Impact of Consumer Buying Behaviour on Organizational Performance - Case Study of Woolworths

This research paper explores the impact of consumer buying behaviour on organizational performance using Woolworths as a case study. It examines the factors affecting consumer buying behaviour and organizational performance, and makes recommendations for strategies to influence consumer buying behaviour.

Running head: BUSINESS RESEARCH
Impact of consumer buying behaviour on organizational performance- Case study of
Woolworths
Name of the Student
Name of the University
Author Note

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Table of Contents
Chapter 1: Introduction..............................................................................................................2
1.1: Background of the study.................................................................................................2
1.2: Problem statement...........................................................................................................3
1.3: Research objectives.........................................................................................................3
1.4: Research questions..........................................................................................................4
1.5: Research hypothesis........................................................................................................4
1.6: Justification and potential output of the project..............................................................4
Chapter 2: Literature Review.....................................................................................................5
2.1: Conceptual Framework...................................................................................................5
2.1: Consumer Buying Behaviour concept............................................................................5
2.2: Factors affecting consumer buying behaviour................................................................6
2.3: Factors affecting organizational performance.................................................................8
Chapter 3: Research Methodology.............................................................................................9
Organization of the study.....................................................................................................10
Project budget and schedule.................................................................................................11
Reference List..........................................................................................................................12

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Chapter 1: Introduction
In the recent years, it can be seen that there has been changes in the work place due to
the effect of economy on a global manner. This has increased the organizational development
to a great extent that has resulted in developing the skills of the employees within the
business. This has also resulted in increasing the level of productivity within the organization
through better level of performance among the employees. The organizational management
pays more attention towards the needs of the employees so that they behaviour could be
studied within the work place. It has also resulted in studying the complex behaviours of the
employees within the organization so that the learning techniques can be developed that will
help in meeting the requirements of the organization (Perez, del Mar Garcia de los Salmones
& Rodriguez del Bosque, 2013).
1.1: Background of the study
The values and beliefs of the employees needs to be studied by the management so
that it can help in understanding the complexity of the employee behaviour that can result in
better levels of production. Organizational performance can be stated as the system that helps
in achieving the objectives that are present in the organization in a proper manner. This
approach is dynamic in nature that needs to be interpreted so that it can result in a positive
outcome within the business (Manning, 2013).
Woolworths started its journey in 1924 at the Imperial Arcade that was present in
Australia and the company prospered due to the low pricing technique that enabled them in
attracting more number of customers. It became a chain of stores when the second shop was
opened on 1927 in Brisbane due to the high demands among the customers to avail the
services provided by the company. This resulted in the growth of the company heavily due to
the opening up of many stores at different parts of Australia. The company has been

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performing at its best with respect to the services that are provided to the customers. This has
resulted in having a better relationship with the customers and the company tries to minimize
the negative feedbacks that are being provided by the customers. It has also resulted in
gaining the trust of the customers to a great extent.
1.2: Problem statement
The major issue within the company is that the focus is mainly given on the customers
and the employees are feeling neglected within the organization, which has resulted in the
lack of motivation. This is due to the fact that the supervisors are facing difficulty in
understanding the complex behaviour of the junior level employees. Another issue is that the
management of the team is not being done in a proper manner, which has resulted in lack of
productivity and meeting the objectives that are being set to them within the organization
(Maiyaki, 2013). The issue with communication within the teams and the management has
resulted in increasing the conflict level of team employees that is also affecting them on a
personal level. The issues of the team with that of the employees has to be solved at a quicker
rate so that it can help in increasing the level of production in the competitive market of
Australia. It may also affect the corporate culture of the organization in a negative manner
and the organizational performance may decrease to a great extent (Tingchi Liu et al., 2013).
Recently, the company is in a dire need to increase their level of performance so that
more number of customers can be attracted towards the stores. This will also result in
increasing the level of sales and the profits levels will also increase to a great extent. The
effective management of the employees will result in increasing the level of sales of the
organization that is being inefficiently at the present time.
1.3: Research objectives
The research will be based on the following objectives:

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 To examine the concept of consumer buying behaviour
 To understand the relationship that is present between organizational performance and
consumer buying behaviour
 To make recommendations regarding the strategies that will help in influencing the
consumer buying behaviour for the organization
1.4: Research questions
The research will help in addressing the following questions:
1. What is the concept of consumer buying behaviour
2. What is the connection between the organizational performance and the consumer
buying behaviour?
3. What are the recommendations that can be suggested to the company to influence
them towards consumer buying behaviour?
1.5: Research hypothesis
The research that will be conducted will be based on the following hypothesis:
H0- There is no connection between the organizational performance and the consumer buying
behaviour
H1- There is no connection between the organizational performance and the consumer buying
behaviour
1.6: Justification and potential output of the project
The research will help in finding out the outcomes that are related to the
organizational performance and the consumer buying behaviour. The consumers will be
attracted towards the company when the employees are motivated, which will help them in
guiding the customers towards the best products that are present and provide them with
efficient level of services. The research will try to establish a positive relationship between

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Psychological
Factors
Social Factors
Cultural Factors
Economic Factors
Organizational
Performance
Consumer Buying
Behaviour
the organizational performance and the buying behaviour of the consumers with respect to
the chosen organization that is Woolworths.
Chapter 2: Literature Review
2.1: Conceptual Framework
Conceptual Framework
2.1: Consumer Buying Behaviour concept
It can be defined as the products and the services that are preferred by the consumers,
which are purchased by them so that their wants can be satisfied. The characteristic of the
customers towards the products and services are dependable on different factors that help
them in being influenced towards the goods that they want to purchase. In the initial phase,
the customers will analyse the product so that the important information can be collected
regarding the products and services that they want to purchase. The maximum utility goods

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and services will be purchased by the customers at a competitive price so that it can help
them in gaining maximum satisfaction (Sharma, 2014).
The behaviour of the consumers help in understanding the various motives that they
have with respect to the goods and services that they want to purchase. It is also based on the
principle that the goods that deliver the maximum level of satisfaction towards the individual
will influence the consumers towards the purchase of the goods and services. The knowledge
regarding the products and services among the consumers will help them in purchasing the
product. This will result in achieving the maximum level of satisfaction with respect to the
products that they are purchasing from the market (Khare, 2015).
2.2: Factors affecting consumer buying behaviour
Psychological factors
The factor of motivation helps the consumers in taking a positive decision with
respect to the products or services that they are willing to purchase so that it can help in
satisfying their needs and demands. The motivational factor also helps the consumers in
achieving the target so that it can help them in achieving their personal needs. It is an internal
factor that helps in purchasing the goods and services from the organization (Oliver, 2014).
Social factors
The social factors also act as an influence for the consumers in the society where they
are staying. The status and the presence in the society also influence the buying behaviour of
the customers to a great extent. The family also influences with respect to the attitudes and
the personality that is present among the consumers, which also reflects on their buying
pattern.
The reference groups that are present in the society also provides information
regarding the products that they have purchased to the potential customers so that they get

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influenced and purchase it. This also helps in meeting the level of satisfaction and demands
of the customers, as their behaviour and attitudes can be influenced in an indirect or direct
manner (Raheem, Vishnu & Ahmed, 2014).
The status and role of the consumers in the society also affects their decision
regarding the products or services that they are willing to purchase from the market. The
higher section in the society will purchase the products that are highly priced, as they can
afford to spend the amount on the products whereas the lower section may not afford the
same product and may look for an alternatives at a cheaper cost (Sharma, 2014).
Cultural factors
The behaviour of the customers are also affected duet to the beliefs and the set of
values that they have regarding their particular culture. These buying patterns are a result of
the factor of socialization that the consumers have in their family as well as within the society
where they are residing. The nationality and the religious sects to which the consumers
belong also affect their decision in purchasing the products and services that are available in
the market. The company has to understand the different cultures where they are operating so
that it can help in satisfying the needs and demands of the consumers (Maiyaki, 2013).
The society where the consumers are residing also affect their decisions with respect
to the products or the services that they want to purchase from the market. This can be judged
through the income levels, occupation of the consumers and the lifestyle in which they are
living. The buying behaviour of the consumers change in this respect, as it gets divided in to
the higher, middle and lower section of people. The purchasing pattern changes in relation to
the consumers who belong to different classes in the society (Tingchi Liu et al., 2013).

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Economic factors
The amount that is earned by the consumers have a great role in influencing their
decision in purchasing the product or the services. The income level of the consumers result
in motivating the consumers in purchasing the products from the market. The high level of
disposable income results in increasing the expenditure level as well. It also allows the
consumers in dividing the amount between the luxurious and the durable goods. Another
factor that needs to be considered is the family income as well, as the aggregate income helps
in understanding the purchase pattern of the consumers (Manning, 2013).
2.3: Factors affecting organizational performance
The performance of the organization is deeply affected through the nature of the
leadership that is being followed. The leadership style also helps in assessing whether the
objectives that have been set in the organization has been followed or not. The leaders play
an important role in communicating with the employees so that they can understand the level
of skill that is needs to work within the business. This helps the company to run in an
organized manner. The leaders need to delegate the responsibilities of the employees so that
they can understand the position for which they have been hired (Ramsay, Wagner & Kelly,
2013).
There are external factors as well such as the labour unions that are associated with
the organization. They affect in a positive or in a negative manner with respect to the
functioning of the organization. This is due to the fact that when their demands and wants are
not met, they agitate in the organization, which leads to a chaotic situation. The taxes that the
company needs to pay also affect their level of performance in the market along with the
other policies and procedures that are laid down by the government (Rani, 2014).

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Chapter 3: Research Methodology
This research will be done using the different tools that are present so that it can help
in providing a positive outcome. The research will be based on the positivism philosophy,
which will enable the researcher in collecting the relevant information according to the
research topic. This will help in aligning the study with the topic of the research. The
approach of the research will be deductive in nature so that the information can be deduced
with respect to the topic of the research. It will also help the research to be completed within
the stipulated time (Mackey & Gass, 2015). The mixed method will be selected that will help
in collecting the information from the secondary sources with respect to organizational
performance and the primary sources will help in determining the buying behaviour of the
consumers. The secondary sources will enable the research in conducting the review of
literature as well in a proper manner. The exploratory type of research design will be taken up
for the study so that it can help in analysing the variables that has been taken up and proper
information can be provided with respect to the research questions (Taylor, Bogdan &
DeVault, 2015).
The primary data that will be collected for the research will be done by distributing
survey questionnaire among 100 customers who goes to Woolworths for purchasing the
products and services and have a proper knowledge regarding the services that are provided
by the organization (Glesne, 2015). The responses will be collected by the researcher through
the random sampling method so that it can provide opportunity to all the customers to take
part in the survey in an equal manner. The collection of the data will be done in two ways
where the quantitative data will be done through the surveys and the qualitative data will be
gathered through the secondary sources such as journals articles and magazines. This will
help in conducting the literature review in a proper manner and provide better insights
regarding the topic of the research (Brinkmann, 2014).

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The responses that will be gathered through the survey will be evaluated through the
SPSS tool so that the data can be presented in a statistical manner. The data will then be
evaluated through the Chi-Square Test of Pearson that will help in establishing whether there
is a relationship between the dependent and the independent variables. This will allow the
analysis of the research to be done in a statistical manner so that the last chapter can be based
on the findings and linking it with the objectives that has been taken up for the research
(Mackey & Gass, 2015). The researcher will also follow the rules and regulations that are
present in the Data Protection Act breaching which may result in the researcher being
penalized. The respondents will be not be given any external force that may result in
changing the nature of the survey according to the wish of the researcher. This can influence
the study and may result in a pre-determined analysis. This may also affect the quality of the
research in an overall manner (Flick, 2015).
Organization of the study
The study will be divided in to 5 chapters where chapter 1 will be the introduction to
the topic along with the objectives and questions taken up for the research. Chapter 2 will
consist of the literature review where secondary sources such as journal articles, magazines
and websites will be considered. Chapter 3 will consist of the methodology part where proper
justification will be provided for the methods that have been chosen to carry out the business
research. Chapter 4 will contain the data analysis section that will be conducted through the
survey followed by chapter 5 where the conclusion part will be given. The analysis will be
linked with the objectives so that it can help in finding out the outcomes of the research.

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Project budget and schedule
Particulars Amount ($)
Travel 200
Materials 250
Printing 175
Total 625
Activity Months
1st
Wee
k
2nd
Wee
k
3rd
Wee
k
4th
Wee
k
5th
Wee
k
6th
Wee
k
7th
Wee
k
Finalizing the topic 
Collecting data from secondary
sources
 
Forming a layout of the research
work

Conducting Literature review   
Forming the research plan  
Selecting appropriate research
methodologies
 
Concluding the Study 
Designing a rough draft  
Submitting the Final Work  

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Reference List
Brinkmann, S. (2014). Interview. In Encyclopedia of Critical Psychology (pp. 1008-1010).
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Marketing, 47(1/2), 218-238.

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