An investigative study into consumer choice. a case study analysis using tesco and ikea

Student #: 0527866 Business & Management (Hons) Marketing Brunel – 2008

Course Title: Business & Management (Marketing)
Degree Title: Bsc. (Hons)

Strategic Marketing
Research Project
An Investigative study into consumer
choice. A case study analysis using
Tesco and IKEA


Acknowledgment
Several people have been extremely instrumental in assisting me to complete this
strategic marketing project. By no order of significant, I will like to extend my expressed
thanks to my immediate family, in particular Selina, for her love, encouragement,
understanding and unwavering support over the last (3) three months. To Patricia, - for
those cups of tea and Gizmo (my dog who kept me company at nights). To Hanisha,
Areah, Chrissy, Wendy and Margaret who constantly called or emailed to enquire how
the project is coming along, thanks. All my close friends who helped kept each other
sane, Alesia, Dhee, Seto, Ali, Carl, Ronny, Ridhi, and Mazzi, “the project would not
have been completed without you guys”.

Most importantly, the academic staffs at Brunel’s Business school, Prof. T C Melewar,
for his concise but focus chats, my personal tutor Dr. Cohen for reminding me that to
success “you need to give your all, then give it again”, Dr. King, for allowing me to
drop in on short notices, but providing valuable support and critic to my work, PhD
Student Tayo, and most of all my supervisor, Dr. Charles Dennis for direction,
counselling and support to which help contribute to the accomplishment of this project.

And finally, to the Almighty, for granting me the strength, wisdom and will-power to
start and finish this exciting chapter of my academic career.

Thanks

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Abstract

Choice has transcended into society given the finite level of resources that abound to
satisfy human infinite desires. Over the last decade increases in choice have bombarded
consumers, no more so, that in the retailer sector. This research seeks to explore the
behaviour of individuals who patronised store which offers extensive choice, in order to
facilitate a satisfactory response. It utilises the Theory of Planned Behaviour (TpB),
through the tools of structured questionnaires with 77 intercepted consumer and 26 focus
group participants. The research obtained via the questionnaire indicates the 51% of the
consumers who planned to visit Tesco at least 3 times in the coming week also believe
that Tesco offers extensive choice and is equally satisfied by its offering. This was the
reverse case with IKEA where 46% believe that IKEA offers extensive range by only
23% plan to visit IKEA at least 4 times in the forthcoming 12 month. Correlations
between variables indicated that strong relationships exist between subjective norms and
intention, and relatively strong relationships between attitude towards stores which offers
extensive choice and intended behaviour to patronise these stores. It also highlights the
need for retailers to be aware of this significant relationship in their marketing strategy
and its impact on Viral Marketing activities.

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Contents
Acknowledgment ...................................................................................................................2
Abstract .................................................................................................................................3
Contents .................................................................................................................................4
List Of Tables & Figures.......................................................................................................6
CHAPTER 1 – INTRODUCTION

1.1 Introduction .....................................................................................................................7
1.2 Rationale for the research topic .....................................................................................7
1.3 Project Synopsis ..............................................................................................................7
CHAPTER 2 – REVIEW OF LITERATURE
2.1 Introduction to the Research Phenomena ...................................................................10
2.2 Arguments for extensive Consumer Choice ................................................................11
2.3 Arguments against extensive Consumer Choice..........................................................13
2.4 Consumer Satisfaction .................................................................................................14
2.5 Theoretical Framework ................................................................................................17
2.4.1.................................................The Theory of Planned Behaviour
..............................................................................................................18
2.4.2........................................................................Satisfaction Theory
..............................................................................................................21
2.6 Gap in Literature ..........................................................................................................24
CHAPTER 3 – RESEARCH METHODOLOGY
3.1 Introduction ...................................................................................................................25
3.2 Research Approach .......................................................................................................26
3.3 Justification of Case Study approach ..........................................................................28
3.4 Research Objectives/Aims ............................................................................................29
3.4.1 Hypothesis Construction ................................................................................30
3.5 Data Collecting Tool .....................................................................................................31
3.5.1 Secondary Data ..............................................................................................32
3.5.2 Primary Data ..............................................................................33
3.6 Tools of Primary Data Collection ................................................................................34
3.6.1 Sampling ....................................................................................34
3.6.2 Sample selection and Framing...................................................35
3.6.3 Sample Area................................................................................36
3.6.4 Sample Design............................................................................36
3.6.5 Justification of Sampling............................................................37
3.6.6 Sample Size.................................................................................37

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3.6.7 Pilot Study...................................................................................38
3.7 Questionnaires ...............................................................................................................40
3.7.1 Justification of Questionnaires.......................................................................41
3.8 Focus Groups..................................................................................................................42
3.9 Observation....................................................................................................................43
3.10 Data Validity & Reliability..........................................................................................44
3.11 Limitation of the Data Collection Process..................................................................45
3.12 Problems.......................................................................................................................46
3.13 Ethical Consideration and Good Research Practice..................................................47
3.14 Conclusion....................................................................................................................48
CHAPTER 4 – RESEARCH COMPANIES PROFILE
4.1 Corporate Overview TESCO........................................................................................49
4.2 Performance Overview..................................................................................................50
4.3 Corporate Overview IKEA............................................................................................52
4.4 Performance Overview..................................................................................................53
CHAPTER 5 – RESEARCH FINDINGS
5.1 Introduction....................................................................................................................54
5.2 General Findings............................................................................................................55
5.3 Findings on TESCO.......................................................................................................58
5.4 Findings on IKEA..........................................................................................................61
5.5 Statistical Findings.........................................................................................................63
5.6 Internal Consistency, Scale Reliability and Regression Analysis...............................64
5.7 Conclusion......................................................................................................................68
CHAPTER 6 – ANALYSIS AND DISCUSSION
6.1 Discussion and Qualitative Findings.............................................................................69
6.1.1 Intention & Attitude ......................................................................................70
6.1.2 Intention and Subjective Norms.....................................................................72
6.1.3 Intention Past Experience & Perceived Behavioural Control ......................73
6.1.4 Intention & Satisfaction..................................................................................75
6.2 Conclusion......................................................................................................................76
References
Appendix A
Appendix B

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LIST OF TABLES

TABLE 3.1 – HYPOTHESIS CONSTRUCTION 30

TABLE 3.2 – DATA COLLECTION INSTRUMENTS USED IN RESEARCH 37

TABLE 3.3 – ILLUSTRATES THE PERIOD USED FOR PILOT TESTING 39

TABLE 3.4 – BENEFITS GAIN FROM PILOT TESTING 40

TABLE 3.5 - QUESTIONNAIRE SAMPLE COLLECTION - (AREA & RESPONSES) 42

TABLE 5.4 – DESCRIPTIVE STATISTICS FOR AGGREGATE MEASURES 63

TABLE 5.5 – RELIABILITY STATISTICS 64

TABLE 5.6 (A) – CORRELATIONS MEASURE BETWEEN VARIABLE OF THE TPB MODEL 65

TABLE 5.3 (B) – CORRELATIONS MATRIX AMONGST VARIABLE OF THE TPB MODEL 66

TABLE 5.7 – COMPOUND VARIABLES AND THEIR ASSOCIATION WITH INTENTION TO PATRONISE

TESCO & IKEA EXTENSIVE RANGE 67

TABLE 5.8 – THE COEFFICIENT BETA AND SIG. IN RELATIONS TO THE HYPOTHESES 68

LIST OF FIGURES

FIGURE 2.1 – STRUCTURE OF CONSUMER SATISFACTION RESPONSE 15

FIGURE 2.2 – COMPOSITION OF THE CONSUMER SATISFACTION RESPONSE 15

FIGURE 2.3 – THEORY OF PLANNED BEHAVIOUR 19

FIGURE 2.4 – SCHEMATIC REPRESENTATION OF TPB AS IT RELATES TO TESCO AND IKEA 22

FIGURE 3.1 – DIAGRAMMATIC REPRESENTATION OF THE RESEARCH APPROACH 27

FIGURE 3.2 – TYPE OF SECONDARY DATA USED IN THIS RESEARCH 32

FIGURE 3.3 – SAMPLE AREA – PICTOGRAPHICALLY REPRESENTED 36

FIG 4.1.1 – TESCO OPERATION BY GEOGRAPHICAL BREAK-DOWN 2001 – 2006 50

FIG 4.1.2 – TESCO EMPLOYMENT STATISTICS 1996 – 2006 50

FIG 4.1.3 – TESCO MARKET SHARE STATISTICS 2001 – 2006 51

FIG 4.2.1 – IKEA AB REVENUE BY WORLD SALES REGIONS – 2007 53

FIG 4.2.2 – MARKET SHARES OF MAJOR PLAYERS IN THE UK HOUSEWARES AND

HOME FURNISHING MARKET – 2007 53

FIGURE 5.1 – AGE DISTRIBUTION OF THE SAMPLED POPULATION 56

FIGURE 5.2: OCCUPATION DISTRIBUTION OF RESPONDENTS 56

FIGURE 5.3 – PROFESSION DISTRIBUTION OF THE SAMPLED POPULATION 57

FIGURE 5.4 (A) – RESPONDENTS EVALUATION OF TESCO’S VISITS AND SATISFACTION 59

FIGURE 5.4 (B) – RESPONDENTS EVALUATION OF TESCO’S VISITS AND SATISFACTION 60

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FIGURE 5.5 (A) – RESPONDENTS EVALUATION OF IKEA’S VISITS AND SATISFACTION 62

FIGURE 5.5 (B) – RESPONDENTS EVALUATION OF IKEA’S VISITS AND SATISFACTION 63

FIG 6.1 – THE THEORY OF PLANNED BEHAVIOUR EXPLAINED IN TERMS OF ITEMS CORRELATION 69

Chapter 1

INTRODUCTION

1.1 INTRODUCTION

The purpose of this chapter is to introduce the phenomena of an extension of
consumer choice by Tesco and IKEA upon satisfactory behavioural response by their
customers.

It will describe the rationale behind the decision to pursue this research topic, and a
review of literature on the subject.

1.2 RATIONALE FOR THE RESEARCH TOPIC

An article in the Times online, July 4th, 2007 issue, was citied as thought-provoking. It
identified the decision to choose a basic item such as milk of the shelf of Tesco as “hell”.
It contended that consumers face on average over 30,000 products on any single visit to
their local supermarket.

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This problem of choice was not an isolated case. It also affected the author some weeks
later when bombarded by the decision as to which cheese to purchase for his Wednesday
evening jacket potato and cheese dinner.

Many have questioned the optimum choice level society should enjoy (Iyenger &
Lepper, 2000), whilst, others have boldly discredited choice as inadequate and
destructive (Schwartz, 2004).

Therefore, research was needed to address such curiosity as to why consumers patronised
stores which offer enormous levels of choice, and how satisfied they feel by such
occurrence.

Based on the initial observations, a number of questions began to emerge, namely;

1.3 PROJECT SYNOPSIS

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Chapter 1 – Introduction

This chapter set the scene of the research, it introduced the research problem. Identify the
rationale behind the decision to pursue this topic, supported by empirical evidence. It
concludes with the searching questions on extensive choice, to be answered by the
project

Chapter 2 – Literary Review

This chapter begins with the arguments for and against extensive choice. It develops an
understanding of consumer satisfaction. Then, continues with the development of the
theoretical framework for the research and concludes with the identification of gap in
research.

Chapter 3 – Methodology

It starts with a description of the research approach, justification for the use of case
study, states the research objectives and the tools used in carrying out the research. It
concludes with a detailed explanation of the limitations and problems encountered from
the research and issues surrounding ethics

Chapter 4 – Company Review

Provides a simplified overview of the companies featured in the case study.

Chapter 5 – Research Findings

This chapter presents and explains the data found in the research, it identifies general
trends in the data, specify findings relating to the two companies are detailed. Then
concludes by exploring the validity and reliability of the data gathered

Chapter 6 – Analysis and Discussion

In-depth discussions on the research findings in respect to the literature review and
research objectives are put forward. It covers all variables relating to the theoretical
framework and its latent implication on marketing

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Chapter 2

REVIEW OF LITERATURE

2.1 Introduction to the research phenomena

It is a common notion to assume “more is better”. The evolution of the concept of choice
has transcended society given the finite level of resources that abound to satisfy our
infinite desires.

The last seven decades have seen a progressive increase in consumer choosing. Added to
that, the growing multicultural population of Britain all influence the diversity of goods
found on supermarkets’ shelves. Marketers and business organisations have always
viewed this expansion as being a direct response to consumers’ demand, and as a strategy
towards business longevity.

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However, has such increases in product choice excites and stimulates our senses to
produce positive responses? Alternatively, has it overload our reasoning, processing,
enhancing and assimilating faculties to provide null and dissatisfying responses?

2.2 Arguments for extensive choice

Extensive choice had been explained in terms of economics, and had been widely
represented in marketing as consumer pull, and corporate image building strategies
(Bettman and Park 1980; Broniarczyk et al., 1998; Chernev, 2006; Dennis et al.,
2005; Hoch et al., 1999(A&B); Kahn et al., 1999; Oppewal et al., 2005).

• Consumer preference for large assortment refer to the increase cost
efficiency of time and transportation associated with one-stop shopping and
the store objectives for providing assortment depth and breath (Betancourt et
al., 1990).

Based on the naïve and uninformed construct of consumer knowledge they
may infer that a larger assortment is more likely to contain an alternative that
can fulfil their purchase goal and increase the probability of a perfect match in
choice set, than a small assortment (Chernev, 2006; Oppewal et al., 2005).

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• Consumers’ evaluate large assortments of alternatives as a preventative
measure to reduce uncertainty, disappointment and increase flexibility.
(Bettman et al., 1980; Kahn et al., 1991).

Consumers are fairly certain of their preference in the present, but influenced
by controlled beliefs and social powers they become less certain of the future.
Thus, a larger assortment acts as a cushion to absorb any drastic shift in future
preference.

Examination of the relevant literature on choice and its effects on consumer behaviour
are notably positive. A large assortment size leads to positive benefits to the consumer
(Oppewal et al., 2005; Chernev 2006; Hoch et al., 1999-A). Moreover, people like to
have choice, and the ability to choose from a wide range can enhance the enjoyment of
shopping and fulfil non-purchase desires (Dennis et al., 2005; Koelemeijer et al., 2005).

In many instances, situations of more choice are preferred, and valued, over situation
with less choice. As such, consumers will naturally opt to choose a store that is perceived
to offer more variety over ones that offers less. Choice is valued and as such, Oppewal et
al., (2005), argues that stores which offer greater variety can be translated into positive
store image.

Consumer preference for large assortments refers to the situational dependency of
consumer preferences. Therefore, given that consumer preferences are not stable but
dynamic by construct, and fashioned by specific consumption goals. A larger choice
range will be influential during decision-making.

It provides an opportunity to evaluate alternatives thus, reduced uncertainty. Moreover, it
is likely to contain alternative that smaller choice range cannot fulfil. Consequently,
allowing greater flexibility to accommodate varying preferences over person and time
(Kahn and Lehmann, 1991, Oppewal et al., 2005).

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Summary of the arguments against extensive choice

2.3 Arguments against extensive choice

On the contrary, as choice alternatives increases, and their relative attractiveness rises,
individuals experience conflict. Due largely to either cognitive overload or limited
alternative searching skill, and, as a result, tends to defer decision, search new
alternatives, choose the default option or simply opt not to choose (Lepper et al., 2000,
Garbarino et al., 1997). Excess choice paralyses rather than liberate.

Larger choice over stimulate the senses, increase complexity in the decision-making
process and create a de-motivating environment for choosing (Berlyne, 1960). Variety
usually exerts a positive influence on choice, so much so, that lots of variety may lead to
increased confusion and transaction costs (Hoch et al., 1999).

The decision to choose is mind baffling. Increasing the size of choice set can have
adverse consequence on product selection, given the demands placed on individual

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cognitive resources (Olson et al., 2005) and, their ability to evaluate the attractiveness of
alternatives (Chernev 2006; Huffman & Khan 1998, Garbarino et al., 1997).

In selecting alternatives that requires more effort to process their attributes, consumers,
which have limited cognitive resources, and are cognitive misers, will need to disperse
more cognitive resources towards product evaluation, thus, generating negative affective
response to the product (Olson et al., 2005, Garbarino et al., 1997). Instead, they
replace their cognitive disbursement with decision heuristic.

However, heuristic frequently result in a less accurate decision and greater choice
negative consequences (Olson et al., 2005, Garbarino et al., 1997). Hence, consumers
are willing to forgo product benefits to conserve cognitive effort. Moreover, alternatives
which are more effortful to process are less preferred to alternatives that are not
(Garbarino et al., 1997).

2.4 Consumer Satisfaction

Consumers’ satisfaction has been a priority of many businesses, and has it roots in Total
Quality Management movement. A review of literature revealed over 40 different
satisfaction scales had been used in various settings, ranging from airline travel to zoo
visits (Nadeem, 2007, Vavra, 1997).

Vavra (1997), defines customer satisfaction along two trajectories, as an outcome or as a
process. “The outcome characterise satisfaction as the end-state resulting from the
consumption experience”, (pg. 4) whilst, “a process emphasises the perceptual,
evaluative and psychological processes that contribute to satisfaction”, (pg. 4).

Therefore, the consumer is thought to be satisfied when perceived fair treatment arising
from their subjective judgement of observed attribute performance and cross reference
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with the psychological fulfilment response they make when assessing performance
(Oliver, 1993). Hence, satisfaction is retrospective and requires the mutual adjustment of
experiences and recalled expectations, influenced by the present environment and other
elements of evaluation (Oppewal et al., 2005, Nadeem, 2007).

Satisfaction is framed by two dimensions of the consumer; the affective state – which
respond to joy or disgust, and the cognitive state - which evaluates post-purchase
process and store stimuli. Thus, “satisfaction is a function of cognition, affect and direct
experience” (Oliver, 1993. Pg. 421), wherein heuristic are used in trial and error scenario
of product search.

Furthermore, satisfaction is a learnt process, shaped by past purchase experience
(Garbarino et al., 1997, Nadeem, 2007), product search skills (Olsen et al., 2005,
Bettman and Park, 1980), and cross-over influences (Oliver, 1993).

Figure 2.1 – Structure of Consumer Satisfaction response

Adapted from Oliver, (1993) “Cognitive, affective and attribute bases of the satisfaction response”.

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Figure 2.2 – Composition of the Consumer Satisfaction response

Adapted from Oliver, (1993) “Cognitive, affective and attribute bases of the satisfaction response”.

Marketer has and can shape the level of satisfactory response the consumer enjoy from a
visit to their store. This draws on the locus-of-causality literature in attribution theory,
which identify dimension of satisfaction origin (Oliver, 1993). Therefore, the display of
extensive product ranges influences the choice task and the level of attributes considered
in attaining a final decision and ultimately satisfaction response (Nadeem, 2007).

As depicted in figure 2.2 above, consumer can gain direct satisfaction from aspect of the
store image (Chernev, 2006). Whilst, others rely on their cognitive process to establish a
satisfactory response (Oliver, 1993, Bettman et al., 1980). Yet, many rely on their
affective responses and social pressures to instigate satisfactory responses (Garbarino et
al., 1997). Albeit, consumer seek to maximise positive affective state and maximise
negative states when maximising their satisfaction.

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2.5 THEORETIC FRAMEWORK

Many studies seek to provide insight into consumers’ intention and behavioural response
to predict their level of satisfaction. The Mood affective responses explore the relativity
among consumer mood and information processing, differences give rise to process-
induce affects (Garbarino et al., 1997). The process-induce affects (Garbarino et al.,
1997) evaluate the relationship among consumers’ task skill, product attribute and
cognitive resources in their choice evaluation.

Although such theories provide an understanding of alternative product evaluation or
comparison, they do not explain how such comparison are translated into buying decision
or predicted behavioural intentions (Foxall et al., 1998). To account for this process, and
develop a comprehensive theory of consumer behaviour this research turn to the Theory
of Planned Behaviour (TpB) (Ajzen, 2006) and draw on supportive theoretical
understand and application of the aforementioned theories. Example the subjective
judgement arising from observation, referent powers, and control beliefs, regarding
choice evaluation to initiate satisfaction (Oliver, 1993; Garbarino et al., 1997), and

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prior knowledge structure together with information processing heuristic employed in
evaluating satisfaction (Bettman et al., 1980, Nadeem, 2007).

2.5.1 THEORY OF PLANNED BEHAVIOUR

This theory formalised that consumers holds various belief about stores of various size in
their evaluation of choice alternatives, satisfaction, and concept of attitude. Hence,
guided by such beliefs, and influences of references, individual patronised such stores.

The TpB forms the overarching theoretical framework for this research offering a clearly
defined structure into variables on human behaviour (Ajzen, 2006). Furthermore, a
review of literature indicates that in recent years the TpB model has been applied to a
wide variety of research topics (eg: Deshopping behaviour; King et al., 2003, Green
marketing; East et al., 1999). Moreover, Oliver (1993) adaptation of the theory of
reasoned action attitude model, was instrumental in providing support for and integrated
model of customer satisfaction (Nadeem, 2007).

The TpB is itself an extension of the theory of reasoned action (TRA) (East, 1997), it
assumes that consumer consciously consider the consequences of the alternative
behaviour under consideration and choose the one that leads to the most desirable
consequence (Olson et al., 2005). Hence, the result of the reasoned process leads to

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engagement in a selected behaviour. The theory incorporates both cognitive and affective
components (Foxall et al., 1998). Moreover, TpB model incorporates a further
determinant of intention called “perceived behavioural control” (East, 1997)

According to the TpB, human actions are guided by belief about the likely outcomes of
their behaviour (Behavioural belief), the perceived thinking of others (Normative
beliefs) and the presence of factors that may facilitate or impede performance of the
behaviour (Control belief) (Ajzen, 2006).

The respective aggregates are symbolically represented in Figure 2.3, where behavioural
belief predict “attitude toward that behaviour”(AB), normative belief result in perceived
social pressure and attitudinal influences or “subjective norm”(SN), and, control belief
perpetuates “perceived behavioural control”(PBC). The combination of these distinct
aggregates leads to behavioural intention, which is ones attitude to engage in such
behaviour. Moreover, under the right condition will approximate behaviour itself
(Foxall, 1998, Ajzen, 2006).

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Therefore, if consumers hold salient believes, such as, shopping at a retail unit as that of
Tesco for food items, or Ikea for durable goods, (which both offers extensive choice) they
will achieve all the items they are looking for at one location. Then, they are more likely
to patronise these stores. If the outcome belief is favourable, then the attitude towards the
behaviour will also be favourable, resulting in the action being taken (East, 1997, Ajzen,
2006).

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Therefore, subjective norms are influence by the likelihood of the individual to uphold
their normative belief and the desire to comply with the views of the referent(s). The
degree and nature of reference influence on behaviour is segregated and linked to
socioeconomic hierarchy.

Moreover, if reference has strong ties, as that of the Asian communities, then such
behaviour will become a permanent feature of their decision making process. Group
interaction is seen as a major determinant in attitude and satisfaction, by affects members
aspiration levels and producing element of satisfaction or dissatisfaction (Kollat et al.,
1970).

Behavioural Intention (BI) is the immediate antecedent of behaviour, it connect self to
a future action in the evolution of the choice process (East, 1997; Ajzen, 2006). It
combines individuals’ belief about the consequences of different actions and the
resources capable of performing the various actions, then selecting from the varied
alternatives.

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Despite the exclusion of “intention” on the ground of insufficient evidence to justify it,
and the intricacy of limiting volitional control (King et al., 2007, Ajzen, 2006), it proves
a useful variable to this research and is included. Moreover, it has proved relevant to
other research (East et al., 1999, King et al., 2003), intention therefore, serves as a
proxy for actual control, thus, predicting behaviour (Foxall, 1998).

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2.5.2 SATISFACTION THEORY

The development of satisfaction theories have being studied from two perspectives;
approaching the study of satisfaction through product performance (Cardozo, 1965), or a
model of its own construct (Oliver, 1980). The work of Oliver (1980) will be used as the
theoretical foundation.

Oliver initiated a focus on the antecedent of satisfaction as the expectancy-
disconfirmation sequence. He adapted earlier work of Fishbein expectancy theoretical
models to suggest that expectation of standard of performance is a frame of reference for
customers’ evaluative judgement (Vavra, 1997, Nadeem, 2007). Expectation or
perceived control belief serve as baseline for satisfaction. Hence, positive or negative
confirmation to that baseline serves as proxy to consumer satisfaction.

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2.6 GAP IN LITERATURE

Despite the recognition that variety has positive influence on store choice, (Broniarczyk
et al., 1998, Hoch et al., 1999, Oppewal et al., 2005), there have been little research into
understanding the impact of variety on consumer satisfaction and other factors that
influence store choice, albeit jointed or separated from extensive choice analysis.

The Broniarczyk et al., study found relationship that variety perception influence floor
space devoted to various categories, which seek to define product depth and range.
However, fail to measure customer satisfaction or external influences (such as;
consumer attitudes, beliefs and resources) from these variables.

The Hoch et al., study went beyond Broniarczyk and develop an understanding of
variety in terms of the product information structure, product attribute levels and
differences, using product organisation, and shelf positioning to gauge consumers’
intention to purchase. However, using consumer behaviour models, failed to adequately
measure consumer’s actual behaviour and latent satisfaction response.

Oppewal et al., research contended that assortment size affect store’s evaluation and the
presence of an extensive range as catalyse to patronage. Yet, it refrain from addressing
how these influences consumer attitude towards the store, factors of social pressure and
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availability of resources to actualised store visits, and an adequate measure of assortment
size on consumer satisfaction.

All these research taken together contend that in the presence of uncertainty, choice from
larger assortment can potentially lead to lower choice probability and weaker preference
for selective alternatives. However, they all remain inconsistent with the notion that
consumers are best served with larger choice and are more satisfied from patronising a
shop which offers extensive range. In the light of current findings, research must be
commissioned to address these areas.

Chapter 3

RESEARCH METHODOLOGY

3.1 INTRODUCTION

This chapter will outline the research approach developed at answering the research
question as far as practicable. It outlines the structure and nature of the research work
conducted, together with the frameworks developed at addressing the research question.

It continues with the development of the research aims, construction of hypotheses, and
follows-through with the explanation of sampling methods and techniques. It concludes
with an outline of ethical considerations and identification of the limitations encountered
during the data collection process.

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3.2 RESEARCH APPROACH

The research question on consumer choice offering bases on the TpB model was studied
by qualitative techniques focused on Tesco’s and Ikea’s store offering and how they
affect behaviour. Key social construct such as behavioural variables must draw upon
observable responses (Ajzen, 2006).

A deductive approach is used in this research (Saunders et al., 2000), which combined
three sub-approaches to problem investigation. Birk & Malhotra (2003) admonish that a
combined technique provides greater power in understanding and measuring consumer
behaviour. Moreover, in consumer behaviour studies, “it is often advantageous to do so”
(Saunders et al., 2000. Pg.88) since it is a complex phenomenon (Olson et al., 2005).
Hence, a combine approach is adapted.

• Exploratory research
This approach is used at the introductory stages. “Discovering the general
nature of the problem and variable that relates to it” (Tull et al., 1993 pg.43).

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• Quasi-descriptive/conclusive
As the research progress, the investigating method evolved (Tull et al., 1993).
This method provided a near accurate description of the investigating
phenomena drew upon theories, researches, surveys from pass analysis and
integrated a representative sample into the research to be tested (Malhotra &
Birk, 2003).

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Figure 3.1 – Diagrammatic representation of the Research Approach

Source:

This approach equipped the research with autonomy for the development of a logical and
scientific form of investigation (Robert Yin, 1993, Saunders et al., 2000).

Quantitative analysis were used as the preparatory work (East, 1997), where results from
questionnaire helped to identify consumers’ problem solving approach in the face of
extensive consideration set, and implications relating to consumers’ satisfaction.
Pertinent analysis were filtered into the focus group session for discussion, whilst,
generic consumer disposition were sought after during the observation exercises.

3.3 JUSTIFICATION OF CASE STUDY APPROACH

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3.4 RESEARCH OBJECTIVES/AIMS

Following the literature search, specific questions are formulated to address the research
problem. From the general framework highlighted by East, (1997) Ajzen (2006),
consumer satisfaction is the superseding outcome behaviour from their consideration
construct and influenced by Tesco and IKEA stores, given their extensive choice.

This study aimed at understanding the dimension of consumer attitudinal behaviour that
influences intention to patronise stores which offers extensive choice. More specifically,
the research follows the objectives:

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3.4.1 Hypothesis construction

Hypothesis construction

H1 Attitudes and beliefs towards Tesco and IKEA extensive range will predict
satisfactory behaviour response

H2 Consumers’ perception of the extent to which others evaluate Tesco and Ikea extensive choice range
will significantly predict their satisfactory response from shopping at these stores

H3 Consumers’ available resources to patronise a Tesco or IKEA will significantly
predict their level of satisfaction

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H4 Consumers’ perception of satisfaction is shaped by past experiences together
with the in-store atmosphere, in which their shopping is conducted

H5 Enlarge choice set has positive implications on consumers’ satisfaction response

Table 3.1 – Hypothesis Construction

3.5 DATA COLLECTING TOOLS

Two categorisations of data were identified:

Secondary Data

Primary Data

Secondary data comprise of raw and published summaries that are used subsequently by
other researcher (Malhotra & Birks, 2003). It provided a useful source from which the
research began.

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Primary data on the other hand, is data developed by the researcher specifically for the
research project (Parasuraman, 1991). Its use is advocated at the introductory stage as a
descriptive design (Malhotra & Birk, 2003). However, such application is not adhered
to in this research.

Nevertheless, most research questions are answered using some combination of
secondary and primary data (Saunders et al., 2003), which is the method adapted here.

3.5.1 Secondary Data

The classification of secondary data used during the research is detailed in (Figure 3.1)
below. This data was used to gain insight into the nature and extent of consumer choice
offering, the extent of work carried out on the phenomena and the availability of data on
the phenomena, in order to commence research. Moreover, “examination of secondary
data is a prerequisite to the collection of primary data” (Malhotra & Birks, 2003, pg.
87).

Additionally, it was used to make comparison amongst research findings, and triangulate
the present research (Saunders et al., 2003), thus, providing the longitudinal element to
a time-limited research.

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Figure: 3.2 - Type of secondary data used in this research

Source: Saunders et al., (2003. Pg. 190)

3.5.2 Primary Data

Malhotra & Birks (2003) argues that qualitative data be “used in conjunction with
quantitative approaches where illumination of statistical findings is needed” (pg. 131).
Moreover, since consumer behaviour is an overt response, and overt behaviours are
complex (Olson et al., 2005) qualitative research “seek to encapsulate the behaviour and
experience of the respondents in their own context, aiding a holistic outlook on the
phenomena” (Malhotra & Birks, 2003. Pg. 133 & 159).

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3.6 TOOLS OF PRIMARY DATA COLLECTION

Primary data collection methods

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3.6.1 Sampling

The process whereby the research attempt to learn about the larger population, by
looking at a small part (Worcester et al., 1988, Oppenheim, 2001) is qualified as
sampling. Sampling is an important part of consumer behavioural research, and as such
was an integral part of this research.

3.6.2 Sample Selection and Framing

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Selection of the sample respondents appears problematic. Respondent could have been
achieved by generating email to all registered undergraduate students enrolled at Brunel
University. This would provide many cases and a representative sample of the population
under study. Such an attempt at random sampling would, though, have resulted in under-
representing the patrons of Tesco and IKEA. Therefore, the research resort to a modified
sampling method called cluster sampling (Oppenheim, 2001) in which samples were
collected from the sample areas by directly intercepting shoppers which had direct
connection with the researching variables. Such sampling method proved effective by
Dennis et al., (2005).

Clarification of the framework used to recruit samples at different stages in the research,
are enlarged upon at the relevant data collection tool section underneath.

3.6.3 Sample Area

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• Tesco Metro Plc – Ealing Broadway, and Greenford Broadway
• Tesco Express Plc – West Ealing
• IKEA – Brent Cross North London
• Brunel University Campus

Figure 3.3 Sample Area - pictographically represented
Source: Author - Constructed using ‘Google Earth’ – Licensed software

3.6.4 Sample Design

The study uses a convenience sampling design in recruiting samples; the reader is
directed to Malhotra & Birks, (2003. Pg. 348), Saunders et al., (2003. Pg 96) and
Oppenheim (2001. Pg. 24) for further justification. However, at later research stages,
respondents to the initial questionnaire sample were recruited to obtain sample for the
focus groups sessions, and participation in the observation exercise, further explanation
can be found in, focus group design, Appendix….and observation design, Appendix…..

3.6.5 Justification of Sampling

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The above sample areas were specifically chosen since they are host to the dependent
variable and directly relates to the measuring behaviour. With the exception of Brunel
University, they all produce respondents who have visited, or proximate to visit the
stores being researched. Additionally, a compromise had be strike between theoretical
requirements and practical suitability in the research. Thus, in all cases common-sense
prevailed (Oppenheim, 2001) thereby, directing the sample to be taken from the
locations where the cases are being studied. Moreover, issues surrounding time, ease of
measurement, access, and corporation was considered (Malhotra & Birks, 2003).

3.6.6 Sample Size

The size of the sample fluctuates depending on the method of investigation being used;
the following table represents the participants to various data collecting methods.

Table 3.2 – Data Collection Instruments Used in Research

3.6.7 Pilot Study

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Ajzen (2006) warns that to elicit outcomes variables for the TpB model, pilot study must
be carried out to identify various measures of consumer consideration (attitude,
subjective norms and perceived control) which affects behaviour. Moreover,
Oppenheim (2001) reminds us that;

Pilot study work was used within the context of exploratory research, since the data
gather lack precision (Zikmund, 1999). Furthermore, pilot test enabled future
respondents to answer the questions without many problems and create relative
simplicity in recording data, thus improving data integrity.

Despite this research being conducted on a small scale, Saunder et al., (2003) advised
that “it is still important to pilot test your questionnaire” (pg. 308). As part of the pilot
testing the outline referred to in Saunders et al., (2003, Pg. 309) was adhered to.

• How long the questionnaire took to complete

• Clarity of instructions and questions ambiguity

• Questions respondents felt uneasy to answer, and question omission

• Questionnaire format and other comments

Adapted: Saunders et al., (2003)

Two pilot studies were conducted, the first pilot study consisted of ten (10) opened
answer questions distributed to 60 students before various lectures and the responses
were collected at the end of lectures.

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The study was aimed at identifying accessible behavioural, normative and control beliefs.
The responses were used in the questionnaire to construct a list of modal salient beliefs
that is commonly held in the research population. The table below illustrates pilot testing
periods.

Table 3.3 – Illustrates the period used for pilot testing

The second pilot study consisted of the originally designed questionnaire, which
consisted of seventy-five (75) questions, with most rating scales being seven (7) interval-
points scales.

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The responses from this second testing enabled the restructuring of the questions format,
the re-scales of the interval points systems, which were revised to mostly to five (5)
points interval-scales, and the deleting of sixteen (16) questions, to produce the final set
of questions used in the study.

The second pilot study appeared helpful by

Increasing the questionnaire completion levels and response accuracy
Reducing the time for questionnaire completion
Enabling simplicity of rating by the respondents
Reduce confusing during completion
Creating a more holistic and accurate representation of the respondents answers
Table 3.4 – Benefits gain from Pilot Testing

3.7 QUESTIONNAIRES

The term Questionnaire has been used to mean many different things (Oppenheim,
2001, Zikmund 1999), for the purpose of this study is it used strictly to refer to
structured, self-administered questions which adapt the use of various measuring tools.

It is the main data collection tool used in this research, geared towards obtaining
appropriate measurable outcome based on the research aim (Oppenheim, 2001), thus,
“comprising of a comprehensive listing of every variable to be measured” (Oppenheim,
2001. Pg. 101). The questionnaire followed the design recommended by East (1997) and
Ajzen (2006), (details of the design appear in appendix A) and the guideline outline by
Malhotra & Birk, (2003. Pg. 335). It was tailored for use, based on the interception
sampling approach used.

3.7.1 Justification of questionnaires

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The sample of shoppers obtained from the shopping centre interception method is
presented in the Table (3.5) below. It provides details of when and where samples were
taken from and how many samples were extracted at each location.

There was a 92% response rate overall, with 100% response rate from surveys
conducted outside Tesco Metro – Ealing Broadway being the highest, while surveys
conducted outside Tesco Metro Greenford receiving the lowest response rate of 82%.
These differentials in rates of responses can be accounted for by different settings in
which the research was conducted. Ealing Broadway had seating facilities, whilst
Greenford had no such facilities.

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Table 3.5 - Questionnaire Sample Collection - (Area & Responses)

3.8 FOCUS GROUPS

Zikmund (1997) rationalised focus group interviews as an objective discussion of a topic
by a group of respondents in a natural fashion, but moderated by a leader. This tool
played a supportive role to the research, as such, was used to gain creative insight where
respondents felt sufficiently relax to reflect and portray their feeling and behaviour.

It provided the opportunity to probe respondents for detailed explanation to their
responses. The research followed the guidelines outlined in Malhotra & Birks (2003.
Pg 161) for focus group interviews, details of the design used for this research is
provided in Appendix B.

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3.9 OBSERVATION

Despite observation being a unit of data collection, its wide spread-use was restricted by
time related factors and lack of appropriate training on the part of the researcher.
Nevertheless, as advocated by Malhotra & Birks (2003), observation illuminates the
research and seeks to create a holistic understanding of the researched phenomena.

However, results from observation were not presented in the research findings, since it
lack clarity.

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3.10 DATA VALIDITY AND RELIABILITY

To ensure that data quality from respondents are accurate or as near as possible, the
questionnaire was designed with all negative responses on one side, whilst, all positive
responses on the other. This format was used through-out the questionnaire which
enabled the respondents to navigate their proposed responses quicker, creating a logical
mind map, thus enhancing efficiency, ease of use and adaptability.

In scales construction, attitudinal measures were tested for consistency and stability. Due
to the available resources and time, it proved difficult to complete a “test-retest
reliability” check, thus, regression analysis were performed to help neutralised the effects
of random fluctuations in responses (Parasuraman, 1991).

To facilitate an accurate measure of respondents’ satisfaction levels, the scale
comprising of seven (7) points rating was used, it facilitated the detection of fine
variations in responses (Parasuraman, 1991). It would have proved a usefully
measurement in the global measures, however, it would have lengthened the time taken
to complete the questionnaire, hence reducing its overall effectiveness.

Prior to the focus group sessions the participants were emailed a copy of the objectives of
the focus group session together with an overview of the project, alongside renewed
guarantee for data confidentiality. This enabled participants to pre-consider the
information and develop a mind–map of potential responses during the session. This
helps promote data validity and reliability (Saunders et al., 2003).

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3.11 LIMITATION TO THE DATA COLLECTION PROCESS

The limitations experienced during the research are categorically defined as follows:

a) Sampling error – this may arise because the research used a very small portion

of the population as sample to analyse the behaviour of the entire population. The
error rates were relatively high since it was difficult to increase the sample size,
which ultimately would reduces the error rate.

b) Non-sampling error – errors that arise not from the sample but from the survey.

Namely incorrect response, conception distortion, coding error, arithmetic and
other non sample source error.
To ensure that this was reduced, particular care was paid to data coding and input.

c) Sample frame error – result when the sample used may not have been the best,

for instance, how participants were recruited to the research will in itself
constitute errors of sample frame.

Shopping centre interception method could have resulted in over sampling
shoppers with spare-time, such as the elderly and unemployed. Moreover, it may
have excluded relevant units while including irrelevant units (Parasurama,
1991).

Nevertheless, the demographic representation appears to be reasonably
representative of the shopping population which patronises these stores.
However, the uncontrollable shady areas of intercept sampling were considered
throughout the research.

d) Selection error – where no representation of a sample is obtained. This could

have derived from several source, for instant if the recruiter was intimidate by tall
women with long black hair, and gothic appearance, or sample who appear busy,
even if they reasonable fit the criteria, and should be approached next, they were
not recruited.

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e) Secondary data source selection – may have been the source of error in the

research approach, design, sampling data collection and analysis stage of project
(Malhotra & Birks, 2003). On the bases that the researcher did not participate in
prior researches, it is therefore difficult to evaluate with any accuracy the
reliability of these data.

Thus, secondary data of good academic sources were solicited at all time, which
were exposed to, and withstand the rigour of critics and upheld good research
practices.

3.12 PROBLEMS

The interpretation to some questions appeared problematic at answering, even after the
pilot study was commissioned. In particular, many respondents had difficulties
understanding and interpreting questions 41, 42, 48, & 49. Additionally, the size of the
font used and the spacing of the responses did not aid in that aspect.

In previous studies using the TpB model eg: (King et al., 2007), researchers collected the
detail from the questionnaire survey and analyse these data before commencing further
qualitative research. This proved to be an effective strategy in gaining depth of study.
However, due to lack of the human resources to analyse this data before hand, and the
time-frame in which the research was conducted, this proved impossible

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3.13 ETHICAL CONSIDERATION AND GOOD RESEARCH PRACTICE

This “research is founded upon the willing co-operation of the public, it relied on the
confidence that it is conducted honestly, objectively, and without harm to the
respondents. Its purpose is to collect and analyse information and not to influence the
opinions of anyone participating” (MRS, Qualitative research guideline, 2006. Pg. 3).

• Standard academic practises were upheld when obtaining secondary data; this
encompasses appropriate referencing of source materials.

• The overall research adhered to strict data confidentiality procedures to
protect the respondents’ details from misrepresentation. The researcher
ensured that ONLY respondents enlisted to attend focus group sessions were
present in the room where the interviews were conducted.

• As far as practicable the anonymity of the respondents were protected by
referring to focus group participants in the analysis section (pg. 68 - 74) using
hypothetical names. Additionally, only audio-recording of the sessions were
conducted

• The entire research was guided by the Marketing Research Society (MRS)
code of ethic in research and adaptation of procedures outline in Malhotra
and Birks (2003).

3.14 CONCLUSION
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This chapter on research methodology is seen as the guiding principle for the
creation of knowledge and the orderly and effective way of problem
understanding, which can be summarised as follows:

The research technique used is that of a qualitative approach, which focused on a
deductive approach, and justified the use of case study while developing the
research aims and the construction of hypotheses.

The tools of data collection were identified and categorised, whilst the research
area and sampling details were outlined, problems and limitations encountered
were stated and matters pertaining to ethics were deliberated upon.

Chapter 4

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Research Companies Profile

4.1 Corporate Overview – TESCO Plc (UK)

4.2 Performance Overview

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Fig 4.1.1 – Tesco operation by Geographical break-down 2001 - 2006
Source: GMID – Euromonitor “Tesco company profile report 2007”

Fig 4.1.2 – Tesco employment statistics 1996 - 2006
Source: Retailer Directory -2007 “Retailer Ranking by Number of employees - 2007”

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Fig 4.1.3 – Tesco market Share statistics 2001 - 2006
Source: GMID – Euromonitor “Tesco company profile report 2007”

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4.2 Corporate Overview – IKEA AB (Sweden – UK review)

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4.3 Financial Overview

Fig 4.2.1 – IKEA AB Revenue by World Sales Regions - 2007
Source: GMID – Euromonitor “Housewares and Home Furnishing -UK 2007”

Fig 4.2.2 – Market Shares of Major Players in the UK Housewares and Home Furnishing Market - 2007
Source: GMID – Euromonitor “Housewares and Home Furnishing - UK 2007”

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Chapter 5

RESEARCH FINDINGS AND DATA PRESENTATION

5.1 INTRODUCTION

This section is designed to detail the research findings, it begin with the presentation of
the general pattern of data found, then continues with more specific research findings
relating to the research hypotheses. The result from the questionnaire survey detailed the
general statistical finding in the form of descriptive and statistical data, supported by
charts and graphs as far as possible.

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5.2 GENERAL FINDINGS

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Occupation of Respondents
80.0

70.0 67.5

60.0

50.0
%
E
G
A 40.0
T
N
E
C
R 30.0
E
P
20.8
20.0
10.4
10.0
1.3
0.0
waged Unwaged Student Retired
Occupation of Respondents 67.5 10.4 20.8 1.3

Figure 5.1 – Age Distribution of the sampled Population

Figure 5.2 – Occupation Distribution of Respondents

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Figure 5.3 – Profession Distribution of the Sampled population

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5.3 FINDING ON TESCO

The overall statistic showed that 51% of the participants “will visit” Tesco at least three
times at week, while 20% are not sure if they “will or will not visit”. However, when
combined with the assertive “definitely will visit” and the potential “will visit” groups,
over 65% of respondents are planning to be exposed to Tesco at least 3 times in the
forthcoming week. The same trend was displayed by customers who believe Tesco offers
extensive range 51% “strongly agree”, while 49% “agree”, similar, to the 53% & 47%
respectively who “strongly agree” and “agree”, that Tesco offers variety. Likewise, an
overwhelming 88% “agree” that they will find all they are looking for from one visit,
only 12% was not certain.

In addition, most customers were satisfied with their visit, accounting for 88% of the
“slightly satisfied - highly satisfied” category; the remaining 12% was “slightly
unsatisfied”. This also were reflected on the volume of customers who view shopping at
Tesco as a highly pleasurable exercise, with 63% “agreeing” that they enjoy shopping at
Tesco, compared to only 14% encountering less pleasurable experiences. Additionally,
most customers are highly satisfied when there are less than 4 alternatives in the product
range, 63%, “satisfied - very satisfied”. This compared to only 32% “satisfied - very
satisfied”, when there are more than 5 alternatives to choose from in the product range.
The graphs below figure 5.4 (a) and (b) illustrates, selected data, on respondents visit to
Tesco and the evaluation of Satisfaction.

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Figure 5.4 (a)– Respondents Evaluation of Tesco’s Visits and Satisfaction

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Figure 5.4 (b) – Respondents Evaluation of Tesco’s Visits and Satisfaction

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5.4 FINDINGS ON IKEA

The findings indicated that more that half were unsure if they “will visit” IKEA at least 4
times in the coming 12 months, whilst 45% were certain that they “will not visit”.
Indication of respondent perception on IKEA range; 23% “agree” that they have an
extensive range, with 49% strongly contesting this stand. When surveyed on variety,
34% “strongly disagree” that IKEA offered extensive variety with 12% “agreeing” that
they do, yet only 39% were “satisfied” when choosing products with less that 4
alternative with 26% being “terrible satisfied”. This figure is greatly amplified when
there are more that 5 alternatives to choose from, with 30% being “extremely
unsatisfied” and only 24% being “fairly satisfied”. Additionally, 49% “strongly
disagree” that they will find all they are looking for in one visit, while 3% indicated that
they can.

Moreover, 68% and 63% neither “agree, nor disagree”, that their shopping experience
was very pleasant and shopping there was a pleasurable exercise, respectively. With 65%
indicating that it was “difficult to evaluate” their overall satisfaction.

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5.5 STATISTICAL FINDINGS

The data was grouped to as it relates to elements in the TpB model, and their descriptive
statistics are presented underneath. The overall measures, expressed in terms of mean are
closely patterned to results obtain for the measure of Tesco. Whilst, bear little relations to
mean obtained for IKEA, (Table 5.4) present the descriptive statistics.

Measures No Valid Mean Std. Deviation
Entries
Overall Intention 77 11.28 4.2793
Overall attitudes 48 28.75 1.4366
Overall Subjective Norms 57 26.10 3.3895
Overall Statistical Measure
Overall Past Experience 67 42.40 3.1912
Overall PBC 77 15.23 2.3781
Overall Satisfaction 77 47.66 5.6256

Intention TESCO 77 6.96 2.3195
Statistical Measure Of Attitude TESCO 48 17.32 1.4995
TESCO Subjective Norm TESCO 57 14.30 2.8910
Past Experience TESCO 67 25.55 3.0515
PCB Tesco 77 8.43 1.2610
Satisfaction TESCO 77 28.03 4.5173

Intention IKEA 77 4.32 2.3477
Statistical Measure Of IKEA Attitude IKEA 48 11.85 2.1437
Subjective Norm IKEA 57 12.10 .81688
Past Experience IKEA 67 17.13 2.5410
PCB Ikea 77 6.81 1.8067
Satisfaction IKEA 77 19.62 4.1137
Valid N (listwise) 35

Table 5.4 – Descriptive Statistics for aggregate measures

5.6 INTERNAL CONSISTENCY, SCALE RELIABILITY AND REGRESSION
ANALYSIS

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The most commonly used indicator of internal consistency is Cronbach’s alpha coefficient.
Ideally, the Cronbach alpha coefficient of a scale should be above .7 (DeVellis, 2003).
However, Cronbach alpha is sensitive to items in scales under ten.

According to Pallant (2007) reliability of good internal consistency, using Cronbach alpha
above .7 is acceptable, however, .8 is preferred. This is supported by (Ajzen, 2006) who
advised that for scales with less than 10 items (as was this research) Cronbach alpha of
between .612 and .894 are good indicates of internal consistency. In the current study, the
first stage in processing the results was to construct compound variable for those having more
that one item. The overall Cronbach alpha coefficient was .766, and the individual variables
are listed in table 5.5.

Aggregate Cronbach's
measures Alpha
Overall .766
Intention .892
Attitude .706
Subjective Norms .624
Past Experience .691
Perceived Behavioural control .446
Satisfaction .806

Table 5.5 – Reliability Statistics

Correlation was used as the parametric technique to check the strength and direction of the
linear relations between variables (Pallant, 2007). Details of the correlation measure are
represented in Table 5.6 (A) and Matrix 5.6 (B).

The table 5.3 (A) below explore relationship between variables of the TpB using Pearson
product moment correlation coefficient. Further correlation matrixes in presented in Table
5.3 (B) which further explore the relationship between two variables set, and identify their
relative strength. In keeping with (Pallant, 2007), preliminary analyses were performed to

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ensure no violation of the assumption of normality, linearity and homoscedasticity, and were
satisfied that they upheld good statistical procedures.

Subjective Past
Variables Intention attitudes Norms Experience PBC Satisfaction
Intention Pearson
.483(**) .896(**) .286(*) .352(**) .393(**)
Correlation
Sig. (2-tailed) .001 .000 .019 .002 .000
N 48 57 67 77 77
Attitudes Pearson
.049 -.739(**) -.154 .243
Correlation
Sig. (2-tailed) .747 .000 .295 .096
N 45 38 48 48
Subjective Pearson
.732(**) .065 .491(**)
Norms Correlation
Sig. (2-tailed) .000 .632 .000
N 47 57 57
Past Pearson
.470(**) -.070
Experience Correlation
Sig. (2-tailed) .000 .573
N 67 67
PBC Pearson
-.364(**)
Correlation
Sig. (2-tailed) .001
N 77
** Correlation is significant at the 0.01 level (2-tailed).
* Correlation is significant at the 0.05 level (2-tailed).

Table 5.6 (a) – Correlations Measure between Variable of the TpB Model

Intention Attitude Subjective Past Perceived Satisfaction
Norms Experience Behavioural
Control
Intention - R - .48 R - .896 R - .286 R - .352 R - .393
N – 48 N – 57 N – 67 N – 77 N – 77
P<.01 P<.01 P<.05 P<.01 P<.01
Attitude R - .48 - R - .049 R - -.739 R - -.154 R - .243
N – 48 N - .45 N – 38 N – 48 N – 48
P<.01 P=.05 P<.01 P<.01 P<.01
Subjective R - .896 R - .049 - R - .732 R - .065 R - .491

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Norms N – 57 N - .45 N – 47 N – 57 N – 57
P<.01 P=.05 P<.01 P<.05 P<.05
Past R - .286 R - -.739 R - .732 - R - .470 R - -.070
Experience N – 67 N – 38 N – 47 N – 67 N – 67
P<.05 P<.01 P<.01 P<.01 P<.05
Perceived R - .352 R - -.154 R - .065 R - .470 - R - -.364
Behavioural N – 77 N – 48 N – 57 N – 67 N – 77
Control P<.01 P<.01 P<.05 P<.01 P<.01
Satisfaction R - .393 R - .243 R - .491 R - -.070 R - -.364 -
N – 77 N – 48 N – 57 N – 67 N – 77
P<.01 P<.01 P<.05 P<.05 P<.01

Table 5.6 (b) – Correlations Matrix amongst Variable of the TpB Model

Key to Matrix
High Positive Correlation
Moderate Positive correlation
Weak Positive correlation
No correlation
High Negative Correlation
Moderate Negative correlation
Weak negative correlation
R – Spearman rho
N – number of respondents
P – statistical significance

To test the hypotheses, each variable was investigated for association with the dependent
variable using linear regression. Pallant (2007) advised, when a small sample is involved,
such as this research, the R square value in the sample tends to be a rather optimistic
overestimation of the true value in the population. Therefore, the adjusted R value is also
reported. Additionally, the coefficient Beta is reported, as indicator of the level of unique
contribution the variable is making. Moreover, the alpha value is an indicator of the
association individual components has on the depended variable thus; sig. is added to the
table, to help create direction and build meaning to the analysis. If the Sig. value is less than
.05 (.01, .0001) the variable is making a significant unique contribution to the prediction of
the dependent variable.

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Multiple regression construct are illustrated in table 5.7 and support of the hypotheses based
on the Beta results are indicated in table 5.8.

Variable Standard R2 Adjusted R2 Significant
Coefficient Beta

Attitude .483 .233 .216 .001
Subjective Norms .896 .802 .799 .0001
PBC .352 .124 .112 .002
Past Experience .286 .082 .068 .019
Satisfaction .393 .155 .143 .0001

Table 5.7 – Compound variables and their association with intention to patronised
Tesco & IKEA extensive range

Hypothesis construction Variable Supporte Level of
Tested d significant

Yes NO Highly Sig.

H1 √ √
Attitude
H2 Subjective norm √ √

H3 Behavioural control √ √

H4 Intention shaped by Past experience √ √

H5 Attitude/Past experience √ √

Table 5.8 – The Coefficient Beta and sig. in relations to the hypotheses
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5.7 CONCLUSION

The questionnaire was very well responded; with an overall response rate greater than 95%,
with the greatest age category being accounted for by the 25 – 44 age group. Overall, the
sample bears a good reflection of the responses of the entire population.

The findings indicated that consumers viewed Tesco favourable, in terms of its variety and
range, and, as such, was highly satisfied by its extensive choice, thus having positive
patronising behaviour towards Tesco. Concurrently, respondents were not so optimistic in
regards to Ikea’s variety and range, which bore reflection on their overall intended patronage
and satisfaction levels.

The research upheld good internal consistency and reliability supported by an overall alpha of
.766. Moreover, it displayed high correlations between variables, and were supportive of all
the hypotheses.

Chapter 6

ANALYSIS & DISCUSSION

6.1 DISCUSSION AND QUALITATIVE FINDING

The research presented here was designed at investigating two main issues.

First, it was the intention to test the appropriateness of the TpB model within the sphere of
stores extensive choice offering. Secondly, it was aimed at, examining the impact of
extensive choice by stores on consumers’ satisfactory response.

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Looking at the first objective the results obtained provided considerable support in term of
the appropriateness of the TpB model in predicting and explaining intentions to patronised
store which offers extensive choice, and the embryonic response of consumer satisfaction.

The model display good measure of consistency for most variables, with high levels of
consistency between the influences of subjective norms on intention. However, displayed
little, but significant consistency with past experience on intention, all other variables
displayed moderate consistencies. (Refer to Table 5.6 on page 66)

Figure 6.1 – The TpB explained in terms of Items Correlation

6.1.1 Intention and Attitude

(Table 5.6 (b) on page 66) indicates a moderately positive relationship between “Attitude
and Intention”, this therefore means, the more consumer perceived Tesco and IKEA
extensive choice as a good, the more likely they are to patronised these stores. Olson et al.,
(2005), supports this view by indicating that systematically strong attitude towards an object
will result in strong specific behaviour toward that object. This view is supported by Ajzen

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(2006) who assert that a multi-component view of attitude can explain intention to partake in
behaviour, in situation of low relationship. Moreover, attitude is significantly associated
(beta .48) with intention to patronise such stores, and be suitably rewarded. This is further
qualified in our focus groups with respondents illustrating selective attitudinal responses.

Ajzen (2006) and East (1997), have warned that attitude towards a behaviour is not always a
good indicator of the individual specific behaviour towards the object. However, as indicated
by Foxall (1998) attitude, is a good predictor of intention and actual behaviour. This was a
good reflection of Tesco in the research findings, in which positive attitude was backed up by
actual behaviour.

Additionally, Hoch (1999) indicated that stores offerings help build positive attitudes towards
a store and is ranked right behind location and prices as reasons why consumer patronised a
store. Moreover, he also argued that consumer may regard extensive choice as confirming to
the inmate desire of consuming different alternatives across occasions. Hence, extensive
choice affords the attainment of this goal.

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6.1.2 Intention and Subjective Norms

The association of subjective norm and intention was the most dominate relationship (Beta .
896). Such strong association of the presence of, or, impetus of, significant others have strong
bearings on individuals’ overall intention. The correlation analysis indicated that the more
referent powers have positive reviews of these stores, the greater the propensity of individuals
to patronised these store. Such can have implication for Viral Marketing and word of mouth
brand building. The findings thus far, appear to be in line with Kollat et al., (1970) study
“Influence of referent groups on consumer behaviour”.

Foxall (1998) indicated that the influences of subjective norms are reflective of consumer’s
perception for engaging in a particular behavioural intention. Additionally, Kollat et al.,
(1970) viewed referent powers

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“as a major determinant on behaviour formation, as well as
implication on phenomena such as satisfaction” (pg. 458).

He detailed that powerful referent individuals affects the aspiration of others, thus influencing
their behaviour. This acclamation is supported by details presented in this study where 80%
of the respondents believe that significant others also visit Tesco, with 64% agreeing that
IKEA offers extensive choice, 52% beliefs that significant others are reasonable satisfied
with the extensive choice of Tesco and IKEA. Additionally, this sentiment of subjective norm
and its bearing on intention were manifested in the focus group interviews.

Kollat et al., (1970), indicated that the degree and nature of subjective norm on behaviour is
segregated. This influence base is linked by the socio-economic hierarchy. Thus, individuals
at the bottom of the hierarchy are greatly influence by significant others, unlike those at the
higher end of the hierarchical strata. However, strong social pressures are also linked to
cultures with large families or strong social cohesion, as indicated by “Sonal”. This
relationship described by Kollat et al., was not explored in this study.

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6.1.3 Intention, Past Experience and Perceived Behavioural Control

Experiences respondents encountered in the past, had little relationship to their future
intention, this is reflected by a (Beta .286). Nevertheless, it remains an important component
in framing the consumer overall shopping experience. Additionally, there are a number of
reason why past experience is not described by respondents as a major influential factor on
future intention.

Firstly, most of the respondent failed to adequately complete this section as it relates to
IKEA, hence, incorrect assessment of value. Nevertheless, the services of retailing have
become so standardised that consumers failed to experience the “WoW” factor. Thus,
psychologically they have typified each service as the same. Secondly, consumers have come
to expect a certain level of service, hence always receiving exceptional services move down
on the hierarchy of shopping experiences.

Investigation of PBC and Intention, revealed a moderately positive relationship (Beta .352).
This can be translated into (a) Consumer possess the monetary resources to patronise these
stores, and (b) These store are in close proximity to consumers, thus encouraging
accessibility.

Societal perception of Tesco and IKEA indicate that most London families can reasonable
afford to purchase from these stores, in comparison to MFI, Sainsbury, and Mark and

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Spencer. Hence, the likelihood that they can successfully purchase from these stores can be
interpreted as consumer having control over their intentions. Thus, resources triangulates into
intention, resulting in patronising behaviour.

Additionally, these stores are in reasonably close proximity to consumer, more so Tesco.
This, from observation found that, they are carefully located next to major bus stops and
transport interchange. This provides the platform for the consumer to enact their behaviour,
and instigate positive intention. Such is supported by the qualitative interview.

6.1.4 Intention and Satisfaction

The study showed that Intention, which is the proxy to behaviour, had a moderately positive
(Beta .393) relationship to satisfaction (apparent or real). Thus, it was difficult to interpret if
intention created satisfaction, or satisfaction attained, propagate future intention. What is
certain is that there are some levels of positive relationship. Therefore should satisfaction
varies, it will be reflected in the consumers’ intentions. Oliver (1993), supported this view by
identifying expectation, and performance as antecedents to satisfaction, and arguable
predicting intention. He went on to say that, intention and performance are not enough to
significantly create satisfaction. What is more important is the strength of consumers’ beliefs
in exercising their intentions. However, qualitative findings supported the relationship
between intention and satisfaction.

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The findings are consistent to the notion held by the masses “plenty is good, if not best”.
Stores which offer an extensive choice are perceived as being more satisfying to consumers.
Despite indications that consumers are cognitive misers (Garbarino et al., 1997), extensive
choice and by extension variety, is preferred to cushion consumers’ imperfect knowledge of
their search environment (Hoch et al., 1999).

6.2 CONCLUSION AND IMPLICATIONS

The research highlights that the intention to patronise stores which offers extensive choice,
and be satisfactorily rewarded, are the results of the underlying construct of TpB. It
represented a reliable predictive model of attitudinal behaviour towards the object (Tesco &
IKEA) re-enforced by strong social support, and the means to exercise this behaviour work
parallel with past experience, thus committing the behaviour and gaining the extended reward
of satisfaction.

A final advantage of the TpB model is in its ability to shed light on the development and
formation of attitude, subjective norms and perceived control, and used that information to
coordination Viral marketing activities. This is essential if companies wish to expand their
market shares, they will need to understand the role referent play in behaviour formation, and
how perception of extensive product range frame behaviour and modulate unforeseen
occurrences. Moreover, the affective side of the shopping experience needs to be explored;
greater consideration must be given to the in store environment to ensure that consumers have
rewarding shopping experience

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An investigative study into consumer choice. a case study analysis using tesco and ikea

An investigative study into consumer choice. a case study analysis using tesco and ikea

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