Factors Influencing Consumer Behaviour: A Case of McDonald’s

RESEARCH PROJECT

RESEARCH PROJECT PLAN
Formative assessment
Topic Investigate the factors are influencing the customers buying behaviour a case study
based on McDonalds
RATIONALE/
BACKGROUND
Over a period of time competition has been increased in fast-food industry.
KFC, Dominos, McDonald’s are performing well in market. But die to increasing
competition companies are facing challenges in retaining their customers in
business for longer duration. Demand of consumers is also increasing, many firms
offer such great benefits thus, they expect great additional benefits from other
companies as well (Joshi and Rahman, 2015). Thus, it is essential for these entities
to pay attention on several factors that influence buying behaviour of end users.
This would help enterprises in making effective plan and offering satisfactory
services to customers significantly.
McDonald’s is facing challenges in keeping its customers satisfied, number
of consumers complains is increasing. Thus, this study is essential to be conducted
so that entity can identify causes of this problem and can make necessary changes
in its strategies so that it can gain competitive advantage (Maniatis, 2016).
INTRODUCTION In the modern competitive environment, it is very important for companies to
understand behaviour of consumers before programming marketing activities.
Consumer behaviour can be defined as actual perception of buyers towards
particular products and services. Companies always look upon elements that impact
on overall buying decision of person (Kaur and Singh, 2017). Firms have to ensure
reaction of customers towards particular goods and services so that they can offer
satisfactory services to them and can make them positive towards the brand.
Culture, social class, family, status, age, lifestyle etc. are so many factors that
impact on overall behaviour of customers to great extent.
The study will be based on McDonald’s that is fastest growing fast food
firm. It has many branches across the world and offer variety of food and services
to its consumers as per their needs and preferences (Jadhav and Khanna, 2016).
Present study will emphases on the various factors that influence buying behaviour
of consumers. Research proposal will frame aim and objective and will give

rationale of conducting this investigation. Researcher will select suitable research
methods and will give justification for each selected tool. At last, proposal will
include time plan and resources required for the entire study (Gurtner and Soyez,
2016).
Aim of the
research
To identify factors that influence buying behaviour of consumers: A study on
McDonalds
Objective of the
research
● To understand conceptual framework and theories of consumer buying
behaviour
● To determine several factors that contributes to buying behaviour of
customer in McDonald’s
● To identify relationship between buying behaviour of person and
performance of company
● To suggest ways to make the customer positive and loyal towards
McDonald’s
Research
Questions
● Explain conceptual framework and theories of consumer buying behaviour?
● What are the several factors that contribute to buying behaviour of customer
in McDonald’s?
● How buying behaviour of person impact on overall performance of
company
● What are the ways to make the customer positive and loyal towards
McDonald’s?
Research strategy It is essential for scholar that to select right approach by considering nature of
study. Selection of wrong method may affect overall result of investigation.
Qualitative approach is being applied in the research where scholar needs not to
involve any statistical data and calculations. It supports in gaining understanding of
underlying reasons and help in developing ideas through which scholar can answer

research questions easily (Yadav and Pathak, 2016). Whenever researcher is
required to analyses trends and have to uncover these trends then investigator apply
this technique. On other hand quantitative approach is generally used in studies
where researcher is required to use numerical data and have to quantify attitudes.
Quantitative data are more structured as compare to qualitative (Testa, Cosic and
Iraldo, 2016).
In the present study on understanding consumer buying behaviour and
factors that influence their buying decision scholar will take support of qualitative
research, this will help in gaining insight detail related to buying behaviour of
customer and identifying various factor that impact on their decision (Baruk and
Iwanicka, 2015). By applying theories and models investigator will develop their
understanding and would be able to answer each question properly. Use of simple
questions and involvement of population will aid the scholar in finding results
related to subject matter.
Primary/
secondary
research
Scholar has to determine the appropriate way to conduct any research. Primary
research is the technique in which individual involves only primary information.
Scholar takes assistance of questionnaire, interview through which actual and
current detail about topic can be gathered. Primary sources are firsthand details that
have never been used in any previous study. Scholar collects these details specific
for current topic (Mackey and Gass, 2015). Questionnaire, interview, observation
are various tools through which primary detail can be gathered. On other hand
secondary data are far differed from primary information. This type of source
involves evaluation and interpretation of primary sources. There are so many
authors who conducts their investigation by using secondary sources. Books,
journals, internet articles are some tools through which secondary data can be
gathered. Though such kind of details are already used in previous studies and are
not specific to existing investigation, but it supports scholar in developing
understanding about subject matter (Flick, 2015).
In the present study on understanding consumer behaviour and identifying
factors that influence their buying behaviour researcher will take support of

primary source. Individual will collect fresh data related to buying pattern of
customers and will analyses these details. These fresh details will aid in answering
research questions in most effective manner.
Sources of data Primary sources are such as interview, questionnaire, observation etc. On other
hand secondary sources are such as books, journals, articles etc. In the present
research on understanding consumer behaviour and identifying factors that impact
on their buying decision scholar will apply primary data sources. Questionnaire
would be best technique for this study (Quinlan and et.al., 2019). By asking
questions from people individual will be able to understand current trends and
point of view of actual consumers. This will help in giving current results and
drawing valid conclusion as well.
Use of secondary data would not be suitable because if individual involves
past data then it might increase chances of finding inappropriate results. Trends,
preferences of consumers get changed frequently thus, it is very important to use
present views of people so that valid results can be generated (Mackey and Gass,
2015). Thus, use of questionnaire would be more suitable and scholar will use same
technique for this investigation.
Population and
sampling
As research will use primary data sources thus, it is essential to involve right
people in investigation those who can give accurate answers of research questions
and can support scholar in drawing valid conclusion. Population is the people those
who are being involved in research. In order to identify factors that impact on
consumer buying behaviour, scholar will select customers of McDonald’s as
population (Flick, 2015). They are the right person who can actual describe about
their purchasing pattern and their buying decision.
Population can be defined as people present in entire market segment from
which researcher can gather information about subject matter. Sampling is the
techniques through which scholar selects whose individuals who have knowledge
about topic and can give accurate detail related to topic. Samples need to be
selected accurately, there should not be any kind of biasness. Sampling is the tool

in which scholar selects part of entire population.
Types of sampling and their explanation
There are two main types of sampling methods: probability and non-probability.
Probability is the method in which each member gets equal opportunity to be
selected whereas non-probability is the type of method in which each person
doesn’t have chance to get selected in research. Probability sampling method uses
random bases of selection whereas non- probability technique uses arbitrarily basis
of selection for respondents. In probability technique results are always unbiased
but in non-probability results are biased.
Probability technique includes random, systematic, cluster, stratified etc. Non-
probability includes Quota, convenience etc.
Advantage and disadvantage
Advantage of non-probability technique: It is time effective method and helps in
selecting respondents in cost effective manner. It is very easy method to apply in
research projects.
Disadvantage of non- probability technique: It is very difficult to calculate margin
of errors and confidence interval in this sampling process. Researcher gets biased
answers in this tool.
Advantage of probability technique: This method can be used by non- technical
person as there is no need to have any previous experience of applying this
technique. It has more accuracy as compare to probability sampling process.
Disadvantage of probability technique: As researcher has to deal with large number
of people hence it is quite tedious and time consuming process.
Questionnaire for qualitative
In Qualitative researches scholar tries to collect information about topic through
face to face meetings with respondent’s. Hence questionnaire is suitable through
which individual can involve participants in best manner and can gain in-depth
information about research project. By this way large set of data can be gathered by
researcher in minimum period of time.
In the existing research paper individual will use random sampling technique, this
would help the person in selecting right candidates those who have knowledge and

can give answer without bias. Random sampling aids in minimizing chances of
getting wrong answers or manipulating answers. This would enhance clarity of
research and would support scholar in finding best results (Quinlan and et.al.,
2019).
Sample size is most essential element of research project, if size is wrong
then it also affects overall results. In the current study researcher will involve 20
customers of McDonald’s. They would be able to give clear answers related to
their buying behaviour; this will help investigator in finding best result.
Data Collection
method
As present research project will take support of primary data collection sources
thus, it is essential for scholar that to use correct and effective primary source
through which individual can gather valid details. Investigator will take assistance
of questionnaire method; this is simple and clear tool of collect insight detail about
subject matter (Mackey and Gass, 2015). One of the main reasons of applying this
technique is that scholar can reach to large number of people by taking support of
questionnaire. It is easy process and data analyses can be done effectively. One of
the main advantages of using questionnaire is that investigator can gain first hand
and highly relevant information about customer buying behaviour by this
questionnaire technique. This will help in finding taste and preference of people .
All these details will be highly practical and would support researcher in answering
research questions related to factors that affect consumer buying behaviour (Flick,
2015).
Time plan and
resources required
Research plan
Activities Wee
k 1
Week
2
Wee
k 3
Week
4
Wee
k 5
Week
6
Wee
k 7
Week
8
Topic selection
Framing aim
and objective
Literature
review
Selection of

research
methods
Analyses of data
Discussion
Conclusion and
recommendation
Edition as per
feedback
Final
submission
Resource requirement
● In order to complete this dissertation researcher would need some essential
resources. Availability of all these resources will support scholar in
finishing this research effectively (Mackey and Gass, 2015).
● Researcher will need human resource, as participants need to be involved
those who can answer the research questions so that scholar can gather
primary information about topic. In the absence of this human resource
investigator will not be able to find out actual facts related to factors that
influence decision of consumers.
● Researcher would also require technical resources, as graphs, charts will be
prepared and for that excel will be required. This will help in preparing this
study in most presentable manner (Flick, 2015).
● Scholar will also require financial resources, as investigator will have to
gather data and will need to spend in transportation etc. Thus, it is essential
to have adequate funds so that study can be conducted in efficient manner.
References Books and Journals
Baruk, A. I. and Iwanicka, A., 2015. Polish final purchasers’ expectations towards
the features of dairy product packaging in the context of buying decisions.

British Food Journal. 117(1). pp.178-194.
Flick, U., 2015. Introducing research methodology: A beginner's guide to doing a
research project. Sage.
Gurtner, S. and Soyez, K., 2016. How to catch the generation Y: Identifying
consumers of ecological innovations among youngsters. Technological
Forecasting and Social Change. 106. pp.101-107.
Jadhav, V. and Khanna, M., 2016. Factors influencing online buying behavior of
college students: A qualitative analysis. The Qualitative Report. 21(1).
pp.1-15.
Joshi, Y. and Rahman, Z., 2015. Factors affecting green purchase behaviour and
future research directions. International Strategic management review. 3(1-
2). pp.128-143.
Kaur, N. and Singh, D. P., 2017. Deciphering the consumer behaviour facets of
functional foods: A literature review. Appetite. 112. pp.167-187.
Mackey, A. and Gass, S.M., 2015. Second language research: Methodology and
design. Routledge.
Maniatis, P., 2016. Investigating factors influencing consumer decision-making
while choosing green products. Journal of Cleaner Production. 132.
pp.215-228.
Quinlan, C. and et.al., 2019. Business research methods. South Western Cengage.
Testa, F., Cosic, A. and Iraldo, F., 2016. Determining factors of curtailment and
purchasing energy related behaviours. Journal of Cleaner Production. 112.
pp.3810-3819.
Yadav, R. and Pathak, G. S., 2016. Intention to purchase organic food among
young consumers: Evidences from a developing nation. Appetite. 96.
pp.122-128.
Online
Factors affecting consumers’ buying decision in the selection of a coffee brand.
2015. [Online]. Available through <
https://core.ac.uk/download/pdf/38124382.pdf>

LITERATURE REVIEW
As per the view of Joshi and Rahman, (2015) buying decision making process emphases
on recognition of needs of person and understanding cause of problem. This supports in taking
right action and making people positive towards the brand. In order to understand buying
behaviour of consumes companies have to search a lot and have to evaluate alternative options
that may help business in increasing retention of buyers to great extent.

Figure 1 buying decision making process
(Source: Factors affecting consumers’ buying decision in the selection of a coffee brand, 2015)
This model explains that marketers are required to consider this decision making process
in order to understand buying behaviour of customers. If post purchase behaviour of people is
not positive, then it may also make the person negative that would affect purchase decision of the
individual in future. Maniatis, (2016) argued that consumer behaviour is highly influenced by
social factors. This includes reference group, family, friends etc. There are so many people
those who make their judgement after consulting with family members or friends. If their close
ones are giving negative review about any product then they will not buy such item. Reference
group describe image of the item and compare it with the company’s products. An individual
who does not belong to particular group can also get influenced by such kind of discussion
helped by reference group members. Apart from this, some people make changes in their
decision by considering views of aspirational group member views. For example, kids, like to
have fast food from the firm which presentation is very attractive but parents look upon the

quality as well. Thus, they make their kids understand with importance of quality in food that
impact on buying decision of the young person. That is the main reason that many consumers are
moving towards KFC.
Osei and Abenyin, (2016) Engel Kollat Blackwell model of consumer behaviour explains
that there are four main stages that helps the person in making their final decision regarding
buying a particular product or services. Information input stage, this phase explains that each
individual gets necessary information about any goods from marketing sources. These marketing
sources make the person aware with particular services of business. Individual also search from
external sources before buying any product and if their experience dissonance then individual
feel dissatisfactory (The Engel Kollat Blackwell Model of Consumer Behavior, 2019). Another
stage is information processing stage; all the information remains in long term memory of
person. All these details are always used by an individual to make their final decision about
buying any goods. Chen and et.al., (2017) argued that Decision process stage, in this phase
consumers first recognise their problem, search for any available alternative, evaluate that
alternative and make them final purchase. Last phase is variables influencing decision process,
there are several factors that influence
Discuss Compensatory and non-compensatory decision rules
Non-Compensatory decision rules are such principles that are followed by individual
while buying any product. Disjunctive rule: in this an individual emphasis on minimum
acceptable standards of performance that needs to be meet by the firm. Consumers look upon
the brand which meet the standard criteria in most significant manner. Conjunctive rule:
consumers look upon the attributes first and accordingly take their buying decisions. Each
customer set some cutoff points and according take decision of buying any item. Lexicographic
rule: in this if the person fails to analysed the standard criteria then additional aspects are looked
by the person. For example, warranty, price are essential criteria to make buying decision but
sometimes individual emphases on colour etc. to make their final decisions. Affect decision rule
is another rule in which individual make their decision on the bases of their previous experience.
Compensatory decisions rules are based on set of attributes, importance of each
attribute. / Consumers select the most appropriate product which have required facilities and is
available at best value. In such decisions individual compare data or features of other products
and take the judgement of buying any item.

Types of consumer buying behaviours
East and et.al., (2016) stated that there are different types of consumer behaviour.
Complex buying behaviour is the type of behaviour in which there is high involvement of
buyers. Customers gather in-depth information about brand and features of products. On the
bases of these details they make their buying decisions. Szmigin and Piacentini, (2018) argued
that variety seeking behaviour is the type of consumer behaviour in which customers like to shop
from such place where individual can get variety of options. Markets offers discounts, free
samples to consumers in order to make them positive towards the brand. Dissonance buying
behaviour is the type of consumer behaviour in which consumers buy any item quickly. Chen
and Wang, (2016) habitual consumers like to shop from the brand from where they buy products
on regular bases.
As per the view of Che and et.al., (2015) compensatory decisions are such judgements in
which each brand is being evaluated by consumers. Individual emphases on attributes of
products and accordingly selects the brand. In this positive evaluation is done and individual
avoid negative elements of other attributes. Mandel and et.al., (2017) Non-compensatory are
such decisions in which individual does not compensate for negative attributes.
On other hand Jadhav and Khanna, (2016) stated that social factor does not really
influence buying decision of individual. Personal factor is the most critical element due to which
overall judgement of person gets changed. Koles, Wells and Tadajewski, (2018) Occupation,
lifestyle, age is most essential component that need to be consider by marketers before making
their marketing plan. Young consumers like to have fast food but old look upon the quality and
hygiene. Factors that are considered in age are such as taste in food, recreation etc. Family life
stage impacts on purchasing behaviour of person. Previous goods and services were designed by
considering family life stage such as young singles, children etc. by now companies are paying
attention on unmarried couples, single parents etc. The main reason of segregating the category
is that lifetime changes bring changes in taste of the individual as well. Furthermore, occupation
is another major factor that influences purchasing power of consumer. If income of person is low
then definitely individual will not prefer to spend such high amount in big restaurants whereas if
income is high then it would enhance spending power of individual.
According to Yadav and Pathak, (2016) choice of buyer majorly influence by
psychological factors. These are such as motivation, learning, attitudes, beliefs etc. Needs of

each person is different from others, some like to get additional benefits while purchasing any
goods and services whereas some prefer to get quality rather than such kinds of discounts.
Companies are required to look upon their requirements and accordingly they have to design
their marketing plan so that consumers may feel happy and satisfied. Some people pay attention
on colour, sound, smell etc. before making their purchase decision. Güney and Sangün, (2017)
Perception can be defined as procedure that create meaningful picture in mind of person and
individual takes their decision whether to buy particular product or not. Some individuals look
upon the brand name and they always prefer to buy products from place which has strong brand
image. If people are positive and motivated, then they become frequent buyer of company. Some
consumers learn by looking experience of other users, if some person gets negative experience
then customer may change their view to buy particular product.
As per the view of Testa, Cosic and Iraldo, (2016) attitude and beliefs impact on final
buying decision of individual. Belief and attitude may be favourable or unfavourable towards
particular goods and services. Their attitude is highly depended upon their emotional feeling
because this feeling reflects into their reaction towards particular item. If person has positive
feeling, then individual will buy that item but if no then individual will move towards other
brand. Companies are required to understand buying behaviour of consumers and accordingly
they have to offer goods and services to them. If firms fail to do the same, then it may impact on
overall sales revenues of business. By this way customer will move to other firms that are
offering them satisfactory services. If individual is receiving goods as per their emotional feeling
them, it may make them loyal towards brand and individual will become frequent buyer of
organisation.
Investigate the factors are influencing the customers buying behaviour a case study based on
McDonalds
Nicosia model explains the reaction of consumers for new brand. First customers make
them aware with existence of brand and then trace working of that company, they gather post
purchase reactions of others and accordingly make their final choice of buying any product. I
believe that this is considered as effective process of making correct decision. if consumer track
the previous experience of others then it would help in knowing more about positive and
negative elements of company which will help in getting right product against the [paid amount.

Health is the most significant factor which influence buying behaviour of consumers.
Now a day people want healthy products and if they do not get in McDonalds then they move to
other place where they get such healthy dishes.
PSYCHOLOGICAL FACTORS:- The four main elements affecting psychology of the buyer
are
 Perception - A view point or a decision which a consumer forms after judging the
situation),
 Motivation - It pushes them to relentlessly pursue their goals.
 Learning:- The research or experience which adds on to the knowledge of the consumer
is called learning.
 Attitude:- This is the opinion (either favourable or unfavourable) which a consumer
forms about a product.
PERSONAL FACTORS:- This is a very important factor in influencing consumer in its
decision making. The various sub factors of personal factors are:- 'Age', 'Occupation', 'Financial
Status' and 'Lifestyle'.
CULTURAL FACTORS:- A consumer lives in a society which believes in certain cultural
values. Culture, Sub-culture, Social Class are some sub-factors influencing the buying behaviour
of consumer.
ECONOMIC FACTORS:- Here a consumer's decision is influenced not by his needs but rather
by his buying capacity. 'Personal and Family Income', 'Consumer Credit', 'Savings', 'Liquid
Assets' of a consumer acts as decision criteria. Business cycles, inflation etc. also influences
economy and hence the buying behaviour of consumer.
SOCIAL FACTORS:- The decisions of consumer are also based on the societal values in which
they live. 'Reference Group', 'Family', 'Role and Status' are some such factors.
QUESTIONNAIRE
(Completed by member of Staff)
Introduction: My name is -------- I am conducting research on how people buy from
Mcdonalds, would you mind taking 1 minute to answer a few questions:
Tick by Staff

1. Do you eat Mcdonalds?
Yes __________ Continue with Questionnaire
No __________ End questionnaire - Thank customer
2. How often do you buy McDonalds
Once a week ________________
Once every two weeks ________________
More than once a week ________________
More than two weeks ________________
3. Do you normally buy the same meal?
Yes ______________ Go to next question
No ______________ Go to next question
4. Which, if any of the following do you buy
Friers _____________
Hamburger _____________
Cheeseburger _____________
Big Mac _____________
Chicken Burger ____________
Continue list _____________
5. Which, if any of the following determines influences your decision to buy at McDOnalds
[Please rank from 1-5, 1 being the least and 5 being what influences you most.]
Cost effective 1 2 3 4 5
Speed 1 2 3 4 5
Taste 1 2 3 4 5
Customer Service 1 2 3 4 5
Breakfast 1 2 3 4 5
Environment 1 2 3 4 5

Convenience 1 2 3 4 5
Product Range 1 2 3 4 5
6. Gender
Male
Female
7. Age
7-12
13-18
19-25
26-35
36-45
45+

REFERENCES
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understanding international tourists’ use of social media for travel decision to
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East, R. and et.al., 2016. Consumer behaviour: Applications in marketing. Sage.
Szmigin, I. and Piacentini, M., 2018. Consumer behaviour. Oxford University Press.
Che, T. and et.al., 2015. Antecedents of consumers’ intention to revisit an online group-buying
website: A transaction cost perspective. Information & Management. 52(5). pp.588-598.
Chen, Y. F. and Wang, R. Y., 2016. Are humans rational? Exploring factors influencing impulse
buying intention and continuous impulse buying intention. Journal of Consumer
Behaviour. 15(2). pp.186-197.
Mandel, N. and et.al., 2017. The compensatory consumer behavior model: How self-
discrepancies drive consumer behavior. Journal of Consumer Psychology. 27(1).
pp.133-146.
Koles, B., Wells, V. and Tadajewski, M., 2018. Compensatory consumption and consumer
compromises: a state-of-the-art review. Journal of Marketing Management. 34(1-2).
pp.96-133.
Testa, F., Cosic, A. and Iraldo, F., 2016. Determining factors of curtailment and purchasing
energy related behaviours. Journal of Cleaner Production. 112. pp.3810-3819.
Yadav, R. and Pathak, G. S., 2016. Intention to purchase organic food among young consumers:
Evidences from a developing nation. Appetite. 96. pp.122-128
Jadhav, V. and Khanna, M., 2016. Factors influencing online buying behavior of college
students: A qualitative analysis. The Qualitative Report. 21(1). pp.1-15.
Kaur, N. and Singh, D. P., 2017. Deciphering the consumer behaviour facets of functional foods:
A literature review. Appetite. 112. pp.167-187.
Maniatis, P., 2016. Investigating factors influencing consumer decision-making while choosing
green products. Journal of Cleaner Production. 132. pp.215-228.
Joshi, Y. and Rahman, Z., 2015. Factors affecting green purchase behaviour and future research
directions. International Strategic management review. 3(1-2). pp.128-143.
Güney, O.İ. and Sangün, L., 2017. Seafood Consumption Attributes and Buying Behaviours
According to the Generations: A Study on Millennial Generation in Turkish
Market. Turkish Journal of Agriculture-Food Science and Technology. 5(12). pp.1604-
1608
Chen, Y. C. and et.al., 2017, November. Online apparel shopping behavior: Effects of consumer
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IEEE