADLIN LINA ATHIRAH BINTI MOHD HANIF 2015872784 2. NAZRIL ADAM BIN YASSIR 2015 3. NUR HIDAYAH BINTI AZMAN 2015 4. NURSARAH DIYANA BIN AZIZ 2015 5. SYAHIRA BIN SOBARI 2015 PREPARED FOR: MADAM ZUBAIDAH ZAIRUDIN CLASS: BM2403N INTRODUCTION Celcom (Malaysia) Sdn Bhd, a Technology Resources Industries (TRI) Bhd company has been the leading mobile cellular operator in Malaysia for the past 10 years. Celcom's main business activity is to develop and market Mobile Services such as Celcom GSM and ART 900 and Fixed Services such as Direct Connect, Leased Lines, Equal Access and Virtual Private network (VPN). Within Celcom's short history in the telecommunications business, it has ventured into value-added services, the latest being multimedia. Celcom Axiata Berhad provides mobile communication services for customers in Malaysia. It offers voice, mobile broadband and email, roaming, and IDD services, as well as telemetry and fixed wireless desk phone solutions. The company also provides a unified messaging service that allows users to view a fax message via Web; and AirCash services, which provide instant access to money via client’s mobile phone. Celcom Axiata Berhad was formerly known as Celcom (Malaysia) Berhad and changed its name in December 2009. The company was founded in 1988 and is headquartered in Kuala Lumpur, Malaysia. Celcom Axiata Berhad operates...

Words: 4982 - Pages: 20

Premium Essay

Marketing Princepal

...assignment is my own. Where the work of others has been used to support my work then credit has been acknowledged. Signature: ……………………. Date: …………… Key dates Distribution date: 15/09/2015 Submission date: 13/12/2015 Return date: 4 weeks after submission Contents ASSESSMENT FRONT SHEET 1 Key dates 1 Introduction 3 Task 01 3 1.1 Define marketing and explain the elements of the marketing process for BT 3 1.2 Evaluate the benefits and costs of a marketing orientation for BT. 5 Task 02 6 2.1 Show macro and micro environmental factors which influence marketing decisions of BT. 6 2.2 Propose segmentation criteria to be used for BT products in different markets. Chose one example for demographic and one for geographic segmentation. 8 2.3 Choose a targeting strategy for a selected product/service of BT 8 2.4 Demonstrate how buyer behaviour affects marketing activities in different buying situations for BT. 9 2.5 Propose new positioning for a selected product/service of BT 11 Task 03 12 3.1 Explain how products are developed to sustain competitive advantage. Explain product lifecycle and product mix. 12 3.2 Explain how distribution is arranged to provide customer convenience. Explain the role of intermediaries. 14 3.3 Explain how prices are set to reflect BT's objectives and market conditions. 15 3.4 Illustrate how promotional activity of BT is integrated to achieve marketing...

Words: 5414 - Pages: 22

Premium Essay

Proposal

...countrywide GSM mobile communication solutions of TM International (Bangladesh) Limited. It is a joint venture company between Telecom Malaysia Berhad and A.K. Khan & Co. Limited, which was established in the year 1996, and services launched in 1997 under the brand name Robi. Today, Robi is recognized as a leading brand in Bangladesh and this is driven by our persistent pursuit of quality and technology, putting it clearly ahead of the rest. The future with Robi is promised to be exciting as we strive to employ the best resources and latest technology in offering many more innovative and exciting products and services Vision To be the most preferred GSM cellular service provider in Bangladesh. Mission To provide total customer satisfaction as the company strives to become the most preferred GSM cellular service provider in Bangladesh. TMIB will achieve this through developing people, products, and services of the highest quality and meeting the needs of its employees, shareholders and the nation. 1)    Total quality objective 2)    Total commitment to the needs of our customers, 3)    Following the highest ethics standards, 4)    Continual improvement of all work processes, 5)    Permanent improvement of all the employees knowledge and skills, 6)    Securing quality of the service to match the quality of services offered by the world’s most successful companies in the field 7)    Preserving the Company’s leading position in the national market of mobile telecommunications...

Words: 7214 - Pages: 29

Premium Essay

Distribution Channel

...Web: www.beemanagement.com Email: bee@beemanagement.com Web: www.astrategies.com Email: info@astrategies.com ANALYSIS & EVALUATION OF DISTRIBUTION CHANNELS IN VARIOUS SECTORS The project involved analyzing and evaluating distribution channels of various companies belonging to sectors like: 1. Precious and semi precious stones, 2. White goods, 3. Cement, 4. FMCG Methodology: This research comprised of activities like listing down various agencies like manufacturers, distributors, etc and also chambers and libraries like the Indian merchant chambers and interacting with them in order to gather first hand information. PRECIOUS AND SEMI PRECIOUS STONES The Indian Gems and Jewellery industry is an age old industry and comprises mainly of two types of markets, viz the organized sector and the unorganized sector. The organized sector with branded jewelers, Public Sector Units (PSUs), etc forms only 10% of the precious and semi-precious stones market, whereas, the unorganized sector forms 90% of the gems and jewellery market in India. The unorganized sector employs around 1.5 million workers serving over 0.1 million gold jewelers and over 8000 diamond jewelers. Precious and semi-precious stones industry is a significant earner of foreign exchange. This sector contributes around 17% of India’s exports. The bulk of the Indian gems and jewellery exports comprise imports of rough diamonds, cutting and polishing in India, and re -exports. Cut and Polished Diamonds (CPD) and gold Jewellery...

Words: 3682 - Pages: 15

Premium Essay

What Are the Most Important Factors That Influence Customer Satisfaction When Buying Online?

...CONSUMER ACCEPTANCE AND CONTINUANCE OF ONLINE GROUP BUyING WENG MARC LIM Monash University Selangor Darul Ehsan, Malaysia DING HOOI TING Universiti Teknologi Petronas Malaysia ABSTRACT The aim of this study is to establish and examine the significance of a consumer acceptance and continuance model for online group buying through the integration of entertainment gratification and perceived risk with the Technology Acceptance Model. A quantitative study was conducted and data were obtained through a mall-intercept systematic sampling distribution of questionnaires. The results indicate that perceived usefulness, perceived ease of use and perceived risk all have a significant relationship with consumer attitudes, which subsequently has a significant effect on intention to use online group buying sites. While entertainment gratification was found to be insignificant, we reveal some possible reasons for this finding. The implications of the findings and future research directions are also discussed. Keywords: online group buying; consumer acceptance and continuance. INTRODUCTION The rapid growth of information technology (IT), the Internet, and the e-commerce boom have created significant opportunities that are characterized by a lack of spatial boundaries [43]. Dawson [9] suggests that three particular types of IT investment have led retailers to become more profitable: (1) knowledgebased investments provide more creative ways to run enterprises; (2) alliance-based investments...

Words: 7481 - Pages: 30

Premium Essay

University in the Box

...University of Nairobi MBA Project List 2011 CANDIDATE | PROJECT TITLE | NDIRANGU SAMUEL NJOGO | A SURVEY INTO THE CAUSES OF FINANCIAL DISTRESS IN CO-OPERATIVE SOCIETIES IN NAIROBI | NDIANG’UI DOROTHY WAIRIMU  | THE RELATIONSHIP BETWEEN DIVIDEND GROWTH AND RISK FOR COMPANIES LISTED AT THE NSE | MURIITHI ERIC  | THE RELATIONSHIP BETWEEN CORPORATE GOVERNANCE PRACTICES AND FINANCIAL AND FINANCIAL PERFORMANCE OF INVESTMENT BANKS IN KENYA | NICHOLAS KIPYEGOMEN CHEPKOIWO | FACTORS AFFECTING THE DEVELOPMENT OF EMERGING CAPITAL MARKETS.  THE CASE OF NAIROBI STOCK EXCHANGE | KIPKURUI KIMOSOP | THE RELATIONSHIP BETWEEN CORPORATE GOVERNANCE AND FINANCIAL PERFORMANCE OF INSURANCE COMPANIES IN KENYA | OMENDA CHRISTOPHER ODHIAMBO  | EFFECT OF STOCK SPLITS ON STOCK LIQUIDITY OF COMPANIES QUOTED AT THE NSE | GEORGE MARTIN NZIVE KASYOKA | THE USE OF STRATEGIC POSITIONING TO ACHIEVE SUSTAINABLE COMPETITIVE ADVANTAGE AT SAFARICOM LIMITED | MUTIE PETER KIOKO | RELATIONSHIP BETWEEN PRIOR PERIOD DIVIDENDS AND FINANCIAL PERFORMANCE OF FIRMS LISTED AT THE NSE  | EVANS ODHIAMBO OYIEYO | BALANCE SCORE CARD AS A STRATEGIC MANUFACTURING INDUSTRY IN KENYA | SAMBA STEPHEN MIDEGA | INVESTIGATION OF CAPACITY MANAGEMENT STRATEGIES AND THEIR INFLUENCE ON SERVICE QUALITY: CASE OF NAIROBI SUPERMARKETS. | LUCY MUTHEU KIILU | CAUSES OF INDUSTRIAL DISPUTE IN GARMENT FACTORIES AT THE ATHI RIVER EXPORT PROCESSING ZONES, KENYA | JENIFFER N. MULI | THE RELATIONSHIP BETWEEN HOUSE PRICES AND MORTGAGE...

Words: 15830 - Pages: 64