Academia.eduAcademia.edu
European Journal of Management and Marketing Studies ISSN: 2501 - 9988 ISSN-L: 2501 - 9988 Available on-line at: http://www.oapub.org/soc doi: 10.5281/zenodo.1034304 Volume 2 │ Issue 3 │ 2017 INVESTIGATING THE CONSUMER BEHAVIOR AND FACTORS CAUSING CONSUMER DISTRUST – A CASE STUDY IN ARVAND FREE ZONE Feridoun Omidi1i, Babak Darabinejad2, Aref Loveymi3, Hasan Cheraghi Kutiani4 Assistant Professor, Khorramshahr International Business Management Department, 1 Persian Gulf, Islamic Azad University, Khorramshahr, Iran 2,3,4 Ph.D student of Khorramshahr International Business Management Department, Persian Gulf, Islamic Azad University, Khorramshahr, Iran Abstract: In line with rapid growth of the transportation industry that facilitates the trade and business, companies send their products easily in the shortest time to most distant points of the world. Despite development in recent years, the business future of Arvand Free Zone in Khuzestan Province and markets related to it are at risk. The most important reason in this regard is consumer distrust in various stages of advertising. This investigation uses quantitative and qualitative method in order to experimentally show that negative concerns in the minds of the consumer will have a negligible and effective impact on market activity. Investigating the reasons for consumer distrust was started first by an interview. The findings of the interview revealed that negative beliefs and attitudes of the consumer had the highest impact on attitudes of people of a community towards a given market. Based on the qualitative studies, eight parameters in three dimensions are considered as final factors affecting the consumer distrust. Eight parameters affecting the consumer behavior were also evaluated in a quantitative study and the level of relationship among the factors was determined. Finally, it was concluded that consumer distrust affects the behaviors of the market, leading to market withdrawal. In addition, consumer trust created market formation or consumer activity. JEL: D12, D18, P36, P46 Copyright © The Author(s). All Rights Reserved. © 2015 – 2017 Open Access Publishing Group 98 Feridoun Omidi, Babak Darabinejad, Aref Loveymi, Hasan Cheraghi Kutiani INVESTIGATING THE CONSUMER BEHAVIOR AND FACTORS CAUSING CONSUMER DISTRUST – A CASE STUDY IN ARVAND FREE ZONE Keywords: consumer behavior, consumer distrust, Arvand free zone, quantitative and qualitative investigation of consumer behavior 1. Introduction In recent years, different shocking words such as energy drinks, slimming tea, and cholesterol-free oil in the food market and various types of fat burners in drug selling centers have been advertised in domestic and foreign media. The advertising of nonethical cases with ethical terms also increases the concern of consumers of healthy foods every day. The current models of consumer decision in the marketing area are based on the instrumental rationality model. Instrumental rationality means that the consumer collects the information, calculates and selects the best means to meet his need (to achieve the goal) in terms of environmental conditions in order to optimize his own situation. This rationality pattern is often seen in different consumer decision making models in the area of marketing (Haghighi et al, 2006). In contrast to rationality pattern, Habermas has suggested the theory of rationality and the action of "communication." Based on Habermas, rationality is not one-dimensional and it is not limited to instrumental aspect. Rationality is in fact a social and interactive process during which people are involved in dialogue and reach to consensus and understanding regarding the exchange of information. In this situation, the rational decision of the consumer can be the result of dialogue and interaction with the seller in order to achieve the consensus (Haghighi et al., 2006). Additionally, rationality does not merely include objective world and mean-goal calculations, but also includes individual and cultural beliefs and values of the parties involved in the dialogue. Consumers show distrust to business and market. Edelman in his study showed that only 61% of the world population consider business as trustworthy, and this figure reaches less than 50% in many specific industries (Bush, M., 2014). Yanklevich (Wood, C., 2004) reported that consumer trust has been decreased over the past 30 years. Similarly, 42% of British consumers do not trust brands at present time (Lidstone, R, 2005). Negative attitude or distrust of the community and its responsible institutions as a sustainable belief will have negative impacts among active people in that community (Abraham, R., 2000). When unrealistic slogans emerge for the aim of deception and betrayal in the community, it does not lead to disappointment, but it leads to awakening (Kanter, D.L. & Mirvis, P.H., 1989). Many studies have shown that distrust has been a constant and lasting behavior of consumer in the market during the past 30 years. They also showed that some street advertising such as street paintings to highlight the product compared to other products has angered the consumer European Journal of Management and Marketing Studies - Volume 2 │ Issue 3 │ 2017 99 Feridoun Omidi, Babak Darabinejad, Aref Loveymi, Hasan Cheraghi Kutiani INVESTIGATING THE CONSUMER BEHAVIOR AND FACTORS CAUSING CONSUMER DISTRUST – A CASE STUDY IN ARVAND FREE ZONE (Fournier, S., et al., 1998) (Ward, J. & Ostrom, AL , 2006) (Gregoire, Y, et al., 2009). The cases in which consumer tries to reduce his living costs, he does not pay attention to company and seller offers and he decides by himself (Zavestoski, S. 2002) (Hogg, M.K., et al., 2009). By creating friendly relation, it is impossible to attract the consumer, but we can introduce ourselves to consumers in order to attract the consumer and use free advertising of consumer in light of honesty (Brenton, S., 2013). Arvand Free Zone in Khuzestan Province, which is in its early days, has provided an important commercial future for Khuzestan Province. Several foreign products have made customers more confused in purchasing high-quality products and made them purchase the products without enough information. Unfortunately, in many cases, it has been shown that consumer after purchasing foreign products has found out that product quality is not consistent with advertising, and this also enhances the consumer distrust. Consumer distrust is considered risky for the economic future of the market and the trade zone. In this study conducted using quantitative and qualitative method, factors causing distrust in Arvand Free Zone were examined and the most important factors will be introduced. For viewing / downloading the full article, please access the following link: https://oapub.org/soc/index.php/EJMMS/article/view/230 European Journal of Management and Marketing Studies - Volume 2 │ Issue 3 │ 2017 100