DETERMINANTS OF CONSUMERS PURCHASE BEHAVIOR TOWARD LOCALLY MADE SHOES IN NIGERIA A CASE STUDY OF AKWA IBOM STATE, UYO METROPOLIS

0
19

TABLE OF CONTENTS
Title Page – – – – – – – – – i
Declaration – – – – – – – – – ii
Certification – – – – – – – – – iii
Dedication – – – – – – – – – iv
Acknowledgements – – – – – – – – v
Abstract – – – – – – – – – vi
Table of Contents – – – – – – – – vii
List of Tables – – – – – – – – – x
CHAPTER ONE: INTRODUCTION
1.1 Background to the Study – – – – – – 1
Statement of the Problem – – – – – – 3
1.3 Objectives of the Study – – – – – – 4
1.4 Research Questions – – – – – – – 4
1.5 Research Hypotheses – – – – – – – 5
1.6 Significance of the Study – – – – – – 5
1.7 Scope of the Study – – – – – – – 6
1.8 Limitations of the Study – – – – – – 6
1.9 Definition of Terms – – – – – – – 6
CHAPTER TWO: REVIEW OF RELATED LITERATURE
2.1 Introduction – – – – – – – – 8
2.2 Conceptual Framework – – – – – – 8
2.2.1 The Meaning of Consumer Behaviour (CB) – – – – 8
2.2.2 Types of Consumer Behaviour – – – – – 11
2.2.3 Consumer Decision Making Process – – – – – 14
2.2.4 Factors that Determine Consumers Purchase Attitude Towards Locally
Made Goods – – – – – – – – 18
2.3 Review of Related Literature – – – – – – 22
2.4 Theoretical Framework – – – – – – 24
CHAPTER THREE: RESEARCH METHODS
3.1 Introduction – – – – – – – – 26
3.2 Research Design – – – – – – – 26
3.3 Population of the Study – – – – – – 26
3.4 Selection of Sample/ Sample Technique – – – – 26
3.5 Sources of Data – – – – – – – 27
3.6 Methods of Data Collection – – – – – – 27
3.7 Method of Data Analysis – – – – – – 28
CHAPTER FOUR: DATA REPRESENTATION AND PRESENTATION
4.1 Introduction – – – – – – – – 29
4.2 Brief History of Uyo, AkwaIbom State – – – – 29
4.3 Presentation and Analysis of Data – – – – – 29
4.4 Test of Hypotheses – – – – – – – 37
4.4.1 Test of hypothesis one – – – – – – 37
4.4.2 Test of hypothesis two – – – – – – 38
4.4.3 Test of hypothesis three – – – – – – 38
4.5 Discussion of Findings – – – – – – 39
CHAPTER FIVE: SUMMARY, CONCLUSION AND RECOMMENDATIONS
5.1 Summary – – – – – – – – 41
5.2 Conclusion – – – – – – – – 42
5.3 Recommendations – – – – – – – 43
5.4 Suggestion for Further Research – – – – – 44
References
Appendices
CHAPTER ONE
INTRODUCTION
Background to the Study
All business enterprises strive to be successful. They want to make profit as well gain a large market share of the market they operate through proper satisfaction of their consumers. This scenario is not only peculiar to service rendering firms such as banks, transport firms, schools, insurance firms etc. but equally overlap to include manufacturing firms. Thus, satisfaction of the consumer underscores the basic marketing philosophy why enterprises exist. According to Chartered Institute of Marketing of America (CIA, 2001), marketing is the management process responsible for identifying and satisfying customer requirements profitably.
In recent time, proper satisfaction of the consumer by various enterprises especially local business establishments have been a thing of challenge given the consumer’s preference for foreign products over locally made ones (Mohammad and Shah, 2011; Watson and Wright, 2000). This is often facilitated by globalization which has made the entire business world a global village through the use of Information and Communication Technology (ICT). This has opened new business opportunities in terms of product availability as well as shrinks national boundaries thus making it almost unrestrictive (Temesgen, 2014). More so, it has generated a popular parlance known as ‘global village’- where a product that is produced in one part of the world is seen and also immediately in other part of the world. As a result, there has been influx of foreign products in different countries including Nigeria thus, providing consumers with opportunities to access as well as compare different products or services which significantly influence their buying behaviours.
Achumba (1996) defined consumer behaviour as the activities people engage in actual or potential in their use of market items whether products, services, information or ideas. Elsewhere, William (1982) defined consumer behaviour as all purchases related activities, thoughts and influences that occur before, during and after the purchase itself as performed by buyers and consumers of products and services and those who influence the purchase. These definitions are in tandem with the prepositions of Watson (1975) and James and Engel (1978). Nevertheless, these submissions pointed out three important facts of consumer behaviour. First, consumer behaviour is dynamic. Second, it involves series of interactions and influences and third, it involves change. Thus, these conceptual frameworks underscore the point that consumers are rational beings; they are individuals who make choices so as to satisfy their wants. As such, their purchase behaviour is often influenced by factors such as perception, expectations, experience, and reflection of social status, among others (Leon and Kanuk, 2007; Zhou and Buk, 2004; De-Whitte, 2001). This highlights the reason for their comparison between foreign products and local ones.
Akwa Ibom State is one of the rapid developing states in Nigeria. Since the dawn of civilian administration in 1999 till date, strenuous efforts have been made by subsequent administrations to ensure that business opportunities are encouraged in the state especially indigenous ones. This has seen local business outfits within the state engaged in various businesses including manufacturing as well as selling of locally manufactured shoes. Regardless of these efforts, the sight of foreign shoes is still a common phenomenon in various markets within the state.This was the idea behind the introduction of the deregulation policy following the failure in the aims of Structural Adjustment Program (SAP) in the 1980s (Lillian, 1999). Rather than achieve the intended objectives, Nigeria gradually became a trading rather than a production-based economy. This has greatly affected trading on locally made products like shoes in Nigeria and particularly in Akwa Ibom State with the resultant effect of these local enterprises having to compete regularly with their foreign counterparts due to the influx of foreign made products. Over time, this gives the local consumers access to make comparisons between locally made shoes with foreign ones in terms of product performance and price. Consequently, since these local business establishments cannot compete favourably with the foreign ones, the steady availability of foreign shoes in our local markets have created a market scenario where consumers have high preference for foreign products over locally made ones. Therefore, this study intends to examine determinants of consumers purchase attitude towards locally shoes in Akwa Ibom State.
Statement of the Problem
The preference for consumer’s purchase of foreign made shoes over locally made ones because of quality considerations is both alarming and disturbing. Nigerian shoe consumer’s, over time, tend to perceive foreign made shoes as being more superior to locally made shoes both in terms of durability and personal satisfaction. Progressively, such preference among local shoe consumers has equally affected the local shoe manufacturers to the extent that locally manufactured shoes are being stamped with foreign brand names.
More so, consumers who are affluent hardly purchase locally made shoes since they want the shoe they purchase to reflect their social status. These consumers make purchase depending on the brand names, shop location and the social status of consumers making purchases from such places. Most times, local shoe sellers have to rent shops in choice areas of the town as well as beautify it with the notion that doing so may attract such kind of consumers or perhaps, give the impression that the shoe they sale is of high quality which may eventually not be true.
Also, inconsistent government policies on importation of foreign products is believed to be the root cause of consumers preference of foreign made shoes over local ones. Generally, such policies supposed to encourage extensive patronage of locally made products, aid in subsidizing the costs of the needed materials while reducing the influx of foreign made products into the country. In the absence of such policies, foreign products like shoes are frequently imported into our country and with low rate of import duties thereby crowding out locally made shoes in our local markets. These identified problems therefore, necessitate the need for this study on factors that determine consumer’s purchase attitude towards locally shoes.
1.3 Objectives of the Study
The main objective of this study is to determine consumer purchase attitude towards locally made shoes. Specifically, the objectives of this study are to:
Examine the relationship between quality of shoes and consumers purchase attitude towards locally made shoes;

Determine the relationship between social status of the consumers and their purchase attitude towards locally made shoes; and
Find out the relationship between price of shoes and consumers purchase attitude towards locally made shoes.
1.4 Research Questions
This study aims to answer the following questions:
What is the relationship between quality of shoe and consumers purchase attitude towards locally made shoe?
What is the relationship between social status of the consumers and their purchase attitude towards locally made shoe?
What is the relationship between price of shoes and consumers purchase attitude towards locally made shoes?
1.5 Research Hypotheses
The following research null hypotheses were formulated for this study:
H0: There is no relationship between quality of shoe and consumers purchase attitude toward locally made shoe.
H0: There is no relationship between social status of the consumers and their purchase attitude towards locally made shoe.
H0: There is no relationship between price of shoe and consumers purchase attitude towards locally made shoes.
1.6 Significance of the Study
The findings of this study will be of immense benefits to the state government by way of bringing to their notice that policies be put in place as well as agencies to encourage consumers to patronize made in Nigeria products. This could perhaps encourage a change of strategy towards protecting these local shoe manufacturers in the state.The findings of this study will give local shoe manufacturers an insight on the need not to compromise quality when manufacturing shoes because of the cost factor attached to each unit of production since a good quality product can advertise and market itself. It is equally believed that this study will benefits future studies on the subject as it would serve as a reference material.

DETERMINANTS OF CONSUMERS PURCHASE BEHAVIOR TOWARD LOCALLY MADE SHOES IN NIGERIA A CASE STUDY OF AKWA IBOM STATE, UYO METROPOLIS