Document Type : Case Study

Authors

Faculty of Business, President University, Cikarang, Indonesia

Abstract

Financial crisis previously happened in the West makes many Asian countries, including Indonesia, hit by its ripple effect. Indonesia, especially, sees its stock markets suffer and currency values face a downward trend which is resulting on the growth of Indonesia GDP per capita also suffers from the effect. Despite the economic downturn, Indonesia internet using has increased and e-commerce business of product and service offerings have evolved significantly in recent years. This research is to study this phenomenon by using consumers decision-making styles model with its dimensions: quality-conscious consumer (X1), brand-conscious consumer (X2), recreational consumer (X3), price-conscious consumer (X4), and habitual consumer (X5) towards Purchasing Behavior (Y) as the variables with A total of 100 of people who live in Jakarta and ever purchased through online store were chosen as the respondents for this study. The researcher is using multiple regressions as statistical method and coefficient of determination (R2). Based on the result, quality-conscious consumer (X1), price-conscious consumer (X4), and habitual consumer (X5) are found to have partial significant influence towards purchasing behavior of online shopping. Research also found that quality-conscious consumer, brand-conscious consumer, recreational consumer, price-conscious consumer, and habitual consumer have simultaneously significant influence towards purchasing behavior (Y).

Keywords

Blythe. J. (2008). Consumer Behaviour. London, Thomson.
Cankurt, M, Thomas, T, Gunden, C. & Miran, B. (2013). Consumer decision-making styles: Investigation of food shopping behavior. Journal of Food Agriculture & Environment, 11(2), 224-227.
Chang, L. (1993). Using confirmatory factor analysis of multitrait-multimethod data to assess the psychometrical equivalence of 4-point and 6-point likert type scales. Proceeding of the Annual Meeting of the National Council on Measurement in Education, Apr. 13-15, ERIC, Atlanta, GA., pp: 1-47.
Chang, M. L., & Wu. Y. (2012). Revisiting Perceived Risk in the Context of Online Shopping: An Alternative Perspective of Decision-making Styles. Psychology and Marketing, 29(5), 378-400. Revisiting Perceived Risk in the Context of Online Shopping: An Alternative Perspective of Decision-making Styles. Doi: 10.1002/mar.20528
Lubis, M. (2014). Indonesian Consumers Flock Online to Purchase Products and Services. Retrieved October 20, 2015) From: http://www.nielsen.com/ id/en/press-room/2014/indonesian-consumers-flock-online-to-purchase-products-and-services.html
Mokhlis, S. (2009). An investigation of consumer decision-making styles of young adults in Malaysia. International Journal of Busines Management, 4(4): 140-148. [Online] Available from: http//www.emeraldinsight.com. accessed: 2015-10-25].
Niu, H. J. (2013). Cyber peers influence for adolescent consumer in decision-making styles and online purchasing. Journal of Applied Social Psychology, 43(6), 1228-1237. doi: 10.1111/jasp.12085
Niu, H. J., & Chang, C.T (2013). (in press). Addiction in Cyberspace: Flow Expercience on e-shopping. International Journal of Web Based Communities.
Niu, H. J., Chiang, Y. S., & Tsai, H. T. (2012). An Exploratory Study of the Otaku Adolescent Consumer. Psychology and Marketing, 29(10), 712-725. Doi: 10.1002/mar.20558
Shah, A. (2013). Free Trade and GlobalizationGlobal Issues. Retrieved October 20, 2015. From: http://www.globalissues.org/issue/38/free-trade-and-globalization.
Sneath, J. Z., Lacey, R., & Kennett-Hensel, P. A. (2009). Coping with a natural disaster: Losses, emotions, and impulsive and compulsive buying. Marketing letters, 20, 45-60.
Sproles, G. B., & Kendall, E. L. (1986). A Methodology of Profiling Consumers’ Decision-making Styles. The Journal of Consumer Affairs, 20(2), 267-279. Doi: 10.1111/j.1745-6606.1986.tb00382.x
Sproles, G.B. (1985). From Perfectionism to Fadis,: Measuring Consumer’ Decision-making Styles. In: P. Schittgyund (Ed.), Proceeding of American Council on Consumer Interests’ 31th AnnualMeeting, Columbia, MO, 79-85.