CHAPTER I

INTRODUCTION
1.1 Background of the Study
Consumers' buying behavior is divergent and situational. For durable products, such
behavior got different dimensions again. To make the study simple and informative,
color television is used to represent the consumer durable markets. Television, as a
product, is getting the status of essential commodity all over the world. The potential
of TV market is indeed quite enormous. The Nepalese consumers were indifferent in
choosing the brand since a lot of close substitutes were available in the market.
However, they have changed ever since the Nepal liberalized its economy. Choosing
the right brand of television is difficult enough when there were half a dozen brands
and all of these claimed to give excellent picture quality. Marketing managers are
interested not only in the product but also the behavior of the consumers because it
gives them the right orientations for product development and positioning. The level
of consumer's satisfaction provides the scope for repeated purchases and brand loyalty
that lead to optimum profitability. This research finds that consumers' perception on
buying color television is mostly affected by the factors, such as, structural add-ons,
words of mouth, technical features, durability, ground reality etc.

Consumer is nerve centre of the modern marketing, understanding his behavior is

quite essential for efficient and effective marketing management. Customers may
state their needs, wants but act otherwise. They may not be in touch with their deeper
motivations. Nepalese consumer market is riding the crest of the country‟s economic
boom. Driven by a young population with access to disposable incomes and easy
finance options, the consumer market has been throwing up staggering figures.
Marketing problem enhancing from the consumers‟ behavior has a greater degree of
similarity behavioral problems relating to the consumer durables.

1.2 Profile of the Nike Footwear

Nike is a revive of the old brand Nike. The demand for the Nike has increased and the
manufacturers started working on such products to increase their profit. Such products

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are the exact copy of the original product with a slight difference which normal
people (those who do not have the experience of the original brand) could not figure
out. Therefore, Nike are the ones which have the same features or are slightly
different from the original products or the branded products (Eisend & Schuchert-
Guler, 2006). The goods that provide the sense of originality are known as or
prestigious goods believe that these products can be distinguished by their dimensions
such as uniqueness, exclusiveness, expression and quality.

Nepal has been the market with full of Nike that are sold in an open market. The
products that we found in the market are even sold stating that they are high copy of
the products. Any products that are introduced in an international Market are
immediately copied through the different producer and then imported in Nepal as a
copy of the products.

1.2.1 Statement of the Problem

Nepal has been the market with full of Low Price Products that are sold in an open
market. The products that we found in the market are even sold stating that they are
high copy of the products. Any products that are introduced in an international Market
are immediately copied through the Chinese producer and then imported in Nepal as a
copy of the products. By doing so, the genuine products are getting a negative impact.
There has been no. of company that are doing business by establishing their official
store which has been damaged by the Low Price Products that are easily available in
the local market. Hence this study will try to analyze how customer perceived about
the Low Price Products.

 How Low Price Products determine the perception of customer against the
High Price Products?
 What are factors which affect the buying behavior of the consumer towards
Low Price Products?

1.3 Objectives of the study

The main objective of the study aims at partial fulfillment of the requirement of the
BBS level. Other major objectives of the study are as following:

 To determine the perception about the Nike against the original products.

2
 To analyze the factors which affect the buying behavior of the consumer towards
Nike.

1.4 Rationale of the Study

It can provide platform for the further study regarding perception of customer towards

1. The finding and the recommendation can be useful for the other researchers and
organizations. It can help media and policy makers to adopt better strategies.

1.5 Review of Literature

1.5.1 Conceptual Review

To gain a wider perspective and deeper understanding of the term brand, we used also
other sources of information outside of scientific articles and books. According to
Welingkar Institute of Management Development and Research, a brand is a promise
to the buyer of a product of a certain amount of benefits, services or attributes.
WIMDR says brand to reflect in four different ways. First, it reflects to values, such
as Tata that stands for quality. Second, it reflects to culture, for example Coca- Cola
as an icon of American culture. Third, brand reflects to personality, for example
Charlie Chaplin as a person and fourth, it reflects to user, many sports lovers like
Ferrari cars, for instance. American Society of Interior Designers defines brand as a
competitive business strategy, and Marketing MO, which is a marketing agency that
delivers integrated marketing services for mid-size companies, describes brand to be
more than company‟s logo, name or slogan. Marketing MO defines brand as the
whole experience of its prospects and customers in relation to company produce or
service

Consumer behavior or buyer behavior has attained increasing importance in a

consumer oriented marketing planning and management. The study of consumer
behavior is an attempt to understand what the consumer want, why they want. Clear
understanding of the buying behavior of consumer has become a great necessity in
modern marketing system, because success or failure ultimately depends upon the
buying behavior of the target customers considered individually or a group.
Therefore in order to undertake the marketing programmed among different segment
markets, the marketing management must find out the various factors that influences
in buying decisions of the consumer. The subject of buying behaviuor is relatively a

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new discipline of the study of marketing. It has now become the central topic of
modern marketing since the ultimate aim of marketing is consumer satisfaction and
profit making.
Consumer behavior can be defined as “the decision-making process and physical
activity involved in acquiring, evaluating, using and disposing of goods and services”.
According to Webster, “Buying behavior is all psychological, social and physical
behavior of potential customer as they become aware of evaluate purchase consume
and tell other people about the product and services. In other words of Walter and
Paul, “consumer behavior is the process whereby individual decide what, when, how
and from where to purchase goods and service”. Thus the buyer behavior may be
defined as that behavior exhibited by people in planning, purchasing and using
economic goods and service in the satisfaction of their wants.
Characteristics of Buyer Behavior
→ Buyer behavior comprise mental and physical activates of a buyer when he
wants to buy goods and service to satisfy his needs
→ It includes both visible and invisible of buyer. The visible activates refer to
physical activity like actually going to the market place, buying the product
and consuming them. The invisible activates on the other hand, refer to mental
activates like thinking about the product, deciding to buy or not to buy that
product, to buy one brand instead of another etc
→ Buyer behavior
→ is very complex and dynamic also. it is constantly changing requiring the
marketing management fails to make such adjustments , it would certainly lose
it market
→ An individual buying behavior is also influenced by internal factors such as
needs, habits, instincts, motives, attitudes etc and also by outside or
environmental factors such as family, social, groups, culture, status, positions,
economic and business conditions.
In narrow sense consumer behavior is the act when he is engaged in buying and
consuming a good or a service.
After the consumer has actually purchased the products / brand, he will be satisfied or
dissatisfied with it. This satisfaction or dissatisfaction will result in certain
consequences. If he is satisfied with the product, he would regularly buy the brand
and develop a loyalty. If he is dissatisfied with the product he may stop buying more
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products of that brand and may also spread bad words about the brand. This negative
feeling which arises after purchase causing inner tension is known as cognitive
dissonance. A marketer therefore, understands the correct buying process of
customers and decides on marketing activities accordingly rather than by their income
alone. The social class is based on income, education, occupation, family history and
social status. Sociologists divide most societies into three classes-upper, middle, and
lower. Shopping pattern, savings, spending habit and leisure time activities differ in
different social classes. The upper class buys products of high quality irrespective of
price. Middle class buys items to show their status in the society.

Technology/Quality:
Consumer durables are technology driven. The latest models, innovative features and
improved performance levels are a definite attraction for the customer. The
consumer's choice today depends on the premium quality and technology provided;
Style: As most of the consumer durables are now a part of kitchen or drawing room
furniture, reflecting tastes and lifestyles, the external features play an important role in
purchases. The style of durables is turning into a big purchase influencer; Brand
Image: The perception of the consumer about the brand name is becoming critical on
account of the huge investment made in buying a consumer durable and its durable
nature. With the fast approaching disparity in both technology and prices, brand
image is becoming a key purchase influencer; Price: The market has been very price-
sensitive in the past. The intensity has increased as one moved down from the
premium segment to the mass consumption range. However, of late consumers have
started showing an inclination to buy medium price range products as opposed to low
priced products. The consumer is becoming more sophisticated and beginning to
recognize the value of premium quality; After Sales Service: As more and more
brands of consumer
Consumer behavior can be broadly classified as the decisions and actions that
influence the purchasing behavior of a consumer. What drives consumers to choose a
particular product with respect to others is a question which is often analyzed and
studied by marketers. Most of the selection process involved in purchasing is based on
emotions and reasoning. The study of consumer behavior not only helps to understand
the past but even predict the future. The below underlined factors pertaining to the

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tendencies, attitude and priorities of people must be given due importance to have a
fairly good understanding of the purchasing patterns of consumers

Marketing Campaigns
Advertisement plays a greater role in influencing the purchasing decisions made by
consumers. They are even known to bring about a great shift in market shares of
competitive industries by influencing the purchasing decisions of consumers. The
Marketing campaigns done on regular basis can influence the consumer purchasing
decision to such an extent that they may opt for one brand over another or indulge in
indulgent or frivolous shopping. Marketing campaigns if undertaken at regular
intervals even help to remind consumers to shop for not so exciting products such as
health products or insurance policies.

Economic Conditions
Consumer spending decisions are known to be greatly influenced by the economic
situation prevailing in the market. This holds true especially for purchases made of
vehicles, houses and other household appliances. A positive economic environment is
known to make consumers more confident and willing to indulge in purchases
irrespective of their personal financial liabilities.

Personal Preferences
At the personal level, consumer behavior is influenced by various shades of likes,
dislikes, priorities, morals and values. In certain dynamic industries such as fashion,
food and personal care, the personal view and opinion of the consumer pertaining to
style and fun can become the dominant influencing factor. Though advertisement can
help in influencing these factors to some extent, the personal consumer likes and
dislikes exert greater influence on the end purchase made by a consumer.

Group Influence
Group influence is also seen to affect the decisions made by a consumer. The primary
influential group consisting of family members, classmates, immediate relatives and
the secondary influential group consisting of neighbors and acquaintances are seen
have greater influence on the purchasing decisions of a consumer. Say for instance,

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the mass liking for fast food over home cooked food or the craze for the SUV‟s
against small utility vehicle are glaring examples of the same.

Purchasing Power
Purchasing power of a consumer plays an important role in influencing the consumer
behavior. The consumers generally analyze their purchasing capacity before making a
decision to buy and products or services. The product may be excellent, but if it fails
to meet the buyers purchasing ability, it will have high impact on it its sales.
Segmenting consumers based on their buying capacity would help in determining
eligible consumers to achieve better results.

Product attributes-benefits for durables

The criteria which a buyer employs during information search and when selecting a
consumer durable have generally the following attributes: Product
Technology/Quality: Consumer durables are technology driven. The latest models,
innovative features and improved performance levels are a definite attraction for the
customer. The consumer‟s choice today depends on the premium quality and
technology provided; Style: As most of the consumer durables are now a part of
kitchen or drawing room furniture, reflecting tastes and lifestyles, the external
features play an important role in purchases. The style of durables is turning into a big
purchase influencer; Brand Image: The perception of the consumer about the brand
name is becoming critical on account of the huge investment made in buying a
consumer durable and its durable nature. With the fast approaching disparity in both
technology and prices, brand image is becoming a key purchase influencer; Price: The
market has been very price-sensitive in the past. The intensity has increased as one
moved down from the premium segment to the mass consumption range. However, of
late consumers have started showing an inclination to buy medium price range
products as opposed to low priced products. The consumer is becoming more
sophisticated and beginning to recognize the value of premium quality; After Sales
Service: As more and more brands of consumer durables are becoming more or less
similar in terms of technology and price, the after-sales service has assumed a major
influence in buying decisions. This factor is assuming a key role in the minds of the
consumers, as the consumer durables are becoming more and more complex.

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Moreover, the latest technology requires professional help for full usage. Hence, the
consumers are likely to depend more on service support. Some consumers buy
durables that match /reflect their aesthetic taste and lifestyle/Personality. Also various
personal intentions underlie the purchase decision making of the consumer like
satisfaction, security, self concept, product attributes, etc. It is presumed that the
consumer adopts extensive problem solving behavior with more time and search,
evaluation process accorded for durables in consonance with the financial value,
personal/social importance and visibility accorded to the product/purchase act. The
consumer profile like the income/disposable income or affordability matching the
benefits and willingness to pay higher price(not price sensitive) ,brand availability
with differentiation/variety ,lifestyle adopted ,higher importance accorded to product
attributes, benefits driven approach and the dynamic marketing mix aspects influence
the purchase of consumer durables. There are two classes of Durables-the white goods
and the brown goods. While the white goods are relatively higher priced, heavier,
slower in replacement purchases, practical utility oriented, Warrantee-Insurance with
after sales service intensive and energy saving designs sought after by the consumer;
the brown goods are mostly electronic goods which are lighter in weight, relatively
replaced at a faster pace than white goods, specific high technology skills-knowledge
required to operate/maintain and are entertainment oriented employing the latest
innovative technology of miniature type with wireless communication facilities.

1.5.2 Review of Previous works

Brand image refers to the perception of a certain brand in the mind of the consumer
when a brand name is mentioned (Keller, 1993), whereas brand awareness measures
the customer‟s ability to recognize the brand when seeing the brand name, logo,
symbol etc. Building up a strong brand is not easy but if a brand could build a better
image than its competitors‟, then it would enjoy a degree of protection (Cheverton,
2002). With high brand image, a business can gain greater perception of the brand
among customers, customer loyalty, high profit margins, less negative attitude to price
fluctuations and less vulnerability compared to competitors

In the 1980s, the conception of brands changed enormously, when the management
started to understand the importance of a brand as an asset of the business (Kapferer,
1997). Nowadays, brands are seen more than just symbols and names: brands are

8
major assets of a company due to the fact that “a brand represents everything that a
product or service means to consumer.” That is the reason why brands should be
carefully developed and managed. However, very often firms consider brands just as a
tool for advertising, but that is not the case: good brands don‟t just sell, they act! Due
to the present competitive environment, every firm attempts to generate favorable and
positive associations about their brand which result in a positive image of the brand.
Companies should understand the fact that building up a positive brand image
depends on possessing high brand awareness, because when a brand is well
established in the memory it is easier for associations to be created and attached In
other words, this means that before customers can create an image of a brand in their
minds they have to get to know and be aware of the brand first.

To sum up, nowadays, brands are considered to be the key element when developing
relationships between companies and consumers. (Kotler, 2009) Brands are the key to
winning a position in the marketplace because they deliver unique benefits and build
deep connections with customers. In addition, customers are the most critical, though,
very important group to take into consideration because customers can always choose
from where they buy. Consequently, they will buy from the manufacturer that
provides the most value.

According to Nicholas Ind (1997), brand can be described as a feature of a plain idea
of product or service, and it includes the definition or a view of the values that go
deeper in the functional performance. In the other words, “--A product is something
that is made, in a factory; a brand is something that is bought by a customer.” The
brand signals the source of the product to consumers, and protects the customer, as
well as, the producer from possible competitors who would attempt to provide
products that appear to be identical. In relation to competitors, Nicholas Ind points out
the following crucial notion: “A product can be copied by a competitor, a brand is
unique.”

In order to accurately define the term “brand” we selected to use an up- to –date
definition of J. Pallister & J. Law. According to Pallister and Law (2009), the term
“brand” can be defined as a name of a brand that identifies a certain product,
manufacturer or distributor. In comparison to a brand, a strong brand is a product,
service, person or place that can be identified and improved in the way that the

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consumer or buyer gains essential, unique added values which meet their needs in the
best possible way. In addition, success of a brand results from being able to maintain
added values in spite of competitors‟ actions. (De Chernatony, McDonald, 1992) On
the other hand, American Marketing Association defines brand as a name, term,
design, symbol, or any other characteristic that clearly makes an attribute or quality of
a good or service distinguishable or recognizable. AMA adds that brand can
determine seller‟s product or service, multiple products or services or all the products
or services of a particular seller. AMA specifies that brand‟s legal term is trademark
and broadens the definition of the term “brand” to be a customer experience that can
be described as a group of ideas and images that often refer to a symbol, a name,
slogan or a logo, for instance.

1.6 Research Methods

1.6.1 Research Design

This study describes the perception of consumer towards Nike. The research design is
basically exploratory and descriptive in nature.

1.6.2 Population and Sample

Total of 30 individuals will be taken as the sample population. The sample population
will be selected in a randomly with irrespective of their age group, economic level
and gender.

1.6.3 Types of Data

The set of questionnaire will be used to collect the primary data from the sample
population for the study. Information regarding their view would collected through
the questionnaire. Other information's like about the Nike will be collected through
the secondary sources like journals, articles, different websites, newspapers.
 Primary Data

Data that has been collected by the researcher himself/herself as per the objectives of
the research is known as primary data, such data are originally collected by the
researcher and field work is required to generation primary data. Primary data can be
generated through administration of questionnaire, telephone contact, observation,
group discussion, interview, etc.

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  Secondary Data

If a researcher uses the data developed by others in the past for their own purpose is
known as secondary data. Secondary data can be obtained from published and un
published resources. Those data which are published by others organization in the
form of reports and publication like government reports, and publications reports of
NGOS and INGOS, reports of private organizations. But in this reports, researcher
will use primary data only.

1.6.4 Data Collection Procedure

Both primary and secondary data will be used for the study. To receive in-depth
knowledge on the customer satisfaction and its theory, it is required to consult and
review existing literatures, reports, information bulletins, booklets etc published by
various institutions and personnel working in this field.

1.6.5 Techniques of Analysis

All the data/information will be entered in the computer software like MS word, MS
excel etc. for report preparing. Qualitative approaches will be used to analyze the
collected information. Different diagrams and graphs will be used as applicable.

1.7 Limitation of the Study

The main focus of the study is concentrate to evaluate the buying behavior of the
customer. Basically this study is subject to following limitation.

→ Since this study deals, mostly with product Nikeing, the conclusion
derived from the study may or may not be applicable to other similar
company.
→ The company policy on keeping some matters confidential such as
details of the customers, their purchase history and other made it
difficult for further analyze.

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 CHAPTER II

RESULTS AND ANALYSIS

2.1 Data Analysis and Presentation

There are two principal markets for trademark- and copyright-infringing products. In
the first (the primary market), Nikes and pirates infiltrate distribution channels with
products that are often substandard. Consumers unwittingly purchase these products,
thinking that they are genuine.

The secondary market involves consumers who, under certain conditions, are willing
to purchase Nike or pirated products that they know are not genuine. Consumers who
knowingly purchase such products are also aware that they are supporting the parties
producing and supplying them, although the true nature of those parties may not be
apparent to the consumer. The size of the secondary market also depends on the
characteristics of the product involved. For example, the willingness to knowingly
buy a low-priced Nike pharmaceutical product is likely to be far less than the
willingness to purchase a low-priced pirated CD. Finally, demand is also affected by
socio-economic factors, which differ among economies.

One of the most important and most complex problems faced by international
companies is fraud phenomenon, and Nike in countries. Product Nikeing is growing
dramatically in terms of volume, sophistication, range of goods, and countries
affected. Most of the global companies are more concerned about Nike, because this
phenomenon can reduce their sell and disrupt their Pricing and distribution strategies.
On the other hand, destabilization of prices, damaging the marketing and distribution
channels, disruption of brand reputation and brand image, are among the problems
that have been reported by managers of international brands.

Global trends of Nike show that cautionary growth in the field of production,
distribution and consumption of non-genuine goods is happening. Nike merchandise
trade, estimate over $ 600 billion a year worldwide with a growth rate of 10,000
percent in the last 20 years. However, this growth is largely due to the increasing
demand of consumers.
2.1.1Gender Status of the Respondents:

The detail of demographic profile of the respondents in this study includes gender,
marital status, age group, academic qualification, job category, working experience
and ownership structure of the bank.

2.1.1 Gender Status of Respondents

The gender of the respondents consists of male and female. The frequency and
percentage of gender of respondents are as follows

Table 1: Gender of the Respondents

Categories Frequency Percent

Male 20 66.67

Female 10 33.33

Total 30 100.0

Source: Field survey, 2021

Table no 1 and the following figure 1 shows that gender distribution among 30
respondents, it is clear that out of total respondents there are 66.67 percent male
respondents and 33.33 percent female respondents. This shows that majority of
respondents were male

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 Figure 1: Gender of the Respondents

2.1.2 Marital status of Respondents

Marital status of the respondents were classified into two categories as single and
married. The frequency distribution and percent composition of marital status of
respondent is shown below

Table 2: Marital status of the Respondents

Categories Frequency Percent
Married 18 60

Unmarried 12 40

Total 30 100.0
Source: Field survey, 2021

Table no 2 and the following figure 2 shows the marital status of 30 respondents, it is
clear that out of total respondents 60 percent respondents are single and remaining 40
percent respondents are married. This shows that majority of respondents were single.

14
 Figure 2: Marital status of the Respondents

Sales

male
female

2.1.3 Age Status of Respondents

The chronological age of the respondents in completed years at the time of survey was
referred to as age and is categorized into four different groups as below: 20-29 years,
30-39 years, and 40 years and above. The frequency distribution and percent
composition of different age group is shown

Table 3: Age Status of Respondents

Categories Frequency Percent
20-29 21 70

30-39 9 30

Total 30 100.0

Source: Field survey, 2021

Table no 3 and figure 3 below shows that out of 30 respondents, large number of
respondents belongs to age group between 20-29 years constituting 70 % of the total
respondents. In addition to this, 30% respondents are aged 30-39 years. The table
clearly shows that there is huge involvement of middle aged people.

15
 Figure 3: Age of Respondent

2.1.4 Conspicuous consumption

Conspicuous consumption is the practice of purchasing goods or services to publicly
display wealth rather than to cover basic needs.
Table 4: Conspicuous Consumption
Categories Frequency Percent
Yes 23 76.67
No 5 16.67
No Idea 2 6.66
Total 30 100.00
Source: Field Survey 2021
Table and figure 4 below shows that out of 30 respondents, large number of
respondents belongs to Conspicuous constituting 76.67 % of the total respondents. In
addition to this, 16.67% respondents has no conspicuous consumption. Most of them
found it conspicuous about while 23 of them only found it right.

16
 Yes
No
No Idea

2.1.5 Purchase intention

The link attitude-behavioral intention has been extensively examined in the marketing
literature. According to the Theory of Reasoned Action, attitude is positively
correlated with behavioral intentions, which in turn is an antecedent of the real
behavior. Indeed, research has found support on this relationship.

Different explanations can be suggested for the link between the attitude of consumers
and their actual purchase behavior. Attitudes toward an action affect behavioral
intentions positively and previous studies represented that consumer's attitudes can
affect the probability of buying Nike.

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 Table 5: Purchase Intentions
Categories Frequency Percent
High Intention 15 50
Moderate Intention 10 33.33
Low Intention 5 16.67
Total 30 100.00
Source: Field Survey, 2021
Table and figure 5 below shows that out of 30 respondents, large number of
respondents belongs to High Purchase Intentions 50 % of the total respondents. In
addition to this, 33.33% respondents has Moderate purchase intention. Most of them
have high intention to purchase Nike. While only few have low intentions on buying
the Nike.

Figure 5: Purchase Intention

16

14
Purchase Intention

12

10

8
Column1
6

0
High Intention Moderate Intention Low Intention

Source: Field Survey, 2021

2.1.6 Personal gratification
The majority of Nike goods are not comparable to the original goods in terms of
quality and consumers who purchase Nikes are aware that the Nike do not provide
similar levels of quality as the original they are willing to accept such compromise.
Personal gratification concerns the need for a sense of accomplishment, social

18
recognition, and to enjoy the finer things in life and the result of their study showed
no significant influence of personal gratification on consumer attitudes toward Nikes.
However, consumers who purchase Nike goods are attributed to the fact that the
quality of them is some degrees lower than the genuine ones and they may have
certain feelings about this fact.

Table 6: Personal Gratification

Categories Frequency Percent
Generally benefit 20 66.67
Nothing wrong 7 23.33
Better choice 3 10
Total 30 100.00
Source: Field Survey, 2021
Table and figure 6 below shows that out of 30 respondents, large number of
respondents belongs to generally benefit 66.67 % of the total respondents. In addition
to this, 23.33% respondents belong to Nothing wrong. Most of them found that it
benefit to purchase the products, while few i.e. 3 people found that buying Nike
nothing wrong to buy the Nike.
Figure 6: Personal Gratification
Personal
Gratification

Generally benefit
Nothing wrong
Better choice

2.1.7 Low Price

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 Consumers want to buy genuine products but only some of them can afford them. The
high priced original brands provide an opportunity to low priced Nikes to meet the
needs of those who cannot afford original brands. Deceptive Nikes' low price has
been witnessed to stimulate demand for non- deceptive Nikes. Consumers recognize
non-deceptive Nikeed products by their low price and buying location. Consumers
prefer Nikes over original brands especially when Nikes are distinctly available at
lower prices. Furthermore, some consumers desire to adopt affluent lifestyles but are
not financially sound to buy original brands and hence they go for Nikes. Similarly,
price conscious consumers willing to buy Nikes as these are cost effective.
Table 7: Low Price
Categories Frequency Percent
Least Expensive 18 33.33

Reasonable price 10 60

Low price 5 6.67

Total 30 100.0

Source: Field Survey 2021

People buy Nike due to least expensive, while it is found it products reasonable price,
and while 5 people may purchase Nike due to low price.
20

18

16

14

12
Low Price

10
Column1
8

0
Least Expensive Reasonable price Low price

Source: Field Survey 2021

20
2.1.8: Previous Experience

Based on the assumption that consumer behavior is the result of learning, there is an
argument among the researchers that consumers‟ past behavior can provide improved
predictions of behavioral intentions. Nike buyers different from non-buyers, the
former take such purchases less risky, not viewing this purchase as unethical and
trusting the stores for prior Nike purchase. Research has found Nike buyers poles
apart from-non buyers and past experience to enhance attitudes towards Nike product.
Majority of consumers who had never bought Nike product did not choose Nike
items, they also did not express any positive intention to buy Nike product in future
when they were offered the opportunity to purchase the Nikes.

Table 8: Past Experience

Categories Frequency Percent
Yes 10 33.33

Will buy 18 60

Better choice 2 6.67

Total 30 100.0

Source: Field Survey 2021

Most of the respondents will purchase the Nike in future and few of them also stated
that the respondents found it better choice products.

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 Figure 8: Past Experience

Past Experience

Yes
Will buy
Better choice

2.1.9Social Status
Social status according to is “the motivational process by which individuals strive to
improve their social standing through conspicuous consumption of consumer products
that confer or symbolize status for both individuals and surrounding others”. Since
branded products help consumers to communicate an image to those who surround
them, there is no surprise that the willingness to purchase Nikes is associated with
social status. Previous researches indicate that consumers who purchase Nikes believe
they obtain the prestige ascribed to the real product.
A more recent study reinforces the phenomenon that Nikeed brands are bought for
what they represent in the buyer‟s social environment. The attitude toward brands
predicts the intention to buy Nike, thus supporting the expectation that consumers
respond more favorably to image appeals when such appeal is consistent with their
social goal of projecting a particular image in social settings. Both original brands and
Nikes are considered to enhance consumers‟ self-esteem and promote a certain status
within a peer group.

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 Table 9: Social Status
Categories Frequency Percent
Yes 15 50
No 10 33.33
No idea 5 16.67
Total 30 100.0

Source: Field Survey 2021

Table and figure 9 below shows that out of 30 respondents, 50% of respondents has
positive response about Nike social status. In addition to this, 33.33% respondents
has negative response about Nike .

Figure 9: Social Status

Yes
No
Social Status

No idea

Source: Field Survey 2021

2.2 Major Findings

→ Most of the people has found it good to buy the Nike. While 7 of them
found it bad to purchase Nike. While only 8 respondents found it very
good to attitudes toward Nike product.

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→ Most of them found it conspicuous about while 23 of them only found it
right.
→ Most of them have high intention to purchase Nike. While only few have
low intentions on buying the Nike.
→ Most of them found that it benefit to purchase the products, while few i.e.
3 people found that buying Nike nothing wrong to buy the Nike.
→ People buy Nike due to least expensive, while it is found it products
reasonable price, and while 5 people may purchase Nike due to low price.
→ Most of the respondents stated that Nike are found everywhere and it is
easily accessible. Also, most of them found it less effort to purchase the
Nike.

→ Most of the respondents will purchase the Nike in future and few of them
also stated that the respondents found it better choice products.

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 CHAPTER III

SUMMARY AND CONCLUSION

3.1 Summary
„Low price‟ is frequently mentioned as one of the major product attributes affecting
purchase intention of Nike goods. The price of a Nike fashion item is mostly set as a
fraction of the price of the matching genuine item. It is this low-pricing strategy that
attracts consumer‟s attention on purchasing a Nike. However, because of the rise of
the so-called „supercopies‟, prices of these high quality Nikes have risen too. It is
interesting to investigate whether consumers use real price and quality cues of CLFI
as an indicator of perceived quality, as is sometimes the case with genuine items. To
the authors‟ best knowledge, no research has yet been conducted that integrates the
possibility of consumers encountering relatively high prices for Nikes.

3.2 Conclusion
Most of the people has found it good to buy the Nike. While 7 of them found it bad to
purchase Nike. While only 8 respondents found it very good to attitudes toward Nike
product. Most of them found it conspicuous about while 23 of them only found it
right. Most of them have high intention to purchase Nike. While only few have low
intentions on buying the Nike. Most of them found that it benefit to purchase the
products, while few i.e. 3 people found that buying Nike nothing wrong to buy the
Nike. People buy Nike due to least expensive, while it is found it products reasonable
price, and while 5 people may purchase Nike due to low price. Most of the
respondents stated that Nike are found everywhere and it is easily accessible.
Brand owners must act quickly to identify and deal with any Nike goods. To that end,
brand owners should adopt the following strategies to protect themselves and their
brand:
Make sure their rights are in order. Manufacturers and brand owners have the ability
to create value in their products through utilizing intellectual property rights (“IP
rights”). By having a sound IP rights strategy, brand owners can use the law as a tool
against Nikeers to enforce their rights in their products, logo, designs, inventions,
know-how and brands. Devise a strategy of dealing with Nike goods. By this we
mean, a brand owner should know what they want to achieve; what range of tools you
have to achieve these (and which are appropriate for the infringer at hand); their target
list (i.e. are there any Nike that are a priority?); and how they wish their brand should
be perceived while doing it.
Generally, brands should monitor the infringements wherever they occur in order to
be able to react swiftly and decisively against them. Brands should keep a record of
their activities in order to be able to see which measures are working and which are
not. In addition, brand owners should educate their customers. In this way, the
consumer will be deterred from purchasing a Nike product as they will know the
drawbacks of Nike goods and how to spot them. Ideally, customers should also be
made aware of how to inform the brand owner - leveraging the power of customers as
the brands‟ own “eyes and ears” as to where Nike is occurring

26
 Bibliography
Cheverton, P. & Malcolm, M. (2002) How Come Your Brand Isn't Working Hard
Enough?: The Essential Guide to Brand Management. London: Kogan Page.

Leslie, D.C. & Malcolm H.B (1992). Creating Powerful Brands. Oxford & Boston :
Butterworth- Heinemann.

Ind, N. (2003). Beyond Branding: How the New Values of Transparency and Integrity
are Changing the World of Brands. London: Kogan Page.

Kapferer, J.N. (1997). Strategic Brand Management: New Approaches to Creating

and Evaluating Brand Equity. London: Kogan Page, 2 Sub edition

Keller, K.L. (1998). Measuring Customer-Based Brand Equity, in Perspectives of

Modern Brand Management. ed. Dr Franz-Rudolf Esch

Kotler, D. (2009) Principles of Marketing, 13th edition,

Law, J. & Pallister, J. (2009) A Dictionary of Business and Management, 5th edition.
Oxford: OUP.
 Appendix I

Survey Questionnaire:

Dear Respondent, I am handling the survey among the Service quality. I will
appreciate, if you fill in this questionnaire. It will not take much of your time. Your
answers are very important to us. The results will be used in generalized view. Thank
you!

Name of the Respondents:……………………

Profession : ………………….

Age: ……………………

Gender: …………………………..

What do you think about Nike products?

I. Good

II. Bad

III. Very Good

Are you conscious about the product?

I. YeS

II. No

III. Idea

What is the purchase intentions of purchasing Nike?

I. High Intention

II. Moderate Intention

III. Low Intention

What is the attitude toward buying Nike?

I. Generally benefit

II. nothing wrong

III. better choice

What is the main concern while purchasing the Nike?

I. concerned about low price

II. maximizing the quality

III. should meet requirement

What is your past experience about the Nike?

I. Yes

II. will buy

III. better choice

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