Influence of marketing mix dimensions on perfomance of shopping malls in Nairobi City County Kenya.

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INFLUENCE OF MARKETING MIX DIMENSIONS ON PERFOMANCE OF SHOPPING MALLS IN NAIROBI CITY COUNTY KENYA.

SIMON GICHERU KANOGA D58/CTY/PT/20866/2012

A THESIS SUBMITTED TO THE SCHOOL OF BUSINESS IN PARTIAL FULFILMENTOF THE REQUIREMENT FOR THE AWARD OF THE DEGREE OF

MASTER OF SCIENCE IN MARKETING OF KENYATTA UNIVERSITY

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DECLARATION

This thesis is my original work and has not been presented for degree in any other university. No part of this thesis should be reproduced without authority of the author or/and of Kenyatta University.

Sign……….…. Date………..…….. Simon Gicheru Kanoga: D58/CTY/PT/20866/2012

Declaration by the supervisors:

This thesis has been submitted for examination with our approval as the university supervisors.

Sign……… Date………... Dr. Reuben Njuguna (PhD)

Department of Business Administration School of Business

Kenyatta University

Sign……….. Date………. Mr.Shadrack Bett

Department of Business Administration School of Business

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DEDICATION

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ACKNOWLEDGEMENT

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TABLE OF CONTENTS

Declaration ...ii

Dedication ... iii

Acknowledgement ... iv

List of tables ... viii

List of figures ... x

Abbreviations and acronyms ... xi

Operational definition of terms ...xii

Abstract ... xv

CHAPTER ONE: INTRODUCTION ... 1

1.1 Background to the Study ... 1

1.2 Statement of the Problem ... 10

1.3 Objectives of the study ... 11

1.4 Research Hypothesis ... 12

1.5 Significance of the Study ... 13

1.6 Scope of the Study ... 13

1.7 Limitations of the study ... 14

1.8 Delimitation of the study ... 14

CHAPTER TWO: LITERATURE REVIEW: ... 15

2.1 Introduction ... 15

2.2 Theoretical Review ... 15

2.2.1 The Spatial Interaction Theory ... 15

2.2.2 Theories on Firm growth and performance ... 16

2.3 Empirical Review ... 17

2.4 Summary and Research Gaps ... 23

2.5 Conceptual Framework ... 27

CHAPTER THREE: RESEARCH METHODOLOGY ... 30

3.1 Introduction ... 30

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3.3 Target Population ... 30

3.4 Sampling Design ... 31

3.5 Data Collection ... 33

3.6 Ethical Considerations ... 35

3.7 Data Analysis and Presentation ... 36

CHAPTER 4: RESEARCH FINDINGS AND DISCUSSION ... 39

4.0 Introduction ... 39

4.1 Demographic characteristics of the respondents ... 39

4.2 Descriptive statistics for each variable ... 41

4.2.1 Product Mix Dimension ... 41

4.2.2 Place Mix dimension ... 42

4.2.3 Promotion Mix Dimension ... 43

4.2.4 Price Mix Dimension ... 45

4.2.5 People Mix Dimension ... 46

4.2.6 Physical Evidence Mix Dimension ... 47

4.2.7 Process Mix Dimension ... 48

4.2.8 Shopping Mall Performance ... 49

4.3 Resultant variables ... 50

4.4 Univariate Linear Regression ... 51

4.4.1 Univariate Linear Regression for the Product Mix Dimension ... 51

4.4.2 Univariate Linear Regression for the Place Mix dimension... 54

4.4.3 Univariate Linear Regression for the Promotion Mix Dimension ... 56

4.4.5 Univariate Linear Regression for the People Mix Dimension ... 60

4.4.6 Univariate Linear Regression for the Physical Evidence Mix Dimension ... 62

4.4.7 Univariate Linear Regression for the Process Mix Dimension ... 65

4.5 Multivariate Linear Regression Analysis for Joint Effect Tests ... 66

4.6 Moderating effect of Shoppers’ purchase decision on Shopping Mall Performance ... 70

CHAPTER FIVE:SUMMARY, CONCLUSION AND RECOMMENDATION ... 73

5.1 Introduction ... 73

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5.3 Conclusion ... 76

5.4 Recommendation ... 78

5.5 Areas of further research ... 78

REFERENCES ... 80

Appendix 1:Introduction Letter to the Questionnaires ... 86

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LIST OF TABLES

Table 2. 1: Summary and Research Gaps ... 24

Table 3. 1: Target Population... 31

Table 3. 2: Stratified sampling method ... 32

Table 3. 3: Sampling Frame: Selection of Respondents ... 33

Table 3. 4: Reliability test ... 35

Table 3. 5: Regression Analysis for Hypotheses Testing ... 36

Table 4. 1: Demographic characteristics of the respondents ... 40

Table 4. 2: Product Mix Dimension ... 42

Table 4. 3: Place Mix dimension ... 43

Table 4. 4: Promotion Mix Dimension ... 44

Table 4. 5: Price Mix Dimension ... 45

Table 4. 6: People Mix Dimension ... 46

Table 4. 7: Physical Evidence Mix Dimension ... 47

Table 4. 8: Process Mix Dimension ... 48

Table 4. 9: Shopping Mall Performance ... 49

Table 4. 10: Resultant variables ... 51

Table 4. 11: Model Summary ... 55

Table 4.12: ANOVA ... 55

Table 4. 13: Coefficients for Product Mix Dimension ... 56

Table 4. 14: Model Summary ... 57

Table 4.15: ANOVA ... 57

Table 4. 16: Coefficients for Place Mix Dimension ... 58

Table 4. 17: Model Summary ... 59

Table 4. 18: ANOVA ... 60

Table 4. 19: Coefficients for Promotion Mix Dimension ... 61

Table 4. 20: Model Summary ... 61

Table 4. 21 ANOVA ... 62

Table 4. 22: Coefficients for Price Mix Dimension ... 63

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Table 4. 24 ANOVA ... 64

Table 4.25: Coefficients for People Mix Dimension ... 65

Table 4. 26: Model Summary ... 66

Table 4. 27: ANOVA ... 66

Table 4. 27: Coefficients for Physical evidence Mix Dimension ... 67

Table 4. 28: Model Summary ... 68

Table 4.29: ANOVA ... 68

Table 4. 30: Coefficients for Process Mix Dimension ... 69

Table 4. 31: Model Summary ... 70

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LIST OF FIGURES

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ABBREVIATIONS AND ACRONYMS AD: Advertising

CMAR: Consumer Marketing at Retail. GDP: Gross Domestic Product.

4Ps: Four P’s (product, price, place and promotion) 3Ps: Three P’s (people, physical evidence and process) KNBS: Kenya National Bureau of Statistics.

RandD: Research and development. RoK: Republic of Kenya

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OPERATIONAL DEFINITION OF TERMS

Anchor store: It is a major retail store used to drive business to small retailers. It is a store that increases through its name’s reputation, the traffic of shoppers at or near its location. The anchor store sets the tone and image of the shopping mall.

Category management: An approach to managing the assortment of merchandise in which a manager is assigned the responsibility for selecting all products those consumers in a market segment might view as substitute for each other.

Consumer behavior: The process by which individuals search for, select, purchase, use and dispose of goods and services in respect of satisfying their needs and wants.

Discounting: When the product does not sell at the original price and an adjustment is made on its price.

Footfall: The numbers of shoppers visiting a store, mall or a chain of shops in a period of time either for shopping or recreational purposes. Gross margin: The difference between the final selling price and retailer cost. Hedonic: Shopping behavior that is irrational in nature and is mostly leisure

seeking oriented. The hedonic shopping is viewed as a social activity and preferred way to spend leisure time.

Markdown: When the product does not sell at the original price and an adjustment is made on its price.

Marketing mix: The controllable variables that a marketer uses to reach desired use or sales level in target market they include product, price place promotion, people, physical evidence and process.

Markup: Refers to how much should be added to the cost the retailer paid for a product to reach the final seller.

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Performance: It is an outcome of an action that can be attributed to a change in size or an attribute from one period of time to another. For a shopping mall performance indicators are in two folds i.e the enhanced service quality and delivery from shoppers’ perspective as a result of 3p’s (people, physical evidence and process). The other performance indicator is denoted by an increased number of shoppers that relates to individual tenants and shopping mall brought about by the 4p’s (product, price, place and promotion). People: The employees in an organization involved with the creation or

implementation of the marketing mix such as designing, producing, pricing, financing, distributing, installing or servicing the product. The individual employees within the retail sector determines the service quality and evaluation of service quality by shoppers

Physical evidence: These are tangible cues that support the main service or product.Its store ambience a shopper come into contact with such as the store’s merchandise display, interior, aroma, lighting, and background music.

Place: It involves decision on location and the accessibility of malls for convenience of the shoppers.

Price: It’s the exchange value of a good or service that a shopper is willing to pay for assortment of merchandise.

Product: It is the sum of the physical, psychological and social satisfaction the buyer derives from the purchase, ownership and consumption. Process These are operating procedures that shoppers go through from entry

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Promotion: Is the creation of awareness of retail outlet through use of coordinated marketing communication elements such as advertising, sales promotion and public relations to the targeted shoppers.

Purchase decision It’s a component of consumer decision making process concerned with how consumers make decision to buy a particular brand, product category, use a particular payment method, the level of purchase amount or to patronize a particular shopping mall.

Retailing: Is as the set of business activities that add value to the products and services sold to consumers for their personal or family use.

Retailtainment: It is the concept of adding entertainment and experience to the retail establishment.

Shopping mall: A group of retail and other commercial establishments that are planned, developed, owned and managed as a single property. It is usually composed of multiple retail stores managed by different tenants with an anchor store and an ample on-site parking space. Utilitarian: Shopping behavior that is rational in nature and goal-oriented and

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xv ABSTRACT

The retail sector in particular shopping malls forms a critical element of a community’s economic and social welfare. It provides shoppers with products variety, value for money, convenience and recreational services. However the sector is posed with challenges of intense competition and complex shoppers’ behavior. The purpose of the study was to establish the influence of marketing mix dimensions on performance of shopping malls. The specific objectives included seven marketing mix dimensions i.e. product, place, price and promotion, people, physical evidence and process which formed the independent variables. The shoppers’ purchase decision an output of consumer behavior was incorporated to take a moderating effects between the marketing mix dimensions and mall performance. The research examined nineteen shopping malls in Nairobi County however other malls were either under construction or had ceased operation at the time and after data collection. The target population was nineteen shopping malls and respondents consisted of marketing managers, tenants and shoppers. Census method was used in selecting malls and marketing manager. The study used stratified sampling design to determine the sample size and simple random sampling method to obtain the sample of respondents’ from shoppers and tenants. In conducting the research, primary data was collected through use of structured questionnaires. Descriptive and exploratory research design was used in the study. The data was analyzed through use of multiple regression analysis. The results of univariate linear regression showed significant liner relationship between Shopping Mall Performance each predictor variable at 95% confidence level. Each of the predictor variables results explained the variation in shopping mall performance. Multivariate linear regression analysis was also conducted to predict shopping mall performance it was found that independent variables explained a significant amount of the variance in the shopping mall performance (R2 = .543, R2Adjusted = .521). An R2 value of .543 indicated that 54.3% of the variation in shopping

mall performance could be explained by the regression model while other factors explained 45.7%. The value of Durbin Watson was above 1.5 (1.902) indicating that there was no serious problem of autocorrelation. To determine how best the regression model fitted the study data, analysis of variance on the coefficient of determination (R2) was calculated. An F value of 25.583 (P<.001) showed that the model was suitable at 95% confidence level. The results showed that adding moderating effect of shoppers’ purchase decision to the model increased the number of significant coefficients among the predictor variables by one (Price Mix Dimension) and maintained the previous two predictors (Place Mix dimension and Process Mix Dimension). The independent variables explained a significant amount of the variance in the Shopping Mall Performance (R2 = .593, R2Adjusted = .549). Thus including the moderating effect of Shoppers’

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CHAPTER ONE INTRODUCTION 1.1 Background to the Study

One of six key sectors that constitutes more than half (57%) of Kenya’s GDP is wholesale and retail (RoK, 2008). Growth in wholesale and retail trade increased from 7.3 and 6.4 per cent in 2011 and 2012 respectively (KNBS, 2012). The retail enterprises in Kenya comprise of the small, medium and large form of retail business. There are emerging retailing trends where supermarkets, shopping and exhibition malls are springing up in major urban centers and suburbs (RoK, 2010). According to Wang (2011) the history of shopping malls started in US and later spread to other countries in the world. The concept has been evolving since 1950s for example in United Arab Emirates, Dubai Mall is considered as the largest in world. The mall has 5.6 million square feet of retail space with 1,200 stores plus 160 food and beverage outlets (Upadhyay, 2008).

The study done by Kocaili (2010) on evolution of shopping malls found that today’s urban fabric and shopping malls integration is becoming more important as they are raising trends and changing retail landscape globally and locally. A study by Mokgabudi (2011) on the impact of shopping malls developments on consumer behavior in township area. The study found that malls development in low income communities resulted to several benefits for consumers such as convenient location, a larger variety of goods offered at lower prices than small retailers in the area and better quality of goods. The studies also indicated that the choice of preferred malls is not a rational decision based only on pricing but on compromise of satisfying economic, social and psychological needs.

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entertainment in the retail mix. Thus concept of retailtainment has been developed and it has been a growing trend throughout the retail industry (Saxena, 2011). According to Ruigi (2013) Kenya shoppers’ behavior, is characterized as an outing for affluent and the young and most lucrative segment of shoppers is between 25-40 years.

The shoppers visualize shopping experience as a combination of five factors: ambience, physical infrastructure, marketing focus, convenience, and safety and security (Singh and Sahay, 2010). A mall developer must then incorporate all these elements in designing a shopping mall. As shoppers change in purchase decisions and demand, the shopping mall is now not only a place for shopping, but also for a form of family entertainment and a place to satisfy a social need. The effective marketing mix strategy implemented by the shopping mall manager becomes a critical element in achieving and sustaining the customer needs and enhance the performance of the shopping mall (Kawai, 2009).

The marketing mix represents the controllable elements of marketing which collectively form the basis for shoppers’ perceptions of mall. The differentiation of a firm and its offering can be achieved by positioning in the manner in which the marketing mix elements applied are perceived to be more superior to competitors. A widely accepted definition of the marketing mix is the simplified 4ps of marketing i.e. product, price, place and promotion (Jeannt and Hennessey,2001). However other additional marketing mix has been added to cater for service marketing i.e. people, physical evidence and people. The marketing mix continues to be the key elements that can be manipulated by marketers to satisfy customers need and gain a competitive advantage (Judd, 2002). The role of mall’s marketer revolves around blending marketing mix elements in order to attract and maintain shoppers’ thus increasing footfall and revenue within the shopping mall. Thus a well-crafted marketing mix strategy can boost mall performance.

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purchase amount and payment method. The key role of a marketer is leading shoppers in making favorable decision towards his mall by blending the marketing mix dimensions. The research conducted by Kawai (2009) on marketing strategy of shopping centre for customer retention found that there was a close relationship between the marketing mix strategy and the customer retention. Thus a well-crafted marketing strategy can help to retain the repeated customers and improve performance. Njoka (2012) studied on factors influencing consumer choice in retail outlets in Nairobi, the study established that the product variety and proximity are main factors driving customer store choice thus emphasizing the role marketing mix in retail sector.

1.1.1 Product Mix Dimension

It is the range of merchandises offering by the retailer that provide shoppers with satisfaction and value for their money. It provides physical, psychological and social satisfaction to the shoppers through the purchase, ownership and consumption. The shopper’s perceived importance of product assortment is positively related to utilitarian shopping and hedonic shopping that in turn increases store traffic and revenue (Olsen and Skallerud, 2011). According to Kotler et al., (2008) organizations do sell a product while consumers buy a solution. The shopping mall’s approach on offering these solutions should be carefully strategized with full consideration of competitive forces. The physical appearance of the product, packaging and labeling information can also influence whether consumers notice a product in-store, examine it and purchase it. The key tasks of marketers are to make their products unique from those of competitors and create consumer perceptions that the product is worth purchasing (Peter et al., 2004).

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Many retailers are developing an advanced form of category management called CMAR.The recent surveys show that, as part of their CMAR programs, retailers are conducting research. They then analyze the data to identify shoppers’ problems, translate the data into retailing mix actions, executing shoppers friendly in store programs and monitoring the performance of the merchandise (Kerin et al., 2006).

1.1.2 Price Mix Dimension

Kotleret al. (2008) states that price is an important but difficult issue in the marketing mix model. It’s the only element that generates turnover for the organization, while all the other elements are cost related. Price is the exchange value of a good or service that a shopper is willing to pay for assortment of merchandise (Moore and Pareek,2010). An item is worth only what someone else is willing to pay for it. Pricing strategy deals with the multitude of factors that influence the setting of a price. In setting prices for merchandise, retailers must decide on markup, markdown and the timing for markdowns (Kerin et al., 2006). Retailers have to decide on the original markup, but by the time the product is sold, they end up with maintained markup. The original markup is the difference between the retailer cost and the initial selling price. The timing of a markdown can be important, many retailers take a markdown as soon as sales fall off to free up available selling space and cash. However, other stores delay markdowns to discourage bargain hunter and maintain an image of quality. Recent research indicates that frequent promotion increase consumer ability to remember regular prices (Kerin et al.,2006).According to Olsen et al. (2011) some shoppers perceive value when the price is low, while others perceive value when there is a balance between quality and price and shopper’s perceived value also tends to differ across buying situations and shoppers. The price of company offering often influences whether consumers will purchase them at all and, if so, which competitive offering is selected, many value-conscious consumers may buy products more based on price rather than other attributes (Peter et al., 2004).

1.1.3 Place Mix Dimension

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advantage through location strategy (Levy and Weitz, 2007). Retail location strategy can be divided into two broad areas i.e. the market factors and the operative factors (Khan, 2011).Market factors are those relating to the potential of the location for attracting consumers and enhancing sales, while operative are more related to the effort involved in opening and operating the store.

A strategic location allows easy access, attracts a larger number of customers, and increase potential sales of a retail outlet. Thus accessibility affects catchment population of a shopping mall (Kocaili, 2010). Retail location has long been considered as an important strategic business decision for a number of reasons. First, consumers’ store choice decisions are influenced greatly by accessibility of retail locations according to spatial interaction models, which denote the relationship between a consumer’s perception of utility and characteristics of a destination (Saxena,2011).Secondly, retailers may be able to develop a sustainable competitive advantage through location strategy (Levy et al. 2007).The choice of a retail store location has a major and deep impact on its business performance. A wrong choice in most times could mean failure, whereas a good choice may lead the business toward all-time success.

In today’s highly competitive environment, choosing the correct site location for a retail outlet ranks amongst the top factors in determining that outlet’s success or failure. Maximizing sales is a primary objective for retailers, hence, finding the perfect site location that will facilitate both footfall and growth, is of key importance (Saxena, 2011).A location provides the firm, with strategic advantages that competition may find difficult to overcome.

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categories. Therefore, the location in relation to complementary retail stores, recreational facilities, or workplaces, may enhance retail attraction (Khan, 2011).

1.1.4 Promotion Mix Dimension

The modern marketing is more than just having differentiated product, conveniently available to targeted consumers and competitive pricing. A successful product or service does not mean anything unless the benefits can be clearly communicated to the target market, therefore, when firms choose their strategy, they should consider their target market and their behavior (Khan, 2011). Kerin et al.(2006) demonstrated that the shopping mall should engage in integrated communications campaigns including advertisements in the local media, publicity featuring testimonials from shoppers and news stories in the local newspapers and TV stations to countervail the negative perceptions. Advertising through common media e.g. local press, TV, radio, posters, mail shots and cinema can directly pass the messages to the customers. A retailer communication activity can play an important role in positioning a store and creating its image.

The traditional elements of promotion includes; advertising, sales promotion, personal selling, direct marketing, publicity and public relations (Roger, Steven, Ericand William, 2006). The organization can blend various promotion mixes such advertising, sales promotion, public relation and personal selling in order to achieve communication objective (Brassington, 2007). According to Low et al., (2000) the advertising has greater impact on consumer attitudes, brand equity, and on profits. In addition an increased usage of consumer promotion has been accompanied by an increase in unit sales and market share. Marketing communications play a critical role in informing consumers about products and services, including where they can be purchased, and in creating favorable images and perceptions (Kerin et al.,2006). Shopping malls are increasingly using promotional activities to differentiate the mall from competitors through image or brand communication, to increase traffic (visits) and to stimulate merchandise purchases (Parson, 2003).

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The people in an organization are part of and responsible for everything that is visible to those outside the organization (Sullivan, 2002). Some of employees within an organization are involved with the creation or implementation of the marketing mix such as designing, producing, pricing, financing, distributing, installing or servicing the product (Judd, 2003). The people involved with the marketing mix have the opportunity to reinforce favorably or change the behaviors of target market members relative to the mix. The individual employees within the retail sector determines the evaluation of service quality by shoppers (Jayawardhena and Farrell 2011).The ability of employees to deliver the service to the required standards consistent with organization image is of vital concern to the service providers (Brassington, 2007).The mall shoppers engage in personal interactions with store employees, which induce emotional experiences (Yoon, 2013).The malls’ employees can be influential element in aiding the organization differentiates itself in substantial ways in boosting its performance.

1.1.6 Physical Evidence Mix Dimension

These are tangible cues that support the main service (Sullivan, 2002).When shoppers enter a store, they come into contact with store atmospherics that stimulate their sensory appeals, such as the store’s merchandise display, interior, aroma, lighting, and background music (Yoon, 2013). It offers clues about positioning of the service product or gives the customer something solid to take away with them to symbolize the intangible benefits they have received. The essential evidence is central to the service and is an important contributor to the customers’ purchase decisions and service quality (Singh and Sahay, 2012). The shopping mall attractiveness may be designed in reference to the three broad segments of shoppers that include stress-free shoppers, demanding shoppers and pragmatic shoppers (El-Adly, 2007). Thus the shopping process entails sensory, emotional, and rational experiences that shoppers may encounter in an interactive fashion (Yoon, 2013).

1.1.7 Process Mix Dimension

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which enhance service delivery and quality (Brassington, 2007). Shoppers want satisfaction from an enjoyable shopping experience, as well as convenient and excellent service (Kim, 2002). This underscores the importance ofconsumer efficiency in shopping and it describes shopping activities in terms of consumers performing necessary functions at minimal costs (Kim, 2002).Thus shoppers tend to adapt smart shopping behaviors which seeks to minimize the expenditure of time, money, or energy to gain hedonic or utilitarian value from the experience (Atkins et al, 2012). A well-designed process could attract and retain shoppers’ thus boosting performance.

1.1.8 Retail Industry

Retailers are merchants that are primarily engaged in selling to final consumers (Peter and Donnely, 2004). Retailing is an important marketing activity, not only do producers and consumers meet, but also create customers value and has a significant impact on the economy. To consumers, the value of retailing is in the form of utilities provided such as time, place and possession (Kerin, Hartley, Berkowitz and Rudelius, 2006).The economic value of retailing is represented by the employment provided and the total amount of revenue exchanged in retail sales.

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Kenya’s economy has been on a steady growth path, in the last fifteen years which is evidenced by the increase in the number of shopping malls within Nairobi county and its environs. Sarit Centre was the pioneer in the industry established in 1983 and the first to become a member of ICSC (Superbrands, 2012). The Sarit Centre has paved the way and set standard in mall industry with newer and bigger malls such as Galleria,Thika Road Mall,Yaya centre,T-mall Junction,Village market among others. The emergence of shopping malls has now provided anchorage to supermarket and other forms of retailing.

A shopping mall benefits the community through creating employment within retail trade, services, construction and manufacturing. People working in the retail sector live close to their work place, paying income tax and value added tax with their purchases (Wang, 2011). In addition, shopping malls’ competitive environment keeps prices low and this benefit consumers individually which on an aggregated level brings further macro-economic benefits. The study carried by Kim (2002) found that consumers are attracted to the shopping mall because of its economic or functional utility e.g. convenience and comparison-shopping. The malls have become an important part of lives of many people in today’s era (Karim, Kumar and Rahman, 2013).Shopping malls play a major role in consumers’ lifestyle and they have become not only a centre for shopping but also a community center for social and recreational activities.

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analysts are proposing that shopping mall should be designed in such that the circulation space, corridors, walkways and staircases are all visible from the main roads (Waweru, 2013). The Westgate shopping mall terrorist attack did not adversely affect the industry, as shoppers are still patronizing malls and developers are investing in new ultra-modern malls such as Garden city along Thika Superhighway.

1.2 Statement of the Problem

Despite the emergence of shopping malls as a major shopping, social interaction and entertainment in Kenya, the marketing managers are faced with dynamic shoppers’ behavior and unpredictable competitive environment. In such turbulent environment, the understanding and prediction of the performance of shopping mall is paramount. Therefore shopping mall marketing managers are under pressure to modify their marketing mix strategies to fit new market trends. This has emanated from changing shoppers’ behavior that has led to unpredictable purchase decisions and intense competition between the shopping malls both in the same region and in the different regions. Consequently, this has made it challenging for malls to attract shoppers, encourage re-patronage and service delivery which have an impact on mall performance. For malls to perform effectively they must become more shoppers centric through adapting and blending various marketing mix dimensions which is a key challenge due to ever changing shoppers behaviors and intense competition.

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investigated the effect of shopping malls on consumer behavior, and the study found that the choice of preferred malls was not a rational decision based on pricing but on compromise of satisfying economic, social and psychological needs.

Ndwiga (2012) examined the factors influencing customer loyalty in supermarkets in Kenya. The study established a sharp increase in retail stores to meet the increasing demand of consumer products. However the study was limited in its scope as it touched on only one sector of retailing. Njoka (2012) studied factors influencing consumer choice of supermarkets in Nairobi, Kenya. Overall, the study established product variety and proximity as the main factors driving customer store choice. The study did not touch on other marketing mix dimensions impact on store choice and never mentioned on effect on performance. Mburu (2012) further examined on factors influencing the spread of exhibition as new form of retailing in Kenya. The study did not focus on marketing mix dimensions as factors influencing the spread and used case study of one exhibition thus finding could be inconclusive.

From the above studies a research gap exists, thus a need to carry out further studies on shopping malls as most of Kenya based studies have focused on supermarkets and exhibitions form of retailing. The phenomenal growth and development of shopping malls has posed new opportunities and challenges that require further study. In addition, there is no research done to relate the marketing mix dimensions with the performance of shopping malls in Kenya. Most of local studies have focused on customer loyalty, factors affecting supermarket and customer satisfaction. This study would be vital for mall marketing managers in appreciating and understanding the impact of marketing mix dimensions on mall performance.

1.3 Objectives of the study 1.3.1 General Objective

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12 1.3.2 Specific Objective

i) To establish the extent to which product mix dimension affects the performance of shopping malls Nairobi Kenya.

ii) To determine how place mix dimension affects the performance of shopping malls in Nairobi Kenya.

iii) To examine the effects of price mix dimension on the performance of shopping malls in Nairobi Kenya.

iv) To examine the effects of promotion mix dimension on performance of shopping malls in Nairobi Kenya.

v) To establish the extent to which people mix dimension affects the performance of shopping malls Nairobi Kenya.

vi) To determine how physical evidence mix dimension affects the performance of shopping malls in Nairobi Kenya.

vii)To examine the effects of process mix dimension on performance of shopping malls in Nairobi Kenya.

viii)To establish the moderating effects of shoppers purchase decision on the relationship between marketing mix dimensions and the performance of shopping malls Nairobi Kenya.

1.4 Research Hypothesis

The study sought information to test the following research hypothesis:

i) H01: The product mix dimension has no statistically significant effect on the

performance of shopping malls in Nairobi Kenya.

ii) H02: The place mix dimension has no statistically significant effects on the

performance shopping malls Nairobi Kenya.

iii) H03: The price mix dimension has no statistically significant effect on the

performance of shopping malls Nairobi Kenya.

iv) H04: The promotion mix dimension has no statistically significant effect on

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v) H05: The people mix dimension has no statistically significant effect on performance

of shopping malls Nairobi Kenya.

vi) H06: The physical evidence mix dimension has no statistically significant effect on

performance of shopping malls Nairobi Kenya.

vii)H07: The process mix dimension has no statistically significant effect on performance

of shopping malls Nairobi Kenya.

viii)H08: The shoppers’ purchase decision has no moderating effect on the relationship

between marketing mix dimensions and performance of shopping malls Nairobi Kenya.

1.5 Significance of the Study

The study was designed in a way to generate findings that add to the breadth of knowledge and serve as point of reference material for the academicians. The research findings will help them in the review of literature as a requirement for advanced studies in the area or other related phenomena in this research area. The study was able to establish the impact of marketing mix dimensions on performance of shopping mall. This would provide an insight to industry stakeholders such as tenants and mall managers’ in making strategic marketing mix decision in enhancing and improving performance.

1.6 Scope of the Study

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14 1.7 Limitations of the study

The researcher was limited and hampered by scarcity of data and lack of current research studies with respect to shopping mall on marketing mix dimension specifically in Kenya. The researcher overcame this challenge by comparing studies in different countries and infer research finding. Through use of mall intercept, it was challenging to identify the appropriate shopper in mall for the study due to their diverse demographic characteristics. The other limitation was incomplete and non-response among respondents. The research overcame this by showing the importance of research and building rapport with respondents.

1.8 Delimitation of the study

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CHAPTER TWO LITERATURE REVIEW 2.1 Introduction

The chapter summarizes the significant issues in the study from literature and empirical review. The section covers retail organization in particular shopping malls, the marketing mix dimensions as a determinant of mall’s performance and purchase decision which is an output of consumer behavior. The chapter highlights the necessary theories which anchored the study.

2.2 Theoretical Review

This section theories and models of the study are discussed in details. Reviewing the theories on the variables is important as it gives deeper insight on the retail sector performance. This section will discuss the existing theories in retail such as spatial interaction and general theory of firm growth and performance.

2.2.1 The Spatial Interaction Theory

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16 2.2.2 Theories on Firm growth and performance

For a shopping mall, performance can be attributed to an increase in sale turnover and number of shoppers who patronize the mall. According to Gopinath (2012) theories of firm growth can be divided into four categories: classical models; stochastic models; resource based models and models of learning. According to the neo-classical theory, all the firms within an industry are pushed by the existence of a U-shaped long-run average cost curve and by the goal of maximizing profit to expand their size until they reach the scale corresponding to the feasible cost (Gopinath, 2012). The process of growth is exhausted as far as the process of optimization is completed, as there is no incentive to grow beyond the optimum size (Hart, 2000). However, this is made under the assumption that firm operates in a homogenous product market and can easily expand or contract to arrive at the optimal output level.

The stochastic model argues that growth of firms is a random process and the expected increase in firm size is proportional to the current size of the firm. However, there may be other large number of systematic factors affecting growth; collectively they have little impact on firms' proportionate growth. The resource based view of the firm considers the firm as a set of resources and the focus is on what it can do with those resources. The models of learning and selection takes into account the dynamics of the firms and their level of efficiency. Firm growth is dependent on the path taken by the organization and is an organizational outcome resulting from the combinations of firm specific resources, capabilities and routines (Coad, 2009). The firm performance and survival depends on firm’s capacity to learn and adapt its strategies to the changing environment (Gopinath, 2012).

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decision making, RandD expenditure and preparedness to grow has a positive effect on overall mall’s growth (Coad, 2009).

2.3 Empirical Review

2.3.1 The Relationship of Marketing Mix Dimensions and Malls performance

Several studies carried out in different countries such as China, USA, Malaysia, United Arab Emirates, South Africa among others have empirically demonstrated the effect of marketing mix strategy, store image attributes, customer satisfaction and changing consumer behavior in relation to shopping mall performance. From retailers marketing mix, it was possible to outline a specific mix for shopping mall. Thus, there is the specific marketing mix that caters to all visitors who make purchases in shopping mall, and on the other hand other the mix focused on the business units’ i.e. performance (Ievuta, 2012). According to Mokgabudi (2011) shopping mall development has contributed to a change in consumer behavior due to availability of larger variety of goods, lower prices and one stop shopping. However the inability of many shopping malls to attract shoppers is due to their failure to recognize the diverse needs shoppers (Singh, 2011).According to El-Adly (2006) the shopping mall attractiveness factors from the shoppers’ perspective are comfort, entertainment, diversity, mall essence, convenience, and luxury. For shopping malls to be successful they must understand the consumer behaviour trends ,incorporate theirs needs in designing marketing mix strategies to enhance performance .

2.3.2 The Product Mix Dimension on the performance of Shopping Malls

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and managers may increase their competitive powers by developing marketing mix strategies revolving around these components.

According to Shanmugam (2012) study on anchor store quality in malls and economic analysis, found that there was a positive relationship between mall size, anchor quality, and variables relating to mall performance. The higher quality anchor stores, it increases valuation of the anchor goods and makes expected utility higher for most customers. Consequently, an increase in anchor quality results in greater profits for each store.

In study by Yiu and Xu (2009) on a tenant mix model for shopping mall found that tenant, mix has positive correlation on mall success. A well-planned tenant mix will determine the products variety, which will provide one stop shopping experience. This will determine retail mall patronage and the overall sales.Yavas (2001) explored on patronage motives and product purchase patterns. The analysis found that the consumer attach relative importance on range of products available in mall as most of shoppers are variety seeking and this will influence mall patronage by shoppers.

Njoka (2012) studied on factors influencing consumer choice of supermarkets in Nairobi. The study established product variety and proximity as the main factors driving customer store choice. Ndwiga (2012) examined on the factors influencing customer loyalty in supermarkets in Kenya. The study established a sharp increase in retail stores to meet the increasing demand of consumer products. This trend has made the provision of quality service critical and is now a major strategy of the retailers marketing plan. The need to retain customers has made the stores customer loyalty critical.

2.3.3 The Place mix Dimension on the Malls Performance

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centre for customer retention found that there were a close relationship between the marketing mix strategy and the customer retention. The research emphasized that marketing mix strategy such as location, product variety and leisure attraction can help to increase the malls income through satisfied shoppers revisiting the mall and buying more.

The research conducted by Burn and Warren (2005) on need for uniqueness: shopping mall preference and choice activity, established that individual choice of shopping mall may be affected by their need for individual uniqueness. Thus since store mix and product offering of many shopping malls are very similar hence discrimination may be on location. Thus, the strategic location determines the mall performance mall.

Zhuang,Tsang,Zhou and Nicholls (2006) examined on impact of situational factors on buying decisions in the context of shopping malls; they suggested that situational factors such as geographical and institutional location play a major role in sales situations, and thus deserve special attention from marketers. The study proposed that all practitioners should pay more attention to shoppers’ buying intentions and the time they spend in the mall. Thus, raising shoppers’ buying intentions and lengthening shoppers’ time in the mall can significantly increase the likelihood of them purchasing.

2.3.4 The Promotion Mix Dimension Relationship on the Malls performance

Parson and Ballantine (2004) studied on market dominance, promotions, and shopping mall group performance found that wide promotional elements adapted by shopping mall have significant effects on sales and traffic. The two key performance indicators of sales and foot traffic were used to measure effectiveness. The findings suggested that promotional type and level of market dominance have significant effects on sales and traffic.

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in generating either response, while a combination of general entertainment and price-based promotions are found to be a strong alternative way to encourage visits and spending.

Martin and Turley (2004) examined on malls and consumption motivation: an exploratory examination of older Generation Y consumers, found that older generation Y place much emphasizes on objective shopping and utilitarian benefits while visit shopping mall. The study conclude that for mall managers to be successful in drawing these shoppers must use unique sales promotion techniques as they are more interested in saving cost and value for their money.Lehew(2000) investigated on US shopping mall attributes an exploratory investigation of their relationship to retail productivity. The study found that marketing attributes such as promotional campaign and products variety were positively linked to mall productivity however super regional mall located at large densely populated cities with high income were more successful. The results also suggested that attributes of successful malls couldn’t be transferred or adapted by lower performing malls.

2.3.5 The Price Mix Dimension Relationship on the Malls Performance

The study by Yavas (2003) on a multi attribute approach to understanding shopper segments found that price competitiveness and product variety among other attributes that have high importance on shopper patronizing a mall, retention maximization and overall performance of the mall. Jin and Kim (2003) study on typology of Korean discount shoppers: shopping motives, store attributes, and outcomes; found that the overall Korean discount shoppers rated price competitiveness and convenience aspect of the patronized store most positively. These elements in turn influence patronage of mall and overall sales.

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mall and internet shopping found that consumers are attracted to the shopping mall because of its economic or functional utility e.g. comparison-shopping in the light of merchandises price. Adiwijaya (2008) explored on marketing strategies for targeted market segment based on shopping mall. The study found that understanding the requirement and uniqueness of each customer segment gives the advantages for shopping mall managers in designing appropriate marketing strategies which revolves around marketing mix in order to attract customer segments which in turn increases visitors traffic and service delivery in shopping mall.

2.3.6 The People Mix Dimension Relationship on the Malls Performance

Jayawardhena and Farrell (2011) study on the effect of retail employee behavior on customers’ service evaluation found that service and customer orientation behaviors of the employees are positively related to service encounter and quality. Thus the people element in retail mix is vital in quality service delivery. The study on the role of intimacy in service relationship Beetles and Harris (2010) found that level of intimacy between the service providers and customers is key in service delivery.

2.3.7 The Physical evidence Mix Dimension Relationship on the Malls Performance Singh and Sahay (2012) explored the composition of shopping experience found that shoppers visualize shopping experience as a combination of five factors: ambience, physical infrastructure, marketing focus, convenience, and safety and security. Major attributes of shopping mall attractiveness include comfort, entertainment, diversity, mall essence, convenience and luxury from the perspective of shoppers. In El–Adly (2007) research on shopping malls attractiveness, found that the shoppers considered a mall as attractive if it had the following attributes: comfort, entertainment, availability of international store branch, product quality, and price appropriateness, availability of after sales services, convenience, and entertainment in term of promotional campaign. Thus, those attributes in turn affected loyalty and overall sales of mall.

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In study by Deb (2012) on evaluation of customer’s mall preferences in India found that the most preferred value that determines mall preference by Indian customers is hedonic value, followed by utilitarian value. Under hedonic variable, friendly procedures and ambience are predominant. Singh et al. (2012) studied on the determinant of shopping experience and found that it is conceptualized by five key attributes and each factor had impact on desire of shopper to visit and stay at the mall.In their study the following factors impacted on the attractiveness and viability of the shopping mall i.e. ambience, physical infrastructure, marketing focus, convenience, safety, and security. According to Ahmed (2007) shopping is more than the simple, dutiful acquisition of whatever is absolutely necessary to one’s life. Thus shoppers’ expectations have changed and can describe as more discerning, less loyal, more demanding, more interested in expressing their own lifestyle and personality through purchases (Howard, 2007). Thus the process adopted by the mall must be competitive friendly and accommodative to the needs of shopper and competitive reflects the needs of shoppers.

2.3.9 Purchase Decisions and Malls Performance

Ievuta (2012) investigated on the underlying elements of the marketing strategies used to attract and create loyal customers for shopping centers; the finding concluded that sales maximization is based on proper understanding of customers’ shopping behavior. The premise of this approach is that the ease and satisfaction of the shopping process directly influences economic indicators of a center (quantity or value of sales, profits, and so on). The first step in understanding shopping behavior is to identify its factors of influence, external and internal, and the perceptual processes related to the whole process of selection of the point of sale.

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stimulation-oriented motivations, the retailer must consider the two shopping behavior in strategy development.

Mokgabudi (2011) conducted a study in township areas to investigate the effect of shopping malls on consumer behavior. The research indicated that malls development in low-income communities resulted in several benefits for consumers such as convenient location, a larger variety of goods offered at lower prices than small retailers in the area and better quality of goods. It further established that the choice of preferred shopping mall is not a rational decision based only on price but on compromise of satisfying economic, social, and psychological needs.

In the study by Nicholls ,Li and Roslow (2002) the seven year itch, mall shoppers across time, the research investigated on changes in the shopping behavior of today’s mall patrons as opposed to those in the early 1990s. The finding indicated that today’s mall patrons tend to be more leisure driven, they have a greater concern for merchandise selection, and they visit the mall less often but make more purchases per visit. The findings also revealed that situational variables are more likely to have an impact on shoppers’ purchase decisions today than they did before. Based on the study’s findings, store and mall managers must adapt number of pragmatic strategies in their marketing efforts with regard to consumers today.

From the empirical review, it is vividly clear that the study on the relationship between marketing mix strategy adaption and performance of shopping mall in Kenya is not well researched as compared to other countries, thus exist a research gap. Further research should be conducted to established whether the marketing mix strategy adaptation do affect the performance of shopping mall in other counties apart from Nairobi.

2.4 Summary and Research Gaps

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in achieving competitiveness in the market. The study is anchored on two theories i.e. spatial interaction and theory of firm growth and performance. The shopping mall must design their establishment to cater for both hedonic and utilitarian values of the shoppers.In this study the following models i.e. profit enhancement options and Market - Product grid have been used to provide guidelines on strategy adaption that will enhance overall performance of the shopping mall. Under theoretical review, the main components of the study i.e. marketing mix dimensions, shopping mall components, and performance have been discussed intensively. From the empirical review, there was a direct relationship between marketing mix adaptation and the overall performance of shopping mall. When marketing mix dimensions strategies are shoppers centric, they generate satisfaction, which in turn translates to mall’s performance. The study on the relationship between marketing mix dimensions adaption and performance of shopping mall in Kenya is not well researched as compared to other countries. Thus further research should be conducted to established whether the marketing mix dimensions adaptation do affect the performance of shopping mall in other counties in Kenya.

Table 2. 1: Summary and Research Gaps

Author/s Study Findings Limitation Research gap

Yuo, Crosby, Lizieri and McCann, (2003) Tenant mix variety in regional shopping centres

There is the positive relationship between variety and

productivity, thus the higher diversity in product variety, the higher the operational performance.

The tenant mix composition did change

overtime, affecting data collection and analysis.

A similar research should be carried out using other research design such as longitudinal to increase validity and data analysis to reduce colinearity problem.

Tuncer, Alkibay andHosga r, (2008) Turkish shopping centers; the reasons for attraction,

The study highlighted three most important reasons for choosing shopping malls: product diversity and the number of shops, closeness to home and the presence of food and beverage options.

The study was conducted in Turkey thus generalization would be difficult to other areas.

The study used chi-square analysis performed at 0.05 significance. There were statistically significant relationship between the product relationship and demographic characteristics. Further study should be conducted to test the same with other analysis methods. Karim, Kumar and Measuring shopping values

The findings reveal that hedonic shopping value measurement

The limitation of using questionnaires

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Author/s Study Findings Limitation Research gap

Rahman ,(2013) of Malaysian retail consumers.

scale is a reliable and valid scale to be used for Malaysian

consumers. However, the same could not be ascertained on the utilitarian shopping value measurement scale. and statistical methods of analysis in studying experiential and symbolic aspects of consumption.

So, further research should be carried out with regards to specific product category.

Yavas, (2001) Patronage motives and product purchase patterns: corresponde nce analysis.

The analysis found that the consumer attach relative importance on range of products available in mall as most of shoppers are variety seeking and this will influence mall

patronage by shoppers.

The research does not provide a picture of the nature of the relationship among the motives and the product

The research was conducted in one community and used correspondence analysis. Different communities could be used and other analysis methods to check on validity. Njoka (2012) Factors influencing consumer choice of supermarket s in Nairobi, Kenya

The study established that product variety and proximity as the main components driving customer store choice. The study focused on Nairobi county whereas the generalization to other counties may be difficult

Further research should be conducted in other counties to know whether the same factors are applicable.

Mburu (2012)

Exhibition a new kind of retailing: an investigatio n of factors influencing its spread in Kenya: a case study of Freemark Kenya limited

The study established that unemployment and change in consumer taste especially of the middle class are the major factors

influencing the spread of exhibitions.

The research used case study design which makes the generalization of results

impossible.

The extreme sampling technique could be adapted so as to choose the

exhibition that shows the required characteristic. Further research is needed on using other sampling design like census on all exhibition centers. El-Adly (2007) Shopping malls attractivenes s: segmentatio n approach

The study revealed six mall attractiveness factors from the shoppers’ perspective: Comfort, entertainment, diversity, mall essence, convenience, and luxury.

The study is limited as it surveyed UAE University Staff as shoppers. Thus, findings may not be representative of UAE shoppers

Further research need to conducted in

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Author/s Study Findings Limitation Research gap

in general Jin and Kim, (2003) Typology of Korean discount shoppers: shopping motives, store attributes and outcomes

The study found that the overall Korean discount shopper rated price competitiveness and convenience aspect of the

patronized store most positively

This study has limitations in generalizing the findings since it examined only in Korea, and one retail format, the discount store, with a highly Competitive market.

The cross- cultural comparisons in different parts of the world would direct future research. The use of other retail format in the study could be used to see whether price and convenience are key in patronizing decision. Zhuang, Tsang, Zhou and Nicholls, (2006)

The impact of situational factors on buying decisions in the context of shopping malls

The study suggested that situational factors such as geographical and institutional location play a major role in sales situations and thus deserve special attention from marketers.

The study had a limitation in the selection of the malls. The findings may be mall-specific rather than representative of the general population.

Logistic regression technique was applied to analyze the data. The further research could include more samples from different malls and apply other analytical technique such as multiple regression and factor analysis. Saxena, (2011) Dubai mall: a multipurpos e destination

The study found that the strategic location of mall allows easy access, attracts a larger number of customers, and increase potential sales of a retail outlet.

The research used case study design which makes the generalization of results

impossible

The focus on the study was based in Dubai, where shoppers may exhibit different cultures as compared to other parts of the world. Thus future study is necessary to prove. The validity. Khan (2011) Marketing mix strategy adaptation: a retail organisation ’s Response to the global economic downturn

The research found that the retailers did indeed adapt its marketing mix

strategy extensively in response to the global economic downturn.

The research had limitation in research design as it applied a qualitative approach and a case study methodology

The use of quantitative research design and other methodology could be used to test whether the same result would be produced. The further study should be carried during favorable economic period to see whether there is change of consumers response towards marketing mix program. Mokgabu di (2011) The impact of shopping mall developmen t on consumer

The research found that malls

development in low-income communities resulted in several benefits for consumers

The study was focused on Gauteng Alexandra region as matter of convenience.

Further studies should be conducted to test

collectivism vs.

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Author/s Study Findings Limitation Research gap

behavior in township area.

such as convenient location, a larger variety of goods offered at lower prices

The results cannot be generalized to other areas and a country due to difference in demographic profiles

should be carried out using a larger sample that will be more representative and in other places. Parson andBalla ntine, (2004) Market dominance, promotions and shopping mall group performance

The study found that wide promotional elements adapted by shopping mall have significant effects on sales and foot traffic.

The study did not address the issue of what specific types of promotion are associated with increased sales and foot traffic

The study hypothesized that greater market

dominance would increase the effectiveness of

group promotional activities, and decrease

effectiveness of local promotional activities. However, only partial support for these two

hypotheses were established. Kawai

(2009)

A study of marketing strategy of shopping centre for customer retention in Hong Kong.

The findings from the study showed that good marketing strategy can help to retain the customers in the shopping centers.

The sample is not considered big enough to explore the relationship between marketing strategy and customer retention .

Further studies are required to explore a more

comprehensive spectrum of shopping malls so as to fully understand the extent of variation in marketing mix programs. Singh andSahay , (2011) Determinant s of shopping experience Exploring the mall shoppers of national capital region (NCR) of India

The research shows that shoppers visualize shopping experience as a combination of five

factors: ambience, physical infrastructure, marketing focus, convenience, and safety and security

These results are applicable for Delhi NCR but other part of India may show different

patterns

Future studies should replicate the research in different social, economic and geographic

contexts to see if the factor composition and structure remain unchanged.

2.5 Conceptual Framework

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29 Dependent variable H01 H02 H08 H03 H04 H05 H06 Moderating variable H07 Independent variable

Figure 2. 1: Conceptual framework Source (Author, 2014)

The model constitutes seven independent variables i.e. marketing mix elements (product, place, price, promotion, people, physical evidence and process) which were measured individually on the performance of shopping mall. The dependent variable was denoted by performance of shopping mall and its key indicators were number of shoppers, service quality and delivery. The third variable i.e. purchase decision which is an outcome shopper buying behavior took a moderating role the relationship between marketing mix and performance of shopping mall variables. Further, the model seeks to establish the strength of each element, marketing mix effect on the performance of shopping mall and the moderating effect of purchase decision on the relationship between marketing mix and the shopping mall performance.

Marketing mix dimensions

Product:

 Product variety

 Quality Place:

 store location

 convenience Price:

 cost charged

 payment method Promotion

 Personal selling

 advertising

 Sale-promotion People

 Service providers Physical evidence

 ambience Process

 procedures

Performance of shopping mall

Numbers of shoppers. Service quality

delivery.

Purchase Decision:

 Product choice

 Brand choice

 Store choice

 Purchase amount

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CHAPTER THREE RESEARCH METHODOLOGY 3.1 Introduction

This chapter describes the methods and procedures used to carry out the research study. It is divided into: research design, population, empirical model, sampling, data collection, data analysis and reliability, validity and the ethical considerations to be made before, during and after the study.

3.2 Research Design

This study used descriptive and exploratory research design. Descriptive design is useful in obtaining evidence regarding an existing or current phenomenon (Churchill and Iacobucci, 2005). The study used cross sectional research design as it involved a one-time interaction with respondents as it enabled the researcher gather data, knowledge and beliefs of the entire population under study (Kombo and Tromp, 2006). The choice of this design is informed by the need to allow a better understanding that helped the researcher to establish the state of affairs, as they exist at present, of the conceptions and values of the study topic (Kothari, 2004).

3.3 Target Population

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31 Table 3. 1: Target Population

Shopping Malls Location

1 Village market Gigiri 1

2 Sarit centre Westlands 1

3 Galleria Langata 1

4 T- Mall Nairobi West 1

5 The Junction Ngong Road 1

6 Greenspan Eastlands Donholm 1

7 Prestige plaza Ngong Road 1

8 Thika Road Mall Uhuru Highway 1

9 Highway Mall Kasarani -Thika Road 1

10 Panari Centre Mombasa Road 1

11 Capital Centre Mombasa Road 1

12 Eastgate Eastlands Donholm 1

13 Taj Mall Embakasi 1

14 Mountain mall Kasarani-Thika Road 1

15 Yaya Centre Kilimani 1

16 Karen shopping Centre Karen 1

17 crossroad Karen 1

18 The mall Westlands 1

19 Diamond plaza Parklands 1

Total 19

(Experience Kenya, 2014; Virtualtourist 2014; Nairobicityguide,2014; Martketplaces,2014) 3.4 Sampling Design

Figure

Table 2. 1: Summary and Research Gaps Author/s Yuo,
Table 2 1 Summary and Research Gaps Author s Yuo . View in document p.40
Table 3. 1: Target Population
Table 3 1 Target Population . View in document p.47
Table 3. 4: Reliability test Variable
Table 3 4 Reliability test Variable . View in document p.51
Table 3. 5: Regression Analysis for Hypotheses Testing Objective Hypothesis Statistical method of
Table 3 5 Regression Analysis for Hypotheses Testing Objective Hypothesis Statistical method of . View in document p.52
Table 4. 1: Demographic characteristics of the respondents
Table 4 1 Demographic characteristics of the respondents . View in document p.56
Figure 4. 1: Type of respondents
Figure 4 1 Type of respondents . View in document p.56
Figure 4. 2: Experience with the shopping mall
Figure 4 2 Experience with the shopping mall . View in document p.57
Table 4. 2: Product Mix Dimension
Table 4 2 Product Mix Dimension . View in document p.58
Table 4. 3: Place Mix dimension
Table 4 3 Place Mix dimension . View in document p.59
Table 4. 4: Promotion Mix Dimension
Table 4 4 Promotion Mix Dimension . View in document p.60
Table 4. 5: Price Mix Dimension
Table 4 5 Price Mix Dimension . View in document p.61
Table 4. 8: Process Mix Dimension
Table 4 8 Process Mix Dimension . View in document p.64
Table 4. 9: Shopping Mall Performance
Table 4 9 Shopping Mall Performance . View in document p.65
Table 4. 10: Resultant variables
Table 4 10 Resultant variables . View in document p.67
Table 4. 19: Coefficients for Promotion Mix Dimension
Table 4 19 Coefficients for Promotion Mix Dimension . View in document p.74
Table 4. 21 ANOVA
Table 4 21 ANOVA . View in document p.75
Table 4. 20: Model Summary
Table 4 20 Model Summary . View in document p.75
Table 4. 22: Coefficients for Price Mix Dimension
Table 4 22 Coefficients for Price Mix Dimension . View in document p.76
Table 4. 23 Model Summary
Table 4 23 Model Summary . View in document p.77
Table 4. 24  ANOVA
Table 4 24 ANOVA . View in document p.77
Table 4.25: Coefficients for People Mix Dimension
Table 4 25 Coefficients for People Mix Dimension . View in document p.78
Table 4. 12: Model Summary
Table 4 12 Model Summary . View in document p.79
Table 4. 27: ANOVA
Table 4 27 ANOVA . View in document p.79
Table 4. 27: Coefficients for Physical evidence Mix Dimension
Table 4 27 Coefficients for Physical evidence Mix Dimension . View in document p.80
Table 4. 13: Model Summary
Table 4 13 Model Summary . View in document p.81
Table 4.29: ANOVA
Table 4 29 ANOVA . View in document p.81
Table 4. 14: Coefficients for Process Mix Dimension
Table 4 14 Coefficients for Process Mix Dimension . View in document p.82
Table 4. 32: ANOVA
Table 4 32 ANOVA . View in document p.84
Table 4. 15: Coefficients for Overall Model
Table 4 15 Coefficients for Overall Model . View in document p.85
Table 4. 34: Coefficients Overall Model with Moderating Effect
Table 4 34 Coefficients Overall Model with Moderating Effect . View in document p.87
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