Here is an example of a basic problem statement that clearly defines the issue and puts it in its relevant context:
Problem
ABC Supermarket has experienced a significant decline in customer numbers within the northern region of Uttar Pradesh over the past decade, in stark contrast to the increasing sales witnessed in other parts of the state through physical retail stores.
Background
ABC Supermarkets’ internal surveys have revealed that the decline in sales primarily affects two key demographics: individuals aged 18 to 30 and low-income households (earning less than five lakh rupees annually for a four-person household). Comparable sales patterns in other northern Indian states indicate a potential broader trend. However, the unique demographics of this region make it a more pressing concern.
According to statistics from the 2019 Indian Business Review, consumer spending among this demographic has reached record levels. This trend is attributed to increased disposable income and improved quality of life among urban residents. Moreover, the 2019 Indian Fitness Journal highlights a growing interest in diet and health among individuals aged 18 to 25.
While other regions in the country have successfully implemented strategies to boost sales, similar solutions have failed to yield desired results in northern Uttar Pradesh. Further research is necessary to understand the reasons behind these failures and identify strategies that could effectively engage younger and lower-income households.
Relevance
Regions with low supermarket sales have historically exhibited lower disposable income levels and higher instances of civil unrest. The growing wealth gap in some parts of India adds to the urgency of this issue. Additionally, data indicates a growing shift towards online shopping, driven by competitors offering cost-effective bulk discounts and free delivery for heavy items.
Addressing this challenge will provide ABC Supermarkets’ store managers in the region with valuable insights to tailor their customer service strategies and attract more residents. Furthermore, it will contribute to a deeper understanding of evolving consumer behavior trends.
Objectives
This research aims to investigate proactive strategies for increasing sales in the northern region of Uttar Pradesh. It will identify the primary determinants of consumer buying behavior through surveys and interviews designed to assess the impact of these strategies on sales.
