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LE NGUYEN HA ANH - Dissertation PDF
LE NGUYEN HA ANH - Dissertation PDF
LE NGUYEN HA ANH
IMI
INTERNATIONAL MANAGEMENT INSTITUTE
SWITZERLAND
MAY 2022
CERTIFICATION OF DISSERTATION
The Dissertation Committee for the School of Hospitality, Tourism and Culinary Arts,
UOW Malaysia KDU Penang University College certifies that this manuscript is the
approved version of the dissertation with the following title:
Committee:
_________________
Dissertation Supervisor
_________________
Dissertation Coordinator
_________________
Head of Department
i
DECLARATION
I, Le Nguyen Ha Anh declare that the contents in this dissertation are the end results
of my original work. All sources and materials used in this study are duly
acknowledged.
The similarity index of this report is 6% and is deemed acceptable under the rules set
forth by the dissertation committee.
The word count of the whole dissertation is 9093. This is within the acceptable word
limits and as much it was granted and approved by the supervisor as signed below:
Signed:
____________
Le Nguyen Ha Anh
0203512
Date: 12.4.2022
Approved by:
____________
ii
ACKNOWLEDGEMENT
There are no better words than ‘thank you’ to my family’s support during the
time I studied for my research. I am so thankful that my college life in Malaysia
inspired me to study about Wine Industry.
iii
ABSTRACT
In Malaysia, the wine market has the potential to grow in the future. This study aims
to understand determinants of wine purchase among Malaysian while they buy wine
for gifting. The survey was conducted online to 100 Malaysian respondents. A
descriptive and multiple regression analysis was utilized to determine the decision of
purchasers when buying a wine for gifting. This research pointed out the reason of
why the Malaysians care about price, quality, and packaging of wine during the
process of decision-making. The result of this research would be used to support
marketers, retailers to reach their target market, as well as understand customer’s
decision when they purchase wine for gifting, which can support the development of
the wine market in Malaysia.
iv
TABLES OF CONTENT
CERTIFICATION OF DISSERTATION i
DECLARATION ii
ACKNOWLEDGEMENT iii
ABSTRACT iv
TABLE OF CONTENT v
LIST OF TABLES vii
LIST OF FIGURES viii
LIST OF APPENDICES ix
CHAPTER 1 INTRODUCTION
1.1 Background of Study 1
1.2 Problem Statement 1
1.3 Research Objective 4
1.4 Research Question 4
1.5 Research Frameworks 4
1.6 Hypotheses 5
1.7 Significance of Study 5
1.8 Scope of Research 6
CHAPTER 3 METHODOLOGY
3.1 Research Design and Research Method 14
3.2 Sample, Sample Size, and Sampling Technique 14
3.3 Research Instruments 15
3.4 Data Gathering Method 18
3.5 Data Analysis Method 18
v
4.3 Normality Test and Descriptive Analysis 23
4.4 Multiple Linear Regression 26
4.5 Hypothesis Testing 28
4.6 Discussions of Findings 29
CHAPTER 5 CONNCLUSIONS AND RECOMMENDATIONS
5.1 Conclusion 33
5.2 Limitations and Recommendation for Future Studies 34
REFERENCES 36
APPENDICES 44
vi
LIST OF TABLES
vii
LIST OF FIRGUES
viii
LIST OF APPENDICES
ix
CHAPTER 1
INTRODUCTION
According to Tan (2011), Malaysia had been listed in the top 10th countries
that had the largest consumers of alcoholic beverages. It was equivalent that
Malaysians spending more than 500 million dollars on consuming alcohol, with 7
liters per capita alcohol consumption. In the report of Code Blue (2020), almost 50
percent of Malaysians who consume alcohol drink is much higher than other
countries, such as Indonesia, United Kingdom. The World Health Organization (2016)
1
stated that the main population of Malaysian alcohol drinkers is around 22 years old,
and there are many teenagers in Malaysia (youngsters from 18 years old) who have
started to drink alcoholic beverages at an earlier age. During the Covid-19 pandemic,
the wine market, as well as other alcoholic drinks, have witnessed a decrease in the
number of sales because of restrictions and temporary closure of foodservice venues
(Euromonitor International, 2021). In Malaysia, due to not having a solid wine-
drinking culture, the wine market is competitive with other alcoholic beverages like
high spirits and beer. Most wine drinkers consume wine occasionally (Mun, 2011). At
the same time, according to the Department of Statistics Malaysia (2018), the Chinese
take the lion’s share in the wine market, which has over a third of the total population.
In fact, drinking wine on different occasions and in discrepancy places can express joy
and sorrow; hence, alcoholic beverages are used to celebrate special occasions. For
Malaysians, the wine will be a better choice for family reunions, gatherings, the new
year, or crucial occasions when either happiness or excitement appears (Mun, 2011).
On the other hand, people tend to vary their preference to wine rather than beer or
liquor for wine affordable price and positive influences (Higgins & Llanos, 2015).
Once again, the appearance of a bottle of wine is always undeniable (Wolf & Thomas,
2007).
In the research of Higgins and Llanos (2015), there are various factors in wine
purchase decisions, such as previous experience, personal recommendations, etc.
Consumers are also being influenced by packaging, nutrition, price, and
characteristics. People purchase wine not only for their personal purpose but also for
gift-purchasing. Wine is believed as a universally appreciated gift, and it is suitable for
almost all occasions (Rachel, 2019). Nevertheless, wine has a particular etiquette, and
each consumer will have their own preferences and decisions when choosing a bottle
of wine for gifting. The main objective of this research is to examine the determinants
of wine purchase among Malaysian when they buy wine for gifting.
The Edge Markets (2014) reported that Malaysians are sensitive shoppers, they
would like to know all the prices of items before purchasing. It means before
purchasing any items for their gifting, the price will be considered (The Edge Markets,
2
2014). According to the Rakuten Survey (2015), Malaysians are willing to spend an
average of RM 200 to buy gifts on Valentine’s Day. It also showed that the most
significant factor influencing Malaysians when buying a gift is the price (Malay Mail,
2016). In Malaysia, the wine industry, local wine consumers are price conscious
(GAIN Report, 2014). It is demonstrated that budget-conscious consumers look for
promotional or reasonable prices, while affluent or wine experts tend to purchase wine
from speciality or fine dining restaurants.
These days, when giving gifts to others, givers try to optimize the moment
receivers open the gifts and the value of the gift that receivers will derive for a long
period (Wen, 2019). In other words, the recipient can enjoy the gift often over time.
In Malaysia, based on different occasions, the quality of gifts is matters to both the
giver and receiver (Philips, 2019). The drinking culture in Malaysia is increasing, it
means consumers in this country has more knowledgeable about wine, therefore, the
young and well-educated part of alcohol–drinking society require higher quality of
wine to enjoy moments of life (European Union, 2020). The quality of wine when
giving as a gift is conscious to Malaysians because they find wines to open a new
experience and make an impression on the receiver (European Union, 2020). Besides,
Malaysian consumers focus on having a better experiment with different varieties,
flavours, and especially quality (European Union, 2020). Hence, the wine quality is
attributable to the quality of a gift, which can convince the givers. The study proposes
to understand the wine quality attributions affect purchasing decisions of consumers
on gift-giving occasions.
Packaging of gifts matters because well-packaging can help the recipient feel
the value of the gift (Mbabazi, 2021). Packaging is considered as a criterion to decide
whether the wine is of good quality. In Malaysia, people try to look for classy and
luxurious designs which can be displayed at social gatherings or occasions; therefore,
the givers will feel confident when facing their friends and family (European Union,
2020). According to the reported information from European Union (2020), recently,
Malaysian consumers are improving their knowledge and appreciation of alcoholic
drinks, it’s time for manufacturers to refine their packaging products and enhance
3
product attractiveness, which can help them to earn profit from the market. Therefore,
the appearance of wine is a point considered when deciding on gifting. The study
investigates the influence level of wine appearance in buying wine as gift-giving.
The findings of this research are to examine the determinants of wine purchase as a
gift among Malaysians.
Specific Objective:
1. To identify the relationship between price of wine and purchase decisions of
purchasers.
2. To examine the relationship between quality of wine and purchase decisions of
purchasers.
3. To investigate the relationship between packaging of wine and purchase decisions
of purchasers.
4
This framework was created based on the framework of Méndez et al. (2015).
An extended framework had been developed, which investigate the relationship of
price, quality, packaging, and wine preferences in gift-giving occasion. The Figure 1.1
demonstrates the proposed framework adapted on the wine preference.
Figure 1.1
Research Framework
Price
Quality Wine
Preferences
Packaging
1.6 Hypotheses
Based on the research question, three main hypotheses are proposed as below:
5
By conducting this research, it supported the marketers to identify and
understand the demand and the trend of the market. It provided a focused view on the
preference of consumers; hence, the statistics and results in this research were
available to help marketers and experts adapt to the common trends of the market. The
marketers were able to adopt the proper marketing communications, which could help
to alleviate products to consumers, to attract a wider consuming market.
The findings of this study were helpful for winemakers to modify their way of
making a bottle of wine, which could satisfy consumers’ demand, and vary their
marketing strategies to meet the purchasers’ needs. By having knowledge in the
preference of consumers, and more information related to Malaysian culture when
buying a wine as a gift, the winemakers from other regions and the distributions can
satisfy the customer’s needs and increase their sales and revenues. Retailers can refer
from this research to change their gift packaging to adapt the needs of more
consumers to enhance their business in a positive way.
This study was also useful and support future researchers. This study would be
a foundation for them to follow their future research, which would also be related to
the wine business in Malaysia. This study helped future research gain more
information and better understand of Malaysian wine culture values in giving wine as
a gift.
6
CHAPTER 2
LITERATURE REVIEW
For the most part, we have known that humans give and receive gifts as a part
of life (Wen, 2019). It is suggested that gift-giving is a foundation for human survival
(Cialdini, 1993). Anything can become gifts, like gold, silver, food, jewelry, etc.
Therefore, wine is also a frequent gift to friends, colleagues, business, celebrating and
to paying a compliment to occasions.
8
occasion like a wedding, Christmas, etc. Nevertheless, the research related to giving
wine as a gift has not received more attention (Boncinelli et al., 2019).
It is examined that while dining at someone’s house, guests usually bring along
a wine as a gift for the host (Bruwer et al., 2011), which represents the appreciation
and esteem held by the guests to their hosts. Furthermore, many findings show that
wine is found in both the low involvement category of easy to obtain in gift-lists
(similar as books, chocolate, and flowers) and the high involvement category (such as
luxury clothing, perfumes) (Hatak & Stöckl, 2008). Shanka and Handley (2011) stated
that sending wine as a gift can strengthen the relationship between the giver and
receiver. Hence, wine is always highly appreciated and suitable for different
occasions.
In the Malaysian market, wine has become a great and preferred option for
celebrations because of being a healthier beverage and an impressive beverage
(Briceag, 2021). Additionally, Malaysians has a trend of drinking wine at home to
wind down after a long hard-working week; hence, it is obvious that Malaysians are
curious to understand more about the wine market, which can help to promote the
wine market. Recently, wine has been a popular choice for enjoying and being offered
as a good choice for gifting in Malaysia (Lavowine, 2021). The best time to offer
someone a wine gift in Malaysia is attributable to the major celebration, for example,
a major anniversary, a celebratory day, a unique event, retirement day, or simply just a
party day. In Malaysia, they can choose between a single bottle of wine, or make an
impression by investing in a hamper or wine gift sets, which can show the receivers’
attitude and specialties (Lavowine, 2021).
9
of buying a gift similar to a regular purchase, it may have negative impacts on the
choice utility. By contrast, givers also choose high-priced presents to improve and
demonstrate the value of their relationships. In this situation, the price of a gift may
have positive influences on choice utility because it demonstrates how the giver cares
about their receivers (Wang & Lans, 2018).
When deciding to buy wine as a gift, price is a vital component. Although the
taste of wine is always unique, the price range is considered important, especially
wine as a gift for special occasions. Some research has stated that consumers have a
tendency to buy expensive wine as a gift rather than buying it for personal utilization
(Verdonk et al., 2017). The price of wine is determined by various attributes,
including geographical factors, viticulture factors, internal factors, external factors,
supply for wine, production costs, etc. (François & Fur, 2017). Knowing these factors,
consumers will have to consider the price of wine before they decide to buy it as a
gift.
H1: There is a relationship between price of wine and decisions of consumers when
buying it as a gift.
10
2.4 Quality of Wine
Under gift-giving situations, when purchasers intend to buy the wine as a gift
for occasions, the buyers concentrate on the brand of wine, original production, type
of grapes used to make that wine, vintages, certifications, or even positive health
influences (Boncinelli et at., 2019). While Sapiro (1970) concerned that the quality of
any products is the most component when choosing something for themselves, Belk
(1982) demonstrated that in case of having high-involvement situations, buyers should
focus on more expensive gifts and higher quality. For instance, many purchasers link
high-quality products with brand-name products, which can affect buyers’ decisions
(Aaker, 1991). In some situations, consumers might choose the sustainable wine
which contains fewer chemicals because these wines are believed to have better taste,
better quality, and can protect the environment (Stanco et al., 2020). Research
focusing on Korean and American gift-giving behavior by Park (1998) showed that
While Korean preferred buying branded gifts, which were the symbol of quality and
11
were acceptable in other views, people in America were likely to concentrate on
quality and the practical function of the gift.
Among Malaysians, they tend to find a suitable wine that can pair well with
food as well as open to a new experience to consumers (AsiaEuro, 2021). Hence, wine
quality is a criterion to decide a wine. Mirosa & Tang (2016) demonstrated that the
quality of has positive benefits to consumers’ health. In addition, high-quality wines
are promoted during special events in Malaysia. They also stressed in their qualitative
research that consumers look for high ‘sensory aspects’, which create a high-quality
wine to purchase, especially during celebrations, special occasions, or giving them to
special guests. Malaysian concentrates on the information noted on the marks or other
awards of the wine, which can help them decide the quality of wine too (Stanco et al.,
2020).
H2: There is a relationship between quality of wine and decisions of consumers when
buying it as a gift.
The finding of Barber et al. (2007) stated that a part of the wine-buying
decision is affected by packaging elements of a bottle of wine. Many purchasers desire
to believe in their own impression of wine by seeking an impressive label instead of
referring to guidance from retailers or other people (Barber et al., 2008). Similarly,
Jennings and Wood (1994), the wine package’s design impacts directly on the
appearance of products, which consumers consider while choosing a wine. The quality
of the products is reflected by their appearance and packaging. Human sense can
judge the quality of any products, both external and internal quality of products;
hence, in wine, the packaging and labels are information that consumers can use to
judge the quality of wine before making the decision process (Renaud, 2007).
12
Wine packaging consists of a variety of attributes, such as historical and
traditional wine, bottle shape, color, design, logo, information provided, etc. or other
style details, including cork, screw, and so on (Barber et al., 2007). In gift-giving
scenarios, the packaging is the central point of connection between the ambition of the
consumer with the products. For example, to Japanese, packaging of products plays a
vital position in their culture, the packaging is considered as an obligatory part of the
product; therefore, consumers have joy when unpacking any products. They believe
that the gift-giving ritual is shown by packaging; hence, in some circumstances, the
packaging is more necessary than the value of the present (Lina et al., 2020). For
receivers, they feel to be more appreciated when receiving a nice packaged gift.
Additionally, Joutsela et al. (2016) also make a point that the characteristic of
packaging is to nominate attention and sell the products. In the area of buying wine as
a gift, the package of wine also helps to increase the value of the wine (Hatak &
Stöckl, 2008), which can help to appreciate both receiver and giver.
13
CHAPTER 3
METHODOLOGY
Deductive research was used to test whether the theory was valid in the given
circumstances. In this research, deductive approaches would help the researchers to
find out the relationship between three independent variables with dependents
variables; at the same time, it helped to guide the researcher gather data and
confirmation of the question research.
Research design is a tool to help carry out a research study (Babbie, 2021).
Similar to earlier studies on consumers preference according to the purchase occasion
(Boncinelli et at., 2019), this research used explanatory-based quantitative data to
approach the quantifying data and numerical data. In order to test these hypotheses
and findings, this study concentrated on three determinants influencing the process of
decision in terms of purchasing wine as a gift. The online survey distribution method
would allow the collection of information; therefore, this research could approach a
huge sample of Malaysian consumers, which helped to evaluate the relationships of
three independent variables.
The research focused on Malaysians who are above 21 years old. According to
Food Regulation 1985, under regulation 361, it is stated that only persons above the
age of 21 can purchase and consume alcohol products; hence, people in the age group
of 21 was chosen for this research. The target of this research was to understand the
determinants of Malaysian wine purchase as a gift among Malaysians.
14
When conducting the research, the quality sampling would be decided by the
number and selection of subjects. Large sample size would be a suitable representative
of the population, and it also helped to limit the influence of outliers (Boncinelli et at.,
2019). Therefore, for this study, it was conducted to 100 respondents, which was
sufficient to provide a reasonable result among variables (Mesa et al., 2014).
The questionnaires survey for this research were conducted online, formed by
Google Form, and they were handed out to participants through social media. The
questionnaire forms had five parts, including demographic information, decision to
buy wine as a gift, price of wine, quality of wine, and packaging of wine. For the
demographic information, respondents were asked four questions related to their
gender, age, race, experience in buying wine as a gift. For the 4 remaining parts, each
included five questions, which were listed in the Table 3.1 review summary table.
Participants answered the questionnaires using a five-point Likert scale (1 = strongly
disagree; 5 = strongly agree) because the researcher aimed to understand decisions to
purchase a bottle of wine for their gift-giving purposes according to three factors,
regardless of price, quality, packaging. Additionally, the questionnaire forms were
15
written in English in order to reach as much as Malaysians in different races, including
Chinese, Malays, Indians and others.
Table 3.1
Review Summary
Price I always buy a higher price product for gifting. Verdonk et al.
(2017)
16
wine. (2013)
Packaging The shape of bottle of wine will persuade me to buy Barber (2006)
wine as a gift.
17
wine for gifting. (2007)
The data for this study were collected in Malaysia by means of an online
questionnaire survey. There would have a cover attached with the questionnaires; it
explained to the respondents the purpose of this study and indicated the appreciation
of the researcher. All the respondents were informed that their participations were
voluntary. The researcher was responsible for keeping anonymous and confidential all
the provided information. The researchers would try to approach respondents through
social media platforms like Facebook, Instagram, in some group gathering wine-lovers
or groups that consumers can share their experience about wine. In order to ensure the
questionnaire survey is clearly articulated and the response options are relevant,
comprehensive, and mutual exclusive, a pre-test would be conducted to 30
respondents (SAGE Publishing, 2016).
All the data collected was analyzed through the SPSS system. A descriptive
analysis was used to describe frequency and proportion of demographics in the
research. The descriptive would provide the result of statistical data and identify the
similarities among variables. Multiple regression analysis was employed to determine
whether the dependent variable depends on the other independent variable. In this
research, multiple regression helped to figure out the relationship between price,
quality, packaging, and decision of purchasers when buying a wine for gifting.
18
CHAPTER 4
In this research, a pre-test study was caried out from 14th December 2021 to 4th
January 2022 by Google Form. The questionnaire was distributed to respondents via
Facebook, Whatsapp, and Instagram. According to Hill (1998), 30 participants for
pilots in survey research is sufficient for obtaining the accurate data, hence, for this
research, researchers decided to distribute to 30 Malaysians above 21-year-old
respondents to test the reliability of the questionnaires.
The respondents were informed and explain before doing the pre-test. After the
pre-test, all the information and question provided in the questionnaire survey were
understood clearly. All the results of pre-test were collected and analyzed before
conducting the actual survey. In this study, in order to measure the reliability of the
internal consistency, researcher used Cronbach’s alpha. The reliability of the
questionnaire was evaluated by the result of Cronbach’s Alpha with the acceptable
values vary from 0.70.
19
Table 4.1
Table 4.1 indicates that Cronbach’s Alpha value for variable Decision to buy a
wine as a gift is 0.727, which means the level of internal consistency is acceptable.
Therefore, all 5 items in this variable would be utilized in the actual study.
Table 4.2
.758 .781 5
The value of Cronbach’s Alpha indicated in Table 4.2 is 0.758, which is the
acceptable value for the level of internal consistency, hence, all items under Price
variable were remained.
Table 4.3
.788 .805 5
20
According to the Table 4.3, the Cronbach’s Alpha value for Quality is 0.788,
which indicates that internal consistency level is acceptable. Therefore, 5 items under
Quality variables would be used in the actual survey.
Table 4.4
.754 .754 5
Table 4.4 illustrates that Cronbach’s Alpha Value for Packaging is 0.754,
which is an acceptable value, hence, the items under Packaging were remained for
actual test.
In the actual data collection, the data was succeeded in gathering from 100
respondents. Table 4.5 is the demographic profile of respondents, including: gender,
age, race, experience to buy wine as a gift.
Table 4.5
Demographic
Frequency Percent Mode Class
Profile
Male 67 67.00
Gender Male
Female 33 33.00
21
21 years old to
46 46.00
30 years old
More than 40
18 18.00
years old
Chinese 45 45.00
Malays 15 15.00
Race Chinese
Indian 28 28.00
Others 12 12.00
Experience to
No, but I will
buy wine as a Yes, I have
buy wine as a
gift 28 28.00
gift in the
future
Table 4.5 illustrate the frequency of participants in actual test. It showed that in
term of gender, there were 67 percent of male respondents and 33 percent of female
respondents. The percentage of respondents in the age of 21 to 30, 31 to 40, and above
40 were 46 percent, 36 percent, and 18 percent, correspondingly. In term of race, 45
percent of total respondents were Chinese, followed by Indian with 28 percentage,
Malay respondents made up for 15 percent and other were 12 percent. In 100
respondents, there were 72 percentage of participants having the experience in buying
22
wine as a gift, while the number of people who had not buy wine as a gift but intended
to buy it in the future made up for 28 percent.
It is important to have a step of testing the normality of data set, which can
help to understand whether the concluded data is normal based on the normality test
(Gupta et al., 2019). According to Ghasemi and Zahediasl (2012), the acceptable
values of skewness and kurtosis are between -2.00 and 2.00. Table 4.6 indicates the
result of normality test and descriptive analysis. The skewness value in Table 4.6
ranged from -0.547 to 0.542, which stated that the skewness value is in valid range.
Additionally, the kurtosis value ranges from -1.931 to 0.724, which is within the range
of acceptable value.
Furthermore, Table 4.6 also illustrates mean value and standard deviation
value. Mean value shows the average value of items, while standard value illustrates
whether the data is near to or spread from the mean. According to Ghasemi and
Zahediasl (2012), while a greater standard deviation indicates the data value is widely
spread from mean value, and a smaller standard value shows the data is near to the
mean. Cronbach alpha is a tool to measure the internal consistency of the data, it also
illustrates the reliability of the data. The acceptance value for the reliability is from
0.70. If the alpha value is lower than 0.7, which means the items are not reliable. By
contrast, if the alpha value is higher than 0.7, which indicates the items are reliable.
In the Table 4.6, the value of mean and standard deviation for ‘Decision to buy
wine as a gift’ are 3.67 ± 0.418. Moving on ‘Price’, the mean value and the standard
deviation are 3.75 ± 0.402. In addition, the mean value and standard deviation for
‘Quality’ and ‘Packaging’ are 3.87 ± 0.446, 3.69 ± 0.402, in turn. The Cronbach’s
alpha for ‘Decision to buy wine as a gift’ (α = 0.720) is greater than 0,7, hence, the
items are reliable. The Cronbach’ alpha for ‘Price’, ‘Quality’, and ‘Packaging’ are α =
0.751, α = 0.798 and α = 0.706, respectively. All the 3 Cronbach’s alpha for 3
variables are over 0.7, which means items as reliable.
23
Table 4.6
Std.
Mean Skewness Kurtosis
Deviation
24
Depending on the importance of
occasion, I will decide to buy a
3.47 0.558 -0.057 -0.785
higher price or a lower price for
a wine.
25
gift.
In Table 4.7, the R value for model is 0.607, and the R square value is 0.368.
These values prove that 36.8 percentage of variance difference in the decision to buy
wine as a gift is explained buy Price, Quality, and Packaging. Additionally, in
ANOVA table, the F value is 18.647 while the significant value is 0.000. Hence, the
research model is under the reliable value.
26
Table 4.7
Model Summary
ANOVAa
Total 17.322 99
Coefficients a
27
a. Dependent Variable: Decision to buy wine as a gift
The beta value (β) under Coefficients in Table 4.7 is used to figure out the
influence of the independent variables on the dependent variable. The greater beta
value (β) indicates the stronger effect on dependent variable (Tranmer et al., 2020).
Based on the result of Table 4.7, the value of ‘Price’ is β = 0.357, t = 3.618, p = 0.000
< 0.05, p value is smaller than 0.05, so there is a positive relationship between ‘Price’
and ‘Decision to buy wine as a gift’. Hence. H1 is supported.
The significant value, which is indicated in Table 4.7, proves whether the
hypothesis is supported or not supported. Table 4.8 demonstrates the result of
hypothesis testing. Due to the significant value of ‘Price’ is smaller than 0.05, H1 is
supported, therefore, there is a relationship between price of wine and consumers’
decisions when buying it as a gift. In addition, H2 is also supported since the
significant value is lesser than 0.05, hence, there is a relationship between quality of
28
wine and consumers’ decisions when buying it as a gift. Furthermore, the result of
Table 4.8 describes that H3 is supported because the significant value is lesser than
0.05. Therefore, there is a relationship between packaging of wine and consumers’
decisions when buying it as a gift.
Table 4.8
Hypotheses Results
Based on the findings, it proves that there was a relationship between price of
wine and consumers’ decisions when buying it as a gift. It also means that when
consumers consider choosing a bottle of wine for gifting, they concern about the price
of wine. Malaysians care about the price before deciding to buy wine may be due to
the characteristic of being sensitive with the price (The Edge Market, 2021). It is
possibly that most Malaysians are value sensitive that they could try to get the best
value for money during purchase decision process (Jaafar, 2012). In the market, it is
obvious that low price products, as well as wine, may become the target of consumers,
hence, low price wine might attract more consumers. Currently, due to the rising of
living cost in Malaysia, they need to pay more for their monthly bills, rental fees,
which have deducted the income of consumers, as well as influence on their
29
purchasing power (Dass, 2021). Hence, consumers will consider more about the price
and save more for their budget (Healy, 2009).
Besides, the result also supports the findings from qualitative research of
Mirosa and Tang (2016), who also found out that Malaysians depend on the price of
wine to determine their purchase. Raj (2020) stated that Malaysia is a country having
the second-highest alcohol excise duty in the world, it would lead to a serious
consideration of Malaysian consumers when choosing a wine. It also means when
consumers choose wine as a gift, they will concern whether the wine is appropriate to
the situations (Jaafar, 2012).
30
all the wine items, hence, wine must have standard quality before being imported in
Malaysia (GAIN Report, 2014).
Jaafar (2012) supported the findings by stating that higher quality products will
have more confidence and trustful when using, and higher quality products are not
high-risk products. Hence, in order to avoid mistake when buying any wine item,
consumers tend to choose higher price and perceived them are high quality product
when buying a gift (Wen, 2019). In Malaysia, the knowledge about wine of younger
generations is improving (David, 2021), because they are the generation who are more
travelled, studying and working overseas, flexibility in approaching new trends. and
leading the demand towards world wines, therefore, they always require a higher
quality wine for consuming as well as gift-giving in the market (Briceag, 2021).
31
can attribute to preserve food quality, as well as preserve food during transportation.
Hence, Malaysian consumers still choose the traditional package and material for a
bottle of a wine. Some higher-income group people find a new design, or luxurious
design, which can let them have face among friends and family at social gatherings or
reunions (Rocchi, 2006).
Ampureo and Vila (2006) also agreed that packaging is crucial because it
reaches to almost consumers, especially during decision-making process, consumers
will look for all the information on packaging and decide whether they buy the
product. Similarity with Malaysians, when considering a wine, they would look at all
the detailed information provided, such as the percentage of alcohol, region of wine,
type of grapes, etc. (Mirosa & Tang, 2016).
32
CHAPTER 5
5.1 Conclusions
33
5.2 Limitations and Recommendations for Future Studies
There are few limitations in the entire process of conducting this research
study. Firstly, this sample size is quite limited, with only 100 respondents. Although
this number is sufficient to get a good result (Mesa et al., 2014), it is still small to
represent Malaysians' behavior. Small sample size can lead to challenges to any
statical analyses and result in lower predictive level when compare with larger sample
size (Stockwell & Peterson, 2002). Since the sample size increases, the accuracy
should also increase until approaching the maximum accuracy potential (Hernandez et
al., 2006). Therefore, there is one recommendation for future research is that when
conducting, the sample size should be increased to get higher accuracy data, cover and
generalize the perception of Malaysian behaviors. The recommendation sample size is
300 respondents, who can provide a good result for the research (MacCallum et.,
1999).
Lastly, one of the limitations of this study is the limitation in variables. In this
study, there were three variables utilized in understanding Malaysian consumer’s
decision on wine gift purchase, including price, quality, and packaging. Nevertheless,
because the fact that decision of consumer when buying a wine has numerous
influencing factors, such as products characteristics, brand, country of origin, etc.,
(Hatak & Stöckl, 2008); hence, future researchers are suggested to study on other
variables. According to McCutcheon et al., (2009), region of origin of a wine is a very
crucial factor in decision-making process. In Malaysia, since Malaysians have been
34
exposed to wine culture abroad through travel for business, studies, tourism, the
demand of wine from France, Australia, New Zealand is being boosted, which means
the needs of understanding wine’s country origin is higher (European Union, 2020).
Therefore, country of origin is a potential variable for future study about consumer
decision on wine-gift purchase.
35
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43
Appendix A
Research Questionnaire
Dear respondents,
Section B: Price
Section C: Quality
Section D: Packaging
Section E: Demographic
It would take approximately 4-5 minutes to complete the questionnaire. There are no
right or wrong answers but simply different types of responses according to individual
opinions. Your participation is greatly appreciated.
Thank You.
Sincerely,
Le Nguyen Ha Anh
A2: I buy wine when I have meals in restaurant with friends/business or family.
A4: I buy wine as a gift because I believe it can strengthen the relationship I share
with the receiver.
Section B: Price
B2: I always purchase wine in supermarket or hypermarket for a better price to give as
a gift.
B3: Depending on the importance of occasion, I will decide to buy a higher price or a
lower price for a wine.
Section C: Quality
C2: I always focus on certification marks or awards shown on labels to know the
quality of wine.
C3: I believe international brand wine (French or Italian) has better quality to give as a
gift.
C4: I believe sustainable wine contains less or non-chemicals, which has better
quality.
Section D: Packaging
D1: The shape of bottle of wine will persuade me to buy wine as a gift.
D2: Packaging containing labelling with necessary information will be important for
gifting.
46
D3: I always choose a bottle of wine with high quality packaging and the material
used.
D5: I will consider traditional labeling when purchasing a wine for gifting.
Section E: Demographic
E1: Gender
E2: Age
E3: Race
Yes, I have No, but I will buy wine as a gift in the future
47