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Study on Consumer

Behavior on Piracy
RESEARCH METHODOLOGY
PROJECT
Submitted to:
PROF. NEENA SONDHI
Submitted by:
N. Sanket
Neha Agarwal
Pintu Mitruka
Shikha Agarwal
Sonali Gupta
YashikaSabharwal



LETTER OF AUTHORIZATION










































TABLE OF CONTENTS

S.No Title Page No.
1 Executive Summary
2 Acknowledgement
3 Problem Statement
4 Study Introduction and Background
5 Review of Literature
6 Research Design
7 Sampling Design
8 Data Collection
9 Data Analysis
10 Results
11 Interpretation of Results
12 Conclusion and Recommendation
13 Limitations of the Study
14 Appendices
15 Glossary
16 Bibliography









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EXECUTIVE SUMMARY

The magnitude and effects of counterfeiting and piracy are of such significance that they compel strong
and sustained action from governments, business and consumers. Economy-wide, counterfeiting and
piracy undermine innovation, which is a key to economic growth. Efforts by government, intellectual
property right holders and lawmakers have focused on strengthening IP enforcement rules and
regulations to deter production and trade of fake products. But this has not translated into effective
results. It has become clear that the focus on the supply-side of the equation is not enough and must be
complemented by an equally aggressive attempt to control the demand-side of this market. For this, a
detailed consumer behavior study needs to be undertaken to study the demand side.
Therefore for this purpose, study focuses on assessing the consumer buying behavior towards ethical
and unethical purchases, predominant drivers behind these purchases and consumer awareness about
the legal implication. The research was conducted in four phases including secondary data collection,
sampling, primary data collection and analysis using SPSS. Thus, the study detailed the significant
influence of status symbol, peer group influence, availability, and equivalent quality on attitude towards
buying of pirated products.

























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ACKNOWLEDGEMENT

We take this opportunity to express our profound gratitude and deep regards to our guide Prof. Neena
Sondhi for her exemplary guidance, monitoring and constant encouragement throughout the course of
this project. The learning, help and guidance given by her shall carry with us a long way.
We are obliged to all respondents of our survey who took the pain to take time out of their busy
schedule to provide us with the valuable information. We are grateful for their cooperation during the
period of our assignment.
We would also like to thank our classmates for their valuable insights during the course of this project,
the critique and suggestions helped us in improving our project.
Lastly each one of us would like to recognize the efforts put in by every member of our group and we
are all grateful to each other for cooperating to complete the project.





























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PROBLEM STATEMENT

To understand the customer attitude and perception towards piracy and counterfeited products like
Movies and Music.

STUDY INTRODUCTION & BACKGROUND

Digital piracy, defined as the unauthorized copying of digital goods, software, digital documents, digital
audio, digital video--for any reason other than backup without permission and compensation to the
copyright holder, has increased dramatically in the past decade at an alarming rate. As the supply of fake
products has been growing dramatically across the globe, manufacturers of the original products and
the Government find themselves in a constant battle against counterfeiters. While the supply side has
attracted considerable attention of researchers, the knowledge on what drives customers to buy the
fake rather than the original remains still far from consolidated. Counterfeiting is also in two different
forms, as deceptive and non-deceptive counterfeiting. Under deceptive counterfeiting, the consumer is
not aware of the fact that he/she purchases a copy rather than the original product and under non-
deceptive counterfeiting, consumers intentionally purchase fake products. It is therefore, necessary to
focus on the demand side in order to gain a better understanding of what drives customers to
voluntarily or involuntarily buy counterfeits and to find out the level of awareness among people about
the legal implications. In this paper, we attempt to take a fresh look at the demand side of
counterfeiting. Specifically, we aim to consolidate existing findings and to develop a comprehensive
model of the antecedents and drivers of purchase of fake digital products in India.

SCOPE & OBJECTIVE OF THE STUDY

Around 80,000 jobs are lost directly as a result of piracy which is afflicting Indias entertainment
industry. So the study of consumer behavior towards pirated digital products will help to thwart piracy
in the entertainment industry in India. The study will also help and protect jobs and revenues that are
needlessly being lost to piracy. As a result of the study, it is expected to understand the customer psyche
towards piracy and also develop a legal framework to tackle piracy.
The research objectives of the study are:
1. To study consumer attitude towards ethical and unethical products.
2. Consumer buying behavior for counterfeit and pirated products like music, movies.
3. Predominant drivers behind counterfeit purchases, which include:
a. Low price creates temptation
b. Equal or better quality available
c. Low risk on penalty equates to license to buy
4. Awareness of implication of legal action
5. To propose methods to curtail trade of counterfeited and pirated product based on the
findings of the study
Hypothesis formulated for the purpose of study is that when governments fully understand the factors
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that drive their constituencies toward illegal activity, they institute effective programs to educate and
protect consumers from counterfeiting and piracy. When consumers appreciate the full repercussions of
their counterfeit purchase, they can be expected to stop this practice.
REVIEW OF LITERATURE
There has been an extensive research in the field of digital piracy, some focusing on music and movies
while others are focused on software and allied downloads. Limited research has been taken in India in
this regards. When general counterfeit products are considered, ElfriedePenz& Barbara Stttinger(2005)
had found out that in general there is a perceived behavior control that influences the buying behavior
of counterfeit products. The lesser the obstacles in purchasing counterfeits in terms of time required to
find such products, geographic barriers, knowledge, etc., the more likely is the consumer to buy them.
Further Peggy E. Chaudhary & Stephen A. Stumpf in their article Getting Real About Fakes (2009) in
the Wall Street Journal identified 5 factors that influence counterfeit buying behavior. These factors are
performance, cost, social pressures, ease and ethics. Further researches by various experts point out to
similar traits in the demand drivers for counterfeits.
When we narrow down our findings to digital counterfeits and piracy, the following research findings
show relevance:
1. College goers have a significant share in the fake downloads market. About 15% of the losses
to film industry is caused by this segment of net-geners as found by the research by Freestone
and Mitchell (2004) and LaRose (2006). But this also does not mean that they are more likely
to indulge in digital piracy when compared to other age groups. In fact, the International
Federation of the Phonographic Industry (2005) report quoted does not provide any empirical
evidence for the view that young people are the most likely to obtain their music from illegal
sources.
2. The peer to peer file sharing network has been another significant force that pushed up the
download of these pirated versions of digital media Lysonski & Durvasula (2008) and Jacobs
(2012)
3. In Music industry, there is seen a difference of behavior based on generational differences as
found by Lee and Low (2004). Generation Y (born 1976-1991), tended to download pirated
music more than Baby Boomers (born 1946-1960). Baby Boomers tend to prefer owning the
original CD compared to Generation Y, at 88% and 62%, respectively.
4. Glass and Wood (1996) in their research found out that one who fails to see that piracy is moral
issue will fail to employ moral decision making schema. Substantial evidence holds that many
individuals dont regard digital piracy as an ethical problem.
5. Cronan and Al-Rafee (2007) tried to examine factors that could determine ones intention to
download pirated digital material i.e. software, media, etc. It was found that 23.6% of the
respondents did not feel a great deal of guilt about digital media piracy and that it was an
acceptable behavior. There was a very low level of guilt (moral obligation) regarding digital
piracy. Significant others encouraged piracy and did not believe it was wrong.
6. Freestone and Mitchel (2004) found that the cover of anonymity in digital piracy space allows
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the avoidance of detection and therefore increase the chances of engaging in the act of piracy.
7. Logsdon (1994) concluded through his research that the consensus about whether an act is
good or evil does seem to regard software piracy as not necessarily good, but certainly not
evil. It also found that the length of time between the act of copying and the onset of
*possible+ consequences *. . .+ is quite long and this made copier less cognizant of the harm
that their activities might do to the content creators.
8. A lower WTP (Willingness to pay) for digital products exists among consumers who opt for
pirated versions. This is because they perceive a lower product value when seen against an
unjustified, high market price charged by its manufacturers (Shang et al. 2008).
9. Hsu and Shiue (2008) observed that, when friends and family members believed using pirated
software was not appropriate, respondents tended to have relatively high WTPs. Social
pressure/norms do play a role.
10. People perceive that the harm caused by copying an original content is negligible enough to be
of no harm at all. There are no apparent victims visible to a person before committing a crime of
digital piracy (Logsdon et al. 1994).

A striking limitation among all these studies is their generalizability. These are laboratory experiments or
field studies done specifically on members of age group, 8-24. Behavioral factors that promote digital
piracy among mature adults (over 30 years of age) are rarely studied. Since a vast majority of literature
is available only on foreign countries like UK, Hong-Kong, Taiwan etc., a research focused on the Indian
demographics would yield valuable insights for future studies on DP (Digital piracy) and its prevention in
India.



















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RESEARCH METHADOLOGY



RESEARCH DESIGN

Analyzing customer behavior is a critical process and requires in depth study and qualitative research.
Our research would consist of three stages: Secondary data collection, Primary research (through
sentence completion, interview, questionnaire etc.) and analysis of the research conducted. The effect
of independent variable (counterfeited products) on dependent variable (customer perception) through
the moderating variables (gender, age, income, etc.).
Independent Variable Dependent Variable Moderating Variable
Counterfeited products Customer perception Gender, Age, Income

STAGE 1 - To collect data through secondary sources i.e. journals, articles, government publications and
research papers. This will help us to understand the products that are counterfeited currently and the
demand of original and counterfeited products and also the legal implications of indulging in such
activities.




Secondary Data Collection
Questionnaire Designing

Sampling Process
Primary Data collection through Online Survey

Coding Scheme
Data Entry and Cleaning
Data Analysis through SPSS and Report Generation
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Non-Government
Publications
Articles, Journals, Books 1. The attitudes and behaviors of illegal downloaders.
By Peter Williams, David Nicholas.
2. Engaging in digital piracy of movies: A theory of
planned behavior approach. (Emerald)
3. The Purchase Versus illegal download of music by
consumers: The influence of Consumer response
towards artist and music. By Jean-Francois Ouellet.
4. Digital Piracy: A competitive analysis.
5. Intention to engage in digital piracy: A conceptual
model and Empirical test
6. Piracy in cyberspace: consumer complicity, pirates
and enterprise enforcement

STAGE 2 - The questionnaire will be designed in this phase.The questionnaire will be designed using
nominal scale, ordinal scale, interval scale. It will also include open ended questions and likert scale to
study the consumer perception.
Unit of Analysis: Customers who buy and downloading movies and music
Age: Above 15 years
Gender: Male & Female
Nationality: Indian
Occupation: High school students, College Students, Professionals, Business people

STAGE 3- The primary research would be conducted in this phase. It will be an exploratory research
which be a True Experimental design as the sample is selected randomly.
Conduct a questionnaire through mails to know consumer buying behavior and their attitudes
toward the products. Study will be conducted across different age groups and trend will be
observed accordingly.
Sample Size: 120 customers
Expert opinion survey: Conduct an interview of a lawyer to understand the legal implications of
piracy.
Sample Size : 1 Lawyer

STAGE 4- Examine the studies conducted in stage 1 and 3 using tools like SPSS. Sensitivity analysis of
consumer towards price and legal implications. Propose methods how to curtail trade of counterfeited
and pirated products.


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RESEARCH SCHEDULE
Task Duration
Questionnaire designing 1 week
Field Work/ Survey 2 week
Data Analysis 1 week
Report and presentation 1 week
Total 5 weeks

SAMPLING DESIGN



1. Population of Sampling: As the population of study was large which included every age group so
it was a non-probability sampling design (convenience sampling). The sample size was of around
120 customers of movies and music. Population of sample included all age groups students,
employees.
2. Sampling Frame: This includes people from different age groups and from different professions
Target
population
General public who buys movies and music DVDs
Sampling
Frame
Different age group and professions and active internet users
Sampling
technique
Convenience sampling
Sample
Size
108 respondents
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like students and working in corporate as these people are more actively involved in internet
usage and also for watching movies, downloading songs online.
3. Convenience Sampling :
- We resorted to Convenience Sampling.
- It was convenience sampling because we sent the questionnaire mainly to known people
like IMI students from current and senior batch, friends, family and employees of our past
work place.
- We also used snowball sampling technique where we asked our friends to circulate the
survey among their friends and get responses.

We conducted the survey via E-mail as that assured efficiency, easy and accurate recording of data.
We also probed the people to fill the questionnaire through chat via various social networking sites.
The questionnaire has been added in the appendices as well as the coding for it.
After recording the responses from about 108 people, we analyzed the data across the various
variables through tools such as Microsoft excel and SPSS.
The questions in the survey can be categorized as follows:
NOMINAL:
Questions 1 (part 1, 2, 3, and 4)
Question 6 (Dichotomous question)
Question 7, 8 and 11
ORDINAL:
Questions 2 (part 1, 2, 3 and 4)
Question 3 (part 1, 2, 3, 4, 5, 6, 7, 8, 9 and 10)
Question 9 and 10
INTERVAL SCALE:
Question 4 (part 1, 2, 3, 4, 5, 6, 7, 8 and 9)
Question 5 (part 1, 2, 3, 4, 5, 6, 7, 8, 9 and 10)

DATA COLLECTION

The data needed to understand customer behavior and perception towards piracy requires us to
research about the modes through which the consumer shares data i.e. is it via mail (peer to peer
sharing) or is it through various free data download sites. We also need to know whether the user is
aware that he is using pirated data or does he know the legal implications of such activities.

The secondary data sources that are used in this study are generally non-governmental publications.
They have been mentioned in appendices at the end of the report. For primary data, a questionnaire
was floated through emails to collect the data accurately and efficiently.
Methodology:
Created an online survey at www.qualtrics.com
The survey was based on the questionnaire prepared from the secondary data collected
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The survey link was mailed across to all the whole sample population using the email addresses
and social networking websites as the sampling frame.
The respondents filled up the surveys online & submitted them
The result data was collected from the website

DATA ANALYSIS

The data was collected through a survey. A total of 108 respondents were our sample. The aim of the
study was to assess the consumer perception towards pirated products and its legal implications, so, we
conducted several tests to check the relationship between the variables like consumer perception,
buying pirated products, frequency of purchase, legal implications, gender, etc. The tests included uni-
variate analysis, bivariate analysis, and one sample statistics, cross tabulations. During our analysis, we
assumed a confidence limit of 95%. The data was raw and had to be coded for analysis in SPSS.
Coding, Entry and Analysis:
The coding scheme was designed keeping in mind the type of questions that we have incorporated in
our questionnaire. Therefore we then made the coding scheme on SPSS and thereafter the whole
analysis was carried out on that data. The coding scheme has been added in the appendices.
Justification for the questions asked
(Refer to Questionnaire from Appendices for the question numbers)
1) Likert Scale
This was to assess the consumer buying behavior towards pirated products and its legal
awareness.
2) Objective 1: Satisfied by analysis of questions considering age, gender, whether the person is
the decision maker or not, etc. across the target sample.
3) Objective 2: Satisfied by analysis of question number 5.
4) Objective 3: Satisfied by analysis of question number 4.
5) Objective 4: Satisfied by analysis of questions on demographic data with questions 1, 2, 4, 5 and
6) Objective 5: Satisfied by analysis of psychographic questions (from Likert scale and question 7)
with questions 1, 2, 3, 4, 5 and 6.










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RESULTS & FINDINGS

The following analysis has been done with the 108 completed responses we received through the
survey.
163 responses were returned for analysis. 39 were incomplete is some respect or the other, forcing us
to remove them from the analysis. 16 of them belonged to the none category on which no analysis has
been performed and thus a total of 108 responses were used for analysis.

Demographic Profile of the respondents

Gender

Frequency Percent Valid Percent
Cumulative
Percent
Valid Male 66 61.1 61.1 61.1
Female 42 38.9 38.9 100.0
Total 108 100.0 100.0






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Age (in years)
Frequency Percent Valid Percent
Cumulative
Percent
Valid
less than 20 years 6 5.6 5.6 5.6
20-25 years 91 84.3 84.3 89.8
26-30 years 6 5.6 5.6 95.4
31-35 years 1 .9 .9 96.3
36-40 years 2 1.9 1.9 98.1
41 years and
above
2 1.9 1.9 100.0





























Educational background.
Frequency Percent Valid Percent
Cumulative
Percent
Valid
High School 4 3.7 3.7 3.7
Under Graduate 8 7.4 7.4 11.1
Post Graduate 48 44.4 44.4 55.6
Higher than PG 1 .9 .9 56.5
Graduate 47 43.5 43.5 100.0
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Indicate your occupation.

Frequency Percent Valid Percent
Cumulative
Percent
Valid Student 86 79.6 79.6 79.6
Working Professional 18 16.7 16.7 96.3
Self-Employed 3 2.8 2.8 99.1
Home Maker 1 .9 .9 100.0
Total 108 100.0 100.0

















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Objective 1: Study the perception and attitude of users of pirated products
Test: One Sample t test on Likert Statements based on attitude &perceptions with test value 3
Hypothesis: H
0
: = 3
H
1
: 3
Results:
One-Sample Statistics(1 is strongly agree and 5 is strongly disagree)
N Mean
Std.
Deviation
Std. Error
Mean
It is not illegal to download from torrents or purchase CDs
from hawkers
108 3.22 1.138 .110
Purchasing an original product is a status symbol 108 2.71 1.051 .101
Charging a price for classics (old products) is unethical 108 3.20 1.039 .100
It is important for me to represent latest trends, even if
that means using pirated products.
108 3.22 1.097 .106
Sharing online is a social help 108 2.44 .931 .090
I can flaunt latest movies and songs in my peer group
downloaded from torrents
108 2.96 1.127 .108
Downloading is not a crime, but uploading is 108 3.46 .980 .094
Free downloads have very little impact on a product's
official sales
108 3.61 1.075 .103
Torrent sharing and pirated CDs are illegal. 108 2.40 .995 .096










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t Df Sig. (2-tailed)
Mean
Difference
It is not illegal to download from torrents or
purchase CDs from hawkers
2.029 107 .045 .222
Purchasing an original product is a status symbol -2.839 107 .005 -.287
Charging a price for classics (old products) is
unethical
2.037 107 .044 .204
It is important for me to represent latest trends,
even if that means using pirated products.
2.106 107 .038 .222
Sharing online is a social help -6.204 107 .000 -.556
I can flaunt latest movies and songs in my peer
group downloaded from torrents
-.342 107 .733 -.037
Downloading is not a crime, but uploading is. 4.907 107 .000 .463
Free downloads have very little impact on a
product's official sales
5.907 107 .000 .611
Torrent sharing and pirated CDs are illegal. -6.288 107 .000 -.602

Findings:
In general, all perception based Likert statements have mean value significantly away from neutral
category (one sample t test where test value is 3). Only for the statement I can flaunt latest movies and
songs downloaded from torrents have 73% significant value for neutral category. A measurement error
is observed where It is important for me to represent latest trends, even if that means using pirated
products got a disagreement and I can flaunt latest movies and songs in my peer group downloaded
from torrents got a neutral response.

The following statements of perceptions have been generally agreed to by the respondents
1. Purchasing an original product is a status symbol
2. Sharing online is a social help.
3. Torrents are illegal has been verified through 2 similar statements (1 positive and 1 negative)
The following have received generally disagreed responses
1. Free downloads have very little impact on a product's official sales.
2. Downloading is not a crime, but uploading is.
3. It is important for me to represent latest trends, even if that means using pirated products.
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Objective 2: To understand the reasons that motivates users to download pirated products
Test Conducted: One Sample t test on Likert Statements based on reasons for usage with test value 3
Hypothesis: H
0
: = 3
H
1
: 3
Results:
One-Sample Statistics(1 is strongly agree and 5 is strongly disagree)
N Mean
Std.
Deviation
Std. Error
Mean
I use Torrent downloads because my friends use it 108 3.21 1.319 .127
Pirated products have much variety to choose from 108 2.20 1.021 .098
I am unable to differentiate pirated products from
original ones
108 3.05 1.187 .114
Most times, pirated products have equally
comparable quality
108 2.30 1.035 .100
Price are high for most of the original products 108 2.00 1.127 .108
Downloading from free websites is convenient as
there is no risk of being caught
108 2.60 1.102 .106
Free downloads and pirated versions are easily
available
108 2.07 1.091 .105
The online payment methods confuse me so I prefer
free downloads
108 3.24 1.282 .123
Pirated versions are available online as soon as the
song/movie is released
108 2.26 1.053 .101
Free downloads and torrent sharing pose a risk of
virus
108 2.19 1.069 .103








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t df Sig. (2-tailed)
Mean
Difference
I use Torrent downloads because my friends use it 1.678 107 .096 .213
Pirated products have much variety to choose from -8.106 107 .000 -.796
I am unable to differentiate pirated products from
original ones
.405 107 .686 .046
Most times, pirated products have equally
comparable quality
-7.069 107 .000 -.704
Price are high for most of the original products -9.218 107 .000 -1.000
Downloading from free websites is convenient as
there is no risk of being caught
-3.756 107 .000 -.398
Free downloads and pirated versions are easily
available
-8.818 107 .000 -.926
The online payment methods confuse me so I prefer
free downloads
1.952 107 .054 .241
Pirated versions are available online as soon as the
song/movie is released
-7.308 107 .000 -.741
Free downloads and torrent sharing pose a risk of
virus
-7.921 107 .000 -.815

Findings:
We find that only for Im unable to differentiate between original & counterfeits, the likelihood of
having a neutral mean (3.05) is 68% significantly possible. For the statement, I use it as my friends use
it have 9.8% probability of being away from neutral. So, in these cases the null hypothesis is true that
respondents are indifferent to these reasons.
The following statements of reasons have been generally agreed to by the respondents (from highest to
lowest degree of agreement)
1. Prices are high for most of the original products
2. Free downloads and pirated versions are easily available
3. Free downloads and torrent sharing pose a risk of virus
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4. Pirated products have much variety to choose from
5. Pirated versions are available online as soon as the song/movie is released
6. Most times, pirated products have equally comparable quality
7. Downloading from free websites is convenient as there is no risk of being caught
Neutral Responses were received for the following statements
1. The online payment methods confuse me so I prefer free downloads
2. I use Torrent downloads because my friends use it
3. I am unable to differentiate pirated products from original ones
Objective 3: Understand how legal awareness affects the frequency of use of pirated products
Test Conducted: Cross Tabs, Chi Square and Correlation
Results:
Frequency Of Use and LEGAL AWARENESS Cross-tabulation
LEGAL_AWARENESS
Total
Aware Not Aware
Frequency
Of Use
Very Frequently
Count 8 25 33
% 24.2% 75.8% 100.0%
Less Frequently
Count 25 33 58
% 43.1% 56.9% 100.0%
Negligible
Count 9 8 17
% 52.9% 47.1% 100.0%
Total
Count 42 66 108
% 38.9% 61.1% 100.0%








Chi-Square Tests
Value df Asymp. Sig. (2-sided)
Pearson Chi-Square 4.825 2 .090
Likelihood Ratio 4.981 2 .083
Linear-by-Linear Association 4.565 1 .033
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Symmetric Measures
Value
Asymp. Std.
Error
Approx. T Approx. Sig.
Nominal by Nominal
Phi .211 .090
Cramer's V .211 .090
Interval by Interval Pearson's R -.207 .092 -2.174 .032
Ordinal by Ordinal Spearman Correlation -.209 .091 -2.202 .030



Findings:
The frequency of usage is independent of Legal awareness. The significance of Chi square value is 0.09
which is higher than 0.05, mean that the null is true and legal awareness doesnt affect the frequency of
use. However when we look at the correlation, we find out that there is moderate negative correlation
between legal awareness and frequency of use with statistical significance (0.032 which is less than
0.05), meaning there is weak yet correlation between legal awareness and usage frequency.

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Objective 4: To gauge the difference in perception of male and female respondents
Test Conducted: Independent Sample t Test on attitude and reasons, with gender as the grouping
variable
Hypothesis: H
0
:
M
=
F

H
1
:
M

F

Results:
Group Statistics(1 is strongly agree and 5 is strongly disagree)
Gender N Mean
Std.
Deviation
I use Torrent downloads because my friends use it
Male 66 2.12 .903
Female 42 2.12 .832
Pirated products have much variety to choose from
Male 66 1.38 .651
Female 42 1.50 .707
I am unable to differentiate pirated products from
original ones
Male 66 2.09 .924
Female 42 1.98 .841
Most times, pirated products have equally comparable
quality
Male 66 1.41 .723
Female 42 1.55 .772
Price are high for most of the original products
Male 66 1.33 .730
Female 42 1.43 .737
Downloading from free websites is convenient as there
is no risk of being caught
Male 66 1.76 .824
Female 42 1.69 .749
Free downloads and pirated versions are easily
available
Male 66 1.35 .690
Female 42 1.29 .636
The online payment methods confuse me so I prefer
free downloads
Male 66 2.18 .927
Female 42 2.24 .790
Pirated versions are available online as soon as the
song/movie is released
Male 66 1.48 .749
Female 42 1.43 .703
Free downloads and torrent sharing pose a risk of virus
Male 66 1.35 .620
Female 42 1.57 .831





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Independent Samples Test

Levene's Test
for Equality
of Variances
t-test for Equality of Means
F Sig. t df
Sig. (2-
tailed)
Mean
Differenc
e
I use Torrent downloads
because my friends use it
Equal variances
assumed
2.276 .134 .013 106 .990 .002
Equal variances
not assumed
.013 92.654 .990 .002
Pirated products have
much variety to choose
from
Equal variances
assumed
1.353 .247 -.912 106 .364 -.121
Equal variances
not assumed
-.895 82.073 .373 -.121
I am unable to
differentiate pirated
products from original
ones
Equal variances
assumed
4.209 .043 .651 106 .516 .115
Equal variances
not assumed
.665 93.415 .508 .115
Most times, pirated
products have equally
comparable quality
Equal variances
assumed
1.194 .277 -.946 106 .346 -.139
Equal variances
not assumed
-.932 83.212 .354 -.139
Price are high for most of
the original products
Equal variances
assumed
.563 .455 -.658 106 .512 -.095
Equal variances
not assumed
-.657 86.832 .513 -.095
Downloading from free
websites is convenient as
there is no risk of being
caught
Equal variances
assumed
1.212 .273 .427 106 .670 .067
Equal variances
not assumed
.437 93.518 .663 .067
Free downloads and
pirated versions are
easily available
Equal variances
assumed
.809 .371 .475 106 .636 .063
Equal variances
not assumed
.484 92.701 .630 .063
The online payment
methods confuse me so I
prefer free downloads
Equal variances
assumed
7.353 .008 -.325 106 .746 -.056
Equal variances
not assumed
-.337 97.186 .737 -.056
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Pirated versions are
available online as soon
as the song/movie is
released
Equal variances
assumed
.561 .456 .390 106 .698 .056
Equal variances
not assumed
.395 91.490 .694 .056
Free downloads and
torrent sharing pose a
risk of virus
Equal variances
assumed
10.35
0
.002 -1.593 106 .114 -.223
Equal variances
not assumed
-1.495 69.701 .140 -.223

Findings:
No significant difference is observed in perceptions of male and female, as the significance value is
greater than 0.05 in all the reasons. So, Alternate hypothesis is rejected for all the cases.

Objective 5: To assess the level of awareness and use of various websites
Test Conducted: Frequency Analysis

Result



Findings:
Torrentz.eu, dailymotion.com and kickass torrents are seen as highly popular, whereas SeedPeer and
VCDQ are the least popular among the sample.







0
20
40
60
80
100
120
Popularity Of Websites
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KEY FINDINGS

1. Customers buy original products because they consider it to be a status symbol.
2. Almost all the respondents agreed that using pirated products is illegal.
3. The main drivers for buying pirated products are easy availability, more variety, and
comparable quality, convenient and also the original products are expensive.
4. It was also observed that the respondents in our sample cannot differentiate between
pirated products and original products.
5. There is no relationship between frequency of buying and legal awareness of buying
pirated products. Customers are not impacted by the legal implications of buying
pirated products.

























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CONCLUSION AND RECOMMENDATION

This study has demonstrated personality and social effects on attitude of consumers towards buying
pirated products. The study also detailed the significant influence of normative susceptibility, integrity,
gender and personal income on attitude towards buying of pirated CDs. Despite the limitations of the
study, it is expected that the preliminary findings presented will generate greater interests in
counterfeiting specifically from a demand-side perspective. It is also expected that future research can
contribute substantially to our understanding of this type of consumer behavior.
































LIMITATIONS OF THE STUDY
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This study is co relational in nature and the use of sophisticated statistical techniques found in most of
the confirmatory types of research are lacking. For instance, convenience sampling was used because of
the fact that it was not possible to generate a probabilistic sampling frame. Therefore, generalizing the
findings to the whole population may be limited.

Also, the sample is predominantly students as opposed to the actual population structure of the
country. Since an age bracket of 18-25 years was assumed to be prevalent amongst the respondents, the
findings will be biased towards this generation. This study was confined solely on information gathered
from consumers who have purchased music and movie CDs. Hence findings are confined to these
products only. Perhaps, future study could focus on a wider spectrum of product categories that may
yield more comprehensive findings on the problem of counterfeiting.




























APPENDICES
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1. Questionnaire Design

2. Questionnaire Coding
Question Type Length Decimal Missing
Value
Column Alignment Measure
Q1_1 Numeric 8 0 0 5 Right Nominal
Q1_2 Numeric 8 0 0 5 Right Nominal
Q1_3 Numeric 8 0 0 5 Right Nominal
Q1_4 Numeric 8 0 0 5 Right Nominal
Q2_1 Numeric 8 0 None 5 Right Ordinal
Q2_2 Numeric 8 0 None 5 Right Ordinal
Q2_3 Numeric 8 0 None 5 Right Ordinal
Q2_4 Numeric 8 0 None 5 Right Ordinal
Q3_1 Numeric 8 0 None 5 Right Nominal
Q3_2 Numeric 8 0 None 5 Right Nominal
Q3_3 Numeric 8 0 None 5 Right Nominal
Q3_4 Numeric 8 0 None 5 Right Nominal
Q3_5 Numeric 8 0 None 5 Right Nominal
Q3_6 Numeric 8 0 None 5 Right Nominal
Q3_7 Numeric 8 0 None 5 Right Nominal
Q3_8 Numeric 8 0 None 5 Right Nominal
Q3_9 Numeric 8 0 None 5 Right Nominal
Q3_10 Numeric 8 0 None 5 Right Nominal
Q4_1 Numeric 8 0 None 5 Right Scale
Q4_2 Numeric 8 0 None 5 Right Scale
Q4_3 Numeric 8 0 None 5 Right Scale
Q4_4 Numeric 8 0 None 5 Right Scale
Q4_5 Numeric 8 0 None 5 Right Scale
Q4_6 Numeric 8 0 None 5 Right Scale
Q4_7 Numeric 8 0 None 5 Right Scale
Q4_8 Numeric 8 0 None 5 Right Scale
Q4_9 Numeric 8 0 None 5 Right Scale
Q5_1 Numeric 8 0 None 5 Right Scale
Q5_2 Numeric 8 0 None 5 Right Scale
Q5_3 Numeric 8 0 None 5 Right Scale
Q5_4 Numeric 8 0 None 5 Right Scale
Q5_5 Numeric 8 0 None 5 Right Scale
Q5_6 Numeric 8 0 None 5 Right Scale
Q5_7 Numeric 8 0 None 5 Right Scale
Q5_8 Numeric 8 0 None 5 Right Scale
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3. Secondary Data Sources
a. The attitudes and behaviors of illegal downloaders. By Peter Williams, David Nicholas.
b. Engaging in digital piracy of movies: A theory of planned behavior approach. (Emerald)
c. The Purchase Versus illegal download of music by consumers: The influence of Consumer
response towards artist and music. By Jean-Francois Ouellet.
d. Digital Piracy: A competitive analysis.
e. Intention to engage in digital piracy: A conceptual model and Empirical test
f. Piracy in cyberspace: consumer complicity, pirates and enterprise enforcement























GLOSSARY
Q5_9 Numeric 8 0 None 5 Right Scale
Q5_10 Numeric 8 0 None 5 Right Scale
Q6 Numeric 8 0 None 5 Right Scale
A String 32000 0 None 16 Left Nominal
Q7 String 32000 0 None 15 Left Nominal
Q8 Numeric 8 0 None 5 Right Nominal
Q9 Numeric 8 0 None 5 Right Ordinal
Q10 Numeric 8 0 None 5 Right Ordinal
Q11 Numeric 8 0 None 5 Right Nominal
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1. Piracy : the unauthorized use or reproduction of another's work
2. Counterfeit : imitate fraudulently
3. Peer to peer : denoting networks in which each computer can act as a server for the others,
allowing shared access to files and peripherals without the need for a central server





































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BIBLIOGRAPHY

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