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Employee behaviour effects on sales and buying

Pakistan Army work to protect country to others and our soldiers are also our hero. They work inside the Pakistan in any crises situation. But it’s also working to build Pakistan and try to support Pakistan economy through business. In other angle Pakistan Army is a strong business group in Pakistan and have largest business unit in Pakistan like FFC, Askri Bank, Fuji Foundation, Pakistan Shaheen Airways, Hospital, Universities, ASP shoe unit, NLC and also have Textile unit. In this portfolio the one of biggest segment is in retail store chain in Pakistan (CSD Canteen Store Department). All projects are working and give high turnover profit. But in retail store have problem which is growing properly as compare to others retail chain in Pakistan.

CSD Canteen Store Department is largest retail store in Pakistan working under Ministry of Defense. They have a strong business strategy but they cannot fill business gap and multinational companies like Macro, Metro, Hyper Star, and Wall Mart can invest in Pakistan and very short period of time grow business strongly. CSD have 200+ shopping outlets all over the Pakistan which have Shopping Store, Mini Mart, Shopping Complex and Mega Mall. Presently, Top management has been changed and now Major General (R) Farooq can control CSD as a Managing Director. He was very thirsty to know where is the problem exist and how to control it in a very short period. He can take some decision on urgent based which have; recruit fresh and foreign expert marketing staff hired and start to design new strategy for CSD business. For this purpose they can start from market survey and complete reassessment of business like over suppliers, over employees, our process, our strategy, our shopping complex, our technology…

One of reason is that CSD firstly appointed retired army person as an employee which not professional in retail store chain. That’s why the researchers can focus on CSD employees and its behavior in shopping complex. In this research proposal the researcher can discussed on the employee behavior can effects on customer buying.

Introduction to the organization is not necessary in research proposal but her the researchers can mentioned about CSD and its major functioning and hierarchy.

About CSD

Canteen Stores Department (CSD) is one of the most prestigious chains of retail stores in Pakistan committed in serving the Armed Forces Personnel, civil employees, residents and their dependents throughout the country. It provides quality products at competitive prices. In new era, CSD has ventured in establishing new stores, equipped with modern facilities and high standards of customer service. CSD has various sections.

Introduction

The Canteen Stores Department (CSD) has passed through various stages of development since 1913 as follows:-

After World War I, the Army Canteen Board was the first venture initiated primarily to cater for the British Forces stationed in the Indian Sub-Continent.

During 1927-28 the Army Canteen Board was liquidated in favour of Canteen Contractors Syndicate Ltd. The finances were raised on the basis of shares held by each contractor for the contract or contracts approved in his favour by the Quartermaster-General in India. The Articles of Association drawn up and signed between the Secretary of State for India and the Government of India provided that in the event of War the Canteen Contractors Syndicate would be taken over by the Government of India lock stock and barrel.

In 1942, a contingency did arise with World War II as a result of which the Canteen Contractors Syndicate became the Canteen Stores Department, Government of India.

After World War II, during 1947 Government of India returned the share capital investment along with the agreed dividend to the Canteen Contractors on the Share Register.

On independence in Aug 1947, the assets of the Canteen Stores Department India were divided in an agreed proportion of 2/5 and 3/5 respectively between Pakistan and India. As a result of which the “Canteen Stores Department of Pakistan” emerged catering for the Armed Forces of Pakistan under the control of the Ministry of Defense.

Consequently, CSD inherited three Transit Depots loc at Karachi, Rawalpindi and Patanga (East Pakistan). All major stations had officers’ shops run by the Corps of Ordnance while the units had canteens run by the contractors.

In 1960, all Officers Shops were taken over by the Canteen Stores Department. With a new Role/Status this gave growth to the Wholesale and Retail Shops CSD to cater for all ranks and not for Officers only.

The details about the Department are covered in the subsequent paragraphs as follows:-

Mission

Role

Organization

Mission

CSD is providing service to the Armed Forces of Pakistan as well as other departments of Ministry of Defense with the following mission:-

To supply entitled personnel with standard quality articles of daily use, other than those supplied from the Government or other authorized sources, at reasonable rates through its own retail outlets and unit canteens.

To form the basis of an efficient canteen organization in peace and war for troops located any-where in the country and operational areas.

Role

CSD's status is that of a Non-Government Commercial Organization under Ministry of Defense, meant for the welfare of Armed Forces Personnel, as well as those paid through defense estimates. This dual role of being a commercial organization with welfare orientation is performed by CSD as follows:-

As a Commercial Organization. CSD raises its own funds, buys and sells all items like other business organizations. CSD neither has any exemption from duties/taxes/levies etc nor gets any subsidy or fin sp/assistance from Government or other sources ever since its designation was changed (since 1959). However being part of Min of Def it is provided with the following:-

Government land for construction of CSDs, storage accommodation and offices.

In some of the stas Government accommodation has also been provided on normal rent for CSD offices, shops and bulk storage.

As a Welfare Organization. CSD tries to provide maximum possible relief to the customers by keeping its prices lower than the mkt. Of late, we are trying our best to keep the rates lower than Formation Welfare Shops and as far as possible even lower or at least at par with Utility Stores. Apart from this, CSD provides job opportunities to ex-servicemen as well as their wards. Generally, their share is about 50% out of the total work force of 1728 personnel (including 41 officers).

Entitlement

As per the SPAO, following are entitled to utilize the facilities of CSD:-

Armed Forces Personnel and their families.

Mujahid, Janbaz Forces.

Personnel of Civil Armed Forces.

Defense Services Group (Old MODC).

Retired Personnel and their families.

Civilians paid out of Defense Budget.

Government servants of Grade-17 and above and their families.

Foreign Military Attaches in Pakistan and officers of UNO.

Others when specially authorized by the QMG.

Lately, the CSD has been opened to all citizens of Pakistan. Those living in Cantonments and surrounding areas are greatly benefiting from this facility. This has facilitated lowering of prices but still earning by selling large volumes like the whole sellers. Thus providing desired relief to all customers.

Organization

There are following three main tiers of organization in CSD:-

Board of Control (BOC).

Head Office (HO).

Field Organization.

Unit canteens, though not integral part of CSD organization, may be treated as the fourth tier, because they are supposed to extend CSD facilities to the troops within the unit lines by procuring goods from CSD both in peace and war.

Board of Control. Board of Control lays down general policy and exercises con of CSD. Its composition is as followings:-

QMG - Chairman

Rep Ministry of Defense - Member (Senior Joint Secretary)

Rep Ministry of Finance (Mil) - Member (FA Army)

Rep Pakistan Navy - Member

Rep Pakistan Air Force - Member

Managing Director, CSD - Ex-Officio Member

Secretary, CSD - Secretary

Head Office. The MD executes the policy of the Board and is responsible for the efficient functioning of the Department. The MD is assisted by the following Directors of the rank of Col/Lt Col, who head their respective Divisions at the Head Office:-

Director Personnel & Administration - DHR&A

Director Purchase & Supply - DP&S

Director Stores & Distribution - DS&D

Director Finance & Accounts - DF&A

Director Hire Purchase & Confiscated Goods - DHP&C

Field Organization. The field organization has been divided into four zones, i.e., Karachi Zone (HQ-Karachi), Lahore Zone (HQ-Lahore), Rawalpindi Zone (HQ-Rawalpindi), Peshawar Zone (HQ-Peshawar) and Quetta Zone (HQ-Quetta). Each zone is being looked after by the Zonal Manager, an off of the rank of Col / Lt Col (Red). Presently, the Department has 103 outlets for selling CSD goods which includes 5 depots (for bulk selling) one each at Peshawar, Rawalpindi, Lahore, Karachi & a sub depot at Quetta,  94 shops (including one Mobile Shop) and 4 petrol pumps in various cantonments of Pakistan.

Business Operation

Procurement – Enhancing Supplier Base.  CSD is emerging as one of the largest and modern chain of retail stores in Pakistan, having its outlets all over the country. CSD provides quality products at competitive prices. In new era, CSD has ventured in establishing new stores, equipped with modern facilities and high standards of customer service. In order to feed such stores with increased customer flow, procurement has been stream lined, made effective and very proactive. Bulks of the products are being procured from ‘Producers’ to eliminate middle man. The ‘supplier’s base’ has been enhanced specially by registering CSD for ‘E’ Procurement with M/S Tejari Pakistan which has put CSD in a better negotiating position. During FY 2007-08, total procurement of Rs. 4290 million was carried out by CSD. During second half year, all our procurements of Groceries and Raw Material for Poly Project were made by creating auctions on platform of M/S Tejari Pakistan. This was not only quick and simple in tendering but also has helped CSD in bringing more transparency and effective savings in procurement.

Low/Competitive Pricing. The new vision envisaged working on low profits, selling large volumes thus, passing on relief to more customers and at the same time generating more profits through huge turnover. This policy was practiced nationwide. CSD’s selling prices were fixed based on correct assessment/svy of prices and competing well with compatible retail markets such as Army Welfare Shops (AWS), Utility Stores Corporation (USC) as much as possible despite subsidies provided by the Govt to USC.

Discounts from Suppliers. During this year, we obtained discounts amounting to Rs. 26 million from various firms.

Relief to Customers. In financial effects a relief of Rs 52.18 million was passed on to our clientele during FY 2007-08.

Extension of CSD to Unit Canteens and Rebate to Contractors. To facilitate tps at grass root level i.e at the units, CSD had been providing items on rebated price as per SPAO 17/91 to Unit Canteen Contractors. However, over a period of time Unit Canteen Contractors had stopped purchasing items from CSD for various reasons. Now, on dir of the COAS, CSD is extending its services to the tps by providing all items to Unit Canteen at its landed cost, while canteen would sell these items to tps at CSD’s price thus, all unit canteens would really act as “Extension of CSDs”.

Special Rebate to AF Pers. On the directive of COAS, CSD was asg to eval provision of special rebate of 5 to 10% to AF pers on shopping at CSD. A comprehensive study was carried out and presented to the Chairman Board of Control/QMG. After approval of the same, the case was submitted and discussed with COAS who has very kindly approved provision of 5% addl rebate to all married AF pers living in cantts in Govt accn or in hired one. Modalities are being finalized with expansion of IT to all shops for phase wise implementation of COAS directive.

Sale of Uniform Cloth at CSD only. Again on the directive of COAS, Army has stopped uniform to the tps instead CSD has been tasked to sell all types of uniform cloth to tps on payment. Large qty of uniform cloth has already taken over by CSD and selling the same at various stas.

Induction of New Products

Dev/induction of new products with CSD brand is being followed with speed. We have added rice, special sugar, all pulses duly cleaned and ready to cook in all zones, condiment, basin, dates as  Ramzan Special and Chakki Atta.

(2)     New imported stuff on economical prices has also been inducted.

Distribution/Stock Management

a.       Distribution. To ensure timely availability of max items at each outlet, a comprehensive replenishment program exists; adequate stocks are maintained at local/outstation shops and Depots. To attain a comfortable financial flow, bare min stocks to cater for requirement of 15/20 days of sale are being kept at local and outstation Shops. Most of the stocks are delivered by suppliers directly at major shops and at Depots, thereafter bulk breaking is done for further distribution to smaller shops of far flung areas.

b.       Control of Losses. Stock taking of each shop is done on monthly basis. Besides, due to increased frequency of Surprise Stock Taking by the central team and effective mechanism, ‘NO’ case of theft/embezzlement has been found or registered during period July 2006 to date.

 

c.       Stock Management. The inventory had been monitored, regulated and distributed as per demand at various locations and resultantly attained very comfortable position.

Stock–Viz-Sale (Rs in Million)

S/No

FY

Stock Held

Sale

Turn Over

1.)

2004-05

235

1966.64

8.36

2.)

2005-06

297

2808.24

9.45

3.)

2006-07

315

3128.77

9.93

4.)

2007-08

339

4142.64

12.22

d.       Quality Management  

CSD Management ensures procurement of best quality products for its customers. Quality of all products is ensured through fol means at the time of induction/procurement:-

Visual insps.

Cooking tests (where required for eatables).

 Lab tests, where req through NIH and PCSIR labs.

Quality assurance tests of uniform cloth through ASIDs/ IAS&C.

100% physical checking and cleaning of all condiments of all pulses before packing through digital scales.

Various products are tested for Quality Con occasionally by own team as well as on receipts of complaints from customers. Items found of inferior quality are removed from shop racks and deleted from CSD list. Business is discont with firms providing inferior products.

CSD procures best quality grocery items for its clientele. It is ensured that quality is maintained through the period of validity of the contract (qtrly/yearly).

Promo / Media Activities. Selective / targeted promo and media activities, being one of the imp elms of any retail business, were carried out to disseminate info about CSD products, which has not only contributed in enhancing ‘Customer Flow’ but also raised it’s image. The activities were carried out in collaboration with various companies incl the fols:-

Lucky Draw Schemes, Free / wet sampling, give aways etc.

Free Service / tuning camps were arranged by team of professionals of Honda, Yamaha, Qingqi Motor Cycles at our outlets to facilitate CSD customers. During the year 1188 motor cycles were checked / serviced.

Promo through print and electronic media i.e. newspapers, selected magazines, Radio Commercials and local TV networks.

Promo materials i.e. brochures, banners, flyers, table calendars were also prepared in sp of our business activities.

In-store branding was also carried out in which CSD earned substantial amount. It incl renting out spaces, branding of store pillars, check out counters, cat signs and ‘Narrow Casting’.

CSD vehs were branded which acted as Mobile ad and contributed in dissemination / persuasion to a very large segment specially wherever, our Mobile CSD self service shops were sent to reach out to the isolated military population.

All About Life Style Exhibitions. To enhance CSD’s image/enlarge customer base and for nation wide introduction, CSD participated in ‘All About Life Style Exhibitions’ organized by Dawn Group at Convention Centre Islamabad on 1 & 2 Dec 2007, Fortress Stadium Lahore on 8 & 9 Dec 2007 and Expo Centre Karachi on 23-25 Feb 2008.

Inc in Trade Sale. Increase in variety of items on lower/competitive pricing, dynamic distribution / placement of products at our outlets supported with timely activity based Promo, contributed towards tremendous ‘Customer Flow’ at our outlets. Resultantly, it paved way for higher growth of our business. During FY 2007-08 sales inc by over 31% viz-a-viz the previous FY 2006-07.

Hire Purchase Scheme. CSD is running Hire Purchase Scheme for the welfare of Armed Forces Personnel. Under this scheme durable house hold items to include Cars, Motorcycles, Refrigerators, Deep Freezers, Televisions, Air Conditioners, Computers, Generators, Sewing/ Washing Machines, Fans and Bicycles etc are sold to troops on easy installments. This scheme is very popular amongst the Armed Forces Personnel being lucrative/soft terms and conditions. CSD Management makes sincere efforts to meet the ever increasing demands of entitled customers. To make the subject scheme simpler and customer friendly, CSD Management has taken number of measures. Some of these are as follows:-

Simplification

HP Application Form has been revised/simplified and reduced to one page instead of previous 4 to 6 pages. The same is available on our website and can be downloaded.

Requirement of surety has been reduced to one.

Facility for deposit of HP applications at decentralized Business Centers and rectification of minor objections on the spot has been provided.

Processing of HP Applications and delivery time has been reduced to a maximum of 72 hours as compared to the three months or more, previously.

Purchase limit has also been enhanced from 10 to 15 gross salaries enabling troops to buy more items on easy installments.

Decentralization. Previously all applications were received and processed at Head Office Level which took more time and added difficulties for the customers. Now this process has been decentralized by establishing HPBCs at various stations which is more effective.

Establishment of Hire Purchase Business Centers (HPBCs). 34 x HPBCs with independent Telephone lines have been established at various stations to provide speedy information about HP Schemes, Issue /receipt of applications forms, receipts of Release Orders and issue of release items. Also attending to the queries/objections of customers.

Customer Service Center.  HP Customers Service Center (CSC) has been established which provides speedy access to information and resolution of complaints. Following main activities are being performed at CSC:-

Receipt of Application forms.

Case status query and objection handling.

Issuance of Application forms, Retirement, No objection certificate and price list etc.

Additional Benefits to JCOs and Soldiers.  In order to extend more benefit to the entitled Persons CSD has revised the existing authorization/entitlement policy for HP items to all ranks as follows:-

On greater demand from JCOs/equivalent ranks of PAF / PNS, purchase of cars up to 1000 cc under CSD HP Scheme has been allowed to them.

Purchase limit has been increased from 10 to 15 gross salaries to enable troops to buy more then on installments.

Complete Waiver of Dues for Shaheed/Deceased HP Members. Complete CSD waiver of dues in case of shahadat or unforeseen death of CSD HP members has been done purely on humanitarian grounds for the welfare of  bereaved families.

Remittance of HP Instls through Online Tfr: In order to finalize the customer account efficiently online banking system has been introduced, through all branches of Faysal Bank Ltd and designated branchs of HBL and MCB. Deposit Slips are available at each branch for deposit of down Payment / Installments.

Customer Feed Back.

Being a customer Oriented organization; CSD management caters for the customer needs and to facilitate them, by providing befitting shopping atmosphere and quick response to their suggestion/observation. On the direction of Chairman, BOC, Customer Feed Back system was introduced based on which Customer Cards were placed at each Shop (Specimen of Customer Cards attach). This system is functional since Oct 2007 and has proved fruitful for the CSD management. Following are the salient’s:-

Cards and Email received at HO are put up to MD immediately. In the light of MD’s remarks, complaints / suggestions given by the customers are investigated/dealt with properly and accordingly suitable reply is forward to the customers duly signed by the MD.

It has served the purpose of Promo, as interaction with customer through these cards / replies and telephone contact has built up confidence upon each other.

True feeling of customers reach to CSD Management through prepaid cards which help to evolve / improve their strategy / weak areas.

This serves as a check on the shop staff as they know that customers will forward the complaints / observations if they are not attended properly.

Statement of the Problem

(CSD Employee Behavior Can Effect On Sales And Customer Buying Behavior.)

The major factor which can change the customer behavior for purchasing is shop employee behavior. In this study our group members of research can identify that is this problem can effect on sales or not?

Lots of things matter in retail chain business but most important is employee behavior towards customer. These factors involved

Employee body language.

Employee getup, look

Employee communication skills

Behavior on Customer services desk

Behavior from entrance and existing

Dealings with customer

Shelves staff

These are the major points which can directly effect on customers buying behaviors and researcher can proof with conducting this research. If in any hyper retail chain where we introduce technological change, give healthy environment, quality of product, friendly layout, but they ignore employee behaviors, body language, then its directly damage our sale graph. For this purpose we conduct survey in CSD Shopping Complex Lahore to identify the major problem facing through different resources like customer, employees, hire management, previous work on employee behavior and customer buying decision.

Purpose

The goal of this study is to understand the effects of employee behavior on customer buying behavior and sales, also give powerful solution to overcome this problem in CSD retail store chain.

Significance of the Study

Important of study:

In Pakistan there is huge market gap in retail store, cash & carry, and all shopping under in one roof. Mostly, this gap filled by international companies with his own culture and design, but Pakistani investors have face large hurdles to take initiative in this profitable venture. My research can identify the major problem face in Pakistan which is professional manpower. One important factor is employee behavior and its feature and drawback. Secondly, how we use this resources for increasing sales graph day by day. Thirdly, my research also give some dramatically solution to solve this problem.

This study can directly beneficial for CSD to highlight the problem and design new strategy to compete others competitors in the market. And show the importance of employee behavior can give positive change in retail business without any other investment.

This research can help to use human resource to manage others resources for smooth functioning of CSD (Canteen Store Department) and become a positive change in retail business as compare to others Army business which are discussed in start.

Research Questions

The research questions for this study will be:

What are the attitudes of the employee in shopping complex?

Does employee have good communication skills?

Have employee good body language during job?

Are customers satisfied with services desk?

What type of service provide in retail business after sales?

Is there difference between CSD employee and Hyper Star Employee?

Also a practices work required for that research first study customer behavior and sales whole month without any change. Then trained employee and also hire professional employee with effective good behavior and then check customer buying behavior and sales graph.

Is there a significant difference between two months or not if not then its no effect on employee behavior in customer buying behavior?

Is there a significant relationship between two months or not?

Chapter II – Background

Chapter II is a review of the literature. It is important because it shows what previous researchers have discovered. It is usually quite long and primarily depends upon how much research has previously been done in the area you are planning to investigate. Here we discussed some previous has been done on related topics

This study addresses the issue of whether positive employee attitudes and behaviors influence business outcomes or whether positive business outcomes influence positive employee attitudes and behaviors. We hypothesize that employee satisfaction, organizational citizenship behavior, and employee turnover influence profitability and customer satisfaction. Data were gathered from the units of a regional restaurant chain via employee surveys, manager surveys, customer surveys, and organizational records. Cross-lagged regression analyses show that employee attitudes and behaviors at Time 1 are related to organizational effectiveness at Time 2. Additional cross-lagged regression analyses show no significant relationship between organizational effectiveness at Time 1 and the employee attitudes and behaviors at Time 2. These results add to the evidence that HR outcomes influence business outcomes, rather than the other way around.

This study examined the relationship between human resource practices, employee quit rates, and organizational performance in the service sector. Drawing on a unique, nationally representative sample of call centers, multivariate analyses showed that quit rates were lower and sales growth was higher in establishments that emphasized high skills, employee participation in decision making and in teams, and human resource incentives such as high relative pay and employment security. Quit rates partially mediated the relationship between human resource practices and sales growth. These relationships were also moderated by the customer segment served.

Dining in a table-service restaurant is a multilayered experience that involves at least three types of clues. Although food quality is basic, the ambience and service performance greatly influence a customer’s evaluation of a particular establishment. Diners use the following types of clues to judge a restaurant experience: functional—the technical quality of the food and service; mechanic—the ambience and other design and technical elements; and humanic—the performance, behavior, and appearance of the employees. While customers’ perceptions of mechanic clues are positively related to their expectations of the service, humanic clues dominate the influence of mechanic clues. Ideally, managers should orchestrate both humanic and mechanic clues to deliver a consistent service message.

We measure the links between store attribute perceptions and customer satisfaction, and between customer satisfaction and sales performance. Our data set consists of six waves of customer satisfaction and sales data for about 250 retail outlets over the period 1998–2001 for a publicly held supermarket company. We construct a statistical model to address nonlinearities and asymmetries in the satisfaction-sales performance links, and we illustrate how retailers can affect store revenues by managing customer satisfaction. Contributions of our study include the analysis of behavioral consequences of customer satisfaction in the food retail sector, the accommodation of complexities in the satisfaction-sales performance links based on an empirical model of first differences, and a discussion of how managers can employ the results for customer satisfaction policies.

Using a national random telephone survey of 542 shoppers, examines the relationship between service quality, customer satisfaction, and store loyalty within the retail department store context. Tests two complementary models that examine this interrelationship. Empirically examines the relative attitude construct put forth by Dick and Basu. The results indicate that service quality influences relative attitude and satisfaction with department stores. Satisfaction influences relative attitude, repurchase, and recommendation but has no direct effect on store loyalty. Fostering favorable relative attitude and getting customers to recommend the product or service holds key to fostering store loyalty. Results also indicate support for Oliver’s four-stage cognitive-affective-conative-action model of loyalty.

Retail stores are segmented using socioeconomic characteristics of the trade area, and it is shown that the effects of store environment on store performance vary across segments. Store performance is measured by a market-based measure—sales and a productivity-based measure—sales per square feet. The internal store environment includes the number of checkout counters per square foot of selling area, the number of nongrocery products sold (extent of scrambled merchandising), whether the store at least doubles manufacturers’ coupons, whether there is a banking facility, and whether the store is open for 24 hours. The external store environment includes the type of neighborhood it is located in. A methodology for predicting store performance (for existing and new stores) based on the type of environment and store location by using aggregate secondary data is demonstrated. The proposed models are estimated and validated using Market Metrics geo and demographic data for 646 grocery stores provided by A.C. Nielsen. It is shown how the findings of this retail environment study can be used to offer guidelines to retailers for attaining desired levels of sales and sales per square feet by using readily available data.

Motivations to engage in retail shopping include both utilitarian and hedonic dimensions. Business to consumer e-commerce conducted via the mechanism of web-shopping provides an expanded opportunity for companies to create a cognitively and esthetically rich shopping environment in ways not readily imitable in the nonelectronic shopping world. In this article an attitudinal model is developed and empirically tested integrating constructs from technology acceptance research and constructs derived from models of web behavior. Results of two studies from two distinct categories of the interactive shopping environment support the differential importance of immersive, hedonic aspects of the new media as well as the more traditional utilitarian motivations. In addition, navigation, convenience, and the substitutability of the electronic environment to personally examining products were found to be important predictors of online shopping attitudes. Results are discussed in terms of insights for the creation of the online shopping webmosphere through more effective design of interactive retail shopping environments.

Effects of perceived merchandise and service quality, relative to competition, on retail store performance are investigated using store traffic and revenue growth as outcome variables. A model is proposed and tested using aggregate customer data and store performance outcomes from a group of stores owned by a national retail organization. Results suggest that both service and merchandise quality exert significant influence on store performance, measured by sales growth and customer growth, and their impact is mediated by customer satisfaction. Implications of the results and future research directions are discussed.

Using a stimulus-organism-response (S–O–R) framework, this study examines the S–R relationship of consumer retail behavior. In particular, we focus on how consumer perception of the attributes of store image affects their preference for the stores. The stimuli that pertain to store attributes include merchandising, store atmosphere, in-store service, accessibility, reputation, promotion, facilities and post-transaction service. Consumers’ preference is based on their post-visit ranking of the stores. Eight hypotheses were developed and tested with data collected from a survey using a random sampling approach. Results from a polychotomous regression analysis identified the following attributes as significantly influencing consumer preference: merchandising, accessibility, reputation, in-store service and atmosphere of the stores. Applicability and implications of the findings as well as suggestions for further research are discussed.

Recently, significant attention has been focused on customer satisfaction. However, few studies link satisfaction with performance, and even fewer studies examine this link through the use of time-series data. In this study, a longitudinal analysis of satisfaction and performance for a national chain of fast-food restaurants is conducted. A total of 342,308 consumer responses, 3,009 employee responses, and 12 months of restaurant performance measures are analyzed. Whereas there is a positive and significant relationship between customer satisfaction and employee satisfaction in any one given time period, no significant relationship between customer satisfaction and performance, and employee satisfaction and performance, is uncovered in this cross-sectional analysis. However, the analysis of time-series data reveals that a positive and significant relationship exists between changes in customer satisfaction and changes in the performance of the firm. Therefore, the impact of an increase in customer satisfaction on profits, although obscured in the short run by many factors, is significantly positive in the long run.

This study attempts to examine the impact of service quality dimensions on customer loyalty, on two levels of retail relationships: person-to-person (salesperson level) and person-to-firm (store level). A total of 1,261 surveys were administered to shoppers who were leaving a large chain departmental store in Victoria, Australia. The results showed that service quality is positively associated with customer loyalty, and that the relationship between the two is stronger at the company level, rather than at the interpersonal level. Specifically, among the dimensions of service quality, the most significant predictor of customer loyalty at a company level is tangibles, while the most significant predictor of customer loyalty at an interpersonal level is empathy. Further discussion and managerial implications can be drawn from these findings.

Although researchers have suggested that the performance of the salesperson during sales encounters is critical, many of the underlying mechanisms that govern the interaction between salespersons and customers are still unclear. In this research, we investigate sales encounters from a new approach based on the field of research of interpersonal perception. Results demonstrate that drivers of customer satisfaction may also be satisfying for the contact employee. Additionally, we find that customer satisfaction is not only determined by the customer’s own perceptions, but also by the perceptions of the employee. Similarly, employee satisfaction is driven by the customer’s perceptions. Finally, our study identifies that perceptions of employee performance and satisfaction do not only reflect the unique interaction between the customer and the employee, but also relatively stable characteristics of the employee.

Chapter III - Methodology

The methodology section we describes the basic steps to complete my research. So that first of all I describe the steps involved in methodology are mentioned given below.

The basic research standard is:

     1) Define the population

     2) Draw a representative sample from the population

     3) conduct research from the given or selected sample

     4) Infer your results from the sample back to the population

Population:

"The population for this study is defined as all adult customers who make a purchase in our stores during the sampling time frame.

Sample:

In this research we can select method to conduct result from given sample through survey. Which have almost required two months time periods for completion of survey and in this survey we select all population during sample period.

Instrumentation

In this research we focus survey which is comparison with two months sales graph in different environment. First month sales observe without any change and in second month can be observe with little bit moderation through changing employee behavior, body language, communication skills with the help of training and hired trained and educated staff. Also highlight that during observation month one team monitor customer reaction, behavior, body language during purchasing and check suggestion box also.

Procedure and time frame

Before preparation of research proposal the researcher move forward to next step which have to collect organization data to understand about organization. Then they move to literature review and collect previous data on the same or concerning topic regarding retail store and customer behavior as well as employee behavior. In third steps the researcher can collect data on topics through different resources like employees, customer, shopping complex observation. Then the researcher can conduct survey within two month to compare the result on sales before and after implementation of changing. At last measure data in statistically formats to analysis result, and interpreter result to the persons which are interested to show result. And also at end briefly express about suggestion on that how to overcome this problem and increased sales also. Total time period required till presentation is three and half months. It’s calculated according to researcher proposal plan but might be fluctuate 5% period.

Validity and reliability

As mention in above there is simple method used to collect survey, where the researcher compares two months report. And secondly, observed the customer behavior about that. Secondly conduct questionnaires from general customer which are not bound to shopping from CSD or others shopping complex and also consider employees views, This all process will be held in simple way that’s why there are no longer issue about validity and reliability of research. But as well as the drawback concerned about research, the researcher attached with experts to assure validity and quality of research. Where the researcher can measure all type of validity like face, content, and construct validity.

Chapter IV - Results

Description of the sample

In this survey we select all customers which are purchase product from CSD shopping complex Tufail Road Lahore Cantt. Where we face 90% loyal customer and 10% irregular customer, but now 90% customer also dissatisfy purchasing product from CSD. These 90% customers are belonging to Armed Forces and its families also. But in previous here also involved those families which These Nearly all research collects various demographic information. It is important to report the descriptive statistics of the sample because it lets the reader decide if the sample is truly representative of the population.

Analyses

According to the collection of data from CSD the can analysis that through numeric formats by using statistics. By using this data we can only analysis it not explain the result in an express format. So according to the data the researcher measured that question given below:

     1) Restate the research question using the exact wording as in Chapter I

     2) If the research question is testable, state the null hypothesis

     3) State the type of statistical test(s) performed

     4) Report the statistics and conclusions, followed by any appropriate tables.

Chapter V - Conclusions and recommendations

Discussion & Recommendations

In last of research according to the result we can discussed in detail and give recommendations regarding specific topics which can also reflect our research relationship between dependent and independent variable.

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