COO Impact on Consumers Purchases Essay example

Customer perception of a brand is based on how the company positions its brand in the marketing to generate that impression in their minds. This positioning is based on the company’s market position and its competitors’ positions.

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Consumers buying decision making play an important role for the success of every company or organisation. Without the investigation into consumers and their buying behaviour companies and organisation and marketer cannot achieved their aims and objective of their goals in the sale of their product. The purpose of this investigation is to explore the relationship between the consumers buying decision making process and the beverage brand products. (Coca Cola and Pepsi Cola) The data for the research has been collected from the UK one of the biggest town in England know as Huddersfield. The result from the research has determining that in the UK, majority of the consumers prefer Coca cola beverage brand than Pepsi and the research result has indicated that consumers buying decision can significant influence the beverage brand product in the UK market the research continue to say that if coca cola has put more focus on consumers buying decision in the UK know what they expected from them and producer according to their customers demand and try to satisfy their need and wants this can lead coca cola toward the success and increase their profit in the UK market

Since an increasing number of people focus on brand names instead of product, brands become important elements for customers to choose products (Carroll, 2008). When customers trust the brand, the benefits for the manufactures are generated. In the first place, brands can be used by products as the tool to identify and differentiate themselves from various products. Secondly, brands are helpful for companies to build a competitive advantage (Bick, 2009). Therefore, organisations take more attention to branding.

National brands benefit from brand equity and image through their extensive advertising and brand image. Marketing activities can influence the brand image however through pricing and promotions, jingles, slogans and 14 much more. The lower prices of store brands can either be viewed as a competitive advantage or ultimately be associated with lower quality. Brand Loyalty and Store loyalty have an influence on brand purchase choice. Many consumers have loyalty towards certain brands or products and this can be down to their habits and therefore tend to make habitual purchases i.e. purchasing what they always have. Previous research also states that store image also has a major influence on the purchasing behavior of consumers stating that if a store has a nice image and atmosphere then consumers will purchase more of their store brands. Research has also indicated that packaging can be a major influence in purchasing decisions especially at point of purchase and that many store brands try to mimic the packaging of national

Studies in consumer behavior focus on consumer psychology to determine how people reason, feel and think; and choose between alternative products, brands and sellers (Gummesson, 2012). While consumers purchasing decisions are often influenced by culture, family and environmental factors, consumer knowledge is of great significance in informing decisions and in making actual purchases (Gummesson, 2015). The Consumer

Figure 3: Lush label states "Fresh Handmade Cosmetics" and "Bring back 5 Pots and Get a Fresh Face Mask Free"

In this assignment I will be analysing the following; a case study presented on how holiday decision making varies from the traditional problem-solving model of consumer decision making.

Bhakar et al. (2013) have pointed out that a positive brand has positive impact on the purchase intentions of a customer. In order to avoid the negative COO effects, companies ought to focus on building a positive and strong brand image for their products in the minds of customers (ibid).

In accordance with assorted definitions of brands, two approaches of defining a brand are derived. The traditional one is a practical view which articulates a brand as a product identifier, including the source of the product (Aaker, 99 ). According to him, “a brand is a distinguishing name and/or symbol which intended to identify the goods, services of either one seller or group of sellers and to differentiate those goods or services from those of competitors”. Another approach, as holistic view, presents a brand as more than just the product (Styles & Ambler, 995).

Consumption is a process of acquiring, using and disposing of goods and services. Emotions play a very large role in consumer behavior. This behavior and emotions are affected and created by the society and the culture in which the consumer lives. For example, an American may approach the purchase of a costly car with relatively less pressure than a person in a developing country where a car could be a high unaffordable luxury. The customer will comprehend brands, offers and the meaning of the product based on the understanding that he or she has of similar brands and their experience by analogy or by hearsay from peers and form an opinion. For example a new soft drink from Pepsi may not be very informative in its advertisement but that it is from the stable of PepsiCo makes the users of Pepsi brands take it in without much research. Such an opinion is not based mostly on the complete set of facts. Where there are many alternatives or the information is scarce the customer has to make a lot of effort or 'high effort' to reach a decision and such a situation could be a turnoff. On the other hand the customer may not be inclined to devolve deep into facts in case where the brand value is established and may make a decision on little or even sometimes no information. (Hoyer;

Countries are also stereotyped on the basis of whether they are industrialized, in the process of industrializing or less-developed. These stereotypes are less country-product specific; they are more a perception of the quality of goods in general produced within the country. Industrialized countries have the highest quality image, and there is generally a bias against products from developing countries. Within groups of countries grouped by economic development there are variations of image. For example, one study of COE between Mexico and Taiwan found that a microwave oven manufactured in Mexico was perceived as significantly more risky than an oven made in Taiwan. However, for jeans there was no difference in perception between the two countries. One might generalize that the more technical the product, the less positive is the perception of one manufactured in a less-developed or newly industrializing country. There is also the tendency to favor foreign made products over domestic made in less developed countries. Not all foreign products fare equally well since consumers in developing countries have stereotypes about the quality of foreign made products even from industrialized countries. A survey of consumers in the Czech Republic found that 72 percent of Japanese products were considered to be of the highest quality, German goods followed with 51%, Swiss goods with 48%, Czech goods with 32% and, last, the United States with 29%. One final

Product associations include functional attribute associations and non-functional associations (Chen 2001). Functional attributes are the tangible features of a product (Keller 1993, Hankinson and Cowking 1993, de Chernatony and McWilliam, 1989). While evaluating a brand, consumers link the performance of the functional attributes to the brand (Pitta and Katsanis 1995, Lassar et al. 1995). If a brand does not perform the functions for which it is designed, the brand will has low level of brand equity. Performance is defined as a consumer’s judgment about a brand’s fault-free and long-lasting physical operation and flawlessness in the product’s physical construction (Lassar et al. 1995). Non-functional attributes include symbolic attributes (Aaker 1991, Keller 1993, Farquhar & Herr 1993, Chen 1996,

In international market, understanding consumer needs and desired is extremely important to the corporation in order to market their products and services properly into the market. Consumer behaviour is a process in where individuals or groups select, buy, use and dispose of the products and services to satisfy their needs and desires. The organisation simply cannot understand consumption unless they consider its cultural context, as culture shows how people view leads to their acceptance. Therefore, the effect of culture on consumer behaviour is powerful. This paper will discuss in more details about that and further consider whether culture has the greatest influence on consumer behaviour.

Furthermore, It was suggested that country image and similarity are positive correlated (Nebenzahl, Jaffe, & Usunier, 2003). It has been proposed that politics, economy, culture and social environments are the most influential factors that affect a buyer’s decision to purchase foreign products regardless of the quality of the products (Ng, Lee and Soutar, 2007). Identically, culture similarity affects the frequency of trades between two countries since they share similar needs and languages (Martinez-Zarzoso, 2003; Yu & Zietlow, 1995). Contrarily, a negative country image might be created if the tourists were visiting countries that culturally distant from their countries since they might experience culture shock, which leads to dissatisfaction (Reisinger & Turner, 1998). Nevertheless, It has been indicated that culture difference could be driving force for tourists to visit a country (McKercher & Cros, 2003; O’Leary & Deegan, 2003). As previously mentioned, tourists from individualistic culture background are more inclined to visit countries that share similar culture, whereas those from collective culture background are more likely to visit culturally distant countries, which could be explained by the fact that people from individualistic culture background are more independent (Jackson, 2001). Therefore, they prefer visiting countries that provide more affiliation (Franzoi,