Chapter 1

THE PROBLEM AND ITS SETTINGS

Introduction
Shopping stores contribute to business more significantly than
traditional markets which were viewed as simple convergence of supply and
demand. Shopping stores attract buyers and sellers, and induce customers
providing enough time to make choices as well as a recreational means of
shopping. However, competition between shopping stores, congestion of
markets and traditional shopping centers has led mall developers and
management to consider alternative methods to build excitement with
customers. Henceforth, this paper studies the buying behavioral attributes of
the shoppers towards attractiveness of shopping stores.
Understanding the consumer buying attitudes and behavior is one of the
key factors for an organization to successfully tap the business opportunities in
the Philippines. This aspect is more crucial especially during crisis periods
when there are number of changes in consumer attitudes and behaviors. The
marketing managers and advertisers need to know and consider these changes
while developing their promotional plans and media-mixes. In the short term,
behavioral dimensions maybe even more important than lifestyle or brand
attitudes.
According to Assael (1987), shopping behavior is the most unique for
behavior which the consumers exhibit. Gifts, clothing, groceries, gifts and
household items are some of the most common type of shopping which
consumers indulge in a highly frequent manner. But according to Dholakia
(1999), occasion and motives are also some crucial points which influence the
consumers shopping behavior.
Furthermore, the main aim of this paper is to investigate the consumer
behavior towards these shopping stores, with special reference to the stores
located in Iligan City. This study will be conducted on the first semester of the
academic year 2014-2015.
Theoretical Framework
In the quest to answer these queries on regards to the research, the
researchers have come to know some theories and principles that have some
bearing on this research.
The study done by Underhill (1999) revealed that, shopping is very
distinctive in nature, its more to just purchasing what one wants but it also
includes the customers acceptance of the product, brand or stores as well,
using multiple senses like- seeing, smelling, tasting, hearing and even tasting
(at times).
Reid and Brown(1996), proposes that the customers orientation towards
shopping may shed light into the way he/she indulge in shopping and it may
also tell the reason why he/she chooses a particular retail store (including
shopping stores). This would be of great help to marketers to design the malls
in a way so as to increase the shopping experiences of the customers and
coping up with the expectations and needs of the shopping stores customers;
as Underhill (1999), observed that nowadays, upon entering shopping stores
the environment is so vibrant.
Studies of customer behavior in shopping stores usually deal with (i)
identification of customers and (2) their buying behavior patterns. The aim of
such studies is to ascertain who buys where, what, when and how. In addition,
such studies endeavor to learn about customer response to sales promotion
devices (Applebaum, 2007). The "why" of customer behavior is a separate and
very difficult subject; it is not treated here. The knowledge of customer
behavior must precede any consideration of the reasons for the behavior.
Conceptual Framework
This research focuses on the consumers buying behavior towards
shopping stores which is divided into two variables: i) independent variables
which include the age, gender, civil status, monthly salary, religion, and
educational attainment, ii) dependent variables which includes the consumer
buying behavior, the determination of the factors that affect the consumers
buying behavior and the identification of the these types.

















Figure 1.Research Paradigm of the Study





Independent Variable


Respondents Profile

a. Age

b. Gender

c. Civil Status

d. Religion

e. Educational
attainment

f. Occupation

g. Monthly salary



Dependent Variable


Consumer Buying
Behavior
1. Factors affecting the
consumer buying
behavior:
a. Cultural
b. Social
c. Personal
d. Psychological
2. Types of Consumer
buying behavior
a. Impulse
b. Routine
c. Limited
d. Extensive

Statement of the Problem
This study aims to determine and the identify the consumers buying
behavior towards the shopping store through answering the following
questions:
1. What is the profile of the respondents?
1.1 Age
1.2 Gender
1.3 Civil Status
1.4 Religion
1.5 Educational Attainment
1.6 Occupation
1.7 Monthly Salary
2. Is there a significant relationship between the dependent variable and
independent variable?
3. What are the factors affecting the consumers buying behavior?
a. Cultural
b. Social
c. Personal
d. Psychological
4. What are the types of consumer buying behavior?
a. Impulse
b. Routine
c. Limited
d. Extensive
5. What are the findings, conclusion and recommendation on the study?
Significance of the Study
The researchers of this study believe that the findings will benefit the
following:
Shopping store. The output of this study will help establishments in
improving the dimension of their store and demographic ideas on what they
will do.
Student.The final output of this study can provide students, especially
those taking up business course marketing management to add information
that will help them. The knowledge they will get is to apply in the future.
College of Business Administration.The result of this study will benefit
the college for this will serve additional reference material for the different
program. This can also be used as a sample classroom discussions on topics
related to consumer buying behavior.
Researchers.The conduct of this study will provide the researcher
additional knowledge on the different manners of evaluating consumer buying
behavior.
Consumer. This study can provide final users of products or
services. The consumer's use the final product to improve their looks in terms
in fashion.
Scope and Delimitation of the Study
This study will provide us data and information about the consumer
buying behavior of the students and faculty in St. Michaels College. It targets
to randomly select 100 students and 25 faculty members of St. Michaels
College.
The shopping stores are identified in reference to their popularity and
services as reflected in the questionnaire. There were seven (7) selected
shopping stores in Iligan City namely Gaisano mall, Gaisano main, Novo,
Trendline Shopping Center, Unitop, Unicity, Fiesta mall, JBC. The researchers
chose these seven (7) shopping stores.
Definition of Terms
Consumer.One that consumes, especially one that acquires goods or
services for direct use or ownership rather than for resale or use in production
and manufacturing.
Consumer Buying Behavior.The process by which individuals search
for, select, purchase, use, and dispose of goods and services, in satisfaction of
their needs and wants. See also consumer decision making.
Shopping.A number or collection of articles purchased.

Store.A place where merchandise is offered for sale; a shop.















Chapter 2
REVIEW OF RELATED LITERATURE AND STUDIES
This chapter sought to discuss the related literature and studies of
the Consumer Buying Behavior towards Shopping Stores. This will provide
the readers relevant information relative to this study.

Review of Related Literature
The study of consumers helps firms and organizations enhance their
marketing strategies and gain competitive advantages by understanding issues
related to their buying behavior. This paper provides an overview of the
consumer buying behavior in a Filipino style as a new perspective of marketing
in cultural consumerism. The study of consumer behavior helps businesses
and organizations to improve their current marketing strategies by applying
new and unique selling proposition. Filipino style in terms of buying decisions
presents a mixture of different cultures that surrounds their rich heritage. A
unique culture which will showcase their buying attitudes towards existing
strategies in todays knowledge-globalized economy.
The idea of adding a major entertainment center to a shopping mall has
been gaining popularity over the past few years. Several of these so called
'mega-malls' have been constructed in various regions of the country, with
substantial square footage allocated to large-scale entertainment centers. In
terms of shopping center patronage, Ballenger et al. (1977) found that some
consumers placed the greatest value on convenience and economic attributes
including convenience to home, accessibility, and the presence of services such
as banks and restaurants. Others, however emphasized recreational attributes
including atmosphere, fissionability, variety of stores and merchandise.
However, as mentioned earlier, there has been very little academic research on
mega-malls and the effects of entertainment centers in such malls on
consumer behavior. Most of the research conducted on this relatively recent
phenomenon has been done by either mall developers in specific malls (e.g.,
Stiller & Smith, 1992) or by private research agencies which provide a fee-
based information service (e.g., U.L.I. Publications). These studies have
primarily focused upon defining the trading area of the mall, the consumer
characteristics, and the extent of patronage at various stores and
entertainment centers.
Shopping stores contribute to business more significantly than
traditional markets which were viewed as simple convergence of supply and
demand. Shopping malls attract buyers and sellers, and induce customers
providing enough time to make choices as well as a recreational means of
shopping. However, competition between malls, congestion of markets and
traditional shopping centers has led mall developers and management to
consider alternative methods to build excitement with customers. This study
examines the impact of growing congestion of shopping mall in urban areas on
shopping conveniences and shopping behavior. Based on the survey of urban
shoppers, the study analyzes the cognitive attributes of the shoppers towards
attractiveness of shopping malls and intensity of shopping. The results of the
study reveal that ambiance of shopping malls, assortment of stores, sales
promotions and comparative economic gains in the mall attract higher
customer traffic to the malls (Caravella, 2010).
Retailers and marketers often seek to learn how and why people shop.
The consumer decision- making process is a complex phenomenon. The
purchase of goods or services includes a number of factors that could affect
each decision. Decision making is more complex and even more important for
consumers today than in the past. Consumers are besieged by advertising,
news articles, and direct mailings that provide an abundance of information,
much of it with mixed messages. In addition, increases in the number and
variety of goods, stores, and shopping malls, and the availability of multi
component products and electronic purchasing capabilities have broadened the
sphere for consumer choice and have complicated decision making. In the
extant consumer behavior literature, most studies assume that all consumers
approach shopping with certain decision-making traits that combine to form a
consumer's decision-making styles. Academicians and researchers have long
been interested in identifying these underlying decision styles of shoppers. For
example, consumers are identified as economic shoppers, personalizing
shoppers, ethical shoppers, apathetic shoppers, store- loyal shoppers,
recreational shoppers, convenience shoppers, price-oriented shoppers, brand-
loyal shoppers, name-conscious shoppers, problem-solving shoppers, quality
shoppers, fashion shoppers, brand conscious shoppers and impulse shoppers.
In the last ten years, many malls have donned the trappings of
community centers. Mall owners have gone to great lengths to lure consumers
in and keep them in, installing free or low-cost amenities like jogging routes,
restaurants, movie theaters and merry-go-rounds. In the recession, however,
these attractions are now becoming more popular than the retail stores. Sales
in many mall stores in New York, New Jersey and Connecticut have declined.
That said, food courts, play areas and other thoroughfares are still welcoming
visitors. Parents need to entertain their children, teenagers need a hang out,
and adults meet in shopping malls to socialize indoors. Mall owners in New
York, New Jersey and Connecticut, like their counterparts across the country,
have installed wave-riding machines and offer laser tag, paintball and ice
skating. They have also organized concerts and karaoke contests, temporary-
tattoo parties and social clubs for children, and they have begun turning vast
and empty stores into community theaters and health clinics.
Consider a retailer who operates both brick-and-mortar stores and direct
channels such as direct mail catalogs and an Internet Web site. What effect
does the opening of a new retail store have on direct channel sales in the retail
trading area surrounding the store? Does the existence of more opportunities
for consumer contact with the brand increase the retailer's direct sales, or does
intra-brand, inter-channel competition erode the retailer's direct sales? Does
consumer response to the retailer's brand evolve over time, perhaps as
consumers go through some process of trial-and-error learning about the
relative merits of stores and direct channels, or is the impact of the new store
relatively discrete? Does the answer depend on whether consumers in the retail
trading area have had the opportunity for previous experience with the brand's
stores (Steenburgh, 2009).
Decision making with regard to retail outlet selection is very similar to
consumer decision-making on brands where the consumer goes through a
process starting from identifying needs to post-purchase issues. There are a
few interesting and important dimensions associated with consumer behaviour
and retail outlet selection. Marketers need in-depth knowledge about the
various dimensions which link retailing and consumer behaviour. There is
research required to handle retail decisions in a competitive context.
McDonald's found that a major chunk of its consumers decide to eat a few
minutes before they make the purchase decisions and hence it is building
small outlets in large supermarkets such as Wal-Mart and Home Depot.
There are three fundamental patterns which a consumer can follow and
they could be:
(I) Brand first, retail outlet second
(ii) Retail outlet first, brand second
(iii) Brand and retail outlet simultaneously (Kumar, 2008).
Chapter 3
RESEARCH DESIGN AND METHODOLOGY
This chapter presents the research design and methodology of this study
which includes research instrument, locale of the study, respondents of the
study, data gathering procedure method of analysis.
Research Methodology
For finding out various details of our project we have to find the various
factors which are making the shopping stores so attractive to the customer. Is
it the huge variety attainability, effortless business, service variety ambience,
active marketing and cleanliness? We have to also find out what is the impact
of these stores on the small retail shops. We have to visit various shopping
stores and by observation method we have to find out the various factors which
is making these stores so attractive to the customer, we also need to interview
the customer and ask them about their choice and preferences like what are
the thing they like about the shopping malls that includes (variety, price
shopping environment, service, cleanliness, attainability) etc. And for finding
out the impact of these stores on the small retailers we need to interview some
small retailer and know their opinion and position.



Local of the Study
The study is conducted at the portals of St. Michaels College which is
situated to a much commercialized zone. St. Michaels is surrounded by major
establishments and shopping stores. Considering it is located in the heart of
the city, specifically in the Poblacion of Iligan City. Further, popular stores and
malls are situated nearby the schools which normally students and faculty
members visit.
Respondents of the Study
The respondents of the study are the students and faculty of St.
Michaels College. They consist of 100 students randomly selected and 25
faculty members that were also randomly chosen by the researchers.
Primary data
Primary data is the specific information collected by the person who is
doing the research. It can be obtained through clinical trials, case studies, true
experiments and randomized controlled studies. This information can be
analyzed by other experts who may decide to test the validity of the data by
repeating the same experiments. Primary data can also be retrospective,
interventional and observational in nature. Retrospective primary data gathers
information about past conditions or behaviors. Interventional primary data
may be gathered to see the effect of a new product or services. Observational
studies gather primary data by means of case studies such as the work done
by naturalists like Jane Good all on chimpanzees in the wild.

Survey Approach
We collected primary data through sample survey from the selected
elements in malls and super markets. So for this purpose we have used the
most popular tool of primary data collection through direct communication
with respondents. The tools we used are questionnaires. After fulfilling the
questionnaires we asked some verbal question also. According to their
response we are able to recollect some more information regarding this study
and survey. Convenience sampling is used for this study Convenience sampling
is used in exploratory research where the researcher is interested in getting an
inexpensive approximation of the truth. As the name implies, the sample is
selected because they are convenient. This non probability method is often
used during preliminary research efforts to get a gross estimate of the results,
without incurring the cost or time required to select a random sample.
Exploratory method
Exploratory research is a type of research conducted for a problem that
has not been clearly defined. Exploratory research helps determine the best
research design, data collection method and selection of subjects. It should
draw definitive conclusions only with extreme caution. Given its fundamental
nature, exploratory research often concludes that a perceived problem does not
actually exist.
Questionnaire
Under the Questionnaire we have 16 Question and each Question related
to different-different factor (purchasing or buying at the shopping malls,
pattern of the selling, rang and product price, offer, parking facilities, employee
behavior) of shopping malls.
Sample collection
For collecting the sample we had visited many shopping malls and super
market. What we had done their we simply approach the people who came out
from shopping mall.
Random Sample Method
A random sample is one chosen by a method involving an unpredictable
component. Random sampling can also refer to taking a number of
independent observations from the same probability distribution, without
involving any real population. The sample usually is not a representative of the
population from which it was drawn this random variation in the results is
known as sampling error.
A simple random sample is selected so that all samples of the same size
have an equal chance of being selected from the population.
A self-weighting sample, also known as an EPSEM (Equal Probability of
Selection Method) sample, is one in which every individual, or object, in the
population of interest has an equal opportunity of being selected for the
sample. Simple random samples are self-weighting.
Stratified sampling involves selecting independent samples from a
number of subpopulations, group or strata within the population. Great gains
in efficiency are sometimes possible from judicious stratification.
Cluster sampling involves selecting the sample units in groups. For
example, a sample of telephone calls may be collected by first taking a
collection of telephone lines and collecting all the calls on the sampled lines.
The analysis of cluster samples must take into account the intra-cluster
correlation which reflects the fact that units in the same cluster are likely to be
more similar than two units picked at random.
(Here I have chosen simple random sample method for collecting the data)
Sample Size
We have collected 100 samples from the population of the students and
25 faculty members of St. Michaels College.
Statistical Tools to be used
The statistical procedures employ to analyze the data in this study are the
following:
1. Frequency and Percentage. To describe the respondents profile in
terms of the factors gathered statistical such as percentage and
frequency distribution were used. The formula is
P= f/Nx100
Where: P= percentage
F= frequency
N= total number of respondents
100=constant
2. Weighted Mean. It was used to determine the motivational strategies
used by teachers in motivating the pupils. The formula is:


Where: fx= sum of all products of f and x

x= Number of cases

f= weight of each scores

3. Standard Derivation. This was used to compare two or more sets of
data having the same units of measurement and approximately the
same mean. The formula is: