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understanding consumer’s behavior on using and buying monosodium glutamate in hochiminh city

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TRƯỜNG ðẠI HỌC MỞ TP. HCM
UNIVERSITEÙ LIBRE DE BRUXELLES
HO CHI MINH CITY OPEN UNIVERSITY
SOLVAY BRUSSELS SCHOOL
MBMM4

LAI TRAN MAI KHANH

UNDERSTANDING CONSUMER’S BEHAVIOR ON
USING AND BUYING MONOSODIUM GLUTAMATE
IN HOCHIMINH CITY

MASTER PROJECT
MASTER IN BUSINESS & MARKETING MANAGEMENT

Tutor’s name: Dr. Vu The Dung

Ho Chi Minh City
(2010)


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COMMITMENT

This thesis contains no material that has been accepted for the award of any other degree
of diploma in any university or other institution and to the best of my knowledge contains
no material previously published or written by another person, except where due
reference is made in the text of this thesis.



In this study, the survey is conducted by professional interviewers, observed by an
independent quality controller and the author of this thesis. Thus, it has high level of
trust, confidence and agreement.

This information source is strictly warned by the research company to use for limited
purposes and not allowed to be spread out excepting for the jury of Solvay Business
School and some marketing professionals including the MBMM tutor.


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ACKNOWLEDGEMENTS
I owe the greatest debt to my tutor, Dr. Vu The Dung, his intellectual support and advice,
continuous guidance, full of patience and enthusiasm, has kept me carrying out my thesis
and writing up my thesis. In spite of being very busy with his plentiful plans, Dr. Vu The
Dung has been very generous with his time, comments, suggestions and corrections on
the draft of my thesis. Without such guidance and assistance, I could not have finished
my research and writing up this thesis on time.

My utmost thanks go to my study group in MBMM4 class, who gave me endless
experienced and mental support. Also to my family, other colleagues and friends, who
listened to my ideas and encouraged me in completing this thesis.

I am ever more indebted to all Professors of Solvay Business School, my school, who
gave me very interesting and great lectures. This course gives me a lot useful and
interesting knowledge that helps me much in my future career path. Especially thanks to
Prof. Bayern, chairman of the program, for his enthusiasm, support, and professionalism.

I did with all my best to fulfill this thesis but certainly, shortcomings could not be avoided

totally.

Once again, thanks for all the enthusiastic support.

Best wishes,

Lai Tran Mai Khanh


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TUTOR’S COMMENTS

Student name: LAI TRAN MAI KHANH
Attitude: Ms. Khanh highly committed for her thesis
Content: well designed and structured.
Method and technique: the thesis is well designed and the methods used are
scientific.
Data analysis: good and reliable data sources and analysis.
Recommendation: Provide some good recommendations for the public, and
managers.
Overall comments: The project has been successfully completed and met all the
objectives. Very good.
Tutor,

Dr. Vu The Dung


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TABLE OF CONTENT
TABLE OF CONTENT................................................................................................... 5
LIST OF ABBRIVIATION ............................................................................................. 7
LIST OF TABLES........................................................................................................... 8
CHAPTER I: INTRODUCTION.................................................................................... 9
I.1. Problem statement: ...........................................................................................................9
I.2 Objectives: ..........................................................................................................................12
I.3 Scope of the study: ............................................................................................................12
I.4 Managerial implications:.................................................................................................12
I.4.1 The managers:........................................................................................................12
I.4.2 The competitors:....................................................................................................13
I.4.3 The representative famer: ..................................................................................13
I.4.4 Social management: ..............................................................................................13
CHAPTER II: LITERATURE REVIEW ....................................................................15
II.1 Consumer behavior: .......................................................................................................15
II.1.1 The cultural factor: .............................................................................................16
II.1.2 The social factor: .................................................................................................18
II.1.3 The individual factor:..........................................................................................19
II.1.4 The psychology factor:........................................................................................20
II.2 Buying – decision: ...........................................................................................................21
II.2.1 Types of buying decision behavior: ..................................................................21
II.2.2 Buying decision process:.....................................................................................23
II.2.2.a Needs recognition:................................................................................ 24
II.2.2.b Information seeking: ............................................................................ 25
II.2.2.c Evaluated selection:.............................................................................. 26
II.2.2.d Buying decision: .................................................................................... 26
II.2.2.e Post purchase evaluation: .................................................................... 27
CHAPTER III: METHODOLOGY...............................................................................29
III.1 Research procedure: ....................................................................................................29
III.1.1 Methods of measuring behavior: ....................................................................29

III.1.2 Data Collection: ....................................................................................................30
III.1.3 Survey timing:.....................................................................................................30
III.1.4 Data analysis: ......................................................................................................31
III.1.5 Information needs:.............................................................................................31
III.2 Sampling:........................................................................................................................32
CHAPTER IV: RESEARCH RESULTS ......................................................................33
IV.1 General information of seasoning consumers: ........................................................33
IV.2 Determining the behavior of seasoning consumers:...............................................34


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IV.3 Consumer buying decision: ..........................................................................................37
IV.3.1 Need recognition: ...............................................................................................37
IV.3.2 Information seeking:..........................................................................................38
IV.3.3 Evaluated selection/ Buying decision/ Post buying evaluation: ................39
IV.4. Consumer’s attitude and behavior towards the environmental affection
caused by Vedan. ................................................................................................................40
IV.4.1 Consumer’s attitude: .........................................................................................41
IV.4.2 Consumer’s behavior:........................................................................................41
CHAPTER V: SUMMARY, RECOMMENDATIONS AND CONCLUSIONS..........44
V.1 Summary: ..........................................................................................................................44
V.2 Recommendations ...........................................................................................................45
V.3 Conclusion:........................................................................................................................46
REFERENCES...............................................................................................................48
APPENDIX A: Questionnaire in English...........................................................................49
APPENDIX B: Questionnaire in Vietnamese...................................................................57
APPENDIX C: Table of data................................................................................................66



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LIST OF ABBREVIATIONS
1. MSG: Monosodium Glutamate.
2. HCMC: Ho Chi Minh City.


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LIST OF FIGURES
FIGURES

Page

Figure 1: Culture is the sum of norms, beliefs and values

18

Figure 2: Maslow’s hierarchy of need

21

Figure 3: Four types of buying

22

Figure 4: Buying process

24


Figure 5: Chart 1. Marital status

33

Figure 6: Chart 2. Education

33

Figure 7: Chart 3. Occupation

34

Figure 8: Chart 4. Income

34

Figure 9: Chart 5. The rate of using seasoning/ MSG

35

Figure 10: Chart 6. Report of last 6 months (in the past) and the forecast of

35

the next 6 months (in the future) in using seasoning
Figure 11: Chart 7. The change in seasoning using

36

Figure 12: Chart 8. Seasoning/ MSG brand awareness


37

Figure 13: Chart 9. The reason why consumer buy seasoning

37

Figure 14: Chart 10. Seasoning/ MSG buying channels

38

Figure 15: Chart 11. Information sources to find seasoning powder

39

Figure 16: Chart 12. Seasoning purchase trigger

40

Figure 17: Chart 13. Consumer’s attitude before and after receiving

40

information of environmental affection caused by Vedan
Figure 18: Chart 14. Consumer’s attitude towards the information of

41

environmental affection caused by Vedan
Figure 19: Chart 15. Consumer’s behavior towards the environmental caused


42

by Vedan
Figure 20: Chart 16. The compensations which suitable to Vedan follow
seasoning consumer accordingly.

43


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CHAPTER I: INTRODUCTION
I.1. Problem statement:
Customer’s loyalty is the target of any company strategy. To support the loyalty aspect,
companies must embrace customers’ needs of being respected and self-respecting.
Customer loyalty can be achieved in some cases by offering a quality product with a firm
guarantee. Customer loyalty is also achieved through free offers, coupons, low interest
rates on financing, high value trade-ins, extended warranties, rebates, and other rewards
and incentive programs. The ultimate goal of customer loyalty programs is happy
customers who will return to purchase again and persuade others to use that company's
products or services.

According to the Maslow’s theory, the needs of esteem lays on nearly top of the
pyramid, it means that people always want to be respected by the others. Self-esteem
encompasses beliefs and emotions such as triumph, despair, pride and shame. Selfesteem will be lost as people being hurt and they have not the loyalty to some products
anymore.

In other words, when customers’ self-esteem is challenged or damaged by a service or
product provider, there is a very good chance that they will turn away from that company

or organization no matter how loyal they used to be to it. And that is the theory.

What about in reality? Surprisingly as far as we observe, in many cases, customers still
use the products or services provided by the organizations which imposes negative
impact on customers’ self-esteem. Take this as an example: an employee of the largest
Vietnamese rice restaurant in Ho Chi Minh City beat and injured a customer. This was
obviously a hooligan act and proves that this restaurant did not pay any respect to its


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customers. But then, after the incident happened, customers continue to dine at this
scandalous restaurant, which means nothing ever hampered them from buying their
products and services.

Nowadays, the environment is seriously polluted. In Vietnam, recording to the Ministry
of Environment, there are around 700,000 cubic meters of waste water are released into
the environment by 717 industrial zones in Vietnam. This untreated water causes many
problems to the environment and also to the people who live near the factories and use
the water. Environment pollution has increased as well as the number of cases of
occupational diseases. There are 5,497 cases recorded between 1976-1990, and in 2004,
the number of cases increased to over 21,000. It is expected that the cases will rise to
over 30,000 within this year. There are many cases in Vietnam that untreated water
perishes marine creatures. For instance, two tons of fishes, shrimps and crabs were killed
by untreated water in Tra Khuc River (Quang Ngai). The sewage came from Sugar Joint
Stock Company. Or 3,000 ducks in Tinh Khe Commune died because they ate poisoned
fish and drank the untreated water. Or specially, Vedan (a Taiwanese-owned company
produces monosodium glutamate) has dumped untreated water into Thi Vai River (Dong
Nai) for 14 years (Figure 2). More than 23 tons of dead fish were found in the river.
According to Nguyen Trung Tin (vice chairman of the city’s People’s Committee), Ho

Chi Minh City claimed the company to pay $2.4 million to compensate for the damage
that they made. But Vedan refused to pay for the compensation. The water, the land are
polluted seriously, the famers lost all their products. Moreover, living nearby the river
side and using the river water everyday increases the possibility to catch diseases.

We know that consumption effects on the environment through production and waste but
how the customer attitude toward the environment affection.
Now on a much larger scale, Vedan glutamate company released waste water into Thi
Vai River, polluting the river and affecting thousands of farmers who live nearby this


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area. This enormous incident, with the boost from most major newspapers, provoked fury
among the community. At times, it seems Vedan could never recover from this scandal
and may be even thrown out of the market. But still Vedan products are sold and
consumed like nothing ever happened. A few questions may pop up in people’s mind.
Question 1: is the consumers’ loyalty to this kind of product so high that it can not be
impacted by any external factors, or moreover, is the company brand name so stable and
strong that consumers can never turn their back on it.
Question 2: is the customers’ perception not lucid enough to acknowledge the fact that
this “criminal act” actually hurt their self-esteem or is their buying behavior is just simple
as a habitual buying action. It seems like a very human common reaction or conditional
reflexes, for example, when people get too thirsty, they see the bottle of water and they
drink without thinking.

There are many factors which influence consumers’ buying decisions. And of all these
factors, information and communication channel play very important roles. How do the
consumers react towards the information that might affect their self-respect?


As a reply to Vedan scandalous act which impact seriously the environment and the
critical reaction from the community and public opinions, a number of supermarkets in
Ho Chi Minh City show their boycott against Vedan products by removing Vedan
products from their shelves. Hence, one question is raised, if the supermarkets did not
react that way, would consumers continue to buy Vedan products?

This thesis will not focus on customer’ self-esteem research or how the bad elements
impact buying decisions of Vedan MSG’s consumers. It is merely a research on the
MSG’s consumers’ attitudes, behavior or reaction when they are exposed to the
information that the products which they have been using are harmful to the environment
as well as human life.


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On the other side, this research to great extent concerns Vedan MSG’s customer’s
experience as towards the bad news which damage the customers’ loyalty and selfesteem currently.

I.2 Objectives:
The ojectives of this project are (a) to determine consumer behavior on using and buying
MSG products and (b) to compare the difference of consumer behavior on using and
buying MSG products before and after receiving the information on the environment
damage of Vedan.
Based on the research results, some recommendations were presented.

I.3 Scope of the study:
Due to the characteristic of research product is non-universal to everyone, so this thesis
will concentrate on the Ho Chi Minh City consumers, focuses on main subject of the
housewives who have the culture of using spices in every family meal regularly. The age
will be limited from 25 to 55 years old.


I.4 Managerial implications:
This thesis result will get the meaning managerial implications for:

I.4.1 The managers:
Firstly, that is the step that a marketing manager in Vedan company who has got the
chances to review his marketing strategy. In addition, based on the research result,
maybe good or bad, he could also find out a suitable way to continue develop his


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company and remain the customers loyalty. This research result is also valuable to board
of managing for giving management up coming.

I.4.2 The competitors:
Secondly, any information, especially, against to the brand name of a company are
valuable to the competitors. In some aspects, much of competitive companies should pay
a large sum just to know how much percentages of leaking that a competitive company
does spend for its fault. Therefore, this research result may take advantages to some
competitive companies of Vedan to offer much better sales and marketing strategy as
they have known clearly about the way how a competitor is growing up.

I.4.3 The representative famer:
Those who are affected directly by Vedan company’s activities - the farmers living
nearby Thi Vai River want all consumers to be aware that manufacturers must be
responsible for their behavior to the environment and ecosystems, they have to admit
their mistakes and show off their sincerity, also compensate adequately for the famers
caused by those actions. Research results will help the representative farmers give the
alert bell to consumers of self -esteem.


I.4.4 Social management:
After the event of condemning to the action of polluted environment, Vedan
monosodium glutamate company was criticized by the public opinion. It likes a ring bell
to the local society managers. They did not care deeply in the environmental
management till things became very serious and then they give very softly reaction as
public attacked to. Some foreign organizations expressed their reaction by boycotts or
making some advertisements against companies that harm the environment. Actually, in
Vietnam there are no any specific laws to protect the rights of consumers. Therefore, all
actions to protect consumers’ rights almost start from their awareness. Social managers


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should consult this study to provide a specific rule, at least based on the behavior of
consumers to protect the interests of consumers and protect the ecosystem.


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CHAPTER II: LITERATURE REVIEW
II.1 Consumer behavior:
Consumer behavior is way more than just a guessing game; it’s crucial to a successful
marketing plan. A clear understanding of the consumer usually makes the difference
between companies that succeed and those that fail. By understanding the behaviors of
consumers, you can make more informed business decisions; these decisions alone can
raise bottom-line revenues, lower customer acquisition costs, and increase customer
retention and profitability. (Laura A. Lake, 2009).
Customer behavior study is based on consumer buying behavior, with the customer
playing the three distinct roles of user, payer and buyer. Relationship marketing is an

influential asset for customer behavior analysis as it has a keen interest in the rediscovery of the true meaning of marketing through the re-affirmation of the importance
of the customer or buyer. A greater importance is also placed on consumer retention,
customer relationship management, personalization, customization and one-to-one
marketing. Social functions can be categorized into social choice and welfare functions.
Each method for vote counting is assumed as a social function but if Arrow’s possibility
theorem is used for a social function, social welfare function is achieved. Some
specifications of the social functions are decisiveness, neutrality, anonymity, unanimity,
homogeneity and weak and strong Pareto optimality. No social choice function meets
these requirements in an ordinal scale simultaneously. The most important characteristic
of a social function is identification of the interactive effect of alternatives and creating a
logical relation with the ranks. Marketing provides services in order to satisfy customers.
With that in mind, the productive system is considered from its beginning at the
production level, to the end of the cycle, the consumer (Kioumarsi et al., 2009).


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There are two groups of factors which strongly affect consumer behavior. On the one
hand there are internal characteristics that determine the behavior: psychological and
personal. And on the other hand, there are external influences that represent the
environment in which the individual behavior takes place: cultural and social. (Philip
Kotler, Marketing, 1998)

II.1.1 The cultural factor:
Many factors leverage consumer behavior, including the disposition of a consumer
toward a specific product. (Laura A. Lake, 2009). Culture is one of the most basic
external influences on a consumer’s needs, wants, and behavior, because all facets of
life are carried out against the background of the society in which a consumer lives.
Culture is the all-encompassing force that helps to form an individual’s personality,
which in turn is the key determinant of consumer behavior. The culture of a consumer

affects to everyday behavior, and there’s experiential support for the concept that culture
determines what a consumer purchases and when he/she purchases it.
- Norms: These are rules within a culture that designate forms of acceptable and
unacceptable behavior. In short, they’re the way a culture does things. Norms aren’t
statistical averages; they’re linked with acceptable social standards of appropriate
behavior within a culture. They may or may not coincide with laws and policies; for
example, it’s a common norm to drive 5 miles per hour over the posted speed limit.
Norms have different strengths, and the consequences for violating a norm can vary.
Cultural norms often are so strongly ingrained in an individual’s life that he is unaware
of certain behaviors until they’re contrasted with a different culture that has different
norms.

- Beliefs: These are mental and verbal statements that reflect a consumer’s particular
knowledge and assessment of something and that affect an individual’s behavior. The
belief system of a culture is created through stories or myths whose interpretations can


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give consumers insight into how they should look, feel, think, and behave. The most
prominent systems of beliefs tend to be associated with formal religion.

- Values: Values are based on the beliefs of a consumer. What a consumer believes is
what he sees as valuable. Consumer values are deep-seated motivations that are instilled
into the consumer from culture. The values of a culture differentiate right feelings,
thoughts, and behaviors from wrong feelings, thoughts, and behaviors. An individual’s set
of values plays an important role in consumption activities, because in many cases,
people purchase products and services that they believe will help them attain a valuerelated goal. Every culture has a set of values that it imparts to members. It’s important
to understand the following specific characteristics of value, because values are often
used to guide consumers in their purchasing behavior as well as in their consumption

patterns:
• Values are few in number.
• Values are difficult to change.
• Values aren’t linked to specific objects or situations.
• Values are widely accepted by members within a cultural society.
Culture is the most basic element to decide what the desired behavior of a person.
Generally, Vietnamese people and the housewives in particular have a habit of using
monosodium glutamate (a kind of seasoning) for every meals, making them more tasting
and stimulating digestion. Progressively longer, the using action of seasoning powder is
considered as a form of Vietnamese culture which be handed over from generation to
generation. Usually, the mother hands over to her daughter’s perception from childhood.
The good cooking skill is a secret key for keeping a happy family of Vietnamese woman.
Similar to many countries in Asia, they also have famous culinary cultures long time in
using flavors and colorful spices to make the meals more eye-catching as Korea,
Thailand, India ... Vietnam people also have the habit of using monosodium glutamate,
because to Vietnamese people’s minds, monosodium glutamate is made from pure sugar


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cane extract, such a natural vegetation which is very good for health and also make
dishes more sweet, delicious and tasty.

Figure 1. Culture is the sum of norms, beliefs and values

Source: Laura A. Lake, Consumer behavior for dummies, 2009

II.1.2 The social factor:
Household type of all factors influencing consumer behavior (Philip Kotler, Marketing,
1998), according to Vietnamese tradition, the wife usually is responsible for purchasing

foods for the family. This research should focus on the analysis of social factors which
can influence the purchasing behavior of the person responsible for housework in the
family. These social factors are: social class, reference groups (direct reference group
and indirect reference group).
- Social classes: society usually is divided into many classes, based on the characteristic
of each class to study about people needs in each class. One example, people in the
middle class will have higher demand for laptop products than people in poor class,
because only kind of product just suitable to people with above average incomes,
understanding of computers, and live in an area within easily reach for a laptop
applications such as: software, networks ... Therefore, we should not waste too much
expenses on advertising or approaching strategy to farmers and sell only one laptop
which have the price equal to a year income that they hard working.


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Well-tasting and good-feeding demand have no limitation because every body all has the
needs of eating and drinking deliciously. Seasoning powder product is not picky to the
customer because its price is not too high and it is not difficult to find information about
this demand. It is a very common product in people's lives. Therefore, factors social class
and social status hardly affect the purchase of seasoning powder.
- Direct reference group: people who are affected directly, is a member of this group, for
example: customer and consumer.
- Indirect reference group: people impact on consumer: for example: family members,
friends, neighbors, colleagues...

II.1.3 The individual factor:
This factor takes an important role in consumer behavior. It includes lifestyle, ccupation,
education and economic situation (Philip Kotler, Marketing, 1998).


- Occupation: One’s occupation usually affects his or her way of consumption. For
example, workers have to buy labor protection clothes and rubber boots while officers
wear shirt, tie or dress. It is also very likely that because of time matter, white-collar
workers would like to buy food in supermarkets after long working hours every day or at
the weekend rather than in markets.

- Income: The choice of products is significantly affected by one's financial situation
which includes his or her disposable income (income, stability and time management).
Thus, buying a laptop will have strong effect on income while buying a pack of salt will
not. The reason is housewives usually estimate monthly cost for regular spending in
kitchens.

- Lifestyle: People who have the same culture, social class and occupation still can have
different lifestyles. Whereas many people spend much time cooking, others prefer going


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out for meals to save time and effort. A person's lifestyle is his or her inside world which
is shown through activities, caring about and giving ideas to an issue. Lifestyle gives a
vivid and full description about a person in the connection with the world. Applied to the
content of the topic, lifestyle is fairly important which affects housewives' interests in
general information related to other people's life.

- Education: When people do something, they also enrich their knowledge which
describes the changes in one's behavior causes by consumption experiences. Assuming
that the deeper knowledge is, the greater customers awareness is. Therefore, people's
needs will increase leading to the increase of their demand. However, consumer
behavior is also affected by many other factors.


II.1.4 The psychology factor:
Consumer behavior is affected by 4 psychology factors: the motivation, perception,
learning (memory), beliefs and attitudes, personality and self-concept. (Philip Kotler,
Marketing, 1998).
According to Maslow's motivation theory, he explains why at different times, people
were inspired by different needs. Some one like the safety however another is interested
in homage. He said the needs are arranged in the order, from less urgent to the most
urgent. (Motivation and Personality by Abraham H. Maslow, 1970).
Below is the model of needs which is presented by Maslow:

Figure 2. Maslow’s hierarchy of need


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Source: Abraham Maslow, 1970.

The order is arranged as follows: physiological needs, security needs, social needs, the
needs of respect and self-actualization their needs. People will try to satisfy firstly the
most important needs. When people catch up with the satisfaction of demand, it will no
longer be the current motivation, then they will try to satisfy the next most significant.
For example, a person is nearly of the starvation (the first needs) will not just be
interested in what have just happened in the art world (the 5th need) or neither look
around to find out how much he/she is respected by the others (the second need). But as
the first need is satisfied, then he/she will move forward to the next needs.
This Maslow theory helps people understand that different products will be suitable for
different ideas, purposes and lives of implicit consumers.

II.2 Buying – decision:
II.2.1 Types of buying decision behavior:

Consumer decision making varies with the type of buying decision. There are great
differences between buying toothpaste, a tennis racquet, an expensive camera and a new


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car. More complex decision is likely to involve more buying participants and more buyer
deliberation. (Philip Kotler, Marketing, 1998, 202).

Figure 3: Four types of buying behavior

Significant
differences between
brands

Few differences
between brands

High involvement

Low involvement

Complex buying
behavior

Variety-seeking buying
behavior

Dissonance reducing
buying behavior


Habitual buying
behavior

Source: Philip Kotler, Marketing, 1998, 203.

- Complex buying behavior: Consumer undertake complex buying behavior when they
are highly involved in a purchase and perceive significant differences among brands.
Consumers may be highly involved when the product is expensive, risky, purchased
infrequently and highly self-expressive.
- Dissonance-reducing buying behavior: occurs when consumers are highly involved with
an expensive, infrequent or risky purchase, but see little difference between brands.
Consumer buying behavior in situations characterized by high involvement but few
perceived differences among brands.
- Habitual buying behavior: occurs under conditions of low consumer involvement and
little significant brand difference. Taking salt as our example, we would find that
consumers have little involvement in this category-they simply go to the store and reach
for a brand. If they keep reaching for the same brand, it is out of habit rather than strong
brand loyalty.


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- Variety-seeking buying behavior: Consumer undertake variety-seeking buying
behavior in situations characterized by low consumer involvement but significant
perceived brand differences. In such cases, consumers often do a lot of brand switching.
For example, when buying biscuits a consumer might hold some beliefs, choose a biscuit
brand without much evaluation, then evaluate that brand during consumption. But the
next time, the consumer might pick another brand out of boredom or simply to try
something different. Brand switching occurs for the sake of variety rather than because

of dissatisfaction.

II.2.2 Buying decision process:
Before the purchase decision is made, the decision maker goes through several steps of
buying process (Palmer, 2001).
The process starts with identifying needs, which is a motivator of an action that would
satisfy the need. Then, information is sought for in order to find the best solution.
Subsequently, the alternatives are assessed and the final decision is made. After the
purchase, the buyer evaluates it. Analyze 4 factors which affect to consumer buyingdecision process: cognitive needs, information seeking, evaluated selection, buying
decision, after-buying behavior.

Figure 4: Buying process


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Needs recognition

Information seeking

Evaluated selection

Buying decision

Post-buying evaluation

Source: Palmer, 2001

II.2.2.a Needs recognition:
Firstly, the first step of buying decision process is 'Needs recognition'. That is the stage of

the buyer decision process in which the consumer recognizes a problem or need. At this
stage, there will have a situation that push consumer to such action. That may be the
situations that the stove can not work, spices no longer are on the shelves, and the
weather is quite hot in the summer. Or may also a company held a sporting, flowers
arrangement or cooking contest…and everything should be prepared under the best
condition. All things happen randomly and lead people to the condition in which people
have to brainstorm to solve problems. Obviously that, if the stove runs can not work, it
might be ran out of gas, or the stove is broken down, and to continue the operation of
cooking, people should buy a new one gas tank by calling someone to bring new one to
replace with, or buy a new stove because the old one is deactive, or go to the
supermarket for full of the lacking off spices. As mentioned, the cooking culture of
Vietnamese people is spicy; colorful; various dishes in a meal would create a permanent
need of seasoning in the kitchen of every family. Seasoning becomes an important part


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in the cooking process to make delicious meals for the family, so monosodium glutamate
plays also an important part of permanent need for cooking of Vietnamese households.
Existing as a permanent need, monosodium glutamate is consumed with a big quantity,
which would help the monosodium glutamate companies like Vedan has grown healthily.
However, in reality many decisions are not made in awareness of a determined problem
by the consumer.

II.2.2.b Information seeking:
Once a consumer has recognised a problem, they search for information on products and
services that can solve that problem. Belch and Belch (2007) explain that consumers
undertake both an internal (memory) and an external search. Sources of information
include:



Personal sources: family, friends, neighbors, relatives…



Commercial sources: Advertising, sales forces, dealers, packaging, trade fair…



Public sources: social communication channels, consumption researching

communities...


Personal experience: using, touching…

The relevant internal psychological process that is associated with information search is
perception. Perception is defined as 'the process by which an individual receives, selects,
organises, and interprets information to create a meaningful picture of the world. The
implications of this process help develop an effective promotional strategy, and select
which sources of information are more effective for the brand.
Anyone has the needs of using products or services in the best allowed abilities. So they
will search information about the products that they have needs. If this product is
reviewed in a represent market economy, this product should be chosen by a large of
consumers or that must be provided for multiple-choice consumer. Actually, there are


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