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Research Proposal MBA

(MARKETING) Section L,M,N 2013

Submitted By, Prakhar Gopal Bhatnagar(1221325) Sagar Sahai(1221330) Shashank Dikshit(1221333) Shivam Sarogi(1221334) Shubhla Mathur(1221357)


India is in the midst of the restaurant revolution. The revenue generated by hotel and restaurant industry over the years has drastically increased. The eating habits of people are changing; the style of cooking and the ingredients used has given the people more variety by bringing in the different cuisines to Indian.

Indian food had experienced a tremendous change; people started following cooking style and adopted eating habit according to their religion. Service quality is an attitude or global judgment about the superiority of a service, industries must achieve a quality service that exceed customers expectation .Service quality determine an organization success or failure, the satisfaction is a function of consumer, experience and reaction to provide behaviour during the service encounter. The level of satisfaction may be influence by various attitudes from internal and external factor.

Bangalore is known as, foodie's paradise because of its vast varieties of foods and eatables with a touch of Bangalore's uniqueness and tradition. Roadside vendors, tea stalls, South Indian, North Indian, Mughlai food, Chinese and Western fast food are all very popular in the city. Foreign outlets like Chinese food and the Thai food served in most of the restaurants are customized to cater to the tastes of the Indian population Diversity of the cuisine available is reflective of the social and economic diversity of Bangalore.

According to this the customer prefers to eat fast food. Their preference for fast food is always more than Indian food. According to a survey done which include a majority of respondent from different group. The reason for their preference of fast food over Indian food is good taste, and it saves their time also. Out of all the respondents the total money which they spent on food tells that 69% of that was spent on fast food. Restaurants that offer both Indian and fast food are preferred much by the customer( Consumer behaviour towards food-M Iqbal Zafar) According to this we can infer that word of mouth plays a important role in choosing a food outlet. Consumer demand more and more information related to the hygiene issue and nutritional value of the food item. It is believed that in the coming time more people will start liking the fast food as now a days fast food are also cooked hygienically. Advertisement of the food outlet also plays a very important role in attracting more and more people towards it(Consumer perception towards fast food ,Anita Goyal and NP Singh) Food quality and ambience of restaurant also play a very important role in attracting people towards it. If the ambience of the restaurants is different and unique from other restaurants customer will surely visit that place for once and if good quality food with proper taste and proper service is given to the consumer they will visit that place again,(Consumer choice factor of an ethnic

restaurants, The relevant literature about consumers and services, the consumer decision making. Process model and previous studies in consumers restaurant selection behavior. Furthermore, the interrelationships between customer satisfaction, food Quality, service quality and behavioral intentions are discussed. Lastly, the restaurant Choice factors,dining occasion, and demographic characteristics are reviewed. Previous studies on consumer behavior in the restaurant context have identified a number of factors that consumers consider important in their restaurant selection. Following are examples of these studies: Lewis (1981) investigated the influence of the benefit features of advertising on consumers decision to go to a restaurant. Three types of restaurants: family/popular, Atmosphere, and gourmet were

analyzed. Food quality was found as the most important feature determining patronage in tensions to any type of restaurant.

Through the review of literature we found that not much considerable amount of research was undertaken in the understanding factors that influence consumer to make a choice between Indian and foreign brand but the reasons for selecting a particular outlet. We would like to understand what are the factors which make a consumer change his decision in this manner? What determines a shift of the buyer in choosing the outlet? Does it not meet his expectation? Etc. These are some of the questions we would like to answer through this study. The factors which might influence might be varied right from the information source, peer group influence, social status, Brand Image etc. By trying to understand the reasons or the factors that are influencing that change. It helps to alter the marketing mix and improve the innovate the offering as a whole. It may also help in tweaking or fine tuning the product and service offering so that the consumer is much more attracted and customer delight.

Some of the gaps the team found out are as follows: Existing study is either on Indian brand or on foreign brand No study is done particularly in Bangalore Only cost is taken as a comparison factor No study explains the brand perception

What factor influence consumer to make a choice between Indian and foreign brand?

What determines a shift of the buyer in choosing the outlet?


To identify the major factor that influences the consumer in choosing foreign and Indian outlet. To find the choice factor based on the demographic characteristic & dining occasion. To identify the factors that influences the decisions of consumers preference towards restaurant. To determine the most important factors that affect consumers choice and satisfaction towards restaurant. To examine the consumption pattern in restaurant Choice factors based on their demographic characteristics and dinning occasion. To study the opinion about the service in restaurant

Scope of the study

The sample group includes all the male and female above the age of 18 living in Bangalore. The restaurants that are chosen are those of which people have awareness.

Research Methodology
The descriptive research concentrates on both primary and secondary data sources of information. The research is first aimed at collecting secondary data from various

sources to identify the research conducted in this area of the research. The later part of the research is concentrated on preparation of a questioner based on information collected from the secondary sources. Primary data collection would be done through the administration of questionnaire to the target group. Through the administration of the questioner we intend to first identify the various factors that influence the customers in choosing a particular restaurant category. We intend to mainly concentrate on the aspects of Information search, Evaluation of alternatives and purchase decision in a consumer buying behaviour. In the later stage we intend to evaluate to what extent these factors are influencing the consumer in choosing a particular restaurant category. A structured questionnaire will be designed to gather information for primary data and, for secondary data-internet, books and websites previous dissertations /researchpapers /marketingjournals /magazines/text etc will be used. A five point multi item likert scale (1- strongly agree and 5- strongly disagree.) will be used for the study. The research will be conducted in Bangalore. It will involve gathering of information from the customers who visit a restaurant. Convenience sampling method will be used to get the responses from target population.

Sampling element
Sample element includes individuals who frequently visit a restaurant and tries out different eating outlets.

Sampling Unit
Standalone and chain restaurants which have a minimum of 50 different types of varieties in the Bangalore City will be considered.

Target Population
The target population will be the customers who visit a restaurant on an average 2 times of week in the city of Bangalore. Target population consist of the people who are above the age of 18 years

Sampling Methodology
Non Probabilistic convenient sampling. The research team intends to visit specific restaurants based on the segmentation of the foreign and Indian outlets and collect the data from the individual customers who have had their meal in that outlet.

Sampling Size
We intend to consider 90 restaurants from this population and use as the sample for our study as most of the literature suggests it.

Data Collection
The data collection is done through administration of questioner by the surveyor. The survey is conducted at the show rooms where individual customers are considered as the sampling unit. The customers would be asked several questions regarding their preference of various factors and ask them to rate these factors according to their preference.

Data Analysis
Since the objective of the study is to identify the factors that influence the customers

we intend to use ANOVA and Chi-square to analyse the data. We also intend to utilize other forms as and when required to bring more information from the data collected through the survey.

Limitations of the study

While this study offers a number of contributions to the marketing literature and restaurateurs, there are also some limitations.

The samples of this study were drawn from a limited group of consumers who were living in the Bangalore area. The profile of consumers may vary if the survey is expanded to other cities.

In addition, different restaurants of different cuisines have different characteristics and attributes. The respondents in this study may have a particular restaurant in mind when filling the survey, and thus their responses may be biased to that restaurant.

Prakhar Gopal Bhatnagar is an engineer and has worked on two projects for the company in the retail as well as manufacturing sector.

Sagar Sahai, he has done previously projects in the areas of Hospitality sector, and in consumer preference study been a hospitality management graduate. Has project experience in Shoppers Stop Retail and has also worked on Catchment Analysis as a part of academic project.

Shashank Dikshit is an entrepreneur and a student of Management sciences; he has successfully completed two projects in the FMCG sector and has great understanding of statistics.

Shivam Sarogi has done 3 projects in various sectors, and has helped the organization in addressing their problems.

Shubhla Mathur, has expertise in the data collection and compilation, she has done 2 projects in top organizations in the FMCG and manufacturing sectors.

June 3 to June 15: Conceptual frame work and identification of Research problem.

June 16 to June 23: Marketing Research Problem Statement.

Jun 23 to July 1 : Preparation of Questioner.

July 2 to July 27: Survey and collection of Primary Data.

July 28 to August 8: Data analysis and preparation of project report.

August 14: Submission of the Project Report.

Asp, E. H (1999) Factors affecting food decisions made by individual consumers. Food Policy, 287-294.

Auty,S (1992).Consumer choice and segmentation in the restaurant industry. The Service Industries Journal,324-339.

Bailey,R., & Earle, M (1993). Home cooking to takeaways: Changes in food consumption in India during 1880-1990. Palmerston North, India, Massey University . Bailey,R., & Tian, R. G. (2002). Cultural understanding and consumer behavior. A case study of Southern American perception of Indian food.

Bitner, M. J. (1990). Evaluating service encounters, The effects of physical surroundings and employee responses. Journal of Marketing, 69-82. Goyal .A, Singh.N, (2007) "Consumer perception about fast food in India: an exploratory study", British Food Journal, Vol. 109 Iss: 2,182 - 195

Kim, H. (2000). Ethnicity in the design of ethnic food outlets. Unpublished master's thesis, Victoria University of Wellington, Wellington, New Zealand