Fashion and consumer science - Term Paper Example

? Fashion and consumer science Contents 4 Introduction 4 Research Question 5 Research Objectives 6 Literature Review 6 Definition and Scope of Luxury Commodities 7 Consumer Psychology and Demographics in Purchase of Luxury Products 8 Product life Cycle Patterns of Luxury Products 9 Hypotheses Testing 10 Description of the Research Method 11 Research Methods 11 Pattern of Data Collection 13 Limitations 13 Expected Managerial and/or Theoretical Implications/Contributions 14 Major Learning Points 14 References 16 Abstract Fashionable and luxury products are gradually gaining an enhanced area in the minds of the consumers. Owing to the large scale projection conducted by the media to help in the enhancement of the luxury and comfort image of the products the product managers are continuously trying to put in more number of effort to help render growing sophistication in the existing product features. Products of this sort produced for one season are increasingly being replaced by other sophisticated commodities to help enhance customer loyalty. The paper in this connection focuses on the salient features which make the product become a luxury one and also studies the different consumer perceptions and desires which trigger the enhanced purchase of such products and commodities. Introduction Consumers around the world reflect some distinct behavioural traits while going for purchasing luxury products. Luxury products are purchased by the consumers not only depending on the features and advantages obtained from the product but also tends to avail a large plethora of experiences attached to such. The people availing such luxury products also tend to relate their identity with the products purchased and also with the specific brands and companies from which such commodities are purchased. Moreover the consumers avail the luxury commodities depending on certain whims and thus wait for certain opportunities available from time to time. Consumers do not resort to logical decision making while making the relevant purchases but rather are made to satiate the growing desires of comfort and luxury. It also helps the consumers to create a different social image for them in the society. To satisfy consumerism related to fashion commodities different types of retail formats have grown around the world which help the consumers to sustain their lifestyles. The purchasing activities related to luxury commodities are conducted by consumers both on the physical and on the virtual plane. On the physical front the consumers tend to frequent the stores from where the commodities can be availed. However the consumers in the modern periods are also found to avail such commodities through the online sphere or through shopping activities conducted by the help of mobiles. The evaluation of the benefits availed through the purchase of luxury commodities is done based on the level of reflection that the consumers gain with the products. Still the luxury commodities produced around the world have some considerable lifetime after which such products or services become redundant and their place is taken by other such products and services. With the increase in sophistication and growth of consumer desires the luxury goods and services need to be enhanced in an aspiring manner to help meet future needs (Okonkwo, 2007, p.63-64). Research Question The research paper in question divulges to understand the reason for which people around the world tend to increasingly buy luxury products rather than depending on ordinary commodities to satisfy their needs. Thus the paper first endeavours to understand the level of differences which help identify a product to be a luxury commodity. Secondly the paper focuses to know the specific desires of the consumers behind availing such products in an enhanced manner. Thirdly the paper endeavours to understand the parameters in the external market which tend to change the features of the product or services produced. Thus the research paper in question would hopefully satisfy the following questions which can be underlined as follows. 1. What are the essential features which determine a product to be a luxury commodity or service? 2. What are the essential traits reflected by a consumer while tending to avail such luxurious commodity or service? 3. How does the luxury product or service provider help counter changes in consumer demand for such depending on changing market conditions? Research Objectives Keeping in focus the above research questions the research paper endeavours to help fulfil the following research objectives which can be underlined as follows. The first objective which the paper fulfils is to identify the features which help signify a luxury product amidst other types of ordinary or general products spread about in the market. The second objective which the research paper endeavours to fulfil reflects on the buying psychology of the consumers while going for purchasing the luxury products. In this regard the paper would mainly divulge to focus on the demographic, psychographic and social variables governing the consumer’s decision making while going for making such luxurious purchases. Third objective endeavoured to be fulfilled by the research paper deals with understanding the different changes that have emerged in the consumer demand cycle which in turn affects the life cycle patterns of the product or service in question. Literature Review In this section the research paper aims to bring about both theoretical insights and also peer reviewed insights to answer the above queries listed in the above sections. The literature review section would be further broken down into relevant heads which would first signify the nature of a luxury product. Further the literature review would proceed to understand the different demographic, psychographic and social variables linked with the consumers and which tend to govern his or her purchase decisions. Finally the literature review portion reflects on the changes that come about in the external world which tend to greatly impact the existence of the present luxury product or service. Hence the final section endeavours to understand the changes in the product life cycle of the existing products and services in the luxury gods and services market. Definition and Scope of Luxury Commodities The luxury commodities are identified from the range of a large plethora of different types of commodities and products spread along the market. Luxury commodities tend to satisfy certain features which help them stand apart from the large number of commodities in the global market place. To this end, the International Institute of Public Finance. Congress, Aldo Chiancone (1989) observe that luxury commodities can be referred to those type of products and services the expenditure on which rises disproportionately to the income levels of the consumers. To minimise the level of productivity and sales of luxury products the government of the country tends to increase the excise and tax rates on the products making them much expensive for the consumers to largely avail them (International Institute of Public Finance. Congress, Aldo Chiancone, 1989, p.299). Moreover luxury commodities can increasingly be identified from other commodities in terms of the increased sophistication adhered to such. In this regard Chevalier and Mazzalovo (2008) states that the existence of luxury commodities in the market is increasingly associated with a particular brand image. Thus the consumers while availing the product tend to largely relate them to specific brand images which in turn create a specific domain for the luxury product or service (Chevalier and Mazzalovo, 2008). The luxury commodities are availed by the consumers to help enhance their social status. Thus it is often observed that the luxury commodities are purchased not depending on general product attributes but on features like priced and expensiveness. In this regard Kapferer and Bastein (2009) remark that purchase of luxury commodities are not made strictly based on the utility and quality matters. Rather these products are purchased by the consumers depending on the price parameters. The consumers tend to buy those products which are more expensive in the market than other existing products or services (Kapferer and Bastein, 2009). Consumer Psychology and Demographics in Purchase of Luxury Products The purchase of luxury products by the consumers can be studied based on the consumer perceptions in relation to the types of products and services offered. These consumer perceptions in turn are increasingly governed by social and demographic factors. In this regard Gutierrez (2006) states that the consumers increasingly endeavour to relate them to luxury branded commodities and services to help sustain their position in the society at large. These consumers increasingly feel that their existence is at strike without being properly shielded through the gaining of such products and services in an enhanced manner. The people of developed societies and countries are found to fantasize their minds with the existence of the related products and services which are being increasingly projected by the help of media activities. Again these people belonging to high societies in order to meet both their materialistic and social needs also increasingly take resort to such luxury products and services. Acquaintance with such products helps the people enhance their own social stands. This increased association of the consumers with the luxury products happens to create a different cultural and social dimension where the consumers continually endeavour to enhance their social esteem (Gutierrez, 2006, p.10-12). Again the demand of the consumers in relation to luxury products gained much emphasis with the enhanced sophistication rendered in the products. Higashi and Lauter (1990) comment to this end that people pertaining to the economies like Japan are gradually becoming aware of newer fashion styles emanating in the society and also of the growing sophistication rendered in the different products belonging to different lines. Such consumers grow up to become highly fashion centred and thus start expending heavily to gain more number of such sophisticated and luxurious products to enhance their social image. Moreover another demographic factor which can be increasingly observed among the consumer groups buying luxury products is the age and income of the people. Thus apart from being able to expend lavishly on the luxurious products the consumer groups need also to belong to the youth profile. These types of customers show an increased propensity to purchase more number of such products and services (Higashi and Lauter, 1990, p.197-198). Product life Cycle Patterns of Luxury Products The product managers of luxury commodities need to continually endeavour to modify their product and brand image to help fulfil the growing demands of the sophisticated consumer profile. Thus luxury commodities like other products and services also have a distinct life cycle. To this end, Michman and Mazze (2006) observe that the luxury product manufacturers in order to gain the enhanced appreciation of large number of consumers continually endeavour to render sophistication to the existing product features. Thus luxury products are changed from one season to another to help gain the enhanced appreciation of the consumer profile. Hence luxury products and services produced for one season does not work for another. Hence these products have short product life cycles as compared to other ordinary products. Again large number of assortments is rendered to the product profiles to help meet the growing and sophisticated needs of the consumers. The production and development stage of such products are much shortened to help produce more number of such commodities and thereby to gradually gain a larger market space for such. Thus the luxury products and services reach the maturity stage in a very short period from being introduced in the market. This short time span rendered to the products belonging to the luxury categories help in the rendering of more sophistication to the product features (Michman and Mazze, 2006, p.167). Hypotheses Testing The testing of the Hypothesis is conducted based on the data sets gained from both the primary and secondary data sources in regards to the queries formulated for conducting the research. Testing of hypothesis is conducted essentially based on two parameters viz. null and alternate. Null hypothesis does not reflect any relation between the variables while alternate hypothesis reflects a significant relation between two or more variables upon which such tests are conducted. The hypothesis testing is conducted to test the impact of change in one variable over another in a dynamic and competitive marketing environment (Gravetter & Wallnau, 2008, p.230). Based on the above discussion the hypothesis testing is conducted in regards to the above project keeping in mind the three research objectives outlined. The Hypothesis testing formulated in regards to such can be outlined as under: H1: Luxury commodities and services are those which are of better quality in relation to other commodities and services available in the market. H2: Consumers purchase luxury products and services in an enhanced manner for they help in creating a special style statement and also helps in enhancing the social image of the consumers., H3: Luxury commodities and services also face the impact of change in consumer demand and other developments in the product or service scenario in the country. Description of the Research Method Research Methods The research method in question to be used for this particular research paper involves the use of both qualitative and quantitative research methods. Qualitative research methods are those which does not take the help of numerical parameters but understand the effects of the different types of events which take place in the external environment. However to conduct a particular research more effectively the researcher greatly uses statistical and numerical variables which help the researcher to make a detailed and specific analysis of the different situations. Use of both qualitative and quantitative methods designs a specific research methodology known as the mixed research system. This mixed research methodology help in enriching the research query and process to help satisfy the research objective (Clark & Creswell, 2010, p.1-2). The second type of research methodology used in this case us the primary research methodology. Primary research methodology is mainly used by the researcher to help find practical insights to the research question envisaged previously. The primary research methodology divulges on the targeting of focus groups or a target population over which such research would be finally conducted. This target population is found out on the basis of sampling in which specific samples are selected for conducting the research. Selection of the samples is done basically on the basis of random selection methods based on different demographical parameters. The demographic parameters pertaining to the income, age, education and social variables are dealt with while searching for the samples. After the selection of the samples has been conducted the primary research methodology focuses on the development of questionnaires which are used to conduct the specific level research on the sample population. Questionnaires prepared on this accord are mainly of two types viz. open and close ended. The open ended questions are those which help understand the minds of the consumers and seek answers to the queries in an elaborate fashion. On the contrary close ended questions are those which are based on a five point scale or the likert scale. These types of questionnaires help target specific answers to the relevant queries an help the researcher get hold of large volumes of data for conducting the said research (Kurtz, MacKenzie & Snow, 2009, p.235). However a third major type of research methodology used in the field of consumer research is the use of secondary sources of data. This research methodology for its stated approach is also known as the secondary research methodology. With the advent of internet technology in the modern period the researcher becomes able to access large volumes of data in very less time. These large volumes of data gathered help supporting or in providing a background to the primary research activities conducted previously. The secondary data sources also help the researcher to gain access to authentic data sources which help enhance the paradigm of the research methodology. Secondary data sources are also extensively used by the researcher for it helps in reducing the cost factors of the research activities. The researcher can get access to large volumes of authentic data sources in very less time without the use of third party arrangements thus helping in the enhancement of the research activity (Allison & National University of Singapore, 2002, p.18). Pattern of Data Collection The data collected for conducting the said research is done both on the basis of primary and secondary research activities. Primary research activities focus on getting hand to raw research data through the set of interviews conducted on the different sample sizes. The answers to such interview questions help the researcher to gain a practical insight of the research question underlined in the above case. Further another mode of collection of data is through the study of different consumer and marketing papers pertaining to both general and in company context to help get a proper understanding of the implications of the research question. The answers to the questions obtained for both the open and close ended ones are also strengthened through the use of secondary sources obtained from the company and market sources. Different statistical data are also largely used for helping in the enrichment of the data and research parameters. Limitations The research objective of the paper is endeavour to being largely met by the large volumes of data sources and methods used in the process. However as in all other types of research activities this particular research activity also suffers from certain limitations. The first limitation in the research activity occurs owing to the dependence on primary research activities. Use of primary research invites large amount of faulty and erroneous information which makes creates trouble in the proper satisfaction of the research objective. Moreover in the second case the research paper depends on the use of general research information and does not focus on a specific company or sector. The luxury commodities are studied in a general manner which also invites trouble for deviating from gaining an effective and focussed fulfilment of the research objective. Expected Managerial and/or Theoretical Implications/Contributions The research paper in question aims to study the consumer perceptions involved behind the purchase of fashion products. Thus the retail and fashion managers must endeavour to alter create value additions in the level of product and service offerings to help in the enhancement of the products and services offered. Development of the product and service quality depending on the pattern of research conducted helps the product manufacturers and service providers to gain a larger market and enhancement of the brand revenues. The enhanced meeting of consumer demands in the growing market for consumer products helps the firm to counter large amount of competition in the external market. Meeting consumer desires and perceptions in an enhanced fashion helps the luxury product or service companies in gaining large amount of customer loyalty. The consumers would increasingly feel themselves associated with the developed product or service and thereby would feel more inclined to purchase more volumes of such produces or offerings. Luxury companies also can create a separate market research team which can render feasible suggestions by focusing on changing marketing conditions to help improve the quality of the product or service offerings. The style or the comfort statement emphasized would also help the product or service companies to create a niche market for branded or luxury products. This niche market mainly filled in by a loyal customer base would help in generating considerable revenues for the luxury company. Major Learning Points The research paper in question divulges mainly to answer three main potential queries in regards to the market for luxury commodities. With the help of considerable research the paper endeavours to understand the concept of luxury product or service. It tries to identify the features which help distinguish a luxury product from other product or services in the market. The research paper proceeds further to understand the significant desires which gain place in a consumer’s psychology tempting one to buy such product or services even at the cost of expending a huge amount. Learning gained in this stage reflects that the people going for luxury products do not think of the expense or the significance of the quality dimension. Rather they give much stress on relating the products or services bought to their social image. High class consumers continually endeavour to relate them with luxurious and high branded products so as to develop their own benchmark in the society. Further another learning gained in this stage also shows that luxury products like all other products also are bound to disappear from the market place owing to changes in the demand cycle and development of new product or service ranges. Thus the product managers of the luxury product or service companies must increasingly endeavour to incorporate new outlook to the products and services manufactured and produced to help counter increased competition. References Allison, D. & National University of Singapore. (2002). Approaching English language research. NUS Press. Chevalier, M. & Mazzalovo, G. (2008). Luxury brand management: a world of privilege. John Wiley and Sons. Clark, V. L. P. & Creswell, J.W. (2010). Designing and Conducting Mixed Methods Research. SAGE. Gravetter, F.J. & Wallnau, L.B. (2008). Statistics for the Behavioral Sciences. Cengage Learning. Gutierrez, C. (2006). Consumer Attraction to Luxury Brand Products: Social Affiliation in Terror Management Theory. Retrieved on June 4, 2011 from: http://www.csulb.edu/colleges/cba/honors/thesis/documents/Catherine_Cole_Gutierrez_Thesis.pdf. Higashi, C., & Lauter, G. (1990). The internationalization of the Japanese economy. Springer. International Institute of Public Finance. Congress, Aldo Chiancone (1989). Changes in revenue structures. Wayne State University Press. Kapferer, J. & Bastein, V. (2009). The luxury strategy: break the rules of marketing to build luxury brands. Kogan Page Publishers. Kurtz, D., MacKenzie, H. & Snow, K. (2009). Contemporary Marketing. Cengage Learning. Michman, R. & Mazze, E. (2006). The affluent consumer: marketing and selling the luxury lifestyle. Greenwood Publishing Group. Okonkwo, U. (2007). Luxury fashion branding: trends, tactics, techniques. Palgrave Macmillan. Read More