Antecedents to consumer buying behavior: the case of consumers in a developing country
-
Received July 31, 2019;Accepted September 13, 2019;Published September 27, 2019
-
Author(s)Link to ORCID Index: https://orcid.org/0000-0002-5035-104XLink to ORCID Index: https://orcid.org/0000-0002-3079-5989
-
DOIhttp://dx.doi.org/10.21511/im.15(3).2019.08
-
Article InfoVolume 15 2019, Issue #3, pp. 99-115
- TO CITE АНОТАЦІЯ
-
Cited by1 articlesJournal title: Innovative MarketingArticle title: Analytical approach to digital channel performance optimization of mobile money transactions in emerging marketsDOI: 10.21511/im.16(3).2020.04Volume: 16 / Issue: 3 / First page: 37 / Year: 2020Contributors: Adeolu Dairo, Krisztián Szűcs
- 1879 Views
-
1285 Downloads
This work is licensed under a
Creative Commons Attribution 4.0 International License
While consumers play a very crucial role in the marketing strategies of companies, effective development of strategies must satisfy their needs and wants. Therefore, an evaluation and understanding of the underlying factors and/or dimensions influencing consumer buying behavior are critical for supermarkets to both retain and acquire new customers. The article reports on factors impacting the consumer buying behavior and the relationship among the factors. The study uses data from a cross-sectional survey conducted within a random sample of 699 customers at 17 supermarkets in Nairobi, Kenya. Reliability and factorial validity of the self-administered questionnaire were evaluated and considered satisfactory, while structural equation modelling (SEM) was used to test several hypotheses. Social characteristics were a good predictor of the consumers’ inclination to patronize a supermarket, thus directly influencing the buying behavior. A strong positive connection between psychological factors and buying behavior was ascertained based on income, which suggests that although psychological characteristics impact consumer attitudes towards the supermarket, income and education levels may well play a determining role in this regard. Retail marketers in general and in Kenya in particular are encouraged to be cognizant of the above when developing strategic marketing programs to increase the level of patronage. As a research paper, the study is limited to the data and prior empirical research. It offers the benefit of new research directions for marketing managers in understanding and satisfying the consumers. The main contribution of the present research, interdisciplinary in nature due to combining elements linked to both marketing and psychology, is its focus on consumer buying behavior towards supermarkets in a developing country, thus producing revealing insights.
- Keywords
-
JEL Classification (Paper profile tab)M31
-
References76
-
Tables7
-
Figures3
-
- Figure 1. Conceptual framework
- Figure 2. Structural model
- Figure 3. Relationship between the predictor variables
-
- Table 1. Scale reliability
- Table 2. Rotated factor loading matrix
- Table 3. Descriptive statistics of factors and their measurement
- Table 4. Model parameter maximum likelihood estimates
- Table 5. Education
- Table 6. Income
- Table 7. Results of hypotheses testing
-
- Agnoli, L., Capitello, R., & Begalli, D. (2016). Behind Intention and Behavior: Factors Influencing Wine Consumption in A Novice Market. British Food Journal, 118(3), 660-678.
- Ahmed, E. K. (2012). Consumer Behavior Differences between Developed and Developing Countries.
- Akpan, S. J. (2016). The Influence of Cultural Factors on Consumer Buying Behavior towards Pork. British Journal of Marketing Studies, 4(6), 44-57.
- Arbuckler, J. (2012). IBM, SPSS, AMOS 21 User’s Guide. AMOS Development Corporation.
- Berenson, M., Levine, D., & Krehbiel, T. (2012). Basic Business Statistics: Concepts and Applications (12th ed.). England: Pearson Education Limited.
- Cakanlar, A., & Nguyen, T. (2019). The influence of culture on impulse buying. Journal of Consumer Marketing, 36(1), 12-23.
- Callwood, K. (2013). Psychological Factors That Influence Consumer Buying Behavior.
- Cao, L., & Pederzoli, D. (2013). International Retailers’ Strategic Responses to Institutional Environment of Emerging Market: Multiple Case Studies in China. International Journal of Retail and Distribution Management, 41(4), 289-310.
- Cetină, I., Munthiu, M. C., & Rădulecu, V. (2012). Psychological and Social Factors that Influence Online Consumer Behavior. Procedia – Social and Behavioral Sciences, 62, 184-188.
- Chen, Y., Zhang, Y., Liu, J., & Mo, P. (2011). Interrelationships among Critical Success Factors of Construction Projects Based on Structural Equation Model. Journal of Management in Engineering, 28, 243-251.
- Clarke, I., & Banga, S. (2010). The Economic and Social Role of Small Stores: A Review of UK Evidence. The International Review of Retail, Distribution and Consumer Research, 20(2), 187-215.
- Creswell, J. W. (2014). Research Design: Qualitative, Quantitative and Mixed Methods Approaches. Thousand Oaks, CA: Sage Publications, Inc.
- Creswell, J. W. (2015). Research Methods (4th ed.). Lincoln: Sage Publications.
- Diallo, M. F. (2012). Effects of Store Image and Store Brand Price-Image on Store Brand Purchase Intention: Application to an Emerging Market. Journal of Retailing & Consumer Services, 19(3), 360-367.
- Diallo, M. F. (2015). Drivers of Store Brands Usage in an Asian Emerging Market: Evidence Vietnam. International Journal of Retail & Distribution Management, 43(12), 1144-1161.
- Diallo, M. F., Chandon, J. L., Cliquet, G., & Philippe, J. (2013). Factors Influencing Consumer Behavior Towards Store Brands: Evidence from the French Market. International Journal of Retail & Distribution Management, 41(6), 422-441.
- Dörtyol, I. T., Coşkun, A., & Kitapci, O. (2018). A Review of Factors Affecting Turkish Consumer Behavior. In Marketing Management in Turkey (Marketing in Emerging Markets) (pp. 105-139). Emerald Publishing Limited.
- Durmaz, Y. (2014). The Impact of Psychological Factors on Consumer Buying Behavior and an Empirical Application in Turkey. Asian Social Science, 10(6), 194-204.
- Erdil, T. S. (2015). Effects of Customer Brand Perceptions on Store Image and Purchase Intention: An Application in Apparel Clothing. Procedia – Social and Behavioral Sciences, 207, 196-205.
- Eze, U. C., & Ndubisi, N. O. (2013). Green Buyer Behavior: Evidence from Asia Consumers. Journal of Asian and African Studies, 48(4), 413-426.
- Furaiji, F., Łatuszyńska, M., & Wawrzyniak, A. (2012). An Empirical Study of the Factors Influencing Consumer Behavior in the Electric Appliances Market. Contemporary Economics, 6(3), 76-86.
- Gbadamosi, A. (2016). Consumer Behavior in Developing Nations: A Conceptual Overview.
- Goodhope, O. O. (2013). Major Classic Consumer Buying Behavior Models: Implications for Marketing Decision-Making. Journal of Economics and Sustainable Development, 4(4), 164-172.
- Gunay, G. N., & Baker, M. J. (2011). The Factors Influencing Consumers’ Behavior on Wine Consumption in The Turkish Wine Market. EuroMed Journal of Business, 6(3), 324-341.
- Hair, J. F., Black, W. C., Babin, B. J., & Anderson, R. E. (2010). Multivariate Data Analysis: A Global Perspective. New York: Pearson Prentice Hall.
- Han, S., Ye, Y., Fu, X., & Chen, Z. (2014). Category Role Aided Market Segmentation Approach to Convenience Store Chain Category Management. Decision Support Systems, 57, 296-308.
- He, A., Cai, T., Deng, T., & Li, X. (2016). Factors Affecting Non-Green Consumer Behavior: An Exploratory Study Among Chinese Consumers. International Journal of Consumer Studies, 40(3), 345-356.
- Heider, R., & Moeller, S. (2012). Outlet Patronage in On-the-go Consumption: An Analysis of Patronage Preference Drivers for Convenience Outlets Versus Traditional Retail Outlets. Journal of Retailing and Consumer Services, 19(3), 313-324.
- Hinson, R. E., Anning-Dorson, T., & Kastner, A. A. N. A. (2012). Consumer Attitude towards Shopping Malls in Sub-Saharan Africa: An Exploration of the “New” Retail Format in Ghana. African Journal of Business and Economic Research, 7(2-3), 97-134.
- Hoppe, A., Vieira, L. M., & de Barcellos, M. D. (2013). Consumer Behavior towards Organic Food in Porto Alegre: An Application of the Theory of Planned Behavior. Revista Economia Sociologia Rural, 51(1), 69-90.
- Hoyer, W. D., Maclnnis, D. J., & Pieters, R. (2013). Consumer Behavior (6th ed.). Mason: Southwestern Cengage Learning.
- Ibok, N. I., & Umana, V. S. (2013). Behavioral Characteristics and the Marketing Implications of the Low Income Consumers. International Journal of Business Administration, 4(5), 73-78.
- Jen, M. Y., & Wang, S. M. (2015). Understanding the Purchasing Behavior of Taiwanese Meat Consumers in Light of Rising Sustainability Concerns. British Food Journal, 117(5), 1474-1487.
- Joshi, Y., & Rahman, Z. (2015). Factors Affecting Green Purchase Behavior and Future Research Directions. International Strategic Management Review, 3(1-2), 128-143.
- Kakkos, N., Trivellas, P., & Sdrolias, L. (2015). Identifying Drivers of Purchase Intention for Private Label Brands: Preliminary Evidence from Greek Consumers. Procedia – Social and Behavioral Sciences, 175, 522-528.
- Kline, R. B. (2011). Principles and Practice of Structural Equation Modelling (3rd ed.). New York: Guilford Press.
- Kotler, P., & Armstrong, G. (2012). Principles of Marketing (14th ed.). New Jersey: Pearson Education.
- Kotler, P. (1965). Behavioral Models for Analyzing Buyers. Journal of Marketing, 29(4), 37-45.
- Kumar, A., Dangi, H. K., & Vohra, A. (2015). The Purchase Pattern of Poor for Fast Moving Consumer Goods: An Empirical Study of Poor in India. International Journal of Management and Business Research, 5(2), 79-94.
- Kurajdova, K., & Taborecka-Petrovicova, J. (2015). Literature Review on Factors Influencing Milk Purchase Behavior. International Review of Management and Marketing, 5(1), 9-25.
- Kwon, Y. S., & Song, H. R. (2015). The Role of Opinion Leaders in Influencing Consumer Behaviors with a Focus on Market Mavens: A Meta-analysis. Athens Journal of Mass Media and Communications, 43-54.
- Lee, V. H., Ooi, K. B., Tan, B. I., & Chong, Y. L. (2010). A Structural Analysis of the Relationship between TQM Practices and Product Innovation. Asian Journal of Technology Innovation, 18(1), 73-96.
- Leedy, P. D., & Ormrod, J. E. (2010). Practical Research: Planning and Design (Upper Saddle River). NJ: Merrill Prentice Hall.
- Leeraphong, A., & Mardjo, A. (2013). Trust and Risk in Purchase Intention through Online Social Network: A Focus Group Study of Facebook in Thailand. Journal of Economics, Business and Management, 1(4), 314-318.
- Lincoln, Y. S., Lynham, S. A., & Guba, E. G. (2011). Paradigmatic Controversies, Contradictions and Emerging Confluences. In N. K. Denzin & Y. S. Lincoln (Eds.), The Sage Handbook of Qualitative Research (4th ed.) (pp. 97-128). Thousand Oaks, CA: Sage.
- Liu, M. T., Brock, L. J., Cheng, G., Rongwei, S., & Tseng, C. T. (2013). Perceived Benefits, Perceived Risk and Trust: Influences on Consumers’ Group Buying Behavior. Asia Pacific Journal of Marketing and Logistics, 25(2), 225-248.
- Mehta, R., Sharma, N. K., & Swami, S. (2013). A Typology of Indian Hypermarket Shoppers Based on Shopping Motivation. International Journal of Retail & Distribution Management, 42(1), 40-55.
- Miao, M., Jalees, T., Qabool, S., & Zaman, S. I. (2019). The effects of personality, culture and store stimuli on impulsive buying behavior. Asia Pacific Journal of Marketing and Logistics.
- Mohan, G., Sivakumaran, B., & Sharma, P. (2013). Impact of Store Environment on Impulse Buying Behavior. European Journal of Marketing, 47(10), 1711-1732.
- Mullis, K., & Kim, M. (2011). Factors Determining in Shopping in Rural US Communities: Consumers’ and Retailers’ Perceptions. International Journal of Retail and Distribution Management, 39(5), 326-345.
- Nguyen, D. H., de Leeuw, S., & Dullaert, W. E. H. (2016). Consumer Behavior and Order Fulfilment in Online Retailing: A Systematic Review. International Journal of Management Reviews, 1-22.
- Niemelä-Nyrhinen, J., & Leskinen, E. (2014). Multicollinearity in Marketing Models: Notes on the Application of Ridge Trace Estimation in Structural Equation Modelling. The Electronic Journal of Business Research Methods, 12(1), 3-15.
- Oke, A. O., Kamolshotiros, P., Popoola, O. Y., Ajagbe, M. A., & Olujobi, O. J. (2016). Consumer Behavior towards Decision Making and Loyalty to Particular Brands. International Review of Management and Marketing, 6, 43-52.
- Olsen, S., & Skallerud, K. (2011). Retail Attributes’ Differential Effects on Utilitarian Versus Hedonic Shopping Value. Journal of Consumer Marketing, 28(7), 532-539.
- Ouma, D., Mwangi, T. D., & Oduk, P. M. (2013). Modeling Agility in Kenyan Supermarkets Chain Expansion. International Journal of Business and Commerce, 2(8), 21-36.
- Pandey, S., Khare, A., & Bhardwaj, P. (2015). Antecedents to Local Store Loyalty: Influence of Culture, Cosmopolitanism and Price. International Journal of Retail & Distribution Management, 43(1), 5-25,
- Pantano, E. (2011). Cultural Factors Affecting Consumer Behavior: A New Perception Model. EuroMed Journal of Business, 6(1), 117-136.
- Pietersen, J., & Maree, K. (2015). First Steps in Research Process. Pretoria: Van Schaik.
- Priest, J., Carter, S., & Stat, D. (2013). Consumer Behavior. United Kingdom: Edinburgh Business School Press.
- Puszczak, K., Fronczyk, A., & Urbański, M. (2013). Analysis of Sample Size in Consumer Surveys. Taskforce on Quality of BCS Data.
- Roy, K. (2012). The Co-existence of Kirana Stores and Supermarkets: A Potential Possibility? Journal of Marketing and Communication, 7(3), 64-67.
- Runyon, K. E., & Stewart, D. W. (1987). Consumer Behavior and the Practice of Marketing (3rd ed.). Merrill: Columbus, Ohio USA.
- Salazar, H. A., Oerlemans, L., & Stroe-Biezen, S. (2013). Social Influence on Sustainable Consumption: Evidence from A Behavioral Experiment. International Journal of Consumer Studies, 37(2), 172-180.
- Sanlier, N., & Karakus, S. S. (2010). Evaluation of Food Purchasing Behavior of Consumers from Supermarkets. British Food Journal, 112(2), 140-150.
- Saunders, M., Lewis, P., Thornhill, A., & Guppa, A. (2007). Research Methods for Business Students. London, UK: Pitman Publishing.
- Schumacker, R. E., & Lomax, R. G. (2015). A Beginners Guide to Structural Equation Modelling (4th ed.). New York, NY: Routledge, Taylor & Francis Group, LLC.
- Sethi, I., & Chawla, A. S. (2014). Influence of Cultural, Social and Marketing Factors on the Buying Behavior of Telecom Users: A Comparative Study of Rural, Semi-Urban and Urban Areas in and Around Chandigarh. Journal of Marketing Management, 2(1), 97-110.
- Shashikiran, L., & Madhavaiah, C. (2015). Impact of Socio Economic Factors on Purchase Behavior of Organic Food Products. International Journal of Economics and Business Administration, 1(2), 82-86.
- Tsarenko, Y., Ferraro, C., Sands, S., & McLeod, C. (2013). Environmentally Conscious Consumption: The Role of Retailers and Peers as External Influences. Journal of Retailing and Consumer Services, 20(3), 302-310.
- Vadim, K. D. (n.d.). Income as a Factor of Consumer Behavior of Latvian Inhabitants in Economics and Tourism.
- Wang, P., Liu, Q., & Qi, Y. (2014). Factors Influencing Sustainable Consumption Behaviors: A Survey of the Rural Residents in China. Journal of Cleaner Production, 63, 152-165.
- Wingrove, C. A., & Urban, B. (2017). Franchised Fast Food Brands: An Empirical Study of Factors Influencing Growth. Acta Commercii, 17(1), 431.
- Wu, P. C. S., Yeh, G. Y. Y., & Hsiao, C. R. (2011). The Effect of Store Image and Service Quality on Brand Image and Purchase Intention for Private Label Brands. Australasian Marketing Journal, 19(1), 30-39.
- Yang, A., Do, B., Wang, G. L., Chang, L. Y., & Hung, F. C. (2011). Assessing Competitiveness of Foreign And Local Supermarket Chains In Vietnamese Market by Using Fuzzy TOPSIS Method. Journal of Business Management and Economics, 2(5), 209-216.
- Yap, M. C., Tong, D. Y. K., & Lai, K. P. (2011). Consumers’ Perceptions towards International Supermarket Private Brand Products. International Journal of Social Sciences and Humanity Studies, 3(1), 271-280.
- Zairis, A. G., & Evangelos, P. (2014). Consumer Behavior toward Convenience Store Chains in Greece. EuroMed Journal of Business, 9(2), 175-197.
-
The relationship between e-CRM and customer loyalty: a Kenyan Commercial Bank case study
Eric E. Mang’unyi , Oumar T. Khabala , Krishna K. Govender doi: http://dx.doi.org/10.21511/bbs.12(2).2017.11Banks and Bank Systems Volume 12, 2017 Issue #2 pp. 106-115 Views: 2948 Downloads: 2575 TO CITE АНОТАЦІЯSince customer loyalty is key, especially in the highly competitive commercial banking environment, this article evaluated the effects of features of electronic customer relationship management (e-CRM) on customer loyalty. Using a cross-sectional survey design, data were collected from a convenience sample of customers of a major international Kenyan bank using self-administered questionnaires. The findings based on correlation and multiple regression analyses, revealed that pre-service, during (the) service and post transactional e-CRM features have a positive and significant relationship with loyalty, and that the pre-service and during service features significantly predict loyalty. Thus, enhancing e-CRM practices could be a strategic competitive tool to impact the banks’ relationship with their customers.
-
Employment creation in Kenya: exploring the Jua Kali enterprises
Eric E. Mang’unyi , Christine W. Mwanzia , Krishna K. Govender doi: http://dx.doi.org/10.21511/ppm.16(4).2018.38Problems and Perspectives in Management Volume 16, 2018 Issue #4 pp. 453-467 Views: 1874 Downloads: 606 TO CITE АНОТАЦІЯIn developing countries, non-agricultural micro-sized informal enterprises are known to create employment and income generation opportunities. However, due to the complexity and unregulated nature of the sector and, in particular, the Jua Kali, achieving efficient and effective sustainability remains a major challenge for the owners and policy makers alike. Since many unknown barriers continue to impact the effective and efficient development of the aforementioned enterprises, the aim of this study was to determine the barriers to effective job creation in a developing country’s informal micro enterprise industry using evidence from the Jua Kali sub-sector in Kenya. The data from a survey conducted among a random sample of 118 enterprises, which were listed in one Jua Kali Association Directory Nairobi, were analyzed using exploratory factor and regression analyses. Strong evidence supports the notion that some socio-demographic variables such as age, education and marital status have an impact on entrepreneurial activities in the Jua Kali sector. Training, advise and consultation for Jua Kali entrepreneurs need to be enhanced, as this will be necessary to advance their business prowess. The results contribute to studies in entrepreneurship and management by demonstrating that designing and implementing the systems, activities and programs for supporting employment creation through the informal sector can improve productivity at all levels of the economy and improve the living of these entrepreneurs.
-
Growth of Islamic banking in India: discriminant analysis approach
Desti Kannaiah , Yaaseen Masvood , Y. Lokesh Choudary doi: http://dx.doi.org/10.21511/bbs.12(4-1).2017.06Banks and Bank Systems Volume 12, 2017 Issue #4 pp. 175-188 Views: 1314 Downloads: 217 TO CITE АНОТАЦІЯIslamic finance presents a new avenue as a novel alternative to the conventional financial set-up in this country. The purpose of this study is to find out the prospects of Islamic banking in India. The objectives of this study have been met by conducting a survey to elicit the responses from retail customers of both private and public sector banks in four cities of South India. The survey was carried out among both Muslims and non-Muslims to find out about the awareness levels, patronage, motivation and perception towards Islamic banking in India. The results reveal that the respondents have a favorable perception towards Islamic banking, especially from the city of Hyderabad, since it has got a lot of institutions that run courses on Islamic banking.
In the current study, it is found that Islamic banking is having low level of awareness among the respondents. However, the attitude towards adoption of Islamic Banking seems encouraging, as reflected in the study. The findings of this research gain significance due to the fact that this sample represents a segment of the entire population of South India and thus, acts as a pre-cursor to a detailed study involving various other such demographic denominations. The future directions for this research could be carried out by drawing such clusters across the rest of the country. This may help to understand and get a better and broader perspective of the need for Islamic banking and hence, its prospects in India.