Service Industry profile:

Service Sector in India today accounts for more than half of India's GDP. According to data for the financial year 2006-2007, the share of services, industry, and agriculture in India's GDP is 55.1 per cent, 26.4 per cent, and 18.5 per cent respectively. The fact that the service sector now accounts for more than half the GDP marks a watershed in the evolution of the Indian economy and takes it closer to the fundamentals of a developed economy. Services or the "tertiary sector" of the economy covers a wide gamut of activities like trading, banking & finance, infotainment, real estate, transportation, security, management & technical consultancy among several others. The various sectors that combine together to constitute service industry in India are: Trade Hotels and Restaurants Railways Other Transport & Storage Communication (Post, Telecom) Banking Insurance Dwellings, Real Estate Business Services Public Administration; Defense Personal Services Community Services Retail

There was marked acceleration in services sector growth in the eighties and nineties, especially in the nineties. While the share of services in India's GDP increased by 21 per cent points in the 50 years between 1950 and 2000, nearly 40 per cent of that increase was concentrated in the nineties. While almost all service sectors participated in this boom, growth was fastest in communications, banking, hotels and restaurants, community services, trade and business services. One of the reasons for the sudden growth in the services sector in India in the nineties was the liberalization in the regulatory framework that gave rise to innovation and higher exports from the service sector. The boom in the services sector has been relatively "jobless". The rise in services share in GDP has not accompanied by proportionate increase in the sector's share of national employment. Some economists have also cautioned that service sector growth must be supported by proportionate growth of the industrial sector; otherwise the service sector grown will not be sustainable. In the current economic scenario it looks that the boom in the services sector is here to stay as India is fast emerging as global services hub. The services sector will be the top employer in India, while the public administration and education sector is to hire the lowest number of employees. Overall, though, the Manpower Employment Outlook Survey says Indian employers are anticipating a stronger third quarter employment outlook, compared with their counterparts in the Asia Pacific region.

Company Profile:
Retail is an Indias largest industry, accounting for over 10% of countrys GDP & around 8% of the employment. Retail industry in India is at the crossroads. It has emerged as one of the most dynamics & fast paced industry with several players entering the market. But because of the heavy investments required, breakeven difficult to achieve & many of these players have not tested success so far. However the future is promising the market is growing, government policies are becoming more favorable & emerging technologies are facility operations. Retailing in India is gradually inching its way toward becoming the next boom industry. The whole concept of shopping has altered in terms of format & customer buying behavior, Ushering in a revaluation in shopping in India. Modern Retail has entered India as seen in sprawling shopping center, multi store Malls &huge complexes offer shopping, Entertainment & food all under one roof. India has topped the AT Kearneys annual Global Retail Development Index (GRDI) for the third consecutive year, maintaining its position as the most attractive market for retail investment. The Indian retail market -- one of India's fastest growing industries is expected to grow from US$ 350 billion to US$ 427 billion by 2010. According to Euro monitor International, the Indian Retail market will grow in value terms by a total of 39.6 per cent between 2006 and 2011, averaging growth of almost 7 per cent a year. Modern retail accounts for about 4 per cent of the total retail market in India. This share is expected to increase to about 15 -20 per cent with

the entry of a number of corporate into the segment. Modern retail formats have grown by 25-30 per cent in India in the last year and could be worth US$ 175-200 billion by 2016. Currently the value of the retail market is estimated at around $270 billion with a growth rate of 5.7 percent per annum according to the India Retail Report 2007. India Retail Report 2007 said that organized retail in India has the potential to add over Rs 2000 billion business by the Year 2010 generating employment for some 2.5 million people in various retail operations and over 10 million additional workforce in retail support activities including contract production and processing, supply chain and logistics, retail real estate development and management. The Indian retail sector is at inflexion point where the growth of organized retailing in growth consumption by the Indian population is going to take a higher growth trajectory. The Indian population is witnessing a significant changing its demographics. A large young working population with median age of 24 years, nuclear families in urban areas, along with increasing working women population & emerging opportunities in the services sector are going to be the key growth drivers of the organized retail sector in India.

INTRODUCTION OF DHIRAJ SONS MEGA STORE PVT LTD, SURAT: Dhiraj Sons Mega Store Pvt. Ltd is a corporate group comprising of a business activity firms like Mega Store, Super Store, Music Shop, Card Shop, Toy Shop and now Fashion World. History: Dhiraj Sons is in business since last 62 years, starting off with doing small business in Grocery and Kirana shop in posh area of Athwalines, Surat. It was the first to start a Family General Store in 1947, namely R. Dhiraj Modi.. Subsequently following the overwhelming response from the people, for the first time in Gujarat, it ventured into a Departmental Store Dhiraj Sons in 1984. It became a pioneer in introducing for the first time in Gujarat the self service system and online computerized billing system. Continuing with the successful progress march, it also added a Greeting Card Shop, a Music Shop, Plastic Corner and a Stationery Corner to its establishment in the year 1995, which was due to the faith and love of the people of Surat in us and our management, which made us stand apart from the rest of our competitors. In 29-04-2000, we inaugurated Dhiraj Sons - The Mega Store at Chowpatty, a 15,000 square feet shopping store. A complete 'shop entertainment' environment kind of store. Catering to demands of our valued customers, in 2002 we unveiled Dhiraj Sons - The Super Market, at Parle Point a 15,000 square feet shopping store for their shopping ease and comfort. From a small Grocery Store in 1947 to Super Store, Mega Store and Fashion World in 2002 shows the kind of progress we have made

and always leading from the front. This all has been possible because of the trust and love from our valued Dhiraj Customers and due to our fellow staff

members. This has always promoted us to take a major step forward in presenting our customers with new innovations and dimensions. Branches of Dhiraj Sons: FASHION WORLD A grand Fashion world for branded Men, Women, Kids Garments & Accessories and presenting a constant changing Fashion World. The entire place is totally air conditioned MEGA STORE with gorgeous automatic escalator entrance. A Three Storeyed store housing all kinds of groceries, toiletries, food stuffs, household items, SUPER MARKET crockery's, watches, electronic items, gift items etc. A store housing all kinds of groceries, toiletries, food stuffs, household items, crockery's, watches, electronic items, gift TOY SHOP items etc. An extravagant collection of toys & soft toys and games are available for kids of all ages. Cards for Birthday, Anniversary, Sorry, Thank you, New year, Christmas, Pateti, Idd, Condolences, Friendship, Love, Best Wishes and all Occasions. All kinds of plastic items like buckets, tumblers, boxes, jars, household items etc. English, Hindi, Gujarati Audio Cassettes and Compact Discs (CDs).

Research Methodology
3.1 Problem definition: Mgt Decision Problem: How to improve the quality and variety or merchandise, speed of service, and courtesy of employees within the existing stores and how to increase purchase frequency? Mgt Research Problem: How to make Dhiraj sons mega store Pvt ltd a most preferred destination and a one stop shop. Problem Definition: 1) Whether the distance is the importance in purchase frequency? 2) What are the stores attribute that are important predictor of purchase frequency? 3) Which store attribute is most important predictor of purchase frequency? 4) What are the various features looked for in a good shopping mall by people visiting it? 5) What are the features that are lacking in Dhirajsons according to the people visiting it?

3.2. Objectives of Study:

Following are the objectives of the present study: Primary objectives: 1) To study the determinant of retail patronage and test it as alternative predictor of purchase frequency. 2) To find out the ways to make Dhiraj sons mega store Pvt ltd a most preferred destination and a one stop shop. Secondary objectives: 1) To know the dimension of retail patronage. 2) To know the purchase frequency by importance of distance. 3) To know the importance of store attribute with respect to purchase frequency. 4) To measure the overall qualitative evaluation of the store. 5) To know the most important store attribute predictor in purchase frequency. 6) To know the various features looked for in a good shopping mall by people visiting it. 7) To know the features that are lacking in Dhiraj Sons according to the people visiting it.

3.3. Research Methodology:

Research Methodology is the systematic design, collection, analysis and reporting of data and findings, relevant to appraisal specific personnel situation facing the company.

Research Methodology describes the research procedure. This research procedure covers the following points: A. Research design B. Data collection method C. Sampling plan A. Research Design: A research design is an overall framework of project that indicates what information to be collected from which sources and by which procedures. Research design is the plan, structure, and strategy of investigation conceived so as to obtain answers to research questions and to control variance. In this project, descriptive and cross-sectional research design has been used because it describes the phenomena under study and recommendations findings are specific under this study. Crosssectional studies are carried out once and selected as the research will be carried out in a particular time limit only. The Six Ws WHO-Who should be considered a potential respondent? Potential respondent: Potential customers of Dhiraj sons Pvt, ltd Surat and Bardoli. WHAT-What information should be obtained from respondent? The qualitative information about the store. WHERE-Where should the respondents be contacted to obtain the required information? 9

 The respondent is contacted within the four stores of Dhiraj sons Pvt, Ltd-Ghod Dhod road, Parle point, Nanpura (fashion world), Bardoli WHY-Why are we obtaining information from the respondents? Why is the marketing research project being conducted? To improve the quality and variety or merchandise, speed of service, and courtesy of employees within the existing stores and increase purchase frequency of Dhiraj sons stores. WAY- In what way are we going to obtained information from the respondents? Prepare a questionnaire and conduct face to face personal interview. WHEN 21 may 2007 to 20th July 2007? B- Data collection Method: There are two sources of data: 1. Primary data sources 2. Secondary data sources Primary data are collected by using the Survey method of data collection. Secondary data are collected from books on research, marketing, past research reports and websites and research paper of Determination of retail patronage by J. Patrick Kelly, Brigham Young University and Scott M. Smith, Brigham Young University.

10

Research Measurement Tool The most popular research instrument for data collection -

questionnaire has been used. This questionnaire has been administered through face to face interviews. Type of Questions In the questionnaire, close ended questions included. The close-ended questions further included multiple-choice questions as well as rating scale questions. Pre-Testing of questionnaire: It is necessary to check the questionnaire, before actual research is done. Therefore pilot testing is done. In this case, Pilot testing was done for 20 respondents from each store and based on the feedback, the questionnaire was fine-tuned. C. Sampling Plan: Sampling Design and Sampling Method: In this study, non-probability sampling design has been used and the sampling method employed is Convenience Sampling. Sampling. This has been done instead of pure random sampling method (Probability Sampling) because of time and money constraints. I-Define the Target population -Element: Potential Customer -Sampling Unit: visitors and customer of Dhiraj sons -Extent: Surat city( 4 branch of Dhiraj sons -Time: 21st may 2007 to 20th July 2007

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ii- Define sampling frame: Customer record book iii. Select sampling techniques: Non-probability, Convenience. This has been done instead of pure random sampling method (Probability Sampling) because of time and money constraints. iv. Determine sample size: 200 customers of Different branch of Dhiraj sons. v. Execution of sampling process: Data have bee collected from Dhiraj sons store i.e. Athwagate, Ghod Dhod Road, Parlepoint, Fashion world and Bardoli by conducting interview of Customer.

3.4. Statistical Test Used:

I have use SPSS software for doing all kind of statistical test. Mean- means value is obtained by adding together all the items and by dividing this total by the number of items. Median- middle value in a distribution. Mode- the model value in a series of observation which occurs with the great frequency. Standard deviation- a probability distribution, random variable. Or population or multi set of values is a measure of the spread of its values. One-sample t test The One-sample T test compares the mean score of a sample to a known value.

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Q-1 how frequently you come to Dhiraj sons? Purpose- To know the purchase frequency. Times responders visit Dhiraj sons

Frequency At least once in a week In a month In a year Total 138 60 2 200

Percentage 69.0 30.0 1.0 100.0

Frequency
In a year In a m onth

At least once in a w

INTERPRETATION: From the above table and graph we can say 69% responded out of 100, visit Dhiraj sons once in a week, so they can be called as loyal customers of Dhiraj sons but they need to attract the monthly shoppers because it covers a small market but if they shop at least once in a week, the sales of Dhiraj sons would be increases.

Measurement of Central Tendency

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N Missing Quality Cleanliness Atmosphere and dcor Courtesy of service Speed of service Varieties Price Nearness of store 200 200 200 200 200 200 200 200 0 0 0 0 0 0 0 0

/ Mean 4.14 3.95 3.95 3.70 3.41 3.78 3.74 3.92

From above table of Measurement of Central Tendency from 5-point scale, we can see that all the respondents are positively agree (4) with all the statement.

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SUMMURY OF t- TEST Test Value =3 95% t df Sig. Mean Confidence Interval of the Difference Lower 1.04 .83 .83 .57 .26 .65 .63 .73 Upper 1.23 1.06 1.07 .83 .55 .90 .85 1.10

(2-tailed) Difference

Quality Cleanliness Atmosphere and dcor Courtesy of service Speed of service Varieties Price Nearness of store

23.188 16.903 16.046 10.905 5.654 12.505 12.730 9.547

199 199 199 199 199 199 199 199

.000 .000 .000 .000 .000 .000 .000 .000

1.13 .94 .95 .70 .40 .77 .74 .92

Merchandise of the quality of the store 15

Q-1 Merchandise of the quality of the store is good. 1-Storngly agree Purpose- With the help of this statement we can find that the Merchandise quality of a store is good or not. Null Hypothesis (HO): There is no significant difference between calculated mean and hypothesized mean. In other words, we hypothesize that the customer are neutral that the quality is one of the important criteria consider by them while taking purchase decision Alternative Hypothesis (H1): There is significant difference between calculated mean and hypothesized mean. In other words the customer are not neutral that the quality is one of the important criteria consider by them while taking purchase decision Statistical Test: one sample t-test is chosen because the measurement of data is interval in nature. Significance level: 0.05 Test value at 3.0 disagree,2-Disagree,3-Neutral, 4-Agree, 5-Strongly

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One-Sample Test Std. Quality N 200 Mean 4.14 Deviation .69 Std. Error Mean 4.89

One-Sample test Test Value = 3 t df Sig. (2-tailed) Mean Difference 95% Confidence Interval of the Difference Lower Upper 1.04 1.23

Quality

23.188

199

.000

1.13

Inference: Here the test is performed at 95% significance level and the p-value comes out as 0.000 which is less than 0.05, it means that the null hypothesis H0 is rejected and alternative hypothesis H1 is accepted and it can be said that there is significant difference between calculated mean and hypothesized mean. From the Mean value (4.14)& t-test value we can analyzed that customer are above neutral level i.e. agree with the statement that the Merchandise quality of a store is good and the quality is one of the important criteria consider by them while taking purchase decision.

Over all cleanliness of the store

17

Q-2 over all cleanliness of the store is good. 1-Storngly disagree, 2-Disagree, 3-Neutral, 4-Agree, 5-Strongly agree Purpose- With the help of this statement we can analyzed that whether cleanliness of the store is good or not. Null Hypothesis (HO): There is no significant difference between calculated mean and hypothesized mean. In other words, we hypothesize that the customers are neutral that the Over all cleanliness of the store is one of the important criteria consider by them while taking purchase decision Alternative Hypothesis (H1): There is significant difference between calculated mean and hypothesized mean. In other words the customers are not neutral that the Over all cleanliness of the store is one of the important criteria consider by them while taking purchase decision Statistical Test: one sample t-test is chosen because the measurement of data is interval in nature. Significance level: 0.05 Test value at 3.0

One-Sample Test 18

Std. N cleanliness 200 Mean 3.95 Deviation .79 Std. Error Mean 5.59

One-Sample Test Test Value = 3 t df Sig. (2-tailed) Mean Difference 95% Confidence Interval of the Difference Lower Upper .83 1.23

Cleanliness 16.903

199

.000

.94

Inference: Here the test is performed at 95% significance level and the p-value comes out as 0.000 which is less than 0.05, it means that the null hypothesis H0 is rejected and alternative hypothesis is accepted and it can be said that there is significant difference between calculated mean and hypothesized mean. From the Mean value (3.95)& t-test value we can analyzed that customer are above neutral level i.e. agree with the statement that the Over all cleanliness of the store is good. And the cleanliness is one of the important criteria consider by them while taking purchase decision.

Atmosphere and decoration of the store Q-3 Atmosphere and decoration of the store is good.

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1-Storngly agree

disagree,2-Disagree,3-Neutral,

4-Agree,

5-Strongly

Purpose- With the help of this statement we can analyzed that whether the Atmosphere and decoration of the store is good or not. Null Hypothesis (HO): There is no significant difference between calculated mean and hypothesized mean. In other words, we hypothesize that the customer are neutral that Atmosphere and decoration of the store is the store is one of the important criteria consider by them while taking purchase decision. Alternative Hypothesis (H1): There is significant difference between calculated mean and hypothesized mean. In other words, we hypothesize that the customer are not neutral that Atmosphere and decoration of the store is the store is one of the important criteria consider by them while taking purchase decision. Statistical Test: one sample t-test is chosen because the measurement of data is interval in nature. Significance level: 0.05 Test value at 3.0

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One-Sample Test

N Atmosphere 200

Mean 3.95

Std. Deviation 0.84

Std. Error Mean 5.92

One-Sample Test Test Value = 3 t df Sig. (2-tailed) Mean Difference 95% Confidence Interval of the Difference Lower Upper .83 1.07

Atmosphere 16.046 Inference:

199

.000

.95

Here the test is performed at 95% significance level and the p-value comes out as 0.000 which is less than 0.05, it means that the null hypothesis H0 is rejected and alternative hypothesis is accepted and it can be said that there is significant difference between calculated mean and hypothesized mean. From the Mean value (3.95) & t-test value we can analyzed that customer are above neutral level i.e. agree with the statement that the Atmosphere and decoration of the store is good and Atmosphere and decoration of the store is one of the important criteria consider by them while taking purchase decision.

Courtesy of service from employee

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Q-4 Courtesy of service from employee is good enough. 1-Storngly agree Purpose- With the help of this statement we can analyzed that whether w Courtesy of service from employee is good enough or not. Null Hypothesis (HO): There is no significant difference between calculated mean and hypothesized mean. In other words, we hypothesize that the customer are neutral that Courtesy of service from employee of the store is one of the important criteria consider by them while taking purchase decision. Alternative Hypothesis (H1): There is significant difference between calculated mean and hypothesized mean. In other words, we hypothesize that the customer are not neutral that Courtesy of service from employee of the store is one of the important criteria consider by them while taking purchase decision. Statistical Test: one sample t-test is chosen because the measurement of data is interval in nature. Significance level: 0.05 Test value at 3.0 disagree,2-Disagree,3-Neutral, 4-Agree, 5-Strongly

One-Sample Test

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Std. N Services from employees 200 Mean 3.70 Deviation 0.91 Std. Error Mean 6.42

One-Sample Test Test Value = 3 t df Sig. (2-tailed) Mean Difference 95% Confidence Interval of the Difference Lower Upper .57 0.83

Services from the employees

10.945

199

.000

.70

Inference: Here the test is performed at 95% significance level and the p-value comes out as 0.000 which is less than 0.05, it means that the null hypothesis H0 is rejected and alternative hypothesis is accepted and it can be said that there is significant difference between calculated mean and hypothesized mean. From the Mean value (3.70) & t-test value we can analyzed that customer are above neutral level i.e. agree with the statement that the Courtesy of service from employee is good enough And the Courtesy of service from employee of the store is one of the important criteria consider by them while taking purchase decision.

Speed of services in the store

Q-5 Speeds of services in the store is good.

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1-Storngly agree

disagree,2-Disagree,3-Neutral,

4-Agree,

5-Strongly

Purpose- With the help of this statement we can analyzed that whether Speeds of service in the store is good or not. Null Hypothesis (HO): There is no significant difference between calculated mean and hypothesized mean (3). In other words, we hypothesize that the customer are neutral that Speeds of service in the store is one of the important criteria consider by them while taking purchase decision. Alternative Hypothesis (H1): There is significant difference between calculated mean and hypothesized mean. In other words, we hypothesize that the customer are not neutral that the Speeds of service in the store is one of the important criteria consider by them while taking purchase decision. Statistical Test: one sample t-test is chosen because the measurement of data is interval in nature. Significance level: 0.05 Test value at 3.0

One-Sample Test N Mean Std. Deviation Std. Error Mean

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Speed services

of 200 3.41 1.01 7.16

One-Sample Test Test Value = 3 t df Sig. (2-tailed) Mean Difference 95% Confidence Interval of the Difference Lower Upper

Speed of Services

5.654

199

.000

.40

.26

0.55

Inference: Here the test is performed at 95% significance level and the p-value comes out as 0.000 which is less than 0.05, it means that the null hypothesis H0 is rejected and alternative hypothesis is accepted and it can be said that there is significant difference between calculated mean and hypothesized mean. From the Mean value (3.41)& t-test value we can analyzed that customer are above neutral level i.e. agree with that Speeds of service in the store is good and Speeds of service in the store is important criteria consider by them while taking purchase decision.

varieties of merchandise in store

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Q-6 Varieties of merchandise in store are available. 1-Storngly agree Purpose- With the help of this statement we can analyzed that whether the Varieties of merchandise available in store or not. Null Hypothesis (HO): There is no significant difference between calculated mean and hypothesized mean (3). In other words, we hypothesize that the customer are neutral that Varieties of merchandise in store are available and Varieties of merchandise in store are available is one of the important criteria consider by them while taking purchase decision. Alternative Hypothesis (H1): There is significant difference between calculated mean and hypothesized mean. In other words, we hypothesize that the customer are not neutral that Varieties of merchandise in store are available and Varieties of merchandise in store are available is one of the important criteria consider by them while taking purchase decision. Statistical Test: one sample t-test is chosen because the measurement of data is interval in nature. Significance level: 0.05 Test value at 3.0 disagree,2-Disagree,3-Neutral, 4-Agree, 5-Strongly

One-Sample Test

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Std. N Varieties merchandise of 200 Mean 3.78 Deviation 0.82 Std. Error Mean 5.81

One-Sample Test Test Value = 3 95% t df Sig. Mean Confidence Difference Upp Lower er 0.9 .65 9 (2-tailed) Difference Interval of the

Varieties of merchandise

12.505

199

.000

.77

Inference: Here the test is performed at 95% significance level and the p-value comes out as 0.000 which is less than 0.05, it means that the null hypothesis H0 is rejected and alternative hypothesis is accepted and it can be said that there is significant difference between calculated mean and hypothesized mean. From the Mean value (3.78)& t-test value we can analyzed that customer are above neutral level i.e. agree with that Varieties of merchandise in store are available and Varieties of merchandise in store are available is one of the important criteria consider by them while taking purchase decision Price of merchandise in store Q-7 Price of merchandise is reasonable.

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1-Storngly agree

disagree,2-Disagree,3-Neutral,

4-Agree,

5-Strongly

Purpose- With the help of this statement we can analyzed that whether the Price of merchandise is reasonable or not Price of merchandise is on the important criteria consider by them while taking purchase decision or not. Null Hypothesis (HO): There is no significant difference between calculated mean and hypothesized mean (3). In other words, we hypothesize that the customer are neutral that Price of merchandise is reasonable and Price of merchandise is one of the important criteria consider by them while taking purchase decision. Alternative Hypothesis (H1): There is significant difference between calculated mean and hypothesized mean. In other words, we hypothesize that the customer are not neutral that that Price of merchandise is reasonable and Price of merchandise is one of the important criteria consider by them while taking purchase decision. Statistical Test: one sample t-test is chosen because the measurement of data is interval in nature. Significance level: 0.05 Test value at 3.0

One-Sample Test

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N Price 200

Mean 3.74

Std. Deviation 0.82

Std. Error Mean 5.81

One-Sample Test Test Value = 3 t df Sig. (2-tailed) Mean Difference 95% Confidence Interval of the Difference Lower Upper .63 0.85

Price

12.730

199

.000

.74

Inference: Here the test is performed at 95% significance level and the p-value comes out as 0.000 which is less than 0.05, it means that the null hypothesis H0 is rejected and alternative hypothesis is accepted and it can be said that there is significant difference between calculated mean and hypothesized mean. From the Mean value (3.74)& t-test value we can analyzed that customer are above neutral level i.e. Price of merchandise is reasonable and Price of merchandise is reasonable is one of the important criteria consider by them while taking purchase decision

Nearness of the store

Q-8 the store is near to your home (less than 1 km) 29

1-Storngly agree

disagree,

2-Disagree,3-Neutral,

4-Agree,

5-Strongly

Purpose- with the help of this statement we can analyze that whether the distance of the store is important criteria consider by them while taking purchase decision or not. Null Hypothesis (HO): There is no significant difference between calculated mean and hypothesized mean (3). In other words, we hypothesize that the customer are neutral that the store is near to their home and nearness of the store is one of the important criteria consider by them while taking purchase decision. Alternative Hypothesis (H1): There is significant difference between calculated mean and hypothesized mean. In other words, we hypothesize that the customer are not neutral that the store is near to their home and nearness of the store is one of the important criteria consider by them while taking purchase decision. Statistical Test: one sample t-test is chosen because the measurement of data is interval in nature. Test value at 3.0 Significance level: 0.05

One-Sample Test

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N Nearness of the store 200

Mean 3.92

Std. Deviation 1.36

Std. Error Mean 9.58

One-Sample Test Test Value = 3 T df Sig. Mean 95% Confidence Interval of the Difference Lower Nearness of the store 9.547 199 .000 .92 .73 Upper 0.11

(2-tailed) Difference

Inference: Here the test is performed at 95% significance level and the p-value comes out as 0.000 which is less than 0.05, it means that the null hypothesis H0 is rejected and alternative hypothesis is accepted and it can be said that there is significant difference between calculated mean and hypothesized mean. From the Mean value (3.92)& t-test value we can analyzed that customer are above neutral level i.e. agree with that The store is near to their home and nearness of the store is one of the important criteria consider by them while taking purchase decision

ONE SAMPLE t- TEST Ho: There is no significant difference between actual mean and hypothesis mean. In other words, respondents are Natural to all statement.

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H1: There is significant difference between actual mean and hypothesis mean. In other words, respondents are not natural to all statement. Confidence level : 95% Test: Here we use one sample t-test because data are interval in Nature. And we want to find out the direction of the extent respondents are agree with given statement using 5-point scale.

Summery of One-Sample t-test

T value 23.188 16.903 16.046 10.905 5.654 12.505 12.730 9.547 Sig. (2tailed) .000 .000 .000 .000 .000 .000 .000

Statements Quality Cleanliness Atmosphere and decor Courtesy of service Speed of service Varieties Price Nearness of store

Mean 4.14 3.95 3.95 3.70 3.41 3.78 3.74 3.92

We have seen in above table that all t-value are positive and mean is also above three i.e. Neutral. Our all respondents are positively agreed with all the statements. All Ho (Null Hypothesis) are rejected because Sig. value is less than 0.05, so our H1 (Alternative Hypothesis) are accepted i.e. significant difference between actual mean and hypothesis mean. In other words, our all Ho are positively rejected, it means respondents are agree with all the statements.

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33

Factor Analysis :
KMO and Bartlett's Test Kaiser-Meyer-Olkin Measure of Sampling Adequacy. Bartlett's Test Approx. of Sphericity Square df Sig. Chi-

.791 420.811 28 .000

KMO measure whether our distribution of values is adequate for conducting factor analysis. Kaiser himself designates level as follows: A measure >.9 is marvelous, >.8 is meritorious, >.7 is middling, >.6 is mediocre, >.5 is miserable, and <.5 is unacceptable. In this case, KMO value is .791, it is near to .8 so we can say that level of distribution value of data set is meritorious. Bartlett Test of Sphericity is a measure of the multivariate normality of your set of distributions. It also tests whether the correlation matrix is an identity matrix (Factor analysis is meaning less without identity matrix). A significance value <0.05 indicates that these data do not produce an identity matrix (or differ significantly from identity) and are thus approximately multivariate normal and acceptable for factor analysis. In this case, Bartlett Test of Sphericity is less than 0.05 so our set of distribution is multivariate normal and acceptable for Factor Analysis.

Total Variance Explained

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Component Initial Eigenvalues Total % of Cumulati Variance ve % 1 3.270 40.871 40.871 2 1.079 13.493 54.363 3 .944 11.797 66.161 4 .803 10.0438 76.204 5 .651 8.140 84.344 6 .563 7.041 91.384 7 .364 4.556 95.940 8 .325 4.060 100.000 Extraction Method: Principal Component Analysis. There are two factors with Eigenvalues larger than 1.0 and they account 54% of total variance.

Rotated Component Matrix (a) Component 1 2 .739 9008E-02

Quality

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Cleanliness .863 Atmospher .722 e decor .386 Courtesy of services Speed services Verities Price Nearness of .364 .676 .674 .201 and

.277 .328

.692

.736 3.370E-02 -1.18E-02

-.605 of store Extraction Method: Principal Component Analysis. Rotation Method: Varimax with Kaiser Normalization. a Rotation converged in 3 iterations. Factor 1- Quality, Cleanliness, Atmosphere and Dcor = Value for Money Product Factor 2: Courtesy of services, Speed of services = Quick Service

Cross Tabulation:
Between Income and Purchase frequency
Purchase frequency

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At least once in Once in Once in a week Dependent 37.5% Below Rs. 12.0% 15000 Rs.1500112.0% Rs.25000 Above Rs. 7.5% 25000 69.0% a month a year 12.5% 0 9.0% 5.5% 3.0% 30.0% 1.0% 0 0 1.0% Total 50% 22.0% 17.5% 10.5% 100.0%

INCOME

Total

From the above table we can say the purchase frequency is higher in dependent i.e. 50% and the weekly shoppers are also higher in it 37.5%. Chi-Square Test Ho: There is no dependency between Income and Purchase Frequency. H1: There is dependency between Income and Purchase Frequency. Asymp. Pearson Chi-Square Fisher's Exact Test Linear-by-Linear Association N of Valid Cases Value 11.581 15.238 .556 200 df 6 1 sided) .072 .105 .456 Sig. (2-

Value of the Pearson Chi-Square is 11.581; Sig. value is greater then than 0.05, it means there is no dependency between Income and Purchase frequency. Linear-by-Linear Association test whether the two variable correlate with each other. Here Sig. value is 0.456, so it indicates the meaningless correlation between Income and Purchase frequency.

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Between Age and Purchase frequency

Purchase frequency At least once in a Once in Once in AGE Below 20 years 20-30 Years 31-40 Years 41-50 Years 51-60 Years week 4.5% 30.5% 20.0% 8.0% 3.5% a month 1.5% 10.5% 12.0% 5.0% 1.0% 0 30.0% a year 0 0 0 1.0% 0 0 1.0% Total 6.0% 41.0% 32.0% 14.0% 4.5% 2.5% 100%

Above 60 Years 2.5% Total 69%

From the above table we can say that the age group between 20-30 years and 31-40 years should be the target customer of Dhirajsons because the purchase frequency is higher in it i.e. 41% and 32%.

Chi-Square Test Ho: There is no dependency between Age and Purchase Frequency H1: There is dependency between Age and Purchase Frequency Asymp. Pearson Chi-Square Fisher's Exact Test Linear-by-Linear Association N of Valid Cases Value 18.266 15.238 .534 200 df 10 1 (2-sided) .051 .124 .465 Sig.

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Value of the Pearson Chi-Square is 18.266; it means the two variables are dependent to each other. Sig. value is Greater than 0.05, it means there is no dependency between Age and Purchase frequency. Linear-by-Linear Association test whether the two variable correlate with each other. Here Sig. value is 0.465, so it indicates the meaningless correlation between Age and Purchase frequency.

Between Occupation and Purchase frequency

Purchase frequency At least Once in Once in year 0.5% 0.5% 1.0% a Total 10.5% 38.5% 18.5% 5.5% 24.5% 2.5% 100% month 3.0 % 9.5% 5.0% 2.0% 10.0% 5.0% 30.0%

once in a a OCCUPATION Students Housewife Business Professional Service Retired Total week 7.5% 29.0% 13.0% 3.5% 14.0% 2.0% 69.0%

From the above table we can say the housewifes more purchase from the store, then the service people. Chi-Square Test Ho: There is no dependency between Occupation and Purchase Frequency. H1: There is dependency between Occupation and Purchase Frequency. Asymp. Pearson Chi-Square Fisher's Exact Test Linear-by-Linear Value 7.426 8.012 3.434 df 10 1 (2-sided) .685 . .064 Sig.

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Association N of Valid Cases 200

Value of the Pearson Chi-Square is 7.426; it means the two variable are less dependent to each other. Sig. value is greater then than 0.05, it means there is no dependency between Occupation and Purchase frequency. Linear-by-Linear Association test whether the two variable correlate with each other. Here Sig. value is 0.064, so it indicates the meaningless correlation between Occupation and Purchase frequency.

Gender and Purchase frequency Purchase frequency At least Once once in a Once in in GENDER Total Male Female week 25.5% 43.5 % 69.0% a month 15.5% 14.5% 30.0% year 1.0% 0 1.0% a Total 42.0% 58.0% 100.0%

From the above table we can say the purchase frequency is higher in female i.e. 58.0% Chi-Square Tests

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Ho: There is no dependency between Gender and Purchase Frequency H1: There is dependency between Gender and Purchase Frequency Asymp. Sig. (2Value df Pearson 6.504 Square Fisher's Exact Test 7.198 Linear-by-Linear 5.667 Association N of Valid Cases 200 Chi2 sided) .039 .027 1 .017

Value of the Pearson Chi-Square is 6.504; it means the two variables are very less dependent to each other. Sig. value is less than 0.05; it means there is dependency between Gender and Purchase frequency toward Dhiraj Sons. Chi-Square Test Marital Status and Purchase frequency Purchase frequency At least Once in once in a STATUS Total a week Married 21.5% Single 47.5% 69.0% month 5.5% 24.5% 30.0% Once in a year 0 1.0% 1.0% Total 27.0% 73.0% 100%

From the above table we can say that the purchase frequency is higher in the Single group. Chi-square test Ho: There is no dependency between marital status and Purchase Frequency 41

H1: There is dependency between marital status and Purchase Frequency Asymp. Sig. (2Value df Pearson 4.238 Square Fisher's Exact Test 4.912 Linear-by-Linear 4.190 Association N of Valid Cases 200 Chi2 sided) .120 .086 1 .041

Value of the Pearson Chi-Square is 4.238; it means the two variables are very less dependent to each other. Sig. value is greater than 0.05, it means there is no dependency between marital status and Purchase frequency toward Dhiraj Sons.

Education and Purchase frequency

Purchase frequency At least once in a Once week EDUCATION Illiterate 1.5% S.S.C. 6.5% H.S.C. 8.0% Graduate 35.0% Post 15.5% Graduate Other 2.5% Total 69% in Once in a year 0 0 0 0.5% 0.5 % 2.0% 1.0% Total 2.0% 12.5% 11.5% 49.5% 21.5% 3.0% 100% 42 a month 0.5% 6.0% 3.5% 14.0% 5.5% 0.5% 30.0%

From the above table we can say the purchase frequency is hire in the graduate then after the post graduate. Chi-square test Ho: There is no dependency between Education and Purchase Frequency H1: There is dependency between Education and Purchase Frequency

Asymp. Sig. (2Pearson Chi-Square Fisher's Exact Test Linear-by-Linear Association N of Valid Cases Value 6.512 6.278 1.671 200 df 10 1 sided) .802 .791 .196

Value of the Pearson Chi-Square is 6.512; it means the two variable are less dependent to each other. Sig. value is greater than 0.05, it means there is no dependency between Education and Purchase frequency toward Dhiraj Sons. Linear-by-Linear Association test whether the two variable correlate with each other. Here Sig. value is 0.196, so it indicates the meaningless correlation between Education and Purchase frequency.

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Demographic Profile of Customers:

Age group Age group Below 20 21-30 31-40 41-50 51-60 Above 60 Total Frequency 12 82 64 28 9 5 200
Age

Percent 6.0 41.0 32.0 14.0 4.50 2.50 100

Below 20 21-30 31-40 41-50 51-60 Abov 60 e

Inference:

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From the above graph 41.0% responded out of 100, visit Dhiraj Sons are of 20-30 years therefore we can says that the 20-30 years youngsters prefer shopping at Dhiraj Sons. So our target customer group id 21 year to 40 years old people.

Income
Income Dependent Below 15000 15001-25000 Above 25000 Total Frequency 100 44 35 21 200 Percent 50.0 22.0 17.5 10.5 100

income

>25000

15001-25000

Dependent

>15000

Inference:

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From the above graph 50.0% responded out of 100, visit Dhiraj Sons are dependent therefore we can says that the most of customers comes Dhiraj Sons are dependent. So we can try to influence those customers who are independent by income.

Occupation
Frequency Occupation Student Housewife Business Professional Service Retire Total 21 77 37 11 49 5 200 Percent 10.5 38.5 18.5 5.5 24.5 2.5 100

Occupation
Retire

Student

Service

Professional

Housew ife

Business

Inference:

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From the above graph 38.5% responded out of 100, visit Dhiraj Sons are housewives therefore we can says that the Most of Housewives are comes at Dhiraj Sons.

Marital status
Marital status Single Married Total Frequency 54 146 200 Percent 27 73 100

Marital status

Single

Married

Inference: From the above graph 73% responded out of 100, visit Dhiraj Sons are married therefore we can says that the married customers visit Dhiraj Sons most. 47

Education
Education Illiterate S.S.C H.S.C Graduate Post graduate Other Total Frequency 4 25 23 99 43 6 200 Percent 2.0 12.5 11.5 49.5 21.5 3.0 100

Education
Illetrate S.S.C Post graduate

Other

H.S.C

Graduate

Inference: From the above graph 49.5% responded out of 100, visit Dhiraj Sons are Graduate therefore we can says that the people comes at Dhiraj Sons most of them are Graduate.

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Gender
Gender Male Female Total Frequency 84 116 200 Percent 42.0 58.0 100

gender

Male

Female

Inference: From the above graph 58% responded out of 100, visit Dhiraj Sons are female therefore we can says that the most of females are the customers of Dhiraj Sons.

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FINDINGS: All together 69%of Responders visit Dhiraj sons Once in a week and 30% customers are visit the Dhiraj sons once in a month and only 1% customers are the yearly shoppers. The customers are above neutral level with statement that merchandise quality of the store is good. - Over all cleanliness of the store is good. - Atmosphere and decoration of the store is good. - Courtesy of service from employee is good enough. - Speed of service in the store is good. - Varieties of merchandise are available in the store. - The price of merchandise is reasonable. - The store is near to their home. 82.8% customers believe that quality of the merchandise in the store is good. 79% customers believe that over all cleanliness of the store is good. 79% customers believe that atmosphere and decoration of the store is good enough. 74% customers believe that courtesy of services from the employees is good enough. 68.2% customers believe that speed of the services of the store is good enough.

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 75.6% customers believe that varieties of the merchandise are available in the store. 74.8% customers believe that price is reasonable. 78.4% customers believe that the store is near to their home. In this case, KMO value is .791, it is near to .8 so we can say that level of distribution value of data set is meritorious. According to Factor Analysis Following two important factors which are consider most important while taking purchase decision Value for Money Product and Quick Services. The meaningless correlation between Income and Purchase

frequency, Age and Purchase frequency, Occupation and Purchase frequency and tabulation. Level of distribution value of data set is 87.88% reliable. Gender and Purchase frequency as per the cross

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CONCLUSION
The responders are not satisfied with the speed of the service provide by the Dhiraj sons. The purchase frequency is higher in weekly shoppers. The quality of product provided by the Dhiraj sons is appreciated by the responders. The most of the peoples are mostly come at least once in a week. The important variable consider by responders are quality,

cleanliness and atmosphere & decoration while taking purchase decision The other important variables are courtesy and speed of the services.

Factors important for customer are Value for Money Product (Quality, Cleanliness, Atmosphere and Dcor) Quick Service (Courtesy of services, Speed of services)

Over all qualitative evaluation is good because responder are above the neutral level with the all the statement.

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 Dhiraj sons have a convenient location because 78.4% customers believe that the store is near to their home.

SUGGESION
Dhiraj sons should attract the monthly shoppers in order to increase the sales by introducing such weekly schemes. Dhiraj sons should increase its speed of services of the store. To increase Courtesy of service from the employees Dhiraj sons should conduct training program for their employees. As per the factor analysis Dhiraj sons is lacking in the factor of reasonable price so focus on it by making the price of merchandise reasonable and provide different discount offers for the customers. The good features looked by the customers in a store are Quality, Cleanliness, Atmosphere and Decoration, Courtesy of services, Speed of services so continue to focus on these factors.

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Reference
D. Huff, "A Programmed Solution for Approximating an Optimal Retail Location, Land Economics, (August, 1966) D. Huff and L. Blue, "A Programmed Solution for Estimating Retail Sales Potentials," (Lawrence, Kansas, Center for Regional Studies, University of Kansas, 1966). M. Nakanishi and L. Cooper, "Parameter Estimation for a Multiplicative Competitive -Interaction Model-Least Squares Approach," Journal or Marketing Research, (August, 1974). R. Nelson, The Selection of Retail Locations, (New York, F.W. Dodge Corporation, 1958). T. Stanley and M. Sewall, "Image Inputs to a Probabilistic Model: Predicting Retail Potential," Journal of Marketing, (July, 1976). Donald R Cooper & Pamela S Schindler Business Research Methods Eighth Edition (2003), Tata McGraw-Hill, New York. Darren George & Paul Mallery, SPSS For Windows Step By Step, Sixth Edition (2006), Pearson Education, Inc. S P Gupta, Statistical Methods, Thirty Fifth Revised Edition (2007), Sultan Chand & Sons Education Publishers, New Delhi

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http://www.dhirajsonsmegastorepvt/ltd.htm

QUESTIONNAIR
I, Chetna Patel, student of F.Y.M.B.A from Shrimad Rajchandra institute of management and computer application, Tarsadi, Bardoli, doing this summer research training on DETERMINATION OF RETAIL PATRONAGE at Dhiraj sons Surat. Can you spend five minute to answer the following questions. This study is for academic purpose only. No information should be disclosed anywhere. (Give ( )mark.) 1. How frequently you come to Dhiraj sons? At least once in a week_________ In a month______ ( ) 1 time ( ) 2 time ( ) 3 time In a year________

( )1-3 time ( ) 7-9 time ( ) 10-12 time ( ) less then 12 2. How much is the distance of Dhiraj sons from your home:______(km)

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3. Indicate to what extent you agree with the following statement using 5point scale given below. (Strongly Agree=5, Agree=4, Neutral=3, Disagree=2, Strongly Disagree=1)

Sr no 1 2

statements The quality of merchandise of store is good Overall cleanliness of the store is good. Atmosphere and dcor of the store is good enough Courtesy of services from employee is good enough Speeds of service in the store are good. Varieties of merchandise in store are available Price of merchandise is

Strongly Agree

Agre e

Strongly Neutral Disagree Disagree

5 6

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reasonable The store is near to your home(less than 1 km)

Demographic profile; 1. Name:__________________________ 2. Contact no:_____________________ 3. Address:________________________

4. Age group: Below 20 Years 31-40 years 51-60 years 20-30 years 41-50 years Above 60 years

5. Monthly House hold Income

Dependent 15001-25000Rs 6. Marital status; 7. Gender: 8. Occupation: Student Business Service 9. Education illiterate H.S.C S.S.C Graduate 57 Housewife Professional Retired Single Male Below 15000Rs. Above 25001 Married Female

Post graduate

Other________

Thank you

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