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    CHAPTER 1

    Introduction

    Most of the business owners main objective is to

    create and produce satisfied customers who will

    continuously patronize their product. Products with high

    quality and fashion trending.

    Fashion is custom and style that is prevailing mostly

    in dress or behaviour. Most of the time fashion is used to

    express life and wants in a given time and place. It is

    also used to unite those of a social class and segregates

    them from the others.According to Cumming (2004) as cited

    by Jandonero et al.(2014) trend style influencesbehaviour

    and lifestyle of a person. Itis a quicksilver mode of

    creativity for many people in diverting their attention.

    Fashionable items are mostly seen from celebrities, high

    society and supermodels.

    According to CyntiaDurcain, a form of imitation and so

    of social equalization, but paradoxically, in changing

    nonstop, it differentiate one time from another and one

    stratum for another is the so called Fashion.Fashion is a

    state of mind, unites those of a social class, and

    segregates them from the others, a spirit and an extension

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    of ones self. Most of all fashion is almost being

    comfortable with you, translating self-esteem into a

    persons style

    A Boutique, according to Lidell&Scott, 2011, is a

    small version of shopping outlet for fashionable clothes

    and jewelleries appropriate for the occasion. The word

    boutique is French for shop via Latin from the Greek

    storehouse.

    As being on the fashion industry or business,

    Mikaelsen, 2011 states that Boutique owner must have a

    fashion and insider whose job requires insights to learn

    trends and this will also help to encourage customer to

    promote the product to the public. And boutique must know

    proper promotion to attract potential customers.

    A marketing strategy is a marketing logic which the

    business unit hopes to achieve its marketing objectives,

    (Kotler, Armstrong,Saunders and Wong,1999). It is the broad

    principles by which the business units expects to achieve

    its marketing objectives. Consist of basic decision and

    total marketing expenditure, marketing mix and marketing

    allocation(Kotler 1990).

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    Marketing strategy is the overall plan for choosing a

    target and succeeding within it through

    product,pricing,distribution and promotional choices (Bovee

    and thill,1992)

    Ingram and Laforge, 1995, describe marketing strategy

    which consists of selecting a target market and developing

    a marketing mix to satisfy the market needs.

    In the view (Berkowitz,Kering,Haertley and Rubelius,

    1997) a marketing strategy is the means by which a

    marketing goal is to be achieved usually characterized by a

    specified target market and a marketing program to reach

    it.

    According to Wyosocki, 2001 marketing is the

    identification of customers wants and needs and adding

    value to the products and services that satisfy those wants

    and need, at a profit.

    In the 21stcentury integrated marketing communication

    is dominant that means a harmonized adoption of different

    promotional tools for convincing customers with the most

    effective methods possible(Jozsa et al.2005)The general

    trend is that companies spend more money on below on the

    line communication(BTL) and sales promotion than the

    advertising (above the line communication) .The

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    international literature concerning sales promotion is very

    rich since a lot of books (Lummins& Mullin 2002,

    Blattberg&Neshin 1990, Schuttz et 1998)were published on

    how traders and manufacturers can design effective

    campaigns. Most of the studies concentrating on fast moving

    consumer goods(FMCG) and investigating the planning and

    implementing stages on sales promotion techniques aimed at

    consumers and initiated by the manufactures or retailers.

    Another popular direction of sales promotion literature is

    the investigation of customer behaviour namely how

    effective and cognitivephases (Laroche et al. 2001&2003).

    Statement of the Problem:

    This study aims to determine the importance of

    marketing strategies of selected fashion boutiques in

    Urdaneta City specifically suits to the following

    questions:

    1.What is the profile of the respondents in terms of:

    A. Manager-Respondents Profile

    a) Age;

    b) Gender;

    c) Civil status;

    d) Highest educational attainment; and

    e) Trainings and Seminars Attended?

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    B.Client-Respondents Profile

    a) Age;

    b) Gender;

    c) Civil Status; and

    d) Highest Educational Attainment?

    C. Business Profile

    a).Type of business organization;

    b) Initial capital;

    c) Number of employees;

    d)Years of operation;

    e) Location; and

    f) Average monthly sales?

    2.What are the degree of importance of marketing

    strategies practices by fashion boutiques in terms of:

    a. Promotions;

    b. Product;

    c. Place; and

    d. Price?

    3. What is the significant relationship between managers

    and customers in the Marketing Strategies of selected

    Fashion Boutique in Urdaneta City?

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    Research Hypothesis

    There is a significance relationship between the

    managers and customers in Marketing Strategies of selected

    Fashion Boutiques in Urdaneta City.

    Scope and Delimitation

    This study will focused on the marketing strategies of

    fashion boutiques. It aims to determine the profile of the

    manager respondents in terms of age, sex, civil status,

    highest educational attainment, numbers of seminars and

    trainings attended and the profile of the client

    respondents interms of age, sex,civil status, and highest

    educational attainment. In terms of business profile it

    aims to find out the firms initial capital ,number of

    employees, number of years of operation, type of business

    organization , average and monthly sales and location .It

    also aims to determine the marketing strategies practice by

    fashion boutiques in terms of promotion, product, place,

    price and this study is undertaken in Urdaneta City.

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    Significance of the Study:

    The present study will benefit the following groups:

    Fashion Boutique Owners,thestudy will serve as their guide

    in formulating strategic promotional strategies that will

    surely catch the attention of their loyal as well as future

    customers.

    Future Entrepreneurs, the study could provide right

    attainments in promoting their products and services.

    Clients, this study will benefits the client once the

    identified strategies had been given due attention by the

    fashion boutiques.

    Future Researchers, this study will provide future

    reference and serve as a guide in conducting their study.

    For Students, this study will inform them about the

    different marketing strategies of fashion boutique in

    Urdaneta City it can be their reference fo their school

    works in their business subjects.

    For marketing Profession, the study will serve as their

    guide in order to improve more about the marketing

    strategies and effectiveness.

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    Definition of terms:

    For better understanding of this research the

    following terms had been defined orally and operationally.

    Sales Promotion refers to the marketing information about

    the product and brand.

    Sales Promotion Strategies refers to the information and

    dissemination, pricing and billing and products and

    services provided by the fashion boutiques.

    Fashion,refers to a popular style or practiced offered by

    the fashion boutiques

    Fashion Boutiques, it refers to the stores or boutiques who

    offerclothing, footwear, accessories, and make-up.

    Manager-respondents,these refer to the owners of the

    fashion boutiques who are knowledgeable about the profile

    and activities of the business.

    Client-respondents, these are the respondents who are

    directly related such as parents, teens, professionals etc.

    Marketing is the identification of customers wants and

    needs to be able to satisfy them.

    Marketing Strategy,It is the broad principles by which the

    business units expects to achieve its marketing objectives.

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    Theoretical framework

    This study is based on two theories: 4Ps theory of

    marketing mix and Product Life Cycle Theory.

    Marketing Mixs 4Ps of Marketing is a theory proposed

    by Jerome McCarthy on 1960 which has since been used by

    marketers throughout the world. It is use to organize all

    aspect of the marketing plan around the habits, desires and

    psychology of the target market. The theory of 4Ps stands

    for the first P the product, and takes into account its

    design, features and competitors. The second P, price, is a

    factor that can be adjust to manage demand to determined

    profit margin and to drive market share. Promotion is the

    third P. it seeks to find which media to engage in order to

    make the right people aware of the products benefits and

    which slogans, tag lines and logos will resonate with the

    target market. Place, the fourth P, determines where and

    how potential customers can access the product. This theory

    is related to this study because marketing strategy is

    based on improving business product quality, pricing,

    promotional tools being use and the place of the business.

    Product life Cycle Theory is an economic theory that

    was developed by Raymond Vernon. This theory asserts that

    marketing strategies must evolve along with a product from

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    inception through obsolescence. Early in a products life

    business owners or managers should tailor their marketing

    mix to spark interest and educated potential customers.

    During the growth phase, the efforts shift to secure a

    wider audience by building brand loyalty, a stable supply

    chain and additional distribution channels as defences

    against competitors enter the market. As the market for the

    products matures, weaker players are driven out and there

    is little differentiation among competitors. Marketers

    should again shift to attempts to steal market share from

    other produces through incentives to distribution channels,

    such as cooperation advertising in store promotions and

    volume discounts. This theory is related to this study

    because in any business theres always a product life cycle

    that is needed to monitor for continuous strategic

    improvement.

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    Paradigm of the Study:

    Figure 2

    Conception Framework

    Conceptual Framework:

    The figure 2 shows the marketing strategies of selected

    fashion boutiques in Urdaneta City as perceived by managers

    and customers on the aspects of promotion,product,place and

    price.

    Marketing Strategies of

    selected fashion

    boutiques as perceived

    by the managers;

    a. Promotion

    b. Product

    c. Place

    d. Price

    Marketing Strategies of

    selected fashion boutiques

    as perceived by the

    customers;

    a. Promotion

    b. Product

    c. Place

    d. Price

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    Review of the Related Literature and Studies

    This chapter deals with the related literature and studies

    which are related to advertising and promotional techniques

    of business firms. It will help readers to better

    understand the study because important details about

    marketing strategies are discussed in this chapter.

    Related Literature:

    Foreign:

    According to Colby and Alkon (1991)cited by

    Jandoneroetal. ,that promotion objectives are to

    communicate the information , position products and control

    the sales volume. They also pointed out that the use of

    free samples; free trial of items and giving freebies could

    contribute in the successful promotion of these products in

    the establishments.

    Proper use of promotional mix could result in the success

    of the firms. Product availability involves getting the

    attention of customers and increasing the potential of

    buying process of the customer (Ehmke and Lusk, 2000)

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    It is very important for a marketer or a business

    owner to learn the concept of the advertising in order to

    capture the interest of an individual with regard to the

    companys products or services. The advertising message can

    be seen in any place that is use to carry and display the

    information about the companys offered services or product

    (BrenKent 2008)

    Then owner of the firm should produce integrated

    marketing communication for an effective promotion. A firm

    who produced new products may inform the consumer about

    their offerings and discussed its benefits to their

    potential customer (Perreault,Jr. William &Mccarthy, 2005)

    cited by Jandonero 2014.

    Promotions get harder as more companies clamour

    to grab the customers increasingly divided attention

    .Firms must communicate that they are good, credible, and

    reliable in making their product (Kotler and Keller 2010)

    cited by Jandonero et al.

    Marketing managers use price-oriented promotions

    such as coupons, rebates and price discounts to increase

    sales and market share, entice trial and encourage brand

    switching. Non-price promotions such as sweepstakes

    ,frequent user clots and premiums add excitement and value

    to brand and may encourage brand loyalty(e.gaaker 1991

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    ;Shea ,1996)In addition , consumers like promotions. They

    provide utilitarian benefits such as monetary savings,

    added value, increased quality and convenience as well as

    hedonic benefits such as entertainment, exploration and

    self-expression (Chandon,Laurent and Wansink 1997)

    Local:

    Sales promotion is a marketing tool that gives price to

    increase the product usage as an expansion of markets for

    product or to introduce a new product(Mandoza, 2003) as

    cited by Jandonero,et al. 2014

    According to Republic Act 7394, sales promotion

    means techniques intended for broad consumer participation

    which contain promises of gain such as product, security

    service or winning in contest game, tournament and other

    similar competition which involve determination of winner/s

    and which utilize mass media or other widespread media of

    information.It also means techniques purely intended to

    increase the sales, patronage and/or goodwill of a product.

    According to Duncan 2002, the traditional

    marketing mix consist of 4 Ps (product, price, place,

    promotion) calls the four Cs or the new marketing mix.

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    It has been established in literature that only

    consumers with repeat purchases are profitable (Nagar,

    2009) it is not every repeat purchase that is connected to

    consumers commitment of a brand. However, consumers

    commitment is important for a repeat purchase. Therefore,

    business operators need to develop marketing programs that

    will not only reinforce customers commitment but also

    encourage repeat purchase.

    Sales Promotion is marketing and communication

    activities that change the price/value of a product or

    service perceive by the target, thereby (1. Generating

    immediate sales and 2.Altering long term brand value.

    (Robinson 1998)

    Related Studies:

    Foreign:

    Although anintegralcomponent of many marketing

    communications strategies, relatively has been written all-

    out the management of consumer sales promotions.Exploresa

    framework that examines the relative and importance of key

    factors on manager useof two consumer promotional tools;

    coupons and lucky draws.The results show that brand

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    managers use trade and consumer sales promotion more

    extensively than media advertising but do not consider

    sales promotion to be more effective in meeting objectives.

    The current sample of Singaporean supermarkets managers

    heavily favours price-oriented over non-price promotions.

    Concludes that managerial use of sales promotions is

    influenced primarily competition and short-term pressures.

    The findings provide tentative support for the proposed

    framework. (Chun Wah,Lee, April 2002)

    In the study of Kola and Akinyele (2010) cited by

    Jandonero et al.(2014) stated that advertising is effective

    in providing information, creating awareness, and

    generating interest of consumer towards the companys

    offerings.

    Generally it can be ascertained that only a few studies

    aimed at the analysis of sales promotion technique in a

    higher involvement product category and there is not such a

    comprehensive study that would analyse the problem from

    thedemand and supply side at the same time .(Keller

    Veronika, March 2010)

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    Local:

    In extending knowledge in promotion mix is

    generally considered to be more operative and informative

    to the business foundation. It supported and looks forward

    on what is the main concept of the provided information for

    the business offerings. (Revillos, 2006) as cited by

    Jandonero.

    The study of Caniedo et al. (2003) had found out

    that proper knowledge in promotional tools is of great help

    in achieving the marketing objectives which leads to the

    increase of costumers, and the loosening of tight

    competition. It is also recommended that industry business

    should give attention in informing their target market

    about products innovating unique and different designs and

    promoting products and services.

    According to the study of Pascual (2007) as cited

    by Robiso et al. (2012), managerial skills and knowledge in

    promotion are needed for successful management of small

    enterprises.

    Meanwhile in the study of Domingo et al. (2012),

    as cited by Jandonero, has a significantly related to the

    personal profile of the owner which involve that male or

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    female, young or matured are looking for something new in

    promotion.

    According to the study of Belen et al. (2007) as

    cited in the study of Capales et al. (2013), most promotion

    concerns were included in purchasing contracts to reduce

    cost. It aims to minimize the cost of management but at the

    same time, to offer customers the complete range of product

    requested.

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    Chapter II

    RESEARCH METHODOLOGY

    This chapter presents the methods that the researcher

    was used in this study. These include the research design,

    research instruments and their validation procedures, data

    gathering procedures, and the statistical treatment of

    data.

    Research Design

    The descriptive and quantitative research design was

    used in this study since it involves recording,

    interpretation, and analysis of conditions that exist. It

    describes and deals on the knowledge of the owners in their

    marketing strategies of fashion products to the customers

    in Urdaneta City.

    Subjects of the Study and Sampling Scheme

    The subjects of this study were the fashion boutique

    owners in Urdaneta City. According to Business Permit

    Licensing Office, there were 25 registered fashion boutique

    owners in Urdaneta City. Upon getting the list, the

    researchers asked the permission to conduct the study

    Marketing Strategies of Selected Fashion Boutique in

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    UrdanetaCity.The researchers was used the purposive

    sampling method which shows that the data gathered were

    enough to prove the respondents knowledge in Marketing

    Strategies.

    Respondent of the study

    Respondents Manager Customer/Clients

    Selected fashion

    boutiques

    1.Girl Shoppe

    2.Abeka

    3.Rosett

    4.Fashion Ville

    5.Oxygen

    6.Ninety nine point nine

    7.Ditas

    8.Value Best

    9.Pay for Less

    10.Bizzare

    11.Kamiseta

    12.Mossimo

    13.Bopshop

    14.NIKI fashion wear andaccessories

    15.Mendrez Boutique

    15 70

    Statistical Treatment of Data

    The gathered data were tallied, analysed, and

    interpreted in accordance with the problems posted in the

    study. The following were the statistical tools used to

    answer the specific problems of the study.

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    Problem number 1 described the profile of the manager-

    respondents in terms of a. personal profile: a1.sex,

    a2.age, a3.civil status, a4.highest educational attainment,

    and a.5 number of trainings and seminars attended; b.

    personal profile of client respondents: b1.age, b2.sex,

    b3.civil status, b4.Highest educational attainment and c.

    profile of the business in terms of: c1.initial capital,

    c2.number of employees, c3.years in operation, c4.type of

    business organization, c5.average monthly sales, and c.6

    location.

    To answer the problem number 0ne (1) Percentage was

    used as a statistical treatment.

    Formula: Percentage (%) =f/N x 100

    Where: f - stands for the frequency of responses

    N Number of respondents

    Problem number two (2) described the marketing strategies

    practice by fashion boutiques in terms of; a. product, b.

    price, c. place,d.promotion

    To answer the problem number two (2)Weighted Meanwas used

    as a statistical treatment.

    Formula: WM = TWF/N

    Where: WM weighted mean

    TWF total weighted frequency

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    N Number of respondents

    Mean Values Descriptive Values

    4.21-5.0 = Always practiced

    3.41-4.20 = Often practiced

    2.61-3.40 = Sometimes practiced

    1.81-2.60 = Seldom practiced

    1.0-1.80 = Never practiced

    The number problem three (3) it described the significant

    relationshipbetween managers and customers in marketing

    strategies of selected fashion boutiques in Urdaneta City.

    To answer the problem number 3, Pearson product-moment

    coefficient of correlation was used as a statistical

    treatment.

    Formula:

    r=nxy (x)(y)

    ny- (y)nx- (x)

    Where:

    r Coefficient of correlation

    X and y scores

    N Number of respondents

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    LEGEND:

    Mean Values Descriptive Equivalent

    0.91-1.00 Very high relationship

    0.71-0.90 High relationship

    0.41-0.70 Moderate relationship

    0.21-0.40 Low relationship

    0-0.20 Slight relationship