CAPSTONE PROJECT REPORT

TOPIC: A study of how packaging and labeling of food products affects consumer buying behavior

Submitted To Mr. Syed Tabrez Faculty, Deptt of Management (LPU)

Submitted By Hare Krishna Kumar (11009239) Amit Pandey (11008469) Gagandeep Singh (11008371) Rajat Khare (11006261)

Table of Contents:

1. Introduction
2. Review of literature

3. Need and scope of the study Research objectives Research methodology 4. References

Introduction

Labeling includes any written, printed or graphic matter that is present on the label, accompanies the food, or is displayed near the food, including that for the purpose of promoting its sale or disposal. Labeling is an important process in the food processing chain and should not be overlooked. The label is the first point of contact between a consumer and the producer. It is used to identify one product from another and also to make a decision over which product to purchase. The label is therefore the most important marketing tool for a product. It should be attractive and eye catching while at the same time being informative. A dirty, confused, untidy label will not help to sell a product. Small scale food processors should aim to label their products with the best label they can obtain or afford in relation to the value of the product.
The objective of foodstuff labeling is to guarantee that consumers have access to complete information on the content and composition of products, in order to protect their health and their interests. Other information may provide details on a particular aspect of the product, such as its origin or production method. Some foodstuffs, such as genetically modified organisms, allergenic foods, foods intended for infants or even various beverages, are also subject to specific regulations.

The purpose of a food label:

o o o o

To provide consumers with information on the product To advertise the product To distinguish the product from that of competitors (establish a brand) It is a legal requirement

The following are legal minimum requirements in most countries:

o o o

Product name Manufacturers name and address Date of manufacture and best before date (sell by date)

o o

Ingredients list (in descending order of weight) Net weight of product in the package.

Information given on the label of food product helps consumer to make cognitive learning in their mind. The cognitive learning may influence the consumer buying behavior and make different perceptions about product. Purpose of the study to know the factors which influence consumer learning and buying behavior after reading the labeling in formation of food product.

The following are additional information that is optional:

Instructions for preparing the product (e.g. Nestle's Maggi noodles) Storage instructions or instructions on storage after opening Examples of recipes in which the product can be used A bar code.

Reviews of literature:-

Scope of the Study

Customers Companies and Government

OBJECTIVES OF THE STUDY

To find out the effectiveness of packaging information on consumer learning. To find out the consumer awareness about information on food packets. To know how labeling impacts consumers' purchase decision.

Research Methodology

The purpose of the study is to know the consumer learning with respect to information given on food packet. The research will be conducted in different retail outlets in Punjab. The study is descriptive in nature and a survey will be conducted through which an analysis will be derived.

Sample size A sample of 150-200 consumers of Punjab will be taken for the purpose of study and analysis.

Sampling unit: Sample unit will consist of consumer who purchase packed food products in Punjab.

Data collection: data will be collected through primary and secondary sources.

Primary data: Primary data will be collected with the help of structured questionnaire and personal interview with consumers.

Secondary data: Source of secondary data will be collected with help of published reports, magazines, newspapers and the websites.