Modelling Customers’ Buying Behaviour of Jan Aushadhi (Generic Medicines)

Abstract:

Background: Jan Aushadhi, a scheme to make affordable generic drugs available to large sections of population was launched by the Government of India across the country in the year 2008. This exploratory research was conducted to study the attitude of customers (Bengaluru, India) towards acceptance of Jan Aushadhi and an attempt was made to model buying behavior in order to suggest mechanisms to speed up the acceptance. Materials and Methods: Data was collected using structured questionnaire. Z-test and Exploratory factor analysis was conducted for hypothesis testing. Discriminant analysis was conducted to model consumption. Results and Conclusion: The variables that discriminated consumers from non-consumers were ‘effectiveness’, ‘doctor’s opinion’, ‘lower price’, ‘Quality’, ‘less expensive than other branded medicines’, ‘doctor’s prescription’, ‘convenience’, ‘doctor informs’, ‘home delivery’ and ‘brand reputation’. Results found that ‘doctor’s prescription’, ‘lower price’, ‘availability of Jan Aushadhi outlet’, ‘quality of generic medicine’ and ‘recommendation from others’ had a significant influence on acceptance of Jan Aushadhi. Therefore, the study recommends the doctors to prescribe generic medicine, increase the number of Jan Aushadhi outlets and provide awareness about the quality and efficacy of Jan Aushadhi.

Key words: Jan Aushadhi, Model, Customers’ attitude, Generic medicine, Segment, Exploratory Factor Analysis, Discriminant Analysis, Spearman’s Correlation, Z - test, Bengaluru, India.