CONSUMER PREFERENCE FOR GOLDSTAR SHOES IN

KATHMANDU VALLEY

BY
Anusha Karki
Reg. No. : 7-2-25-206-2018
Symbol no: 21974/18

A Summer Project Report Submitted to

Faculty of Management, Tribhuvan University
In Partial Fulfillment of the requirements for the degree of

Bachelor in Business Administration

at the
Nepal Commerce Campus
Tribhuvan University

New Baneshwor
February 2023
 LETTER OF APPROVAL

This summer project entitled “Consumer Preference for Goldstar Shoes in Kathmandu
Valley” has been submitted by “Anusha karki” for the final examination to the Faculty of
Management, Tribhuvan University, in the partial fulfillment of the requirement for the
degree of Bachelor of Business Administration. The research committee of this campus
has found this summer project report satisfactory in scope and quality and has therefore
forwarded for examination.

………………………………………..

Assoc. Prof.

Chairman

BBA Research Committee

ii
 STUDENT DECLARATION

This is to certify that I have completed the Summer Project entitled “Consumer
Preference for Goldstar Shoes in Kathmandu Valley” under the guidance of “Dr.
Dhundi Raj Bhattarai” in partial fulfillment of the requirements for the degree of
Bachelor of Business Administration at Faculty of Management, Tribhuvan
University. This is my original work and I have not submitted it earlier elsewhere.

February Signature:

Anusha karki

iii
 CERTIFICATE FROM THE SUPERVISOR

This is to certify that the summer project entitled “Consumer Preference for Shoes in
Goldstar Kathmandu Valley " is an academic work done by “Anusha karki”
submitted in the partial fulfillment of the requirements for the degree of Bachelor of
Business Administration at Faculty of Management, Tribhuvan University under my
guidance and supervision. To the best of my knowledge, the information presented by
him in the summer project report has not been submitted earlier.

…………………………………..

Signature of the Supervisor

Dr. Dhundi Raj Bhattarai

Associate Professor

15th Feburary

iv
 ACKNOWLEDGEMENTS

I would like to express my deepest appreciation to all those who provided me the
possibility to complete this report. A special gratitude I’ll give to my supervisor, Dr.
Dhundi Raj Bhattarai, whose contribution in stimulating suggestions and
encouragement, helped me to coordinate my project especially in writing this report.

Furthermore, I would also like to acknowledge with much appreciation the crucial role
of the director who gave the permission to use all required equipment and the necessary
materials to complete the task. Special thanks go to my colleagues who helped me to
assemble the parts and gave suggestion about the task. Last but not least, many thanks
go to the formal as well as informal personalities who have invested their full effort in
guiding me in achieving the goal.

I would like to thank all my respondents for their valuable time and responses. And
also, sincere gratitude to Google docs and Microsoft word for helping in the preparation
of this report.

v
 Table of Contents

Title Page........................................................................................................................i

Letter of Approval..........................................................................................................ii

Student Declaration.......................................................................................................ii

Certificate From The Supervisor...................................................................................ii

Acknowledgements.........................................................................................................ii

List of Figures................................................................................................................ii

List of Tables..................................................................................................................ii

Executive Summary........................................................................................................ii

CHAPTER I: INTRODUCTION............................................................................2-6

1.1 Context Information.............................................................................................2

1.2 Purpose of the Study.............................................................................................2

1.3 Significance of Study...........................................................................................2

1.4 Literature Review.................................................................................................2

1.5 Research Methodology.........................................................................................2

1.5.1 Research Design............................................................................................2

1.5.2 The Study Population.....................................................................................2

1.5.3 Sample Size....................................................................................................2

1.5.4 Sampling Method...........................................................................................2

1.5.5 Sources of Data..............................................................................................2

1.5.6 Data Collection Instrument............................................................................2

1.5.7 Data Analysis Tools.......................................................................................2

CHAPTER II: DATA PRESENTATION AND ANALYSIS..............................2-20

vi
 2.1 Data Presentation & Analysis...............................................................................2

2.1.1 Data presentation based on Gender of Respondents......................................2

2.1.2 Data presentation based on Age Group of the Respondents..........................2

2.1.3 Data presentation based on Marital Status of Respondents...........................2

2.1.4 Data presentation based on Occupation of Respondents...............................2

2.1.5 Data presentation based on Frequency of Shoe Shopping.............................2

2.1.6 Data presentation based on Influencer of Footwear Shopping .....................2

2.1.7 Data presentation based on Brand Consciousness.........................................2

2.1.8 Data presentation based on Nepalese Vs Foreign Footwear..........................2

2.1.9 Data presentation based on Domestic Brands................................................2

2.1.10 Data presentation based on Decisive Factor for Buying Shikhar Footwear 2

2.1.11 Data presentation based on Types of Footwear Preferred...........................2

2.1.12 Data presentation based on Customer satisfaction......................................2

2.1.13 Data presentation based on Likert scale on Customers’ various Perspective2

2.2 Findings & Discussions........................................................................................2

CHAPTER III: CONCLUSION AND ACTION IMPLICATIONS..................2-24

3.1 Conclusion............................................................................................................2

3.2 Action Implications..............................................................................................2

References

Appendices

List of Figures

vii
Figure No. Title Page No.
2.1 Gender of Respondent 7
2.2 Age Group of Respondents 8
2.3 Marital Status of the Respondents 9
2.4 Occupation of Respondents 10
2.5 Frequency of Footwear Shopping 11
2.6 Influencers of Footwear Shopping 12
2.7 Brand Consciousness of Respondents 13
2.8 Nepalese Vs Foreign Footwear Buyer 13
2.9 Buyers preferring Domestic Brands 14
2.10 Decisive factors for buying Goldstar Footwear 15
2.11 Types of Footwear Preferred 16
2.22 Customer Satisfaction Level 17

viii
 List of Tables

Table No. Title Page No.

2.1 Likert scale based on Various Statements 18
2.2 SWOT Analysis 21

ix
 Executive Summary

The survey study on “Consumer Preference for Goldstar Shoes in Kathmandu

Valley” has been conducted to indicate factors affecting consumers shoe preference . It
is one of the oldest Brand of footwear. During the past couple of years, the Nepalese
footwear market has gone through a considerable transformation. Demand has
significantly changed, thus has consumer behaviour. Therefore, the aim of this study
was set to analyze the main aspects of consumer behaviour towards purchasing Goldstar
Shoes in the market. Furthermore, the major research was focused on exploring gender
and generational differences in purchasing behaviour and consequently examining the
current state of brand loyalty in the Nepalese footwear market. In order to achieve its
objectives the study gathered data from 150 respondents in Kathmandu Valley through
questionnaires. The data were analyzed through help of statistical package and excel
software. The research was based on a questionnaire, which has been distributed to
fashion and footwear lovers, several universities students, employees, business persons
in the Kathmandu Valley. The questionnaire was sent via Internet and Personal contact.
Results of the questionnaire showed very noticeable differences between women´s and
men´s attitudes toward shoe shopping. Although a vast majority of women stated a
strong positive relation toward footwear, men showed a significantly more moderate
attitude. The results also indicated that nowadays, young consumers purchase rationally
and carefully. It also indicated that quality, style, price, friends and culture as the major
factors influenced the consumers’ shoe preference. In addition, the result of the study
discovered that there is difference in preference depending on consumers’ age groups.

x
 CHAPTER I: INTRODUCTION

1.1 Context Information

Footwear refers to wearing things that people put on their feet for safety, pride or
fashion purpose. It includes shoes, boots, slippers, sandals etc. Many national and
international footwear brands with variety of options are available in the Nepalese
markets. The demand for the footwear among the Nepalese consumers is increasing
with the changing fashion and increasing purchasing power. At the same time the
domestic production capacity is also increasing in order to meet the demand from the
consumers. The producers estimates that over 5,00,00,000 pairs of Nepalese footwear
were produced yearly. Footwear Manufacturer’s Association of Nepal (FMAN)
envisions that by 2020 the annual Nepalese footwear production will increase up to 45
million to cover domestic market by 80% and export annual volume over 12 million
pairs with diverse destinations and increasing number of exporting companies which is
able to make narrowing trade deficit of footwear up to 60% in terms of volume and
240% in terms of value. At the same time, FMAN expects to increase employment
opportunity up to 120,000 employees and decrease dependency on Indian work force
from existing 30% to 10%.

In the recent years, the Nepalese Footwear Industries are getting more popular among
the peoples in the domestic market. Nepalese Footwear has becoming the first choice of
the people. With the rise in demand for the domestic footwear in the country, a many
more domestic footwear industries have been established in the country. As per the
small and cottage scale industries, there are 850 registered footwear industries in Nepal.
As per Footwear Manufacture’s Association of Nepal, there are more than 2000
footwear factories operating in the country including both registered and non-registered.
Among them, Goldstar Shoes Industry PVT LTD is a leading footwear industry of
Nepal. It was established in 1970 A.D. with its office in Maharajgunj . Nowadays, the
Company has more than 70 stores and more than 100 outlets over the country.
Currently, more than 3000 people are employed directly in five different operating
units in Kathmandu, producing more than 75000 pairs every day.

1
The industry was established as proprietorship firm in 1970 A.D. with its corporate
office & factory in Maharajgunj, Kathmandu, is now converted into Pvt LTD Company.
It has its factory in Dhumbarahi Marg . Goldstar Shoes Industry, with a history of more
than 17 years, is the No 1 footwear brand of Nepal on the basis of its goodwill, image &
sales amount in the country among the production units established in Nepal. The
market for Goldstar Shoes Industry is growing. According to the company, it is
producing 1500 shoes pair per day and have the production capacity of 5000 per day.
The industry producing only men’s leather shoes in the days of its establishment has
now started producing complete men’s wear as well as ladies sandal & shoes. Goldstar
Shoes Industry is only the shoes manufacturing industry in Nepal that is producing
shoes with the one of semi-automatic modern machine. The establishment is providing
employment to more than 4000 people directly or indirectly throughout the country.

1.2 Purpose of the Study

The main purpose of the study is to analyze the consumer preference towards Goldstar
Shoes in Kathmandu valley. The other specific objectives are as follows:

i. To analyze the footwear market for local footwear industries.

ii. To know the reasons behind increasing the demand for Goldstar Shoes.
iii. To know the consumers’ attitude towards the price, quality, durability, etc of
Goldstar Shoes.
iv. To look if there was a difference among the age groups in their preference.
v. To know the level of competitiveness of Goldstar Shoes both at national and
international level.
vi. To know the strengths and weaknesses of Goldstar Shoes.
vii. To know the challenges and opportunities of Goldstar Shoes.
viii. To measure the influence of internal and external environmental factors.

2
1.3 Significance of Study
The study of the research has following significances:

i. It helps the concerned company to identify the customer’s preference, taste, and
choice.
ii. It can also help marketing department to segment the market and implement
proper marketing strategies.
iii. It encourages concerned company to improve the product to meet the changing
demand of consumers.
iv. It awarness consumers to select the best product.
v. To serve as a reference material for both academicians and practitioners.
vi. To initiate other interested researchers to carry out more extensive studies in the
area.

1.4 Literature Review

The product purchase decision is not always done by the user. The buyer necessarily
purchases the product. Marketers must decide at whom to direct their promotional
efforts, the buyer or the user. They must identify the person who is most likely to
influence the decision. If the marketers understand customer behavior, they are able to
predict how customers are likely to react to various informational and environmental
cues, and are able to shape their marketing strategies accordingly (Kotler, 1994).

Schiffinan and Kanuk (2004) define customer’s behavior as the behavior that the
customers display in searching for purchasing, using, evaluating and disposing of
products and services that they expect will satisfy their needs. Customer buying
behavior incorporates the acts of individuals directly involve in obtaining, using and
disposing of economics goods and service including the decision process that precede
and determine these acts.

It is important for organizations to have an understanding of consumer behaviour and

purchasing habits in order to formulate a marketing strategy to target the relevant
3
groups (Solomon, 2007). Moreover, Solomon (2007) describes that each company is
oriented to a different segment of consumers and it is just necessary to choose a proper
approach, capable to attract and sustain desirable attention.

Furthermore, Solomon (2007) claims that people are also under influence by their
closest surrounding which includes friends, family, co-workers or classmates. A group
of people sharing the same interests may be also taken under consideration as a
potential influencing element. This person-specific group is called “reference group”
(Solomon, 2007, p.5). An individual, either knowingly or unconsciously, subordinates
his/her choices according to this group and often waiting for their approval (Solomon,
2007).

Despite all this information, Solomon (2007) points out that it is hard to state, what lead
customers to choose a particular brand. However, some rational explanations may be
found. Each person concentrates on a different aspect of a product. Sometime it is a
product’s appearance, attractive colour, extraordinary shape or exceptional quality.
Final choice reflects person’s desires and the inner feelings and highlights, how an
individual expresses him/herself in a public.

The disparities in the behaviour may come from cultural, gender, age, ethnic,
occupation or income differences but also customer´s interests and habits may play a
role in a decisions making process (Solomon, 2007). However, Solomon (2007) states
that in some cases similarities may be found within the category. On the other hand, he
agrees with Peter and Oslon (2010) who state that people´s buying behaviour,
preferences and desires are changing all the time so it is necessary to keep up and
constantly adjust marketing strategy.

4
1.5 Research Methodology
The methodology refers to the procedural framework within which the research is
conducted. This section shows how the research was conducted. It includes how data
was collected, what instruments were employed, how the instruments were used and the
intended means for analyzing data collected. This section is made up of the following:

1.5.1 Research Design

In this research, Descriptive research design is used. Descriptive research designs help
to provide answers to the questions of who, what, when, where, and how associated
with a particular research problem; a descriptive study cannot conclusively ascertain
answers to why. Descriptive research is used to obtain information concerning the
current status of the phenomena and to describe "what exists" with respect to variables
or conditions in a situation.

1.5.2 The Study Population

Entire consumers of Goldstar Shoes of different age group are population for the study.
It includes all the population demography for the data collection. The questionnaires are
distributed to students, employees, business persons, aged persons and other
professionals. I provide online as well as printed questionnaires to above demographic
population because these population groups are the major buyer of Goldstar Shoes.

1.5.3 Sample Size

All the consumers of Goldstar Shoes in Kathmandu Valley of different age group were
taken as sample for the study. A sample of 150 consumers is taken for the study.

1.5.4 Sampling Method

Under this study non probability sampling method i.e. convenience sampling is used as
samples. It is taken as per my convenience. I used random sampling. In simple random
sampling each member of population is equally likely to be chosen as part of the sample

5
1.5.5 Sources of Data
Both primary and secondary sources of data were collected for the study in this research
project. The findings of research are based upon the primary survey. The data was
collected by formulating a set of questionnaire and the well designed questionnaire was
distributed to the respondents. So the findings are totally based on the data and facts
provided by the sampled respondents. The secondary data was also used from various
sources such as internet, books newspapers, journals, articles so that it would be easy to
formulate research problems and research questions.

1.5.6 Data Collection Instrument

Data collection instruments are the tools for collecting data. In this research,
Questionnaire, Interview, Observation, reading articles and magazines and others were
used to collect data. The help of Google Docs is also taken for the purpose distributing
questionnaire and collecting responses through Internet. The most reliable instrument
will be used according situation and necessity.

1.5.7 Data Analysis Tools

The statistical tools such as Percentage, Tables, Central tendency, Bar-diagram and Pie
charts are used for the analysis of the data. The help of Computer Software, Microsoft
Excel, is taken for creating charts, diagram, tables, etc.

6
 CHAPTER II: DATA PRESENTATION AND ANALYSIS

This section includes data presentation and analysis in order to find out the facts and
figures about the consumers’ behaviour and attitudes towards Goldstar Shoes in
Kathmandu. The analysis is done on basis of data which were collected through the
questionnaire filled by respondents using Goldstar Shoes Footwear. The data are
presented with tables, charts and diagrams to make it easier to interpret. This chapter is
divided in Data Presentation & Analysis, Findings & Discussion and SWOT Analysis.

2.1 Data Presentation & Analysis

After collecting data from respondents, different statistical tools were used to present
and analyze the data. The result was based on responses given by 150 numbers of
respondents. The result was presented in frequency tables, bar and pie charts as follows:

2.1.1 Data presentation based on Gender of Respondents

Gender of Respondents

55; 37%
Male
Female

95; 63%

Figure 2.1 Gender of Respondent

The figure 2.1 shows that out of 150 respondents, 63 percent or 95 numbers of
respondents are male and 37 percent or 55 numbers of respondents are female. The
number of male respondents is higher than the number of female respondents. It may
exhibit that male respondents prefer Goldstar Shoes than female respondents

7
2.1.2 Data presentation based on Age Group of the Respondents

Age Group of Respondents

N 40 37
o 35
o 30 29
f
25
R 21
e 20 18 Male
s
p 15 14 Female
o 12 11
n 10 8
d
e 5
n
t 0
s 15-25 25-35 35-45 Above 45
Age Group

Figure 2.2 Age Group of Respondents

In the above figure 2.2, it shows that the Goldstar Shoes are more popular in between
the age group of 25-35 age groups of respondents. Among 150 respondents 58
respondents lies between the age group 25-35. Among this group 37 are male
respondents and 21 are female respondents. This is followed by age group of 15-25 age
groups where 43 respondents fall. Among them 29 are male respondents and 14 are
female respondents. After that 35-45 age group and above 45 age group prefer Goldstar
Shoes where 30 ( 18 males and 12 females) and 19 (11 males and 8 females)
respondents fall respectively. So, we can conclude that the younger generations prefer
Goldstar Shoes than other age group.

8
2.1.3 Data presentation based on Marital Status of Respondents

Marital Status of Respondents

Married
70; 47%
Single

80; 53%

Figure 2.3 Marital Status of the Respondents

The figure 2.3 presents that 53 percent or 80 numbers of respondents are married and 47
percent or 70 numbers of respondents are single. It shows that married respondents
prefer Goldstar Shoes comparatively more than single one. It is because most of the
married respondents lie in the age group of 35-45 and above 45 age groups.
Undoubtedly, this increases the number of married respondents. And most of the
unmarried respondents lie in the age group of 15-25 age groups. The age group 25-35
consists of both single and married respondents.

9
2.1.4 Data presentation based on Occupation of Respondents

Occupation of Respondents
35
31
30
N 27
o
25
o 23
f 22
20
R 20
e Male
s
p 14 Female
15
o
n
d
e 10
8
n
t 5
s 5

0
Students Employee Business Others
Occupation

Figure 2.4 Occupation of Respondents

The figure 2.4 reveals that the most of the respondents are employees i.e., 53
respondents are employees in which 31 are males and 22 are females. The next big
number of respondents consists of students in which 27 are males and 20 are females.
And this is followed by business and others respectively. Others include respondents of
agricultural sector, sports sector, labors etc. The Footwear preference is more popular in
formal occupations than informal occupations. So, it suggests that a company should
give more priority towards the employees & students for their marketing strategy. The
finding also showed that male respondents of different occupations are using Goldstar
Shoes than female. It is due to large number of male respondents in sample taken.

10
2.1.5 Data presentation based on Frequency of Shoe Shopping

Frequency of Footwear Shopping

8
Once a year
26

12
Once every six months
28

16
Once every three months Female
22
Male
12
Once a month
15

7
More than once a month
4

0 5 10 15 20 25 30
No. of Respondents

Figure 2.5 Frequency of Footwear Shopping

The above figure 2.5 shows the frequency of Footwear Shopping done by respondents.
It shows that number of female respondents who do Footwear shopping more than once
a month is more than that of male respondents. The number of male respondents who do
Footwear shopping once a month is 15 and female respondents are 12. Similarly, the
number of male respondents who purchase footwear once every three months is 22 and
that of female is 16. Up to three months the number of both male and female purchaser
is increasing. After that, the number of male respondent who do Footwear shopping is
28 but the number of female respondent is decreasing i.e., the number of female
respondents is 12. And the number of male respondents who do shopping for footwear
once a year is 26 and that of female is only 8. From this, we conclude that female
respondents do Shopping for Footwear more frequently than that of male respondents.

11
2.1.6 Data presentation based on Influencer of Footwear Shopping

Influencer of Footwear Shopping

4
Others
14

18
Friends
16
Female
8
Colleagues Male
14

12
Family
22

18
Myself
24

0 5 10 15 20 25 30
No. of Respondents

Figure 2.6 Influencers of Footwear Shopping

The above figure 2.6 shows the influencers who influence respondents to do Footwear
Shopping. It shows that most of the respondents, both male and female, are influenced
by themselves to buy footwear. After that, most of the respondents are influenced by
their friends. In this case female respondents are more influenced by their friends than
that of male respondents. The number of female respondents influenced by their friends
is 18 and that of male is 16. After friends, respondents are influenced by their family
members. In this case male respondents are more influenced by their family members
than that of female respondents. The number of male respondents influenced by their
family members is 22 and that of female is 12. The next influencers are their colleagues
who influence 14 male respondents and 8 female respondents. And the last others
include relatives, advertisement, discounts etc. It includes 14 male respondents and 4
female respondents.

12
2.1.7 Data presentation based on Brand Consciousness

Brand Consciousness

60; 40% Brand Consious

Brand Unconsious

90; 60%

Figure 2.7 Brand Consciousness of Respondents

The above figure 2.7 represents the brand consciousness of respondents. It shows that
60% of respondents are brand conscious towards their footwear brands and 40% of the
respondents are seemed to be brand unconscious.

2.1.8 Data presentation based on Nepalese Vs Foreign Footwear

Nepalese Vs Foreign Footwear

32%

Nepalese Footwear
Foreign Footwear

68%

Figure 2.8 Nepalese Vs Foreign Footwear Buyer

The above figure 2.8 represents the respondents who buy Nepalese and Foreign
Footwear. 68% of the footwear buyers buy Nepalese Footwear and 32% of buyers buy
are Foreign Footwear. This is based on primary as well as secondary data.

13
2.1.9 Data presentation based on Domestic Brands

Buyers of Domestic Brands

40%

37% 38%
35%

30%

25%

20%

15%

10% 12%

5% 7% 6%

0%
Shikhar Shoes Goldstar Shoes Run Shoes Magic Footwear Others

Figure 2.9 Buyers preferring Domestic Brands

The above figure 2.9 represents the buyers who prefer domestic footwear. Among the
buyers who purchase Nepalese Footwear prefer various domestic footwear brands.
About 38% of Nepalese Footwear buyers prefer Goldstar Shoes which is slightly greater
than buyer of Shikhar Shoes whose buyers are 37%. Shikhar Shoes seems to be the
most challenging competitor to the Goldstar Shoes. After Goldstar Shoes and Shikhar
Shoes, most of the buyers prefer to Run Shoes which includes 12% of Nepalese
Footwear buyers. It is followed by Magic Footwear having 7% of Nepalese Footwear
buyers. At last Others which includes regional shoes, handmade shoes, and other
unrecognized brands have overall 6% of the Nepalese Footwear buyers. This presented
figure is based on various primary as well secondary sources of data. From given data,
we can conclude that Goldstar Shoes and Shikhar Shoes are the top leading Footwear
Brand in the Nepalese footwear market. Both are challenging rival for each other.

14
2.1.10 Data presentation based on Decisive Factor for Buying Goldstar Footwear

Decisive Factor for Buying Footwear

30%
26%
25%
22%
20% 18%
16%
15%

10%
10% 8%

5%

0%
Price Quality Unique Style Brand Comfort Others

Figure 2.10 Decisive factors for buying Goldstar Footwear

The above figure 2.10 represents the decisive factors which stimulates the demand for
the Goldstar Footwear. In the diagram, we can see that the most stimulating or decisive
factor for buying Goldstar Footwear is its Quality. About 26% of the participants
respond Quality as a main decisive factor for buying Goldstar Footwear. The second
most decisive factor is its unique style which is selected by 22% of the respondents. As
most of the younger generations prefer Goldstar Footwear so does the unique style
became another important decisive factor. This is followed by Brand, Comfort, Price
and Others which cover 18%, 16%, 10% and 8% respectively. Most of the customers or
respondents are Brand Conscious so Brand became the third most decisive factor and
then after Comfortability of the Goldstar Footwear. The Price seemed to be high due to
which it covers only 10%. And Others include advertisement, friends & colleagues, etc
which covers only 8%.

15
2.1.11 Data presentation based on Types of Footwear Preferred

Types of Footwear Preferred

45%
40%
40%

35%

30% 28%

25%
22%
20%

15%
10%
10%

5%

0%
Formal Casual Sports Others

Figure 2.11 Types of Footwear Preferred

The above figure 2.11 represents the types of Goldstar Footwear preferred by the
respondents. It shows that 40% of respondents preferred Formal Footwear. This is
because most of the respondents are Employees and Students. Formal Footwear mainly
includes Party Shoes. This is followed by 28% of the respondents who preferred Casual
Footwear. The main reason behind this is that most of the respondents are young
generations who like unique styles and branded footwear. After Formal and Casual
Footwear, 22% of respondents prefer Sports Shoes. It is because of its comfortability
and durability features. The remaining 10% others include Slippers, Sandals, Boots, etc.

16
2.1.12 Data presentation based on Customer satisfaction

Customer Satisfaction

35%

Satisfied
Dissatisfied

65%

Figure 2.12 Customer Satisfaction Level

This figure 2.12 represents the satisfaction level of respondents towards the Goldstar
Shoes. 65% of the respondents are satisfied with Goldstar Shoes. It is because of its
various features like Unique style, Quality, Comfortability, Durability, etc. And at the
same it is suitable for both gender and all age groups from child to old age people. The
variety of option for the footwear products which includes Party Shoes, Casual Shoes,
Sandals, Slippers, Boots etc help Goldstar Shoes to gain a high customer loyalty and
customer satisfaction. On the other hand, 35% of the respondents are dissatisfied. The
main reason behind customer dissatisfaction is Price of the products. Its price is
comparatively lower than its competitor i.e., shikhar Shoes.

17
2.1.13 Data presentation based on Likert scale on Customers’ various Perspective

Particulars Strongly Agree Neutral Disagree Strongly Total

Agree Disagree
Price of Goldstar 13% 15% 24% 26% 22% 100%
Shoes is lower
than others
I feel the Goldstar 26% 24% 22% 16% 12% 100%
Shoes is superior
in Quality
Goldstar Shoes 22% 18% 28% 18% 14% 100%
are more
comfortable than
others
Goldstar Shoes 24% 26% 22% 18% 10% 100%
are more stylish
than others
Goldstar Shoes is 20% 24% 28% 16% 12% 100%
getting popular in
the market

Table 2.1 Likert scale based on Various Statements

The table 2.1 shows that majority of the respondents have positive view about the
Goldstar Shoes except in the case of its price. Regarding the statement “Price of
Goldstar Shoes is lower than others”, among 150 numbers of respondents, only 13
percent of respondents have given their statement as Strongly Agree, 15 percent respond
as Agree, 24 percent respond as Neutral, 26 percent respond as Disagree and 22
percent as Strongly Disagree. Most of the respondents have opposite view regarding the
given statement.

18
On the other side, if we consider the statement “I feel the Goldstar Shoes is superior in
Quality”, among 150 numbers of respondents, 26 percent of respondents have given
their statement as Strongly Agree, 24 percent respond as Agree, 22 percent respond as
Neutral, 16 percent respond as Disagree and 12 percent as Strongly Disagree. Only few
respondents have opposite view regarding the given statement. From this, we can
analyze the Goldstar Shoes as superior than others.

Similarly, regarding the statement “Goldstar Shoes are more comfortable than others”,
among 150 numbers of respondents, 22 percent of respondents have given their
statement as Strongly Agree, 18 percent respond as Agree, 28 percent respond as
Neutral, 18 percent respond as Disagree and 14 percent as Strongly Disagree. Equal and
neutral types of responses are given regarding the given statements. But number of
agreed respondents is greater than that of disagreed respondents. And we can analyze
that respondents feel comfortable according to their size and purchased footwear.

Again, regarding the statement “Goldstar Shoes are more stylish than others”, among
150 numbers of respondents, 24 percent of respondents have given their statement as
Strongly Agree, 26 percent respond as Agree, 22 percent respond as Neutral, 18 percent
respond as Disagree and 10 percent as Strongly Disagree. About half of the respondents
are agreed the given statement. Due to its unique style most of the young generation
respondents supports the view that Goldstar Shoes are more stylish than that of any
others.

Regarding the statement “Goldstar Shoes is getting popular in the market”, among 150
numbers of respondents, 20 percent of respondents have given their statement as
Strongly Agree, 24 percent respond as Agree, 28 percent respond as Neutral, 16 percent
respond as Disagree and 12 percent as Strongly Disagree. It shows the popularity of
Goldstar Shoes in the market, and also its brand power which stimulates the demand in
the market that help in competing with its rival.

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2.2 Findings & Discussions
Major findings of the study are as follows:

 Out of 150 respondents, 95 numbers of respondents are male and 55 numbers of

respondents are female. It shows that majority of respondents are male
 Young generations prefer Goldstar Shoes than other age group. Among 150
respondents, more than 100 respondents lie between the age group of 25-35 and
15-25.
 Married respondents prefer Goldstar Shoes than single one. Out of 150
respondents, 80 numbers of respondents are married and 70 numbers of
respondents are single.
 Goldstar Shoes is popular among employees and students which include 100
respondents.
 Female respondents do Shopping for Footwear more frequently than that of male
respondents.
 Most of the respondents are influenced by themselves for shopping followed by
family & friends.
 Majority of respondents prefer Nepalese Footwear which include Goldstar
Shoes, Shikhar Shoes, Run Shoes, Magic Footwear, etc. And 60 percent of
respondents are Brand conscious.
 Majority of the respondents prefer Formal Footwear as many of the respondents
are employees and students. And also, Casual Footwear is preferred because of
young generation respondents.
 Majority of respondents consider Quality as primary factor for purchasing
Goldstar Shoes. Some of them also consider Design and comfortability as their
primary factor.
 Most of the respondents are satisfied with Goldstar Shoes and those who are
dissatisfied are due to its high price.

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SWOT Analysis

SWOT analysis is a tool to analyze the business environment of an organization. The

acronym SWOT stands for Strengths, Weaknesses, Opportunities, and Threats. It is
performed to identify the company’s internal strengths and weaknesses as well as its
external opportunities and possible threats. Strengths and weaknesses are considered as
internal factors over which company has some measures of control whereas
opportunities and threats are considered as external factors over which company has no
control. Using collected data to evaluate the position of a company, a SWOT analysis
determines what assists the firm in accomplishing its objectives, and what obstacles
must be overcome or minimized to achieve desired results.

The SWOT Analysis of Goldstar Shoes is shown in the table presented below:

Strengths Weaknesses
 High product quality and good  High price
 Lack of awarness about products
fame
 Brand Name
 Customer Loyalty
 Good knowledge of the market

Opportunities Threats
 Nepalese people are increasing  Mass imports from China of
their spending on clothing and footwear in low prices
footwear  New competitors
 Increasing demand for the
footwear

Table 2.2 SWOT Analysis

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Strengths

Strengths describe what an organization excels at and separate it from the competition:

things like a strong brand, loyal customer base, unique technology and so on. The
company has a good fame in the Nepalese market for the high quality of its products
which helps the company to built Brand Image. It is experienced in the production of
shoes since 2052 BS and has a good knowledge of the market and it can easily adapt to
the market needs.

Weaknesses

Weaknesses stop an organization from performing at its optimum level. They are areas
where the business needs to improve to remain competitive
A weakness of the company is the high prices of the products. Though, the brand name
of the company can justify higher prices. The company’s high prices are due to the
superior quality of the materials and the production costs.

Opportunities

Opportunities refer to favorable external factors that an organization can use to give it

a competitive advantage. Nepalese show a significant interest for clothing and footwear
and their spending on these is continuously increasing. Thus, the market demand for
footwear increases and the market share of the company is expected to increase.

Threats

Threats refer to unfavorable external factors that have potential harm to an organization.
Mass imports from China of footwear in low prices which cannot be competed. The
quality is not good, but prices are very low. Consumers buy these products and they are
sold in big quantities. In addition, the competitor, Goldstar, also posses as threats to the
company. Although this is an indication of the potential of the market, this competitor
had taken a slightly greater market share.

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 CHAPTER III: CONCLUSION AND ACTION IMPLICATIONS

3.1 Conclusion
According to the results of this study, we conclude that there are many factors
influencing consumer behaviour. When it comes to gender, age, family or work
occupations, all of these elements significantly affect consumer´s everyday purchasing
decisions. The results of the research indicated that people from the age group of 15 to
35 prefer formal and casual footwear who are students and employees. The study found
out that females tend to buy footwear more frequently than males.

The study concludes that the footwear industry in Nepal is expanding at an incredible
rate. Domestic brands like Shikhar Shoes, Goldstar Shoes, Run Shoes, and Magic
Footwear are popular among lower income and middle-income groups, while the high-
income level customers prefer the international brands like Woodland, Nike, Reebok,
Adidas, and Puma. There has been a variety in the shoes like Sportswear, Casual wear
and Formal shoes. Youths are aware of many brands of shoes.

The study findings indicated that among other factors quality, style and comfortability,
were a reasons for the majority of respondents shoe choice. Thus, product quality, style
and comfortability were considerably important basis for the consumers’ choice for
Goldstar Shoes in market. Unique, customized footwear may change current rules of
competition in the footwear market and concurrently offer a completely different
enjoyment of walking. Majority of the respondents were Brand Conscious and are loyal
to some specific brands.

The study has presented information on the consumer’s satisfaction towards the
Goldstar Shoes. We can conclude by this research that majority percentage of
respondents is satisfied with the products offer by the Goldstar Shoes. However, there
are also some critics who are not satisfied with the products offer by the company.

23
3.2 Action Implications
The findings of the research had shown that the product of Goldstar Shoes is getting
among the customers in the market. The most satisfied and regular customers are youth
people. So the company should develop appropriate marketing mix tools to attract
potential customers as well as retain actual customers. Students and Employees prefer
formal shoes. This requires the company to focus on the formal shoes for students and
employees. Female customers frequently do the shoe shopping than male customers so
to satisfy them stylish and unique design should be developed. Similarly, to attract low-
income level people, special offers and discount package should be introduced. Many
customers are favoring Goldstar Shoes due to its Quality. So, the company should
continuously focus on maintain and improving its quality in order to gain competitive
advantage. Competitors are posing threats to the company. The footwear company,
Goldstar, is leading the market, and at the same time, foreign footwear brand also poses
threats. In order to lead the competition, the company should adjust its prices because
some of the customers are dissatisfied with the company due to its price.

Furthermore, this study of this report will help all stakeholders: shoe retailers,
wholesalers, manufacturers, and consumers by indicating the current actual status of
Goldstar Shoes in the market in terms of consumers’ preference, pointed out potential
areas which need improvement and recommendations were forwarded in order to tackle
the problems identified. It will help the company to identify the customer’s preference,
taste, and choice which help marketing department to segment the market and
implement proper marketing strategies. It will serve as a reference material for both
academicians and practitioners. Moreover, it will also encourage others a potential area
for further study in a broader scope and wider context.

24
 REFERENCES
Books References

Kotler, P. (1994). Marketing Management: Analysis, Planning, Implementation, and

Control (8th ed.). Upper Saddle River, NJ: Prentice Hall.

Schiffman, L. G., Kanuk, L. L. (2004). Consumer behaviour (8th ed.). Upper Saddle
River, NJ: Prentice Hall.

Solomon, M. R. (2007). Consumer behaviour : a European perspective (3rd ed.).

Harlow, England: Pearson Education Limited.

Solomon, M. R. (2010). Consumer behaviour : a European perspective (4th ed).

Harlow, England: Pearson Education Limited.

Peter, J. P. and Oslon, J. C. (2010).Consumer behaviour & marketing strategy (9th ed.).
Boston : McGraw-Hill.

Web References http

https://www.goldstarshoes.com/

http://www.fman.org.np/overview.php

https://thehimalayantimes.com/business/brands/made-in-nepal/

https://glocalkhabar.com/business/b-national/domestic-footwear-industry-flourishes/

25
 APPENDICES
Appendix A. Survey Questionnaire

Dear Participant,
I would like to inform you that as a part of summer project work I am undertaking an
academic research on the topic of Consumer Preference for Goldstar Shoes in
Kathmandu Valley, for the partial fulfillment of Bachelor of Business
Administration degree from Tribhuvan University. I will appreciate if you could fulfill
the following questionnaire. Any information obtained in connection with this study
that can be identified with you will remain confidential. Finally, I would like to thank
you very much for your cooperation and sparing your valuable time for my request.
Indicate your response by putting a tick ( ) in the provided box.

1. Name: - ………………………………………………………………..

2. Gender
Male Female

3. Age
15-25 25-35
35-45 Above 45

4. Marital Status
Married Unmarried

5. Occupation
Student Employee

Business Others
6. How often do you buy new footwear?
 More than once a month

Once a month

Once every three months

Once every six months

Once a year

7. Who influences you to go shoe shopping?

Myself Family
Colleagues Friends
Other

8. Are you Brand conscious?

Yes No

9. Do you buy Nepalese footwear?

Yes No

10. If you buy Nepalese Footwear, which Brand’s footwear do you buy?
Goldstar Shoes Shikhar Shoes
Run Shoes Magic Footwear
Others

11. If you buy Goldstar Shoes then what is/are decisive factor/s while buying
Goldstar Shoes? (Select Max. 2)
Price Quality
Unique style Brand
Comfort Others

12. What are different types of Goldstar Shoes you buy?

 Formal Causal
Sport Others

13. Are you satisfied with Goldstar Shoes?

Yes No

14. To what extend do you agree or disagree regarding the following statements.
Particulars Strongly Agree Neutral Disagree Strongly
Agree Disagree
Price of Goldstar Shoes
is lower than others

I feel the Goldstar

Shoes is superior in
Quality
Goldstar Shoes are
more comfortable than
others
Goldstar Shoes are
more stylish than others

Goldstar Shoes is
getting popular in the
market