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- Kỷ yếu H ội th ảo qu ốc t ế “Th ươ ng m ại và phân ph ối” l ần 1 n ăm 2018 THE EFFECT OF MARKETING MIX ON PURCHASE DECISION OF FRESH FOOD ON CONSUMERS IN SUPERMARKETS SYSTEM IN QUY NHON CITY ẢNH H ƯỞNG C ỦA MARKETING H ỖN H ỢP ĐẾN QUY ẾT ĐỊNH MUA TH ỰC PH ẨM TƯƠ I S ỐNG C ỦA NG ƯỜI TIÊU DÙNG Ở HỆ TH ỐNG CÁC SIÊU TH Ị TẠI THÀNH PH Ố QUY NH ƠN Th.S Lê Th ỵ Hà Vân Khoa Kinh t ế & K ế toán - Đại h ọc Quy Nh ơn Email: lethyhavan@qnu.edu.vn Abstract The study of consumer behavior, especially factors influencing the purchase decision of consumers plays an important role for all businesses. In terms of many factors affecting purchase decision, the research of the effect of marketing mix factors including product, price, place, and promotion are particularly concerned because the results that they bring allow manufacturers to adjust directly on the products so that they best suit the customer's expectations. This study aims to describe the impact of the marketing mix on purchase decision of fresh food on the three groups of consumers with different income (lower, middle, and upper groups) in the system of supermarkets in Quy Nhon City. The study uses the Structural Equation Modeling (SEM) with the help of SPSS and AMOS software. The result of data analysis from 312 surveys showed that price, product and place affect the purchase decision of customers in which price has a strong influence on lower-income group, while product significantly affects the purchase decision of upper-income group. Place does not affect all three groups. The study results may suggest to the managers about the change in the marketing mix strategy for fresh food in order to increase firm performance for supermarkets in the region. Keywords: fresh food, marketing mix, purchase decision, price, product, place, promotion, SEM. Tóm t ắt Nghiên c ứu hành vi ng ười tiêu dùng, đặc bi ệt nghiên c ứu nh ững nhân t ố ảnh h ưởng đến quy ết định mua hàng c ủa ng ười tiêu dùng là m ột ho ạt động đóng vai trò vô cùng quan tr ọng đối v ới t ất c ả các doanh nghi ệp. Trong s ố nhi ều nhân t ố có ảnh h ưởng đến quy ết định mua hàng, các nghiên c ứu v ề ảnh h ưởng c ủa nhóm nhân tố marketing h ỗn h ợp bao g ồm s ản ph ẩm, giá c ả, phân ph ối và xúc ti ến th ươ ng m ại được đặc bi ệt quan tâm vì kết qu ả mà chúng mang l ại cho phép nhà s ản xu ất điều ch ỉnh tr ực ti ếp trên chính s ản ph ẩm sao cho phù h ợp nh ất v ới k ỳ vọng c ủa khách hàng. Nghiên c ứu này có m ục đích mô t ả ảnh h ưởng c ủa marketing h ỗn h ợp đến quy ết định mua th ực ph ẩm t ươ i s ống c ủa ba nhóm ng ười tiêu dùng có m ức thu nh ập khác nhau (th ấp, trung bình, cao) ở hệ th ống các siêu th ị trên địa bàn thành ph ố Quy Nh ơn. Nghiên c ứu s ử dụng mô hình tuy ến tính cấu trúc SEM v ới s ự tr ợ giúp c ủa ph ần m ềm SPSS và AMOS. Kết qu ả phân tích d ữ li ệu t ừ 312 phi ếu kh ảo sát cho th ấy giá c ả, s ản ph ẩm và n ơi bán có ảnh h ưởng đến quy ết định mua th ực ph ẩm t ươ i s ống c ủa ng ười tiêu dùng trên địa bàn nghiên c ứu, trong đó giá c ả có ảnh h ưởng mạnh đến nhóm thu nh ập th ấp, trong khi s ản ph ẩm có ảnh h ưởng đáng k ể đến quy ết định mua c ủa nhóm thu nh ập cao. N ơi bán không ảnh h ưởng đến c ả ba nhóm thu nh ập th ấp, trung bình và cao. Kết qu ả nghiên c ứu có th ể gợi ý cho nhà qu ản lý v ề sự thay đổi trong chi ến lược marketing h ỗn h ợp đối v ới m ặt hàng th ực ph ẩm t ươ i s ống nh ằm t ăng hi ệu qu ả kinh doanh cho h ệ th ống siêu th ị trên địa bàn nghiên c ứu. Từ khóa: th ực ph ẩm t ươ i s ống, marketing h ỗn h ợp, quy ết định mua hàng, giá, s ản ph ẩm, n ơi bán, xúc ti ến th ươ ng m ại. 1. Introduction Marketing research plays a very important role in business activities of enterprises. Accordingly, identifying the factors influencing consumers' purchase decisions gives enterprises an overview of consumer behaviors as well as the effectiveness of sales and after-sales activities. From the result of marketing research, enterprises implement to change marketing strategy to attract customers more effectively. In the world, there have been many studies studied about the models of 594
- Kỷ yếu H ội th ảo qu ốc t ế “Th ươ ng m ại và phân ph ối” l ần 1 n ăm 2018 factors affecting the decision-making process of consumers, such as the studies conducted by (Kemppi 2016), (Nawawi 2016) showed that there are four main groups of factors including cultural, social, personal and psychological affecting the consumers' purchase decision. (Sata 2013) suggested a framework of 6 factors including price, social group, product features, brand name, durability and after sales services influencing mobile phone purchase decisions of customers. In another study, (Lautiainen 2015) tried to explain the effects of three factors consisting social, personal, psychological on consumers' purchase decisions in the selection of a coffee brand. The study which was conducted by (Ramya and Ali 2016) on factors affecting customer buying behavior also coincided with some previous research when it supposed that psychological, social, cultural, economic and personal factors affect the purchase decision of the consumers. (Yu-Jing Chiu et al. 2006) said that customer buying- factors including price, quality, resolution of kinescope, low radiation are four features affect the LCD TV purchase decision. (Pan and Zinkhan 2006) asserted that service, product selection, quality are factors influencing shopper retail choice in while store attitude, store image are antecedents of regular purchase behavior. These studies have made many certain contributions on theory and practice which have provided useful information and predicted to some extent customer's consumer behavior, since then they suggested enterprises about the appropriate business strategy. However, the author finds that there is little research focused on the direct influence of the marketing mix and sales on consumers' purchase decisions, mainly on studies finding out how of consumer behavior affects their purchase decision. In the study of (Ramya and Ali 2016), the authors pointed out that the group of marketing factors such as product, price, place, promotion and other stimuli such as political, economic, social and technological have a direct impact on the Buyer's Black Box; therefore, it has indirectly influencing consumers' purchase decision. Nevertheless, the study terminated at giving the model of consumer behavior and it did not measure the direct influence of the marketing factors on the purchase decision. In fact, the marketing is a very powerful business tool that determines the success of selling products to the market. The study of (Sunardi et al. 2016) which used structural equation modeling (SEM) assessing the impact of marketing mix to purchase decision of growing up milk on customers found that marketing factors including price, product, place and promotion have different effects on the purchase decision across three groups of different income levels in which place and promotion hardly affect almost all groups surveyed. From here, the author finds that studies on the influence of marketing factors on consumers' purchase decision are still quite simple and have not been properly considered. This research is conducted to analyze the influence of marketing mix factors on consumers' purchase decision of fresh food in supermarkets system in Quy Nhon City, Vietnam. The author wants to point out the direct relationship between marketing factors and consumers' purchase decision and which factors have a strong influence on the purchase decision of customers. From there, the author supposes some recommendations on business strategy for managers in order to improve firm performance for their supermarkets. The study also performed the analysis on three different income groups among the respondents including lower-income group, middle-income group and upper-income group in order to show the differences in the impact of marketing mix factors on purchase decision of them. This article is divided into five sections. Section 1 is introduction, section 2 presents the theoretical framework and hypothesis development, section 3 presents research method, Section 4 discusses the results and discussions. Finally, section 5 presents the conclusions, recommendations and limitation of the study. 595
- Kỷ yếu H ội th ảo qu ốc t ế “Th ươ ng m ại và phân ph ối” l ần 1 n ăm 2018 2. Theoretical framework and hypothesis development 2.1. The concepts Marketing mix According to (Junio Andreti et al. 2013), marketing mix is a strategy before launching any new product or service, consist of four variables (price, product, place and promotion) which help in smoothing the strategic decision necessary for an organization. Another definition of marketing mix is integrating the company’s offers and access, which consist of products, prices, channel distributions, and communications. Product Product is anything that offer to market to get some attention, acquisition, or consumption including physical objects, services, personalities, organizations and desires. Several things such as goods, services, or ideas that offering for the satisfaction of consumer, includes needs and requirements. Price Price is amount of money that has to pay by consumer to get the product or service. An element that affecting the volume of sales and includes determining pricing objectives and policies, price fixation, discount policy, credit policy, and so on. Place Place sometimes called as distribution, including company activities that use to ensure the availability of the product which later will deliver to the consumers in the proper quantity at he right time at the right place. Refers to the way of placing products and services within the reach of consumer. Promotion Promotion is communication by marketers that informs, persuades, and reminds potential buyers of a product in order to influence their opinion. Promotion is also marketing and communication activities which later can change the price-value relationship of product or service that perceived by target. In this study, the author mentions the phrase of "the purchase decision" many times. It is a short expression of the customers' purchase decision of fresh food in supermarkets system in Quy Nhon city. 2.2. Research hypothesis 2.2.1. Product and purchase decision According to (Rezky Purna Satit et al. 2012), product is one of the strongest predictors, there are two perceptions that will lead to high levels of purchase intention and repeat buying at the final, those perceptions are high product quality and high customer satisfaction. In another sutdy, (Pan and Zinkhan 2006) said that product quality shapes retailers’ reputation and influences consumer buying decision at stores. (Chaudhuri and Ligas 2009) suggested that product value is positively correlated to purchase behavior and customer loyalty in the retail sector. In some research, consumers tend to evaluate various dimensions of food products to make their purchase decision. (Nevin Sanlier et al. 2010) revealed that Turkish consumers are concerned about food nutrition and safety when shopping at supermarket. Consumer attitudes about nutrition and purchasing knowledge, food safety and quality and alike change demographics affect the buyer policies. Beside that the need of the development of technology, improving transportation infrastructure, and increasing market competition resulted in retailers’ need to supply a variety of products to satisfy customers’ demands (Lee 2014). In the study "The investigation of determinants of fresh fish purchasing behavior among Malaysian consumers", 596
- Kỷ yếu H ội th ảo qu ốc t ế “Th ươ ng m ại và phân ph ối” l ần 1 n ăm 2018 (Abdullahi Farah Ahmed et al. 2011) revealed that taste and the nutritional value of fish are factors that the consumers consider when making fish purchases. There exists a positive relationship between image of private brands and purchase intention for a private label brand. Mental image from products affects their purchase intention for a private label brand. Further, to what extent products are close to mental image of individuals, this would directly affect products' purchase (Karampour and Ahmadinejad 2014). The results of (Darian and Tucci 2011) confirmed that the single most important health benefit influencing purchase intentions is high nutritional value. Moreover, the scholars typically identify food label and package as important determinants of consumer purchasing decision. Therefore, the first research hypothesis is proposed: H1: Product has an influence on the customers' purchase decision of fresh food. 2.2.2. Price and purchase decision (Ingrid HM Steenhuis et al. 2011) said that price is an important factor in food choice, especially for low-income consumers. Low-income consumers were significantly more conscious of value and price than higher-income consumers and they differ in their preferences for pricing strategies. (Abdullahi Farah Ahmed et al. 2011) suggested that price will play an important role in attracting more consumers to consume more fish or to purchase fish more frequently. It can be hypothesized that consumers are willing to pay more for fish, but if the price is too much higher in comparison to poultry, beef, mutton, and pork, consumers will find alternatives to satisfy their needs and wants. (Maria Pilar Martínez ruiz et al. 2010) also suggested that good prices, which constitute part of the convenience factor revealling a higher awareness of customer attention. In another research, (Zhu Bing et al. 2011) found that consumers in Shanghai are able to purchase green‐labeled food from different supermarkets where discount campaigns have made price different. The supermarkets would benefit from offering low price through which they would get more customers. For consumers, price differences become a major factor for their purchase of green ‐ labeled food. In reality, consumers most likely will make a buying decision for those green ‐ labeled foods with low price comparatively. According to (Chaudhuri and Ligas 2009), a scenario of good perceived value, in terms of the benefits and costs being equal as expected, will lead to a simple interest in rebuying from the store in the future (repurchase loyalty). A related cause of concern is food price volatility. Volatility in food prices and income may translate into uncertainty in food consumption and caloric intake (Monika Kavaliauske et al. 2014). Given the importance of cost saving consumers evaluate and compare price during the process of food purchasing (Nevin Sanlier et al. 2010). Therefore, the second research hypothesis is proposed: H2: Price has an influence on the customers' purchase decision of fresh food. 2.2.3. Place and purchase decision According to (Behera and Mishra 2017), there were significant main effects of store layout and location impacting consumer purchase decision in retail. The results signify that store location as an important aspect of consumer purchase decision is the interplay of essential factor combinations. Data analysis confirms crucial factors related to store location are location convenience, store accessibility and availability of public transport, multi store locations and store visibility from traffic point. In the research of (Lee 2014) in assessing the challenge of retailer in Vietnam, the author showed that some respondents said that the transportation improvement in Vietnam has contributed to market accessibility for consumers. (Elaine Sherman et al. 1997) said that the environment in the store and the emotional state of consumers may be important determinants of purchase decision. There exists a positive relationship between mental image of store and purchase decision for a private label brand. (Karampour and Ahmadinejad 2014). In another study, (Maria Pilar Martínez ruiz et al. 2010) said that the location of stores significantly affects the purchase decision of customers in private-label food stores. (Singla and Rai 2016) found that their results also emphasize the particular relevance of environmental factors such as availability of open spaces which enrich the shopping experience by providing pleasant atmosphere, the closeness with other retail stores, parking space, and the distance. 597
- Kỷ yếu H ội th ảo qu ốc t ế “Th ươ ng m ại và phân ph ối” l ần 1 n ăm 2018 Whether the store is away from city or not? These factors played significant role in influencing store attractiveness; therefore, they indirectly affected to purchase decision of customers. Therefore, the third research hypothesis is proposed: H3: Place has an influence on the customers' purchase decision of fresh food. 2.2.4. Promotion and purchase decision (Shuling Liao et al. 2013) found that both sales promotion strategy and its interaction effects with product appeal are found to have significant influences on reminder impulse buying. Specifically, an instant-reward promotion promotes stronger reminder impulse buying than a delayed- reward promotion. Furthermore, both a utilitarian product appeal with a price discount promotion and a hedonic product appeal with a premium promotion can encourage greater buying decision. According to (Fazal ur Rehman et al. 2017), sales promotion has positive effects on the buying behavior of consumers in the fashion cloth industry of Pakistan. It has also been noted that physical attraction in sale promotion activities are the important aspects to be considered as a part of marketing strategies to fulfill the business objectives. (Shamout 2016) has conducted a study to assess the impacts of promotional tools on the consumers’ buying behavior in retail market. The study has noted that sales promotion has an influence on the consumers’ buying behavior like purchase time, product brand, quantity and brand switching. Therefore, the fourth research hypothesis is proposed: H4: Promotion has an influence on the customers' purchase decision of fresh food. 3. Research method The research subjects in this paper are households in Quy Nhon city that purchased fresh food at the supermarkets system of the city in the last three months. 3.1. Scale design In this study, marketing mix (4Ps) corresponding to four independent variables that are included in the study are Product (labelled PD), Price (labelled PR), Place (labelled PL), Promotion (labelled PM). Each independent variable was developed into a number of items. All the items were included in the questionnaire survey with the Likert scale of 5 levels which indicate the level of agreement of the respondents with the statements. In particular: (1) Completely disagree; (2) Do not agree; (3) Be neutral; (4) Agree and (5) Completely agree. The scale measuring independent variables after construction consists of 27 items in which PD consists of 7 items, PR consists of 6 items, PL consists of 7 items and PM consists of 7 items. The dependent variable scale consists of 6 items. Typically, each research variable requires at least 3 items or more. Models using only two items for each independent variable will have standard error estimates that are unreliable (Sunardi et al. 2016). In this paper, all research variables are composed of at least 6 itemsitems. The scale of variables in this study was inherited from the scale in the previous studies such as (Junio Andreti et al. 2013), (Pan and Zinkhan 2006), (Thi 2016), (Adilson Anacleto et al. 2015), which were relatively closed to this paper. In addition, the author removes the questions that are not relevant to the research context of this paper and adds other necessary items which is appropriate with food purchase behaviors. 3.2. Research process The completed research questionnaire was sent to three experts who are lecturers with long- term experience in quantitative analysis field in order to adjust the content and help the respondents not get misunderstanding with the questions. The research used the convenient sampling method. The subjects surveyed included many different occupations: public servants, public officials, businessmen, unskilled laborers, students. The author sent the questionnaire to respondents in two forms: emailing (for public servants and public officials) and issuing questionnaires (for other subjects). The number of questionnaires which sent by email were 300 questionnaires and the number of questionnaires which directly issued were 200 questionnaires. The number of questionnaires received through emails were 598
- Kỷ yếu H ội th ảo qu ốc t ế “Th ươ ng m ại và phân ph ối” l ần 1 n ăm 2018 195, while the number of questionnaires received by the other method was 181. These questionnaires after responded and cleaned by eliminating unsuitable votes (including multiple blank slots, only one answer for all questions) was 345. Descriptive statistics show that in terms of 345 valid responses, only 312 people have shopped for fresh food at supermarkets in the last three months, and 33 people have not. Thus the final sample size used for analysis in the article is 312. The author conducts factor analysis and structural equation modeling analysis on the sample of 312. 4. Results and discussions This study aims to implement the SEM model and multi group analysis (MGA) so it is interested to the structure of scale and to discriminant validity between the factors; therefore, the author performs exploratory factor analysis (EFA) with features below. ° Use the principal axis factoring extraction method with Promax rotation. ° The maximum loading factor of each item must be greater or equal 0.5. ° At each item, the difference of the maximum loading factor and any loading factor must be greater than or equal to 0.3. ° The total variance explained must be greater than or equal to 50%. ° The Kaiser-Meyer-Olkin index (KMO) must be greater or equal 0.5 with Sig. less than 0.05. Table 1: Pattern Matrix a Factor 1 2 3 4 PR1 .837 PR2 .827 PR3 .818 PR4 .811 PR5 .761 PD2 .767 PD3 .685 PD5 .616 PD1 .611 PD4 .555 PL3 .801 PL4 .701 PL1 .652 PL2 .605 PM2 .636 PM3 .583 PM4 .568 Extraction Method: Principal Axis Factoring. Rotation Method: Promax with Kaiser Normalization. a. Rotation converged in 5 iterations. Source: Author's calculation 599
- Kỷ yếu H ội th ảo qu ốc t ế “Th ươ ng m ại và phân ph ối” l ần 1 n ăm 2018 After eliminating the items which are not reach the demand, the result of the last EFA for independent factors remains 4 factors which are the same with author's expectation with 17 items in which each independent factor having at least 3 items. The result of exploratory factor analysis for independent factors is given in the Table 1 (The pattern matrix). The total variance explained is 51.11%, the Kaiser-Meyer-Olkin index (KMO) is 0.848; the Bartlett test has Sig. = 0.000 which is less than 0.05. The four independent factors obtained after the EFA are also denoted by PR (Price), PD (Product), PL (Place) and PM (Promotion) corresponding to the four categories marketing mix. Exploratory factor analysis is also performed with dependent factor (including 6 items). After eliminating 2 loading factors (PDE1, PDE2) which are not reach the demand (loading factor less than 0.5), there is a dependent factor that is extracted with four items including PDE3, PDE4, PDE5, and PDE6. The EFA result for the dependent component is appropriate because the total variance explained is 56.49%, the Kaiser-Meyer-Olkin index (KMO) equal 0.728, the Bartlett test has Sig. = 0.000 which is less than 0.05. The results of EFA implementation for independent and dependent components provide scales which construct the measurement model to measure the concepts in this study. The author starts evaluating the scales to assess whether the scales built up above are really good scales or not. To assess the reliability of the scales, the author uses the Cronbach's Alpha coefficient. Cronbach's Alpha is calculated separately for each dependent and independent factor. The Cronbach's Alpha results for the four independent factors including PR, PD, PL, PM and the dependent factor PDE are 0.904, 0.788, 0.789, 0.608, and 0.730, respectively. The item-total correlations of the scales are higher than allowed (greater than the cut-off value 0.3). As a result, all of the scales achieve reliability. Convergent validity test and discriminant validity test On the measurement model, the author's calculation showed that all standardized regression weights are greater than 0.5; therefore, the scales reach convergent validity. On the Pattern matrix (Table 1) , the cross-loadings which are less than 0.3 are eliminated. It means that the scales reach the discriminant validity. The test of correlation coefficients between the independent factors on SPSS (Table 2 ) also confirmed this because all of the correlation coefficients are less than 0.7. Table 2: Factor Correlation Matrix Factor PR PD PL PM PR 1.000 .351 .395 .327 PD .351 1.000 .430 .227 PL .395 .430 1.000 .260 PM .327 .227 .260 1.000 Extraction Method: Principal Axis Factoring. Rotation Method: Promax with Kaiser Normalization. Source: Author's calculation The author builds the Structural Equation Modeling (SEM) below in Figure 1 . The results of the Structural Equation Modeling are also showed in the Figure 1 . 600
- Kỷ yếu H ội th ảo qu ốc t ế “Th ươ ng m ại và phân ph ối” l ần 1 n ăm 2018 Figure 1: The results of the Structural Equation Modeling (SEM) Source: Author's calculation The main indices of the model are Chi-square/df = 1.956 (less than 2), GFI = 0.904 (greater than 0.9), TLI = 0.916 (greater than 0.9); CFI = 0.928 (greater than 0.9), RMSEA = 0.055 (less than 0.08); therefore, the model is quite good and suitable for market data. The results of the regression model in the Table 3 and Table 4 showed that there are three independent variables including PR(Price), PD(Product) and PL(Place) affecting the dependent variable PDE (Purchase Decision) in which PR and PD affect PDE with significance levels Sig. are very small (less than 0.01) while PL affects PDE with significance level Sig. = 0.099 less than 0.1. PR is considered to be the most influential factor in the dependent variable PDE. Table 3: The result of regression model Table 4: The standardized regression weights Source: Author's calculation Source: Author's calculation All of the standardized regression weights are positive; therefore, PR, PD and PL all have positive influence on customers' purchase decision of fresh food. The regression result in this paper is similar to the results from a number of previous studies such as (Sunardi et al. 2016), (Ingrid HM Steenhuis et al. 2011). 601
- Kỷ yếu H ội th ảo qu ốc t ế “Th ươ ng m ại và phân ph ối” l ần 1 n ăm 2018 The order of influence level of the factors on the customers' purchase decision as follows. Firstly, PR (price) has the strongest positive impact on the purchase decision of fresh food with β = 0.268 (with significance level Sig. less than 0.01). The research result again confirms the important role of price to the purchase decision of customers. In a recent study of (Ingrid HM Steenhuis et al. 2011), their result showed that price is an important factor in food choice, especially for low-income consumers. (Maria Pilar Martínez ruiz et al. 2010) also suggested that good prices, which constitute part of the convenience factor reveal a higher awareness of customer attention. Secondly, PD (product) has the second strongest positive impact on the purchase decision of fresh food with β = 0.239 (with significance level Sig. less than 0.01). The result is also true for the initial expectation of the author and coincides with the research results of (Pan and Zinkhan 2006). In this study, the authors asserted that product quality shapes retailers’ reputation and influences consumer buying decision at stores. The result in the study of (Nevin Sanlier et al. 2010) revealed that Turkish consumers are concerned about the product quality which is food nutrition. (Lee 2014) and (Abdullahi Farah Ahmed et al. 2011) also suggested that the diversity of product as well as the nutrition value are factors that the consumers consider when making purchases. Thirdly, place has the third strongest positive impact on the purchase decision of fresh food with β = 0.114 (with significance level Sig. less than 0.1). In fact, in the study of (Behera and Mishra 2017), the authors asserted that there were significant main effects of store layout and location impacting consumer purchase decision in retail. This also coincides to many previous studies. For example, (Maria Pilar Martínez ruiz et al. 2010) said that the location of stores significantly affects the purchase decision of customers in private-label food stores or (Elaine Sherman et al. 1997) said that the environment in the store may be an important determinant of purchase decision. R-Squared is 0.322. This indicates that the significant independent variables in the model consisting PR(Product), PD(Product) and PL(Place) explained 32.2% of variation in the dependent variable PDE (Purchase Decision). Bootstrap test To assess the reliability of the estimate results, many quantitative models divided sample into two sub-samples. Half used to estimate the parameters of the model, half for re-evaluation. Because the structural equation model (SEM) in this paper has a limited sample size (312 observations), the author performed a Bootstrap test with 200 other samples from the original data by iterative method. The difference between the mean of the Bootstrap estimates and the estimates of the original model (SEM) is called Bias. The absolute value of these deviations is as small as possible. The table of Bias from Bootstrap test given below in Table 5. The CR value is defined as the ratio of Bias and SE-Bias. CR less than 2 is considered very good. From the Bootstrap test results, it is obvious that all CR values are less than 2, so the deviation is very small and not significant at the confidence level of 95%. Therefore, the estimate results in the SEM model are reliable. 602
- Kỷ yếu H ội th ảo qu ốc t ế “Th ươ ng m ại và phân ph ối” l ần 1 n ăm 2018 Table 5: The result of Bootstrap test Source: Author's calculation Multi groups analysis (MGA) In the remainder of this paper, the author performed multi groups analysis (MGA) to measure the effect of marketing mix on the customers' purchase decision of fresh food in the supermarkets system in Quy Nhon City among three different income groups. There is no precise definition of lower, middle and upper income levels for a population group. In this study, the author used three levels of income based on the current minimum wage (MW). This method was used in an article which was studied about marketing of (Sunardi et al. 2016). Therefore, the author defines lower, middle and upper income levels in this study as follow. Table 6: The three income groups Lower-income group less than 3,090,000 VND/month Middle-income group from 3,090,000 to 6,180,000 VND/month Upper-income group more than 6,180,000 VND/month Source: Author's calculation The amount of 3,090,000 VND/month are the MW in Vietnam currently. The descriptive statistics showed that in the original sample, there are 73 respondents in the lower-income group, 150 respondents in the lower-income group and 89 respondents in the upper-income group. (See Table 7) 603
- Kỷ yếu H ội th ảo qu ốc t ế “Th ươ ng m ại và phân ph ối” l ần 1 n ăm 2018 Table 7: The descriptive statistics of income groups Frequency Percent Valid Percent Cumulative Percent 1.00 73 23.4 23.4 23.4 2.00 150 48.1 48.1 71.5 Valid 3.00 89 28.5 28.5 100.0 Total 312 100.0 100.0 Source: Author's calculation The multi group analysis (MGA) results are given in the following three tables. (Table 8, 9, 10 ) Table 7: The multi group analysis Table 8: The multi group Table 9: The multi group result for lower-income group analysis result for middle- analysis result for upper- income group income group Source: Author's calculation It can be seen from the tables that for all three groups, most of the original hypotheses were rejected. For the lower-income group, only price affects the customers' purchase decision of fresh food at the supermarket with the significance level of 10%. This result is consistent with the results of the study (Sunardi et al. 2016), (Ingrid HM Steenhuis et al. 2011). This is suitable with the fact that lower- income people often pay more attention on the price of food when they have shopping. In contrast, middle-income group is affected by promotion as well as discount strategies when making purchases. Product quality is a top concern for upper-income group. This is consistent with reality and the study results of (Sunardi et al. 2016). The results from the MGA also indicate that independent variable PL(Place) does not affect all three different income groups. 5. Conclusions and recommendations Based on many studies of consumer behavior, the theoretical framework of the relationship between marketing mix and consumers' purchasing decision, this study analyzed and assessed the effects of marketing mix (4Ps) including price, product, place and promotion to customers' purchase decision of fresh food in the supermarkets system in Quy Nhon city. The research has shown that three factors affect consumers' purchasing decisions of fresh food including price, product and place, while promotion does not affect their decision in buying fresh food. Price is the most important factor influencing the purchase decision of fresh food of local people in the study area. The results of this study suggested that supermarket managers which provide fresh food should adjust their marketing mix to improve the firm performance. The results of this study showed very clearly that strategies with the encouragement of consumption through promotion are not very effective for fresh food. Instead of, the study suggested direct adjustments on price, product or place. Price is not easy to adjust because supermarkets are usually distributors. This suggested that managers can aim to product and place 604
- Kỷ yếu H ội th ảo qu ốc t ế “Th ươ ng m ại và phân ph ối” l ần 1 n ăm 2018 through increasing the value of their products by diversifying fresh food, increasing the quality of their produce by ordering with manufactures or boosting the quality of their products preservation. The study also found that choosing the suitable supermarket location, convenient transportation, comfortable parking and shopping space are all things that supermarket managers should aim to enhance the firm performance. The results of multi groups analysis again confirmed that price is a very important factor for lower-income customers while product quality is a top interest factor of the upper-income group. These results are consistent with the practice and it also suggested to supermarket managers how to segment customers effectively. For lower-income group, managers should choose fresh food with low- cost brands and acceptable quality. In contrast, to increase firm performance for upper-income clients, managers should improve product quality by appropriate ways. Any studies will exist some certain limitations and our study is the same. Firstly, the sample size is quite small (n = 312) and is chosen through the convenient method, so it may not be high representative for the population. Secondly, this study only considered the relationship between marketing mix which includes price, product, place and promotion and the customers' purchase decision of fresh food; while the purchase decision is also affected by many other factors such as cultural, social, personal, psychological, politics, technology and so on. Therefore, the R-squared value in this paper only as 32.2%. Thus, the further studies may be established some models which are more complicated to assess the effects of more factors to the purchase decision of customers. REFERENCES 1. Abdullahi Farah Ahmed et al. (2011), "Determinants of Fresh Fish Purchasing Behavior Among Malaysian Consumers " Current Research Journal of Social Sciences. 2. Adilson Anacleto et al. (2015), "Influence of the 4Ps in the Buying Behavior of Elderly Consumers Flowers in Paraná Coast - Brazil ", International Journal of Engineering Research & Science. 3. Behera, M. P. and V. Mishra (2017), "Impact of Store Location and Layout on Consumer Purchase Behavior in Organized Retail ", The Journal of Management Anvesha Vol. 10 No. 1. 4. Chaudhuri, A. and M. Ligas (2009), "Consequences of Value in Retail Markets " Journal of Retailing. 5. Darian, J. C. and L. Tucci (2011), "Perceived health benefits and food purchasing decisions ", Journal of Consumer Marketing. 6. Elaine Sherman et al. (1997), "Store environment and consumer purchase behavior ", Psychology and Marketing. 7. Fazal ur Rehman et al. (2017), "Determinants of personal factors in influencing the buying behavior of consumers in sales promotion: a case of fashion industry ", Young consumers VOL. 18 NO. 4 2017. 8. Ingrid HM Steenhuis et al. (2011), "Consumer food choices: the role of price and pricing strategies " Public Health Nutrition 14(12). 9. Junio Andreti et al. (2013), "The Analysis of Product, Price, Place, Promotion and Service Quality on Customers’ Buying Decision of Convenience Store: A Survey of Young Adult in Bekasi, West Java, Indonesia ", International Journal of Advances in Management and Economics. 10. Karampour, A. and B. Ahmadinejad (2014), "Purchase intention for a private label brand: direct impact of factors including price sensitivity, understanding brand, image of private brands and mental image of store; (case study: etka chain stores) ", Kuwait Chapter of Arabian Journal of Business and Management Review Vol. 3, No.7. 11. Kemppi, V. (2016), "Leading factors affecting buying decision making in a mobile business market ", University of Applied Sciences. 605
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