FACTORS AFFECTING BRAND CHOICE OF EDIBLE OIL: A CASE STUDY ON TENA OIL ADDIS ABABA

Abstract

The purpose of the study was to investigate on the factors affecting brand choice of edible oil in case of Tena oil in Addis Ababa, Ethiopia. The study identified four factors that affect brand choice of edible oil in case of Tena oil. The study was guided by the following research objectives: to identify factors affecting the brand choice of edible oil in Addis Ababa in case of Tena oil, to evaluate the effects of labels, price, individual attitude and advertisement on consumers ‘brand choice of Tena oils. This research adopted explanatory or casual research design and descriptive research design. The total population of the study was consumers around Abado condominium, Addis Ababa, Ethiopia. This study adopted random sampling technique and employed primary data collection. For primary data, personally administrated questionnaires and structured and semi structured interviews were made to collect more qualitative information. Structured linkert scale data collection instruments were also used. 160 questionnaires were distributed to the respondents and 130 were filled and returned. It shows a response rate of 81.25%.To analyze quantitative data obtained through questionnaires, inferential and descriptive statistics were used using SPSS version 21 software. This study used descriptive statistics such as mean and standard deviation of each variable. The findings established that the price of edible oils was a significant factor in its brand choice with a relatively small variation of data. Majority of the respondents claimed that lowering the price may encourage people to brand choice of Tena oil as compared to when it is increased with a relatively small variation of data. The findings shows that individual attitude make the respondents to decided influenced decision on the type of Tena oil that they were about to choice with a relatively medium variation of data. The study recommends that the price of Tena oil should continuously be considered in the brand choice of the product. The individual attitude should enable consumers make reasonable decision on the brand choice of edible oil that they are about to choice and use. Lowering the price may encourage people to choice brand of Tena oil as compared to when it is increased.