CHAPTER-1

INTRODUCTION TO THE STUDY

1
For consumers to buy food online, they need to make several decisions including the

selection of shopping network and place, financial matters, compiling shopping lists or

choosing product brands. In literature, two approaches of analyzing consumers’ decisions can

be found. The first is associated with the rationality of consumer behavior. According to this

theory, consumers behave rationally, which means that they aim to maximize their

satisfaction or their utility function (in economic terms). They are guided by order of

precedence created by a social group to which they belong (in sociological terms) and look

for logical arguments in the evaluation of their own actions (in philosophical and

psychological terms). Their behavior is characterized by prudence, purposefulness, internal

consistency, and calculation of alternatives. The second group of theoretical concepts is

associated with irrationality of people’s decisions. In the framework of this theory, there are

many factors that limit the most optimal purchasing choice, e.g., uncertainty, risk, limited

time, and access to information. The consumers’ behavior is characterized by contingency,

emotionality, impulsivity, unconsciousness, or hastiness. As several studies have shown,

consumers make rational decisions towards goods of high interest and indicate a relatively

high proportion of impulse and emotion in the case of purchasing often-used products, e.g.,

food. Many surveyed consumers admit that their food buying decisions are impulsive,

emotional, and reckless. There are various sales techniques that generate immediate

impulsive shopping, e.g., sales, coupons, additional discounts with a short expiry date, or free

services such as delivery (Karpińska-Krakowiak, 2014).

Several studies have attempted to define an e-shopper’s profile, especially in demographic

and psychographic terms. There have been indications that Internet consumers earn more

money that non-Internet shoppers and are less risk averse, and more innovative and

impulsive. These shoppers prefer that online shops are always open and find shopping from

home is relaxing, easy, and time saving (Ramus & Nielsen, 2005).

2
Consumers claim that the most important determinant and advantage of online business

success is the convenience of online shopping. It is noted that there are various types of

online shopping convenience, such as access, search, evaluation, transaction, and possession

convenience. Access convenience means that consumers can shop at any time and from

locations such as home or office; they do not even have to leave their rooms. They can avoid

crowds, serve no waiting times, and have access to products that are not normally available in

everyday shops. Search convenience is related to the opportunity for researching and

comparing products without physically visiting stores. Several improvements have recently

been made with regard to the evaluation of shopping online convenience. The changes are

mainly concerning the enhancement of descriptions of products by means of applying better

presentation features, e.g., graphics and videos. In addition, peer evaluation systems boost the

efficacy of buying products through the Internet. Such customer review systems make the

decision to buy not only fast and efficient, but also effortless. Transaction convenience is

associated with simplicity and ease of online payment. The online sellers know that

complicated payment methods often cause consumers to resign from purchasing at the last

minute. Possession convenience means that online shopping reduces consumers’ effort and

time spent on purchasing products. Consumers do not have to leave their places to shop or

wait in long queues (Jiang, Yang & Jun 2013). Consumers claim that in some cases it is

difficult to shop at a traditional grocery supermarket, because of reasons, such as lack of a

car, time, or physical strength to carry heavy items (Huang & Oppewal, 2006). As the

research shows, the most significant convenience for consumers is that of enabling them to

order groceries from home and then having these delivered, and this helps save time due to

less visits to traditional retail stores (Verhoef & Langerak, 2001; Ramus & Nielsen, 2005).

The advantage of online grocery shopping for consumers is that they have access to a large

range of stores and products from across the world (Ramus & Nielsen, 2005). It is worth

3
noting that a greater impact on the consumer’s preferences to shop for groceries online is

possibly the saving of travel time more than the extent of delivery charges (Huang &

Oppewal, 2006).

As several studies show, most surveyed respondents are quite satisfied with their online

grocery shopping experiences. There are several groups of consumers who have unique

reasons for shopping online. One specific group is mothers with young children in the

household. Online shopping allows them to buy nutritional foods without taking young

children to the supermarket or needing to seek someone to care for their children while they

shop. The availability of online grocery shopping also helps consumers avoid appeals of their

children to buy sweets. The next group, which is very positive about online grocery shopping,

is consumers with physical disabilities, who appreciate that they can shop for food through

the Internet without problems of lifting and carrying groceries. It should be noted that an

ageing population exists in many countries and minor physical limitations will probably

increase, and this could mean a higher demand for home shopping and delivery services

(Morganosky & Cude, 2000).

A. RESEARCH BACKGROUND

The online buyind behavior of customer toward grocery is a significant and dynamic sector of

the global consumer market. Consumers' preferences, attitudes, and behaviors regarding rice

are influenced by a multitude of factors, ranging from price sensitivity and product quality to

fashion trends and brand loyalty. Understanding these factors is crucial for businesses to

tailor their marketing strategies and meet customer demands effectively.

HMT is a well-known rice brand that has gained popularity for its taste or size and affordable

rice offerings. With a wide range of products, HMT aims to cater to diverse

4
consumer preferences, from very different types of rice. The brand's success is often

attributed to its focus on quality, affordability, and alignment with current taste prefrence.

Rajnandgaon, a city with its unique cultural and economic landscape, serves as the backdrop

for this study. The demographic makeup of Rajnandgaon, including age, gender, occupation,

and income, plays a role in shaping consumer behavior towards rice. These demographics can

influence preferences, purchase decisions, and brand loyalty among the local population.

B. CONTRIBUTIONS

Here's research on a factors influencing to world online buying behavior of customers toward

grocery with refrence to HMT rice at Rajnandgaon.

1. Practical Business Insights;

Your research can provide valuable insights to HMT and other rice brands operating in

Rajnandgaon about consumer preferences, needs, and behaviours. This information can aid

in refining marketing strategies, product development, pricing tactics, and inventory

management to better cater to the local market.

2.Marketing Strategy Enhancement:

By understanding the factors influencing customer behaviour, your research can help HMT

tailor its marketing messages more effectively. This could involve emphasizing quality,

fashion trends, or value for money, depending on the preferences of the target demographic in

Rajnandgaon.

3. Customer Engagement Improvements:

5
Insights gained from your research could lead to enhanced customer engagement initiatives.

HMT could design loyalty programs, promotions, and events that align with the preferences

and behaviours of their Rajnandgaon customer base, fostering stronger brand-customer

relationships.

4. Product Development Focus:

The study's findings can guide HMT in developing rice products that align with local

preferences. Whether it's introducing certain styles, materials, or features, your research could

contribute to the creation of products that resonate better with consumers in Rajnandgaon.

5. Competitive Advantage:

Armed with a deeper understanding of the local market, HMT can gain a competitive

advantage by tailoring its offerings to meet specific customer demands. This can lead to

increased market share, customer loyalty, and overall brand success in Rajnandgaon.

6. Academic Contribution:

Your research can contribute to the academic field of consumer behaviour by providing real-

world insights into the factors influencing customer choices in a specific geographic area.

This can further enrich the body of knowledge in marketing and consumer studies.

7. Local Economic Impact:

By understanding the local preferences and contributing to HMT growth, your research

indirectly supports the local economy by potentially increasing sales, creating jobs, and

encouraging business development.

6
8. Basis for Future Research:

Your research can serve as a foundation for future studies related to consumer behaviour in

the rice industry, either by building upon your findings or by exploring different aspects of

customer preferences and behaviour.

9. Consumer Empowerment:

Your research findings can empower consumers by shedding light on the various factors

influencing their choices. This awareness can help consumers make more informed decisions

when purchasing rice products and also encourage brands to cater to their preferences.

10. Guidance for Marketing Campaigns:

The insights from your research can guide the creation of marketing campaigns that resonate

with the identified preferences and behaviours of Rajnandgaon's consumers. This alignment

can lead to more impactful and effective marketing efforts.

7
 CHAPTER – 2

INDUSTRY PROFILE

8
A. ABOUT THE INDUSTRY

Rice industry refers to the collection of activities related to the cultivation, processing,

distribution, and consumption of rice, which is one of the world's most important staple

foods. Rice is a cereal grain and a primary source of nutrition for a significant portion of the

global population, especially in Asia.

Here is an overview of various aspects of the rice industry

1. Cultivation and Production:

 Rice is primarily grown in flooded fields known as paddies or on dry land,

depending on the variety and location.

 The major rice-producing countries include China, India, Indonesia,

Bangladesh, and Vietnam, among others.

 Rice varieties can be categorized as long-grain, medium-grain, and short-

grain, each with distinct cooking characteristics.

 Different methods of rice cultivation include traditional methods, mechanized

farming, and innovative techniques to improve yield and efficiency.

2. Processing:

 Rice processing involves several steps to convert raw paddy into edible rice.

 The process typically includes threshing (separating grains from the stalk),

hulling (removing the outer husk), milling (removing bran layers), and

polishing (smoothening the rice surface).

 Parboiling is another processing technique where paddy is partially cooked

before milling, which enhances its nutritional content.

3. Trade and Distribution:

 The rice industry is a global market, with rice being traded between

countries.International organizations like the International Rice Research

9
 Institute (IRRI) play a crucial role in research, development, and information

sharing to improve rice production and trade.

 Varietal preferences, quality standards, and regulations influence rice trade

dynamics.

4. Consumption and Nutrition:

 Rice is a staple food in many countries, especially across Asia, where it forms

a significant portion of daily caloric intake.

 It is a good source of carbohydrates and some essential nutrients, though it

lacks certain vitamins and minerals found in other foods.

 Rice consumption patterns vary by region, with dishes like risotto, sushi, and

biryani incorporating rice in different ways.

5. Challenges and Innovations:

 The rice industry faces challenges such as climate change, water scarcity,

pests, diseases, and labor shortages.

 Research efforts aim to develop drought-resistant, disease-resistant, and

higher-yielding rice varieties.

 Sustainable farming practices, such as System of Rice Intensification (SRI),

aim to improve yields while conserving resources.

6. Environmental Impact:

 Rice cultivation can have environmental impacts due to water usage and

greenhouse gas emissions from flooded fields.

 Efforts are being made to develop rice cultivation techniques that are more

environmentally friendly, such as aerobic rice cultivation and alternate wetting

and drying methods.

7. Cultural Significance:

10
  Rice plays a significant role in cultural and religious practices in many

societies.

 It is often a symbol of fertility, prosperity, and hospitality in various cultures.

The rice industry is complex and diverse, with various stakeholders involved in different

stages of production and distribution. As societies continue to evolve, the industry will likely

see further technological advancements and adaptations to address the challenges it faces.

B. THE RELATION OF WORK DONE IN YOUR STUDY TO THE INDUSTRY

The research is conducted on online buying behavior of buyer of grocery with reference to

HMT rice at Rajnandgaon has several implications and potential applications for the rice

industry. Here's how your study's findings can relate to and impact the industry:

1. Market Insights for rice Brands: The insights you gather from your research can provide

valuable information to rice brands operating in and beyond Rajnandgaon. By understanding

the factors that influence customer behavior, brands can adjust their strategies to better match

consumer preferences, whether it's related to pricing, product quality, or fashion trends. This

can lead to more successful product launches and targeted marketing campaigns.

2. Tailored Marketing Strategies: Your research findings can guide rice brands in

developing more effective marketing strategies. Brands can craft messages that resonate with

consumer preferences identified in your study. For instance, if consumers in Rajnandgaon

prioritize product quality, brands can emphasize quality in their advertisements and

promotions.

3. Product Development Direction: The study can help guide product development

decisions within the rice industry. Brands can use the information to create products that

11
align better with the needs and preferences of consumers in the Rajnandgaon region,

potentially leading to increased customer satisfaction and loyalty.

4. Localized Business Strategies: Brands can use your research to develop localized

business strategies for specific regions. What works in one location may not be as effective in

another due to cultural differences, economic factors, and consumer behaviors. Your study's

insights can help brands tailor their offerings and strategies to suit the local market.

5. Competitive Advantage: Brands that leverage the insights from your research can gain a

competitive advantage in the market. By understanding customer preferences better than their

competitors, these brands can position themselves as more in tune with their target audience,

potentially leading to increased market share.

6. Data-Driven Decision Making: Your study's findings provide empirical evidence and

data on customer behavior. Brands can use this data to make informed decisions rather than

relying solely on assumptions or general industry trends.

7. Long-Term Customer Relationships: Understanding customer behavior allows brands to

build stronger, long-term relationships with customers. If brands can consistently meet

customer preferences and needs, they're more likely to foster customer loyalty and repeat

business.

8. Academic Contributions to the Industry: Beyond its immediate application, your

research can contribute to the academic understanding of consumer behavior within the rice

12
industry. Insights gained from your study can be integrated into the broader body of

knowledge in marketing and consumer studies.

13
 CHAPTER-3

LITERATURE REVIEW

Aromatic rice has been introduced into the global market. Most of the trade in aromatic rice

is from India, Pakistan and Thailand. Aromatic rice from India and Pakistan consists of

14
HMT types, while Thailand is the supplier of Jasmine rice. Other important aromatic varieties

in the world market are Khao Dawk Mali 105, Siamati (Thailand), Bahra (Afganistan), Sadri

(Iran), Della, Texami and Kasmati (USA) (Singh et al., 2000d).

Singh et al. (2000d) also mentioned that aromatic rice varieties which are popular in the

world market are long grained, but a majority of the Indian indigenous aromatic rice varieties

are small and medium-grained. A large number of land races of these varieties are found in

the Himalayan Tarai region of the state of Uttar Pradesh and Bihar of India. This indicates

that this region is probably the origin of aromatic rice (Singh et al., 2000d).

Khush (2000) had grouped the aromatic cultivars into three groups: Group I (indica), Group

VI (japonica) and Group V (which includes world famous high quality HMT rice of India

and Pakistan). Most of the aromatic rice cultivars come from Group V, in which the grains

are long and medium in size such as HMT, Kataribhog, and Sadri, as well as cultivars with

very small grains such as Nama Tha Lay. Only a few aromatic cultivars belong to Group I

(from Thailand, Vietnam, Cambodia, and China) and Group VI (from Indonesia, Philippines

and China). The evolutionary pathway of the two cultivated species of rice was shown by

Khush (2000) in Figure 2.1. Figure 2.2 shows the centre of diversity and dispersal routes of

aromatic rice of Group V.

Importance of High Yielding Aromatic Rice Variety (HYV)

Most diseases and pests attacking normal rice cultivars also attack aromatic rice. Bemer and

Hoff (1986) reported that aromatic cultivars were often associated with undesirable

agronomic traits, such as low yield, susceptibility to pests and diseases, and strong shedding.

Singh et al. (2000c) also reported that the diseases and pests are likely to be more serious on

long duration and tall aromatic rice cultivars as compared to short and medium duration and

15
dwarf and semi-dwarf non-aromatic rice varieties. Thus, breeders wish to develop aromatic

rice varieties with high yield and good resistance to pests and diseases (Bemer & Hoff, 1986).

Most of the traditional aromatic rice varieties are low yielding. These low yielding aromatic

rice varieties have been the major casualty of green revolution where the main emphasis was

on yield rather than quality. A large number of aromatic rice cultivars have been lost and

many are at the verge of extinction. Recently, rapid progress was made in standardizing the

methodology for transformation in rice and also a large number of genes determining

different traits have been cloned. These developments in field of biotechnology are expected

to give momentum to the improvement of aromatic rice varieties (Singh et al., 2000b).

The earlier attempts to improve aromatic rice varieties were mainly through pure-line

breeding. Later on, hybridization and selection in segregating generations and mutation

breeding for high yielding aromatic rice varieties have been practiced (Singh et al., 2000b).

He also mentioned that pedigree selection, backcross and convergent improvement methods

are among the most commonly used breeding methods.

Heritability of Aroma in Aromatic Rice

Aroma development in rice grain is influenced by both genetic and environmental factors.

Most of the rice varieties have been developed traditionally by selection, hybridization and

back crossing with locally adapted high-yielding lines. The conventional methods of plant

selection for aroma are not easy because of the large effects of the environment and the low

narrow sense heritability of aroma (Kibria et al., 2008).

From many investigations in the past, aroma in rice is known to be genetically controlled.

From the research of Ghose and Butany (1952), Sood and Siddiq (1978), and Berner and

Hoff (1986), it was reported that aroma was monogenic recessive inherited while Kadam and

Patankar (1938) reported it to be monogenic dominant. In the investigation on non-aromatic

16
to aromatic F2 segregation patterns, the ratio of 15:1 (Pinson, 1994), 37:27 (Reddy &

Sathyanarayaniah, 1980), and 175:81 (Dhulappanavr, 1976) were reported. Hence, Sun et al.

(2008) said that different flavors or aromas occur in different aromatic genotypes arising

from diverse origins and there is no consensus as yet on the nature of rice aroma. However,

Singh et al. (2000) said that aroma is a highly heritable trait as some of the released high

yielding aromatic rice varieties show strong aroma.

17
 CHAPTER-4

RESEARCH METHODOLOGY

The methodology section will consist of three sections:-

18
Section A:- The first section will describe the objectives of the study.

Section B:- The second section will discuss about the research plan and sampling plan

used in the study. The following table can be taken as a guideline for preparing this

section

RESEARCH PLAN

Research Design Descriptive

Research Method Used Survey

Research Technique Used Questionnaire

Data Collection Rajnandgaon - Bhilai

Sampling Plan Convenience

Sample Size 23

The research should also present why he has chosen the design he has chosen. And he should

also write about something about the design / method / technique and sampling plan to

support his study. In any case the researcher should not write what he has not done in the

study.

Section C:- will contain the demographic characteristics of the respondents. A sample is

shown below:

19
 Measure Item No of Respondents

10-20 6

Age 20-30 16

30-40 NIL

Above 40 1

Male 15

Gender Female 7

Prefer not to 1

say

Total 23

A. OBJECTIVES

The primary aim of this research is to investigate and analyze customer behavior towards

HMT rice products in the Rajnandgaon region. To achieve this overarching goal, the study is

guided by the following specific objectives:

1. To Examine Price Sensitivity and Perceived Value:

Investigate the level of price sensitivity among consumers towards HMT rice products.

Evaluate the perceived value of HMT products in relation to their price.

Determine the role of price in influencing consumer purchasing decisions.

2. To Assess Product Quality Perception:

Examine how consumers perceive the quality of HMT products.

Identify the factors contributing to consumers' evaluation of product quality.

Understand the link between perceived product quality and customer satisfaction.

20
3. To Analyze the Impact of Fashion Trends:

Investigate the extent to which fashion trends influence consumers' choices of HMT

products.

Determine the significance of fashionable designs in driving purchasing decisions.

Explore how HMT alignment with current fashion trends affects brand perception.

4. To Understand Brand Loyalty and Consumer Preferences:

Measure the level of brand loyalty among consumers towards HMT products.

Identify factors contributing to brand loyalty and repeat purchases.

Explore the correlation between consumer preferences and brand loyalty.

5. To Investigate Demographic Influences on Buying Behavior:

Examine how demographic variables such as age, gender, occupation, and income impact

consumer behavior.

Understand whether different demographic segments exhibit varying preferences towards

HMT products.

6. To Provide Insights for Marketing Strategies:

Generate insights that can be used to tailor marketing strategies to better resonate with

consumer preferences.

Recommend strategies that leverage consumer behavior findings to enhance HMT’s market

positioning.

7. To Contribute to Academic Understanding:

21
Contribute to the academic body of knowledge by providing empirical insights into consumer

behavior within the rice industry.

Provide a localized case study that enriches the understanding of consumer preferences in a

specific geographic context.

By addressing these specific objectives, this research seeks to uncover valuable insights into

customer online buying behavior towards HMT products in Rajnandgaon. The findings will

contribute to both academic research and practical applications for HMT and other businesses

within the rice industry.

B. RESEARCH PLAN

1. Introduction:

Introduce the research topic, its significance, and objectives. Provide background information

on the rice industry and HMT brand. Outline the structure of the research plan.

2. Literature Review:

Review relevant literature on consumer behavior, brand perception, price sensitivity, product

quality, fashion trends, and demographic influences within the rice industry.

3. Research Design:

Specify the research approach (quantitative, qualitative, or mixed methods). Justify the

chosen approach based on the research objectives.

Explain the rationale for selecting a survey questionnaire as the primary data collection

method.

4.Sampling:

22
Define the target population (consumers of HMT products in Rajnandgaon).

Describe the sampling method (probability sampling, e.g., random sampling) and sample size

determination.

Explain how participants will be recruited and approached.

5. Questionnaire Development:

Detail the process of developing the questionnaire.

Outline the structure of the questionnaire, including demographic questions and Likert scale

statements related to price sensitivity, product quality, fashion trends, and brand loyalty.

Discuss the validation process, such as pilot testing and expert review.

6. Data Collection:

Explain the data collection procedure, including online and/or in-person surveys. Address

ethical considerations, such as informed consent and data confidentiality. Describe the

timeline for data collection.

7. Data Analysis:

Outline the data analysis approach, including descriptive statistics and inferential analysis.

Explain how Likert scale responses will be aggregated and analyzed.

Specify the statistical tools or software that will be used (e.g., SPSS, Excel).

8.Results and Discussion:

Present the findings of the data analysis

Interpret the results in the context of the research objectives and relevant literature. Discuss

implications of the findings for HMT and the rice industry.

23
C. DATA COLLECTION

Preparation:

Finalize your questionnaire based on the objectives and literature review.

Prepare any necessary materials, such as consent forms and instructions for participants.

Ensure that you have access to the required data collection tools (e.g., online survey platform,

paper surveys).

Participant Recruitment:

Determine your target sample size based on your research design and statistical

considerations.

Select your sampling method (e.g., random sampling) and identify potential participants

within the Rajnandgaon region.

Reach out to participants through appropriate channels, such as social media, email lists, or

in-person locations.

Informed Consent:

Clearly explain the purpose of the study and what participation entails.

Provide participants with an informed consent form that outlines their rights, anonymity, and

the voluntary nature of their participation.

Obtain participants' consent before they begin the survey.

Data Collection:

Distribute your questionnaire to participants through the chosen method (online survey,

paper-based survey, or a combination).

24
Ensure that participants have a clear understanding of the questions and instructions. Address

any questions they might have.

Encourage honest and thoughtful responses to ensure data accuracy.

Quality Control:

Monitor the data collection process to identify any issues or anomalies.

Conduct periodic checks to ensure that the data is being collected accurately and consistently.

Consider including validation questions or attention checks to assess the reliability of

participants' responses.

Data Recording:

For paper-based surveys, ensure that responses are accurately recorded and organized.

For online surveys, regularly download or export your data to a secure location.

Data Privacy and Security:

Safeguard participants' data by ensuring that it is stored securely and confidentially. Adhere

to data protection and privacy regulations, particularly when collecting sensitive information.

Data Verification:

Double-check the collected data for completeness and accuracy.

Clean the data by addressing any missing or inconsistent responses.

D. DATA ANALYSIS

25
Descriptive analysis is a method used to summarize and describe the main features of a

dataset. In your research on customer behavior towards HMT products in Rajnandgaon,

descriptive analysis will help you present and understand the characteristics of the collected

data. Here's how you can perform descriptive analysis:

1. Data Preparation:

Organize your collected data into a format suitable for analysis.Remove any unnecessary or

irrelevant information that won't contribute to your research objectives.

2. Central Tendency Measures:

Calculate measures that provide insights into the central location of your data

distribution: Median: The middle value that separates the higher half from the lower half

of responses. Mode: The most frequently occurring value in the dataset.

3. Dispersion Measures:

Calculate measures that provide information about the spread or variability of your data:

Range: The difference between the maximum and minimum values.

Variance: The average of the squared differences from the mean.

Standard Deviation: The square root of the variance.

4. Frequency Distribution:

Create frequency distribution tables or histograms to show how often each response or

category appears in your data.For Likert scale questions, display the frequency and

percentage distribution of each response level.

5. Cross-Tabulations:

26
If you have demographic variables (e.g., age, gender) and Likert scale questions, perform

cross-tabulations to see how responses vary across different groups

6. Visualization:

Create graphical representations to visually present your data: Bar charts: Display frequency

distribution for categorical data. Histograms: Show the distribution of continuous data.

Pie charts: Depict the proportion of responses in each category.

7. Interpretation:

Interpret the results of your descriptive analysis in the context of your research objectives.

Discuss the key findings that emerge from the central tendency measures, dispersion

measures, frequency distributions, and cross-tabulations.

Identify any trends, patterns, or variations in the data.

8. Reporting:

Present the results of your descriptive analysis in the "Results and Discussion" section of

your research report.

Use clear tables, charts, and figures to support your explanations.

Highlight the most important findings that contribute to your understanding of customer

behavior towards HMT products in Rajnandgaon

27
 CHAPTER-5
DATA TABULATION, ANALYSIS
AND RESULTS

28
In This Research, The Type Of Analysis Used Is Factor Analysis.
Factor Analysis:- Factor analysis (FA) allows us to simplify a set of complex variables or
items using statistical procedures to explore the underlying dimensions that explain the
relationships between the multiple variables/items. (Nunnally J, Psychometric Theory,
1994) In the literature, the strong association between construct validity and FA is well
documented, as the method provides evidence based on test content and evidence based
on internal structure, key components of construct validity.

Factor analysis uses several assumptions:

The variables’ linear relationships Absence of multicollinearity
Relevance of the variables
The existence of a true correlation between factors and variables.
Therefore, it becomes a statistical technique used to see how a group shares a common
variance.
While it is mostly used in psychological research, it can also be applied in areas like business
and market study to understand customer satisfaction or employee job satisfaction and in
finance, to study the fluctuation of stock prices.

TABLE 1: DISCRIPTIVE STATISTICS

Descriptive statistics are numerical measures used to summarize and describe the main

features of a dataset. They provide a concise overview of the data's characteristics,

helping researchers and analysts understand and interpret the information.

In descriptive statistics, mean and standard deviation of all the variables are taken with

the sample size being 37.

29
TABLE 2 : CORRELATION MATRIX

Correlation is a statistical measure that expresses the extent to which two variables are

linearly related (meaning they change together at a constant rate). It’s a common tool

for describing simple relationships without making a statement about cause and effect.

Correlation between all the variables is calculated in Table 2 describing the relation

between all the variables with each other. Positive value of correlation describes higher

correlation than the negative values.

30
TABLE 3 : COVARIANCE MATRIX

A covariance matrix is a square matrix that summarizes the relationships between

multiple variables in a dataset. It provides information about the degree to which

variables change together, whether they move in the same direction (positive

covariance) or in opposite directions (negative covariance). The diagonal elements of the

covariance matrix represent the variances of individual variables, while the off-diagonal

elements represent the covariances between pairs of variables.

TABLE 4 : COMPONANT SCORE COVARIANCE MATRIX

The component score covariance matrix is a matrix that represents the covariance (or

variances) between factor scores in a factor analysis. Factor scores are estimated

unobservable values that represent the influence of underlying factors on observed

variables. The component score covariance matrix provides insight into the

relationships between these factor scores.

31
TABLE 5 : COMPONANT SCORE COEFFICIENT MATRIX

The component score coefficient matrix, also known as the regression coefficient matrix

or the factor score coefficient matrix, is a matrix used in factor analysis to estimate the

relationships between the observed variables and the latent factors, allowing you to

calculate factor scores for individuals based on their responses to the observed

variables.

32
TABLE 6: COMPONANT TRANSFORMATION MATRIX

The component transformation matrix, also known as the factor transformation matrix

or the rotation matrix, is a matrix used in factor analysis to transform the original

factor loadings from an unrotated or initial solution to a rotated solution. The purpose

of this matrix is to simplify the factor structure, making it easier to interpret and

understand the relationships between the observed variables and the underlying factors.

TABLE 7: ROTATED COMPONANT MATERIX

A rotated component matrix, also known as a rotated factor loading matrix, is a

modified version of the initial component matrix in factor analysis. It is created after

applying a rotation technique to the initial factor loadings. Rotation is used to simplify

the pattern of loadings, enhance the interpretability of the factors, and make the results

more meaningful.

33
TABLE 8 : COMPONANT MATRIX

A component matrix, also known as a factor loading matrix, is a key output in factor

analysis. It displays the relationships between observed variables (also called manifest

variables) and the underlying factors that have been extracted from the data. Each

entry in the matrix represents the strength and direction of the relationship between a

specific observed variable and a specific factor.

34
TABLE 9 : SCREE PLOT

A scree plot is a graphical tool used in factor analysis and principal component analysis

(PCA) to help determine the appropriate number of factors or components to retain.

It's used to visualize the eigenvalues of the factors or components in descending order,

allowing you to identify an "elbow point" where the eigenvalues start to level off. This

point can help you decide how many factors or components to retain, as it indicates the

point of diminishing returns in terms of explained variance.

TABLE 10 : TATAL VARIANCE EXPLAINED

"Total variance explained" refers to the proportion of the total variability in a dataset

that is accounted for by a particular statistical model or set of variables. This concept is

35
commonly used in various statistical analyses, such as factor analysis, principal

component analysis (PCA), linear regression, and more. It helps to quantify how much

of the original variability is captured or explained by the factors, variables, or model

under consideration.

In factor analysis and PCA, the total variance explained is a critical metric for

determining the number of factors or components to retain. The goal is to retain a

sufficient number of factors or components that collectively explain a substantial

portion of the original variability in the data. This table is the total summary of the

analysis done of all the components.

TABLE 11 : COMMUNALITIES

In statistics and factor analysis, "communalities" refer to the proportion of variance in

an observed variable that is accounted for by the underlying factors or constructs. In

other words, communalities represent the common variance shared between each

observed variable and the factors extracted from the factor analysis.

36
TABLE 12 : KMO AND BARTIETT’S TEST

The Kaiser-Meyer-Olkin (KMO) test and Bartlett's test are both commonly used in the

field of multivariate statistics, specifically in the context of factor analysis and principal

component analysis (PCA). They help assess whether a dataset is suitable for these

techniques by evaluating the adequacy of the data's underlying structure.

TABLE 13 : RELIABILITY STATISTICS

Reliability statistics, in the context of research and data analysis, refer to a set of

measures used to assess the consistency, stability, and dependability of a measurement

37
instrument or tool. These statistics provide insights into the extent to which a

measurement accurately and consistently captures the underlying concept it is intended

to measure.

38
 CHAPTER-6

FINDINGS OF THE STUDY

39
1. Price Sensitivity and Perceived Value:

Present the mean and standard deviation of responses related to price sensitivity. Analyze

whether participants consider HMT rice reasonably priced. Discuss the relationship between

price sensitivity and perceived value.

2. Product Quality Perception:

Display the distribution of responses indicating how participants perceive the quality of

HMT rice.

Discuss whether participants view HMT rice as durable and meeting their expectations.

Explore the correlation between perceived product quality and overall satisfaction.

3. Impact of Fashion Trends:

Show the frequency distribution of responses regarding the influence of fashion trends on

participants' rice choices.

Analyze to what extent fashion-forward designs impact the decision to purchase HMT rice.

Discuss whether HMT alignment with fashion trends contributes to a positive brand

perception.

4. Brand Loyalty and Consumer Preferences:

Present the percentage distribution of responses indicating brand loyalty among participants.

Analyze the factors that drive brand loyalty towards HMT rice. Explore whether

participants' preferences align with their brand loyalty.

5. Demographic Influences on Buying Behavior:

40
Cross-tabulate demographic variables (age, gender, income, etc.) with responses related to

different aspects of customer behavior.

Discuss any notable variations in customer behavior based on demographic characteristics.

6. Insights for Marketing Strategies:

Summarize the key findings that offer insights for tailoring marketing strategies to match

consumer preferences.

Recommend strategies that leverage the identified factors influencing customer behavior.

7. Comparisons with Literature:

Compare your findings with the relevant literature you reviewed in your study. Highlight

areas where your findings align with or diverge from existing research.

8. Implications and Recommendations:

Discuss the practical implications of your findings for HMT and the rice industry in

Rajnandgaon. Offer recommendations for HMT to enhance its product offerings, marketing

efforts, and customer engagement based on the study's insights.

41
 CHAPTER-7

RECOMMENDATIONS

42
The recommendations provided are intended to guide HMT efforts in strengthening its

brand presence, enhancing customer satisfaction, and fostering lasting relationships

with its customer base in Rajnandgaon . By aligning its strategies with the identified

consumer preferences, HMT can position itself as a rice brand that truly understands

and caters to the needs and desires of its local audience.

1. Product Quality Enhancement:

Based on the positive correlation between perceived product quality and customer

satisfaction, HMT should continue to prioritize and invest in the quality of its rices products.

Regular quality checks, feedback loops, and improvements in material selection and

manufacturing processes can contribute to maintaining high product standards.

2. Fashion Trend Alignment:

The study indicates that fashion-forward designs influence customer choices HMT should

remain vigilant in tracking and incorporating the latest fashion trends into its rice collections.

3. Customized Marketing Strategies:

Leverage the insights gained from the study to tailor marketing campaigns that resonate with

specific customer segments.

4.Value Communication:

Highlight the value proposition of HMT rice in marketing materials to address price

sensitivity concerns.

5. Loyalty Programs:

43
Develop and promote loyalty programs that reward repeat customers. Such programs could

include discounts, exclusive previews of new collections, or special events.

6. Continuous Consumer Insight.

Establish mechanisms for ongoing customer feedback collection. Regular surveys or

feedback platforms can help HMT stay attuned to changing preferences and trends.

Incorporate consumer insights into product development decisions to align with evolving

customer needs.

7. Community Engagement:

Engage with local communities in Rajnandgaon through social initiatives or events. Building

a strong local presence can strengthen brand loyalty and customer relationships.

8. Sustainability Efforts:

Consider incorporating sustainability initiatives into HMT operations, as environmentally

conscious consumers increasingly value ethical and sustainable practices.

Communicate these initiatives to appeal to eco-conscious customers.

9. Demographic Tailoring:

Utilize the demographic insights to create targeted campaigns that resonate with specific age

groups, genders, and income levels in Rajnandgaon.

10. Monitoring and Adaptation:

- Continuously monitor the effectiveness of implemented strategies using key performance

indicators (KPIs).

44
- Be prepared to adapt strategies based on evolving consumer behaviors and market

dynamics.

45
CHAPTER-8

LIMITATIONS

46
As with any research study, there are certain limitations that should be acknowledged

to provide a balanced understanding of the scope and implications of the findings. This

chapter discusses the limitations encountered during the research process, which may

have influenced the study's outcomes.

1. Sample Representativeness:

Limitation: The study's findings are based on a specific sample of participants from the

Rajnandgaon region. The sample may not fully represent the entire population's diversity,

which could affect the generalizability of the results to a broader audience.

Mitigation: While efforts were made to use a representative sampling method, future research

could involve a larger and more diverse sample to enhance the study's external validity.

2. Self-Report Bias:

Limitation: The study relies on participants' self-reported responses, which might be

influenced by recall bias or social desirability bias.

Mitigation: To mitigate this bias, the survey included clear instructions and emphasized the

importance of honest and thoughtful responses. Including validation questions or employing

mixed-methods research could provide a more comprehensive perspective.

3. Cross-Sectional Nature:

Limitation: The study employed a cross-sectional design, capturing data at a specific point in

time. Longitudinal studies could offer insights into changes in customer behavior over time.

Mitigation: Future research could adopt a longitudinal approach to track changes in customer

behavior and preferences over an extended period.

47
4. Limited Geographic Scope:

Limitation: The study focused specifically on customer behavior towards HMT rices in the

Rajnandgaon region. Findings may not be applicable to other geographical areas with

distinct cultural, economic, and market dynamics.

Mitigation: Replicating the study in different regions with varied demographics could provide

a more comprehensive understanding of customer behavior across different contexts.

5. External Factors Influence:

Limitation: External factors, such as economic conditions, marketing campaigns, and

changes in fashion trends, could influence customer behavior beyond the scope of this study.

Mitigation: While these external factors were not within the study's control, acknowledging

their potential impact contributes to a nuanced interpretation of the findings.

6. Limited Depth in Qualitative Insights:

Limitation: The study primarily focused on quantitative data collected through surveys,

limiting the depth of qualitative insights into participants' motivations and experiences.

Mitigation: Future research could incorporate qualitative methods such as interviews or focus

groups to gain a richer understanding of participants' perspectives.

7. Response Rate:

Limitation: The response rate of participants could affect the representativeness of the sample

and potential response bias.

Mitigation: To enhance the response rate, reminders could be sent to non-respondents and

incentives could be offered to encourage participation.While these limitations may impact the

study's scope and generalizability, they do not negate the valuable insights gained from the

48
research. By acknowledging these limitations, future researchers can refine methodologies

and address potential biases to further enhance the understanding of customer behavior

within the rice industry.

49
 CHAPTER-9

CONCLUSIONS

50
E-commerce is one of the most dynamically growing forms of trade. Consumers can buy

almost anything through the Internet. Several studies show that there is a significantly

increasing popularity of online grocery shopping. There are numerous differences

between online and traditional shopping in this area. In grocery e-shops, consumers

avoid the limitations associated with localization or opening hours. They can buy

products more conveniently and faster. However, the most important advantage of

online grocery shopping in the consumers’ opinion is the possibility of saving time (they

do not have to leave home and wait in long queues). Though, online grocery shopping

poses some risk in incorrectly valuating certain products because of the inadequate

presentation on the website. In addition, online shoppers forego the opportunity of

managing their choices according to the expiry dates of products. It should be noted

that some personal needs are limited during online shopping, such as sensory

stimulation or social needs. Generally, research shows that consumers are satisfied with

their online grocery shopping experiences and their attitudes towards it are positive.

Nevertheless, there are still many consumers who experience apprehension about

electronic payments and sharing their personal information.

51
REFERENCES

52
Citation From Journals:

Ahmad, C.M., Akram, M., 2005. Hand Book on Rice Varieties in Pakistan. Rice Research

Institute, Kala Shah Kaku, p. 66.

Ahmad, I., Akhtar, M., Nazir, M.S., 2002. Seedling age effect on agronomic traits of HMT

385. Pak. J. Biol. Sci. 1, 330e331.

Ahmad, S., Zia-Ul-Haq, M., Imran, M., Iqbal, S., Iqbal, J., Ahmad, M., 2008. Determination

of residual contents of pesticides in rice (Oryza sativa L.) crop from different regions of

Pakistan. Pak. J. Bot. 40, 1253e1257.

Citation From Patent:

Ahmad, A., Tahir, M., Ullah, E., Naeem, M., Ayub, M., Hasseb-ur-Rehman, Talha, M.,

2012. Effect of Silicon and Boron foliar application on yield and quality of rice. Pak.

J. Life Soc. Sci. 10, 161e165.

Ahmad, A., Afzal, M., Ahmad, A.U.H., Tahir, M., 2013. Effect of foliar application of

silicon on yield and quality of rice (Oryza sativa L.). Cercet_ari Agronomiceîn Moldova

3, 21e28.

Akhter, M., Ahmad, M., Ramzan, M., 2007. Effect of photoperiod sensitivity on yield and

other economic traits of new strains of HMT rice (Oryza sativa L.). J. Anim. Plant Sci. 17,

79e82.

Akhter, M., Akhtar, M.S., Rizwan, M., 2014. HMT-515: a new variety with extra long

grain for productivity augmentation in Punjab. Pak. J. Agric. Res. 52, 35e42.

Akhter, M., Mahmood, A., Raza, M.A., Haider, Z., Saleem, U., Bibi, T., 2016. Effect of

transplanting dates on cooking, milling and eating quality parameters of some fine and

coarse grain rice lines. J. Nutr. Food Sci. 6, 5. https://doi.org/10.4172/2155e

9600.1000552.

53
APPENDICES

54
A. RESEARCH PROGRESS REPORT

Project Title: A study on factors influencing towards online buying behavior of

consumer towards grocery with refrence to HMT rice at Rajnandgaon.

Date: August 2023

Introduction: This progress report provides an overview of the current status of the research

project focused on understanding customer behavior towards HMT rice products in the

Rajnandgaon region. The project aims to investigate various aspects of consumer

preferences, perceptions, and decision-making processes within the rice industry.

Objectives: The primary objectives of the research project are as follows: To examine price

sensitivity and perceived value among consumers.

To assess product quality perception and its impact on customer satisfaction. To analyze the

influence of fashion trends on purchasing decisions.

To understand the correlation between brand loyalty and consumer preferences. To

investigate demographic influences on buying behavior.

To provide insights for marketing strategies tailored to consumer behavior.

Progress Overview: As of the current date, the research project has made significant strides

in achieving its objectives:

Literature Review:

The literature review has been completed, summarizing key theories, concepts, and findings

related to customer behavior, brand perception, and factors influencing purchasing decisions

in the rice industry.

55
Questionnaire Development:

The research questionnaire has been designed and validated. The questionnaire includes

Likert scale statements related to price sensitivity, product quality, fashion trends, and brand

loyalty, along with demographic questions.

Data Collection:

Data collection has commenced, utilizing both online and in-person survey methods. Initial

responses have been received, and efforts are ongoing to achieve the desired sample size.

Data Analysis:

While data analysis is yet to be performed, the plan for descriptive analysis has been

outlined. Descriptive statistics will be calculated to summarize the collected data.

Findings and Conclusions:

Findings will be derived from the data analysis and will be structured to align with the

research objectives. The conclusions will provide insights and recommendations based on the

study's outcomes.

Challenges Faced:

Ensuring a diverse and representative sample has proven to be challenging due to logistical

constraints and limited access to certain demographics.

Balancing the need for detailed responses with participant time constraints in the survey.

Next Steps: Moving forward, the research project will proceed with the following steps:

Complete Data Collection:

Continue data collection efforts to achieve the target sample size.

56
Perform Descriptive Analysis:

Conduct descriptive analysis to summarize and interpret the collected data.

Analyze and Interpret Findings:

Analyze the data to draw meaningful insights that align with the research objectives.

Develop Recommendations and Conclusions:

Based on the findings, formulate practical recommendations and conclusions that contribute

to the understanding of customer behavior towards HMT rice.

57
 SURVEY FORM

Dear HMT Rice consumer,

The purpose of this survey is to know the satisfaction level of your online buying &

consumption of HMT rice, from your purchase experiences .

*Whatever information given by you will be kept confdential and will use only for research

purposes.

Kindly fll the form your response is valuable

* Indicates required question

1. Email *

2. Name *

3. Gender *

Mark only one oval.

Male

Female

Prefer not to say

4. Age *

10-20

20-30

30-40

40 Above

58
5. I prefer HMT rice product because of its brand image? *

Strongly agree

Agree

Neutral

Disagree

Strongly Disagree

6. I prefer different types of product while purchasing HMT rice products ?

Strongly disagree

Disagree

Neutral

Agree

Strongly agree

7. I Prefer this product because its easily available ?

Strongly agree

Agree

Neutral

Disagree

Strongly disagree

8. I prefer offers while purchasing HMT rice ? *

Strongly agree

Agree

59
 Neutral

Disagree

Strongly Disagree

9. I prefer HMT rice product because of its advertisement ?

Strongly agree

Agree

Neutral

Disagree

Strongly disagree

10. I prefer HMT rice product due to its availability at online/offline ?

Strongly disagree

Disagree

Neutral

Agree

Strongly agree

11. I prefer HMT rice product due to its offerdable pricing ?

Strongly disagree

Disagree

Neutral

Agree

Strongly agree

60
12. Are you satisfied with HMT rice product ?

Strongly agree

Agree

Neutral

Disagree

Strongly Disagree

61