RESEARCH ON FACTORS AFFECTING CONSUMERS INTENTION BUYING NISSAN SEDAN CARS IN DA NANG CITY

DUY TAN UNIVERSITY
INTERNATIONAL SCHOOL
PSU DIVISION

UNDERGRADUATE THESIS
RESEARCH ON FACTORS AFFECTING CONSUMERS'
INTENTION BUYING NISSAN SEDAN CARS
IN DA NANG CITY

MAJOR

: BUSINESS ADMINISTRATION

MENTOR

: PHAM THI THUY MIEN

STUDENT

: NGUYEN THI HONG VY

CLASS

: K24PSU-QTH4

ID NUMBER

: 24202114854

Da Nang, 2022

ABSTRACT
The objective of this research is to determine and measure the influence of
factors on the intention to buy Nissan brand cars of customers in Da Nang city.
Based on the theoretical basis and review of previous studies at home and abroad,
the author has built a proposed research model and developed the research
hypotheses of the topic. Besides, the topic applies a combination of two preliminary
and quantitative research methods with analytical techniques including: trial survey,
Cronbach's Alpha reliability test, EFA exploratory factor analysis, test Determining
the research hypothesis, evaluating the suitability of the research model,
multivariable regression was used as a basis for evaluating the influence of factors
on the intention to buy a Nissan Sedan car of customers in Da Nang city.
The research results show that the factors, including: attitude towards
attributes, subjective standards, price perception, perceived behavioral control and
brand reputation have a positive influence on purchase intention. Nissan Sedan cars
of customers in Da Nang city. In which, the subjective norm factor has the same and
strongest influence on the intention to buy a Nissan Sedan car in Da Nang city
(standardized beta coefficient is 0.322); the second influencing factor is brand
reputation (with a normalized beta of 0.263); the third influencing factor is price
perception (normalized beta is 0.256); The fourth influencing factor is perceived
behavioral control (with a normalized beta coefficient of 0.2220; and finally, the
attitude factor towards the attributes has the weakest influence on the intention to
buy a Nisan Sedan car (with a normalized beta coefficient of 0.2220;) with a
standardized beta coefficient of 0.206) Based on the research results, solutions to
improve the intention to buy Nissan Sedan cars of customers in Da Nang city in the
future were also presented.


DISCLAIMER
I certify that the attached thesis is my original work. No other person’s work

has been used without due acknowledgement. Except where I have 1 clearly stated
that I have used some of the this material, it has not been presented by me for
examination in any other course or subject at this or any other institution.
I understand that the work submitted may be reproduced and/or
communicated for the purpose of detecting plagiarism. I understand that should this
declaration be false, I am libel to be penalized under the Duy Tan University
regulations.
Signature:

Date:


ACKNOWLEDGEMENT
After studying and doing research at Duy Tan University, I have received
attention, help and encouragement from teachers, family, friends and colleagues.
Completing this thesis is an opportunity for me to express my respect and gratitude.
First and foremost, I want to express my hearfelt appreciation to my science
mentor, my mentor is Pham Thi Thuy Mien of Duy Tan University’s Faculty of
International Education, for spending so much time and enthusiasm in guiding,
support me, and accompany me throughout the process of learning and
implementing the thesis.
I’d like to express my gratitude to the faculty members of Duy Tan
University’s Faculty of International Education for their scientific and technical
assistance, as well as for sharing invaluable guidance on protocols, procedures, and
formalities when at school learning and writing.
I also would like to express my deep thanks to the Board of Directors,
friends, and colleagues for creating favorable conditions and supporting me in my
work so that I can participate in research and complete the thesis.
Finally, I’d like to express my heartfelt appreciation to my family members
who have always been there for me, inspired and helped me bothe physically and

mentally, and served as my fulcrum and inspiration in life, work and science study.

Student

Nguyen Thi Hong Vy


TABLE OF CONTENTS
ABSTRACT
DISCLAIMER
ACKNOWLEGEMENT
TABLE CONTENTS
LIST OF ABBREVIATIONS
LIST OF TABLES
LIST OF FIGURES


LIST OF ABBREVIATIONS
ATA
BR
Co.
EFA
KMO
PP
PBC
SN
TPB
TRA

Attitude towards attributes

Brand Reputaion
Company
Exploratory factor analysis
Kaiser-Meyer-Olkin
Price perception
Perceived behavioral control
Subjective norm
Theory of Planned Behavior
Theory of Reasoned Action Model


LIST OF TABLES
NUMBE
R
1.1
2.1
3.1
4.1
4.2
4.3
4.4
4.5
4.6
4.7
4.8
4.9
4.10
4.11
4.12
4.13

4.14
4.15
4.16
4.17
4.18
4.19
4.20
4.21
4.22
4.23
5.1
5.2

TABLE NAME

PAGE

The financial position of the company in the last 3 years
Recommended factor variables
Preliminary scale
Descriptive statistics
Age factor analysis
Gender factor analysis
Job factor analysis
Income factor analysis
Cronbach's Alpha test for the factor "Attitude towards
attributes"
Cronbach's Alpha test for the factor "Subjective norm"
Cronbach's Alpha test for the factor "Price perception"
Cronbach's Alpha test for the factor "Perceived behavioral

control"
Cronbach's Alpha test for the factor "Brand Reputation"
Cronbach's Alpha test for the factor "Intent to buy a Nissan
Sedan car"
KMO coefficient and Bartlett's Test of the independent variable
Total extracted variance of customer's vehicle purchase
intention component
Factor loading EFA coefficient of the intention to buy a Nissan
Sedan car of Da Nang people
KMO coefficient and Bartlett's Test of the dependent variable
Total variance extracted of the factor of intention to buy a car
Nissan Sedan
Factor loading EFA coefficient of intention to buy a car Nissan
Sedan
Correlation coefficient test results
R Square analysis on the fit of the regression equation
ANOVA analysis on the suitability of the method process
Statistical analysis of residual autocorrelation of the regression
equation
Regression coefficient on factors of intention to buy a car
Nissan Sedan
Hypothesis testing and statistics on the influence of factors on
employee performance
Descriptive statistics of observed variables of subjective
standard factors
Descriptive statistics of the observed variables of the brand
reputation factor

9
25

30
41
41
12
13
44
46
47
47
48
49
50
52
53
54
55
56
56
58
59
59
60
61
62
66
67


5.3
5.4

5.5

Descriptive statistics of observed variables of price perception
factor
Descriptive statistics of observed variables of perceived
behavioral control factors
Descriptive statistics of the observed variables of the attitudinal
factor towards the attributes

68
69
70


LIST OF FIGURES

NUMBE
R
1.1
1.2
2.1
2.2
2.3
2.4
2.5
2.6
2.7
2.8
2.9
2.10

3.1
5.1

FIGURE NAME
Structure diagram of the management apparatus
Business room structure diagram
Consumer behavior model
Factors affecting the purchasing decision process
Theory of Resoned Action Model
Theory of Planned Behavior
Research model of intention to buy Volvo car
Research model of intention to buy Hybrid car
Research model of intention to buy electric car in Beijing
Research model of Nguyen Duy Nhat
Research model of intention to buy Vinfast car
Research model proposed by the author
Research process
Research results of the topic

PAGE
7
8
11
13
19
20
20
21
22
23

23
24
29


10

CHAPTER 1: INTRODUCTION
1.1 General introduction
1.1.1 Reason for choosing a research topic
Today, when the government promotes integration into the world economy
through joining world trade organizations such as WTO and FTA, the country has
opened up many opportunities to access many imported goods. Because taxes have
been reduced quite a lot. This is also the reason that foreign car manufacturers
appear in the Vietnamese market quite popular. Along with that is the strong
development of society and economy, people's living standards are increasingly
improved, leading to higher living needs. When people have a more stable income,
their lives require more secure and convenient things and personal cars are no
exception when they receive a lot of attention from people in the country. Therefore,
automobile manufacturers have also timely grasped the tastes and needs as well as
the attitudes of consumers towards car products on the Vietnamese market to be
able to supply and change the company's product lines with new, luxurious, and
unique designs are suitable for different classes, not only in urban areas but also in
rural areas.
According to preliminary statistics in the area of Da Nang city, there are
nearly 45 car dealership stores distributed in the area. In the past, cars were just a
means of commuting, but now cars are gradually seen as an accessory to affirm the
class and economy of an individual or family or even the lifestyle of the owner.
The rate of personal car ownership in our country is low compared to other
countries in the region, reaching only 23 cars/1000 people, by 2025 this rate is

forecasted to increase to 50 cars/1000 people. This shows that this is a market with
good growth potential. In the context of such fierce competition, to attract and
increase the number of customers who have bought cars and intend to buy cars with
previously trusted brands is a big challenge for businesses. It is necessary for
businesses, manufacturers and car dealers in the Vietnamese market in general and
Da Nang in particular to understand the consumer's attitude towards their products.
Also according to personal research, studies on the intention to buy Nissan-branded


11

cars in Vietnam are still lacking, what factors did customers who have used this
brand car have affecting their decision? surname. Besides, Da Nang has an
economy on the rise, attracting investment and the demand for cars will increase.
From such reasons, I chose the topic: " Research on factors affecting consumers'
intention buying Nissan Sedan cars in Da Nang city" in order to determine the
factors affecting the choice of Nissan Sedan purchase as well as their attitudes and
feelings towards the Nissan car brand and thereby help the Marketing department of
Nissan to have a view and orientation in the Marketing strategy, creating more
activities to attract more consumers. car purchase intention for Nissan Sedan,
thereby being able to stand firmly in the market, develop the brand and get
maximum profit.
1.1.2 Objective of the research
This research was conducted with the goal of finding out the factors affecting
the intention to buy a Nissan Sedan car of consumers in Da Nang and measuring the
influence of those factors. From there, propose a number of solutions to help
businesses increase the purchase intention of customers with a Nissan Sedan.
1.1.3 Subject and scope of the research
1.1.3.1 Subject of the research
The subject of the research is the factors affecting the intention to buy Nissan

brand cars.
The subject of the survey is a group of individual customers who know or
hear of the Nissan brand, those who have used cars but have never used Nissan cars,
and those who have used Nissan cars.
1.1.3.2 Scope of the research
Spatial scope: survey of customers was carried out in Da Nang city.
Time range: research data were collected during the period from March 2022
to May 2022.


12

1.1.4. Research methods
The research was carried out by using a combination of two research
methods, qualitative research and quantitative research.
Qualitative research method: based on theory and previous research models
related to the topic on the internet, theses and related studies have been completed
previously. Then proceed to determine the factors affecting customers' intention to
buy Nissan cars in Da Nang city.
Quantitative research method: survey customers by questionnaire. Collected
information will be processed through SPSS software and use statistical, analytical
and comparative methods to evaluate the reliability of the scale, exploratory factor
analysis and test the research model propose.
1.1.5. Significance of the research
The research paper consists of 5 chapters with the followig contents:
Chapter 1: Introduction
In this chapter, the author will clarify the reason for choosing the topic, the
objectives that the topic wants to achieve, the research object, the scope and time of
the research as well as the layout of the research.
Besides, the author will also give an overview of the research topic through

domestic and international projects that have been carried out in the past time. At
the same time, the author will also introduce an overview of the business that the
author chooses to test his research model.
Chapter 2: Literature Review
The author will present concepts related to the topic, including the concept of
consumer, consumer behavior, components that make up the decision-making
process, etc., on the basis of science. Provide research models available from related
studies to be able to draw out the factors affecting customer's consumption intention
and contribute to its enhancement.
After having the factors related to customer's consumption intention, the
author will propose a research model and make hypothesize about the level of


13

influence between the factors and prepare for the verification process. reality for
Nissan customers.
Chapter 3: Research methodology
In Chapter 3, the author will design the research implementation process,
build a preliminary scale based on the theory that should be included in Chapter 2.
After completing the preliminary scale, the author will conduct an experiment scale
on a group of Nissan customers (about 10 people) to collect more opinions from
them and complete the official scale.
Also in this chapter, the author will present the method of collecting survey
data from the questionnaire and process the data through SPSS 20.0 software. Data
will be processed step by step based on scientific parameters so that variables that
are not relevant to the model can be eliminated.
Chapter 4: Research results
In this chapter, the author will conduct descriptive statistics of the sample to
be investigated and processed. Data after the survey will be cleaned to remove the

subjects that are not related to the research.
The data will be encrypted into SPSS software and processed according to
procedures including Cronbach's Alpha reliability test. Exploratory factor analysis
EFA, correlation coefficient analysis and linear regression analysis. In the analysis
process, if the scale and observed variables do not meet the requirements, they will
be removed from the model and come to a conclusions.
Chapter 5: Conclusions and recommendations
After having the results, the author will draw conclusions about the
influencing factors among the variables, which variables have the most influence on
the purchase intention of consumers. From there, propose suggestions and solutions
to improve the ability to attract consumers and increase the intention to buy a
Nissan Sedan.


14

1.1.6. Researching overview
•

Foreign researches:
+ Wong Lai Soon (2012) conducted a research on consumer attitudes

towards Toyota cars in Malaysia. The author used dynamic structural modeling
(SEM) to analyze the important factors affecting the customer's car purchase
intention.
+ Automotive consumer attitudes and the importance of automated systems –
Research by Tsung-Sheng Chang, Wei-Hung Hsiao (2011)
+ Research on Chinese consumers' attitudes towards Volvo cars (2011). The
author Shuyuan Xiao Wei He proposed the combined model of behavioral intention
theories.

•

Domestic researches:
+ Author Nguyen Duy Nhat (2012): Researching Vietnamese consumers'

behavior towards domestically assembled cars and imported cars.
+ Author Pham Thi Thu Ba (2013): Research on individual factors affecting
men's cosmetic consumption behavior.
1.2.

Information to Nissan Danang – Quang Phi Hung Automobile Joint
Stock Company

1.2.1. History of formation and development
Since the Party and State opened the market economy and after the US lifted
the embargo against Vietnam, the economic sector in general and the industrial
economy in particular developed rapidly, including the manufacturing industry. car
export. Nissan Da Nang automobile company was born according to that general
development trend.
On November 13, 2010, Nissan Vietnam Co., Ltd. officially opened Nissan Da
Nang dealer in Da Nang city. This is the first genuine authorized dealer of Nissan
Vietnam in the central region, bringing the total number of 3S dealers of the
company to 3 up to this point.
The introduction of the dealer is the result of more than a year of efforts of the
entire Board of Directors and employees of Nissan Da Nang Motor Company, a


15

company with many years of experience in the automotive field in the central

region. Nissan Danang is located in a campus with a land area of 6000m2, the total
construction area is 12000m2 with 3 floors, the total investment capital is more than
75 billion VND. The dealer is equipped with 38 repair compartments, 2 paint booths
(1 quick paint booth and 1 normal paint booth), and advanced diagnostic equipment
imported from Nissan Motor Japan.
• Company address: 875 Nguyen Huu Tho, Khue Trung ward, Cam Le district,
•
•
•
•
•

Da Nang city
Trading name: Quang Phi Hung Automobile Joint Stock Company
Tax code: 0401312207
Business license: 0401312207 – Date Range: 06/11/2009
Operation date: 15/11/2009
Tel: 02363698888 – Fax: 02363698888
Nissan Danang has a team of professional technicians who are trained at

training centers of Nissan Vietnam and Nissan Japan. These training courses strictly
follow the “Nissan Sales and Service Methods” (NSSW), which is a global standard
system established by Nissan Motor Japan to ensure the quality Uniform and best
service in all markets in the world.
Along with this event, Nissan Vietnam also announced the change of the
main shareholder and the Board of Directors of Nissan Vietnam. Since November
2010, Nissan Vietnam is a joint venture between Nissan Motor Japan and Tan
Chong Holding Berhad Group, Malaysia. One of the main areas of activity of the
Tan Chong Group includes the assembly and distribution of Nissan vehicles in
Malaysia.

•

Period 11/2009 - 11/2010: The stage of establishment and construction of facilities

•

and infrastructure, training of staff to serve the business.
Period 11/2010-2013: The company officially went into operation, gaining a

position in the market, creating a brand and trust with customers.
• Current stage: The company continues to expand and develop, upgrading facilities
such as showrooms and repair shops to better serve customers and improve the
company's services. In 2010, there were only 2 authorized dealers under the name


16

"Nissan Cars", up to now there have been 22 more genuine authorized dealers
across the country.
Nissan Da Nang is currently distributing car models such as: Nissan Almera,
Nissan Navara, Nissan X-trail, Nissan Terra, and Nissan Sunny.
1.2.2. Organizational structure

Figure 1.1 Structure diagram of the management apparatus


17

Figure 1.2 Business room structure diagram
(Source: Administration and Human Resources Department)

18

1.2.3. The financial position of the company in recent years
Table 1.1 The financial position of the company in the last 3 years
BUSINESS PERFORMANCE REPORT
Taxpayer's name: Quang Phi Hung Automobile Joint Stock
Company
Tax code: 0401312207

Model number: B 02 - DN (Promulgated according
to Circular No. 200/2014/TT-BTC dated December
22, 2014 of the Ministry of Finance)

2020/2019

Net
revenue
from sales
of goods
and
provision
of
services
Gross
profit on
sales and
service
provision

Net profit
from
operating
activities
Other
profits
Total
accountin
g
profit
before tax
Profit
after
corporate
income
tax

2021/2020

Change,VND

Chang
e
percent

Change,VND

Change
percent

164,143,674,85
9

52,850,134,95
1

0.27

23,435,033,40
7

0.17

11,860,480,522

12,070,142,392

283,382,043

0.02

209,661,870

0.018

988,096,218

201,004,128

855,835,519

787,092,090

0.80

654,831,391

3.26

3,532,760,959

3,356,544,087

4,065,682,091

176,216,872

0.05

709,138,004

0.21

4,520,857,177

3,557,548,215

4,921,517,610

963,308,962

0.21

1,363,969,395

0.38

3,616,685,742

2,846,038,572

3,937,214,088

770,647,170

0.21

1,091,175,516

0.38

2019

2020

2021

193,558,776,40
3

140,708,641,45
2

12,143,862,565

(Source: Accounting Department)

It can be seen that, in the last 3 years, in 2019, Quang Phi Hung Joint Stock
Company has been quite favorable and successful when the revenue reached nearly


19

200 billion VND. This time, the auto market is being pushed the most when the
demand for personal car ownership by consumers is increasing. By the end of 2019
and 2020, net revenue from sales and provision of services in 2020 decreased by
27% (nearly VND 53 billion) because of the impact of the COVID-19 epidemic, the
affected economy dragged on. According to unemployment, people's income
decreased significantly. In 2021, people begin to get used to and live with Covid,
everything gradually returns to normal, revenue gradually improves, up to 16.66%
(23 billion VND) compared to the same period last year. However, it has not really
recovered because there are too many new car models and the demand, financial
ability as well as many other factors after the Covid-19 epidemic have affected
customers' intention to buy cars. Therefore, the research on the factors affecting the
intention to buy a Nissan Sedan car is deployed to help businesses better understand
their customers, thereby changing policies to be more appropriate and worthy of
customers Japan's second largest car brand title.


20

CHAPTER 2: LITERATURE REVIEW AND HYPOTHESE
2.1 Literature Review
2.1.1 The concept of consumer and consumer behavior
2.1.1.1

Consumer
A consumer is an individual, an organization or a group of 4 who directly

participates in or influences the formation of needs - wants, makes decisions to buy,
use and discard a product or service. Specifically. They are the last to consume the
product created by the manufacturing process. Consumers can be buyers,
influencers or users (Tran Minh Dao, 2006).
2.1.1.2

Consumer Behavior
According to Philip Kotler, “consumer behavior is the research of how

individuals, groups and organizations select, purchase, use and dispose of goods,
services, ideas and experiences to satisfy needs and their wishes”.
In marketing, marketers research consumer behavior with the aim of
identifying their needs, preferences, habits, specifically what consumers want to
buy, why they buy that product or service, why they buy that brand, how they buy,
where, when and how to buy to build a marketing strategy to motivate consumers to
buy their products and services.

Figure 2.1 Consumer behavior model
Source: Philip Kotler (2001)

21

2.1.2 Buying decision process
•

Identify the problem
The consumer buying decision process begins when the buyer becomes

aware of a problem or need. Needs can originate from intrinsic stimuli (such as
hunger or thirst leading to the need to eat) or extrinsic (such as seeing an
advertisement for a product or leading to the need to purchase the product).
Marketers need to uncover circumstances that evoke a particular need. By
gathering information from a number of consumers, marketers can identify the most
common triggers that have sparked interest in a particular product category.
•

Information search
Consumers in need will start looking for more information. The more urgent

the need, the less initial information, the greater the value of the product to buy, the
more people are motivated to seek information. Consumer information sources are
divided into four groups.
+ Personal information sources: Family, friends, neighbors, acquaintances.
+ Commercial information sources: Advertising, salespeople, agents, packaging,
exhibitions.
+ Public information sources: Mass media, consumer research organizations.
+ Sources of empirical information: Touch, research and use the product.
•

Alternatives evaluation

From the different product brands known through the information search

stage, customers begin to evaluate to choose the brands and products that are
suitable for their needs.
Consumers view each product as a set of attributes with different capabilities
for seeking benefits and satisfying needs. The properties that buyers are interested
in vary depending on the type of product (for example, whether cars or motorbikes
care about smooth running, low fuel consumption, etc., cameras care about
sharpness, shutter speed, etc.)


22
•

Purchase decision

Figure 2.2 Factors affecting the purchasing decision process
•

Post-purchase evaluation
Post-purchase reaction is the final step in the consumer's buying decision

process. After the purchase is complete, the customer uses the product and has
reviews on the purchased product. The level of customer satisfaction will directly
affect the next purchase decision.
2.2 Factors influencing consumer buying behavior
2.2.1 Cultural factors
The cultural factors that have the most profound influence on consumer
behavior are: culture, branch of culture, and social class.
2.2.1.1

Cultural

Culture is the most fundamental determinant of a person's desires and
behaviour. The citizens living there more or less inherit the characteristics of that
culture. The characteristics of each culture will affect people's perception of all
aspects of life, including, of course, behaviors related to product consumption.
In Asian countries like Vietnam, on the occasion of "Tet", people will tend to
buy a lot of products dedicated to Tet such as banh chung, banh tet, pork, apricot
flowers, ornamental plants. .. as well as other products such as fashion clothes,
phones...
2.2.1.2

Branch of culture

Each culture has smaller subcultures that create more specific characteristics
and socialization levels for its members. Branch of culture make up important


23

market segments, and marketers often design marketing products and programs
according to their needs. For example, Southerners will often choose to buy apricot
flowers and banh tet to display during Tet, while people in the North will choose to
buy peach blossoms and Banh Chung.
2.2.1.3

Social class

Almost all human societies clearly show social stratification, social class can

be seen as a proxy for the consumer's income level. Social classes are relatively
homogeneous and stable sections of society, hierarchical and composed of members
who share common values, interests, and behaviors, which in turn influence
profoundly. to consumer behavior such as criteria for choosing to buy
products/services, when and how often to spend, places and ways of shopping,
payment...
Social class is not based on a single factor such as income, but also a
combination of occupation, income, education, wealth, and other factors. Marketers
need to be interested in studying social class because people belonging to a social
class tend to exhibit relatively similar behaviors, including shopping behaviour.
2.2.2

Social factors
Consumer behavior is also influenced by social factors such as reference

groups, family and the role of social status. (Philip Kotler, 2005).
2.2.2.1

Reference group

Many groups have an influence on a person's behavior. A person's reference
group includes those groups that have a direct (face-to-face) or indirect influence on
a person's attitudes or behavior. These are groups that the person belongs to and
interacts with. There are groups that are primary groups, such as family, friends,
neighbors, and co-workers, with whom the person communicates frequently.
Reference groups expose an individual to new behaviors and lifestyles.
These groups also influence a person's attitudes and self-concept, because he or she
often wants to fit in. These groups create pressures to conform to common standards
and can influence how people actually choose products and brands.

24

2.2.2.2

Family

Family members are the most influential important reference group. Family
orientation includes the person's parents. It is from parents that a person acquires an
orientation towards religion, politics, economy and a sense of personal ambition,
self-esteem and love. Even if the buyer no longer has much of a relationship with
his or her parents, the influence of parents on buyer behavior can still be substantial.
A more direct influence on everyday shopping behavior is the person's own
family, spouse and children. The family is the most important consumer purchasing
organization in society and it has been studied for many years. Marketers are
interested in the relative roles and influence of husbands, wives, and children in
purchasing a wide variety of products and services.
In the case of Linda's laptop purchase, her husband can act as an influencer.
He can actively voice his opinion. He can comment on brands and features. His
influence will depend on how firm his opinion is and how Linda values his opinion.
2.2.2.3

Social status

The role and social status of each individual in society will affect the habits,
behavior, communication, as well as the needs and shopping habits of each
individual. People with different roles and statuses will have different needs later in
terms of food, fashion, cars, housing... For example, company presidents often drive
Mercedes cars, wear expensive clothes. and drink Chivas Regal Scotch.
2.2.3 Personal factors

Buyer decisions are also influenced by personal characteristics, most notably
the buyer's age and life cycle stage, occupation, economic situation, lifestyle,
personality, and self-concept. that man's. (Philip Kotler, 2005).
2.2.3.1

Age and life cycle stage
Each age has different buying habits and needs. People change the goods and

services they buy over the course of their lives. As children, they eat baby food and
most products as they grow and mature, and eat dietary foods in old age. Their
preferences in fashion and entertainment also change. Young boys often tend to


25

choose school bags, backpacks with bright colors, with images of superheroes.
However, this trend decreases with adulthood.
2.2.3.2

Profession
Each profession also has different shopping needs to match the profession. A

person's occupation also affects their purchases and consumption of goods. People
with different occupations will have different choices about how to dress, different
eating habits, products for work such as phones, laptops, vehicles, protective
clothing .. .
People who work at the office often tend to choose clothes with a thin, light
design that is easy to wash... while those who do manual work will choose thick,
sturdy fabrics to match with work. The company president will buy expensive
clothes, travel by air, join clubs and sail big.

2.2.3.3

Economic completion
A person's economic circumstances will greatly influence his or her choice of

products. A person's economic situation includes the amount of disposable income,
savings and assets, including borrowing capacity, and attitudes toward spending and
saving.
2.2.3.4

Life style
A person's way of life is a way of living in their world that is reflected in

one's activities, interests and opinions. Lifestyle fully describes a person in relation
to his environment. People from the same subculture, social class, and occupation
can lead completely different lifestyles.
2.2.3.5

Personality and self-concept
Each person has a distinct personality that influences his or her behavior.

Here personality means distinct psychological characteristics of a person that lead
to relatively consistent and lasting responses to one's environment. Personality is
often described by traits such as self-confidence, authority, independence, respect,
sociability, privacy, and adaptability. For example, a computer company may
discover that many prospects have very high levels of confidence, authority, and
independence. This suggests the use of certain assets in desktop advertising.