Factors influencing consumers buying decision of Domestic Leather Shoes: Case of Jimma Town

Abstract

Consumer decision making has become more complex and is considered to be difficult issue to deal with. They may not even know their own deeper inner motivation or they may react to affecting factors in the last moment and simply change their mind. Hence understanding consumers’ motivation, needs and preferences are important to marketers and manufacturers. Domestic shoe factories are less competitive even in domestic markets. Different reasons may be tipped for this to happen, however, there is a little knowledge in a comprehensive manner on consumer buying behavior of domestic leather shoe. The purpose of this study was to identify the factors that influence consumers buying decision of domestic leather shoe on Jimma consumers and give recommendation on the problems. The study used explanatory research design, for this study is a casual type. The study used both primary and secondary data. The primary data was collected from 362 respondents at Jimma markets through self administered questionnaire using convenient sampling technique, and an interview was also be conducted. The secondary data was collected from journals, articles and books. Descriptive statistic was used to describe the profile of respondents. Binary logistic regression analysis was used to make an inference from the analysis, and see the influences of explanatory variables. Accordingly, price of shoe, shoe durability, shoe quality, income, respondents’ role and status, age and respondents sex were found to be the significant explanatory variables. The study concluded that the aforementioned significant variables were considerably important basis for the consumer buying decision of domestic leather shoe at Jimma market. The researcher advises that enhancing the conformability of shoe and improving the design and style of domestic shoe to the extent that satisfy consumers interest would be an action to be taken.