INVETIGATING THE DRIVERS OF CONSUMER PURCHASE DECISION: EVIDENCE FROM PT. SOLO MURNI

Abstract

This study aims to evaluate how Perceived Value, Price Perception, and Product Quality contribute in influencing Consumer Purchasing Decisions with respect to Kiky notebook products manufactured by PT. Solo Murni Industries. This particular study intends to, always in the framework of the research question, examine how each of these factors aids or hinders consumer decision making and in the how much does each of these factors matters when making a decision to purchase a product. The study follows a quantitative research method, where numbers are collected and analyzed. The respondents were drawn from the population of 100 individuals who had bought Kiky notebooks. All the subjects in the population were used and thus it was total sampling. Questionnaires concerning perceived value, price perception and product quality were used to collect data from the respondents. Each item was scored on a Likert type scale in order to measure the extent of agreement or disagreement with that statement.  The results indicated that perceived value, price perception, and product quality were significant drivers of consumer choice. The higher the value perceived by the consumers in Kiky notebooks, the more likely they would be to buy the product. Therefore, it is very important to provide strong product benefits that at least meet or even surpass consumer expectations. Another important dimension influencing consumer choice was Price Perception: competitive pricing and perceived as fair had a positive impact on consumer choices. In the meantime, Product Quality played a major role in making the purchase decision, as buyers favored those products over others for their better quality in terms of paper and design. On the whole, these three variables represent an explanation of 72.4% of the variance in consumer purchase decisions of Kiky notebooks: Perceived Value, Price Perception, and Product Quality. This means that the variables are strong predictors of consumer behavior in buying Kiky notebooks. The remaining 27.6% variance is contributed by other factors that were not studied here. The study, therefore, in summary, stresses that for the sake of improving consumer purchase decisions in a highly competitive notebook market, perceived value should be high, prices reasonable, and quality products consistent.