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    A

    WINTER PROJECT REPORT

    OnBuying Behavior of consumers of age group18-25 for milk chocolate bars with specialreference to:-

    (A study in Rohtak)

    Kedarnath Aggarwal Institute of ManagementSession 2010-2012

    Under Supervision to: Submitted By:Miss Nitu Munjal Ombir

    (Lec.inKAIM) MBA 4th Sem.10085

    Kedarnath Aggarwal Institute of ManagementCh.DadriAffiliated to Maharishi Dayanand University, Rohtak

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    DECLARATION

    I OMBIR Roll No.10085 student of class MBA 4TH Sem.10 hereby declare the

    project entitled BUYING BEHAVIOR OF CONSUMER OF AGE GROUP 18-25

    FOR MILK CHOCOLATE BARS is an original work and same has not been

    submitted to any other institution for awards of any other degree partially or

    wholly.

    (Signature of Candidate)

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    CERTIFICATE

    It is certified that the project entitled BUYING BEHAVIOR OF CONSUMERS OF

    AGE GROUP 18-25 FOR MILK CHOCOLATE BARS submitted to IMSAR

    (M.D.U), Rohtak in partial fulfillment of the requirement for M.B.A course has

    been carried out under my supervision.

    It is further certified that it is a record of bonafide & original work done by

    OMBIR for the award of the said degree.

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    ACKNOWLEDGEMENT

    Preservation, inspiration and motivation have always played a key role in thesuccess of any venture. In the present world of cut throat competition project is

    likely a bridge between theoretical and practical working, willingly I haveprepared this particular project.

    First of all I would like to thank the supreme power, the almighty God whois obviously the one who has always directed me to work on the right path of mylife. With his grace this project could become a reality.

    I feel highly delighted with the way mydissertation report on topic

    Buying Behavior of consumers of age group18-25 for milk chocolate bars with specialreference to:-(A study in Rohtak)

    Any accomplishment requires the effort of many people and this work is notdifferent. Firstly, I would like to extend my sincere thanks to Miss NituMunjal(Lec.in KAIM) for his able guidance, regular counseling, keen interestand constant encouragement, without this the project would not have asuccessful end. I am highly thankful to him for his helpful attitude, regularcoaching and inspiration.

    I sincerely thank to all the faculty members and the staff associated fortheir support given to me time to time. Also, I would like to thank to all my friendsand family members for their support given to me time to time. I dont have wordsto express my thanks, but still my heart is full of gratitude for the favors received

    by me from the every person.

    (OMBIR)

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    PREFACE

    The customer is king. Finally ten years after the liberalization of Indias economy

    began. The market place has, suddenly become tightening competitive. Not only

    have new players stormed into the country, there are more brands available then

    ever before in every segment of every market. The customer today buys only

    that which meets his/her every desire. This demands more intimate

    understanding of the customer by the Smart Companies the study has been

    divided into six parts.

    First part contains briefly the CHOCOLATES, history of chocolates, along with

    the development of passion for chocolates.Second part presents an overview of evolution of chocolates, chocolate industry-

    growth and competition in various categories. Major players in this industry.

    Third and Forth part includes a brief profile about the consumer behavior &

    Research Methodology for the study. This part describes the term consumer

    behavior and its importance.

    Part five deals with the Analysis & Discussion. Important findings have been

    discussed at last for better understanding.

    Lastly, Part six namely Findings & Recommendation highlights the major

    findings during the course of the study. Accordingly, recommendations have

    been made.

    OMBIR

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    CONTENTS

    TOPICS PAGE NO.

    Introduction to the study 7-24

    Objectives of the study 25

    Research Methodology 27-32

    A. Problem Statement

    B. Research Design

    Area of Study Objective of the Study

    C. Data Collection

    Data Collection Methods

    Data Collection TechniquesD. Sampling Design

    Sampling Unit

    Sample Size

    Sampling Techniques

    Limitations of the study

    Analysis & Interpretation 33-42

    Findings 43-46

    Conclusions 43-46

    Suggestions 45-46

    Annexure 47-50

    Questionnaire Bibliography

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    INTRODUCTION

    TO THE STUDY

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    INTRODUCTION

    This project is about preference of the consumers towards FMCG products i.e.

    chocolates in domestic market (in special context of nestle, Cadbury & Amul

    chocolates)

    The story of chocolate began in the new world with the Mayans, and also the

    word chocolate comes from the Mayan word xocoatl, and the word cocoa from

    the azlec cacahuati, who drank a dark brew called cacahuaquchtl. Later, the

    Aztec consumed chacahoua and used the cocoa bean for currency. In 1523,

    they offered cocoa beans to Cortez, who introduced chocolate to the world,

    where it swiftly became a favorite food among the rich and noble of Europe.

    From the beginning, turning raw, bitter cocoa beans into what one 17th century

    writer called the only true food of the gods has been a fine art, a delicate

    mixture of alchemy and science. Centuries ago it was discovered that fermenting

    and roasting the beans could create an almost otherworldly flavor. In 1875, after

    years of trying, a 31-year-old candy maker in vevey named Daniel peter figured

    out how to combine milk and cocoa power.

    The ancient Aztecs believed chocolateTo be the FOOD OF THE GOD

    Firstly, there is a need to know about the chocolatethat what is chocolate. Whychocolate is the most popular dessert flavoring around.

    MEANING OF CHOCOLATE:-1. A preparation of the seed of cocoa, roasted, husked, and ground (without

    removing any of the fat), often sweetened and flavored, as with vanilla.

    2. A beverage or confection made from this.

    3. Dark brown.

    4. A divine substance inspiring passion in those who consume it.

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    ORIGIN OF CHOCOLATE

    The word chocolate comes from the Mayan word xocoatl, and the word cocoa

    from the Aztec cacahuatl. In Mexico, the beverage was called chocolath, from

    lath (water) and choco. Supposedly the Spaniard found the Mexican word har to

    pronounce and called it cacao. Chocolath, chocolath, chocolath. Puff puff. See? I

    did it! (But lets stick to cocoa) *LoI*

    From cocoa to chocolate

    Sorting, clearing, frying, crushing, grinding is the only small part of stages ofproduction cycle transforming cocoa beans in chocolate, which we eat.

    Chocolate is really the unique product, tasty, highly nutritive (about 550 kkal in

    100gm of a product), capable to be stored by years without change of properties.

    It contains 50-55% of carbohydrates, 32-35% of fat, 5-6% of fibers. And also

    tannin substances (4-5%), stimulators-the bromine and caffeine (1-1.5%),

    microelements Na, K, Mg, P, Fe and vitamins B1, & B2.

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    HISTORY OF CHOCOLATE

    The discovery of cocoa was only a first step in the direction of chocolate. The

    Mayas were the first to cultivate the cocoa bean for the fruits it yielded. They

    used the beans as an ingredient in their favorite chocolate drink xocotlatl.

    Legend suggests that the first beans came out of paradise and lent wisdom and

    power to the person that ate them. For obvious reasons, the use of cocoa was

    kept to a minimum by the emperors.

    Before the Spanish explorers discovered the New World, chocolates and other

    exotic foods were totally unknown in Europe. Columbus was the first European

    to become acquainted with cocoa, but he wasnt exactly impressed.

    During one of his conquest in the New World he met the Aztecs. For manygenerations, they drank an infusion of grilled seeds and spices. This mixture

    tasted disgusting and it also contained cocoa beans. The Aztecs adopted the

    ides of cocoa consumption from the Mayas.

    However the conquistadors pizzaro and, in particular, Cortes did show interest in

    the bean. Fernando Cortes reached the east coast of Mexico in 1519. as an

    honored guest of Montezuma (Aztec emperor and inveterate chocolate fanatic)

    he was offered xocotlatl a small portion of aromatic chocolate drink mixed eith

    vanilla, pepper and other herbs.

    For the Mayas, cocoa beans were very important, not only were they a poplar

    means of exchange, they also had a religious value. The Mayas sacrificed cocoa

    beans at the funerals of the upper class.

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    EVOLUTION OF CHOCOLATE

    (1753-1849)

    1753 Swedish biologist Carolus Linnaeus revealed his feeling for

    chocolate while attending to the task of classifying organisms in a

    binomial system. To the chocolate

    tree he gave the botanical name of theobroma cacao. Cacao refers

    back to the original native language. Theobroma is a Latin term

    that translates to food of the gods.

    1765 In 1765 the Englishman James Watt invented the steam engine and in

    doing so set in motion what we now refer to as the industrial

    revolution. Around the same time in the colony of Massachusetts

    one of the first machine oriented chocolate manufacturing

    businesses was being established. The partnership of John

    Hannon, an Irishman, and Dr. James Banker of the Massachusetts

    colony formed the company Hannons Best chocolate. Through the

    use of an old grist mill, cacao beans were ground into chocolate

    liquor, pressed into cakes of paste for eventual use as a chocolate

    beverage. During a routine trading mission to the West Indies,Hannon was presumed dead when his ship failed to returned. The

    name of the company subsequently changed to the Baker

    Company. It was not until 1927 that the Baker family sold their

    business to General Foods.

    1774 The mysterious rumors that surrounded the death of pope clement

    XIV, give credence to the notion that chocolate had become a

    favorable way of distinguish poison. The pope died after consuming

    a chocolate beverage, which also killed the unwritten confectioner

    who shared in the consumption. Through there is no proof, the

    Jesuits are suspected to have arranged his demise. The pope had

    been in opposition to the Jesuits, and they were known chocolate

    drinkers. So the conclusion, while not provable, is not unfounded.

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    1819 Francois Louis Cailler opened a chocolate factory on lake Geneva

    near Vevey. He used machinery he had developed himself, making

    him a pioneer in the evolution of Swiss chocolate.

    1828 Chocolate maker and chemist Coenraad Van Houten developed

    the process now known as Dutching. His patented invention

    involved the removal of close to half of the cocoa butter from

    chocolate liquor through the use of hydraulic pressure. The removal

    of the cocoa butter resulted in a commensurate decrease in fat

    content. Instead of fifty percent, the hard cake that was let from this

    process had a fat content of only Twenty-Five percent. The cake

    could then be crushed into a powder. The use of alkaline salt

    allowed for easier mixing with warm water. It also made the color

    darker and had the pleasing affect of a less bitter taste. This

    invention would be the key in the development of chocolate as a

    confection.

    1847 Joseph Fry was a Quaker who began manufacturing chocolate

    under the name of Joseph Fry & Sons. While the original Joseph

    Fry left the company to become a type founder, his sons continued

    the business. One of his sons, another Joseph Fry, purchased a

    Watts steam engine in 1789 to more efficiently grind cacao. Agreat-grandson of the original Joseph Fry led the business toward

    the development of edible chocolate. Hoe found that by remixing

    some of the cocoa butter back into the processed Dutched cocoa

    powder and adding sugar, a paste was formed that could be

    pressed into molds. The effect of this was a chocolate bar that

    gathered as much attention as chocolate beverages had.

    1849 Ghirardelli, an Italian native, planned early on having a chocolate

    business. However, he traveled first to Uruguay and then to Peru

    before setting in California in 1849. Though he had been attracted

    by the Gold Rush, he soon learned that there was more reliable

    profit to be had selling tents to other gold miners than in actual

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    mining. He used the money he saved and started the Ghirardelli

    chocolate factory, which is still located in San Francisco.

    (1850-1986)

    1850s Prime Minister William Gladstone, in an effort to boost the

    economy, lowered the taxes on cacao beans, allowing British

    manufacturers to expand their market.

    1860 British FDA is founded. A British journal called the Lancet

    discovered that many chocolate manufacturers were employing

    various methods of Cutting chocolate with something less

    expensive. One report revealed that cocoa powder was being

    thinned with brick powder. Stirred to respond, the British

    government passed its first food and drug act in 1860.

    1868 John Cadbury was another Qyaker who became interested in

    chocolate production. In 1824 he had opened a Grocery store in

    Birmingham, England. Cadbury featured cacao beans that he

    would roast and grind himself. In time he realized the interest and

    profitability in changing his focus to manufacturing of chocolate.

    Cadbury became so renowned that he received a Royal Warrant in

    1854 to be the single cocoa and chocolate provider for QueenVictoria. Richard and George Cadbury took over their fathers

    business and in 1866 purchase a Van Houton machine. They

    began to market Cadbury cocoa powder. By 1868, the Cadbury

    Company produced the first box of chocolate candies. Their

    business continues to flourish, and in 1879 they took over the

    Birmingham suburb of Bourneville. The factory they built there

    supported a town, providing both worker housing and recreational

    facilities.

    1879 During the same period that Cadbury was developing into a

    formidable chocolate force, a Swiss chocolate manufacturer was

    struggling to find a way to combine chocolate with milk. Daniel

    Peter could not produce something with a smooth consistency

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    because the milk could be made more shelf-stable for use a baby

    formula. The product of Nestles experimentation was a sweetened

    condensed milk. The new milk, which had lesser water, was

    mixable with chocolate and made a product that would not spoil

    easily. Henri Nestle and Daniel Peter formed a company in 1879.

    Today, the largest food company in the world is Nestle.

    1879 A conching machine was created in 1879 that allowed for the

    smoothest chocolate yet. Rudolf Lindt used a concave granite bed

    where chocolate liquor, sugar, and milk if desired, would be ground

    back and forth by heavy rollers. Lindt named his chocolate

    Fondants because their texture was as smooth as the popular

    creamy candies. The process of conching soon became a part of

    common chocolate manufacturing. In addition, the friction of the

    rollers produced a heat that made roasting an unnecessary steps.

    Today, the rollers in conching machines are kept at a controlled

    temperature for an even higher quality.

    1893 Milton Suavely Hershey was a Mennonite from Pennsylvania who

    owned a caramel manufacturing plant. When he visited the world

    Colombian Exposition in Chicago his interest was initially to

    purchase and use machines to make chocolate covered candies.His interest changed course after visiting Europe and researching

    the many chocolate manufacturers there. Hershey then decided to

    focus his business on chocolate production and in 1900 he

    introduced to the world the milk chocolate Hershey bar. It was

    followed five years later by the Hershey kiss. With business

    expanding beyond expectation, Milton Hershey took over the town

    of Derry Church, Pennsylvania and renamed it Hershey. Thought

    he also developed a Hershey, Cuba around a sugar mill he owned,

    Milton Hershey was focused out of Cuba in1959 when Castro

    gained control. Today Hershey, Pennsylvania is an impressive

    tourist attraction.

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    1908 The triangular Toblerone chocolate bar was created and launched

    into market by Swiss chocolate maker Jean Tobler.

    1913 Swiss chocolate maker Jules Sechaud invented the chocolate filled

    bonbon.

    1929 At the end of the twentieth century Cellas Confections, on West

    Broadway and canal, was a part of many factories that made up

    New York Citys confectionary district. In 1929 their candy factory

    began manufacturing chocolate-covered cherries. Today, while the

    other confectioneries have disappeared, Cellas remains.

    1936 Philip Silverstein owned a candy company on Delancey Street in

    New York City. In 1936 he created a thick, nut and raisin filled

    chocolate bar, known as the Chunky Bar.

    1940s As the United States geared up for a war in Europe, Militon

    Hershey suggested an addition be made to the standard soldiers

    D-Ration. The American military began to include three 4 ounce,

    600 calorie chocolate

    bars in each D-Ration. While from todays perspective this may seem

    odd, the Aztecs had used chocolate for the edification of their own

    warriors. In addition to lifting the energy and spirits of the troopsduring World War II, the chocolate bars became associated with

    peace, as malnourished holocaust survivors were rescued by

    American troops offering chocolate.

    1986 When Jim Walsh left his life as an adventures executive in

    Chicago, he decided to move to Hawaii to start a chocolate

    business. He purchased plantations on Keaau and Kona, and

    decided to use the fine criollo cacao beans for his foundation. The

    beans he harvested are sent to California, after they have been

    fermented and dried, and are processed into high quality chocolate.

    Only available through mail order, the chocolate is used primarily

    by pastry chefs.

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    MAJOR PLAYER IN THE MARKET

    CADBURY (INDIA)

    Trading at rs.850, the Cadbury (India) stock presents a good long-term

    investment option.

    After hitting a high of Rs. 981 in March 2000, the stock retraced to its present

    level. The current price discounts the latest EPS 49 times. With good growth

    protects ahead and a strong financial background, the stock may hold good

    potential for steady returns over the long term.

    Cadbury (India), subsidiary of Cadbury Schweppes Overseas, is one of the

    leading players in the chocolate and sugar confectionary segment. The parent

    has a 51 percent stake in the company. For the year-ended December 1999,

    close to 76 percent of the sales turnover was derived from chocolate followed by

    malted foods (22 percent).

    Cadbury (India) has for long been the leading player in the chocolate industry. It

    is virtually a household name with leading brands such as Five Star and Dairy

    Milk. Of late, the company has been flooding the market with new launches.

    Among the successes of recent years are Perk and Picnic.

    In the malted food segmented, Bournvita is one among the popular brands.

    However, the health- drink segment has failed to lead support to the companys

    bottom-line in the recent past. Volumes in Bournvita have been deciding forsome time. However, this is not likely to be a drag on the profitability.

    Cadbury (India) has levered on its marketing strengths and product range.

    Competition may stem from players such as nestle in the near term. Apart from

    this, other new players such as Mars and Hersheys may have an impact on the

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    level of competition. However, the reduction in the excise duty on malted drinks

    and chocolates and the lower import duties on cocoa is likely to have a positive

    impact on the cost-structure of the firm.

    The earnings performance of 2000 first quarter was impressive. Sales revenue

    rose 20 per cent to Rs. 139.34 crores compared to the corresponding previous

    period. Operating margins declined marginally from 16.4 per cent to 15.7 per

    cent. Post-tax earnings rose an 11.5 per cent to Rs. 10.34 crores. If the top line

    growth is sustained at this level, it could provide a boost and growth over the

    long term. Shareholders can stay invested.

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    NESTLE

    The story of chocolate began in the new World with the Mayans, who drank a

    dark brew called cacahuaquchtl. Later, the Aztecs consumed chacahoua and

    used the cocoa bean for currency. In 1523, they offered cocoa beans to Cortez,

    who introduced chocolate to the world, where it swiftly became a favorite food

    among the rich and noble of Europe.

    From the beginning, tuning raw, bitter cocoa beans into what one 17 th century

    writer called the only true food of the gods has been a fine art, a delicate

    mixture of alchemy and science. Centuries ago it was discovered that by

    fermenting and roasting the beans, an almost otherworldly flavor could becreated. In 1875, after tears of trying, a 31-year-old candy maker in Vevey

    named Daniel Peter figured out how to combine milk and cocoa powder. The

    result-milk chocolate. Peter, a friend and neighbor of Henri Nestle, started a

    company that would quickly become the worlds leading maker of chocolate. For

    three decades the company called Peter, Cailler, Kohler relied on Nestle for milk

    and marketing expertise. In 1929, the almost inevitable merge took place as

    Nestle acquired Peter, Cailler, and Kohler.

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    AMUL

    AMUL CHOCOLATE is made from Sugar, Cocoa Butter, Milk Solids, Chocolate

    mass Composition Milk Fat 2% Sugar 55% Total fat 32.33% (Milk fat + Cocoa

    Fat) Cocoa Solids 7.5% Milk Solids 20% Product Specifications: Meets all

    requirements under the PFA for boiled sugar confectionary. A gift foe someone

    you love. Amul Chocolate has chosen the phrase A gift of someone for love to

    market their chocolate products.

    Today, GCMMFs Amul brand of milk products receives business queries from

    dozens of countries, ranging fron the U.S. and the Netherlands to Singapore and

    New Zealand-thanks to an innovative marketing campaign on the World WideWeb.

    The round-eyed, Chubby-Cheeked Amul Moppet has been a wildly popular

    advertising fixture, with its punchy one-liners amusing Indian viewers from bus

    stands, lamp kisos and billboards for over thirty years. The ultimate compliment

    to the butter came when a British company recently launched a butter and called

    it Utterlt Butterly, a fitting recognition of the Thorough bred, utterly Butterly

    Delicious Amul. Every week, Amuls topical ads for its butter products are

    posted on its Web site, along with recipes fore Indian dishes featuring Amul

    products. Archives of hundreds of topicals dating back to 1979 are available on

    the site. The topicals have also been carried every day on the Indian World

    home page.

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    ConsumerBehavior

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    INTRODUCTION

    The term consumer behavior refers to the behavior that consumers

    display in searching for, purchasing, using, evaluating and disposing of products

    and services that they expect will satisfy their needs. The study of consumer

    behavior is the study of how individuals make decisions to spend their available

    re- source (time, money, effort) on consumption related items. It includes the

    study of what they buy, why they buy it, when they buy it, where they buy it, how

    often they buy it and how often they use it.

    Information about the pattern of consumption in various segments ofsociety and dynamics of consumer behavior are central to the understanding for

    developing new concepts in marketing. The essence of modern marketing

    concept is that all elements of business should be geared towards identifying

    and satisfying the needs of the consumers.

    Decision Making Process

    The consumers decision to purchase or reject a product is a moments of

    final truth for marketer. It signifies whether the marketing strategy has been wise,

    insightful, and effective, or whether it was poorly planned and missed the mark.

    Thus, marketers are particularly interested in consumers decision-making

    process. We would be discussing a simple model of consumer decision making

    that emotional consumer. The modal, has three major components:

    1) Inputs

    2) Process

    3) Output

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    Product

    Price

    Place

    Promotion

    Firms Marketing Efforts

    Psychological Factors

    Perception

    Motivation

    Attitude

    Learning

    Personality

    Family Reference Group

    Other non-commercial

    influence

    Social class

    Culture and sub-

    culture influences

    Socio culture Environment

    Purchase

    Trial Repurchase

    Post purchase evaluation

    Need recognition

    Information search

    Valuation

    alternatives

    Input

    ocess

    utput

    CONSUMER DECISION MAKING PROCESSExternal influences

    Consumer Decision Making

    Post Purchase Behavior

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    Experience

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    INPUTS

    The input component draws on external influences that serve as sources

    of information about a particular product and influence a consumers product-

    related values and behavior. Chief among these input factors are the marketing

    mix activities of organizations that attempt to communicate the benefits of their

    products and services to their potential customer, and the no marketing socio-

    cultural influences, which, when internalized, affects the consumers purchase

    decision.

    PROCESS

    The process component of the modal is concerned with how consumers

    make decisions. The psychological field represents. The internal influences

    (motivation, perception, learning, personality, and attitudes) that effect the

    consumers decision making processes.

    Prepurchase Activity: After the problem is identified, the buyer indulges in

    prepurchase activity. It is under stood that need is a father of a deed.

    There generally remains a time lag when a person thinks to buy and the

    actual incidence of buying. During this time, the person is energized and is likely

    to be influenced by various factors. Need arousal drives the consumer to collect

    information about the required product. He first indulges in internal search, scans

    his psychological field so as to recollect of retrieve any information or past

    experience related to particular need. His psychological field comprises of his

    past learning. Perception, personality and past experience. If he is not satisfied

    he then goes in for external search and looks for various sources of information.

    The degree of perceived risk can also influence this stage of the decision

    process. In high risk situation they are likely to engage in complex information

    search and evaluation tactics.

    Of key interest to marketer are the various sources of information that the

    consumer will return to and the relative influence that they will have on his buying

    behavior.

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    Evaluation of Alternatives: when evaluating potential alternatives consumers

    tend to use two types of information:

    1. A list of brands from which they plan to make their selection (the evoked

    set), and

    2. The criteria they will use to evaluate each brand.

    The criteria consumers use to evaluate the brands that constitute their

    evoked sets usually are expressed in terms of important product

    attributes. Consumers use certain procedures or rules to facilitate a

    choice among multi attribute objects. Consumers decision rules have

    been broadly classified into two major categories compensatory and non

    compensatory decision rules.

    An understanding of which decision rules consumer apply in

    selecting a particular service or product is useful to marketers concerned

    with formulating a promotional programme.

    Output

    The output portion of consumer decision marking model concerns two

    closely associated kinds of post decision activity. Purchase behavior and post

    purchase evaluation. The objective of both activities is to increase the

    consumers satisfaction with his/her purchase.

    Purchase Behavior: Consumer make two types of purchase and repeat

    purchase. If a consumer purchase a product (or brand) for the first time, and

    buys a smaller quantity than usual, this purchase would be considered a trail.

    Thus, a trail is the exploratory phase of purchase behavior in which consumers

    attempt to evaluate a product through direct use.

    If the new brand is established product category (cola, chewing gum,

    candies) is found by trail to be more satisfactory or better than other brands,

    consumers are likely to repeat the purchase, Repeat purchase behavior is

    closely related to the concept of brand loyalty, which firms try to encourage

    because it contributes to greater stability in the marketplace.

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    OBJECTIVE OF THE STUDY

    1. To study the brand preferences of consumers from the three brands of

    chocolates i.e. Amul, Cadbury, Nestle available in the market.

    2. To find the extent of brand loyalty of consumers that exists among

    different chocolate brands.

    3. To study the influence of various aspects on buying behavior.

    4. To study the usage & brand awareness of chocolates product in among

    the residents of Rohtak.

    5. To checkout the satisfaction level of the consumers for chocolate bars

    they are using.

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    Research

    Methodology

    RESEARCH METHODOLOGY

    Research methodology in a way is a written game plan for conducting research.

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    Research methodology has many dimensions. It includes not only the research

    methods but also considers the logic behind the methods used in the context of

    the study and complains why only a particular method of technique has been

    used. It also helps to understand the assumption underlying various techniques

    and the criteria by which they can decide that certain technique will be applicable

    to certain problems and other will not. Therefore in order to solve a research

    problem, it is necessary to design a research methodology for the problem as the

    some may differ from problem to problem.

    This chapter focuses on the various techniques, methods and

    assumptions used in this study. It sheds light on the research problem,

    objectives of the study, and also its limitations. The later part of the chapter

    explains the manner, in which the data is collected, classified, tabulated,

    analyzed and interrupted so as to each to conclusive results.

    The study is of diagnostic nature and thus the overall research design is

    going to be rigid. The design should provide enough provision for protection

    against bias-ness and must maximize reliability.

    A)PROBLEM STATEMENT:-

    Research work is management parlance is extremely important for a

    given close view of the relatives of the real life business issues. For any

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    management student who is striving to perform outstandingly. It is of paramount

    importance that apart from theoretical knowledge he must also gain some

    practical knowledge. Survey report deals specially with providing an opportunity

    to management students to have some exposure in real business world. My

    study topic deals with Consumer Behavior and different factors that influence

    consumer to purchase a particular brand of chocolates.

    As chocolate is regarded as one of the biggest Fast Moving Consumer

    Good (FMCG), there are many factors in mind of consumer which induce them to

    purchase a particular brand of chocolate. Some of these factors are Price, Taste,

    Packaging, Brand name. Ever changing behavior of consumer, dominance of

    different brands in the market compelled me to undertake a research work in this

    segment. The prime objective of my study is to analyze the effect of various

    factors on buying behavior of consumers.

    B) RESEARCH DESIGN:-

    To analysis the buying behaviors of the residents of Rohtak Sample Survey

    Methods has been employed through other methods are also important. This

    method is given prime significance in modern research because of its extensive

    use to study the relationship of different factors, attitudes and practices of society

    and to explore the problems that cannot be treated by experimental methods.

    To collect data, a number of techniques are employed under the sample

    survey method i.e. questionnaire. The increasing use of questionnaire is

    probably due to increased emphasis by social scientists on quantitative

    measurement to uniformly accumulated data.

    a) Area of study

    The area of the study is different Markets of Rohtak in order to collect the

    Primary data from the respondents.

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    b) Study area

    Study area is Rohtak.

    c) Target Segment

    Consumers of Milk chocolates bars of age group 18-25

    C) SELECTION OF SAMPLE:-

    It becomes impossible to contact each and every individual of the population due

    to limitations of essential resources like time and money. Therefore, the study is

    preferably allowed down to a representation sample to make the study more

    manageable.

    Keeping in the view the objectives and resource limitation of the study,

    100 respondents were considered.

    Respondents - 100(Youths of age group 18-25)

    The selected sample is representative of the population and is accurate

    and practicable.

    D)SAMPLING PLAN:-

    The following factors will be taken into consideration within the scope of

    sampling plan:

    I Sampling Unit: It defines the target population that will be sampled i.e.

    it answers who is to be surveyed. In this study, the sampling unit is youth with in

    the age group of 18-25 years.

    II Sampling Size: - It indicates the numbers of people to be surveyed.

    Though large samples give more reliable results than small samples but due to

    constraints of time and money, the sample size was restricted to 100

    respondents.

    Probability sampling can be of following types:

    Simple random sampling

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    Stratified random sampling

    Cluster (area) sample

    In this case, stratified random sampling was done since the respondents will

    classified into well defined classes or strata that were distinct from each other.

    E) COLLECTION OF DATA:

    After the research problem has been defined and the research design has

    been chalked out, the task of data collection begins. The data can be collected

    mainly through primary sources, but it was supplement with secondary data.

    I Primary data collection:

    Primary data is the data which is collected through observation or direct

    communication with the respondent in one form or another. These are severalmethods for primary data collection like Observation Method, Interview Method,

    through schedules, through questionnaires and so on.

    II Secondary data collection methods:

    Secondary data is collected through

    Magazines

    Journals

    Portals

    Formation of Questionnaire

    Quite often the questionnaire is considered as the heart of a survey

    operation. Hence it should be carefully constructed. It is an investment that is

    widely used to collect various types of data and consists of long lists of questions

    designed to collect any information. It has personally been found that people are

    more frank in giving replies to a questionnaire than to an interview schedule.

    Though being less expensive, it has certain limitations like incomplete entries

    and erroneous responses. But the educational qualification of the respondents is

    an additional factor which renders this technique the most relied upon.

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    Formation of a good questionnaire involves intensive thinking and

    deliberation of the problem with predetermined objective and aims properly

    placed in the questionnaires.

    The questionnaire framed for the purpose of the study consists of a

    limited number of questions placed in logical order. So, that the objective of the

    question is clear to the respondents. All the questions are centered on the

    problem keeping in the mind. The questions were both open and close ended as

    well as multiple choices.

    Analysis of Data:

    Data, after collection, has to be analyzed in accordance will the outline

    laid for the time of developing the research plan. The term analysis refers to the

    computation of certain measures along with searching for patterns of relationship

    that exist among data groups. Data presented in raw state appear unrecognized

    and complex. Statistical processors are used this complex data into some

    significant understandable form.

    LIMITATIONS OF THE STUDY

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    The project was successfully completed with certain inherent limitations. These

    limitations were:

    1) The time of research was short due to which many fact has been left

    untouched.

    2) The Area undertaken in research in Rohtak only. But to do a completer

    research a wide area is required, so the area is also a constraint of the

    study.

    3) Sample for the study taken is of only 100 consumers. This can also act

    as a constraint in the study.

    4) While collecting data some of the consumers are not willing to fill the

    questionnaire, so they might not fill their true behavior. This can also

    be a constraint of the study.

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    Data Analysis&

    Interpretation

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    ANALYSIS AND INTERPRETATION

    Q1. Which companies chocolate do you prefer to purchase?

    Brand Name Percentage

    Cadbury 40

    Nestle 35

    Amul 25

    40%

    35%

    25%Cadbury

    Nestle

    Amul

    As per shown in the Pie chart, the maximum market share is hold by Cadbury.

    And least share is hold by Amul followed by Nestle. And this result is obtained

    from the response of customers towards Questionnaire filled by them for the

    consumption of milk chocolate bars.

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    Q2. What is your pattern of consumption?

    Pattern of consumption Percentage of consumption

    More than one per day 15

    Daily one 25

    3-4 chocolates per week 45

    Weekly 10

    Rarely 5

    As shown in Pie chart, most of the consumers consume milk chocolate bars as

    3-4 per week, which represent 45% of the total number of surveyed consumers.

    And second most percentage of consumers consumes milk chocolate bars are of

    daily one.

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    Percentage of consumption

    15%

    25%

    45%

    10% 5%

    More than one

    per day

    Daily one

    3-4 chocolates

    per week

    Weekely

    Rarely

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    Q3. Do you purchase the same chocolate every time?

    Answer Percentage

    Yes 68

    No 32

    Percentage

    68%

    32%

    Yes

    No

    As pie chart shows, 68% of the consumer purchase the same chocolate every

    time, it means that mostly consumers are brand loyal.32% of consumers dont

    purchase the same chocolate every time.

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    Q4. If no, then while switch over to another brand of chocolate then whatfactor you consider (tick any one)?

    Factors Response PercentagePrice 6 18

    Quality 12 38

    Brand Name 3 9.5

    Advt. and Ref. Group 3 9.5

    Taste 8 25

    Percentage

    18%

    38%10%9%

    25%

    Price

    Quality

    Brand Name

    Advt. and Ref.Group

    Taste

    As shown by the pie chart, 38% of consumers consider Quality as most

    important factor while switching over to any other brand of milk chocolate bars,

    and the second most preferred factor is Taste

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    Q5. Which factor you consider the most while purchasing the chocolate?

    Please tick any one.

    Consumer's consideration Percentage

    Price 16

    Taste 48

    Brand 18

    Packaging 9

    Availability 9

    Percentage

    16%

    48%

    18%

    9% 9%

    Price

    Taste

    Brand

    Packaging

    Other

    48% of the consumer of milk chocolate bars said that the most considering factor

    by them on the basis of which they purchase a particular brand of milk chocolate

    bars is Taste of that milk chocolate bars. And the least interested factor is

    Packaging and Availability.

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    Q6. Which mode of advertisement influence you most to buy a particularChocolate? Please tick any one.

    Media Percentage

    Newspaper 22

    Magazine 14

    Radio 4

    Television 54

    Others(hoardings,banner,pamplets etc) 6

    Percentage

    22%

    14%

    4%54%

    6%

    Newspaper

    Magazine

    Radio

    Television

    Others(hoardings,b

    anner,pamplets etc)

    The buying behavior of consumers is also affected by the different type of

    advertisements. As shown in the pie chart, the most influencing media is

    electronic media i.e. TV, and the second most influencing factor is newspaper.

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    Q7. Which reference group influence you most to buy a particular

    chocolate? Please tick any one.

    Reference Groups Percentage

    Friends 55

    Family 3

    Retailers 1

    Celebrity 39

    Others 2

    Percentage

    55

    31

    39

    2 Friends

    Family

    Retailers

    Celebrity

    Others

    As shown in the pie chart, from reference group friends are the most influencing

    factor which influence consumer to purchase a particular brand of milk chocolate.

    And this statement is supported by 55% of consumers of milk chocolate bars.

    And the second most influencing factor which influence customer to purchase aparticular brand of milk chocolate bar are celebrities , and this statement is

    supported by 39% of consumers.

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    Q8. Whether you check or consider manufacturing and expiry date while

    buying any chocolate?

    ANSWER Percentage

    YES 55

    NO 45

    Percentage

    55%

    45% Yes

    No

    Pie chart says that 55% of the consumer check or consider manufacturing and

    expiring date while buying any chocolate. 45% of consumers dont go for that.

    This should be a matter of concern

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    Q9. How much you are satisfied with the present brand of chocolate which

    you often purchase?

    Satisfaction Level Percentage

    Highly satisfied 27

    Satisfied 32

    Undecided 21

    Dissatisfied 12

    Highly dissatisfied 8

    Percentage

    27%

    32%

    21%

    12%8%

    Highlysatisfied

    Satisfied

    Undecided

    Dissatisfied

    Highlydissatisfied

    About 27%of consumers are highly satisfied with the present brands of Milk

    chocolate bars in Bhiwani and 32% are satisfied. if we consider brand wise then

    milk chocolate bar ofCadbury is the most preferred brand in Rohtak which

    holds 40% of the market share and after that Nestle has second position

    with aholding of 35% of the market share and the least preferred brand from

    the take brand to make report is Amul with a holding of 25% of market share

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    Findings&

    Conclusion

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    FINDINGS & CONCLUSION

    The findings of the study of consumer buying behavior in chocolates states

    among all the three to brands i.e. Cadbury, Nestle and Amul. The brand at first

    place is Cadbury, the Nestle (2nd) and last is Amul. Among all these three

    Cadbury is having the largest market share i.e. 40%, Nestle 35% and Amul 25%.

    Among all these Brands Cadbury is the only company offering largest number of

    brands in chocolates i.e. 6 (only for milk chocolate bars). As compared to

    Cadbury Nestle Company is having 2 brands and Amul is with 4 brands of

    chocolates.

    For 48% of the consumers the most important factor which is consideredwhile purchasing any milk chocolate bars is Taste of that chocolate. They

    give preference to other factors also, but most important thing is taste.

    The buying behavior of consumers is also affected by the different type of

    advertisements. And the most influencing media is electronic media i.e. TV,

    and from reference group friends are at most influencing position.

    Quality is the most important factor which consumers consider while

    switching over to any other brand of milk chocolate bars.

    Consumers of Rohtak are more attracted towards the foreign brands like

    Cadbury and Nestle and demand that more number of foreign milk

    chocolate bars should be available in the market, like some milk chocolate

    bars brands of Swiss and French chocolates. As this thing shows that

    consumer of Rohtak are more satisfied with the foreign brands and hence

    demand more of it. But brands like Amul are not able to get proper place in

    the market in spite that good advertisement is being done by Amul also.

    68% of the consumers are brand loyal.

    The buying behavior of consumer for different brands of milk chocolate bars

    is affected by various factors like price, taste, packaging, brand etc.

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    55% of the consumer check or consider manufacturing and expiring date

    while buying any chocolate. 45% of consumers dont go for that. This

    should be a matter of concern

    SUGGESTIONS

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    SUGGESTIONS

    A detail study of the Consumers Buying Behavior of Age Group 18-25

    For Milk Chocolates Bars was done. Some important suggestions are as

    follows:

    1. The Indian company AMUL has to review its process so as to gain brandloyalty of the consumers.

    2. The chocolates whose expiry dates goes off should be replaced at once

    and fresh stock should be offered.

    3. The chocolate companies should think on the matter that why the

    consumers switch over to the other brands.

    4. The chocolate companies should put more & more emphasis on the taste

    and quality of the chocolate so as to gain brand loyalty.

    5. As factors other than TV and Newspaper are considered less so

    companies should use the print and electronic media for advertisement inlarge extent.

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    Annexure

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    QuestionnaireOn

    Buying behavior of consumer for Milk

    chocolate bar of age group 18-25

    Q1. Which companies chocolate do you prefer to purchase?

    Cadbury Amul

    Nestle

    Q2. What is your pattern of consumption?

    More than one per day Daily One

    3-4 Chocolate per week weekly

    Rarely

    Q3. Do you purchase same chocolate every time?

    Yes No

    Q4. If no, then while switch over to another brand of chocolate then what factoryou consider? Please tick any one.

    Price Quality Brand Name

    Advertisement and Reference group Taste

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    Name of the consumer ____________________________________

    Age ____________________________________

    Sex ____________________________________

    Income ________________________________

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    Q5. Which factor you consider the most while purchasing the chocolate (tick anyone)?

    Price Taste

    Brand Packaging

    Availability

    Q6. Which mode of advertisement influence you most to buy a particularChocolate? Please tick any one.

    Magazine Newspaper

    Radio Television

    Other

    Q7.Which reference group influence you most to buy a particular chocolate?Please tick any one.

    Friends Family Retailer

    Celebrity Other

    Q8. Whether you check or consider manufacturing and expiry date while buyingany chocolate?

    Yes No

    Q9. How much you are satisfied with the present brand of chocolate which youoften purchase?

    Highly Satisfied Satisfy

    Undecided Dissatisfied

    Highly Dissatisfied

    Q10. What is your suggestion for the improvement of your preferred chocolateBrand?

    _______________________________________________________________

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    BIBLOGRAPHY

    BOOKS

    Marketing Management, Kotler Philip

    Marketing Research, Donald T.S

    Research Methodology, C.R kothari

    Consumer Behaviour, Della A.J

    Consumer Behaviour, Schiffman & Kanauk

    MAGAZINES & JOUNALS

    Advertising Express, September 2006,Traditional Mass Media, By

    K.Suresh

    Indian Journal of Marketing, March 2006, Article By Dr.Banusmathy

    Business World, November 2006

    Business India, Advertising

    Business Today, Trends

    WEBSITES

    www.amul.com

    www.nestle.com

    www.cadburyindia.com

    www.consumerpsychology.com

    www.altavist.com