A PROJECT REPORT ON

CONSUMER BEHAVIOUR
REGARDING
VARIOUS BRANDED SHOES
PANJAB UNIVERSITY CHANDIGARH
Requirements for the award of
Degree of
Bachelor of Business Administration

BBA FINAL YEAR

Department of Management
2014-2015

DASMESH GIRLS COLLEGE

SUPERVISED BY: SUBMITTED BY:Asst. Prof. MAMTA ARORA

REETA

RANI
REG NO.20012000248
BBA 3RD

ACKNOWLEDGEMENT
Success is an effort bounded activity that involves co-operation of all.
I hereby take the opportunity to express my profound sense of gratitude and reverence to all
those who have helped and encouraged me towards successful completion of the Project
Report. It has been a great experience working on the concept of CONSUMER
BEHAVIOUR REGARDING VARIOUS BRANDED SHOES. It gives me complete
insight of this concept of marketing and its application.
I would like to thank my Project Guide Asst Prof. Mamta Arora for her immense guidance,
valuable help and the opportunity provided to me to complete the project under her guidance.
I would like to thank all faculty members of DASMESH GIRLS COLLEGE for guiding
and supporting me in the completion of project from time to time.
Last but not the least, my gratitude to great almighty and my parents without whose
concerned and devoted support the project would not have been the way it is today.

Reeta Rani
20012000248
B.B.A 3rd

TO WHOMSOEVER IT MAY CONCERN

This is to certify that the project report titled Consumer Behavior Regarding Various
Branded Shoes carried out by Reeta Rani D/O Vijay Kumar has been accomplished under
my guidance & supervision as a duly registered BBA student of the Dasmesh Girls
College,Mukerian. This project is being submitted by him in the partial fulfillment of the
requirements for the award of the Bachelor of Business Administration from the Dasmesh
Girls College, Chak Alla Baksh, Mukerian.
His dissertation represents his original work and is worthy of considered for the award of the
degree of Bachelor of Business Administration.

Date:
Dr.(Mrs).Ravinder Chadha

Assistant Prof. Mamta Arora

Principal

Project Guide

DECLARATION

I Reeta Rani hereby declare that the work presented herein is genuine work done originally
by me and has not been published or submitted else for the requirement of the Degree
programme. Any literature, data or works done by others and cited within the dissertation has
been given due acknowledgement and listed in the reference section.

Reeta Rani
(Student Name and Signature)
(Registration No.)
2001200024

PREFACE

The project study on CONSUMER BEHAVIOUR REGARDING VARIOUS BRANDED

SHOES has been conducted to observe the preferences of consumers. This system of
education is highly appreciated as it provides the students with an opportunity to acquaint
them with the outside world. The practical work helps the students to view the real business
world closely, which in turn widely influences their conception and perception.
In this project 50 respondents are selecting for knowing their perception regarding
branded shoes. For this purpose information is collected from some areas of Pathankot.

INDEX
1. Introduction
2. Review of literature
3. Research Methodology
4. Data Analysis and Interpretation
5. Suggestions and Conclusion
6. Annexure
7. Bibliography

7-38
39-42
43-47
48-65
66-69
70-74
75-76

CHAPTER-1
EXECUTIVE SUMMARY

This project takes a look in various kinds of Merchandising activities, market share of
different shoes and various sales promotion schemes, which are followed in the shoe industry.
The three major players i.e. Reebok, Nike and Adidas dominate the sports shoe industry in
India. India is one of few battlegrounds in the world where there is neck-to-neck competition
between the three. The companies claim to be in number one sport coating the data produced
by two different marketing research companies.
In the 1980s, Adidas sneakers became popular amongst teenagers and young men. The
Adidas sneakers were popularized by the Run DMC song My Adidas and became a huge
fashion trend. The Tapie affair the history of the company as presented by its official web site
is incomplete, perhaps because it is indirectly linked to financial scandals. After a period of
serious trouble. The death of Adolf Dasslers son Horst Dassler in 1987, the company was
bought in 1990 by Bernard Tapie, for 1.6 billion French francs ($320million), which Tapie
borrowed. Tapie was at the time a famous specialist of rescuing bankrupt companies, a
business on which he built his fortune.
Nike is the worlds #1 manufacturer and marketer of athletic footwear and apparel. Almost
out of the blue, the company established itself as one of the worlds most familiar brands
during the 1980s and 1990s.
As familiar as a coke bottle or Big Mac, the Nike swoosh logo came to symbolize not just
sports culture, but street culture, as the appeal of the star players who endorsed the brand was
carried onto city streets. The approach of the new century set Nike new problems.
Trainers went out of fashion, economic slowdown and labor problems hit Asian performance.
But the group has bounced back, retaining its iron grip on the sporting apparel sector and still
undisputed lender in sports-oriented street wear.
Reebok is the worlds third- largest maker of sneakers, athletic shoes and sport apparel.
Goods are sold under the brands Reebok, Rockport and Greg Norman Collection. Reebok is

also the official outfitter of the NFL and has an exclusive deal to supply NBA jerseys
beginning the season
Reebok announced in July it will merge with German Sporting apparel company adidassaloman in a deal valued at @3.8 billion. The merger is expected to be completed by the first
half of 2008 and will create the second-largest sporting goods company behind Nike with
@11billion in revenues.
Adidas will maintain its corporate headquarters in Germany and its North American
headquarters in Portland, OR Paul Fireman will remain as chief executive officer of the
Reebok international ltd. And will continue to lead the Reebok team. Reebok will continue to
operate under its name and will retain its headquarters in Canton, MA.
In fiscal 2008, Reebok had net income of @192.4million and sales of @3.7billion.

The Action group is one of the India's leading business conglomerates. The group
commenced its operations as a source of footwear and its components in domestic and export
markets, gradually moving its core other diversified fields such as: (API) Chemicals and
Plasticizers, (MICROTEK ) Computer Monitors and Peripherals, Power Back Up/Inverters,
(OKAYA) Batteries, (SUN CITY) Housing Projects and (SRI BALAJI ACTION MEDICAL
INSTITUTE) Health Care.
There are different individual companies under a common umbrella, each dedicated to a
specific line of product manufacturing, procuring or other particular business activities.

PUMA at a Glance / PUMA is one of the worlds leading sports brands, designing,
developing, selling, and marketing footwear, apparel, and accessories. For over 65 years,
PUMA has established a history of making fast product designs for the fastest athletes on the
planet. PUMA offers performance and sport-inspired lifestyle products in categories such
as Football, Running, Training, Golf, and Motorsport. It engages in exciting collaborations
with renowned design brands such as Alexander McQueen and Mihara Yasuhiro to bring
innovative and fast designs to the sports world.
The official PUMA Online Store offers a large selection of PUMA shoes, clothing,
accessories, and equipment.
9

PUMAs family of star players in football includes Sergio Agero, Cesc Fbregas, Marco
Reus, Radamel Falcao, Olivier Giroud, Mario Balotelli, and, in womens football, Brazilian
powerhouse Marta. PUMA also sponsors a number of influential national and club teams,
including four-time world champion Italy, Austria, Switzerland, Uruguay, Chile, Ghana,
Ivory Coast, and Cameroon, plus Borussia Dortmund, Newcastle United FC, and Arsenal
FC (from July 2014). The PUMA Running collection, notable for innovative new product like
our Faas and Mobium shoes, is represented by the fastest man in the world, sprinter Usain
Bolt. (Nuff said.)
In Golf, such game-changing athletes as Rickie Fowler, Ian Poulter, Lexi Thompson, Graham
DeLaet, Greg Norman, and Will Mackenzie represent COBRA PUMA GOLF.
PUMAs sport-inspired lifestyle products include the PUMA Motorsport collection, which
features officially licensed gear from Ferrari, BMW Motorsport, and Mercedes AMG
PETRONAS.
PUMA has created famous

sneaker styles

such as the Suede, El Rey, Roma,

Clyde, Mostro, Speed Cat, Basket, Disc Blaze, GV Special, and Trinomic range as well as
icons-to-be like our Sport Lite styles and, for women, our sneaker and ballet flats. Creative
partnerships with influential brand advocates like Meek Mill, Solange, and Bucky Lasek
round out our lifestyle category.
The company distributes its products in more than 120 countries, employs more than 10,000
people worldwide, and is headquartered in Herzogenaurach, Germany.

Liberty Shoes have been fashioning footwear for well over 60 years for the style- conscious
people around the globe. Currently with an annual turnover exceeding INR.600 crore (U.S.
$150 million), we figure amongst the top 2 manufacturers of leather footwear producing more
than 50,000 pairs a day using a capacity of more than 3 lakh square feet of leather per month.
Helping us dress up the feet of the fashion-driven and quality-seeking customers in more than
25 countries, which includes major international fashion destinations like France, Italy and
Germany, is our worldwide distribution network of 150 distributors, 400 exclusive
showrooms and more than 6000 multi-brand outlets. Our commitment to quality is also
evidenced by our ISO 9001: 2000 certification.

10

Red Shoes was a Choctaw chief, who traded with British fur traders based in South
Carolina in the 1740s and ignited the Choctaw Civil War. The French countered by arranging
the assassination of Red Shoes. He was known in French as le Soupier Rouge. He is also
known as Red Moccasin.
The company has specialization in leather. All the footwear under this brand is of leather
material. Footwear range of leayan global pvt. Ltd was launched under the brand name of red
chief in 1997 to meet the growing demand of branded high quality leather footwear at an
affordable price.
Red chief footwear store has different types of collection like casual shoes, formal shoes,
poweflex, sandal, slipper and Chappal with many colures and designs. The production has
well equipped operational laboratory and work center tagged with physical and chemical
research labs to conduct diverse quality on chemicals leather and footwear.

Adidas

INTRODUCTION
Adidas was formed by German sports apparel by the founder Adi Dassler during the 1920s.
For over 80 years, Adidas has been part of the world of sports on every level, delivering
state-of-the-art sports footwear, apparel and accessories. Today,
Adidas is a global leader not only in the shoe industry, but also in the
sporting goods industry. Shoes from the Adidas are available in
virtually every country of the world. . Besides sports footwear, the
company also produces other products such as bags, shirts, watches,
eyewear and other sports and clothing-related goods. The company is
the largest sportswear manufacturer in Europe and the second
biggest sportswear manufacturer in the world, after its American rival Nike.
11

The companys clothing and shoe design typically involve three parallel stripes of the same
color and the same motive is incorporated into Adidas official logos.

HISTORY:

The history of Adidas is one of consistently meeting the evolving needs of the athlete.
Focusing more on function and less on fashion, Adidas strives to provide athletes with shoes
that can make a noticeable difference in their performance. Meeting athlete needs is what
makes Adidas the best. The company Adidas was founded in the early 1920s as Gebruder
Dassler Schuhfabrik, in Herzogenaurach in Germany. Adolf Dassler designed a pair of sport
shoes in 1925 and few years later he and his brother Rudolph were selling special shoes for
tennis players and began design specific shoes for different sports. The family company split
in 1948. After the split, Adolf (Adi) Dassler founded Adidas and his brother Rudolph founded
Puma. The three-stripe logo was designed in 1941 by Adi Dassler and he registered it as a
trademark for Adidas after the split.

The strength of Adidas was its product innovation. Adi Dassler registered more than seven
hundred patents. Adidas began selling its shoes in the United States after 1968 and in few
12

years the company dominated the American market. The most important marketing
breakthrough was the active promotion of global sporting events, especially the Olympics.
The connection of Adidas to the Olympics has a rich heritage. At the 1972 Olympic game in
Munich, every official wore Adidas.

Adidas has 107 subsidiaries in 20 countries, and exports to 160 countries. Activities of the
company and its subsidiaries are directed from Adidas-Salomon AG's headquarters in
Herzogenaurach, Germany.

PRODUCTS:
Adidas - footwear, apparel, and hardware such as bags and balls. Salomon - Winter sports
incl. skis, snowboards, snowblades, ski boots and bindings, inline skates, hiking, apparel.
Mavic -Cycle components, Bonfire - Snowboard apparel. Arc'Teryx - Outdoor apparel,
climbing equipment, Clich - Skateboard equipment, footwear and apparel, Taylor MadeAdidas Golf - Golf equipment, golf apparel, golf shoes and finally, Maxfli - Golf balls, irons
and accessories.

COMPETITORS:
Rudolf Dassler, Adies brother, founded a rival company, PUMA the chief
competitors of Adidas are PUMA and NIKE. In August 2005, the company
announced that it had made a deal to acquire rival REEBOK for$3.8 billion. The
acquit ion would increase its market share in North

America and allow it to

further compete with Nike. This will propel Adidas to the number two spot in the
foot apparel market behind Nike. Adidas trademark saying is impossible is
nothing.

ENHANCEMENT

13

In the 1980s, Adidas sneakers became popular amongst teenagers and young men.
The Adidas sneaker was popularized by the RUN DMC song My Adidas and
became a huge fashion trend.
After a period of serious trouble following the death of Adolf Dasselers son Horst
Dasseler in 1987, the company was bought in 1990 by Bernard Tapie for 1.6 billion
French Frances ($320million), which Tapie borrowed. Tapie was at the time a
famous specialist rescuing bankrupt companies, a business on which he built his
fortune.
Tapie decided to move production offshore to Asia he also hired Madonna for
promotion.
In 1992, Tapie was unable to pay interest from his loan. He mandated the Credit
Lyonnais bank to sell Adidas, and bank subsequently converted the outstanding
debt owed to equity of the enterprise, which was unusual for then-current French
banking practice. Apparently, the State-owned bank had tried to get Tapie out of
dire financial straits as a personal favour to Tapie, reportedly because Tapie was a
minister of Urban Affairs in the French government at the time.
February 1993, Credit Lyonnais sold Adidas to Robert Louis Dreyfus, a friend of
Bernard Tapie, for a much higher amount of money than what Tapie owed 4.485
billion francs rather than 2.85billion. Forgetting why the bank actually bought
Adidas, Tapie later sued the bank, because he felt spoiled by the indirect sale.
Robert Louis-Dreyfus became the new CEO of the company. He is also the
president of the Olymique de Marseille football team, to which Tapie is closely
linked.
Tapie went bankrupt himself in1994. He was the object of several lawsuits, notably
related to match fixing at the football club. He spent 6 months in La Sant prison in
Paris in1997.

POST -TAPIE ERA

In 1997, Adidas AG acquired the Salomon Group, and its corporate name was
changed to Adidas-Salomon AG.
In August 2005, Adidas declared its intention to buy Anglo-American rival Reebok
for US$3.8 billion. This takeover was completed in august 2005 and meant that the
14

company will now have closer business sales as those of Nike in Northern America.
The acquisition of Reebok will also allow Adidas to compete with Nike Worldwide.
World cup 1954 when West Germany miraculously won the soccer 1954 World Cup,
their footwear was supplied by Adidas. These shoes introduced a technological
breakthrough: studs with screws. When weather were good and pitch was hard, the
shoes were equipped with short studs; when it rained; longer studs were screwed on
the bottom of the shoes. As the final game against the highly-favoured team from
Hungary was played in heavy rain, this gave the German players a firmer hold on
the slippery pitch.
Celebrities: Celebrities are often involved in advertising campaigns such as
television or print adverts to advertise specific or general products. Adidas use
David Bekham as their brand ambassador and many more celebrities in every
region to promote their product. Adidas already has heavy weight sportsmen such
as Sachin Tendulkar, Leander Paes & Mahesh Bhupathi endorsing the brand in
India. They had the image, apart from endorsing the performance element in the
brand. Adidas steps out of crease with a clear sports positioning .

ADIDAS IN INDIA
Adidas entered the Indian market in 1996 by setting up a 100% subsidiary of Adidas AG
called Adidas India Ltd. and announced its joint venture with Magnum International Trading
Company Ltd. on October 1, 1996. The new joint venture Adidas India Ltd. was
incorporated with an initial investment of US $ 205 million with Adidas India Ltd. holding
80% of the equity and Magnum holding the balance 20%. This investment was raised to US $
6.4 million with the equity structure remaining the same. Currently, the total investment
stands at US $ 11.4 Million with the equity structure changing to 91.4% by Adidas and 8.6%
by magnum.

Adidas Range of Products in India:

15

A month after announcing the joint venture, Adidas India Ltd. launched its range of sports
footwear, apparel and accessories in New Delhi on November 1, 1996. Subsequently, Adidas
products were also launched in Mumbai, Bangalore, Chennai, Hyderabad and Calcutta.
Currently, Adidas products are available in 30 cities in India.
The range of Adidas products available in India include sports footwear featuring some of the
most popular innovations and technologies developed by Adidas such as Feet You Wear,
Torsion system and adi wear. The sports footwear available in India includes a wide range of
core categories such as adventure, basketball cricket, golf, indoor, running, tennis, training,
soccer and workout.
Adidas has introduced in India, a wide range of sportswear for both men and women. These
include apparel for athletics, basketball, cricket, golf, running, soccer, swimming, tennis and
training for Men and women.

BRAND VALUE AND STRATEGY OF ADIDAS:

Brand value and strategy of Adidas Ag, a leading producer of sports apparel .In 2006, Adidas
owned another big brand Reebok for more than 3.5 million dollars.
The brand value of Adidas Ag, the leading leisure wear, sports footwear and equipment
producer across the globe is currently almost 2748 million dollars.
The company's brand name is Adidas and it is displayed with a trefoil logo. This logo, a very
popular one, is a signature of Adidas' brand. It had been launched in 1972.The new Adidas
logo, three stripes running across its several products, was introduced in 1991.

In 2006, Adidas acquired the Reebok brand for 3.8 million dollars.
In 2007, Adidas repositioned its Reebok brand to attract the consumers of athletics apparel.
Moreover, the company adopted several plans to expand its brand name .Adidas has given lot
of emphasis on advertising. The strong brand management has successfully branded the
company over the world.
Adidas has introduced several market campaigning ideas, for example, the "Run Easy"
campaign for the Reebok brand.
16

After acquisition, the main challenge was to avoid the competition between the past two
rival

brands,

Reebok,

the

producer

of

athletics'

sneaker,

and

Adidas.

But

Reebok's brand managers have not only successfully done that but also they increased the
brand value of both Reebok and Adidas.

A HAWK EYE VIEW

In 1998, Adidas sued the NCAA over their rules limiting the size and number of
commercial logos on team uniforms and apparel. Adidas withdrew the suit, and the
two groups established guidelines as to what

three-stripe designs would be

considered use of the Adidas AG

ADIDAS
Type

Public

Founded

1949

Location

Herzogenaurach, Germany

Key people

Herbert Hainer, CEO

Adolph Dassler, founder

Robin Stalker, CFO

Andreas Gellner, Managing
Director, India
Industry

Textile
17

Products

Footwear Accessories

REEBOK
INTODUCTION
Reebok is the worlds third-largest maker of sneakers, athletic shoes

and sports apparels.

Good are sold under the brands Reebok, Rockport, and Greg Norman
Collection. Reebok is also the official Outfitter of the NFL and has an
exclusive deal to supply NBA jerseys beginning this season.
Reebok announced in July it will merge with German sporting apparel company adidassaloman in a deal valued at $3.8 billion. The merger is expected to be completed by the first
half of 2006 and will create the second-largest sporting goods company behind Nike
with$11billion in revenue.
Adidas will maintain its corporate headquarters in Germany and its North American
headquarters in Portland, OR. Paul Fireman will remain as Chief Executive officer of Reebok
international Ltd. And will continue to operate under its name and will retain its headquarters
in canton, MA.
In fiscal 2004, Reebok had net income of $192.4 million and sales of $3.7 billion.

HISTORY
Reeboks origins go back to 1895 when Joseph William Foster made running shoes with
spikes in them. He formed a company called J.W.Foster and sons which made shoes for
athletes in the 1924 summer Olympics.
In 1958, two of the founders grandsons started a companion company that came to be known
as Reebok, named for an African gazelle.
18

In 1979, Paul Fireman, a partner in an outdoor sporting goods distributorship, spotted Reebok
shoes at an international trade show. He negotiated for the North American distribution
license and introduced three running shoes in the U.S that year. At $60, they were the most
expensive running shoes on the market.
By 1981, Reeboks sales exceed @1.5 million, but a dramatic was planned for the next year.
In 1982, Reebok introduced the first athletic shoe designed especially for the women; a shoe
for a new fitness exercise called aerobic dance. The shoe was called the freestyle, and with it
Reebok anticipated and encouraged three major trends that transformed the athletic footwear
industry: the aerobic exercise movement, the influx of women into sports and exercise and
the acceptance of well-designed athletic footwear by adults for street and casual wear.
Reebok went public in 1985.
The Chairman and CEO of Reebok was Paul Fireman. He was the one to introduce the
Freestyle in 1980 he was the founder and innovator of Reebok. He left his position in 2006
and sold Reebok to Adidas for $3.8 billion. Paul Harrington took his place in April for two
years. In March 2008 Uli Becker became CEO of Reebok. He is now responsible for Reebok
brands business around the world, and he reports to the chairman and CEO of the Adidas
group. The top 3 CEO connections are Mr. John Warren who is the chief financial officer and
general manager of sports licensed division, Mr. Terry R. Pillow senior vice president, and
Mr. Rick Pattern senior Vice President. The top five shareholders are Bardwell Industries Inc,
Dr. Martens Air wair USA, llc, Native Intimates Ltd., Wels pun USA, Ins., and Alpha Mills
Corporation. Its headquarters are in Canton, Massachusetts, U.S.A. its regional offices are in
Amsterdam, Montreal, Hong Kong, and Mexico City.

REEBOK'S VISION
Reebok is dedicated to providing each and every athlete - from professional athletes to
recreational runners to kids on the playground - with the opportunity, the products, and the
inspiration to achieve what they are capable of. We all have the potential to do great things.
As a brand, Reebok has the unique opportunity to help consumers, athletes and artists,
partners and employees fulfill their true potential and reach heights they may have thought
un-reachable.

REEBOKS MISSION
19

At Reebok, we see the world a little differently and throughout our history have made our
mark when weve had the courage to challenge convention. Reebok creates products and
marketing programs that reflect the brands unlimited creative potential.

REEBOKS POSITIONING
Celebration

Individuality

in

Sport

and

Life

Reebok understands that people are, above all, unique. Reeboks positioning reflects this;
celebrating the distinct qualities that make people who they are - their unique points of view,
their individual style and their remarkable talents and accomplishments. Reebok celebrates
their individuality, their authenticity and the courage it takes to forge their own path to
greatness. While some may call them crazy or eccentric, Reebok calls them visionary and
original.

REEBOK'S PURPOSE
To

Empower

Global

Youth

to

Fulfill

their

Potential

Commitment to Corporate Responsibility is an important legacy and hallmark of the Reebok

brand. For two decades, Human Rights, through the Reebok Human Rights program, were
the primary focus of this effort. Reebok has expanded on what had been built and created a
Global Corporate Citizenship platform with a purpose for the brand that will help
underprivileged, underserved youth around the world fulfill their potential and live healthy,
active lives.

REEBOK'S BRAND TERRITORY

Having

Fun

Staying

in

Shape

Having Fun Staying in Shape comes to life through a fun, bold, provocative manner
expressed through fresh, eye catching imagery signed off with a unique 'Reword.' The tone
and manner allows the consumer to look at sport and lifestyle through our lens of 'Ree.'
Indus tries - Fastest Grow
Reebok shoes Industries in India:
20

Reebok shoes company offers a wide range of shoes, apparels and accessories and the prices
of these stuffs depend upon the design, comfort and material used. Reebok shoes, apparels
and other accessories in India are expensive when we compare it with other brands but still
are popular and the choice of the elite class of the society. Now a day the shoe price

starts from Rs.1000 and goes up to Rs.15000 depending upon

the kind of shoes one is looking for. The brand has achieved great recognition amongst
youngsters, middle aged and old people because of its comfort, fitting characteristics and
style.
To distinguish themselves from the other brands, Reebok also offers a wide range of apparels
for both men and women keeping into consideration the latest fashion, style and brand image.
The company is manufacturing jackets, t-shirts, sweat shirts, pull overs, tracksuits, wind
cheater etc. in different designs and colours. Prices of these apparels depend upon the quality
and style of the product being taken. During season sale the company also offers discounts on
these products.

Recent Activities of Reebok

(a) In 2009, Reebok launched JUKARI Fit to Fly, an innovative gym workout designed for all
women with one single objective to make fitness for women fun again. JUKARI, the result
of a long-term relationship between Reebok and the globally renowned entertainment
company.
(b) In 2009, Reebok launched the Easy Tone footwear collection that allows consumers to
"take the gym with them." The Easy Tone technology involves two balance pods under the
heel and forefoot of the shoe that create a natural instability with every step, which Reebok
claims forces the muscles to adapt and develop tone.
21

c) In April 2008 Reebok launched its online store in UK and France. In January 2009 Reebok
had extended the store to Germany, Austria, Netherlands, Belgium and Ireland and had also
introduced Your Reebok an application to design your own Reeboks.
d) For the 200809 seasons, Reebok created the Reebok Edge 2 uniform system, for National
Hockey League's players. The league adopted the jersey and now all teams sport the new
style for both their home and away jerseys.
e) In July 2007, Reebok launched its Lifestyle Footwear Collection in association with Daddy
Yankee's new album. In December 2007, Reebok launched the GOAL Collection of football
gear on the release of the Indian football movie Dhan Dhana Dhan Goal.
f) In June 2007, Reebok announced Scarlett Johansson on its array of brand ambassadors.
Johansson promotes the Scarlett 'Hearts' Rbk" collection, a 'fashion-forward, athletic-inspired'
footwear targeted at the Indian market.

NIKE

INTODUCTION
Nike is a major publicly traded sportswear and equipment supplier based in the United States.
The company is headquartered near Beaverton, Oregon, which is part of the Portland
metropolitan area. It is the world's leading supplier of athletic and apparel and a major
manufacturer of sports equipment with revenue in excess of US$18.6 billion in its fiscal year
2008 (ending May 31, 2008). As of 2008, it employed more than 30,000 people worldwide.
Nike and Precision Cast parts are the only Fortune 500companies headquartered in the state
of Oregon, according to The Oregonian.

22

The company was founded on January 25, 1964 as Blue Ribbon Sports by Bill Bower
man and Philip Knight, and officially became Nike, Inc. on May 30, 1978. The company
takes its name from Nike the Greek goddess of victory. Nike markets its products under its
own brand as well as Nike Golf, Nike Pro, Nike+, Air Jordan, Nike Skateboarding and
subsidiaries including Cole, Hurley International, Umbra and Converse. Nike also owned
Bauer Hockey (later renamed Nike Bauer) between 1995 and 2008.[4] In addition to
manufacturing sportswear and equipment, the company operates retail stores under the Nike
town name. Nike sponsors many high profile athletes and sports teams around the world, with
the highly recognized trademarks of "Just do it" and the Swoosh logo.

HISTORY
Nike, originally known as "Blue Ribbon Sports", was founded by University of Oregon track
athlete Philip Knight and his coach Bill Bowe man in January 1964. The company initially
operated as a distributor for Japanese shoe maker Oni tusks Tiger (now ASICS), making most
sales at track meets out of Knight's automobile.
The company's profits grew quickly, and in 1967, BRS opened its first retail store, located on
Pico Boulevard in Santa Monica, California. By 1971, the relationship between BRS and
Onitsuka Tiger was nearing an end. BRS prepared to launch its own line of footwear, which
would bear the newly designed Swoosh by Carolyn Davidson. The Swoosh was first used by
Nike on June 18, 1971, and was registered with the U.S. Patent and Trademark Office on
January 22, 1974.
The first shoe sold to the public to carry this design was a soccer shoe named Nike, which
was released in the summer of 1971. In February 1972, BRS introduced its first line of Nike
shoes, with the name Nike derived from the Greek goddess of victory. In 1978, BRS, Inc.
officially renamed itself to Nike, Inc... Beginning with Ilie Nstase, the first professional
athlete to sign with BRS/Nike, the sponsorship of athletes became a key marketing tool for
the rapidly growing company.
The company's first self-designed product was based on Bower mans "waffle" design. After
the University of Oregon resurfaced the track at Hayward Field, Bowerman began
experimenting with different potential outsoles that would grip the new urethane track more
effectively. His efforts were rewarded one Sunday morning when he poured liquid urethane
into his wife's waffle iron. Bowerman developed and refined the so-called 'waffle' sole which
would evolve into the now-iconic Waffle Trainer in 1974.
23

By 1980, Nike had reached a 50% market share in the U.S. athletic shoe market, and the
company went public in December of that year. Its growth was due largely to 'word-of-foot'
advertising (to quote a Nike print ad from the late 1970s), rather than television ads. Nike's
first national television commercials ran in October 1982 during the broadcast of the New
York

Marathon.

The

ads

were

created

by

Portland-based

advertising

agency Wieden+Kennedy, which had formed several months earlier in April 1982.

Together, Nike and Wieden+Kennedy have created many print and television advertisements
and the agency continues to be Nike's primary today. It was agency co-founder Dan
Wiedenwho coined the now-famous slogan "Just Do It" for a 1988 Nike ad campaign, which
was chosen by Advertising Age as one of the top five ad slogans of the 20 th century, and the
campaign has been enshrined in the Smithsonian Institution. San Franciscan Walt Stack was
featured in Nike's first "Just Do It" advertisement that debuted on July 1, 1988. Wieden
credits the inspiration for the slogan to "Lets do it", the last words spoken by Gary
Gilmore before he was executed.
Throughout the 1980s, Nike expanded its product line to include many other sports and
regions throughout the world.

PRODUCT
Nike produces a wide range of sports equipment. Their first products were track running
shoes. They currently also make shoes, jerseys, shorts, base layers etc. for a wide range of
sports including track and field, baseball, ice hockey, tennis, association

Football (soccer), lacrosse, basketball and cricket. Nike Air Max is a line of shoes first
released by Nike, Inc. in 1987. The most recent additions to their line are the Nike 6.0, Nike
NYX, and Nike SB shoes, designed for skateboarding. Nike has recently introduced cricket
24

shoes, called Air Zoom Yorker, designed to be 30% lighter than their competitors'. In 2008,
Nike introduced the Air Jordan XX3, a high-performance basketball shoe designed with the
environment in mind.
Nike sells an assortment of products, including shoes and apparel for sports activities
like association

football, basketball, running, combat

sports, tennis, American

football, athletics, golf and cross training for men, women, and children. Nike also sells shoes
for

outdoor

activities

football, baseball, American

such

as

tennis,

golf, skateboarding, association

football, cycling, volleyball, wrestling, cheerleading,

aquatic

activities, auto racing and other athletic and recreational uses. Nike is well known and
popular

in youth

culture, chav culture

and hip

hop

cultureas

they

supply urban

fashion clothing. Nike recently teamed up with Apple Inc. to produce the Nike+ product
which monitors a runner's performance via a radio device in the shoe which links to the iPod
nano. While the product generates useful statistics, it has been criticized by researchers who
were able to identify users' RFID devices from 60 feet (18 m) away using small, concealable
intelligence motes in a wireless sensor network.
In 2004, they launched the SPARQ Training Program/Division.
Some of Nike's newest shoes contain Fly wire and Lunarlite Foam. These are materials used
to reduce the weight of many types of shoes.

MANUFACTURING
Nike has contracted with more than 700 shops around the world and has offices located in 45
countries outside the United States Most of the factories are located in Asia, including
Indonesia, China, Taiwan, India, Thailand, Vietnam, Pakistan, Philippines, and Malaysia Nike
is hesitant to disclose information about the contract companies it works with. However, due
to harsh criticism from some organizations like Corp Watch, Nike has disclosed information
about its contract factories in its Corporate Governance Report.

A Hawk Eye View

Type

Public

25

Traded as

NYSE: NKE

Industry

Clothing and Sports equipment

Founded

1964 (as Blue Ribbon Sports)

Founder(s)

: William J. "Bill" Bowerman Philip H. Knight

Headquarters

: Washington County, Oregon, United States

Area served

: Worldwide

Key people

Philip H. Knight (Chairman)

Mark Parker (President and CEO)

Products

Apparel

Athletic shoes
: Sports equipment

Accessories

Revenue

US$ 19.014 billion (FY 2010)

Operating income

US$ 2.517 billion (FY 2010)

Net income

1.907 billion (FY 2010)

US$

Total assets

Total equity

Employees

US$ 14.419 billion (FY 2010)

US$ 9.754 billion (FY 2010)
: 34,400 (May 2010)

26

Website

Nike.com

ACTION
PROFILE OF THE ORGANISATION:
A relentless race against time. The burning passion to win..A strong desire to set the trends...

No wonder
, life is all Action...."
What one needs is a partner that's always on the move, that tracks your
Every move, just right and smartly too. And that's exactly the inspiration behind our trendy
footwear collection ranging from performance sport shoes to semi-formal and formal
footwear for men, women, teenagers and kids. Ultimate in design, comfort, and fit. Action
shoes not only look good but also are good for your feet. Each Action product is the
manifestation of our high standards of workmanship, access to latest technology. That's how
Action is synonymous with maximum quality and performance.... and of course that essential
look. So gets into Action. And feel free to walk on the rough roads of life. Surely you'll be the
winner.

ABOUT THE COMPANY:

27

The Action group is one of the India's leading business conglomerates. The group
commenced its operations as a source of footwear and its components in domestic and export
markets, gradually moving its core other diversified fields such as: (API) Chemicals and
Plasticizers, (MICROTEK ) Computer Monitors and Peripherals, Power Back Up/Inverters,
(OKAYA) Batteries, (SUN CITY) Housing Projects and (SRI BALAJI ACTION MEDICAL
INSTITUTE) Health Care.

There are different individual companies under a common umbrella, each dedicated to a
specific line of product manufacturing, procuring or other particular business activities.
Today the group strategy is to be competitive and to be a leader in the quality of goods and
services provided

ABOUT COMPANYS WORKINGS:

With over three decades of experience in footwear industry, Action is synonymous with
quality shoes for the whole family-ranging from casuals to formals; from daily wear to
sportswear and from an elegant collection for ladies to a fun range for kids.
True to its name Action is always on the move to scale newer heights in footwear designing
and manufacturing. Intensive R& D efforts and the latest technology go into the making of
Action footwear. We have in house manufacturing facilities, including modern equipments
and machineries specially procured from different countries to manufacture footwear at par
with international class and quality.
Each Action shoe is the product of a relentless quest for quality, high level of workmanship
and a true commitment to customer satisfaction. At Action we strive to listen to the customers
in their local markets and identify their footwear needs and then provide products that exceed
the customer's expectations in terms of quality, style and value.
Hardly surprising, Action has carved a special niche in the Indian footwear market and in the
hearts of millions of its consumers throughout the country.

COMPANYS LOCATION:
28

Action is headquartered in Delhi, supported by multiple manufacturing and development

units in rest of the states like - Haryana, Himachal Pradesh and Daman etc. A number of its
executives are based in customer geographies with the express purpose of creating and
nurturing channel partners as well as customers relationship.

STRATEGIC INTENT

VISION
To nurture a financially strong, growth oriented group through leadership and innovation and
to widen future options by entering newly emerging industries where the potential seems
enormous. We as a group shall continue to seek opportunities where we can leverage our
resources.

29

MISSION
At Action group our mission is to work together, respecting each other, our skills and
knowledge to:-

1. Build higher quality of products and services

2. Continually strive to enhance customer satisfaction.
3. Improve customer retention and loyalty.
4. Gain a competitive advantage and larger market share
5. Elimination of scrap, waste, defects and errors.
6. To create a great place to work.
7. Be welcomed in the communities in which we operate.

30

VALUES
How we accomplish our mission is as important as the mission itself. Fundamental to the
success for the company are these basic values.
A. Teamwork
B. Learning and Innovation
C. Energy and Passion

Employee involvement in process improvement. Integrity and accountability.

MARKET POSITIONING
Action has consistently used "COMPLETE FAMILY FOOTWEAR" positioning and
continues to use it. The company virtually makes shoes for the entire family- more preciselyfor everyone- for all occasions.

31

DISTRIBUTION NETWORK
To complement our philosophy of catering to every walk of life, our powerful
distribution network is mushroomed far and wide.
Action has established a wide marketing network for distributing its products in India. The
extensive distribution network, built over the years, is a major strength for Action products.
Action products are available to consumers, even in the most remote places and in the
smallest of villages with a very meager population.
The distribution network comprising of DISTRIBUTORS, WHOLESALERS, RETAILERS
AND EBO's throughout the country, ensures that the customer wherever located is served
efficiently. We have network of more than50,000 retail outlets all over India to sell our
footwear, which is being sold through more than500 distributors appointed by the company.

PUMA
INTRODUCTION
Puma SE (officially branded as PUMA) is a major German multinational company that
produces

athletic

and

casual

footwear,

as

well

as sportswear,

headquartered

in Herzogenaurach, Bavaria, Germany. The company was formed in 1924 as Gebrder

Dassler Schuhfabrik by Adolf and Rudolf Dassler. The relationship between the two brothers
deteriorated

until

the

two

agreed

to

split

in

1948,

forming

two

separate

entities, Adidas and Puma. Both companies are currently based in Herzogenaurach, Germany.
Puma

makes football shoes

including Pel, Eusbio, Johan

and

has

sponsored

Cruyff, Diego

number

Maradona, Lothar

of

footballers,

Matthus,Kenny

Dalglish, Thierry Henry, Robert Pires, Adam Lallana, Radamel Falcao,Sergio Agero, Cesc
Fbregas, Olivier

Giroud, Marco

Reus, Marco

Verratti,Gianluigi

Buffon, Mario

Balotelli and Diego Godin. Puma is the sponsor of the Jamaican track athlete Usain Bolt. In
the United States, the company is known for the suede basketball shoe it introduced in 1968,
which eventually bore the name of New York Knicks basketball star Walt "Clyde" Frazier,
and for its endorsement partnership with Joe Namath.

32

History
Background
Christoph von Wilhelm Dassler was a worker in a shoe factory, while his wife Pauline ran a
small laundry in the Bavariantown of Herzogenaurach, 20 km (12.4 mi) from the city
of Nuremberg.returned from fighting in World War I, Rudolf received a management
Christoph von Wilhelm Dassler was a worker in a shoe factory, while his wife Pauline ran a
small laundry in the Bavariantown of Herzogenaurach, 20 km (12.4 mi) from the city
of Nuremberg. After leaving school, their son, Rudolf Dassler, joined his father at the shoe
factory. When he position at aporcelain factory, and later in a leather wholesale business
in Nuremberg.
Rudolf returned to Herzogenaurach in 1924 to join his younger brother, Adolf, nicknamed
"Adi", who had founded his own shoe factory. They named the new business "Gebrder
Dassler Schuhfabrik" (Dassler Brothers Shoe Factory). The pair started their venture in their
mother's laundry. At the time, electricity supplies in the town were unreliable, and the
brothers sometimes had to use pedal power from a stationary bicycle to run their equipment.
Adi drove from Bavaria to the 1936 Summer Olympics in Berlin with a suitcase full of spikes
and persuaded United States sprinter Jesse Owens to use them, the first sponsorship for an
African American. Owens won four gold medals. Business boomed; the Dasslers were selling
200,000 pairs of shoes annually before World War II.

A HAWK EYE VIEW

33

Type

Societas Europaea

Traded as

FWB: PUM

Industry

Clothing and consumer

goodsmanufacture

Founded

1924 as Gebrder Dassler

Schuhfabrik
(registered in 1948)

Founder

Rudolf Dassler

Headquarters

Herzogenaurach, Germany

Area served

Worldwide

Key people

Jochen Zeitz (Chairman)

Bjrn Gulden(CEO)
Klaus Bauer(COO)

Products

Footwear, sportswear, sports

goods, fashion accessories

Revenue

2.706 billion (2010)

Operating
income

306.8 million (2010)

Profit

202.2 million (2010)

Total assets

2.367 billion (end 2010)

Total equity

1.386 billion (end 2010)

Number of
employees

9,310 (average, 2010)

34

Parent

Kering

Website

www.puma.com

LIBERTY
INTRODUCTION
Liberty Shoes Limited (LSL) is an Indian shoe company, based in Karnal, Haryana.
Established in 1954, the company presently produces 50,000 pairs of footwear a day through
its six manufacturing units, sold through 6,000 multi-brand outlets and 350 exclusive
showrooms, and has a presence in 25 countries, with 50 showrooms outside India. Adesh
Gupta became the CEO of LSL in 16 July 2001

History
The company was incorporated on 3 September, 1986 as a Public Limited Company and
obtained the Certificate of Commencement of Business on 11 March 1988. The company has
been set up to manufacture and sell leather and non leather shoes, leather shoe uppers and
leather garments Presently the company is engaged in the manufacturing of leather and non
leather shoes.
It has also set up a joint venture in Russia to manufacture shoes in 1991 under the name of
M/S Liberty &Go, with M/S Gorky Production & shoes Unit, Gorky. The Company is
35

marketing its product nationally and internationally under the brand name "LIBERTY" and is
well established in the national and international market. The company has entered into an
agreement with one of the group firms M/S Liberty Enterprises for using the established
brand name "LIBERTY".
The company has commenced its commercial production for non leather shoes on 25
December 1993. Initially one direct injection soiling machine was installed with a capacity of
50000 pairs per annum on single shift basis .The second direct injection soiling machine was
installed in March 94.From the commencement of commercial production till 31 March
1994,the company has been operating on full capacity. As the promoters are in this line for
the last five decades, the company is confident of maintaining this level of operations in the
future. The company has been promoted by P.D.Gupta and R.K.Bansal and belongs to the
LIBERTY Group .Liberty Group has completed Five decades of its existence in the shoe
industry in 1994.
'Force 10', Liberty's first sub-brand, was launched in August 1990, a time when a casual
footwear wave sweeping the Indian market. By 1994-95, Force 10 became Liberty's flagship
brand in value, notching up sales of Rs 32 crore, it the coming years, it not only help the
company establish its name the domestic footwear market, but also paved the way for nine
other sub-brands and a firm foothold the mass family footwear segment, till now led by Bata,
now Liberty was the country's second largest footwear company after it.

A HAWK EYE VIEW

Type

Public,
(BSE 526596, NSELIBERTSHOE)

Industry

Shoe

Founded

1954

Headquarters
Key people

Karnal, Haryana [1]

Adesh Gupta (CEO)
36

Footwear

Products

Parent

Liberty Group

Website

libertyshoes.com

Manufacturing
Liberty's manufacturing base includes six facilities spread across the numerous states, two
in Gharaunda and Liberty Puram (Haryana) where its primary and the largest manufacturing
units

are

situated, Paonta

Sahib,

(Himachal

Pradesh)

with

two

units

and Roorkee (Uttarakhand).The company has avoided locations in the conventional Indian
shoe manufacturing locations such as Agra, Kanpur, Noida, Chennai etc.

Brands

FOR MEN: Coolers, Fortune, Force 10, Gliders and Windsor

FOR WOMEN: Force 10, Gliders, Senorita and Tiptopp

FOR KIDS: Footfun, Force 10, Gliders, Prefect

SAFETY SHOES: Freedom, Warrior and Workman.

RED CHIEF
INTRODUCTION
Leayan Global Pvt. Ltd is a respected name in leather industry since 1995. Its an
assemblage of potential manufacturing units with an unbeaten experience of 16 years. It is
part of the fast growing RSPL Group. RSPL Limited started its primary business and
marketing with its own FMCG soap Brand- GHARI in the year 1988 with a single production
37

unit. With its innovative and hardworking attempts, GHARI became a leading FMCG brand
in India.
The footwear range of Leayan Global Pvt. Ltd was launched under the brand name RED
CHIEF in 1997 to meet growing demand for branded high quality leather footwear at an
affordable price. The company markets REDCHIEF - a leather footwear brand in India which
exhibits the power of real leather. The company is a complete leather and footwear
manufacturer with own tannery, and five manufacturing plants.
The Leather and Footwear Division has recorded impressive growth since inception in 1995.
The turnover of Leayan Global Pvt. Ltd in the financial year 2013-14 was Rs. 180 Crores. It
has work strength of 1800+ full time employees.
With its non- stop familiarity and continuous achievements it has broaden its horizon in
leather and footwear trade and has also shown a global presence with internationally
renowned

leather

footwear

brands

like

KICKERS/BUGATTI

SHOES/ZARA/HandM/PAUL and JOE SISTER /CHIPPI/KESKO and few more.

The global recognition is inspiring the team to increase its production capacity and fulfill the
growing needs of consumers. Apart from Footwear manufacturing, the added advantage of
Tannery in same campus is a fully integrated tanning unit which follows process from
rawhides to wet blue, wet blue to crust and subsequently from crust to finished leather.
The company has recorded an inspiring growth through its enthusiastic and highly motivated
marketing team and now it has an efficient distribution network covering the whole of India
with its E- Retail Division. For future growth the company is now all set to explore overseas
market. The company follows the concept of concentrating, accumulating, conserving,
contemplating and utilizing precious and scarce resources in such a manner that these are
stretched to meet the aspirations of a company.

38

CHAPTER-2
REVIEW OF LITREATURE

39

The Definition: Consumer-buying behavior according to Kotler (2004, p.601) is defined as

The buying behavior consumers individuals and house holds who buy goods and services
for personal consumption. the term consumer can be described as a person who acquires
goods and services for self satisfaction is often used to describe two different kinds of
consuming entities: the personal consumers and the organizational consumers. The personal
consumers buy goods and services for his/her own use. In this context the goods are bought
for final use by individual, who are organizational consumers, encompasses for profit and not
for profit business, government agencies, institutions, all of them must buy products,
equipment and services in order to run their organization (Kotler, 2004). Peter and Olson,
(1993) mention that interactions between the peoples emotions, moods, affection and specific
feelings is called consumer behavior, in other words in environmental events which they
exchange ideas and benefits each is called consumer behavior . Buying behavior of people,
who purchase products for personal use and not for business purposes (Peter and Olson,
1993). The Physical actions of consumers that can directly observe and measured by others,
by influencing behavior profit can be earned (kotler, Armstrong and Cunningham, 1989). The
study of consumer behavior has evolved in early emphasis on rational choice
(microeconomics and classical decision theory) to focus on apparently irrational buying
needs (some motivation research) and the use of logical flow models of bounded rationality
(Howard and Sheth 1989). The latter approach has depended into what is often
called the information processing model (Bettman 1979). The information processing model
regards the consumer as a logical thinker who solves problem to make purchasing decision
(Holbrook and Hirschman 1980). Compares the four major approaches to create successful
inter-organizational relationships and integrates them into a single prescription for managing
important inter - firm relationships (Palmatier, Dant and Grewal, 2007). Service fails, in
satisfying the customers and developing customer loyalty over time in business to business
markets. Cyert (1956) may have been the first to observe that a number of managers in
addition to the purchasing agents are involved in buying process, and the concept was labeled
buying behavior and popularized by Robinson (Faris and Win 1967). Webster and Wind
40

(1972) famously identified five buying roles, they are: 1. users 2. Influencer 3.buyer 4.
decider and 5 Gatekeeper (Webster and wind, 1972). Further categories have been suggested
as the initiator (Bonoma, 1981), and the analyst and spectator by Wilson (Wilson, 1998).
The product purchase decision is not always done by the user. The buyer necessarily
purchases the product. Marketers must decide at whom to direct their promotional efforts, the
buyer or the user. They must identify the person who is most likely to influence the decision.
If the marketers understand consumer behavior, they are able to predict how consumers are
likely to react to various informational and environmental cues, and are able to shape their
marketing strategies accordingly (kotler, 1994). The consumer behavior influences are
follows: The consumer behavior influences in 3 aspects, they are acquiring, using and
disposing. The acquiring means that how the consumer spends money on the products, such
as leasing, trading and borrowing. Using means some of the consumers use the high price
products and some of the consumer sees the quality. Disposing is nothing but distribution,
order or places a particular product (Hoyer, Deborah, 2001). By understanding consumer
behavior deeply, different authors have given different information about the consumer
behavior, how consumer buys the products, it involves10 four steps they are: need
recognition, information search, evaluation of alternatives, purchase decision and post
purchase behavior, the marketer can pick up many clues as and how to meet the buyer need
and develop an effective program to support an attractive offer to the target market (Kanuk,
1990). According to Kotler (1994), the Consumers buying decision process is influenced by
four steps those are as follows: a. Types of consumer buying decision behavior: Consumer
buying behavior decision-making varies with the type buying decision. There are different
types of buying behavior decisions. b. Complex buying behavior: Consumers undertake
complex buying behavior when they are highly involved in purchase and complex buying
behavior and perceive significant difference among the brands. Consumers may be highly
involved when the product are expensive, risky, purchased in frequently and are highly
expensive (Kotler, 1994). c. Dissonance Reducing buying behavior occurs when consumers
are highly involved with an expensive, infrequent or risky purchase, but sees little difference
among various brands (Kotler, 1994). d.Variety Consumers undertake variety seeking
buying behavior in situations characterized by low consumer involvement, but significant
perceived brand difference. In such cases, consumers often do a lot brand scrutiny (Kotler,
1994).
THE BUYING DECISION PROCESS a. Introduction of buying decision process
Consumers make many buying decisions every day. Mostly large companies do extensive
research on consumer buying decision, to answer questions like what does consumer buy,
41

where they buy, how they buy, how much they buy, when they buy and why do they buy a
product, for this question to reorganize the decision different stages needed they are,
information search, and evaluation of alternatives, purchase decision and post purchase
decision etc., The consumer passes through all five stages with every purchase, but in 11
more routine purchases, consumers often skip or reverse some of these stages (Hawkins,
Coney, 1998). b. The buying decision process The buying process starts with need
recognition, where as buyer recognize the need. The buyers decision is depending on his/her
internal & external stimuli of consumer behavior. The internal and external stimuli of
consumer behavior means that the consumer, which product should purchase, how much
wants to purchase and externally which products are more reliable and usable. According to
this internal and external stimulis the buyer will take the decision (Hawkins, Coney, 1998).
The consumers are searching the information from the various sources those are information
search, personal source, commercial sources, public sources and experimental sources; this is
also process of the buying decision process before purchase of the product (Hawkins, Coney,
1998). Information search: The consumer can obtain information from any of several sources,
which includes: Personal source: family, friends, neighbors, acquaintance etc. Commercial
sources: advertising, sales people, dealers, packaging, displays. Public sources: mass media,
consumer-rating organizations etc. Experimental sources: handling, examining, using of the
product. Consumers receive most of the information about a product from commercial
sources, which are controlled by the marketer. The most effective source however tend to be
personal. Personal sources appear to be even more important in influencing the purchase. c.
Evaluation of Alternatives: The consumer evaluates all the alternatives available to him/her to
arrive at a brand choice. The consumer will see the product as a bundle of attributes with
varying capacities, which satisfies his or her needs. The consumer will pay more attention to
those attributes connected with their needs. The consumer is likely to develop a set of brand
beliefs about, where each brand stands on each attribute. These of beliefs held about the
particular brand is known as brand image, according to the beliefs 12 and preferences of the
consumer, evaluates the alternative products instead of using existing products (Kotler, 2004).
d. Purchase decision: In the evaluation stage, the consumer ranks all the brands and makes a
purchase intention. Generally the consumer purchase decision is to buy the most preferred
brand, when purchasing a products, consumer will think about two things, which can be,
purchase decision and purchase intention. The attitude of others and unexpected situation
factors both directly or indirectly effects the consumers final decision to buy a particular
brand. (Kotler, 2004). e. Post purchase behavior: The buyers job does not end when the
product is brought. After purchasing the product, the consumer will be satisfied or dissatisfied
42

and will be engaged in post purchase behavior. The satisfaction or dissatisfaction of the
purchase of a particular product depends on the relationship between the consumer
expectation and the consumer disappointment, if it meets the consumer expectations, the
consumer can get satisfied. And if it exceeds he/she is delighted (Gilly and Gelb, 1986).

CHAPTER-3
RESEARCH METHODOLOGY

43

RESEARCH METHODOLOGY
Research methodology is a way to systematically solve the research problem, it not only
takes the research methods but also consider the logic behind the methods. The study of
research methodology for developing the project gives us the necessary training in gathering
materials and arranging them, participation in the field work when required, and provides
training in techniques for the collection of data appropriate to particular problems.

RESEARCH PROBLEMS:Consumers preference about different branded and non branded shoes.

RESEARCH METHODOLOGY:Exploratory method.

SAMPLING PLAN:SAMPLE METHODS:Random simple sampling

SAMPLE SIZE: - 50
PRIMARY DATA:Questionnaire
44

Interview

SAMPLE
While deciding about the sample of research, it is required from the

Researchers point to pay attention to these under mentioned points:

a) Sample Units: A decision has to be taken concerning a sampling unit before

selecting a sample, sampling unit may be a geographical one such as state, district,
village etc. so in this research sampling unit is Ludhiana area.

b) Source of Data: Data required for the study was collected through primary
sources i.e. market survey.

c) Sampling Size: This refers to the no. of items to be selected from the universe
to constitute a sample. This is a major problem before the researcher. The size of
sample should neither be excessively large not too small, it should be optimum. This
size of population must be kept in view for this also limits the sample size. Sample
size in this research

d) INSTRUMENTS USED
Primary data collected through sample survey from the selected elements in malls and super
markets. So for this purpose I have most popular tool of primary data collection through
direct communication with respondents. The tools I used are questionnaire.

45

METHOD OF DATA COLLECTION

Actually data is of two kinds which are followinga) Primary Data: primary data are those, which are afresh and for the first time and this
happen to be original in character.
b) Secondary Data: secondary data are those data which have already been collected by
someone else and which have already been used as per required.
There are basically two sources to collect secondary data
a) Internally: provided by company/organization
b) Externally: various publication of central, state and local government.

Books, magazines, newspapers

Internet

After only keeping in mind one can think about what type of data has to be collected during
research as our research is concerned I have to gather primary data for customer preference.

RESEARCH INSTRUMENTS:
QUESTIONNAIRE DESIGN:
As the questionnaire is self administered one, the survey is kept simple and user friendly.
Words used in questionnaire are readily understandable to all respondent.
I have made the questionnaire in which questions are according to the research and these are
convenience for the respondent.

46

The research study tends to follow and achieve specific objectives.

The objectives of this particular study are:

To know the personal views of the people regarding various branded shoes.

To study which branded shoe is mostly preferred by people as per their choices.

Comparison between various branded shoes.

Find out factors influencing the people at the time of purchasing shoes such as
Quality, Durability, Variety, Price, And Use in Sport s.

LIMITATIONS OF THE STUDY

While surveying I encounter with some problems likeI.
II.
III.

In some of the retail showroom it is not allowed to get the questionnaire

Many of the respondents were not willing to fill the questionnaire.
Some people were not willing to respond and few of them who responded

IV.

were in hurry hence the active participation was lacking.

Due to which I faced difficulties in collecting informations regarding our

V.

questionnaire.
Another problem which I face was that people were hesitating to give
information about their views freely.

47

CHAPTER-4
DATA ANALYSIS
AND
INTERPRETATION

48

AGE
Age considered as an important factor which affects the buying habits of individuals like as
preferences of young persons are differ as compared to old ones.
AGE (IN YEARS)

FREQUENCT OF

PERCENTAGE OF

15-25
26-35

RESPONDENT
23
27

RESPONDENTS
46
54

INTERPRETATION:
Analysis indicate that out of 50 respondents 23 persons belongs to age group between 15-25
and another 27 persons belong to age group of 26-35 years old. Teenagers like to wear sports
shoes and younger people prefer to wear formal shoes.

EDUCATION LEVEL OF RESPONDENTS

49

Education greatly influenced the choice, preference and habit of a person. Many living habits
learn from education. Education makes him aware about the running fashion.
EDUCATION LEVEL
U. GRADUATE
GRADUATE
POST GRADUATE
ANY OTHER

FREQUENCT OF

PERCENTAGE OF

RESPONDENT
19
16
5
10

RESPONDENTS
38
32
10
20

INTERPRETATION:
Studies revealed that 38% respondents are under graduate and they prefer to wear sport
shoes. There are 32% persons are graduate and they wear shoes according to latest fashion
and 10% respondents are post graduate and they prefer to wear formal shoes. There are 20%
respondents who belong to another field of courses.

TYPE OF FAMILY
50

Family is a group comprising a husband and wife and their dependent children, constituting a
fundamental unit in the organization of society.
TYPE OF FAMILY

FREQUENCY OF

PERCENTAGE OF

NUCLEAR
JOINT

RESPONDENTS
27
23

RESPONDENT
54
46

INTERPRETATION:
Family plays an important role in decision making. Data consists of 54% nuclear families
where family members take their own decisions and have enough money to spend. There are
46% respondents come from joint families and they take buying decision according to budget
of the family.

MARITAL STATUS
51

Marriage is a social union or legal contract between people that creates kinship.
MARITAL STATUS
MARRIED
UNMARRIED
.

FREQUENCY OF

PERCENTAGE OF

RESPONDENTS
19
31

RESPONDENT
38
62

INTERPRETATION:
Data consists of 38% married respondents who buy branded shoes after considering price and
other attributes of the product. And another 62% respondent takes their own decision and
they spend money according to their will.

INCOME LEVEL
52

For household and individual income is the sum of all the wages, salaries, profits, interests
payments, rents and other forms of earning received in a given period of time?

INCOME (IN 000)

FREQUENCY OF

PERCENTAGE OF

5-10
10-15
15-20
20&ABOVE

RESPONDENTS
10
12
13
15

RESPONDENT
20
24
26
30

INTERPRETATION:
Data indicate that 20% belong to income category of Rs 5-10and 24% fall between Rs 10-15.
There is 26% fall between income categories of 15-20. And another 30% come under income
group of 20&above. Low income group prefer to wear unbranded shoes

TYPE OF SHOES LIKE TO WEAR

Type of shoe a customer wants to wear depends upon his choice and profession.

53

TYPE OF SHOES
FORMAL
SPORTS
CASUAL
ANY OTHER

FREQUENCY OF

PERCENTAGE OF

RESPONDENT
20
14
12
4

RESPONDETS
40
28
24
8

INTERPRETATION:
It is analyzed that 40% peoples prefer to wear formal shoes and these shoes are mostly
referred by businessmen and professionals.
Sports shoes are first preferred by young hunks, sportsmen and college going students.
Casual shoes are worn on special occasions.

PRESENT CONSUMERS OF BRANDED SHOES

Branded shoes represent status symbol of a person in the society.
RESPONSES

FREQUENCY OF

PERCENTAGE OF

YES
NO
INDIFFERENT

RESPONDENTS
34
10
6

RESPONDENTS
68
20
12

54

INTERPRETATION:
The analysis showed that 68% consumers like to wear branded shoes. There are other 20%
consumers who never wear branded shoes and 12% not even conscious about branded shoes.
.

BRAND AWERENESS OF RESPONDENTS

A consumer can buy any product only when he or she aware about the availability of that
product in the market.
BRANDS

FREQUENCY OF

PERCENTAGE OF

RESPONDENTS
RESPONDENT
NIKE
30
60
ACTION
24
48
ADIDAS
38
76
REEBOK
31
62
ANY OTHER
12
24
(NOTE:-%vary because respondents are free to tick more than one option)

55

INTERPRETATION:
Analysis revealed that Adidas is most popular brand among consumers so it serves 76%
customers. NIKE and REEBOK have also strong place in the market and they both fetch 60%
and 62% customers respectively. There is also strong competition among them. There are
48%of the consumers are aware about Action shoes.

BRAND LIKE THE MOST

A customer like only that brand which provide him or her more satisfaction as compared to
other brands available in the market.

BRANDS
NIKE
ACTION
ADIDAS
REEBOK
ANY OTHER

FREQUENCY OF

PERCENTAGE OF

RESPONDENT
11
5
19
13
2

RESPONDENTS
22
10
38
26
4

56

INTERPRETATION:
The image of the brand affects the purchasing decision; study concludes that Adidas is
popular brand among other brands and 38% respondents using it. There are 26% customers
wearing Reebok shoes, 22% wearing Nike shoes and 10% wearing Action shoes. There is 4%
respondent wearing other shoes.

PURCHASING PLACE
Place play an important role in the marketing of products.
PLACE

FREQUENCY OF

PERCENTAGE OF

RESPONDENT
9

RESPONDENTS
18

STORE
ORDINARY SHOWROOM

17

34

EXCLUSIVE

20

40

SHOWROOM
ANY OTHER

DEPARTMENTAL

57

INTERPRETATION:
Most of the consumers prefer to buy branded shoes from exclusive showroom and their
percentage is 40% and 34% like to buy from ordinary showrooms and 18%, consumer go to
departmental stores.

ADVERTISING MEDIA
Advertising is the art of influencing human action to buy or possess ones product. The term
media refers to the mean through which the advertising information is communicated by the
advertiser to the prospective customers.
TYPE OF MEDIA
ADVERTISEMENT
FRIENDS
SALES PERSONS
EXCLUSIVE SHOWROOM
ANY OTHER

FREQUENCY OF

PERCENTAGE OF

RESPONDENT
13
9
19
9
NIL

RESPONDENTS
26
18
38
18
NIL

58

INTERPRETATION:
Analysis revealed that 38% of the total respondents become aware about particular brands
through salespersons, 26%through advertisement, 18% through friends, and another 18%
through exclusive showroom.

AFFECT OF ADVERTISEMENT ON BUYING

DECISION
Advertising provides maximum information about the availability of products to consumers,
so they can select appropriate products.
RESPONSES
YES
NO

FREQUENCY OF

PERCENTAGE OF

RESPONDENT
36
14

RESPONDENTS
72
28

59

INTERPRETATION:
To measure the effective of advertisement it is necessary to know the effect of advertisement
on the consumer, as study indicates 72% are those whose purchasing decision is affected by
advertisement and 28%respondents decision is not affected by advertisement.

EFFECT OF PRICE
Price may be defined as money consideration asked for or offered or exchanged for a
specified unit of a good or service. Prices are generally determined by market conditions.

RESPONSES
YES
NO

FREQUENCY OF

PERCENTAGE OF

RESPONDENT
39
11

RESPONDENTS
78
22

60

INTERPRETATION:
Analysis shows that 78% respondents change their purchasing decision if there is any
increase in price and 22%respondents do not change their decision even if there is any
increase in price because of brand image.

REPURCHASE PERIOD
Purchasing decision of consumer depends upon the income level of the consumer.
REPURCHASE PERIOD
ONCE A YR
TWICE A YR
THRICE A YR
SEASONAL
SPECIAL OCCASION

FREQUENCY OF

PERCENTAGE OF

RESPONDENT
18
14
2
12
4

RESPONDENTS
36
28
4
24
8

61

INTERPRETATION:
Most of the consumer purchase once in a year and their percentage is 36% and 28% purchase
twice a year, 4%thrice a year, 24% purchase seasonally and 8% purchase on special
occasions.

FACTORS AFFECTING THE PURCHASING

DECISION
Price and quality of the product are the main factors which affect the final decision of the
consumer.
FACTORS
PRICE
QUALITY
SIZE
DESIGN
COLOR
DURABILITY
AVAILABILITY
BRANDIMAGE

LARGE

SOME

LEAST

WEIGHTED

EXTENT(3)
28
45
50
26
19
35
38
29

EXTENT(2)
13
5
17
18
10
8
19

EXTENT(1)
9
7
13
5
4
2

AVERAGE
2.38
2.9
3
2.38
2.1
2.6
2.68
2.54

62

INTERPRETATION:
Studies reveals that price, quality, size, design, durability, availability and brand image fall
between large extent and some extent, other attributes like colors of the shoes lies between
the some extent and least extent.

CUSTOMER SATISFACTION LEVEL FROM

DIFFERENT
ATTRIBUTES OF A PRODUCT
Customer is king of the market so he wants maximum satisfaction from the product that
he buys.
FACTORS

PRICE
BRAND

HIGHLY

SATISFI

NEUTR

DISSATISFI

HIGHLY

WEIGH

SATISFI

ED

AL

ED

DISSATISFI

T-ED

ED

(4)

(3)

(2)

ED

AVERA

1
_

GE
3.64
4.12

(5)
7
23

23
15

17
7

IMAGE
63

2
5

QUALITY
SIZE
COMFORT
DURABILI

18
17
25
15

21
19
17
27

11
13
8
8

1
-

4.14
4.04
4.34
4.14

TY

INTERPRETATION:
A Study show that consumers are not highly satisfied with the prices of branded shoes but
they are satisfied with other attributes to large extent.

BRAND LOYALTY
Brand loyalty refers to that a customer being permanent consumer of brand and he never
switch over to other brand.
RESPONSES
YES
NO

FREQUENCY OF

PERCENTAGE OF

RESPONDENT
21
29

RESPONDENTS
42
58

64

INTERPRETATION:
Study indicates that only42% is the loyal customers and 58% will change their brand if all the
qualities are available with the new products.

65

CHAPTE -5
SUGGESTIONS AND CONCLUSION

FINDINGS, SUGGESTIONS AND CONCLUSION

RESEARCH FINDING:
After assessing the overall market scenarios what came in picture was as follows:

Consumer reaction suggests that Adidas is the marker leader among all its close

counterparts in the sport shoes and apparel segments.

NIKE is chasing its position most aggressively so now it requires maintaining its

position with new stuff.

ADIDAS has been major competitor for NIKE and REEBOK.
60% Customers are still pro NIKE believer.
The new stuff of the ADIDAS is attracting the consumers more which might lead

ADIDAS at the top spot in the pack in coming financial year.

Consumers are not showing that kind of craze in ACTION for past few years.
Probably it could be because of the aggressive attention snatched by brands like NIKE
and ADIDAS especially in India.

66

Celebrities also affect the sale of brand .ADIDAS shoes promoted by David

Beckham.
72% respondents take their buying decision after considering the advertisement of

brand.
Most of respondents prefer to purchase shoes from exclusive showrooms.
Businessman, serviceman and professionals prefer to wear formal shoes because of
status and students like to wear only sports and casual branded shoes.

SUGGESTIONS:

Department stores are the prime sales and marketing channel for branded shoes. In
addition, store decorations and product displays should be designed to create a strong
first impression.

Seasonal promotion campaigns, like special discounts and advertisements, could be

employed. New lines of collections should be introduced for festivals.

The prices of branded shoes must be reduced to increase sales.

67

Conclusion

THE BOTTOM LINE OF THE MARKET RESEARCH

SPEAKS THAT BRANDED SHOES IN INDIA HAS BEEN
INCREASING ON DAY BY DAY BASIS.
THAT SOUNDS GOOD FOR INTERNATIONAL AS WELL
AS DOMESTIC MARKET

68

CHAPTER-6
ANNEXURE

69

QUESTIONNAIRE
PERSONAL PROFILE
I.
II.
III.
IV.
V.

NAME
AGE
ADDRESS
TELEPHONE
OCCUPATION

VI.

EDUCATION

:
:
:
:
:

Under Graduation
Post Graduate
VII.
VIII.

Graduate
Any other

TYPE OF FAMILY
NUCLEAR
MARITAL STATUS

Joint Family

Married
IX.

Unmarried

Any other
FAMILY INCOME (RS. Per month)
5000-10000
10000-15000
15000-20000
70

20000 & above

1. Which type of shoes do you like to wear?

Formal

Sports

Casual

Any Other

2. Do you wear Branded Shoes?

Yes

No

Indifferent
3. Are you Aware about the following Brands of Shoes?
Nike

Adidas

Action

Reebok

Any Other
4. Which Brand does you like the most?
Nike

Adidas

Action

Reebok

Any Other

5. Up to what extent do you consider following features of Brand while

purchasing?
Large Extent
Price
Quality
Size
71

Some Extent

Least Extent

Design
Color
Durability
Availability
Brand image
Special offers
6. How do you get aware about this particular Brand?
Advertisement
Friends

Sales Persons
Exclusive Showrooms

Any Other
7. From where do you like to purchase your Branded shoes?
Departmental Stores

Ordinary Showrooms

Exclusive showrooms

any other

8. Do you think advertisement effect your purchasing decision?

Yes

No

9. How often do you buy branded shoes?

Once a Year

Twice a Year

Thrice a Year

Seasonally

Special occasion

any other

10 . Up to what extent have you satisfied by the following attributes?

Highly

Satis-

Satisfied

fied

Neutral

Dissatisfied

Highly dis

-satisfied

Price
Brand image
Quality
72

Size
Comfort
Durability
Any Other

11. Where is any increase in price of this brand, is that

Effect your purchase decision?
Yes

No

12. Would you like to buy another brand if all the attributes
Are Available in other brand?
Yes

No

73

Chapter-7
BIBLIOGRAPHY

The list of reference for the purpose of completing this marketing project
is as given below:

BOOKS:
74

Marketing management

By: Philip Kotler

Marketing management

By: J.C Gandhi

Functional management

By: R.K.Sharma

INTERNET:
www.google.com
www.wlkipedia.com
www.paradise.com

NEWSPAPER:
Economic times

75