chetna final proect of retail patronage

A

PROJECT REPORT

ON

“DETERMINATION OF RETAIL PATRONAGE”

UNDERTAKEN AT

DHIRAJ SONS MEGA STORE PVT LTD, SURAT

Submitted by:

Miss.CHETNA PATEL

(06MBA32)

Guided by:

Mr. BHAVESH VANPARIYA

MBA PROGRAMME

(2006-08)

SHRIMAD RAJCHANDRA INSTITUTE OF

MANAGEMENT AND COMPUTER APPLICATION

Declaration

Myself, undersigned Miss. Chetna Patel, first year student of

Shrimad Rajchandra Institute of Management & Computer Application,

Bardoli, affiliated to Veer Narmad South Gujarat University, Surat declare

that report on “DETERMINATION OF RETAIL PETRONAGE” is my own work.

The survey was carried out by me as a part of summer training in the

company for being evaluated for the MBA degree.

Place:

Date:

-

_______________

Chetna Patel

ACKNOWLEDGEMENT

This Project work is written in accordance with the Master

of Business Administration course prescribed by Veer Narmad

South Gujarat University for 8 weeks project work.

A project of this nature involves the support of many people. I

believe that would be lacking in my duty if I do not express my sincere

gratitude to them.

I am great thankful to the management of Dhiraj Sons Mega Store

Pvt, Ltd, Surat for allowing me to take training at their organization and

giving all possible help and guidance during the training period. I am

heartily thankful to Mrs. Deepa Guar for granting permission. I am

especially thankful to our external Guide Miss Krishna lagdhdir and Miss

Mansi, for giving relevant and necessary guidance. I am all thankful to all

the officers for giving me warm support & providing me necessary

information and I am also thankful to the customer of Dhiraj Sons Mega

Store Pvt, Ltd, Surat for giving necessary information and filling

questionnaire.

With all sincerity, I would like to express my gratitude to our

Director Dr. Bankim Patel. For giving an opportunity to undergo Corporate

Exposure and learning at Dhiraj son’s mega store Pvt ltd. And I would like

to express my deep sense of gratitude to my project guide Mr. Bhavesh

Vanpariya, without his guidance this project would not be made the way

in which it is. I am very thankful to him for his constant support and

valuable guidance.

I am indebted to my family and friends for their kindly co-

operation.

Chetna Patel

EXECUTIVE SUMMARY

Purpose: “To study Determination of Retail Patronage”

First I studied on general information of the Dhiraj Sons Mega Store Pvt

Ltd, Surat then I selected special project on the Determination of retail

Patronage of the Dhiraj Sons Mega Store Pvt Ltd, Surat.

The project report includes the information regarding the Industry

profile, Retail profile & Dhiraj Sons Mega Store Pvt Ltd, Surat. It also gives

details of the research methodology, Data analysis & interpretation,

conclusion & suggestion for to make Dhiraj sons mega store Pvt ltd, a

most preferred destination in Surat for shopping and increase purchase

frequency.

CONTENT OF THEORY: (LITERATURE REVIEW)

To Study the above topic I refer the research paper & book of Retail

management. First I learn about the meaning of the Retail Patronage.

With the help of the Research paper on Determination of retail patronage

by J. Patrick Kelly, Brigham Young University and Scott M. Smith, Brigham

Young University. I carried out this research and it measures the

Qualitative evaluation of the store and also includes criteria which

important for the customer while taking purchase decision.

Two scenarios currently dominate retail growth strategy

formulation. Each scenario focuses on location or store attribute

dimensions. So Qualitative evaluation of the store this alternatively

improvement in the quality and variety of merchandise, speed of service

and courtesy of employees within the existing stores could be improved.

The distance to a store and store attribute have a strong influence on the

probability of purchasing at a giver store location. Higher the distances

lower the purchase frequency using this approach market potential could

be determined however the other attribute can mediate the willingness to

purchase at a given store.

SERVICE INDUSTRY PROFILE:

The service industry includes the retail industry. To understand the

retail scenario, there is need to understand about service sector.

Service Sector in India today accounts for more than half of India's

GDP. According to data for the financial year 2006-2007, the share of

services in India's GDP is 55.1%. The various sectors that combine

together to constitute service industry in India are Trade, Hotels and

Restaurants, Railways, Other Transport & Storage, Communication (Post,

Telecom), Banking, Insurance, Dwellings, Real Estate, Business Services,

Public Administration; Defense, Personal Services Community Services,

Retail.

The boom in the services sector has been relatively "jobless". The

rise in services share in GDP has not accompanied by proportionate

increase in the sector's share of national employment.

The services sector will be the top employer in India, while the

public administration and education sector is to hire the lowest number of

employees. Overall, though, the Manpower Employment Outlook Survey,

says Indian employers are anticipating a stronger third quarter

employment outlook, compared with their counterparts in the Asia Pacific

region.

COMPANY PROFILE:

Retail industry in India is at the crossroads. Retail is an India’s largest

industry, accounting for over 10% of country’s GDP & around 8% of the

employment. It has emerged as one of the most dynamics & fast paced

industry with several players entering the market. But because of the

heavy investments required, breakeven difficult to achieve & many of

these players have not tested success so far.

Retailing in India is gradually inching its way toward becoming the next

boom industry. The whole concept of shopping has altered in terms of

format & customer buying behavior, Ushering in a revaluation in shopping

in India. Modern Retail has entered India as seen in sprawling shopping

center, multi store Malls &huge complexes offer shopping, Entertainment

& food all under one roof.

ABOUT DHIRAJ SONS MEGA STORE PVT LTD, SURAT:

Dhiraj Sons Mega Store Pvt. Ltd is a corporate group comprising of a

business activity firms like Mega Store, Super Store, Music Shop, Card

Shop, Toy Shop and now Fashion World.

Dhiraj Sons is in business since last 62 years, starting off with doing

small business in Grocery and Kirana shop in posh area of Athwalines,

Surat. It was the first to start a Family General Store in 1947, namely R.

Dhiraj Modi. It ventured into a Departmental Store “Dhiraj Sons” in 1984.

It became a pioneer in introducing for the first time in Gujarat the self

service system and online computerized billing system. Continuing with

the successful progress march. In 29-04-2000, had been inaugurated

Dhiraj son’s mega store at Chowpatty, a 15,000 square feet shopping

store. A complete 'shop entertainment' environment kind of store.

The project report gives details of the research methodology, Data

analysis & interpretation, findings, conclusion & suggestion to improve

the service performance & consumers’ perception.

The research methodoly include the problem definition, research

objectives & tools for measuring the research problems. The problem

definition of the study is listed below.

Mgt Decision Problem:

How to improve the quality and variety or merchandise, speed of service,

and courtesy of employees within the existing stores and how to increase

purchase frequency?

Mgt Research Problem:

How to make Dhiraj sons mega store Pvt ltd a most preferred destination

and a one stop shop.

1> Whether the distance is the importance in purchase

frequency?

2> What are the stores attribute that are important predictor of

purchase frequency?

3> Which store attribute is most important predictor of purchase

frequency?

4> What are the various features looked for in a good shopping

mall by people visiting it?

5> What are the features that are lacking in Dhiraj sons according

to the people visiting it?

Primary objectives:

To study the determinant of retail patronage and test it as

alternative predictor of purchase frequency.

To find out the ways to make Dhiraj sons mega store Pvt ltd a most

preferred destination and a one stop shop.

Secondary objectives:

To know the dimension of retail patronage.

To know the purchase frequency by importance of distance.

To know the importance of store attribute with respect to

purchase frequency.

To measure the overall qualitative evaluation of the store.

To know the most important store attribute predictor in

purchase frequency.

To know the various features looked for in a good shopping

mall by people visiting it.

To know the features that are lacking in Dhiraj Sons according

to the people visiting it.

The research design is descriptive. Sampling design is Non-

probability & sampling method is convenience sampling because of time

& money constraints. For the sampling I

selected different branches of Dhiraj Sons mega Store Pvt Ltd, to get the

views of different respondents about the store qualitative information.

There are 200 customers of store are surveyed of the 4 stores For this I

conducted method of survey and the primary data is collected, In primary

data, the data was collected through questionnaire & personal interview

of the customers of Dhiraj Sons, Patrons reported a variety of information

included in questionnaire. Secondary data includes the Books & Website.

For the analysis purpose SPSS software is use for analysis and

interpretation of data, we have used Central tendency, One Sample t-test,

Factor Analysis, Correlation, and Cross Tab & Chi-Square Test with the

help of SPSS Software.

The findings can be summed up,

All together 69%of Responders visit Dhiraj sons Once in a

week and 30% customers are visit the Dhiraj sons once in a

month and only 1% customers are the yearly shoppers.

The customers are neutral level with the Courtesy of service,

Cleanliness, Merchandise Quality, Atmosphere and

Decoration.

The meaningless correlation between Income and Purchase

frequency, Age and Purchase frequency, Occupation and

Purchase frequency and Gender and Purchase frequency.

Value for Money Product(Quality, Cleanliness, Atmosphere

and Décor) Quick Service(Courtesy of services, Speed of

services)

Conclusion

The most of the responders are not satisfied with the speed of

the service provide by the Dhiraj sons.

The quality of product provided by the Dhiraj sons is appreciated

by the responders.

The most of the peoples are mostly come at least in a week.

The peoples are mostly depends on the quality, cleanliness and

atmosphere & decoration.

The peoples are mostly emphasis on courtesy and speed of the

service provides by the Dhiraj sons.

Suggestions

Dhiraj sons should attract the monthly shoppers in order to increase

the sales by introducing such weekly schemes.

Dhiraj sons should increase its speed of services of the store.

To increase Courtesy of service from the employees Dhiraj sons

should conduct training program for their employees.

As per the factor analysis Dhiraj sons is lacking in the factor of

reasonable price so focus on it by making the price of merchandise

reasonable and provide different discount offers for the customers.

The good features looked by the customers in a store are Quality,

Cleanliness, Atmosphere and Decoration, Courtesy of services,

Speed of services so continue to focus on these factors.

TABLE OF CONTENTS

SR. NO. TOPIC Page no.

1. Literature Review

1.1 What is Retail patronage

2. Industry Profile

3. Company profile

3.1 Introduction of Dhiraj Sons

4. Research Methodology

4.1 Problem Definition

4.2 Research Objectives

4.3 Research Methodology

5. Data analysis & Interpretation

5.1

5.2

- Measurement of Central Tendency

- One Sample t-test

5.3

5.4

5.5

5.6

- Factor Analysis

- Correlation

- Cross Tab & Chi-Square Test

- Demographic Profile of Respondents

6. Findings & conclusion

CHAPTER -2

INDUSTRY PROFILE

Service Industry profile:

Service Sector in India today accounts for more than half of India's

GDP. According to data for the financial year 2006-2007, the share of

services, industry, and agriculture in India's GDP is 55.1 per cent, 26.4 per

cent, and 18.5 per cent respectively. The fact that the service sector now

accounts for more than half the GDP marks a watershed in the evolution

of the Indian economy and takes it closer to the fundamentals of a

developed economy.

Services or the "tertiary sector" of the economy covers a wide gamut

of activities like trading, banking & finance, infotainment, real estate,

transportation, security, management & technical consultancy among

several others. The various sectors that combine together to constitute

service industry in India are:

Trade

Hotels and Restaurants

Railways

Other Transport & Storage

Communication (Post, Telecom)

Banking

Insurance

Dwellings, Real Estate

Business Services

Public Administration; Defense

Personal Services

Community Services

Retail

There was marked acceleration in services sector growth in the

eighties and nineties, especially in the nineties. While the share of

services in India's GDP increased by 21 per cent points in the 50 years

between 1950 and 2000, nearly 40 per cent of that increase was

concentrated in the nineties. While almost all service sectors

participated in this boom, growth was fastest in communications,

banking, hotels and restaurants, community services, trade and

business services. One of the reasons for the sudden growth in the

services sector in India in the nineties was the liberalization in the

regulatory framework that gave rise to innovation and higher exports

from the service sector.

The boom in the services sector has been relatively "jobless". The

rise in services share in GDP has not accompanied by proportionate

increase in the sector's share of national employment. Some

economists have also cautioned that service sector growth must be

supported by proportionate growth of the industrial sector; otherwise

the service sector grown will not be sustainable. In the current

economic scenario it looks that the boom in the services sector is here

to stay as India is fast emerging as global services hub.

The services sector will be the top employer in India, while the

public administration and education sector is to hire the lowest number

of employees. Overall, though, the Manpower Employment Outlook

Survey, says Indian employers are anticipating a stronger third

quarter employment outlook, compared with their counterparts in the

Asia Pacific region.

CHAPTER-3

COMPANY PROFILE

Company Profile:

Retail is a India’s Largest industry, accounting for over 10% of

country’s GDP & around 8% of the employment. Retail industry in India is

at the crossroads. It has emerged as one of the most dynamics & fast

paced industry with several players entering the market. But because of

the heavy investments required, breakeven difficult to achieve & many of

these players have not tested success so far. However the future is

promising the market is growing, government policies are becoming more

favorable & emerging technologies are facility operations.

Retailing in India is gradually inching its way toward becoming the

next boom industry. The whole concept of shopping has altered in terms

of format & customer buying behavior, Ushering in a revaluation in

shopping in India. Modern Retail has entered India as seen in sprawling

shopping center, multi store Malls &huge complexes offer shopping,

Entertainment & food all under one roof.

India has topped the AT Kearney’s annual Global Retail

Development Index (GRDI) for the third consecutive year, maintaining its

position as the most attractive market for retail investment.

The Indian retail market -- one of India's fastest growing industries

is expected to grow from US$ 350 billion to US$ 427 billion by 2010.

According to Euro monitor International, the Indian Retail market will grow

in value terms by a total of 39.6 per cent between 2006 and 2011,

averaging growth of almost 7 per cent a year.

Modern retail accounts for about 4 per cent of the total retail

market in India. This share is expected to increase to about 15 -20 per

cent with the entry of a number of corporate into the segment. Modern

retail formats have grown by 25-30 per cent in India in the last year and

could be worth US$ 175-200 billion by 2016.

Currently the value of the retail market is estimated at around

$270 billion with a growth rate of 5.7 percent per annum according to the

India Retail Report 2007. India Retail Report 2007 said that organized

retail in India has the potential to add over Rs 2000 billion business by the

Year 2010 generating employment for some 2.5 million people in various

retail operations and over 10 million additional workforce in retail support

activities including contract production and processing, supply chain and

logistics, retail real estate development and management.

The Indian retail sector is at inflexion point where the growth of

organized retailing in growth consumption by the Indian population is

going to take a higher growth trajectory. The Indian population is

witnessing a significant changing its demographics. A large young

working population with median age of 24 years, nuclear families in urban

areas, along with increasing working women population & emerging

opportunities in the services sector are going to be the key growth drivers

of the organized retail sector in India.

INTRODUCTION OF DHIRAJ SONS MEGA STORE PVT LTD,

SURAT:

Dhiraj Sons Mega Store Pvt. Ltd is a corporate group comprising of a

business activity firms like Mega Store, Super Store, Music Shop, Card

Shop, Toy Shop and now Fashion World.

History:

Dhiraj Sons is in business since last 62 years, starting off with doing small

business in Grocery and Kirana shop in posh area of Athwalines, Surat. It

was the first to start a Family General Store in 1947, namely R. Dhiraj

Modi. Subsequently following the

overwhelming response from the people, for the first time in Gujarat, it

ventured into a Departmental Store “Dhiraj Sons” in 1984. It became a

pioneer in introducing for the first time in Gujarat the self service system

and online computerized billing system. Continuing with the successful

progress march, it also added a Greeting Card Shop, a Music Shop, Plastic

Corner and a Stationery Corner to its establishment in the year 1995,

which was due to the faith and love of the people of Surat in us and our

management, which made us stand apart from the rest of our

competitors. In 29-04-2000, we inaugurated Dhiraj Sons - The Mega Store

at Chowpatty, a 15,000 square feet shopping store. A complete 'shop

entertainment' environment kind of store. Catering to demands of our

valued customers, in 2002 we unveiled Dhiraj Sons - The Super Market, at

Parle Point a 15,000 square feet shopping store for their shopping ease

and comfort. From a small Grocery Store in 1947 to Super Store,

Mega Store and Fashion World in 2002 shows the kind of progress we

have made and always leading from the front. This all has been possible

because of the trust and love from our valued ‘Dhiraj Customers’ and due

to our fellow staff members. This has always promoted us to take a major

step forward in presenting our customers with new innovations and

dimensions.

Branches of Dhiraj Sons:

FASHION WORLD

A grand Fashion world for branded Men,

Women, Kids Garments & Accessories and

presenting a constant changing Fashion

World. The entire place is totally air

conditioned with gorgeous automatic

escalator entrance.

MEGA STORE

A Three Storeyed store housing all kinds

of groceries, toiletries, food stuffs,

household items, crockery's, watches,

electronic items, gift items etc.

http://www.dhirajsons.com/megastore/index.htm

SUPER MARKET

A store housing all kinds of groceries,

toiletries, food stuffs, household items,

crockery's, watches, electronic items, gift

items etc.

TOY SHOPAn extravagant collection of toys & soft

toys and games are available for kids of

all ages.

Cards for Birthday, Anniversary, Sorry,

Thank you, New year, Christmas, Pateti,

Idd, Condolences, Friendship, Love, Best

Wishes and all Occasions.

All kinds of plastic items like buckets,

tumblers, boxes, jars, household items

etc.

English, Hindi, Gujarati Audio Cassettes

and Compact Discs ( CD's).

CHAPTER-4

Research Methodology

-Problem Definition

-Research Objectives

-Research Methodology

Research Methodology

4.1 Problem definition:

How to make Dhiraj sons mega store Pvt ltd a most preferred destination

and a one stop shop.

Mgt Decision Problem:

How to improve the quality and variety or merchandise, speed of service,

and courtesy of employees within the existing stores and how to increase

purchase frequency?

Mgt Research Problem:

To investigate and test as alternative predictors of purchase frequency of

Dhiraj sons Pvt ltd.

Problem Definition:

6> Whether the distance is the importance in purchase

frequency?

7> What are the stores attribute that are important predictor of

purchase frequency?

8> Which store attribute is most important predictor of purchase

frequency?

9> What are the various features looked for in a good shopping

mall by people visiting it?

10>What are the features that are lacking in Dhirajsons according


4.2. Objectives of Study:

Following are the objectives of the present study:

Primary objectives:

To study the determinant of retail patronage and test it as

alternative predictor of purchase frequency.

To find out the ways to make Dhiraj sons mega store Pvt ltd a most

preferred destination and a one stop shop.

Secondary objectives:

To know the dimension of retail patronage.

To know the purchase frequency by importance of distance.

To know the importance of store attribute with respect to

purchase frequency.

To measure the overall qualitative evaluation of the store.

To know the most important store attribute predictor in

purchase frequency.

To know the various features looked for in a good shopping

mall by people visiting it.

To know the features that are lacking in Dhiraj Sons according


4.3. Research Methodology:

Research Methodology is the systematic design, collection, analysis

and reporting of data and findings, relevant to appraisal specific

personnel situation facing the company. Research Methodology describes

the research procedure. This research procedure covers the following

points:

A. Research design

B. Data collection method

C. Sampling plan

A. Research Design:

A research design is an overall framework of project that indicates

what information to be collected from which sources and by which

procedures.

Research design is the plan, structure, and strategy of investigation

conceived so as to obtain answers to research questions and to control

variance.

In this project, descriptive and cross-sectional research design has

been used because it describes the phenomena under study and

recommendations findings are specific under this study. Cross-sectional

studies are carried out once and selected as the research will be carried

out in a particular time limit only.

The Six W’s

WHO-Who should be considered a potential respondent?

=> Potential respondent: Potential customers of Dhiraj son’s Pvt, ltd Surat

WHAT-What information should be obtained from respondent?

=> The qualitative information about the store.

WHERE-Where should the respondents be contacted to obtain the

required information?

=> The respondent is contacted within the four stores of Dhiraj sons Pvt,

Ltd-Ghod dod road, Parle point, Nanpura (fashion world), Bardoli

WHY-Why are we obtaining information from the respondents? Why is the

marketing research project being conducted?

=> To improve the quality and variety or merchandise, speed of service,

and courtesy of employees within the existing stores and increase

purchase frequency of Dhiraj son’s stores.

WAY- In what way are we going to obtained information from the

respondents?

=> Prepare a questionnaire and conduct face to face personal interview.

WHEN- 21 may 2007 to 20th July 2007.

B- Data collection Method:

There are two sources of data:

1. Primary data sources

2. Secondary data sources

Primary data are collected by using the Survey method of data

collection.

Secondary data are collected from books on research, marketing, past

research reports and websites and research paper of

Research Measurement Tool

The most popular research instrument for data collection -

questionnaire has been used. This questionnaire has been administered

through face to face interviews.

Type of Questions

In the questionnaire, close ended questions included. The close-ended

questions further included multiple-choice questions as well as rating

scale questions.

Pre-Testing of questionnaire:

It is necessary to check the questionnaire, before actual

research is done. Therefore pilot testing is done. In this case, Pilot

testing was done for 20 respondents from each store and based on

the feedback, the questionnaire was fine-tuned.

C. Sampling Plan:

Sampling Design and Sampling Method:

In this study, non-probability sampling design has been used and the

sampling method employed is Convenience Sampling and Quota

sampling. This has been done instead of pure random sampling method

(Probability Sampling) because of time and money constraints.

I. Define the Target population

-Element: Potential Customer

-Sampling Unit: visitors and customer of Dhiraj sons

-Extent: Surat city( 4 branch of Dhiraj sons

-Time: 21st may 2007 to 20th July 2007

ii. Define sampling frame:

Customer record book

iii. Select sampling techniques:

Non-probability Convenience. This has been done instead of pure

random sampling method (Probability Sampling) because of time and

money constraints.

iv. Determine sample size:

200 customers of Different branch of Dhiraj sons.

v. Execution of sampling process:

Data have bee collected from Dhiraj son’s store i.e. Athawagate, Ghod

Dhod Road, ParlePoint, Fashion world and Bardoli by conducting interview

of Customer.

4.4.Statistical Test Used:

We have use SPSS software for doing all kind of statistical test.

Mean- means value is obtained by adding together all the items and by

dividing this total by the number of items.

Median- middle value in a distribution.

Mode- the model value in a series of observation which occurs with the

great frequency.

Standard deviation- a probability distribution, random variable. Or

population or multiset of values is a measure of the spread of its values.

One-sample t test – The One-sample T test compares the mean score of

a sample to a known value.

Factor analysis

ANOVA analysis

Correlation

Cross tab

Chi-square test

CHAPTER-5

DATA ANALYSIS

&

INTERPRETATION

Q-1 How frequently you come to Dhiraj sons?

Purpose- To know the purchase frequency.

Times responders visit Dhiraj sons

Frequency Percentage

At least once in a week 138 69.0

In a month 60 30.0

In a year 2 1.0

Total 200 100.0

INTERPRETATION:

From the above table and graph we can say 69% responded out of

100, visit Dhiraj sons once in a week, so they can be called as loyal

customers of Dhiraj sons but they need to attract the monthly shoppers

because it covers a small market but if they shop at least once in a week,

the sales of Dhiraj sons would be increases.

A.1.0Measurement of Central Tendency

N /

Missing Mean

Quality 200 0 4.14

Cleanliness 200 0 3.95

Atmosphere and décor 200 0 3.95

Courtesy of service 200 0 3.70

Speed of service 200 0 3.41

Varieties 200 0 3.78

Price 200 0 3.74

Nearness of store 200 0 3.92

From above table of Measurement of Central Tendency from 5-point

scale, we can see that all the respondents are positively agree (4) with all

the statement.

Test Value

= 3

t df Sig.

(2-tailed)

Mean

Difference

95%

Confidence

Interval of

the

Difference

Lower Upper

Quality 23.188 199 .000 1.13 1.04 1.23

Cleanliness 16.903 199 .000 .94 .83 1.06

Atmosphere

and décor

16.046 199 .000 .95 .83 1.07

Courtesy of service 10.905 199 .000 .70 .57 .83

Speed of service 5.654 199 .000 .40 .26 .55

Varieties 12.505 199 .000 .77 .65 .90

Price 12.730 199 .000 .74 .63 .85

Nearness of store 9.547 199 .000 .92 .73 1.10

A.3.0 Merchandise of the quality of the store

Q-1 Merchandise of the quality of the store is good

1-Storngly disagree,2-Disagree,3-Neutral, 4-Agree, 5-Strongly

agree

Purpose- With the help of this statement we can find that the

Merchandise quality of a store is good or not.

Null Hypothesis (HO): There is no significant difference between

calculated mean and hypothesized mean. In other words, we hypothesize

that the customer are neutral that the quality is one of the important

criteria consider by them while taking purchase decision

Alternative Hypothesis (H1): There is significant difference between

calculated mean and hypothesized mean. In other words the customer are

not neutral that the quality is one of the important criteria consider by

them while taking purchase decision

Statistical Test: one sample t-test is chosen because the measurement

of data is interval in nature.

Significance level: 0.05

Test value at 3.0

Table-A-3.1One-Sample Test

N Mean

Std.

Deviation Std. Error Mean

Quality 200 4.14 .69 4.89

Table A 3.2 One-Sample test

Test Value = 3

t Df Sig.

(2-tailed)

Mean

Difference

95% Confidence

Interval of the

Difference

Lower Upper

Quality 23.188 199 .000 1.13 1.04 1.23

Inference:

Here the test is performed at 95% significance level and the p-value

comes out as 0.000 which is less than 0.05, it means that the null

hypothesis H0 is rejected and alternative hypothesis H1 is accepted and it

can be said that there is significant difference between calculated mean

and hypothesized mean. From the Mean value (4.14)& t-test value we can

analyzed that customer are above neutral level i.e. agree with the

statement that the Merchandise quality of a store is good and the quality

is one of the important criteria consider by them while taking purchase

decision.

B.1.0 Over all cleanliness of the store

Q-2 Over all cleanliness of the store is good.

1-Storngly disagree, 2-Disagree,3-Neutral, 4-Agree, 5-Strongly

agree

Purpose- With the help of this statement we can analyzed that whether

cleanliness of the store is good or not.



that the customers are neutral that the Over all cleanliness of the store is

one of the important criteria consider by them while taking purchase

decision


calculated mean and hypothesized mean. In other words the customers

are not neutral that the Over all cleanliness of the store is one of the

important criteria consider by them while taking purchase decision




Test value at 3.0

Table-B-1.1 One-Sample Test

N Mean

Std.


cleanliness 200 3.95 .79 5.59

Table-B-1.2 One-Sample Test

Test Value = 3

t Df Sig.

(2-tailed)

Mean

Difference

95% Confidence

Interval of the

Difference

Lower Upper

Cleanliness 16.903 199 .000 .94 .83 1.23

Inference:



hypothesis H0 is rejected and alternative hypothesis is accepted and it



analyzed that customer are above neutral level i.e. agree with the

statement that the Over all cleanliness of the store is good. And the

cleanliness is one of the important criteria consider by them while taking

purchase decision.

C.3.0 Atmosphere and decoration of the store

Q-3 Atmosphere and decoration of the store is good.


agree


the Atmosphere and decoration of the store is good or not.



that the customer are neutral that Atmosphere and decoration of the

store is the store is one of the important criteria consider by them while

taking purchase decision.



that the customer are not neutral that Atmosphere and decoration of the

store is the store is one of the important criteria consider by them while

taking purchase decision.




Test value at 3.0

Table-C-1.1 One-Sample Test

N Mean Std. Deviation Std. Error Mean

Atmospher

e200 3.95 0.84 5.92

Table-C-1.2 One-Sample Test

Test Value = 3

t Df Sig.

(2-tailed)

Mean

Difference

95% Confidence

Interval of the

Difference

Lower Upper

Atmospher

e 16.046 199 .000

.95 .83 1.07

Inference:





and hypothesized mean. From the Mean value (3.95) & t-test value we

can analyzed that customer are above neutral level i.e. agree with the

statement that the Atmosphere and decoration of the store is good and

Atmosphere and decoration of the store is one of the important criteria

consider by them while taking purchase decision.

D.4.0 Courtesy of service from employee

Q-4 Courtesy of service from employee is good enough.


agree


w Courtesy of service from employee is good enough or not.



that the customer are neutral that Courtesy of service from employee of

the store is one of the important criteria consider by them while taking

purchase decision.



that the customer are not neutral that Courtesy of service from employee

of the store is one of the important criteria consider by them while taking

purchase decision.




Test value at 3.0

Table-D-1.1 One-Sample Test

N Mean

Std.


Services from

employees200 3.70 0.91 6.42

Table-D-1.2 One-Sample Test

Test Value = 3

t Df Sig.

(2-tailed)

Mean

Difference

95% Confidence

Interval of the

Difference

Lower Upper

Services from

the employees 10.945 199 .000

.70 .57 0.83

Inference:





and hypothesized mean. From the Mean value (3.70) & t-test value we

can analyzed that customer are above neutral level i.e. agree with the

statement that the Courtesy of service from employee is good enough

and the Courtesy of service from employee of the store is one of the

important criteria consider by them while taking purchase decision.

E.5.0 Speed of services in the store

Q-5 Speeds of services in the store is good.


agree


Speeds of service in the store is good or not.


calculated mean and hypothesized mean (3). In other words, we

hypothesize that the customer are neutral that Speeds of service in the

store is one of the important criteria consider by them while taking

purchase decision.



that the customer are not neutral that the Speeds of service in the store is

one of the important criteria consider by them while taking purchase

decision.




Test value at 3.0

Table-E-1.1 One-Sample Test


Speed of

services200 3.41 1.01 7.16

Table-E-1.2 One-Sample Test

Test Value = 3

t Df Sig.

(2-tailed)

Mean

Difference

95% Confidence

Interval of the

Difference

Lower Upper

Speed of

Services 5.654 199 .000 .40 .26 0.55

Inference:






analyzed that customer are above neutral level i.e agree with that Speeds

of service in the store is good and Speeds of service in the store is

important criteria consider by them while taking purchase decision.

F.6.0 varieties of merchandise in store

Q-6 Varieties of merchandise in store are available.


agree


the Varieties of merchandise available in store or not.



hypothesize that the customer are neutral that Varieties of merchandise

in store are available and Varieties of merchandise in store are available

is one of the important criteria consider by them while taking purchase

decision.



that the customer are not neutral that Varieties of merchandise in store

are available and Varieties of merchandise in store are available is one of

the important criteria consider by them while taking purchase decision.




Test value at 3.0

Table-F-1.1 One-Sample Test

N Mean

Std.


Varieties of

merchandise200 3.78 0.82 5.81

Table-F-1.2 One-Sample Test

Test Value = 3

t df Sig.

(2-tailed)

Mean

Difference

95%

Confidence

Interval of the

Difference

Lower Up

per

Varieties of

merchandise12.505 199 .000

.77 .65 0.9

9

Inference:






analyzed that customer are above neutral level i.e. agree with that

Varieties of merchandise in store are available and Varieties of

merchandise in store are available is one of the important criteria

consider by them while taking purchase decision

G.7.0 Price of merchandise in store

Q-7 Price of merchandise is reasonable.


agree


the Price of merchandise is reasonable or not Price of merchandise is on

the important criteria consider by them while taking purchase decision or

not.



hypothesize that the customer are neutral that Price of merchandise is

reasonable and Price of merchandise is one of the important criteria




that the customer are not neutral that that Price of merchandise is

reasonable and Price of merchandise is one of the important criteria





Test value at 3.0

Table-G-1.1 One-Sample Test


Price 200 3.74 0.82 5.81

Table-G -1.2 One-Sample Test

Test Value = 3

t Df Sig.

(2-tailed)

Mean

Difference

95% Confidence

Interval of the

Difference

Lower Upper

Price 12.730 199 .000 .74 .63 0.85

Inference:






analyzed that customer are above neutral level i.e. Price of merchandise

is reasonable and Price of merchandise is reasonable is one of the


H.7.0 Nearness of the store

Q-8 The store is near to your home (less than 1 km)


agree

Purpose- with the help of this statement we can analyze that whether

the distance of the store is important criteria consider by them while

taking purchase decision or not.



hypothesize that the customer are neutral that the store is near to their

home and nearness of the store is one of the important criteria consider

by them while taking purchase decision.



that the customer are not neutral that The store is near to their home and

nearness of the store is one of the important criteria consider by them

while taking purchase decision.



Test value at 3.0


Table-H-1.1 One-Sample Test


Nearness of

the store200 3.92 1.36 9.58

Table H-1.2 One-Sample Test

Test Value = 3

T Df Sig.

(2-tailed)

Mean

Difference

95% Confidence

Interval of the

Difference

Lower Upper

Nearness of

the store9.547 199 .000

.92 .73 0.11

Inference:






analyzed that customer are above neutral level i.e. agree with that The

store is near to their home and nearness of the store is one of the


One Sample t-test

Ho: There is no significant difference between actual mean and

hypothesis mean. In other words, respondents are Natural to all

statement.

H1: There is significant difference between actual mean and hypothesis

mean. In other words, respondents are not natural to all statement.

Confidence level : 95%

Test: Here we use one sample t-test because data are interval in Nature.

And we want to find out the direction of the what extent respondents are

agree with given statement using 5-point scale.

Table 2 Summery of One-Sample t-test

Statements MeanT value Sig. (2-

tailed)

Quality 4.14 23.188 .000

Cleanliness 3.95 16.903 .000

Atmosphere and decor 3.95 16.046.000

Courtesy of service 3.70 10.905 .000

Speed of service 3.41 5.654 .000

Varieties 3.78 12.505 .000

Price 3.74 12.730

Nearness of store 3.92 9.547 .000

We have seen in above table that all t-value are positive and mean

is also above three i.e. Neutral. Our all respondents are positively agreed

with all the statements.

All Ho (Null Hypothesis) are rejected because Sig. value is less than

0.05, so our H1 (Alternative Hypothesis) are accepted i.e. significant

difference between actual mean and hypothesis mean. In other words, our

all Ho are positively rejected, it means respondents are agree with all the

statements.

5.3 Factor Analysis :

5.3-1 KMO and Bartlett's Test

Kaiser-Meyer-Olkin Measure of

Sampling Adequacy..791

Bartlett's Test

of Sphericity

Approx. Chi-

Square420.811

Df 28

Sig. .000

KMO measure whether our distribution of values is adequate for

conducting factor analysis. Kaiser himself designates level as follows: A

measure >.9 is marvelous, >.8 is meritorious, >.7 is middling, >.6 is

mediocre, >.5 is miserable, and <.5 is unacceptable.

In this case, KMO value is .791, it is near to .8 so we can say that

level of distribution value of data set is meritorious.

Bartlett Test of Sphericity is a measure of the multivariate normality

of your set of distributions. It also tests whether the correlation matrix is

an identity matrix (Factor analysis is meaning less without identity

matrix). A significance value <0.05 indicates that these data do not

produce an identity matrix (or “differ significantly from identity”) and are

thus approximately multivariate normal and acceptable for factor

analysis.

In this case, Bartlett Test of Sphericity is less than 0.05 so our set of

distribution is multivariate normal and acceptable for Factor Analysis.

5.3-2 Total Variance Explained

Component Initial Eigenvalues

Total

% of

Variance

Cumulati

ve %

1 3.270 40.871 40.871

2 1.079 13.493 54.363

3 .944 11.797 66.161

4 .803 10.0438 76.204

5 .651 8.140 84.344

6 .563 7.041 91.384

7 .364 4.556 95.940

8 .325 4.060 100.000

Extraction Method: Principal Component Analysis.

There are two factors with Eigenvalues larger than 1.0 and they

account 54% of total variance.

5.5 Rotated Component Matrix (a)

Component

1 2

Quality .739 9008E-02

Cleanliness .863 .277

Atmospher

e and

decor

.722

.328

Courtesy

of services

.386

.692

Speed of

services

.364.736

Verities .676 3.370E-02

Price .674 -1.18E-02

Nearness

of store

.201-.605

Extraction Method: Principal Component Analysis.

Rotation Method: Varimax with Kaiser Normalization.

a Rotation converged in 3 iterations.

Factor 1- Quality, Cleanliness, Atmosphere and Décor = Value for

Money Product

Factor 2: Courtesy of services, Speed of services = Quick Service

5.6 Cross Tabulation:

1. Between Income and Purchase frequency

Purchase frequency

At least

once in

a week

Once in

a month

Once in

a year Total

INCOME

Dependent 37.5% 12.5% 0 50%

Below Rs.

1500012.0% 9.0% 1.0% 22.0%

Rs.15001-

Rs.2500012.0% 5.5% 0 17.5%

Above Rs.

250007.5% 3.0% 0 10.5%

Total 69.0% 30.0% 1.0% 100.0%

From the above table we can say the purchase frequency is higher in

dependent i.e. 50% and the weekly shoppers are also higher in it 37.5%.

Chi-Square Test

Ho: There is no dependency between Income and Purchase Frequency.

H1: There is dependency between Income and Purchase

Frequency.

Value df

Asymp. Sig. (2-

sided)

Pearson Chi-Square 11.581 6 .072

Fisher's Exact Test 15.238 .105

Linear-by-Linear

Association.556 1 .456

N of Valid Cases 200

Value of the Pearson Chi-Square is 11.581; Sig. value is

greater then than 0.05, it means there is no dependency between

Income and Purchase frequency.

Linear-by-Linear Association test whether the two variable

correlate with each other. Here Sig. value is 0.456, so it indicate the

meaningless correlation between Income and Purchase frequency.

Between Age and Purchase frequency

Purchase frequency

At least

once in a

week

Once in

a month

Once in

a year Total

AGEBelow 20 years 4.5% 1.5% 0 6.0%

20-30 Years 30.5% 10.5% 0 41.0%

31-40 Years 20.0% 12.0% 0 32.0%

41-50 Years 8.0% 5.0% 1.0% 14.0%

51-60 Years 3.5% 1.0% 0 4.5%

Above 60

Years2.5% 0 0 2.5%

Total 69% 30.0% 1.0% 100%

From the above table we can say that the age group between 20-30

years and 31-40 years should be the target customer of Dhirajsons

because the purchase frequency is higher in it i.e. 41% and 32%.

Chi-Square Test

Ho: There is no dependency between Age and Purchase Frequency

H1: There is dependency between Age and Purchase Frequency

Value Df

Asymp. Sig.

(2-sided)



Linear-by-Linear .534 1 .465

Association


Value of the Pearson Chi-Square is 18.266; it means the two

variables are dependent to each other. Sig. value is Greater than

0.05, it means there is no dependency between Age and Purchase

frequency.


correlate with each other. Here Sig. value is 0.465, so it indicates

the meaningless correlation between Age and Purchase frequency.

Between Occupation and Purchase frequency

Purchase frequency

At least

once in a

week

Once in

a

month

Once

in a

year

Total

OCCUPATION Students 7.5% 3.0 % - 10.5%

Housewife 29.0% 9.5% - 38.5%

Business 13.0% 5.0% 0.5% 18.5%

Professional 3.5% 2.0% - 5.5%

Service 14.0% 10.0% 0.5% 24.5%

Retired 2.0% 5.0% - 2.5%

Total 69.0% 30.0% 1.0% 100%

From the above table we can say the housewife’s more purchase

from the store, then the service people.

Chi-Square Test

Ho: There is no dependency between Occupation and Purchase

Frequency.

H1: There is dependency between Occupation and Purchase

Frequency.

Value Df

Asymp. Sig.

(2-sided)


Fisher's Exact Test 8.012 .

Linear-by-Linear

Association3.434 1 .064


Value of the Pearson Chi-Square is 7.426, it means the two

variable are less dependent to each other. Sig. value is greater

then than 0.05, it means there is no dependency between

Occupation and Purchase frequency.


correlate with each other. Here Sig. value is 0.064, so it indicate the

meaningless correlation between Occupation and Purchase

frequency.

4. Gender and Purchase frequency

Purchase frequency

At least

once in a

week

Once in

a month

Once

in a

year Total

GENDER Male 25.5% 15.5% 1.0% 42.0%

Female 43.5 % 14.5% 0 58.0%

Total 69.0% 30.0% 1.0% 100.0%

From the above table we can say the purchase frequency is higher in

female i.e. 58.0%

Chi-Square Tests

Ho: There is no dependency between Gender and Purchase

Frequency

H1: There is dependency between Gender and Purchase Frequency

Value Df

Asymp. Sig. (2-

sided)

Pearson Chi-

Square6.504 2 .039


Linear-by-Linear



Value of the Pearson Chi-Square is 6.504; it means the two

variable are very less dependent to each other. Sig. value is less

than 0.05, it means there is dependency between Gender and

Purchase frequency toward Dhiraj Sons.

Chi-Square Test

5. Marital Status and Purchase frequency

Purchase frequency

At least

once in

a week

Once in

a

month

Once in

a year Total

STATUS Married 21.5% 5.5% 0 27.0%

Single 47.5% 24.5% 1.0% 73.0%

Total 69.0% 30.0% 1.0% 100%

Ho: There is no dependency between marital status and Purchase

Frequency

H1: There is dependency between marital status and Purchase

Frequency

Value Df

Asymp. Sig. (2-

sided)

Pearson Chi-

Square4.238 2 .120


Linear-by-Linear




variable are very less dependent to each other. Sig. value is greater

than 0.05, it means there is no dependency between marital status

and Purchase frequency toward Dhiraj Sons.

6-Education and Overall Satisfaction

Purchase frequency

At least

once in

a week

Once in

a

month

Once in

a year Total

EDUCATIONIlliterate 1.5% 0.5% 0 2.0%

S.S.C. 6.5% 6.0% 0 12.5%

H.S.C. 8.0% 3.5% 0 11.5%

Graduate 35.0% 14.0% 0.5% 49.5%

Post

Graduate15.5% 5.5% 0.5 % 21.5%

Other 2.5% 0.5% 2.0% 3.0%

Total 69% 30.0% 1.0% 100%

Ho: There is no dependency between Education and Purchase

Frequency

H1: There is dependency between Education and Purchase

Frequency

Value Df

Asymp. Sig. (2-

sided)

Pearson Chi-

Square6.512 10 .802


Linear-by-Linear




variable are less dependent to each other. Sig. value is greater

than 0.05, it means there is no dependency between Education and

Purchase frequency toward Dhiraj Sons.


correlate with each other. Here Sig. value is 0.196, so it indicates

the meaningless correlation between Education and Purchase

frequency.

.: Demographic Profile of Customers:

Age group

Age group Frequency Percent

Below 20 12 6.0

21-30 82 41.0

31-40 64 32.0

41-50 28 14.0

51-60 9 4.50

Above 60 5 2.50

Total 200 100

Inference:

From the above graph 41.0% responded out of 200, visit Dhiraj Sons are

of 20-30 years therefore we can says that the 20-30 years youngsters

prefer shopping at Dhiraj Sons. So our target customer group id 21 year

to 40 years old people.

Income

Income Frequency Percent

Dependent 100 50.0

Below 15000 44 22.0

15001-25000 35 17.5

Above 25000 21 10.5

Total 200 100

Inference:


dependent therefore we can says that the most of customers comes

Dhiraj Sons are dependent. So we can try to influence those customer

who are independent by income.

occupation

Occupation

Frequency Percent

Student 21 10.5

Housewife 77 38.5

Business 37 18.5

Professional 11 5.5

Service 49 24.5

Retire 5 2.5

Total 200 100

Inference:


housewives therefore we can says that the Most of Housewives are comes

at Dhiraj Sons.

Responder’s Marital status

Marital status Frequency Percent

Single 54 27

Married 146 73

Total 200 100

Inference:

From the above graph 73% responded out of 200, visit Dhiraj Sons are

married therefore we can says that the customers comes at Dhiraj Sons

are most of married.

Education

Education Frequency Percent

Illiterate 4 2.0

S.S.C 25 12.5

H.S.C 23 11.5

Graduate 99 49.5

Post graduate 43 21.5

Other 6 3.0

Total 200 100

Inference:


Graduate therefore we can says that the people comes at Dhiraj Sons

most of them are Graduate.

Gender

Gender Frequency Percent

Male 84 42.0

Female 116 58.0

Total 200 100

Inference:

From the above graph 58% responded out of 200, visit Dhiraj Sons are

female therefore we can says that the most of females are the customers

of Dhiraj Sons.

Occupation

Occupation

Frequency Percent

Student 21 10.5

Housewife 77 38.5

Business 37 18.5

Professional 11 5.5

Service 49 24.5

Retire 5 2.5

Total 200 100

CHAPTER-6

FINDINGS

&

CONCLUSION

FINDINGS:-

All together 69%of Responders visit Dhiraj sons Once in a week and

30% customers are visit the Dhiraj sons once in a month and only

1% customers are the yearly shoppers.

The customers are above neutral level i.e. (4.14) with statement

that merchandise quality of the store is good.


that over all cleanliness of the store is good.


that atmosphere and decoration of the store is good.


that Courtesy of service from employee is good enough.


that speed of service in the store is good but it is in between in

neutral and agree.


that varieties of merchandise are available in the store.


that the customers are satisfies with the price of merchandise.


that the store is near to their home.

In this case, KMO value is .791, it is near to .8 so we can say that

level of distribution value of data set is meritorious.

Following are two important factor consider most important while

taking purchase decision according to Factor Analysis

Factor 1- Quality, Cleanliness, Atmosphere and Décor

Factor 2: Courtesy of services, Speed of services

The lacking factor in the Factor are Price reasonableness,

convenient location.

The meaningless correlation between Income and Purchase

frequency, Age and Purchase frequency, Occupation and Purchase

frequency and Gender and Purchase frequency

Conclusion

The most of the responders are not satisfied with the speed of

the service provide by the Dhiraj sons.

The quality of product provided by the Dhiraj sons is appreciated

by the responders.

The most of the peoples are mostly come at least in a week.

The peoples are mostly depends on the quality, cleanliness and

atmosphere & decoration.

The peoples are mostly emphasis on courtesy and speed of the

service provides by the Dhiraj sons.

Suggestions

Dhiraj sons should attract the monthly shoppers in order to increase

the sales by introducing such weekly schemes.

Dhiraj sons should increase its speed of services of the store.

To increase Courtesy of service from the employees Dhiraj sons

should conduct training program for their employees.

As per the factor analysis Dhiraj sons is lacking in the factor of

reasonable price so focus on it by making the price of merchandise

reasonable and provide different discount offers for the customers.

The good features looked by the customers in a store are Quality,

Cleanliness, Atmosphere and Decoration, Courtesy of services,

Speed of services so continue to focus on these factors.

CHAPTER-8

Bibliography

1) Donald R Cooper & Pamela S Schindler Business Research Methods

Eighth Edition (2003), Tata McGraw-Hill, New York.

2) Darren George & Paul Mallery, SPSS For Windows Step By Step, Sixth

Edition (2006), Pearson Education, Inc.

3) S P Gupta, Statistical Methods, Thirty Fifth Revised Edition (2007),

Sultan Chand & Sons Education Publishers, New Delhi

4) Christopher Lovelock, Jochen Wirtz & Jayanta Chatterjee, Service

Marketing Fifth Edition, Dorling Kindersley (India) Pvt. Ltd., Licensees of

Pearson Education in South Asia.

5) Kishor Biyani, It Happen In India, Rupa & Co (2007), New Delhi

6) www.pantaloons.com

CHAPTER-9

ANNEXURE

Reference

D. Huff, "A Programmed Solution for Approximating an Optimal

Retail Location, Land Economics, (August, 1966)

D. Huff and L. Blue, "A Programmed Solution for Estimating Retail

Sales Potentials," (Lawrence, Kansas, Center for Regional Studies,

University of Kansas, 1966).

M. Nakanishi and L. Cooper, "Parameter Estimation for a

Multiplicative Competitive -Interaction Model-Least Squares

Approach," Journal or Marketing Research, (August, 1974).

R. Nelson, The Selection of Retail Locations, (New York, F.W. Dodge

Corporation, 1958).

T. Stanley and M. Sewall, "Image Inputs to a Probabilistic Model:

Predicting Retail Potential," Journal of Marketing, (July, 1976).

chetna final proect of retail patronage

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