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Proceedings of 26th International Business Research Conference

7 - 8 April 2014, Imperial College, London, UK, ISBN: 978-1-922069-46-7

A Study of How Perception of Risk Impact on the Intention to


Purchase Energy Drinks in Mauritius
Naaila Banu Korimbocus and Vanisha Oogarah-Hanuman
The purpose of this study was mainly to consider the impact of risk perception and
the purchase intent for energy drinks in Mauritius. The paper reviews literature
about risks perception by emphasizing on the factors that increase or curb this
complex phenomenon. The study focused on a causal research to determine the
cause and effect relationship between perceived risks and intention to buy. Thus, a
survey of 200 questionnaires was distributed throughout Mauritius for this purpose.
It has been found that (i) there is a high level of risk perception pertaining to
purchase of energy drinks (ii) sales promotion, word of mouth and advertising were
not effective risk reduction strategies for Mauritians as they were not successful in
changing the purchase decisions of the respondents. Significant regression and
correlation analysis have been carried out to test hypotheses to reveal impact of
risk perception on purchases which was found to be both negative and positive on
behavior.

Keyword: Energy drinks, risk perception


Field of Study: Marketing

1.0 Introduction
Risks are omnipresent throughout our daily life. An understanding of perception of risks
concerning beverages has become prominent for marketing managers. There are several
empirical evidences that factors like family, price and cultural difference affect the purchase
decision. The theory of planned behavior (TPB) by Ajzen, 1991 has helped many studies to
predict purchase intention and this study provides a modified TBP to include additional
determinants of purchase intention. Consumption of energy drinks in Mauritius and around
the world has become famous. The main suppliers of energy drinks in Mauritius are the
Phoenix Beverages group, Compagnie Industrielles de Pailles Ltee, Eau Val Ltee and
Redbull energy drink (RPM Enterprice Ltd). Zenith's market intelligence director, Esther
Renfrew said, Energy drinks remain the most dynamic segment in the soft drinks market,
with strong growth in most countries. The energy drinks consumption around the world has
increased and this is shown below:

_______________________________________________________________________
Naaila Banu Korimbocus, Faculty of Law and Management, University Of Mauritius, Mauritius,
n.korimbocus@uom.ac.mu

Proceedings of 26th International Business Research Conference


7 - 8 April 2014, Imperial College, London, UK, ISBN: 978-1-922069-46-7
Vanisha Oogarah-Hanuman, Faculty of Law and Management, University Of Mauritius, Mauritius,
v.hanuman@uom.ac.mu

2007

2011

4%

6.8%

Middle East
East Europe

4.9%
7.5%

5.2%
8%

West Europe
Asia Pacific
North America

15.4%
25%
39.4%

16.9%
21.9%
35.9%

Africa
Australia

1.3%
2.5%

1.2%
4.2%

Latin America

Source: Consultancy Zenith International report on energy drinks consumption, 2011

Table 1: World Energy Drink Consumption


Obviously, the issues of consumers perception of risk helping to improve the relationship
between customers and the energy drink industry must be addressed. In fact, perceived
risks are present in all the stages of the buying process. Customer satisfaction and
engagement are affected by various moderators, but the most dynamic ones are the risk
perception. As a matter of fact, marketers have always triggered to eliminate risk
perception, but have failed in the process as the concept of risk perception is the most
difficult issue to tackle. However, the question still arises, Is it a must or an option?
Nowadays, people think that consuming energy drinks will make them fit and in good
health, but this is not the case as it has ill effects (Lal, 2007). Based on these, this research
attempts to examine the following research objectives and hypothesis.
Research Objective:
1) Measure the level of awareness amongst Mauritians for energy drinks
2) Analyze the level of perceived risks for energy drinks amongst Mauritians and how
this affect purchase intention for the product.
Research Hypothesis:
H1: There is a significant correlation between awareness and consumption of energy
drinks.
H2: There is no significant correlation between risk perception and frequency of use for
energy drinks.

Proceedings of 26th International Business Research Conference


7 - 8 April 2014, Imperial College, London, UK, ISBN: 978-1-922069-46-7
2.0 Literature Review
Theory of Planned Behavior (TPB)
The TPB (Ajzen, 1991) is a model which encompasses three main factors namely attitudes,
social norms and perceived behavioral control. Several factors affect intention to purchase
a product. The proposed model is as shown below:

Attitude

Intention to
purchase

Perceived

Risk reduction

risk

strategies

Source: Based on Ajzen, 1991

Figure 1: Theory of Planned Behavior

Chen and Lin (2009) claims that purchase intention represents what we think we will buy.
Purchase intention is one way to denote how a person is likely to buy a particular brand
and the intention to do so is not only determined by the customers attitudes towards one
brand, but also towards others (Teng et al, 2007).

Attitude is concerned with the positive and negative feeling of performing a behavior (Jin &
Kan, 2011). Attitude is the most powerful factor that influence purchase intent according to
the TPB (Hernan et al, 2012). It is also seen to be having a positive relationship with the
intention to purchase a product (Alam & Sayuti, 2011). That is, a negative attitude would
lead to rejection of a purchase while a positive attitude a purchase behavior. This is also
supported by other authors. They stated that there is a strong relationship between
attitudes and intention to purchase (Thompson et al, 1994).
Perceived Benefits
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Proceedings of 26th International Business Research Conference


7 - 8 April 2014, Imperial College, London, UK, ISBN: 978-1-922069-46-7
Perceived benefits are the benefits and confidence that consumers have when purchasing
a product. A perceived benefit is a belief that a product will play a unique role in influencing
customers attitudes (Liu et al, 2012). Consumers usually evaluate the quality of a product
based on the perceived benefits and that of the perceived risks (Akturan & Tezcan, 2012).
Definition of Perceived Risks
In a research by Bauer (1960 cited by Kesharwani & Bisht 2012, p. 307) denoted that
perception of risk was firstly defined as unexpected and uncertain consequences of an
unpleasant nature resulting from the product purchase. Perceived risks concerned the
uncertainty of a proposed purchase and the outcomes that will result from a decision to
purchase a product (Jill, 2009). The study of Sweeny et al (1999 cited by Snoj et al 2004 p.
159) showed that perceived risk is associated with some degree of loss. Perceived risk
occurs as the result of a choice decision which can only be known in the future, the
consumer is obliged to deal with uncertainty and to the extent that they realize they may not
attain all buying goals (Mitchell, 1998). Perceived risk is concerned with the purchase of
different products having different levels of risks (Bayon & Wangenheim, 2004).
Research made by Grewal et al (2007 cited by Tuu & Olsen 2012 p.82) also stated that
perceived risks have negative consequences on (re)purchase intention. It also affects the
behavior of strategies to reduce risk perception (Xu et al, 2010).

Concept of Perceived Risks


There are usually five components of perception of risks and they are physical,
performance, financial, time and psychological (Mitchell, 1998). However other researchers
found other components of risks. One prominent risk also is the social risk which might be
present although the other types of risks absent (Mitchell, 1999). These are discussed in
details below:
1. Financial Risk
Financial risk is concerned with the potential monetary expenditure related to the purchase
price and the cost of maintaining the product (Akturan & Tezcan, 2012). It has also been
held that financial risk can be explained as the probability of losing money from buying
unfamiliar brand (Beneke et al, 2012). This type of risk implies that the price of the product
is not worth the products quality (Schiffman and Kanuk, 2004).
2. Performance Risk
Performance risk is the consequences related with a product that does not meet the
expectations of customers (Hornibrook et al, 2005). It also shows that consumers are afraid
that a product will not perform well based on its benefits promised. (Beneke et al, 2012).
Performance risk can also be the case due the taste and the dangerous contents of the
product (Yeung & Morris, 2001).

Proceedings of 26th International Business Research Conference


7 - 8 April 2014, Imperial College, London, UK, ISBN: 978-1-922069-46-7
3. Time Risk
Time risk is the perception that it will take too much time to adopt and get used to a product
(Hirunyawipada & Paswan, 2006). In short, time risk refers to the time taken in terms of
travelling and waiting to buy a product (Mitchell, 1998). Time risk also refers to the time
wasted to return a damage product or service (Beneke et al, 2012).
4. Social Risk
Social risk is concerned about the possibility that a product or service in use will affect the
way others think about a person (Tan, 2002). It occurs due to fear of being out of fashion
when using or wearing a particular product (Burgess, 2003). Social risk results in losing
social status from using a product (Dean, 2011).
5. Psychological Risk.
Psychological risk is defined as the experience of worry or mental discomfort arising from
the purchase of a product (Perugini & Bagozzi, 1999). Yi Lin and Wen Chen (2009) define
psychological risk as the chances of the specific purchase being inconsistent with the
personal or self-image of the traveler. Psychological risk is linked to social risk and it
suggests the consequences of making a wrong purchase which can impact on the feeling
and psychology of the consumer (Beneke et al, 2012).
6. Physical/Health Risk.
Physical risk refers to the hazards to health which can be caused by dangerous products
(Mitchell & Harris, 2005). It is concerned with the adverse health consequences that
consumers believe can encounter in the purchase of a product and the impact of this is
absenteeism from work which is thought by customers (Yeung & Morris, 2001).
Factors contributing to Risk Perception

1. Product involvement
Quester and Lim (2003) denoted, product involvement reflects the perceived relevance of
the product category to the individual on an ongoing process. Perception of risk is a type of
product involvement and has been determined as a consequence of product involvement
(Dholakia, 2001).

2. Trust
There is a negative relationship between trust and perceived risk (DAlessandro et al,
2012). That is, the lower the trust in a product, the higher the perceived risks (Yen, 2010).
There are four types of relationship between trust and perceived risk; the first is that
perceived risk reduce the relationship between consumers trust and intent to purchase;
secondly, perceived risk go before consumers trust; thirdly, trust go before perceived risk
and finally the relationship between these two are reciprocal ( Chang & Wen, 2008).

Proceedings of 26th International Business Research Conference


7 - 8 April 2014, Imperial College, London, UK, ISBN: 978-1-922069-46-7
3. Personal factors
In the study of Armas (2006 cited by Becker 2011 p. 424)spells out that one cause is
gender, whereby women are more likely to be constraints to risks compared to men who
are more risk takers . This author also suggested in his study that there are also other
important factors like income level (Johnson, 2004 pp 3); education (Sjoberg, 2000 pp 3),
age (Sjoberg, 1998 pp 3) and personality traits (Chauvin et al, 2007 pp 3) which affect
perception to risk. Among these various factors are found others like household size and
social status (Baltas & Argouslidis, 2007).
4. Brand familiarity
When consumers are not familiar with a brand, their perceived risks rise (Park & Stoel,
2005). It has been held that consumers who are not familiar and have little knowledge
about a brand are expected to have high level of uncertainty concerning the outcome of the
performance of a product (Tam, 2008). Consumers are reluctant to try new brands which
are unknown to them to prevent various losses from occurring by consuming these brands
(Matzler et al, 2008).
5. Knowledge
Low knowledge increase perceived risk of consumers and vice versa (Tuu & Olsen, 2012).
6. Store brands and national brands
Store brands are perceived as inferior when making a purchasing leading to rise in risk
perception (Mieres et al, 2006).

7. Packaging
When perceived risk is high, the consumer always focuses on packaging (Celhay &
Passbois, 2011).
8. Price
The research of Lim (2003 quoted by Xu & Shao 2010 p. 515) stated that price is one
element that affects perception of risk.
9. Perceived quality
Quality is an indicator to assess risks (Teas & Agarwal, 2004). The study of Shimp and
Bearden (1982 quoted by Teas & Agarwal 2004 p. 244) explained that high perceived
quality is used to curb perceived risks to determine the level at which a product will perform
its necessary functions.
Risk reducing strategies

When there are high levels of perceived risks, consumers are likely to reduce these risks
(Yeung & Yee, 2003). The research of Kim and Lenon (2000 Stoel & Ha 2004 p. 383)
denoted that there is an inverse relationship between information available and perceived
risks. In order to ensure their purchase, consumers should try to eliminate the risks that are
likely to occur (Zhang & Lu, 2001). Evidence in the paper of Gurnan et al (2004 quoted by
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Proceedings of 26th International Business Research Conference


7 - 8 April 2014, Imperial College, London, UK, ISBN: 978-1-922069-46-7
Bao et al 2011 p. 449) stated that when consumers face high risk situation, they will look for
various forms of information. The past study of Roselius (1971 cited by Chu & Li 2008
p.216) mentioned that there are eleven risk reducing strategies and they are endorsement,
brand loyalty, brand image, private testing, store image, free sample, money back
guarantees, government testing, shopping, expensive model and word of mouth.
To conclude this literature section, several theoretical debates have been noticed to
proceed with the research. While there are opportunities to divert or alleviate risk
perception, there are also risks of failures. This part of the study has elaborated on the
details of perceived risks.

3.0 Methodology
This study consisted of a causal research as the main focus was mainly to determine the
cause and effect relationship between perceived risks and intention to buy. Both primary
and secondary data have been used. A questionnaire was used as instrument to collect
data. Prior to data collection, a pilot test was conducted to ensure reliability of the
questionnaire. In November 2012, a pilot testing was conducted where six questionnaires
were used for this purpose. A sample of 200 respondents was taken out of the target
population which consisted mainly secondary and tertiary students, housewives, working
population and the retired people. A non probability quota sampling was used as shown in
the table below using the following formula:
No of population in a district * Sample size
Total population

Proceedings of 26th International Business Research Conference


7 - 8 April 2014, Imperial College, London, UK, ISBN: 978-1-922069-46-7
Table 2- Sample Size

4.0 Findings and Analysis


4.1 Demographic Analysis
The population size of Mauritius is 1,171,594 (Ministry Of Finance and Economic
Development Statistics Mauritius 2011). The demographic profile of the respondents for the
survey is shown in the table below:
Factor

Percentage (%)

Gender:
Male
Female
Age group:
Below 20
21-30
31-40
41-50
51-60
Above 60
District:
Riviere Du Rempart
Pamplemousses
Flacq
Black River
Port Louis
Savanne
Moka
PlaineWilhems
Grand Port
Marital Status:
Single
Married
Divorced
Separated
Educational level:
Primary
Secondary
Tertiary
Occupation:
Self employed
Student
Public sector

51
49
18.5
31
18.5
17
8.5
6.5
10.5
10.5
11.5
10.5
13
5.5
6
22
10.5
46
51
2
2
7
56
36
9.5
26
20.5
31
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Proceedings of 26th International Business Research Conference


7 - 8 April 2014, Imperial College, London, UK, ISBN: 978-1-922069-46-7
Private sector
Housewives
Retired
Income group:

6
7

Below Rs5000
Rs5001-15000
Rs15001-25000
Rs25001-35000
Above Rs35000

11.5
46
24.5
9.5
8.5

Ethnic group:
38
32
15
11
4

Muslim
Hindu
Christian
Tamil
Others

Table 3- Profile of the respondents


4.2 Study the level of awareness for energy drinks among Mauritians
What is energy drink?
From the survey, it was found that 92% of Mauritians know what energy drink is all about
while only 8% of them do not know what energy drinks is all about.
Brands of Energy drinks
Among all the brands, Redbull is seen be the most popular energy drinks.
Communication tools in creating awareness for energy drinks

Valid

How did you come to know about the existence of energy drinks
Frequency
Percent
Valid Percent
Cumulative
Percent
N/A
16
8.0
8.0
8.0
Television
55
27.5
27.5
35.5
on shelf
58
29.0
29.0
64.5
Newspaper
18
9.0
9.0
73.5
Friends/relatives
37
18.5
18.5
92.0
Radio
3
1.5
1.5
93.5
Don't remember
8
4.0
4.0
97.5
Billboards
2
1.0
1.0
98.5
Internet
3
1.5
1.5
100.0
Total

200

100.0

100.0

The findings show that the most effective medium to create awareness for energy drinks
were television, friends and on shelf. The other communication tools like radio (1.5%),
billboards (1%), and newspaper (9%) were not as much effective in delivering the
message.

Proceedings of 26th International Business Research Conference


7 - 8 April 2014, Imperial College, London, UK, ISBN: 978-1-922069-46-7
4.3 Consumption pattern of Mauritians for Energy drinks
There is a high level of Mauritians (69%) of the total population who purchase energy
drinks for their own or for others, while a minority of 23% does not buy it at all.

Why do Mauritians take energy drinks?

Reasons for consumption


40.50%

45%
40%
35%
30%
25%
20%
15%
10%
5%
0%

28%

10.50%

N/A

Boost up Curiosity
energy

7%

Fun

5.50%

Taste

5.50%

Refresh
morale

Figure 2: Reasons for consuming energy drinks


40.5% drink it to boost up energy, 10.5% consumer have it because of curiosity, 7% for fun,
5.5% for its taste and 5.5% consume to refresh their low morale. It can be seen that the
purchase benefits of energy drink is mainly due to its stimulation element.
How often do Mauritians consume energy drinks?
Frequency

Valid

N/A
Daily
Weekly
Monthly
Yearly
Anytime
Every three months
Total

Percent

Valid Percent

56
2
53
71
13
3
2

28.0
1.0
26.5
35.5
6.5
1.5
1.0

28.0
1.0
26.5
35.5
6.5
1.5
1.0

200

100.0

100.0

Cumulative
Percent
28.0
29.0
55.5
91.0
97.5
99.0
100.0

35.5% of the total population consume it on a monthly basis, only 1% on a daily basis,
26.5% drink it weekly, 6.5% yearly, 1.5% consume it anytime, and 1 every three months.
The frequency of use is low mainly on monthly basis which is not a good indicator in terms
of the profitability of energy drink firms in Mauritius.
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Proceedings of 26th International Business Research Conference


7 - 8 April 2014, Imperial College, London, UK, ISBN: 978-1-922069-46-7
4.4 Analyze the level of perceived risks for energy drinks among Mauritians
Health risks
N/A
Hypertension
Death
Nausea
Cancer
Diabetes
No health problem

Percentage (%)
8
42
8
5
3
2
33

Table 4: Health risk


It can be seen from table that 60% of the population perceived health hazards associated
with energy drinks. Indeed, there is a high health risks among Mauritians pertaining to
energy drinks as many diseases have been associated with the product. The health
concern has been proved from this data as the majority of respondents feel insecure
pertaining to the purchase of energy drinks. It is just a matter of not trusting the product and
lack of knowledge.
4.5 Financial Risk
How far do you agree that the price of energy drinks reflect its quality

Table 5: Financial Risks


The table illustrates whether people agree or not that the price of energy drinks reflect its
quality. From the table, it can be clearly seen that there is quite a low financial risk among
Mauritians because the majority of 23.5% and 33% have strongly agreed and agreed on
this statement, while a minimum of 9% totally disagreed to this issue. That is, for the
majority of Mauritians, the price set for energy drink is acceptable.

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Proceedings of 26th International Business Research Conference


7 - 8 April 2014, Imperial College, London, UK, ISBN: 978-1-922069-46-7
4.6 Performance Risk
Energy drinks:
Act as booster
Have good
flavors
Contain vitamins
Refresh Morale

Yes
83.5 %
65%

No
8.5%
27%

N/A
8%
8%

63.5%
49%

28.5%
43%

8%
8%

Table 6: Performance risks


There is no doubt that the performance of energy drinks in terms of providing vitamins,
good flavors and as the real product to provide physical boost up is agreed by most of the
respondents. There is a positive response that energy drinks are performing well on these
three attributes. Thus, it can be deduced that the majority of Mauritians are confident that
their purchase of energy drinks will definitely reflect the qualities that energy drinks are
supposed to demonstrate.
4.7 Time Risk
Is travelling a problem to access energy drinks?

Time risk
8%
41%

N/A
51%

Yes
No

Figure 3: Time risk


From the data, it can be noted that there is a low time risk as the majority of respondents,
feel that they do not need to travel to long distances to have access to energy drinks as
they believe that energy drinks are highly distributed in various outlets.

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Proceedings of 26th International Business Research Conference


7 - 8 April 2014, Imperial College, London, UK, ISBN: 978-1-922069-46-7
4.8 Social Risk
Energy drinks are considered
as:
1) Old fashion
2) Low value product by
people
3) Bad product by family
4) None of them
5) Not applicable

Percentage (%)
3
6.5
17
65.5
8

Table 7: Social risk


As per table above, 65.5% respondents do not feel that they will feel uncomfortable by
society due to the purchase of energy drinks. However, to a smaller extent some
conservative people do feel that they will be disregarded by society due to the purchase of
energy drinks as 17% feel that it will be seen as a bad product by their relatives.
4.9 Psychological Risk
What do you think will be your feeling if you have to consume energy drinks * Do you think that
purchasing energy drinks is a wrong decision Cross tabulation
Count

N/A
What do you think will be Delighted
your feeling if you have to Satisfied
consume energy drinks
Disappointed
Regret
Total

Do you think that purchasing energy drinks is a


wrong decision
N/A
Yes
No
16
0
0
0
1
29
0
11
108
0
10
9
0
14
2
16
36
148

Total

16
30
119
19
16
200

Table 8: Cross tabulation of psychological risks between feelings of purchase and decision
taking
Those 108 respondents who feel that purchasing energy drink is not a wrong decision are
those who also feel satisfied and delighted, meaning that there is a positive relationship
between these two. That is, people who are delighted and satisfied will perceive the
purchase of energy drink as a good decision.

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Proceedings of 26th International Business Research Conference


7 - 8 April 2014, Imperial College, London, UK, ISBN: 978-1-922069-46-7
Hypothesis Testing
H1: There is a significant correlation between awareness and consumption of energy
drinks.
Correlations
Do you know
what energy
drinks is?
Pearson Correlation
Do you know what energy
Sig. (2-tailed)
drinks is?
N
Pearson Correlation
Do you consume energy
Sig. (2-tailed)
drinks?
N
**. Correlation is significant at the 0.01 level (2-tailed).

Do you consume
energy drinks?
1

.632

**

.000
200
**
.632

200
1

.000
200

200

Table 9: Pearson Bivariate Correlation between awareness and


consumption of energy drinks
It can be concluded that awareness of energy drinks and its consumption are positively
correlated. That is, knowing about the existence of energy drink is an important factor for
consuming the product. As P=1, it demonstrates a strong correlation between the two
variables. It can thus be noted that as the level of awareness rises for energy drinks, level
of consumption also increases. The sig value is less than 0.5 (0.000), meaning that there is
a statistically significant correlation between awareness and consumption of energy drinks.
H2: There is a significant correlation between risk perception and frequency of use
for energy drinks
consumption
Pearson
bivariate Frequency of use
correlation
Health risk
-0.766**
Financial risk
0.506**
Performance riskBoost up
0.276**
Good flavors
0.578**
Provide vitamins
0.244**
Refresh morale
0.219**
Time risk
0.376**
Social risk
0.202**
Psychological risk
Wrong decision
0.486**
Feelings
0.378**
**. Correlation is significant at the 0.01 level (2-tailed).
Table 10: Pearson Bivariate Correlation between perceived risks and frequency of energy
drinks
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Proceedings of 26th International Business Research Conference


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Table above summarizes the relationship between the different type of risk perception and
frequency of use. It can be seen that there is a strong negative relationship between health
risk and frequency of use (r= -0.766**), which means that as health risk rises, frequency of
use diminishes. However, there is a positive relationship on the other risk perception and
that of frequency of use as p value is a positive, but the relationship is not a strong one, but
at a moderate one or weak one as the figures are close to zero.

5.0

Discussion and Recommendation

Energy drinks are popular among Mauritians as the majority of them know what that
product is about and aware about the various energy drinks available on the market. The
most famous brands of energy drinks appear to be Redbull and Lucozade. People in
Mauritius do purchase and consume energy drinks, but most of them drink it on a monthly
or weekly basis, which implies that its use is not so frequent among Mauritians. Producers
and marketers of energy drinks have to act upon if they want sales to grow. Among all the
risks that exist, health risk seems to be the highest among Mauritians. The
recommendations proposed to the producers and marketers of energy drinks are as
follows:
Product improvement - Producers of energy drinks are advised to invest in R&D that may
allow them to improve the harmful ingredients, taste and reduction of caffeine and taurine
to reduce health risk. They can also try to introduce new flavors and remove or curb the
toxic ingredients by replacing it by herbal ones.
Quality assurance -The organization should be ISO certified to reassure customers that
energy drinks are reliable and healthy product. The focus on continuous improvement will
make customers trust energy drinks. As seen in the literature, trust and perceived risks are
inversely related. So being ISO certified will help to increase trust in energy drink and as
such alleviating risk perception.
Communication tools - There is a need to invest and design persuasive and informative
advertising. More information about the health concern should be provided and educate
them about the non-hazardous effect of consuming energy drinks as many Mauritians do
not know the other characteristics of energy drinks.
Targeting - After having segmented the market, it is essential to target the right one as the
targeting the whole may be a waste. The targeted population can be illustrated as follows:

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Proceedings of 26th International Business Research Conference


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Heavy drinkers
Gender

Female

Age group

Below 20 and 21-30

District

Plaine Wilhems, Flacq, Port


Louis & Pamplemousses

Income group

Rs5001-Rs15000
Source: COMPUTED

Table 11: Targeted Population


Repositioning - To position energy drinks as a boost up drink is not enough as there is a
high health risk associated with boost up drinks and after considering all the factors like
product, price and promotion strategies, it is necessary to reposition the product to change
the misunderstanding of people. Repositioning energy drinks helps the resistors to get a
better impression on the product. Some proposed repositioning statements are as follows:
The healthiest energy drink you have ever thought of.
The non-hazardous drink.
Greatest taste and vitamins ever experienced.
Zero side effect.
The best drink for the best price.
Marketers can choose any of the repositioning statement, but it all depends on its
objectives.

6.0 Conclusion
The study of consumer risk perception is a complex issue since human beings are
unpredictable creatures. Many strategies have failed to determine how to curb perceived
risks in the past. Changing drinking behavior of consumers is a must, but amending the
mindset of people is difficult. Perception of risk on the intention to purchase a product is a
difficult matter to assess as peoples thought change over time. The theory of planned
behavior has been used in several studies, but not only do attitudes and social norms
influence intention to purchase, other factor like health issues was of most concerned to
Mauritians. This study has enlightened us on perception of risk and intention to purchase
which is a rare study. Indeed, drinking habit may be a culture, but buying decision is a
torture because everything is in the mind.

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