A COMPARITIVE STUDY OF CONSUMER

PREFERENCE TOWARDS
CADBURY AND NESTLE CHOCOLATES.
North Goa

PROJECT REPORT SUBMITTED TO ICFAI,

IN PARTIAL FULFILMENT OF THE
REQUIREMENT FOR THE DEGREE OF
MASTER OF BUSINESS ADMINISTRATION
2009-2010

GUIDE: SUBMITTED
BY:
Mrs .Mathala Juliet Ms. ALPIKA .S. RAIKAR
ENROLMENT No.8NBGP031
(0801215210)

INC (ICFAI National College) Porvorim Goa.

1
DECLARATION________________________
_

Hereby declare that the project report entitled “A COMPARITIVE

STUDY OF CONSUMER PREFERENCE TOWARDS NESTLE AND
CADBURY CHOCOLATES” submitted for the degree of Master of
Business Administration, is my original work and the project report has
not formed the basis for the award of any diploma, degree, associate
ship, fellowship or similar other titles. It has not been submitted to any
other university or institution for the award of any degree or diploma.

Place: Porvorim Miss Alpika .S. Raikar

Date: 5 November 2009 MBA-III Semester

2
TABLE OF
CONTENTS___________________

3
SR. TOPIC PAGE
NO. NO.

1
ACKNOWLEDGEMENT 4

2
LITERATURE RIVIEW 5 to 9
3
INTRODUCTION 10 to 11
4 SCOPE OF STUDY 12

5 OBJECTIVE’S 13

6 14 TO 15
METHODOLOGY
7 16 TO 30
RESULTS & ANALYSIS
8
DISCUSSION OF IMPLICATION 31
9
CONCLUSION 32
10 APPENDICES 33

11 34
REFERENCES

4
ACKNOWLEDGEMENT_________________
__
I would like to thank the centre head of INC Mr. Imran Ahmad for
giving me the opportunity to do this management thesis. I would also
like to thank my mentor and guide Mrs . Mathala Juliet for her
consistent guidance and support.

I would also thank Mr. Chetan Hiremath for his advice and for
providing the necessary inputs which were of great benefit to me.

Lastly I would like to thank my parents and friends Raksha Kalangutkar

who motivated me and helped me complete my management thesis.

5
Literature REVIEW______________________

Literature review done to support the study –

1.
Title –To study the influence of packaging affecting brand selection in toothpaste
industry.
Author – C. Anandan
Objective –To study the influence of packaging in brand of toothpaste.
Methodology – Source of data for arriving at a conclusion is primary data. Hence
the survey regarding the influence of packaging in selection of products for
toothpaste was conducted at various retail outlets and some residence. Data was
basically collected from housewives, students, family and shopkeepers.
Data collation – Pilot test to ensure validity.
Sampling- sample size of 125 out of which 70 were women and 55were men.
Conclusion – Data collected fro users help to fin tune their marketing strategies for
profitability and customer loyally.
Reference- Brand management, vole-Ι No 3 page 45-57.

2.
Title – Nestle v/s Cadbury
Objective – To find out potential for new chocolate players
To get familiar with their marketing strategies separately.
To view the segments being targeted by these brands in the market.
Up to what extent do the public respond to their products i.e. which chocolates are
preferred more.
6
Author- Radha Krishna Iyear
Reference– http://www.scribd.com/document_downloads/14817717?
extension=doc&secret_password=&step_intrested=true
Methodology - Detailed information from both primary and secondary sources
was collected and analyzed. This included:
Primary Sources
To analyse buying behavior and in order to gain an insight into the buyer need-
satisfaction level, a questionnaire was formulated and administered among 80
people.
A distributor was also interviewed so as to get pertinent information regarding
the most important ‘P’ of FMCG marketing – Place.
Extensive interviews were conducted with retailers in the LUDHIANA area. These
included pan shops, grocery shops, bakeries, departmental stores, etc. They
provided information on various facts of chocolate distribution such as Point-of –
purchase material (dispensers etc.), infrastructure problems, critical informational
regarding the policies of the present players in the market, etc.
Secondary Sources
A number of secondary sources of information were used. These were:
Information: Industry statistics, problems facing the industry, future outlook, etc.
Also measures being adopted for cocoa production development.
Internet websites Of Cadbury’s, Nestle and indiainfoline.com, askjeeves.com
Extensive use of secondary information in the form of
magazines/journals/newspapers clippings, such as Business World, Business
Today, Business India, A&M, Brand Equity, Economic Times, etc.
Sampling – random sampling was used wherein people were interviewed and
questionnaire were filed around 100.

7
Conclusion - The growth and expansion of the Indian chocolate market in the past
has been hampered, due to stiff excise duties on chocolates (at 18 percent – while
other agro based products are being charged as low as 8% and a few, even 0%
excise) and non-availability of quality cocoa in the country.
Also, import of chocolates has been put in the OGL category, with duties being
reduced (in a phased manner). The industry has made recommendations to the
Indian government to go back to the Special item list category, in order to
safeguard the domestic industry.
However, continuous marketing focus by the players in the market has resulted in
the industry looking up like never before. These companies/brands have become
much more market savvy. The Indian chocolate market is transforming and new
players (Sara Lee is planning to set up base in India) are entering the market.
Hence, considering the low per capita consumption of chocolates, the future of the
industry seems to upbeat.

3.
Title – Significant consideration in the purchase of consumer durables
Author- B.S Hundal
Objectives – To ascertain intensity of brand loyalty and offer useful implication
for marketers.
To analyze the planning of brand choice, time of purchase and choice of point of
purchase.
Conclusion – the study reveled that the consumers have a preference toward
particular brand of consume durables and are not ready to buy any other.

8
4.
Title – Use of Coercive Strategies in Purchase decisions: Relationship between
influence strategies and the degree of Involvement.
Objectives – to find out weather coercive strategies are being used by couple
(talking loudly, looking unhappy, Anger, Authority) in making purchase decision.
Methodology –
A questionnaire was served to 100 married couples, of which 63 completely filled
the questionnaires, of which 45 were usable. So the sample size was 90.
Conclusion – spouse decision behavior is the key to understand how families
arrive at purchase decisions. It was found out that spouse do not use coercion
consistently across purchase decisions.
Moreover an understanding of spousal behavioral interaction in a decisions may
guide marketers in designing particular communication massages.

5.
Title – Research proposal on consumer decision analysis for Purchase of fruit
Drinks.
Author –Protik Basu
Reference-http://www.scribd.com/document_downloads/13103855?
extension=pdf&skic
Objectives – to determine the factors influencing the consumer decision while
buying fruit drinks in the age group of 17-30 in the city of Pune.
Methodology – data collection methods are secondary and survey research by
questionnaire.

9
Sample size – 100 sample were used for analysis.
Analysis techniques – Factor analysis is conducted to dicerm out of the various
reasons for purchasing any particular brand of fruit drink.
The measurement instrument in the questionnaire was a five point likert scale.
Conclusion – with correlation test the attributes that were associated with
consumer buying various fruit rinks and which in turn drive their purchase
decision for the same were identified.
In factor analysis the researcher found out 5 factors which mainly have an impact
on the purchase of a fruit drink. There were 2factors which did not have any
significant impact.
Also, it was found out that the most preferred channel for purchase in retail stores.
The most preferred SKU(quantity) is 200ml packs which could be due to
convenience.
The most preferred drink is Frooti followed by Tropicana and Real

10
INTRODUCTION_______________________
__
In this research I have survey the product performance and buying behavior of two
famous brands of chocolates– Nestle and Cadbury, which are consumed by people
of all ages.

During this research I would be interacting with people of “North Goa”. After this
research I would come to know how people perceives these products on the
variables like price, quality, advertisement, satisfaction, taste, packaging, brand
loyalty etc. I also would come to know which particular brand of chocolate is most
preferred by people of different age groups.

In this research I would have to survey and find out how frequently and how much
chocolate people consume, whether they buy small, big or family pack. Trend of
ongoing changes in their likings would be shown in the report. In this report I
would explain the entire research and facts product wise with the help of graphs
and would compare both companies.

11
CONSUMER
PREFERENCE________________
All marketing starts with the consumer. So consumer is a very important person to
a marketer. Consumer decides what to purchase, for whom to purchase, why to
purchase, from where to purchase, and how much to purchase.

In order to become a successful marketer, he must know the liking or disliking of

the customers. He must also know the time and the quantity of goods and services,
a consumer may purchase, so that he may store the goods or provide the services
according to the likings of the consumers. Gone are the days when the concept of
market was let the buyer’s beware or when the market was mainly the seller’s
market. Now the whole concept of consumer’s sovereignty prevails.

The manufacturers produce and the sellers sell whatever the consumer likes. In
this sense, “consumer is the supreme in the market”. As consumers, we play a very
vital role in the health of the economy local, national or international. The decision
we make concerning our consumption behavior affect the demand for the basic
raw materials, for the transportation, for the banking, for the production; they
effect the employment of workers and deployment of resources and success of
some industries and failures of others. Thus marketer must understand this.
Preference (or "taste") is a concept, used in the social sciences, particularly
economics. It assumes a real or imagined "choice" between alternatives and the
possibility of rank ordering of these alternatives, based on happiness, satisfaction,
gratification, enjoyment, utility they provide. More generally, it can be seen as a
source of motivation.

In cognitive sciences, individual preferences enable choice of objectives/goals.

The study of the consumer preference not only focuses on how and why
consumers make buying decision, but also focuses on how and why consumers
make choice of the goods they buy and their evaluation of these goods after use.

12
So for success of any company or product promotion it is very necessary to depart
its concentration towards consumer preference.

SCOPE OF THE
STUDY___________________
As learning is a human activity and is as natural, as breathing. Despite of the fact
that learning is all pervasive in our lives, psychologists do not agree on how
learning takes place. How individuals learn is a matter of interest to marketers.
They want to teach consumers in their roles as consumers. They want consumers
to learn about their products, product attributes, potential consumers benefit, how
to use, maintain or even dispose of the product and new ways of behaving that will
satisfy not only the consumer’s needs, but the marketer’s objectives.

The scope of my study restricts itself to the analysis of consumer preferences and
consumption of Cadbury and Nestle Chocolates. There are many other brands of
chocolates available but my study is limited to two major players of chocolates
leaving behind the others. The scope of my study is also restricts itself to North
Goa region only.

13
`

OBJECTIVES OF THE
STUDY______________
This project is based on the comparative study consumer Preference towards
Nestle and Cadbury chocolates.

Objectives of the study are:

With respect to the chocolate selected and rated as no 1

 To study sweetness affecting the purchasing decision of customers.

 To study the packaging of chocolates affecting the purchasing decision of

chocolate buyers.

 Brand of chocolates affecting the purchase decision of chocolate buyer.

LIMITATIONS OF THE
STUDY_____________
14
In attempt to make this project authentic and reliable, every possible aspect of the
topic is kept in mind. Nevertheless, despite of fact constraints were at play during
the Formulation of this project. The main limitations are as follows:

 Due to limitation of time only few people would be selected for the study.
So the sample of consumers would not enough to generalize the findings of
the study.

RESEARCH
METHODOLOGY______________
This chapter describes the methodology of the study. This project is based on
information collected from primary sources as well as secondary sources. After the
detailed study, an attempt would be made to present comprehensive analysis of
consumption of Cadbury and nestle chocolates consumed by the people. The data
would be used to cover various aspects like consumption, consumer’s preference
and customer’s satisfaction regarding Cadbury and Nestle chocolates. In collecting
requisite data and information regarding the topic selected, I would go to the
residents of Mapusa city and also some retailers to collect the data.

Survey design:
A related sample of population was selected on the basis of the overall population
of North Goa and questionnaires were made.

Sample Size and Design:

A sample of 100 people was taken on the basis of the formula calculation. The
actual consumers would be contacted on the basis of random sampling. The target
people will be anyone who eats Cadbury or nestle chocolate only.

15
Sampling Frame:
All the customers who buy Cadbury chocolates and Nestle chocolates.

Research Instrument:
This work is carried out through questionnaires. The questions included are
multiple choice questions.

Data Collection:
The data, which is collected for the purpose of study, is divided into 2 bases:
• Primary Source:
The primary data comprises information survey of “Comparative study of
consumer behavior towards Nestle and Cadbury chocolates”. The data would be
collected directly from respondent with the help of questionnaires.

• Secondary Source:
The secondary data would be collected from internet, References from Library.

Data Analysis:
The data is analyzed on the basis of suitable tables by using mathematical
techniques.
The technique that I will use is bar technique for comparing the different
chocolates under each brand i.e. Cadbury and nestle.
And secondly hypothesis testing would is also used together with Chi Square test.

Hypothesis –
1. For sweetness of chocolates -
Ho : p1 ≠ p2
H1 : p1 = p2
Where p1 = proportion of people preferring Cadbury chocolates due to sweetness.
P2 = proportion of people preferring Nestle chocolates due to sweetness.

2. For packaging of chocolates –

Ho : p3 ≠ p4
H1 : p3 = p4

Where p3 = proportion of people preferring Cadbury chocolates due to packaging.

16
 P4 = proportion of people preferring Nestle chocolates due to packaging.

3. For Brand –
Ho : p5 ≠ p6
H1 : p5 = p6

Where p5 = proportion of people preferring Cadbury chocolates due to the Brand.

P4 = proportion of people preferring Nestle chocolates due to the Brand.

Attributes Cadbury Nestle

Sweetness p1 p2

price p3 p4

Packaging p5 p6

Analysis
The responses obtained were analyzed regarding how many customers prefer
Cadbury and how many prefer Nestle.

Table No - 1

17
 Number Of Respondents Preference for chocolates.
Chocolate Brand Number of Respondent Percentage
Cadbury 56 56%
Nestle 44 44%

From the above table no 1, and above graph we can observe that 56% of
respondents prefer Cadbury chocolates and 44% of respondents prefer Nestle
chocolate’s.

18
 ANALYSIS FOR CADBURY ONLY-
In the next finding the 3 attribute in the study that is Sweetness (taste), brand and
packaging are analyzed to find out which is the most dominant attribute with
respect to Cadbury chocolates.

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1)
The respondents were further divided into Sweetness preferring and non-sweetness
preferring depending on whether they considered sweetness as a attribute in their
purchase of Cadbury chocolate. Here we find whether Sweetness has any

Calculations with regard to Sweetness

ƒo ƒe ƒo –ƒe (ƒo –ƒe )2 (ƒo –ƒe )2/ ƒe
10 8.46 1.54 2.37 0.280
5 DAIRY- 0.97
5-STAR PERK 4.03TEMPTATION/ 16.2 FRUIT 16.70
TOTAL
MILK AND
4 3.84 0.16CLEBRATON 0.025 0.00651
NUT
3 3.07 -0.07 0.049 0.0159
8
SWEETNESS 10 8.46
5 4 -0.463 0.211 8 0.0249
30
1 2.53 -1.53 2.34 0.924
NO FOR 1 3 1 1 3 9
3 1.84 1.16 1.345 0.730
SWEETNESS
1 1.15 -0.15 1.1225 0.976
TOTAL 1 11 0.92
8 5 0.084 0.0064 11 0.006956
39
3 2.53 0.47 0.220 0.0869
Note: χ2= 19.7511 , for υ=4; Significant at 0.05 level TOTAL 19.7511
association with the purchase of Cadbury chocolate. We test the relationship using
chi-square method.

TABLE 3 Sweetness of Cadbury Chocolate’s

TABLE 4

20
 ACCEPTED
REGION

χ2 = 19.751

9.488(tabulated value)

Fig no 1
From the above tables we see that the calculated chi-square value is 19.751 and the
table value is found to be 9.488 for 0.05 degree of freedom. If we compare it with
figure1 we can observe that the calculated and the table value f does not all fall in
the accepted region that is the un-shaded region, we can conclude that the null
hypothesis is rejected and alternate is accepted.

Hence there is association between sweetness and Cadbury chocolate purchase.

That is respondents purchase Cadbury chocolate due to sweetness.
Where ƒo is observed frequency and ƒe expected frequency.

21
2)The next is to find whether Brand of Cadbury has any association while
chocolate purchase. We test the association with chi-square method.

TABLE 5
Brand of Cadbury Chocolate’s –

DAIRY- 5- PERK TEMPTATION/CLEBRATON FRUIT TOTAL

MILK STAR AND
NUT

BRAND 6 9 7 6 8 36

NON 4 2 0 1 5 12
BRANDED

TOTAL 10 11 7 7 13 48

Note: χ2= 6.725 , for υ=4; Significant at 0.05 level

TABLE 6 -

22
Calculations with regard to Brand
ƒo ƒe ƒo –ƒe (ƒo –ƒe )2 (ƒo –ƒe )2/ ƒe
6 7.5 -1.5 2.25 0.3
9 8.25 0.75 0.562 0.068
7 5.25 1.75 3.062 0.583
6 5.25 0.75 0.562 0.107
8 9.75 -1.75 3.062 0.314
4 2.5 1.5 2.25 0.9
2 2.75 -0.75 0.56 0.204
0 1.75 -1.75 3.06 1.75
1 3.25 -2.25 5.06 1.557
5 3.35 1.75 3.06 0.942
TOTAL 6-725

Accepted Region

χ2 = 6.725 9.488 (tabulated value)

FIGURE 2

23
From the above tables we see that the calculated chi-square value is 6.725 and the
table value is found to be 9.488 for 0.05 degree of freedom. If we compare it with
figure2 we can observe that the calculated and the table value fall’s in the
accepted region that is the un-shaded region, we can conclude that the null
hypothesis is accepted and alternate is rejected.

Hence there is association between brand and Cadbury chocolate purchase. That is
respondents purchase Cadbury chocolate due to its brand.
Where ƒo is observed frequency and ƒe expected frequency.

3) The next is to find whether Packaging of Cadbury has any association while
chocolate purchase. We test the association with chi-square method.
TABLE 7
Packaging of Cadbury Chocolate’s –

24
 DAIRY- 5- PERK TEMPTATION/CLEBRATON FRUIT TOTAL
MILK STAR AND
NUT

ATTRACTED 8 6 1 2 10 27
TO
PACKAGING

NOT 1 4 6 3 5 19
ATTRACTED
TO
PACKAGING

TOTAL 9 10 7 5 15 46

Note: χ2= 10.186 , for υ=4; Significant at 0.05 level

TABLE 8 -

25
Calculations with regard to Packaging -
ƒo ƒe ƒo –ƒe (ƒo –ƒe )2 (ƒo –ƒe )2/ ƒe
8 5.28 2.72 7.39 1.40
6 5.86 0.14 0.0196 0.00334
1 4.108 -3.108 9.659 2.351
2 2.93 -0.93 0.864 0.295
10 8.80 1.2 1.44 0.163
1 3.71 -2.71 7.34 1.97
4 4.13 -0.13 0.0169 0.004092
6 2.89 3.11 9.67 3.346
3 2.06 0.937 0.877 0.426
5 6.19 -1.19 1.416 0.228
TOTAL 10.186

26
 Accepted Region
Rejected region

χ2 = 10.186

9.488 (tabulated value)

FIGURE 3
From the above tables we see that the calculated chi-square value is 10.186 and the
table value is found to be 9.488 for 0.05 degree of freedom. If we compare it with
figure3 we can observe that the calculated and the table value does not fall in the
accepted region that is the un-shaded region, we can conclude that the null
hypothesis is rejected and alternate is accepted.

Hence there is no association between packaging and Cadbury chocolate purchase.

That is respondents do not purchase Cadbury chocolate due to its packaging.
Where ƒo is observed frequency and ƒe expected frequency.

27
ANALYSIS FOR NESTLE ONLY-
In the next finding the 3 attribute in the study that is Sweetness (taste), brand and
packaging are analyzed to find out which is the most dominant attribute with
respect to Nestle chocolates.

From table 9 we can see that Sweetness is the most dominant attribute for Nestle
(156) followed by Packaging (148) and finally Brand (144).

The calculation is done by adding the rankings of the attributes, for example in
the above table the total number of 1’s received for Sweetness is 8 and these 8
responses are multiplied with 5 because it is the most preferred. Similarly for
sweetness the total number of 5’s received is 3 and it being the lowest value it is
multiplied by 1 since it’s the least preferred by those respondents.

Table 9 - For Nestle

Finding the dominant attribute by ranking them (1 highest and
5 –lowest)
Ranking’s Sweetness Brand Packaging
No of 1’s 8×5 =40 7×5=35 9×5=45
No of 2’s 19×4=76 12×4=48 16×4=64
No of 3’s 9×3=27 16×3=48 6×3=18
No of 4’s 5×2=10 6×2=12 8×2=16
No of 5’s 3×1=3 3×1=3 5×1=5
TOTAL 156 144 148

1)
The respondents were further divided into Sweetness preferring and non-sweetness
preferring depending on whether they considered sweetness as a attribute in their
purchase of Nestle chocolate. Here we find whether Sweetness has any
association with the purchase of Nestle chocolate.
We test the relationship using chi-square method.

28
Calculations with regard to Sweetness
2 2
ƒo NESTLE ƒeBAR-ONE MUNCH ƒo –ƒe MILKY -BAR
(ƒo –ƒKIT-KAT
e) (ƒo –ƒ e ) / ƒe
TOTAL
4 -CLASSIC 6.17 -2.17 4.708 0.763
8 7.71 0.29 0.084 0.010
7
SWEETNESS 4 6.178 7 0.828 7 0.686
1 0.111
27
7 5.4 1.6 2.56 0.474
NO FOR 1 4 1.542 1 -0.54 0 1
0.291 8
0.189
SWEETNESS
4 1.82 2.18 4.75 2.611
TOTAL 2 8 2.2810 8 -0.28 7 0.0784
2 0.034
35
1 1.82 -0.82 0.672 0.30
Note: χ02= 6.824 , for υ=4;
1.6 Significant at 0.05
-1.6 level 2.56 1.6
1 0.45 0.55 0.302 0.672
2
TOTAL χ = 6.824
TABLE 10- Sweetness of Nestle Chocolate’s

ACCEPTED
REGION

TABLE 11

χ2= 6.824 9.488(tabulated value)

Fig no 4

From the above tables we see that the calculated chi-square value is 6.824 and the
table value is found to be 9.488 for 0.05 degree of freedom. If we compare it with
figure4 we can observe that the calculated and the table value fall’s in the

29
accepted region that is the un-shaded region, we can conclude that the null
hypothesis is accepted and alternate is rejected.

Hence there is association between sweetness and Nestle chocolate purchase. That
is respondents purchase Nestle chocolate due to sweetness.
Where ƒo is observed frequency and ƒe expected frequency.

2) The next is to find whether Brand of Nestle has any association while chocolate
purchase. We test the association with chi-square method.

TABLE 12
Brand of Nestle Chocolate’s –

NESTLE BAR-ONE MUNCH MILKY -BAR KIT-KAT TOTAL

-CLASSIC

BRAND 4 8 7 7 1 27

NO FOR 4 2 1 0 1 8
BRAND

TOTAL 8 10 8 7 2 35

Note: χ2= 6.808 , for υ=4; Significant at 0.05 level

30
Calculations with regard to Brand
ƒo ƒe ƒo –ƒe (ƒo –ƒe )2 (ƒo –ƒe )2/ ƒe
4 6.171 -2.171 4.713 0.763
8 7.714 0.286 0.0817 0.0106
7 6.171 0.829 0.687 0.1113
7 5.4 1.6 2.56 0.474
1 1.54 -0.54 0.291 0.189
4 1.828 2.172 4.717 2.580
2 2.28 -0.28 0.078 0.034
1 1.828 -0.828 0.685 0.375
0 1.6 -1.6 2.56 1.6
1 0.45 0.55 0.30 0.672
2
TOTAL χ = 6.808
TABLE 13 -

31
 Accepted Region

χ2= 6.808 9.488 (tabulated value)

FIGURE 5
From the above tables we see that the calculated chi-square value is 6.808 and the
table value is found to be 9.488 for 0.05 degree of freedom. If we compare it with
figure 5 we can observe that the calculated and the table value fall’s in the
accepted region that is the un-shaded region, we can conclude that the null
hypothesis is accepted and alternate is rejected.

Hence there is association between brand and Nestle chocolate purchase. That is
respondents purchase Nestle chocolate due to its brand.
Where ƒo is observed frequency and ƒe expected frequency.

32
3) The next is to find whether Packaging of Nestle has any association while
chocolate purchase. We test the association with chi-square method.
TABLE 14
Packaging of Cadbury Chocolate’s –

NESTLE BAR-ONE MUNCH MILKY -BAR KIT-KAT TOTAL

-CLASSIC

PACKAGING 4 7 3 6 5 25

NO FOR 4 3 6 0 0 13
PACKAGING

TOTAL 8 10 9 6 5 38

Note: χ2= 12.83 , for υ=4; Significant at 0.05 level

TABLE 15 –
Calculations with regard to Packaging -
ƒo ƒe ƒo –ƒe (ƒo –ƒe )2 (ƒo –ƒe )2/ ƒe
4 5.26 -1.26 1.58 0.301
7 6.57 0.43 0.184 0.0280
3 5.921 -2.921 8.53 1.441
6 3.94 2.06 4,243 1.077
5 3.28 1.72 2.958 0.901
4 2.73 1.27 1.612 0.590
3 3.42 -0.42 0.176 0.051
6 3.07 2.93 8.58 2.796
0 3.94 -3.94 15.52 3.94
0 1.710 -1.71 2.924 1.71
2
TOTAL χ = 12.83

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 Accepted Region
Rejected region

9.488 (tabulated value) χ2= 12.83

FIGURE 6
From the above tables we see that the calculated chi-square value is 12.83 and the
table value is found to be 9.488 for 0.05 degree of freedom. If we compare it with
figure 6 we can observe that the calculated and the table value does not fall in the
accepted region that is the un-shaded region, we can conclude that the null
hypothesis is rejected and alternate is accepted.

Hence there is no association between packaging and Nestle chocolate purchase.

That is respondents do not purchase Nestle chocolate due to its packaging.
Where ƒo is observed frequency and ƒe expected frequency.

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DISCUSSION OF
IMPLICATION_____________

Referring to Table 1 we can say that percentage of respondents preferring Cadbury

is 56% and respondents preferring Nestle is 44%.

The respondents were asked to rank the sub-chocolate’s of their preferred

Company (Cadbury or nestle) it was found out that from$ the survey that in
Cadbury brand more respondents prefer Cadbury Fruit and nut’s chocolate (17) ,
then followed by 5-star (12) , Dairy-milk (11) , Perk (9) and lastly Temptation (7).

Whereas in Nestle the most preferred chocolate is Nestle classic and Bar-one (11)
followed by Munch (9) , Milky-bar (7) and lastly Kit-kat (6).

Using the chi-square test we tried to find if there is any association of various
attributes of the study towards purchase of chocolate, but the results showed that
none of the attributes studied had single handedly any association with purchase of
chocolates.

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CONCLUSION________________________
The study proposes that the attributes Sweetness, Brand and packaging had
influence in the purchase of chocolates. The study showed that with regard to
sweetness respondents preferred to nestle chocolates. Whereas with respect to
Brand and packaging respondent prefer Cadbury chocolates over Nestle

From the survey it was also found out that in Cadbury brand more respondents
prefer Cadbury Fruit and nut’s chocolate (17) and in nestle Nestle classic and Bar-
one (11) were chosen by respondents.

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 APPENDICES
PROJECT REPORT ON CONSUMER PREFERENCE TOWARDS NESTLE AND
CADBURY CHOCOLATES

Q1. Do you eat chocolate?

Yes No

Q2. Which brand of chocolate do you prefer?

Cadbury Nestle

Q3. If Cadbury rank the following chocolates according to your preference. (1 for Best and 5 for Last)
Dairy –Milk
5- star
Perk
Temptation or celebration
Fruit and nuts
If Nestle rank the following chocolates according to your preference. (1 for Best and 5 for Last)

Nestle classic
Bar- one
Munch
Milky- bar
Kit- Kat
WITH RESPECT TO THE CHOCLATE RANKED 1 ANS THE FOLLOWING -
Q4. What pack do you purchase?
Small Medium Big/ Large

Q5. How frequently do you purchase chocolates?

Daily Monthly
Weekly Hardly

Q6. Does Sweetness (taste) attract you to purchase the selected chocolate?
Strongly Agree Agree Can’t say Disagree Strongly Disagree

Q7.Does packaging attracts you to buy chocolate?

Strongly Agree Agree Can’t say Disagree Strongly Disagree

Q8. Does you purchase of chocolate depend on brand?

Strongly Agree Agree Can’t say Disagree Strongly Disagree

Q9. Do you think the pricing done for the chocolate you buy is value for money?
Yes No Can’t say

PERSONEL DETAILS –

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Name - __________________________________
City - _____________

Age Group – 0-10 10-20

20-30 30 and above

Gender – Male Female

References_________________________
Literature –
1. C. Anandan, To study the influence of packaging affecting brand selection
in toothpaste industry, Brand management, vole-Ι No 3 page 45-57.
2. Protik Basu, Research on consumer decision analysis for Purchase of fruit
Drinks,http://www.scribd.com/document_downloads/13103855?
extension=pdf&skic.
3. Searching for buy button in the consumer’s brains, Advertising Express,
vol-4, page 14.
4. Consumer satisfaction, Marketing Mastermind vol 4, page 13.
5. Retailing in India, Marketing mastermind vol 5, page 59.
6. Buying Behavior, Marketing mastermind vol 4, page 21
7. Nestle v/s Cadbury
http://www.scribd.com/document_downloads/14817717?
extension=doc&secret_password=&step_intrested=true
8. I:\nestle\Cadbury's, Nestle lose market share to imported chocolates -
Business News - News - MSN India - News.htm
9. I:\nestle\Chocolate industry feel the pinch of fierce competition.htm
10. www.cadbury.com
www.nestle.com

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