Assignment Sample on Curiosity Creativity and Research MBA 7 CCR
1: Introduction
1.1 Introduction
Customer behaviour is an essential factor for an organisation in order to get the success and the development of the business process. Every customer has a different thought process as well as attitudes towards buying such products from the market. In case the business organisations are unable to understand the requirements and needs of the customer then there is a high chance of failure in the product and profitability of the company. Due to changing fashion trends, technology, living style, disposable income and other similar factors impact consumer behaviour. In order to get the competitive advantages and to improve the business perspective in getting the development and profitability the business have to understand the factors that are changing the customer behaviour. Understanding the exact factor, the company have to align their marketing efforts accordingly in order to get the development and profitability within their business process.
1.2 Aim
The aim of this study is to understand the impact of customer change behaviour on business development as well as profitability rate.
1.3 Objectives
- To understand the factors which are impacting on changing the customer behaviour in buying the business product from the marketplace.
The psychological factor is one of the important factors that determines and changes the behaviour of the customer. It is significantly demonstrated by perception motivation attitudes and beliefs towards the product or service provided by the business. Based on this perception, customer changes their behaviour towards buying the product or service. On the other hand, social factors also play an important role in changing customer behaviour. As per the viewpoint of Loxton et al. (2020), the cultural factors that determine the culture of culture and social class of the customer also plays an important role in demonstrating the business development as well as their profitability. Personal factors also change the behaviour of the customer that demonstrates the economic status occupations, Lifestyle, income of the customer to buy the product provided by the business.
- To demonstrate the impact of customer changing behaviour on the business development as well as profitability rate.
Customer influence by several different factors impacts the business profitability and the development at the same time. In order to increase the business profitability as well as sustainability, the business organisations have to understand the needs of the customer in order to analyse the changing behaviour of their product or service. As opined by Ali (2020), the changing behaviour of customers also changes the value of the companies that mainly increasing or decreases by the demand factor. It is also important the changing level of demand of the customer impact impacts the business demand perspective in generating revenue for the company.
- To analyse the issue of the customer changing behaviour that hinder the business development and profitability rate.
The changing behaviour of the customer towards a particular product may create issues in increasing the profitability and sustainability of the business. The factors that influence the customer behaviour among them attitudes can be changed by the provided information about the brand of the product. As opined by Pakurár et al. (2019), the changing beliefs of the customer about the information of the product might attribute negatively on that particular brand. It can also be found that the changing behaviour towards the product decreases the importance of its demand that decreases profitability rate as well as the development of the company
- To implement suitable strategies in order to mitigate the issue related to the customer changing behaviour on the business development and profitability.
The customer changing behaviour can decrease the demand for the product does the development and the profitability of the business can decrease in a negative way. In order to mitigate this situation, there are some strategies that are required that the business needs to adopt within their business process. By implementing such effective theories business operators can understand the need of the customer and manufacture the products to support the demand accordingly. As stated by Naidoo and Gasparatos (2018), are some theories that can hinder the issues of the customer changing behaviour on the business profitability rate and the development in a positive way. These theories are related to the development and training perspective of the business, advancement of the technological aspect provides a depth understanding regards to the needs of the customer, and dependence on human labour.
1.4 Research questions
Q1. What are the factors impacting on changing the customer behaviour in buying the business products from the Marketplace?
Q2. How is the customer changing behaviour impacting the business development and profitability?
Q3. What are the issues related to changing customer behaviour that hinder the business development as well as the profitability rate of the business?
Q4. What are the effective strategies that help to mitigate the issue related to the customer changing behaviour on the business development and profitability at the same time?
2: Literature review
2.1 Introduction
The customer changing behaviour in the business perspective helps the organisation to decide about what are the services of products to produce and offer to the customer. Customer buying behaviour towards the product or services is most crucial for the business operator and improving their demand for the product and establishing the development of the business process (Alur et al., 2019). Based on this perspective it is very important to understand the needs of the customer and expectations by that helps the business operators to manufacture the products to support the nets or demand (Dubey et al., 2020). In this aspect, the improvement of the market research helps the marketers or business operators to understand the dislikes and likes of the customers towards their changing attitudes. It can increase its profitability rate by increasing the demand at the same time in a positive manner.
2.2 Theories
2.2.1 Theory for consumer changing behaviour
Theory of Reasoned action
The theory of reasoned action is an effective theory for the customer changing behaviour and this plays an important role in implementing the decision-making process of the customer. The core of the theory of reasoned action portrays the consumer act based on the way via and the intention in order to create a particular outcome for the business resources. It significantly helped the business process in understanding the decision-making process of the customer when the customer takes a specific action to make expectations from a product (Xiao, 2020). It significantly analysing this theory of business prospect other business operators can retain the ability to change the mind of the customer on making the different course of action in their buying intention. By implementing this theory business operators can learn several forms of the decision-making process in changing the customers buying behaviour to a particular product.
Figure 1: Theory of Reasoned action
(Source: Xiao, 2020)
Reasoned action is a significant theory that highlights the importance of the migraine customer through the sales pipeline by linking its product to the desirability with customers. Innovation the business operators misunderstand the initial intention of the customer buyer lying with the competitors in the Marketplace to provide the best effective products to the customer (Karnowski et al., 2018). It makes changes in the business development and profitability rate of a particular organisation
Motivational needs theory (Maslow’s Hierarchy of need theory)
Maslow’s Hierarchy of needs theory is an effective theory in order to repel the effect through the psychological community. The theory indicates the needs of the customer that the act of fulfilling based on a file path priority system. Under this theory it demonstrated the psychological factor for the basic need safety love Esteem and self-actualization in order to fulfil the needs of their desire (Dohlman et al., 2019)). Business operators need to implement the motivational needs base theory by creating artificial needs for their customers. In the modern era, business operators can create exclusive and luxurious perspectives about their products in order to highlight the safety and security features of their aesthetics. It significantly helps the business per operators to attract the customer towards their product that significantly can increase the profitability and the demand of the product at the same time.
Figure 2: Maslow’s Hierarchy of need theory
(Source: Dohlman, 2019)
This motivational theory is an effective theory for customer changing behaviour based on this perspective the business operators can motivate the customer in order to buy their products. By implementing this theory, the business operators can manufacture the products based on the needs-oriented aspect of the customer and thus the business operators can increase the profitability rate. On the other hand, the successful business operators implement this theory to bring Awareness to their products unemployment its objectives regard the hierarchy of needs. As opined by Ștefan et al. (2020), the customer can be motivated in prioritising the purchasing aspect based on the hierarchy of needs that install the satisfactory of needs and the urgency to buy the product.
2.2.2 Theory for business development and profitability
Strategic business development theory
The strategic business development theory is an important and crucial theory for the business development and the profitability rate of an organisation by manipulating customer behaviour. In this process, the business operated needs to turn such opportunities by demonstrating effective decision-making aspects regards the need of the customer. Based on this perspective the organisation of the business operators will be able to analyse the market and research the customers’ trends and needs at the same time (Shao, 2019). Analysing the market research in the business operators will be the engagement within their business process to qualify the opportunities that can indicate to their product demand.
Evaluating the required product, the business operators can potentially at the customers or buyers and influence them with such reference sources and other business out custom sources. Based on the issues of the organisation there are several theories has been implemented in order to increase the demand and the profitability aspect of the business process. The theory is for the customer changing behaviour and the theories for the business development and profitability have been implemented which provides the business operations comparative advantages in order to establish sustainability by developing their organisational growth and profitability rate.
Figure 3: Strategic business development theory
(Source: Shao, 2019)
The strategic business development theory is an alternative approach of the business operated to leverage the business demand of their product. It significantly involves the lead generation as well as the qualification of the product quality that supports the business efforts and the organisational context (Sarasini and Linder 2018). As a result, the business operator can increase their product demand in the marketplace. Thus, the business operators can establish the development of the organisation and increase the profitability rate in a positive way.
Advancement in technology-based theory
Advancement in technological perspective can provide sustainable business development to an organisation by evaluating the profitability rate. In this research area, the advancement in technology-based theory is a crucial theory for the business perspective in order to gain a competitive advantage from the marketplace by manipulating the customers’ behaviour. In this area, the technologies produce benefits and improve the customer experience like this to what the trigger concern of business development. It is significantly associated with the information security and the health technology of the product. AI and Robotics chat bots help to improve the customer experience of the organisation that increases the demand for their product. On the other hand, the advancement of the technological perspective within the business process and its intermediary effects subsequently influences the customer behaviour and ensures customer loyalty and satisfaction (Hwang and Fu 2020). Thus, the organisation can ensure the profitability of their marketing activities and manufactured product.
Figure 4: Advancement in technology-based theory
(Source: Springer.com, 2021)
Considering the fact of the advancement of technology-based theory an organisation can carefully develop the business process and sustain in the marketplace by producing the required product (Springer.com, 2021). The leverage of the technology benefits the organisation and guides them in the decision-making process (Walkington et al., 2020). It also ever the business operators with aspiring risk of the business activities. Thus, the organisation can get benefits by implementing this theory as it shapes the market as a successful manufacturer or business operator.
3: Required knowledge
3.1 Need for the research
The need of this research is to understand the customer changing behaviour that can increase the demand and profitability rate of the business. In order to demonstrate this factor and to resonate the access a proper understanding about the factors that influencers the customer behaviour towards the product demand (Vives et al., 2018). For this perspective, the research needs to conduct in an appropriate manner that can demonstrate the factors that change customer behaviour. The needs of the customer that can increase the demand of the product to support the development and profitability rate of the business. In order to gather this information, secondary research will be helpful in gathering knowledge about the research study. In order to conduct this perspective, the secondary research and the implication of the thematic analysis will help to demonstrate the needs of the customer and to analyse in a proper manner that can indicate the product demand.
3.2 The way of gathering knowledge
The proposal of this research is significant as it will provide a deep inside into the impact of customer changing behaviour on the business development as well as the profitability rate. As stated by it is important for a business to understand the need of the customer and demonstrate the changing behaviour towards their product in order to increase their profitability weight and development in a significant manner (Mun and Jang 2018). Hence, it will consider such demonstrated factors of customer changing behaviours that can impact the business profitability and development along with the sustainability. This research proposal will provide assistance to Future research regarding the impact of customer changing behaviour on the business development as well as profitability rate. Thus, this research is significant for future studies that will help to gain a deeper inside into the manufacturing sector.
2.3 Ethical consideration
In order to conduct this research, the code of conduct and policies will be considered and followed strictly. While conducting this research paper the privacy of the information will be considered effectively. The participants of this research will maintain the privacy of the research and it will not be used for any commercial purposes (Gauttier, 2019). Thereby, the Data Protection Act will be taken into account in order to protect the data from every aspect.
4: Conclusion
Throughout the analysis of the above research about the topic, the impact of customer changing behaviour on the business development and profitability rate provides a clear understanding effectively. Changing buying behaviour of the customer most of the time create an issue for the business that hinders the business development as well as the profitability aspect of the business process. Based on this perspective, several theories have been analysed and imposed in this business area in order to increase the product demand as well as the profitability, which can hinder the common issues related to the customer changing behaviour.
Reference list
Ali, B., 2020. Impact of COVID-19 on consumer buying behaviour toward online shopping in Iraq. Ali, BJ (2020). Impact of COVID-19 on consumer buying behavior toward online shopping in Iraq. Economic Studies Journal, 18(42), pp.267-280.
Aluri, A., Price, B.S. and McIntyre, N.H., 2019. Using machine learning to cocreate value through dynamic customer engagement in a brand loyalty program. Journal of Hospitality & Tourism Research, 43(1), pp.78-100.
Dohlman, L., DiMeglio, M., Hajj, J. and Laudanski, K., 2019. Global Brain Drain: How Can the Maslow Theory of Motivation Improve Our Understanding of Physician Migration?. International journal of environmental research and public health, 16(7), p.1182.
Dubey, R., Gunasekaran, A., Childe, S.J., Bryde, D.J., Giannakis, M., Foropon, C., Roubaud, D. and Hazen, B.T., 2020. Big data analytics and artificial intelligence pathway to operational performance under the effects of entrepreneurial orientation and environmental dynamism: A study of manufacturing organisations. International Journal of Production Economics, 226, p.107599.
Gauttier, S., 2019. ‘I’ve got you under my skin’–The role of ethical consideration in the (non-) acceptance of insideables in the workplace. Technology in society, 56, pp.93-108.
Hwang, G.J. and Fu, Q.K., 2020. Advancement and research trends of smart learning environments in the mobile era. International Journal of Mobile Learning and Organisation, 14(1), pp.114-129.
Karnowski, V., Leonhard, L. and Kümpel, A.S., 2018. Why users share the news: A theory of reasoned action-based study on the antecedents of news-sharing behavior. Communication Research Reports, 35(2), pp.91-100.
Loxton, M., Truskett, R., Scarf, B., Sindone, L., Baldry, G. and Zhao, Y., 2020. Consumer behaviour during crises: preliminary research on how coronavirus has manifested consumer panic buying, herd mentality, changing discretionary spending and the role of the media in influencing behaviour. Journal of risk and financial management, 13(8), p.166.
Mun, S.G. and Jang, S.S., 2018. Restaurant operating expenses and their effects on profitability enhancement. International Journal of Hospitality Management, 71, pp.68-76.
Naidoo, M. and Gasparatos, A., 2018. Corporate environmental sustainability in the retail sector: Drivers, strategies and performance measurement. Journal of Cleaner Production, 203, pp.125-142.
Pakurár, M., Haddad, H., Nagy, J., Popp, J. and Oláh, J., 2019. The service quality dimensions that affect customer satisfaction in the Jordanian banking sector. Sustainability, 11(4), p.1113.
Sarasini, S. and Linder, M., 2018. Integrating a business model perspective into transition theory: The example of new mobility services. Environmental innovation and societal transitions, 27, pp.16-31.
Shao, Z., 2019. Interaction effect of strategic leadership behaviors and organizational culture on IS-Business strategic alignment and Enterprise Systems assimilation. International Journal of Information Management, 44, pp.96-108.
Simplypsychology.org, 2021, maslow’s motivational theory, Available at: https://www.simplypsychology.org/maslow.html [Accessed on 2nd January 2022]
Springer.com, 2021, Advancement in technology-based theory, Available at: https://link.springer.com/article/10.1007/s11747-019-00711-4 [Accessed on 1st January 2022]
Ștefan, S.C., Popa, Ș.C. and Albu, C.F., 2020. Implications of Maslow’s hierarchy of needs theory on healthcare employees’ performance. Transylvanian Review of Administrative Sciences, 16(59), pp.124-143.
Vives, A., Jacob, M. and Payeras, M., 2018. Revenue management and price optimization techniques in the hotel sector: A critical literature review. Tourism economics, 24(6), pp.720-752.
Walkington, C. and Bernacki, M.L., 2020. Appraising research on personalized learning: Definitions, theoretical alignment, advancements, and future directions. Journal of research on technology in education, 52(3), pp.235-252.
Xiao, M., 2020. Factors influencing eSports viewership: An approach based on the theory of reasoned action. Communication & Sport, 8(1), pp.92-122.
