COMPREHENSIVE PROJECT REPORT

ON
“A COMPARATIVE STUDY OF CUSTOMER PREFERENCE TO WARD
THE DIFFERENT MOBILE APPLICATION OF ONLINE SHOPPING IN
PORBANDAR CITY”

SUBMITTED TO:

SHREE SWAMINARAYAN INSTITUTE OF MANAGEMENT & I.T.

UNDER GUIDENCE OF:

PROF. ABHISHEK ABHANI

IN PARTIAL FULFILMENT OF THE REQUIREMENTS OF THE AWARD OF THE

DEGREE OF MASTER OF BUSINESS ADMINISTRATION (MBA)

OFFERD BY:

GUJARAT TECHNOLOGICAL UNIVERSITY

AHEMDABAD

PREPARED BY:

AMUL LALAKIYA (188100592025)

NIKHILSINH JETHWA (188100592012)

MBA (SEMESTER-4)

2019-20

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 DECLARATION

We student of M.B.A. in Swaminarayan institute of management, Porbandar hereby declare

that all the information which are presented in this comprehensive project report is our own
work and has been carried out under the supervision and guidance of PROF. ABHISHEK
ABHANI. We try our level best to present this report to Gujarat Technological University.

PLACE: PORBANDAR SIGNATURE OF STUDENT: -

DATE:
AMUL LALAKIYA

NIKHILSINH JETHWA

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 PREFACE

Industrial activities play major role for economic growth for country like India. Therefore,
that Gujarat technological university has included comprehensive project report for M.B.A
students. So that we can trained and shaped up according to changing environment in
business. Every forms of business organization have to be managing efficiently as everything
lies in the hands of management in any company.

That project is about Online Product Mobile Shopping Application, this name “A
Comparative study of customer preference toward the different Mobile Application of online
Shopping in Porbandar City”.

In this project, we try our best to present all the information about company.

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 ACKNOWLEDGEMENT

It is our great pleasure to present this report before you; we thank all who helped us to get the
necessary information to prepare this report.

Here we are very much pleased to express our gratitude towards PROF. ABHISHEK
ABHANI and our all faculty for providing us proper guidance about industry and project
report.

We are greatly thankful to Porbandar City People who has provided necessary information
and Details me a final face of this project report.

We hope you will acknowledge our project report.

We would have tried our level best to present this project report with all possible information
by all possible sources.

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 PART-A

NO. PARTICULARS PAGE NO.

1. Online product Shopping Mobile Application 6

Introduction

1.1 Online Shopping 7

1.2 Online Shopping model 8

1.3 Introduction to Indian Online shopping Mobile 9

Application

2. Online Product Shopping Mobile Application Company 10

Overview
2.1 History of the online product shopping mobile 11
application company
2.2 Profile of the online product shopping mobile application 14
company
3. Advantages and disadvantages 15

4. Factor Affecting of the online product shopping mobile 16

application company
5. Swot analysis 17

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 PART-B

NO. PARTICULARS PAGE NO.

1. Problem Statement 19

2. Research Methodology 20

3. Literature review 22

4. Hypothesis Framing 25

5. Data Interpretations 26

6. Hypothesis testing 37

7. Findings 39

8. Limitations 40

9. Suggestions 41

10. Conclusion 42

11. Bibliography 43

12. Annexure 44

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 PART – A
ONLINE PRODUCT
SHOPPING MOBILE
APPLICATION
INTRODUCTION

PAGE 6
 ONLINE SHOPPING

Online shopping is a form of electronic commerce which allows consumer to directly buy
goods or services from a seller over the internet using a web browser.
India has an internet user’s base of about 475 million as of July 2018, about 40% of the
total population.

In India Cash on delivery is the most preferred payment method, accumulating

75% of the total retail activities
According to the Google India Research, by 2021 India is expected to generates $100
billion online retail revenue,
There are many websites available for online shopping like,

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ONLINE SHOPPING MODEL

PAGE 8
 INTRODUCTION TO INDIAN ONLINE SHOPPING MOBILE
APPLICATION

Due to the sharp growth in the number of people using internet, online shopping in India also
has taken a sharp shoot with increasing trend.

Educated people especially who are working in the private sector and are time scarce and the
teenagers &youngsters prefer to shop online for various reasons.

A study conducted by BCG suggests that during the year 2013; out of 1220 million Indians,
169 million Indians were active internet users.

The study indicates that by the year 2018 this figure of internet users will shoot up and reach
up to 583 million.

The popularity of the online shopping trend gave an idea of undertaking this research work to
know the preference of people of Porbandar to shop from the five popular shopping websites
i.e. Amazon.com (USA Company), Flipkart.com (Indian Company), Snapdeal.com (Indian
Company), and Shop Clues.com (Indian Company), Myntra.com (Indian Company).

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ONLINE PRODUCT
SHOPPING MOBILE
APPLICATION
COMPANY
OVERVIEW

PAGE 10
 HISTORY OF THE ONLINE PRODUCT SHOPPING MOBILE
APPLICATION COMPANY

(1) Amazon: -

Amazon was founded by Jeff Bezos in Bellevue, Washington, in July 1994. The company
initially started as an online marketplace for books but later expanded to sell electronics,
software, video games, apparel, furniture, food, toys, and jewelry.

In 2015, Amazon surpassed Walmart as the most valuable retailer in the United States
by market capitalization. In 2017, Amazon acquired Whole Foods Market for US$13.4
billion, which vastly increased Amazon's presence as a brick-and-mortar retailer.

In 2018, Bezos announced that its two-day delivery service, Amazon Prime, had surpassed
100 million subscribers worldwide.

(2) Flipkart: -

Flipkart was founded in October 2007 by Sachin Bansal and Binny Bansal, who were both
alumni of the Indian Institute of Technology Delhi and formerly worked for Amazon.
The company initially focused on online book sales with country-wide shipping. Following
its launch, Flipkart slowly grew in prominence; by 2008, it was receiving 100 orders per
day. In 2010, Flipkart acquired the Bangalore-based social book discovery service we
Read from Lulu.com.
In late 2011, Flipkart made several acquisitions relating to digital distribution, including
Mime360.com and the digital content library of Bollywood portal Chakpak.

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In February 2012, the company unveiled its DRM-free online music store Flyte. However, the
service was unsuccessful due to competition from free streaming sites, and shut down in June
2013.
In May 2012, Flipkart acquired Letsbuy, an online electronics retailer. In May 2014, Flipkart
acquired Myntra, an online fashion retailer, for 20 billion (US$280 million). Myntra continues
to operate alongside Flipkart as a standalone subsidiary; the site focuses on an upscale,
"fashion-conscious" market, while Flipkart itself focuses on the mainstream market and major
international brands.

(3) Snap deal: -

Snapdeal was founded on 4 February 2010 as a daily deal’s platform, but expanded in
September 2011 to become an online marketplace. Snapdeal has grown to become one of the
largest online marketplaces in India offering an assortment of 30,000,000 products across
diverse categories from over 3,00,000 sellers, shipping to more than 6,000 towns and cities in
India. In March 2015, Snapdeal brought actor Aamir Khan for the promotion of its website in
India. In October 2017, Snapdeal's CFO Anup Vikal resigned.
20 November 2019 Snapdeal joined International Trademark Association (INTA) as part of
its efforts to support protection of intellectual property on online marketplaces.

(4) Shop clues: -

Shop Clues is an online marketplace owned by Clues Network Pvt. Ltd. It was established in
July 2011 in Silicon Valley by Sanjay Sethi, Sandeep Aggarwal and Radhika

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Aggarwal. Based in Gurgaon, India, the company claims to have over 6 lakh merchants and
2.8 crore products on its platform, serving over 32,000 pin codes across the country.
Valued at US$1.1 billion in 2015, Shop Clues has Tiger Global, Helion Ventures, and Nexus
Venture Partners as major investors. In 2019, it was acquired by Singapore-based Qoo10 in
an all-stock deal valued at approximately US$70 million, representing one of the largest
valuation meltdowns for an Indian-based startup.

(5) Myntra: -

Established by Mukesh Bansal along with Ashutosh Lawania and Vineet Saxena; Myntra sold
on-demand personalized gift items. It mainly operated on the B2B (business-to-business)
model during its initial years. Between 2007 and 2010, the site allowed customers to
personalize products such as T-shirts, mugs, mouse pads, and others.
In 2011, Myntra began selling fashion and lifestyle products and moved away from
personalization. By 2012 Myntra offered products from 350 Indian and International brands.
The website launched the brands Fastrack Watches and Being Human. In 2014, Myntra's
portfolio included about 1,50,000 products of over 1000 brands, with a distribution area of
around 9000 pin codes in India. In 2015, Ananth Narayanan became the Chief Executive
Officer of Myntra.

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 PROFILE OF THE ONLINE PRODUCT SHOPPING MOBILE
APPLICATION COMPANY

AMAZONE FLIPKART SNEAPDEAL SHOPCLUES MYNTRA

Mukesh Bansal
COMPANY Sachin Bansal. Kunal Bahl Vineet Saxena
FOUNDER Jeff Bezos Binny Bansal. Rohit Bansal Sanjay Sethi Ashutosh
Lawania

COMPANY 1994 2007 2010

FOUNDED 2011 2007

COMPANY Gurugram, Bengaluru,

HEAD Washingtone Bengaluru, India New Delhi, India Haryana, India Karnataka, India
QUATER
U.S.A.

COMPANY 23,288.7 Crores 43,615 Crore 903 Crore 273 Crore 427.74 Crore
REVENUE Usd (Us $ 6.1 Billion) (Us $ 130 Million) (Us $ 38 Million)

TYPE
OF SITE E-Commerce E-Commerce E-Commerce E-Commerce E-Commerce

APPLICATION
AVAILABLE English English, English English English
LENGAUGE IN
Hindi

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ADVANTAGES AND DISADAVANTAGES OF THE ONLINE PRODUCT
SHOPPING MOBILE APPLICATION COMPANY

ADVANTAGES

1. Saves time as well as money.

2. Convenience of shopping at home.

3. Wide range or variety.

4. Get detailed information of products.

5. Good discount.

DISADVANTAGES

1. Delay in delivery.

2. Lack of touch and feel.

3. Lack of interactivity.

4. Lack of shopping experience.

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FACTORS AFFECTING OF THE ONLINE PRODUCT SHOPPING
MOBILE APPLICATION COMPANY

RISK

PAST EXPERIENCE

PAYMENT METHOD

PRICING POLICY

QUALITY

ONLINE TRUST

DELIVERY TIMING

VERITY

OFFERS

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SWOT ANALYSIS OF THE ONLINE PRODUCT SHOPPING MOBILE
APPLICATION

STRENGHT:

 24 X 7 Shopping available

 Global business from anywhere

 Product reach to customer directly, so comparatively low cost

 Fast and effective medium of shopping

 More effective advertisement

WEAKNESS:

 No direct customer-seller interaction

 Sometimes transportation cost increase

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OPPORTUNITIES:

 Internet users over the world are increasing day by day so there is a great
opportunity of growth of business

 Can easily attract the people even in other country through social media or any other
medium.

THREATS:

 Risk of duplicate products

 It may be happen that product shown in the portal that will not be received

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 PART: -B
PROBLEM STATMENT

People have too many options for online shopping application so they get confused from which application
is best to purchase the online goods and services.

That’s why we are comparing Different Mobile Application of online shopping to know the attitude of
Porbandar people towards it.

“A Comparative Study of Customer Preference to ward the different mobile

application of online Shopping in Porbandar City”

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PAGE 20
RESEARCH DESIGN:

We have used Descriptive study as a research design

A descriptive study was thought to be appropriate to know the consumer preferences of Different online
shopping Application.
Single Cross-Sectional Research Design Is Adopted Where in A Survey Was Undertaken to Know the
Preferences of Respondents about the five online Shopping Application on Different Attributes.

RESEARCH AREA:

We have selected Porbandar city as a research area.

SAMPLING METHOD AND SAMPLE SIZE:

This study is based on the responses of 100 Online Shopping mobile Application users living in the city of
Porbandar. The sample was selected using non-probability sampling technique of “convenience sampling”.

RESEARCH INSTRUMENT:

We have used a structured questionnaire for the research instrument.

DATA COLLECTION:

Data have two types:

1. Primary data

2. Secondary data

We are collecting data through source of primary data, which is collected for the very first time.

For collection of data we have filled up the structured questionnaire through Google forms.

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PAGE 22
Many different studies are undertaken by different scholars related to online shopping.

1) Kanwal Gurleen (2012), “Customers satisfaction towards Online shopping”, discussed that different
options in internet encouraged people to search and eventually purchase online, because there are more
than 100 million internet users in India. People those who are using internet from 5 to 7 hours a day
were found to be adopter of online shopping. Price consciousness, convenience and variety, easy
payment options and challenges of online shopping are the factors found to be a significant in online
shopping.

2) Adrita Goswami et.al (2013), studied “Customer Satisfaction towards Online Shopping with Special
Reference to Teenage Group of Jorhat Town” study concludes that online customers are satisfied in the
aspects such as Price, Quality of products, Ease of use in mobile platform and Timely Delivery at
remote areas. This research explicitly indicates that online marketer should give more importance on
price factor and after sale factor.

3) Dhevika V.P.T, Latasri O.T.V, S Karmugil (2014), in their paper “Factors Affecting Online shopping
of Customers” revealed that the most important factor influencing online shopping is- security,
followed by – trust worthy shopping and – website design/features and the least important factor
influencing is – bargaining shopping, there is no significant association between security and website
design/features of the respondents and their overall online buying behaviour.

4) Ashish Pant (2014), “An Online Shopping Change the Traditional Path of Consumer Purchasing”
concluded in his research article that a successful web store is not the just a good looking website with
the dynamic technical features but is also emphasis on building the relationship with customers with
making money. The success of any e-tailer company in India is depending upon its popularity, its
branding image, its unique & fair policies, and its customer relations etc.

5) Saravanan S and Brindha Devi K (2015), “A Study on Online Buying behavior with special reference
to Coimbatore city” focused on online shoppers’ preferences and problems on various online shopping
marketers. Higher computer literacy makes internet shopping smarter. Their awareness about the
internet also makes them better positioned to identify and take decision for products and services.

6) Mohana Priya S and Anusuya D (2014), “A Study on Customer Preferences and Satisfaction towards
selected online websites with special reference to Coimbatore city” stated that online shopping has
grown in popularity over the years mainly because people find it convenient from the comfort of their
home or office. Most of the customers are satisfied by online shopping, but the only hinder is that they
are not fully secured. Government has to improve security laws related to online websites so that the
online customers feel secured in case of debit card, credit card or online payments.

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7) Francis Sudhakar K, Habeeb Syed (2016), “A Comparative study between Flipkart and Amazon India”,
conducted a study to critically examine various corporate and business level strategies of two big etailers
and those are Flipkart and Amazon. Comparison have been done considering e-commerce
challenges, their business model, funding, revenue generation, growth, survival strategies, Shoppers’
online shopping experience, value added differentiation, and product offerings. Both these big players
made their own mark in India. The survey ended with Amazon as the winner, which satisfied the
customer in all the aspects.

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 HYPOTHESIS FRAMING

For online shopping Application.

H0 = Mobile application prefer for online shopping are equally distributed

H1 = Mobile application prefer for online shopping are not equally distributed

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 DATA
INTERPRETATIONS

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1. Which mobile application do you prefer for online shopping?

Interpretation:
Out of all the responses 57% people like to prefer amazon for online shopping.

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 2. Which mobile application give you best payment option for all product?

Interpretation:

Out of all the responses 51% people are agree that amazon will give the best payment option.

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3. Which mobile application give you wide range of product?

Interpretation:

Mostly people are agree that amazon give wide range of product.

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 4. Which mobile application give you the best delivery service?

Interpretation:
Out of all the responses 27% people says Flipkart give best delivery service, 41% people says amazon give
best delivery service and 15% people says shop clues give best delivery service and remaining says Myntra
and Snapdeal give best delivery service.

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5. Which mobile application give you the best quality product?

Interpretation:
Mostly 42 people are agree that amazon give the best quality product and other 30 people are say Flipkart is
the give a best quality product.

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6. Which mobile application give you the best product return policy ?

Interpretation:
Out of all the responses 41% people are agree that amazon give the best return policy.

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 7. Which mobile application is honest and ethical?

Interpretation:
Mostly people are agree that amazon is honest and ethical.

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8. Which mobile application give you the best filters?

Interpretation:
Out of all the responses 46% people are agree that Flipkart give the best filters.

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9. Which mobile application having variety of product?

Interpretation:
Mostly people are agree that amazon having variety of product.

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10. Which mobile application having best packing?

Interpretation:

Out of all the responses 21% people says Flipkart give best packing, 35% people says amazon give best
packing and 32% people says Snapdeal give best packing and remaining says Myntra and shop clues give
best packing.

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 HYPOTHESIS TESTING
Step: 1 Hypothesis Testing

Category Fo Fe Fo – Fe (Fo – Fe )2 Ʃ(fo – fe )2

Fe
Amazon 57 20 37 1369 68.4

Flipkart 25 20 5 25 1.25

Snapdeal 10 20 -10 100 5

Myntra 4 20 -16 256 12.8

Shop clues 4 20 -16 256 12.8

Total 100 - - - 100.25

Step: 2 Degree of Freedom

Degree of freedom (DF) = n – 1

=5–1

DF = 4

PAGE 37
Step: 3 Tabular value

Significance value in 5% = 0.05

Degree of freedom = 0.05, 4
Tab = 9.4877

Step: 4 Decision

Calculated value is more than tabular value.

PAGE 38
 FINDINGS

 Calculated value is more than tabular value, hypothesis is rejected

i.e.

100.25 > 9.49

PAGE 39
 LIMITATIONS

 As we are observing the data from Porbandar city only so, we cannot get accurate data.

 Age group is the big barrier for the filling the questionnaire

 Lack of literacy in people is the big limitation for the study.

 Connivance sampling method is used which may lead to bias.

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 SUGGESTIONS

 Respondents should make aware about online shopping.

 They should try and understand online shopping.

 Online Shopping Application Company required More Advertisement to easy understand

and use of that application to general people.

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 CONCLUSION

 Online shopping is becoming more popular in India with the advent of internet facilities.

 Out of the Five selected online shopping mobile application, Amazon is found to be
the leader of all other application.

 It provides the highest range of quality products with different varieties in each product
category and also with different price ranges as per the perception of the consumers.

 The online shoppers suggest that the companies should improve in the areas of display
of original products, product return policies and product description.

PAGE 42
 BIBLIOGRAPHY
Websites
https://www.ijariie.com

BOOKS:

1. for marketing concept: PHILIP KOTLER

Published by: Dorling Kindersley

2. For research methodology: C.R. KOTHARI

ANNEXURE

PAGE 43
Dear Respondent,

I Nikhilsinh R. Jethwa and Amul A. Lalakiya students of Shree Swaminarayan Institute

of Management & I.T. pursuing MBA & conducting project regarding “COMPARATIVE
STUDY OF CUSTOMER PREFERENCE TOWARDS THE DIFFERENT MOBILE
APPLICATION OF ONLINE SHOPPING IN PORBANDAR CITY. Will be very thankful
to you provide me the required information.

Name: __________________________________.

1) Age group:

 10-20
 21-30
 31-40
 41-50
 50+

2) Occupation:

 Student
 Businessman
 Job holder
 Professionals
 Other

3) Which mobile application do you prefer for online shopping?

 Flipkart
 Amazon
 Snapdeal
 Myntra
 Shop clues
4) Which mobile application give you best payment option for all product?

PAGE 44
 Flipkart
 Amazon
 Snapdeal
 Myntra
 Shop clues

5) Which mobile application give you wide range of product?

 Flipkart
 Amazon
 Snapdeal
 Myntra
 Shop clues

6) Which mobile application give you the best delivery service?

 Flipkart
 Amazon
 Snapdeal
 Myntra
 Shop clues

7) Which mobile application give you the best quality product?

 Flipkart
 Amazon
 Snapdeal
 Myntra
 Shop clues

8) Which mobile application give you the best product return policy?

 Flipkart
 Amazon
 Snapdeal
 Myntra
 Shop clues
9) Which mobile application is honest and ethical?

PAGE 45
  Flipkart
 Amazon
 Snapdeal
 Myntra
 Shop clues

10) Which mobile application give you the best filters?

 Flipkart
 Amazon
 Snapdeal
 Myntra
 Shop clues

11) Which mobile application having variety of product?

 Flipkart
 Amazon
 Snapdeal
 Myntra
 Shop clues

12) Which mobile application having best packing?

 Flipkart
 Amazon
 Snapdeal
 Myntra
 Shop clues

Give suggestion if any, ________________________________

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