Annexure-V- Cover Page for Academic Tasks

Course Code: MKT509 Course Title: Consumer Behaviour

Course Instructor: Dr. Pavitar Prakash Singh

Academic Task No.: CA2 Academic Task Title: Report Writing

Date of Allotment: 27-03-21 Date of submission: 08-05-21

Student’s Reg. no: 11711442

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specified at the time of assigning the task by the instructor)

Declaration:

I declare that this Assignment is my individual work. I have not copied it from any other student‟s work
or from any other source except where due acknowledgement is made explicitly in the text, nor has any
part been written for me by any other person.

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Study on Facts driven by Consumer
Behaviour while Purchasing Xiaomi Products

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Introduction:
Nowadays, the role of cell phones has become a daily necessity. All changes to the file technology is
expected to always meet the needs of the people. In this case the cell phone, from the beginning the
advent of mobile phones has been considered a must-have for people so far it has become a necessity.
There have been many changes and advances in technology used in the manufacture of mobile phones
from the beginning both in terms of features, functionality, design, and network used.

International Data Corporation (IDC) International Mobile Tracker, in the second quarter of 2014the
global smartphone market has grown by 25.2% over the year. Motivating power behind smartphone
recording volume it was a joint effort of leading retailers market leaders Samsung and Apple. The next
three vendors Xiaomi, Lenovo, and LG Electronics. all contributed to the growth of hitting the market
with very different strategies.

Xiaomi is one of China's top five smartphone retailers. first with position number 3. Xiaomi has emerged
as a new star in the smartphone world by feature as well Price and one of the most important aspects of
unique and unique marketing strategies are stolen the attention of smartphone users. Xiaomi jumped to
the top 5 for the first time instead of number 3, thanks to its focus on China and nearby markets, which
led to a three-digit growth year-on-year. The key to its success has been the launch of its Mi4 smartphone
in August, which was set as one of the high-end models the current situation. It remains to be seen how
fast the company will go beyond its home base call the volume up. In 2014, Xiaomi announced its
expansion of China for the first time stop in Singapore. The world headquarters will also be built in the
city, which will unite everyone activities that include future product launches.

THEORITICAL Concepts:
Consumer Behavior: Kotler & Keller view consumer behavior as a lesson in how individuals, groups, and
organizations select, purchase, use and dispose of goods, services, ideas, or experiences to satisfy needs
and requirements. Consumer behavior includes the use and disposal of products and learning how to
purchase them. Consumer behavior includes services and ideas as well as visual products. In this process
the process of the consumer analyzes the purchase identified by the need to identify the need for the
difference between the desired condition that serves as the starting point for the entire process of use. The
researcher described the behavior of consumers in a study of individuals, groups, or organizations and the
processes they use select, protect, use, dispose of products, services, experience, or ideas to satisfy the
needs and implications of the consumer and community processes.

Consumer Behavior Process: Kotler and KellerThe Engle, Kollat and Blackwell model shows consumers
buying-decision process, based on the basic of consumer psychology that reviewd play an important role in
consumers actual buying decision. It indicates that consumers pass through five stages: problem recognition,
information search, evaluation of alternatives, purchase decision, and post purchase behavior. Clearly the buying
process starts long before the actual and has consequences long afterward. All five stages-they may skip or reverse

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some. For example when you buy your regular brand of toothpaste, you go directly from the need to the purchase
decision, skipping information research and evaluation, and going directly from the problem recognition to the
purchase decision.

The Influence of Culture towards Consumer Purchase Decisions:

In India, groups of people having Xiaomi phones are increasing.That are having xiaomi product. This is
because they don't know yet about this brand the gathered, but not talking or sharing about this product.
That's why hard to identify the dominant group of people that using this product because of this product.
So operated randomly social classes, People from different social classes tend to have different Desires in
consumption patterns.

Disparity is resulting from the difference, in the purchasing power but not only researchers found out that
behavior and buying habits would also be a way of identification and belonging to its social class. He
found the effect of culture doesn't really have the positive effect because the etnics group information. In
India, most of Chinese mobile phones are dominated by the lower-middle economic class people. That's

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why I based on this perception, it's hard for xiaomi to attract people in India. Because Charmaine Chinese
smartphones, but the prices are for upper-middle-class economic class. The upper-middle economic class
people in China prefer to use the Branded products Like something an apple that's why show me hard
adopt with culture in India. The xiaomi has less significant value in consumer, purchase decision.

The Influence of Social Factors : Social in India, the social factors the factor that are most
influencing by family and friends to make consumer purchase decision because family are the closest
people that is trusted. For example, one member of the family by a smartphone. And introduce about this
product, the benefit of this product, the price, and Etc. He or she are very satisfied about the product, then
the other member of family interest to buy the because of the experience. Social factors are most
influential factors towards consumer, purchase, Behavior, because of the Billy, from the closest people
around that can be trusted and make consumer. Make the Assumption of the rational expectation model.

The Influence of Personal Factors: Xiaomi products in India that dominates in the purchase of these
products in people at the age of 21 to 35 years, people had this HR the type of person who often follow
the trend in buying something, especially the trend towards technology, especially smartphones. And at
this age, typically have a high sense of curiosity towards new products because of this age Factor
significantly affect purchasing decisions. Xiaomi in India Influence because of Lifestyle on mobile
phone, very large because the mobile phone is very important support the life. The smartphone that
support their lifestyle. It has a very positive influence in consumer process decisions because majority of
their Indians are going towards buying Xiaomi phones.

The Influence of Psychological factors Towards Purchasing decisions: The Promotional and
advertising in India. Is somewhat lacked compared to other competitors, this because Xiaomi focus on
online sale. So that advertising and promotion physically in India, cannot be seen that much as their
competitors. Where, as one of the important factors that influence the motivation in making purchasing
decision on product is promotion and advertising that are in the physically. Ways from here, it can be
seen that. There is a positive motivation for purchasing decision xiaomi in India because of the factors.
Xiaomi should. Develop an original algorithm of sentiment analysis to extract, emotion from their online
consumer opinions. So, they can have better penetration in the market.

For the people who sell those products, what this means is that traditional goods such as brand name,
reliability and price and other qualities that consumers use to make quality, are becoming less and less
important. Stanford professor Itamar Simonson and his co-author Emanuel Rosen put this point well in
their book entitled 'Absolute Value' in which they see that if consumers can make sense of product
quality, they do not have to rely on brand name or vendor recommendations.

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This is a feature that seems to have worked well for Xiaomi, as we do at countless hotels with small
names, restaurants and other places that have been successful in their market due to glamorous reviews
on websites like Tripadvisor and Zomato. A quick tutorial for product managers? If your category attracts
more customer reviews, focus on the reviews more than you do in your advertising. HTC even launched a
campaign armed with this study! Many guidelines follow later in this post.

Indian Market Overview:

India is one of the fastest growing economies everywhere in the world and aa live sample describing the
development of the telecommunications business development in India, especially in the field of mobile
books. There is a continuous increase in understanding cash flow; there has been a strong movement in
the attitude and eagerness of consumers. Mobile phones have become an integral part of personal and
business life. Time progression for the use of a cell phone is a tangible reality that falls across all age and
regulatory limits. Due to the fierce controversy in the field of mobile bookstores there has always been a
need for research know how the buyer is progressing at the time of purchase. India is now second in size
the mobile phone market on the planet and speaks the truth to become the most important business sector.
The popularity of mobile phones is growing, the mobile market in India is being tested made 14.7% of
the 2013 cash-related expenditure to affect Rs. 35,946 pounds, as indicated by Voice & Data Survey
compared to Rs.31,330 crore for cash related in 2012. Older Indian buyers amplifying their high trend of
mobile phones and the number of young people wishing to use mobile web development that could see
mobile markets revenue coming from.

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 Fig. Attributes In Smartphones

Ad Campaigns by MI :

Conclusions:
The paper focuses on Xiaomi, a promising rival to smart phones worldwide sector. Although Xiaomi has
only a short history, its performance has been unique as well Notable According to Lei Jun, "2014 was a
milestone in Xiaomi's history development. It changed their position in the industry from a rival to one of

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the defenders being chased by the whole industry. ” Recently, the sale of smart phones has increased the
product at a fair price like OPPO, Xiaomi and Zenfone (Asus). According to the survey, customers look
at the features described above some features of the phone which is why the elements have to pay close
attention which makes these features improved. Xiaomi, as an international organization emerging in the
Indian market, adopted a different product as well price strategies. The product has been able to create a
competitive product with the price in terms of low price and high-quality products. New products were
thrown at almost cost. This is possible based on its durability and longevity of life product. The
integration of software, hardware and networks can be a catch-all weapon An apple. In Lei Jun's view,
"Xiaomi is a national brand of electronics brand, the founder of the smart home ecology, and the
responsibility for internet and mobile content. ”Needless to say, this is the case Xiaomi's goals, though
not yet fully realized. Xiaomi's advertising exposure was less effective compared to Samsung. Xiaomi is
welcome a few marketing costs in China, which increase efficiency through social media and viruses
marketing. In India, corporate marketing and promotional methods are different.

These are off-line marketing efforts and focus on customer performance, such as the previous release of
new phone models in India for the first time anywhere in the world, a policy of repatriation and use is
being develop newsprint advertising. Xiaomi has expanded to India via the same online distribution
channel, as we have used in China. The distribution network involved working with Indian online
shopping options including FlipKart, SnapDeal and Paytm. In addition, smart phones are sold through
companies themselves online marketing platform. Over time, the distribution strategy changed with
offline presentation a distribution station to meet the business environment in India.

Recommendation:
XIAOMI (MI) Smartphone Company in India should focus on the quality of their product and brand
image as a consumer is highly discriminated against by these things while buying a smart phone. See
should improve the performance of Smart phones depending on product quality such as functionality,
simplicity of usability, reliability, durability, design, eco-friendly and perfection. Because it's important
to develop good product qualities to gain customer loyalty with regard to Smart phones. It should spend a
lot of money on advertising and promotions that should also be involved sticks to the consumer at an
emotional level that will help them reach a wider audience and this will do and empowers the external
object to the consumer when making decisions. The Company should also unveil more smart phone with
customary quality for lower classes as this will benefit the company to reach more consumer as lower
classes population in country are high. Companies should also focus on tie-up with mobile network
companies for mid-range smart phone. This will be advantageous for companies and for the consumers,
in general.

Refrences:

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1. J.P. Sjamsoedin. D.P.E. Saerang. Analyzing Customer Perception on product attributes Of smartphone (oppo,
xiaomi, zenfone) in manado, Jurnal EMBA Vol.2 No.4 Desember 2014, Hal. 798-799, Available from: URL:
https://ejournal.unsrat.ac.id/index.php/emba/article/viewFile/6470/5997

2. www.mi.com 3. Hyun, J. H. “Emerging Multinationals in Emerging Markets: Xiaomi Experience in the Indian
Smartphone Market”. 2017(Cited 2018 April 28). Available from: URL: http://www.eamsa.org/wp/wp-
content/uploads/2016/10/2_fjtgj.pdf

3. Xu, Fangqi. “A Smartphone Challenger’s Competitive Strategy: The Case of Xiaomi”. 2015 (Cited 2018 April
20) Available from: URL: https://www.kindai.ac.jp/rd/researchcenter/management-innovation/download-
data/vol3_7.pdf

4. Kotler, P., & Keller. L. K. Marketing Management. 14th Edition. Pearson Education Limited. England. 2012

5. https://en.wikipedia.org/wiki/Xiaomi