Assignment for MSC 506

CONSUMER BEHAVIOUR
Assignment No.1

Submitted To: Dr. Bhagwan Singh Submitted By: Kusum Kumari

CUHP17MBA29 (3rd sem)

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 GIST
Consumer behaviour is a series of behaviors’ that consumers follow before making
a decision about purchasing a product. In this assignment we can examine, analyze
and trying to understand the behaviour of consumer. We find out how consumer
behaviour concepts and principles can be used in market decision making and
strategic marketing actions in real world.

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Table of Contents
CHAPTER 1 ................................................................................................................................................ 4
INTRODUCTION....................................................................................................................................... 5
REVIEW OF LITERATURE .................................................................................................................... 7
CHAPTER 2 ................................................................................................................................................ 8
2.1. CONSUMER BEHAVIOUR............................................................................................................... 9
2.2. CONSUMER BEHAVIOR AND MARKETING CONCEPT:...................................................... 12
2.3. CONSUMER RESEARCH PROCESS: .......................................................................................... 14
2.4. CONSUMER DECISION MAKING PROCESS ............................................................................ 17
2.5. MODELS OF CONSUMER DECISION MAKING: ..................................................................... 22
2.5.1 SCHIFFMAN AND KANUK’S MODEL OF CONSUMER DECISION MAKING............. 22
2.5.2 BUYER’S BLACK BOX MODEL: ............................................................................................ 26
2.5.3. SIMPLE STIMULUS RESPONSE MODEL ........................................................................... 28
2.5.4. ASSAELL’S CONSUMER DECISION MAKING MODEL: ................................................ 29
CHAPTER 3 .............................................................................................................................................. 31
TREND ANALYSIS ................................................................................................................................. 32
CHAPTER 4 .............................................................................................................................................. 33
CONCLUSION ......................................................................................................................................... 34

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 CHAPTER 1

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INTRODUCTION

Before understanding the consumer behavior firstly i have to know about who is a

Consumer and what is consumer interest? So I want to understand the behaviour of

consumer because it will help me to find out how they take decisions before

purchasing a product. So, consumer is any individual who consume good and

services that are available in the market. It can be individual or in group form.

Consumer purchases goods and services from the market for his/her end-use is called

a consumer. For e.g. Person A might purchase a bicycle for her daughter or Person

B might buy a kurta for herself. In both cases person A and B are consumers. So

now Consumer interest it is the willingness of consumers to purchase products and

services as per their taste, need and of course pocket. For example: Person A and B

went to the shopping mall to buy denim for themselves. The store manager showed

them the best denim available with him. Person A immediately purchased two

denims but B returned home empty handed. The denims were little too expensive

for B and she preferred simple and subtle designs as compared to designer wears

available at the store. In this example person B and A had similar requirements but

there was a large difference between their taste, mind set and ability to spend. So

both person have different interest. Both consumer and their interest will help the

marketer to understand the behaviour of consumer so we can say that consumer

behaviour is a decision process in which individuals evaluate, acquire, use or dispose

the goods and services.

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In 1940s and 50s marketing was dominated by the so called classical schools of

thought which were highly descriptive and relied heavily on case study approaches.

At the end of 1950s marketing methodology was criticized. After this marketing has

shifted its reliance on other discipline as well as it focus of understanding. The

classical school of marketing relied on the social sciences such as economics

sociology and anthropology. Consumer behavior was heavily influenced by

motivation research so marketing researcher use techniques like depth interview and

quantitative and qualitative methods to understand the behavior of consumer. So

marketing kept its focus on individual consumer and understand their behavior after

this behavioural school of marketing thought is created.

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REVIEW OF LITERATURE

(Peter & Olson, 2008) Consumer behaviour is the study of psychological, social and

physical actions when people buy, use and dispose products, ideas, services and

practices.

(Solomon, 2006) Consumer behaviour is defined as a process of decision making

and physical activity involved in acquiring, evaluating, using and disposing of goods

and services to satisfy needs and want.

(Belch & Belch, 2001) consumer behaviour is a process and activities of people

engage when searching for selecting, purchasing, using, evaluating and disposing of

products and services as if satisfy their need and desires.

(Kottler & Keller, 2011) Consumer buying behaviour is the study of buying and

disposing of goods, services, ideas or experiences by the individuals, groups and

organizations in order to satisfy their needs and desires.

(Stallworth, 2008) It is a set of activities which involves the purchase and use of

goods and services which resulted from the customer emotional and mental needs

and behavioural responses

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 CHAPTER 2

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2.1. CONSUMER BEHAVIOUR

“Consumer Behaviour is a branch which deals with the various stages when

consumer goes through before purchasing products or services for his end use” or

we can say that Consumer behaviour is the study of how individual customers,

groups or organizations select, buy, use, and dispose ideas, goods, and services to

satisfy their needs and wants. Marketers expect that by understanding the behaviour

of consumer they will be able to determine which products are needed in the

marketplace, which are obsolete, and which can satisfy the consumers. The study of

consumer behaviour assumes that the consumers are actors in the marketplace.

Consumers play various roles in the marketplace. It can act as an information

provider, from the user to the payer and to the disposer. Consumers play these roles

when they take decision for purchasing a product. The roles also vary in different

consumption situations. For example, a mother plays the role of an influencer in a

child’s purchase process, whereas she plays the role of a disposer for the products

consumed by the family. An individual buys a product to fulfill his need, Social

Status and for Gifting Purpose. An individual does not buy a product because there

is no requirement, due to financial constraint, and different taste. There are several

factors which influence buying decision of a consumer ranging from psychological,

social, economic and so on.

Nature of Consumer Behaviour:

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1. Influenced by various factors:

Consumer behaviour are influenced by various factors such as marketing factors

(product design, price, promotion, packaging, positioning and distribution), Personal

factors (age, gender, education and income level), Psychological factors (buying

motives, perception of the product and attitudes towards the product), Situational

factors (physical surroundings at the time of purchase, social surroundings and time

factor), Social factors (social status, reference groups and family) and Cultural

factors (religion, social class—caste and sub-castes).

2. Undergoes a constant change:

Consumer behaviour is not static. It changes over a period of time. It depends upon

the nature of products. For example, kids prefer colorful and fancy footwear, but as

they grow up as teenagers and young adults, they prefer trendy footwear, and as

middle-aged and senior citizens they prefer more sober footwear. The change in

buying behaviour may take place due to several other factors such as increase in

income level, education level and marketing factors.

3. Varies from consumer to consumer:

All consumers do not behave in the same manner. Different consumers behave

differently. The differences in consumer behaviour are due to individual factors such

as the nature of the consumers, lifestyle and culture.

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4. Varies from region to region and country to county:

The consumer behaviour varies across states, regions and countries. For example,

the behaviour of the urban consumers is different from that of the rural consumers.

A good number of rural consumers are conservative in their buying behaviour. It

may differ depending on the upbringing, lifestyles and level of development.

5. Information on consumer behaviour is important to the marketers:

Marketers need to have a good knowledge of the consumer behaviour. They need to

study the various factors that influence the consumer behaviour of their target

customers. The knowledge of consumer behaviour enables them to take appropriate

marketing decisions in respect of Product design, Pricing, Promotion, Packaging,

Positioning and Place of distribution.

6. Varies from product to product:

Consumer behaviour is different for different products. There are some consumers

who may buy more quantity of certain items and very low or no quantity of other

items. For example, teenagers may spend heavily on products such as cell phones

and branded wears for snob appeal, but may not spend on general and academic

reading. A middle- aged person may spend less on clothing, but may invest money

in savings, insurance schemes, pension schemes, and so on.

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7. Improves standard of living:

The buying behaviour of the consumers may lead to higher standard of living. The

more a person buys the goods and services, the higher is the standard of living. But

if a person spends less on goods and services, despite having a good income, they

deprives themselves of higher standard of living.

2.2. CONSUMER BEHAVIOR AND MARKETING CONCEPT:

In marketing concept the firms analyze the needs of their customers and then take

decisions to satisfy those needs. It is a strategy that firms adopt and implement to

satisfy need, increase sales, maximize profit and beat the competition. To understand

the marketing concept firstly we need to understand the other concepts i.e.

production, product, selling concept.

Development of Concept: Production

Concept

Product
concept

Selling Concept

Marketing
Concept

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 Fig. consumer behaviour : The marketing concept

The Production Concept:

The term production concept was coined by the Henry Ford. According to this

concept consumers will prefer products that are widely available and highly

affordable. Firms use this concept to achieve high production efficiency, low costs,

and mass distribution. But production concept sometime lead to marketing myopia.

The Product Concept:

According to this concept consumer will prefer product that offer most in quality,

performance and innovative features. It mainly focus on product that are improving

over time. However, managers are sometimes caught up in a love affair with their

product and do not realize what the market needs. Product concept sometime also

lead to a marketing myopia.

The Sales Concept:

Assume that consumer are not interested to buy a product unless they are

aggressively persuaded to it. In this time company use promotional tools to stimulate

more buying because selling is not only tactics to sell your product. But most firms

practice the selling concept when they have overcapacity. Their aim is to sell what

they make rather than make what the market wants.

The Marketing Concept

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This concept mainly focus on achieving organisational goals by knowing the needs

and wants of target market and delivering the desired satisfaction better than

competitors. Four pillars of marketing concept are: target market, customer needs,

integrated marketing and profitability. When firms first began to adopt the marketing

concept, they set up separate marketing departments whose objective it was to satisfy

customer needs. The marketing concept relies upon marketing research to define

market segment, their size, and their needs. To satisfy those needs, the marketing

team want to understand the behaviour of consumer.

2.3. Consumer research process:

Consumer research plays a very important role to understand the consumer

behaviour, when company decides to launch a new product into the market.

Companies conduct market research to better understand the consumers, their needs

and their satisfaction level. For research Purpose Company conduct surveys, in

depth interview etc...After analyzing the result company make decisions about

design, quality, and price of product. There are two type of consumer research

quantitative and qualitative research. Quantitative research defines your business

by measuring something, in numerical form such as consumer satisfaction.

Qualitative research mainly focus on what it is and why customers think and feel as

they do. Consumer research helps businesses or organizations that understand

customer psychology in a better way. Number of research techniques are used to

provide systematic information about what customers need.

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 Source: www.questionpro.com

The process of consumer research started as an extension to the process of market

research. Consumer research process can be broken down into following steps:

1. Develop research objectives: The first step of consumer research process is

to clearly define research objective, purpose of research, why is the research

being conducted.

2. Collect Secondary data: In second step collect secondary data first, it helps

in understanding if research has been conducted earlier and if there are any

pieces of evidence related to the subject matter that can be used by an

organization to make informed decisions regarding consumers.

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 3. Primary Research: In primary research, organizations or businesses collect

their own data. This research make use of various data collection methods

(qualitative and quantitative) that helps primary researchers (original research

performed by individual researcher to meet the objectives) to collect data first

hand.

 Qualitative Consumer Research: Qualitative research, is descriptive

in nature, mainly focus on thinking and feeling of consumer. It’s a

method that uses open ended questions, to gain meaningful data from

respondents. Number of method are used in qualitative research:

a. Focus Groups: Focus groups is a small group of experts who

work together to analyze a product or service. Focus group

comprises of 6-10 respondents. A moderator is assigned to focus

group, who facilitate discussions among the members to draw

meaningful insights.

b. One-to-one Interview: In this method researcher asks open

ended questions to collect data from the respondents. It is

conversational method. This method totally depends on the

experience of researcher. This is a time-consuming method and

can take more than one attempt to get the desired results.

c. Content/ Text Analysis: Social media is an example of text

analysis. Text analysis is a qualitative research method where

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 researchers analyze the social life by decoding words and images

from the documents available. Researcher analyze the data and

take decision.

 Quantitative Consumer Research

Quantitative research is related to numbers and statistics. A consumer

who purchases regularly can vouch for how customer-centric

businesses have become today. With just one questions companies are

able to collect data that question has the power to make or break a

company.

6. Collect and analyze data: Data is collected and analyzed to understand

consumer behavior and their purchasing pattern.

7. Prepare report: Finally, a report is prepared after analyzing and collecting

data so that organizations are able to make informed decisions and understand

the consumer behavior.

2.4. CONSUMER DECISION MAKING PROCESS

Consumer Decision Making Process means the process of Identifying and verifying

the decision making of the consumer by the business leaders or the marketers. End

user is a term that is used in the business to describe the consumer that ultimately

consumes the goods. End Consumer is the heart and soul of any business stability.

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But End User may or may not be the purchaser of the company product. In consumer

behaviour marketer understand and studying individuals, organization or groups of

people and the process from which the individuals, organization or groups of people

go through while selecting, securing, using, and consuming a product or a service in

order to satisfy the needs. A consumer goes through several stages before purchasing

a product or service and that stages helps the consumer to take decision.

Steps in Consumer Decision Making Process

NEED RECOGNITION

INFORMATION GATHERING/SEARCH

EVALUATION OF ALTERNATIVES

PURCHASE OF PRODUCT/SERVICE

POST PURCHASE EVALUATION

1. Need Recognition

The first step in the consumer decision making process is identifying the need.

The need is the most important element which leads towards the actual buying

of the product or service. Finding out what the customer needs is the first step

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 in Consumer Decision Making Process. Some consumers may experience the

‘actual state type of problem’. This type of problem may occur when

consumer recognize a problem in the form of a product not performing

satisfactorily. Another type of need or problem recognition could be the

‘desired state consumer’. In this state consumer may experience the desire for

something new. The desired state is the starting point for the consumer to

become involved in the decision making process. Determining the needs and

wants of the target market provide support to many marketing decisions. An

individual who buys cold drink or a bottle of mineral water identifies his/her

need as thirst.

2. Searching and gathering Information

The potential consumer after identifying his needs moves on to the second

stage i.e. searching & gathering information. Consumer need all the

information about the product before spending their money. During this phase

of Consumer Decision Making Process the consumer evaluates the entire

positive and negatives aspects of the purchase. Information can be collected

from many different sources like prints or electronic media or from people

reviews about the certain products. Some Sources of information are

mentioned bellow.

 Personal Contacts: This is a very strong source of information and has the

greatest influence over the mind of the consumer. The Consumers tend to

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 discuss the needs and there interests in different products with friends, family,

colleagues and acquaintances and make purchase decisions based upon their

recommendations.

 Commercial Information Sources: Electronic media, TV Ads, Newsletters,

Sale Persons and Public displays are some important types.

 Printed Sources – Newspapers and Magazines

3. Evaluating the Alternatives

The Consumers begin to search out for the best alternatives or options

available after he/she identifies the need and the source to satisfy that need.

At this stage consumer evaluates different options based upon product price,

product quality, product quantity, and value added features of a product or

other important factors. The Customers reviews and compare prices for the

substitute products before choosing the product are very important to satisfy

the need in the best possible manner. The consumer after need recognition and

collecting useful information choose the best product available in the market

based upon his taste, style, income or preference. But in such cases steps such

as information search and evaluation of alternatives are generally missing.

These two steps are important when an individual purchases expensive

products/services such as laptop, cars, mobile phones and so on.

4. Actual Purchase of the Product or the Service

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 After going through above stages, in this stage consumer decide the product.

After proper assessment of all the facts the consumer makes a logical decision

to buy a product based upon his needs and wants.

5. Post Purchase Evaluation

In the final stage of consumer decision making process the consumer

evaluates or analysis the purchased product, usefulness of the product,

satisfaction delivered from the product, Value of the product with respect to

the need fulfillment of the consumer. If the consumer feels that the product

bought delivered the value and has met the expectation they will become the

loyal customers of the product means that create loyalty. In a post-purchase

evaluation process consumer judge their experience against their expectations

when being involved. There are three possible outcomes when consumer

evaluate the product’s performance in the light of their own expectations:

 If actual performance matches expectations, it leads to a neutral feeling.

 If Performance of product exceeds expectations, it leads to a

satisfaction.

 If Performance of the product falls below expectations, causing

negative disconfirmation of expectations leading to dissatisfaction.

The degree of post-purchase analysis that consumers undertake will depend on the

importance of the production decision and the experience in using the product.

Feedback is an indication for the marketer that consumers likes the product. If the

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product performs as per consumer expectations, it is likely that the consumer will

buy it again. Consumer Decision making Process is very important for marketers to

successfully market their products and product line. Understanding the targeted

market fully increases the efficiency of a marketing plan and yields better result from

promotional plan.

2.5. MODELS OF CONSUMER DECISION MAKING:

2.5.1 SCHIFFMAN AND KANUK’S MODEL OF CONSUMER

DECISION MAKING

This model of consumer decision making developed by Schiffman and

Kanuk. It is the problem solving consumer model. It provides an overview

of the consumer decision making process. The model is made up of three

major components:

1. Input

2. Process

3. Output

1. Input:

The input component comprises of the external and internal factors that

influences (which are the sources of information) consumer’s product related

values, attitudes and behavior. Internal factors are motivation, perception,

learning, personality and attitude. External factors are culture, subculture,

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 reference group, family and social class culture. The input component also

includes the marketing mix elements i.e. the various marketing stimuli used

by the organizations and the socio-cultural environmental factors, which will

also act as a stimuli and influence the consumer’s purchase decision.

a) Marketing Stimuli:

Marketing mix efforts will consist of the four P’s i.e. Product, Price,

Place and Promotion. Marketers are interested in knowing how

consumers will respond to the various marketing stimuli. Marketer use

various marketing strategies to communicate with prospective

consumer because there is not a direct contact between marketer and

consumer. Marketing mix may be in the form of attractive product

features, size, packages, and suitable prices. Marketing strategies like

media advertising, personal selling, direct marketing, other sales

promotion measures and selection of suitable distribution channels (to

ensure the availability of the product at the market place) are used.

b) Socio-Cultural or External factor :

Culture has the broadest and deepest influence on consumer behavior.

The socio-cultural inputs also play a major role in influencing the

consumer’s decision making process. The social cultural environmental

factors comprises of family, social class, culture, subculture, informal

source and all the other non-commercial sources. The family members

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 put a strong influence on the buyer’s behavior. Informal sources will

include public’s communication (comments expressed) via print media

etc. Social class influences can be seen in consumer choice of the retail

outlets, exposure to media etc. There are certain unwritten things that

can be followed by each culture. These cultural norms will put

restrictions on the buying behavior of individuals. In this way culture

also influences the buying behaviour of consumers. The socio-cultural

environment will only influence consumers’ decision to avoid a

product; whereas, the marketing efforts will induce and motivate them

to purchase the specific product.

2. Process:

The process component of the model starts with the psychological field i.e.

the psychological factors such as motivation, perception, learning,

personality and attitudes. These factors will determine the consumers’

needs or wants, their knowledge about the various product choices, how

they gather more information about product and how they evaluate

alternatives. Consumer decision making process consists of three stages,

viz. a) Need Recognition Stage, b) Pre-purchase Search Stage, and c)

Evaluation of Alternatives Stage. In need recognition stage need of

consumer is identified by the marketer. In pre purchase stage consumer

decision depend upon the prior experience. At the stage of evaluation of

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 Alternatives consumer evaluate the alternatives by two types of

information i.e. a) The Evoked Set is the one in which consumer make a

list of brands from which they plan to make their selection b) The Criteria

based in which consumer set criteria for evaluating each brand. The evoked

set will vary from consumer to consumer and marketer must use different

promotional techniques to make a favourable and more relevant product

image to the large consumer.

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 Fig source: ukessay.com Model of consumer decision making

3. Output:

The output component of the consumer decision making is closely related

to two kinds of past decision activities, a) Purchase Behaviour and b) Post-

purchase Behaviour.

2.5.2 BUYER’S BLACK BOX MODEL:

The buyer’s black box model contains two sub components i.e. the buyer’s

characteristics and the buyer decision process. The buyer’s characteristics could

be personal, psychological, cultural and social.

a) Personal:

Personal factors are age & life-cycle stage, occupation (occupation affects

consumption patterns), economic situation, lifestyle, personality

Figure 1: Model of Buyer Behavior

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Source: Kotler, P., Marketing Management, 11th edition, Prentice-Hall India

a) Psychological:

Psychological factors are motivation (motives; urge to act to fulfil a goal or

satisfy a need/want), perception, learning (a relatively permanent change in

behavior as a result of ones’ experience; relates to memory; learning could

be experiential based on direct experience or conceptual based on indirect

experience), beliefs (thoughts that a person holds about something) and

attitudes (a favorable or unfavorable feeling towards an object, person or a

situation).

c) Cultural:

Culture includes subculture, social class, and reference group. Culture is a sum

of values, knowledge, beliefs, myths, language, customs, rituals and traditions

that govern a society. Culture influence the consumer decision e.g. Influences

on our eating patterns, clothing, day to day living etc.

Sub-culture is a subset of culture. It is a smaller groups of people within

culture with shared value systems within the group but different from other

groups. These group are identifiable through demographics).

Social class is an ordered and relatively permanent divisions of society into

upper and middle lower classes. Members in these classes share similar

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 values, interests, lifestyles and behaviors; the division is based on

combination of occupation, income, education, wealth, and other variables.

After this consumer take decision, he can gather information after identifying the

need and evaluate alternatives. Buyer responses is also an important part in black

box model, the buyer also takes a decision with respect to the product, brand,

dealer, timing and amount.

2.5.3. SIMPLE STIMULUS RESPONSE MODEL

As per the stimulus response model, there are marketing and other stimuli which

enter the consumer black box and subsequently produces certain buyer responses.

The marketing environment comprise of various marketing mix elements which

act as cues in influencing consumer response. The buyer is exposed to a variety

of information which inform and educates him or her on the product’s existence,

price to match the product features, availability at the various outlets, ably

supported by the promotional tools such as advertisement, contests, and sweep

take publicity etc. while marketing environment helps to build up product

awareness. This combined with the other stimuli will make the product respond

either positively or negatively towards the offer.

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Source: Surja R. nair(2010) consumer behavior in Indian perspective
Fig. Consumer Behaviour Model

2.5.4. ASSAELL’S CONSUMER DECISION MAKING MODEL:

Assaell’s model on consumer decision making as seen in figure indicates that the

consumer’s involvement in decision making play an important role. It depends upon

the type of purchase involved. Decision is of two type i.e. simple one and complex

one. In case of high involvement purchases (or complex decisions) the decisions

making process will involve information search and evaluate brand alternatives.

Whereas, in case of low involvement purchases the consumer make seek little or no

information and considers only one brand.

involvement in purchase decision

High involvement Low involvement

Complex decision making limited decision making

Decision making
(Automobiles, computers) (Cereals)

Brand Loyalty inertia

(Personal care products) (canned foods)

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 Source: Surja R. nair(2010) consumer behavior in Indian perspective

Fig.Asaell’s consumer decision making model

Fig indicates the various individuals and environmental factors, which can influence

consumers purchase decisions. Product features and design, benefits sought from the

product (or brand), suitable pricing and ideal location are the number of factor that

helps the consumer in decision making process. It is post purchase satisfaction or

dissatisfaction behaviour, which will count. If post purchase satisfaction is positive

it will induce adoption and loyalty. Whereas post purchase dissatisfaction could

result in the discontinuing usage of the product. Ultimately the post purchase

behaviour of consumers will have repercussions on the communication (or word of

mouth) they have with the prospective customers.

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 CHAPTER 3

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TREND ANALYSIS

Consumer behavior is important for businesses because it helps them anticipate what
customers want, learn how to attract customers, and understand how to best present
their products and services. In today competition it is very important for business
managers to understand the behavior of consumer, their interest, their perception
because these all things play an important role when consumer take purchasing
decision. Technological innovations and new financial models have driven
consumerism, and with it the global spends. Consumer attitude and behavior shifted
with the extensive use of mobile technology and internet will continue to cause
disruptions for businesses all around the world. However, not all consumers are
the same, some want the hi-fi lifestyle, whereas some are looking back to the
prehistoric era and promoting organic living. Now consumer want to live clean
apart from marketing, fear of diseases such as cancer has pushed them to adopt a
more chemical and toxin-free lifestyle. So consumer adopt organic food. The
concept of ride sharing, clothing rentals, and equipment rental has boosted the
sharing economy, forcing companies to rethink their business.
Corporate example
Today Reliance Jio is top company they can understand consumer behavior and it
will help in increasing their sales and market share. Reliance Jio launched the fourth-
generation mobile phone service for public on September 5th 2016. The company
promises free voice calling for lifetime. Basically Reliance Jio is tapping on the
consumer’s interest by marketing it’s free voice and data plans till 31st December.
What the consumers don’t know is that Reliance Jio is earning money through other
sources like their newly launched phone – LYF! Reliance Jio claims to achieve 100
million customers as soon as possible but that doesn’t seem likely till 2018 according
to trade experts. This, I feel, is because changing the consumers’ mindset is not that
easy. For a product like Reliance Jio, 4G enabled handsets have to be purchased and
data penetration itself is pretty low in India. Also the fact that only phones enabled
with VoLTE can have access to free voice calling through Reliance Jio. Keeping all
these factors in mind, the wave of change they want to bring in, doesn’t seem like
any time soon.
Reliance Jio run on the principle that ‘Indians are cost-sensitive’. Even though they
may have money, if they find something cost effective they will go and try it, it is in
the DNA.’ Cheapest LTE phones are being offered in association with Reliance Jio
to attract consumers on a large scale, but customers should read all the terms and
conditions carefully before purchasing.

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 CHAPTER 4

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 CONCLUSION

Consumer behaviour is a study of individual or groups select, buy, dispose and

experience product to satisfy their needs and wants. Understanding consumer
behaviour is not only important to marketer whose main objective is to make profit
but also important for government, other agencies and society. Behaviour is affected
by both internal and external factor. After understanding the consumer behaviour,
decision making processes, and models organizations can make the best strategies.

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References
Belch, G. E., & Belch, M. A. (2001). Advertising and promotion : An integrated marketing.
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