Professional Documents
Culture Documents
By
Muhammad Saad
Maham Khan
Shahrukh Akhtar
Junaid Amjad
Muhammad Athar
A Report
Submitted in partial fulfilment of the requirements
For the degree of Bachelors of Business Administration
To Iqra University Research Centre (IURC)
At the Iqra University,
Main Campus, Karachi.
Karachi, Pakistan
April, 2018
Table of Content
Introduction...............................................................................................................................................1
Problem statement:..................................................................................................................................1
Background, Objectives and Significance of the study............................................................................2
Outline of the Study.................................................................................................................................3
Definitions...............................................................................................................................................3
Perceived Quality................................................................................................................................3
Word of Mouth....................................................................................................................................3
Brand Image........................................................................................................................................4
Country of Origin................................................................................................................................4
Literature Review......................................................................................................................................5
Perceived Quality....................................................................................................................................5
Word of Mouth........................................................................................................................................7
Brand Image............................................................................................................................................9
Country of Origin:.................................................................................................................................11
Research Methods...................................................................................................................................15
Method of Data Collection............................................................................................................15
Sampling Technique......................................................................................................................15
Sample Size...................................................................................................................................15
Instrument of Data Collection........................................................................................................15
Research Model Developed...........................................................................................................15
Statistical Technique......................................................................................................................16
Results:.....................................................................................................................................................17
Model Summary....................................................................................................................................17
ANOVA...................................................................................................................................................17
Coefficients............................................................................................................................................18
Hypothesis Summary Table...................................................................................................................19
Conclusion & Discussions:......................................................................................................................20
Conclusion.............................................................................................................................................20
Limitations............................................................................................................................................21
Recommendations.................................................................................................................................21
Implications:..........................................................................................................................................22
Bibliography............................................................................................................................................24
1
Introduction
Nowadays, an enormous amount of people are consuming electronic products and the
quantity is increasing day by day. In recent years, these consumer electronics have gained
extensive popularity around the globe. These electronics products are developing more
towards computer-based efficient devices loaded with more than one function like:
Televisions nowadays not just only display great picture quality for watching but also
become a smart hub providing internet terminals for connecting nearby devices for
streaming content wirelessly; telephones have hugely upgraded and converted into
smartphones where it functions are increase extensively not just limited only to calling
In the amusement world, unique interactive media content (e.g., content, sound, video
and still pictures) is made accessible for purchasers through an assortment of channels.
number of families consistently. Albeit lawful organizations exist for securing scholarly
Problem statement:
electronics because buyers utilize distinctive factors to decide the nature of these
electronic items. However, the qualities in these electronic items lies according to the
customers being referred to. What might be appeared to be of high caliber to one
This study will generally embarked to determine the word of mouth, country of origin,
brand name, on the off chance that it has or no impact on the observation on item quality
the main variety between items is expressed nation of inception. Further, purchasers
express a checked inclination for privately made items when cost is invariant,
furthermore, where the privately made item is seen to be unrivaled or, at any rate, not
The custom in this examination stream has developed from considering the impact of just
cost on purchasers' impression of item quality to including other inborn and extraneous
signs. To start to disentangle a few issues and address a few inquiries in the region, we
integrate past studies that has analyzed the impacts of brand image on product quality
perceptions.
3
The one goal of this research investigation is also to investigate the impact of
Introduction is the first chapter where we will discuss about our research title that
we have chosen.
In the third chapter we will talk about research methods conducted in this
research.
In the last chapter we will conclude our research report and proposed
recommendations.
Definitions:
Perceived Quality:
Zeithaml (1988) depicts perceived quality as the subjective purchaser judgment with
Word of Mouth:
Brand Image:
Brand image may be a famous identity of a corporation in terms of what product and
Country of Origin:
Products generally, each product categories and specific product things, have completely
different pictures account from their country of origin (Morello 1984; Erickson et al.
1984; Hooley et al. 1988). The image of the country wherever the merchandise was
created can be thought-about AN influencing think about the consumer's purchase call.
5
Literature Review
Perceived Quality:
Quality perception shows an important part with regards to marketing. From few years,
perceived quality has become an eye catching topic for practitioners as well as
researchers, especially in consumer market for electronic appliances. One of the main
reasons why perceived quality had become an interesting area of marketing research is
due to the beliefs of practitioners and researchers that in favorable period it will
significantly affect the marketing performance. Similarly, if there is situation where high
backbone when it comes to consumer electronics businesses. (Cronin & Taylor, 1992;
Parasuraman, Zeithaml & Berry 1996). When we look into past theories and researches in
advantages. (2001, Ekinci and Riley; 2000,Cronin et al; 1996,Woodruff and Gardial;
1991,Bolton and Drew;). Researchers describes that perceived quality act as a moderator
that tilt product purchase intention either positive or negative in the cognitive-affective
model. (Kumar et al., 2009). According to (Jacoby and Olson, 1985) perceived quality is
famous as a primary element that affect purchase intention. Quality anticipated intend to
administration is a kind of demeanor, identified with however not the same as fulfillment,
and coming about because of correlation of desires with a view of execution (Rowley,
1998). In spite of the fact that the most well known meaning of value identifies with
6
value for each circumstance. Thusly, up to this point, hypothetical discoveries in the zone
of administration quality did not coordinate the necessities of training. Without a doubt,
saw benefit quality has ended up being a troublesome idea to get a handle on. Of
2001,Ulaga and Chacour) and inquire about with respect to the idea is as yet thought to
be "uncertain" (1985,Parasuraman et al; 2000,Caruana et al;) and "a long way from
the "dimensionality" of the administration quality idea (1994,Parasuraman et al) still can't
seem to be effectively tended to (Brady and Cronin, 2001). Time and again, there is a
propensity to focus client esteem on item quality and ostensible cost. As indicated by this
lines provide benefits to the customer (1971,Lancaster; 2000,Caruana et al;). Benefits are
then judged through an apparent level of value (predominance level of working), a heap
of characteristics in examination with the buyer's dreams. This point of view went even
up until this point, a few creators in the past by one means or another even likened the
ideas of saw quality with saw esteem and that involved that numerous specialists
neglected to recognize the ideas of saw quality and saw esteem and regularly utilized the
judgment. It is made seeing someone amongst clients and providers in which the two
gatherings are dynamic (Eriksson et al., 1999). It epitomizes generally bring down force
7
Word of Mouth:
W.O.M. its not a activity, advertisement in the shape of online, commercials, door to
door, newspaper or any CRM activity where a consumer will receive email from the
company whenever there’s a new product launch or any fake activity. However it is pure,
honest and powerful. Basically a tool we use in our daily life i.e communication, social
interaction, sharing of opinion and perception within the group and outside the group.
Word of mouth actually tells you to evaluate the perception and opinions that a consumer
perceived for a particular brand. A strong perceived value is beneficial for the image of
the brand. (Balter, 2004). Sernovitz (2009) He described that word of mouth is not direct
marketing it is the process of sharing experiences that a consumer shares. Word of mouth
can play a vital role in a good and effective marketing and he emphasis that a company’s
concern should be at highest point on word of mouth. He further explained with various
categories. (1) People are the medium of word of mouth. (2) Topic that people share
among their circles. (3) Tools that can be used to convey your message. (4) W.O.M. its
process among paired individuals. (5)W.O.M. is a trail on people to know how people
talk about products. Mangold, Miller, and Brockway (1999) As some scientist
communication has a vital role to affect the purchase decision making of a consumer
8
of W.O.M. communication (Barry, Brown, Gunst, and Dacin;2005) while Rossi and De
duty, quality, devotion, responsibility, fulfillment, saw esteem and certainty. Yu and
Tang (2010) It is another school of thoughts that communication through mouth would
be more affective when there is richness in words, posture, eye contact, the tone in which
the message is being conveyed, intention and empathy. It is necessary to have such
content in your message Yu and Tang (2010) to have a strong mouth communication all
the aspects are equally important at their respective position. Aspects such as the content
and the language which is easy to understand. These contents are important for a mouth
communication because at some extent it has a persuasive degree and phrases. Casielles,
Álvarez, and Lanza (2013). Usefulness of message is related to the content i.e language,
words etc. To convey information, word of mouth is the oldest and effective way with
vast variety. (Dellarocas, 2003),. It is the passing, exchange of information among many
consumer electronic that its strength changes the perception, attitude towards the product
or a service. (Arndt, 1967)There are many other authors who have different definitions
like individuals communicating about the goods and service, product or brand is a
W.O.M. . Another perception on word of mouth is that it triggers the commercial (Litvin
et al., 2008). Word of mouth provides information about the product, service or brand
other than advertising that affects the decision making of a (2007 Brown et al., ). WOM
its the most influencing key who affect the behavior of consumer . (Daugherty and
Hoffman, 2014). Also great source of the information when the product is not on hand or
not delivered to final consumer. (Litvin et al., 2008; Jalilvand and Samiei, 2012). Some
9
of the previous research shows that consumer gives more preference to the
media that includes T.V, radio, newspaper, digital advertisement. (Cheung and Thadani,
2012). That is why it is the most influencing mode of conveying a message (Lau and Ng,
2001). Word of mouth is a tool that can cater a lot of receivers thus this quality leads
words of mouth to reliability and affective way of communication. (Arndt, 1967; Lee and
Youn, 2009).
Brand Image:
“The purpose of brands is, and constantly has been, to provide data to shape the
perception about their products.” (Economist 1994). According to David Aaker (1991)
brands help to segregate the perception of a specific product from others products in the
market. This may have been the innovative principle of brands, but their properties now
spread far outside simply classifying the basis of a product. Perceived quality about a
particular brand also shrink customer search costs and perceived risk (Aaker 1991).
Brands shape the premise of connections amongst firms and clients, going about as
sources of trust and duty (Hess and Story, 2005). They may likewise fill in as a product
of item quality when shoppers need target data (Aaker 1991). Two things lying above
shelf—particular costs $3.49, another cost $2.69. The fundamental complexity among
both things? Particular have a check name and the check name is not present on other. An
individual might barely walk around a store before observing a lot of items open;
shoppers hold higher decision today than later in new memory. Among the abundance of
items sit bland assortments. Lower in cost and generally bundled tastelessly, these
merchandise are regularly disregarded for their more appealing partners. Be that as it
10
may, would it be a good idea for them to be? On the off chance that the main contrast
between mark name and bland items is the glued on name, customers might pay a high
cost for reasons unknown. There has been a current pattern in showcasing far from value-
based deals to relationship building (Gronroos 1997; Gummesson 2002). Firms have
perceived that it isn't just conceivable, however extremely attractive, to set up enduring
connections with their customers. In some ways, this is a characteristic subsequent stage
encapsulate trust and individual duty by the client to the relationship (Hess and Story
2005). The store of trust and responsibility is the brand. It gives an exemplification of the
firm with which clients can bond. Client mark connections give common advantages,
however for firms they open another universe of showcasing openings. A third real
Flagging hypothesis initially developed amid World War II, and was adjusted to
showcasing settings in the mid 1980's (Singh and Churchill 1986). As per flagging
hypothesis, when shoppers need data concerning item quality, providing a brand name
goes about as a flag of a solid's sense of duty regarding fulfillment. There is a suggested
holding segment, the danger of losing the interest in the brand name, that guarantees that
a firm is focused on giving high caliber when items convey their mark. Brand picture is
constructing value of brand. In the unyieldingly engaged world market put, associations
require a more significant comprehension into customer conduct what's more, show
clients about the check with a particular ultimate objective to make effective exhibiting
systems. In the following section, we will talk about the relationship between customers
11
insight of brand picture and customer behavior. Creating a brand image is one of the most
important aspect of any company. A perceived value of a product makes the brand image.
As far as concern of consumers electronics there are many electrical appliances available
in the market . Some have good brand image and some have bad image. A positive brand
image of any electrical item depends on the quality that a consumer perceives. Producers
of a considerable lot of the world' s top brands consume a lot of exertion placing identity
into their brands since mark identity can be a critical device in separating their image
from the opposition. Brand picture is one of the important factor of brand value, which
implies purchaser's general acknowledgment and sense about a stamp and have a direct
associations ' publicizing techniques are, the standard inspiration driving their elevating
forces that affect purchasers ' point of view, assessments, quality that a shopper saw.
Brand simply creates its structure in client cognition, likewise, engage clients genuine
acquiring brand behavior, appropriately extending bargains, revealing a little of the pie
and establishing esteem of a brand. Brand picture has positive and noteworthy effect on
shopper trust. Increment in saw quality and confide in portrayed in a specific brand
inclination.
Country of Origin:
origin effect. (Samiee 1987). Etzel and Walker[1], Gaedeke[2], Kincaid[3], Lillis and
these investigations, view of value was the needy variable and nation of birthplace data
12
filled in as the autonomous variable. As a rule, these investigations presumed that buyers
root. Etzel and Walker[1] guessed that customers' assessments of all items from a nation
will contrast altogether from assessments of particular items from that nation. Etzel and
with states of mind towards particular sorts of items. Utilizing items from Germany,
Japan, and the USA, they found a noteworthy distinction between purchasers' impression
of outside national item generalizations and pictures of particular items from that nation
for everything except one circumstance (German items versus German cars). In this
manner, as indicated by their discoveries, buyers separate the "made in" picture from
automobiles, cameras and toys, and in this way may not have any significant bearing to
clothing items. Such contrasts between general national item mentalities and more
particular. Accomplishment in the retail condition relies upon the capacity to figure and
fulfill customer needs and needs. Because of expanding intensity in the global retail
commercial center, producers and retailers should be all the more definitely tuned in to
anticipating and in this manner taking care of the requests of the shopper. So as to do this,
one evaluates shoppers' view of item attributes and encompassing pictures that maybe
impact the buy choice. The picture of the nation where the item was made may be viewed
as an affecting component in the shopper's buy choice. In this article, the significance of
the nation of root picture is tended to. Past research exploring the impact of nation of
cause on shoppers introduces a to some degree conflicting picture. Etzel and Walker[1],
examined perceived product quality. Item attributes (for items other than clothing)
Krisknakumar[16]. These examinations show that states of mind towards items from a
on nation of starting point in the accompanying path: "1) there is no doubt that a 'nation
of root' impact exists; 2) the two buyers and modern purchasers are influenced by 'made
in' pictures; 3) made-in generalizations can be changed, in any event in the long haul; 4)
other item traits, for example, cost, may influence outside item observations; and 5)
sorts"[21, p. 9]. The worldwide integration of the present business condition has brought
about an interesting issue for producers, advertisers, and shoppers. The nation of
beginning (where an item is made its merchandise in specific nations and how to mark.
While applied and observational confirmation in the writing underpins the conflict that
the nation of beginning effects upon the customer's view of value, clarifications with
respect to why are for all intents and purposes non-existent. Disregarding the developing
significance of the nation of-cause impacts, most investigations have depended only on
the "made-in (nation)" mark, or source nation as an essential estimation boost. Analysts
have neglected to consider the impacts that emerge from a purchaser's distinguishing
proof of the nation of starting point, with the brand name that the item conveys. It is
contended here that the nation of-root impacts are caused by shoppers' recognizable proof
of the nation of-source from mark names and also "made-in" data signs. In the present
investigation, congruity hypothesis was used to gauge how buyers assess the nature of
clothing when related with various nations of starting point. Tannenbaum and
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Osgood[22] expressed the rule of congruity as takes after: "changes in assessment are
dependably toward expanded congruity with the current casing of reference"[22, p. 43].
that, when people encounter irregularity, strains emerge which compel an arrival to
consistency. Utilizing congruity hypothesis, Mazursky and Jacoby [23] inspected quality
pictures of retail locations when related with brands having positive or negative pictures.
They found that, when an extremely positive store picture was connected with a more
negative brand picture, the resultant joined picture was as low as, if not lower than, the
Research Methods
E-Questionnaires would be the instrument for research data collection via Google
sample which depicts that every part of the populace need known non-zero
Country of Origin
16
Hypothesis:
Results:
As the title of this study suggest that the researcher aimed at gathering the data related to
the impact on perceived quality in electronics goods, here for further statistical analysis
convenient sampling is used in order to collect the data. This data collection consists of
206 respondents. The hypothesis framed during the initial stage of the study, were tested
by putting them to the statistical tests. As the study composed of three independent
variables i.e. word of mouth, brand image, country of origin and its relation with the
depended variable i.e. perceived quality the Multiple linear regression technique was
Model Summary
Adjusted R Std. Error of
Model R R Square Square the Estimate
1 .345a .119 .106 .50498
a. Predictors: (Constant), COO_Mean, WOM_Mean,
BI_Mean
The Adjusted R Square value is 0.106 which demonstrates that 10.6% varibility in
perceived quality is explained by country of origin, word of mouth and brand image.
18
ANOVAb
Sum of
Model Squares df Mean Square F Sig.
1 Regression 6.954 3 2.318 9.090 .000a
Residual 51.511 202 .255
Total 58.465 205
a. Predictors: (Constant), COO_Mean, WOM_Mean, BI_Mean
b. Dependent Variable: PQ_Mean
The Sig. value is 0.000a which demonstrates that since the value is below than 0.05
therefore the research model for the study is accepted and the model of this research is
significant.
Coefficientsa
Unstandardized Standardized
Coefficients Coefficients
Model B Std. Error Beta t Sig.
1 (Constant) 2.011 .343 5.864 .000
WOM_Mean .268 .075 .250 3.554 .000
BI_Mean .130 .075 .128 1.744 .083
COO_Mean .061 .058 .074 1.058 .291
a. Dependent Variable: PQ_Mean
Word of Mouth:
H1 stating that word of mouth has an impact on perceived quality was tested, it was
found that the Sig. value of WOM_Mean was 0.000 in Coefficients table. As it is below
than 0.05 so the H1 is accepted. This indicates that customers who buy electronic goods
19
are effected by word of mouth marketing as it influences the perception of quality that
Brand Image:
H2 stating that brand image has an impact on perceived quality was tested, it was found
that the Sig. value of BI_Mean was 0.083 in Coefficients table. As it is above than 0.05
so the H2 is rejected, and hence it tells us that the consumers do not change their
Country of Origin:
H3 stating that country of origin has an impact on perceived quality was tested, it was
found that the Sig. value of COO_Mean was 0.291 in Coefficients table. As it is above
than 0.05 so the H3 is rejected. The consumers perception of quality in electronics items
Conclusion:
This research was designed to observe the variations in consumer perceived quality from
word of mouth, brand image and country of origin in electronics goods. According to the
results of this study, it is concluded that the most part in responses were people with age
bracket of 21 to 30. The responses of this study was about male 76.2% and female 23.8%.
Word of mouth in our study is consider to be the first variable. The variable does have a
in some way people do get influenced under word of mouth when talking about quality of
a particular brand. This relationship between word of mouth and perceived quality might
The second variable of this study is brand image and this study tell us that its impact is
insignificant on consumer perceived quality. No matter how good or how bad brand
image a company might have it will not change consumers’ perception about the quality
that they have stored in their minds. Country of origin is the last variable of this study
which shows us that it does not have an impact on consumer perceived quality. The
consumer who are utilizing a electronic product of particular brand are unlikely to judge
the product quality by knowing where that product was made. This tell us that consumer
gives more preferences towards the actual experience that they encounter by using it and
These were the primary factors which we examined upon and reached a conclusion that
perceived quality depends on various variable yet we additionally learnt that there are
Limitations:
The scope of this research paper is not flawless and has a few limitations. Since only
convience sampling was used in this study having only a sample size of 200 respondents,
the respondents are from limited geographical region i.e. majority were students of Iqra
university. The consequences can only be summed up back to this sample only.
There might also be other issues such as lack of reliable data because of biased responses
provided in questionnaires or the questionnaires are might not up to the mark and are not
other variables or have make other industries, brands and/or products as a part of this
study.
Recommendations:
Further research can be more better carried by increasing sample size and by adding other
as possibly play a better role in the study. In conducting this study of electronics goods
improve if the research is diversify and data is collected from different states and
localities of Pakistan or going at global scale might be the best option to consider.
22
variable, there might be many other variables that we have missed out in this study and
might have done a better job in controlling the dependent variable, so for further research
it is better to have more than three independent variables this will not only increase the
amount of variables for more accuracy but might also provide more quality variables.
Basically the study was under electronics goods industry. Thus we can use any different
industry rather than electronic goods which might led us towards more good responses
Implications:
Nowadays consumers have become more quality aware due to exposure of local and
global media, for marketers it have become a genuine test to find the ways that enhance
buyers’ view of quality about their brands. Signals that can trigger their cognitive
memory into thinking in a positive manner about them? A solution to this inquiry would
allow firms to choose whether to put assets in product advancement (intrinsic cues) or in
marketing (extrinsic cues) for enhancing customers’ perception about quality. In light of
unlikely.
Despite the fact that sets of products with a similar brand name and labels were judged to
distinctions were solid in the customers' brains that they were capable to distinguish the
attributes that lead them to feel one was of prevalent quality. Marketers and
23
Manufacturers both can utilize this data to find which product features they must work on
in order to create better image in mind of customers and spotlight on conveying these
Discoveries also show us that different type consumers are unable to contrast qualities of
distinct products. There were no critical contrasts in view of the consumers’ gender their
opinions is based on the interactions and word of mouth of an electronic product that they
get from different individuals. Once more, this would recommend that marketers and
manufacturer must claims in view of product quality rather than investing their resources
on any promotional activity that will perhaps coordinate towards the person’s interest in