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164631055 antecedents-of-smart-phone-buying-behavior-an-empirical-study

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  1. Paper Presented at UNISBANK International Conference “On Social Welfare-Based Investment Policy in Anticipation of ASEAN Economic Community: a Study of Economy, Law and Information Technology”, Semarang, 29-30 August 2013 Get Homework/Assignment Done Homeworkping.com Homework Help https://www.homeworkping.com/ Research Paper help https://www.homeworkping.com/ Online Tutoring https://www.homeworkping.com/ click here for freelancing tutoring sites Antecedents of Smart Phone Buying Behavior: An Empirical Study Cynthia Vinynda cynthiavinynda@hotmail.com Sabrina O. Sihombing sabrinasihombing@gmail.com Universitas Pelita Harapan Abstract
  2. Paper Presented at UNISBANK International Conference “On Social Welfare-Based Investment Policy in Anticipation of ASEAN Economic Community: a Study of Economy, Law and Information Technology”, Semarang, 29-30 August 2013 Mobile communication has made such an impact on the ways people interact and conduct business. In the specific, many people use smart phones rather than regular mobile phones to interact and conduct business. This is because smart phones offer more advanced computing power and connectivity than a regular mobile phone. There have been many developments from the regular mobile phone into a smart phone. The developments of the original phone functions just to call, and then switch to messaging, then go into entertainment trends, and has now started to come with access to the data. All these developments confirmed the smart phone as a mobile form of interest. One of the favorite smart phone brands is BlackBerry. On the other hand, despite BlackBerry has been widely used by consumers, most of them claim they want to switch to another smart phone. The main reason why they want to switch to another smart phone is because the BlackBerry OS platform assessed unable to compete with Apple's IOS operating system or Android from Google. Therefore the consumer purchasing behavior of BlackBerry is still remains as a question mark. Thus, the object of this study is to identify antecedent factors that influence consumer purchasing behavior on BlackBerry smart phone. This research extended a model which was developed by Wu et al. (2008) to examine purchase behavior on BlackBerry smart phone. Samples were chosen based on judgmental sampling. Questionnaires were distributed to respondents by the drop-off/pick-up method and a total of 259 completed questionnaires were used in the analysis. The data was then analyzed using structural equation modeling. Results show brand loyalty, product familiarity, attitude and purchase intention are factors that affect purchase behavior. However, this research found that consumer’s personal reciprocity did not mediate the relationship between brand loyalty and purchase intention. This research provides discussion and insights for future research. Keywords: purchase behaviour, purchase intention, brand trust, brand loyalty, product familiarity, and attitude. INTRODUCTION Mobile communication has made such an impact on the ways people interact and conduct business (Das, 2012). Nowadays, smart phones becoming a must-have item for business people since smart phones offer more advanced computing power and connectivity than a regular mobile phone (Utomo, 2012). There have been many developments from the regular mobile phone into a smart phone. The developments of the original phone functions just to call, and then switch to messaging, then go into entertainment trends, and has now started to come with access to the data (Purwanti, 2011). One of the favorite smart phone brands available in the market is BlackBerry. BlackBerry has become one of the favorite smart phone brands because of easy-to- use messaging service (Hitipeuw, 2011). BlackBerry was first introduced by the
  3. Paper Presented at UNISBANK International Conference “On Social Welfare-Based Investment Policy in Anticipation of ASEAN Economic Community: a Study of Economy, Law and Information Technology”, Semarang, 29-30 August 2013 Canadian company, Research In Motion (RIM) in 1999. In late January 2013, manufacturer of the smart phone BlackBerry rename its company, from Research In Motion (RIM) to Blackberry (Panji, 2013). Blackberry is not the only one manufacturer these days. However, there are a lot of smart phone manufacturers (e.g., Apple, Samsung, Nokia, etc) which also competing in smart phone industry. Thus, the competition in the smart phone market becoming intense (Wahono, 2011). There are several factors that might attract loyal customers to switch to competitor brands (Wu, Chan & Lau, 2008). Those factors included such as product quality, product style and design, and product support services (Kotler & Amstrong, 2010). In relating with BlackBerry, BlackBerry has experienced shrinking market share since 2010 to a variety of causes. However, the most difficult for RIM to maintain the market share of BlackBerry is lack of innovation, especially in the product support services (Purwanto, 2012). Despite BlackBerry has been widely used by consumers, most of them claim they want to switch to another smart phone (http://tekno.kompas.com). The reason why they want to switch to another smart phone is because the BlackBerry OS platform assessed unable to compete with Apple's IOS operating system or Android from Google (Purwanto, 2012). Therefore, the consumer purchasing behavior of BlackBerry is still remaining as a question mark. In order to remain competitiveness in smart phone industry, BlackBerry should know their consumers’ behavior in purchasing smart phone (Yee, San & Khoon, 2011). Thus, the objective of this study is to identify antecedent factors that influence consumer purchasing behavior of Blackberry smart phone. This study replicate model of consumer’s future purchase intention (Wu et al., 2008), by adding the new variables, attitude toward brand and purchase behavior. There are three reasons why the attitude toward brand and purchase behavior included in this study. First, attitude is viewed as one of the major determinant of the person’s intention to perform the behavior (http://people.umass.edu). Second, purchase behavior is influenced by intention, and this intention leads to performance or nonperformance behavior (http://people.umass.edu). Third, attitude, intention and behavior were related to one another. If there are changes in attitude toward brand, it can lead to changes in intentions and that changes in intentions can produce behavioral change (http://people.umass.edu). The next section describes the constructs involved in the research model. The research hypotheses are then detailed. Research methodology is discussed, followed by results and analysis. Finally, conclusions conclusion and limitation of the research are provided. THEORETICAL DEVELOPMENT AND RESEARCH HYPOTHESES Personal reciprocity Personal reciprocity is defined as a consumer’s conscious tendency to engage in reciprocal and mutually beneficial relationships with the firms (Wu et al., 2008). The
  4. Paper Presented at UNISBANK International Conference “On Social Welfare-Based Investment Policy in Anticipation of ASEAN Economic Community: a Study of Economy, Law and Information Technology”, Semarang, 29-30 August 2013 simple way to understand reciprocity is when someone does you a favor; you feel that you should return it in kind (Kardes, Cronley & Cline, 2011). Individuals decide to cooperate or not just dependent on whether they have been helped or not, irrespective of who has helped and who is there to be helped (Doorn & Taborsky, 2011). In other words people who feel an obligation to repay favors can be simply called reciprocity. There are two types of reciprocity: direct and indirect (Hall, 2001 cited by Pi, Liao, Liu & Lee, 2011). Direct reciprocity is when two individuals associate long enough for each to play the roles of receiver and giver of favors. On the other hand, indirect reciprocity refers to third parties donate favors without the expectation of a return from the receiver (Hall, 2001 cited by Pi et al., 2011). Therefore, it can be concluded reciprocity as the dimension of a relationship (Ammi, 2013). This relationship causes either party to provide a favor or make allowances for the other in return for similar a favor or allowances to be received at a later date (Ammi, 2013). Customer and the company is an example of reciprocal relationship. In this customer-company relationship, reciprocity can make consumers feel more beneficial to be a loyal customer to the same brand (Wu et al., 2008). Moreover, Wu et al. (2008) pointed out that consumers want to be loyal with the brand since their favors given to the company are rewarded with benefits such as club memberships, new product information, and personalized services and products. Not only that, when consumers feel the brand will not give benefits to them in return, then, there is little chance for them to buy the products of the brand in the future. Companies should pay attention to consumers' personal reciprocity. This is because the personal reciprocity is developed when consumers perceive that they get something beneficial in return (Wu et al., 2008). Furthermore, personal reciprocity also affects consumer’s future purchase intention (Wu et al., 2008). Brand loyalty Brand loyalty is defined as a constructive mind set toward brand that leading to constant purchasing of the brand over time (Aaker, 1991 cited by Severi & Ling, 2013). Brand loyalty is a result from highly favorable attitudes toward a specific brand (O’Guinn, et al., 2012; Pride, et al., 2012). In the specific, brand loyal consumers are more willing to pay more for a specific brand because they perceive some unique value in the brand that other brand cannot provide (Aniza et al., 2011). Consumers are likely to continue buy a specific brand because of the advantages of purchasing the brand and the product (Keller, 2008, p.8). A loyal customer or a committed customer to a brand has an emotional attachment to the brand (Hawkins & Mothersbaugh, 2010). According to Wu et al. (2008), customers who already committed to the brand are willing to cooperate with the brand. These customers will be more open to their personal information to the company of their committed brand (Wu et al., 2008). In return, the customer expects the company will provide a reciprocal relationship, by
  5. Paper Presented at UNISBANK International Conference “On Social Welfare-Based Investment Policy in Anticipation of ASEAN Economic Community: a Study of Economy, Law and Information Technology”, Semarang, 29-30 August 2013 giving them some benefits (Wu et al., 2008). Therefore, loyal customers will expect more from the brand company than those who are not loyal. Thus, we propose the following hypothesis: H1. Brand loyalty is positively related to a consumer’s personal reciprocity. Brand trust Brand trust is one important factor that influence consumer’s personal reciprocity. Trust is considered as one of the important variables to maintain long-term relationships (Anwar et al., 2011). According to Kaveh (2012),many definitions of trust involve a belief that the exchange partner will act in the best interest of the other partner. In other words, when one partner has confidence on the other party’s reliability and honesty then trust exists in between them (Khokhar et al., 2011). Brand trust is defined as an average consumer’s confidence in and reliance on a brand to perform its stated function (Chaudhuri & Holbrook, 2001 cited by Wu et al. 2008). Brand trust also refers to how the consumers see the brand as something that can be dependable and keeping customer interests in mind (Keller, 2008, p.68). Brand trust includes brand reliability and brand intention (Lin & Lee, 2012). Brand reliability represents consumers’ belief that the brand will deliver the value it promises. Brand intention refers to the disposition of the brand to put consumers’ interests as the primary consideration (Lin & Lee, 2012). Consumers who have trust in the brand are ready to engage in a reciprocal relationship with the brand (Wu et al., 2008). According to Wu et al. (2008), consumers will disclose their personal information because they believe the company will not misuse their personal information. In other words, consumers that have a trust towards a brand will expect to have a reciprocal relationship to get the benefits from the brand. The reciprocal relationship may include the quality, the individual service, and many more (Wu et al., 2008). Based on these arguments we propose the following hypothesis: H2. Brand trust is positively related to a consumer’s personal reciprocity. Product familiarity Product familiarity is also one of the factors alongside with brand loyalty and brand trust that influence consumer’s personal reciprocity. Product familiarity is defined as a consumer’s familiarity with a particular product category (Wu et al., 2008). Brand familiarity does not only represent the level of consumer exposure to a particular product, but also reflects the level of consumer knowledge about the brand (Kim & Chung, 2012). The application of the idea of familiarity to empirical work is that familiarity is based on prior knowledge (Lawry et al., 2011). If consumers recognize a
  6. Paper Presented at UNISBANK International Conference “On Social Welfare-Based Investment Policy in Anticipation of ASEAN Economic Community: a Study of Economy, Law and Information Technology”, Semarang, 29-30 August 2013 brand and have some knowledge about it, then they do not have to engage in a lot of additional though or processing information to make a product decision (Keller, 2008, p.6). Simply says, if consumers go to the market they would prefer to get the products that they already know, it is rare for the customers to look for other products (Tariq et al., 2013). Consumers with higher levels of product knowledge are more diagnostic and informed than those who have lower levels of product knowledge (Hanzaee & Farzaneh, 2012). In other words, consumers who are brand experts will know more about the brand and its associations (Siğirci & Yalçin, 2010). Familiarity or prior use of brands relates to differing effects for memory and persuasion (Shrum, 2012). For example, familiar brands are processes quicker and evaluated better (Shrum, 2012). Also, Alba and Hutchinson (1987) cited by Swan and Zou (2012), stated that brand familiarity effect relates to the impact of consumer’s direct and indirect experiences with a product on consumer decision making. From the explanation, it can be concluded that consumers who are familiar with the product have a high chance to purchase the brand. Familiar products will be on top of the consumers’ mind during the process of defining future purchase (Wu et al., 2008). Therefore, it may develop a greater tendency to be engaged in the reciprocal relationship (Wu et al., 2008). Thus, the more familiar the consumer to the product category of the brand, the more likely they perceive having a reciprocal and mutually beneficial relationship with the firm. This leads to our third hypothesis: H3. Product familiarity is positively related to a consumer’s personal reciprocity. Attitude Attitude is defined as learned predisposition to behave in a consistently favorable or unfavorable way with respect to a given object (Schiffman et al., 2010, p. 246). In this study, attitude toward behavior is used instead of attitude toward object. According to Hawkins and Mothersbaugh (2010, p.397), the behavior component of an attitude is one’s tendency to respond in a certain manner toward an object or activity. A decision to purchase or not to purchase something would reflect the behavioral component (Hawkins & Mothersbaugh, 2010, p.397). Thus, the attitude toward behavior model is designed to capture the individual’s attitude toward behaving with respect to an object rather than the attitude toward the object itself (Keller, 2008, p.239). There are three major components of attitude: cognitive, affective, and conative (Schiffman et al., 2010, p. 249). First, cognitive refers to the knowledge and perceptions that are acquired by a combination of direct experience with the attitude object. Furthermore, this knowledge and resulting perceptions commonly take the form of beliefs (Schiffman et al., 2010, p. 249). Second, affective refers to consumer’s emotions or feelings about a particular product or brand. This component is described by the
  7. Paper Presented at UNISBANK International Conference “On Social Welfare-Based Investment Policy in Anticipation of ASEAN Economic Community: a Study of Economy, Law and Information Technology”, Semarang, 29-30 August 2013 individual rates the attitude object as favorable or unfavorable, good or bad (Schiffman et al., 2010, p.250). Third, conative is concerned with the likelihood or tendency that an individual will undertake a specific action or behave in a particular way with regard to the attitude object. The conative component is frequently treated as an expression of the consumer’s intention to buy (Schiffman et al., 2010, p.251). When consumers form beliefs about the brand, they automatically acquire an attitude toward that brand (Fisbein & Ajzen, 1975). Furthermore, if the brand proves to be to the consumers liking, then it is likely that they will form a positive attitude (Schiffmann et al., 2010, p.258). Consumers who have a positive attitude toward a brand likely to seek a reciprocal relationship with the brand company from whom they purchase products and services (Wu et al., 2008). Therefore, consumers who have a positive attitude toward the brand will likely to have a reciprocal relationship with the company. Thus, we propose the following hypothesis: H4. Attitude toward brand is positively related to a consumer’s personal reciprocity Purchase intention Purchase intention is widely used to analyze consumer purchasing behavior in related studies (Sadeghi, 2011). Purchase intention refers to the possibility that a consumer will plan to purchase a product of a brand in the future (Wu et al., 2008). Based on the most well-known attitude theory, that is the Theory of Reasoned Action (TRA), Aizen (1980, cited by Budiman, 2012) stated that the intention to do something was influenced by two factors: attitude towards behavior and subjective norms. Attitude is a result from the beliefs towards behavior. In can be stated that the more positive of an individual belief caused by an object attitude, the more positive of individual attitude towards the object. Thus, consumers who have a good attitude toward brand will likely to have intention to purchase the brand in the future. Based on these arguments we propose the following hypothesis: H5. Consumer’s personal reciprocity is positively related to future purchase intention. H6. Attitude toward brand is positively related to future purchase intention. Purchase behavior Consumer behavior is defined as the behavior that consumers display in searching for, purchasing, using, evaluating, and disposing of products and services (Schiffman et al., 2010, p.23). Consumers expect these behaviors will satisfy their needs (Schiffman et al., 2010, p.23). The study of consumer behavior focuses on how individuals make their
  8. Paper Presented at UNISBANK International Conference “On Social Welfare-Based Investment Policy in Anticipation of ASEAN Economic Community: a Study of Economy, Law and Information Technology”, Semarang, 29-30 August 2013 decisions to spend their available resources on consumption related items or aspects (Tripathi & Singh, 2012). These resources on consumption related aspects such as what they buy, when they buy, where they buy and how they buy (Tripathi and Singh, 2012). Therefore, consumer decision-making processes where the central of consumer behavior is. Consumer decision-making process is where consumers make decisions from two or more than two choices when they buy a product or service (Chen et al., 2012). There are five stages of consumer decision process, such as need recognition, information search, and evaluation of alternatives, purchase decision and post-purchase behavior (Kotler & Amstrong, 2010, p.177). Relating with purchasing behavior, consumers usually have unlimited demand to meet their needs and satisfaction to get something new or better (Osman et al., 2011). This is because each individual has their own behavior, attitude and thought when choosing products, services and making purchase decision (Osman et al., 2011). Generally, the consumer’s purchase decision will be to buy the most preferred brand. Purchase intention is one factor that can explain purchase decision (Kotler & Amstrong, 2010). Specifically, consumers may form a purchase intention based on factors such as expected income, price and product benefits (Kotler & Amstrong, 2010, p.179). From the explanation, it can be concluded that intention to purchase may be recognized as a reflection of real purchase behavior (Nasermoadeli, 2013). The greater the purchase intention is, the greater a consumer’s desire is to buy a product (Nasermoadeli, 2013). In short, the researchers hypothesize that: H7. Purchase intention is positively related to purchase behavior. According aforementioned discussion, the research model for this research is shown in Figure 1 to explain rhe relationship among research variables. Figure 1. The research model H1 H6 H4 H5 H7 H2 H3 Source: an extended model based on Wu, Chan and Lau (2008) Brand Loyalty Brand Trust Product Familiarity Personal Reciprocity Purchase Intention Attitude toward Buying Behavior Purchase Behavior
  9. Paper Presented at UNISBANK International Conference “On Social Welfare-Based Investment Policy in Anticipation of ASEAN Economic Community: a Study of Economy, Law and Information Technology”, Semarang, 29-30 August 2013 METHODS Sampling and data collection The survey sample for this study was obtained from students in a XYZ private university located in Tangerang, Indonesia. This research applied non-probability judgmental sampling with two main criteria: (1) a student in XYZ private university and (2) has a BlackBerry smart phone in the last one year. Furthermore, this study applied a self-report questionnaire to collect data. In the specific, self-report questionnaire method has main advantage, that is, no interviewer is involved. Therefore, the absence of an interviewer eliminates the interviewer bias (Aaker, Kumar & Day, 2004). Measures Following Sekaran and Bougie (2013), where possible, the measures used in this questionnaire were adapted from existing scales drawn from previous literature. This research measured six constructs: brand loyalty, brand trust, product familiarity, personal reciprocity, attitude, purchase intention, and purchase behavior. All items were measured using a five-point Likert scale (ranging from 1 = strongly disagree to 5 = strongly agree). The questionnaire contains 28 items and Appendix A provides all items used in this research. Reliability analysis is the measure to test when the scale measures associated variables is consistent across time and across the various items in the instrument (Sekaran & Bougie, 2013). This research applied Cronbach α and average variance extracted (AVE). Following Hair et al. (2006), the cut-off point 0.7 was applied as the cut-off point for coefficient alpha and 0.5 for average variance extracted (AVE). Reliability is a necessary condition for validity (Iacobucci & Churchill, 2010). Validity refers to the accuracy of measure to which a score truthfully measures a concept (Zikmund, Babin, Carr & Griffin, 2010, p.307). This research applied construct validation that mainly consists of convergent validity and distinction validity. Convergent validity was tested by using exploratory factor analysis. In the specific, every item loaded significantly on its underlying latent factor providing evidence of convergent validity (Podsakoff and Organ, 1986; Sengupta, Krapfel, & Pusateri, 2000). Furthermore, discriminant validity was assessed through correlational analysis (Sekaran & Bougie, 2013). Specifically, discriminant validity is established when two different constructs are not correlated with each other. In other words, the correlation between constructs should less than 1. The discriminant validity was also tested by the value of average variance extracted that should more than 0.5 (Fornell & Larcker, 1981). Data Analysis
  10. Paper Presented at UNISBANK International Conference “On Social Welfare-Based Investment Policy in Anticipation of ASEAN Economic Community: a Study of Economy, Law and Information Technology”, Semarang, 29-30 August 2013 This research applied structural equation modeling (SEM) with maximum likelihood estimation to test research hypotheses. This method was used because SEM has ability to assess the relationships comprehensively (Hair et al., 2006). As suggested by Anderson and Gerbing (1988), the structural equation analysis in this research was conducted in two main stages: the estimation of the measuring model and the estimation of the structural model. In the particular, the former was conducted to confirm the suitability of the proposed scales using the criteria of reliability and validity. Then, the latter was conducted to test the relationships between the constructs. For the overall fit of the model, this research several indices such as GFI, AGFI, CMIN/DF, and RMSEA as suggested by Giles (2002). RESULTS Response rate A total of 300 questionnaires was distributed and collected from students in a private university. Out of 300 questionnaires, 18 invalid questionnaires were excluded, giving 259 valid questionnaires. A total 18 questionnaires cannot be used because of two reasons. First, the respondents did not use the study object, that is, BlackBerry smart phone. Second, not all questionnaires filled completely by the respondents. A total 259 questionnaires can be used in this study with the total usable response rate of 86.33%. Table 1 summarized the demographic information involved in this study. Among the respondents, 57.9% were female and 84.6% were between the ages of 18 and 21. Table 1. Descriptive of the Respondents Demographic Variable Frequency Percentage Gender Man 109 42.1 Woman 150 57.9 Age <18 7 2.7 18 – 21 219 84.6 ≥22 33 12.7 Source: analysis of field data Reliability and validity assessments Issues of reliability and validity have been considered in assessing the psychometric properties of the instrument. Reliability was first conducted since reliability is a requirement to assess construct validity (Iacobucci & Churchill, 2010). Reliability testing was conducted first by using the inter-item consistency measure of Cronbach’s Alpha. Reliability of the measurement was examined by using Cronbach’s Alpha value with 0.70 as the minimum and 0.3 for the corrected item-total correlation (Sekaran & Bougie, 2009) as shown in Table 2.
  11. Paper Presented at UNISBANK International Conference “On Social Welfare-Based Investment Policy in Anticipation of ASEAN Economic Community: a Study of Economy, Law and Information Technology”, Semarang, 29-30 August 2013 Table 2. Reliability Analysis Variable Construct s Corrected item-total correlation Cronbach’s Alpha AVE Brand Loyalty Loyal1 .671 .871 0.763 Loyal2 .801 Loyal3 .704 Loyal4 .762 Brand Trust Trust1 .772 .818 0.711 Trust2 .821 Trust4 .462 Product Familiarity Fam1 .739 .852 0.726 Fam2 .727 Fam3 .690 Fam4 .636 Personal Reciprocity Reci1 .634 .887 0.787 Reci2 .789 Reci3 .807 Reci4 .803 Attitude Toward Buying Behavior Att1 .783 .898 0.801 Att2 .797 Att3 .744 Att4 .770 Purchase Intention Int1 .766 .821 0.867 Int2 .734 Int3 .343 Int4 .792 Purchase Behavior Behav1 .667 .816 0.875 Behav2 .682 Behav3 .575 Behav4 .628 Source: analysis of field data Having done the reliability tests, a factor analysis was run using Varimax rotation. Each scale was subjected to exploratory factor analysis loading on the dominant factor (at least 0.50) with a sum of the items in the factor explaining more that 50 per cent of the factor’s variance (Table 3). Table 3 shows that all items significantly load on their corresponding constructs, demonstrating adequate convergent validity. Table 3. Exploratory Factor Analysis
  12. Paper Presented at UNISBANK International Conference “On Social Welfare-Based Investment Policy in Anticipation of ASEAN Economic Community: a Study of Economy, Law and Information Technology”, Semarang, 29-30 August 2013 Rotated Component Matrixa Component 1 2 3 4 5 6 7 loyal1 .795 loyal2 .771 loyal3 .758 loyal4 .737 trust1 .938 trust2 .953 trust4 .674 fam1 .848 fam2 .862 fam3 .772 fam4 .669 reci1 .720 reci2 .770 reci3 .825 reci4 .812 int1 .882 int2 .916 int4 .906 att1 .817 att2 .825 att3 .785 att4 .794 behav1 .922 behav2 .910 Source: Analysis of field data In order to provide support for discriminant validity, Pearson product-moment correlations among the study variables were computed. For this purpose, composite scores for each dimension were calculated by averaging scores representing that dimension. Table 4 provides the full set of correlations among the constructs of interest in this research. The highest correlation occurred between brand loyal and product familiarity (0.610) and reversely, the lowest correlation was found between brand trust and product familiarity (-0.0017). The results provide support for the discriminant validity of the scale (Anderson & Gerbing, 1988). Table 4 shows correlation among all constructs in this study. Correlations with other constructs less than 0.70 are accepted as evidence of discriminant validity. Furthermore, the results also shows that the average variance extracted (AVE) estimates (e.g., 0.763 and 0.711 for brand loyalty and brand trust, respectively) are greater than the square of the correlation between the two construct (e.g., 0.0582 = 0.003364), discriminant validity was evidenced.
  13. Paper Presented at UNISBANK International Conference “On Social Welfare-Based Investment Policy in Anticipation of ASEAN Economic Community: a Study of Economy, Law and Information Technology”, Semarang, 29-30 August 2013 Table 4. Correlation Analysis Loyal Trust Fam Reci Att Int Behav Loyal 0.763 Trust 0.058 0.711 Fam 0.470 - 0.017 0.726 Reci 0.610 0.077 0.470 0.787 Att 0.552 0.029 0.419 0.558 0.801 Int 0.089 0.093 0.030 0.057 0.186 0.867 Behav 0.082 0.083 0.011 0.040 0.084 0.380 0.875 Source: analysis of field data Note: __ the result of AVE Structural Equation Model This research applied the two-step approach in structural equation modeling which beginning wit a confirmatory factor analysis (CFA). Table 5 shows the results from CFA that indicated excellence fit between the covariances from the data and the CFA model (GFI = 0.908, AGFI = 0.880, CMIN/DF = 1.334, RMSEA = 0.037). Table 5. Confirmatory Factor Analysis Path Standardized Regression Coefficient Critical Ratio loyal4 <--- Brand Loyalty 0.842 - loyal3 <--- Brand Loyalty 0.765 13.726 loyal2 <--- Brand Loyalty 0.872 16.439 loyal1 <--- Brand Loyalty 0.720 12.630 trust4 <--- Brand Trust 0.430 - trust2 <--- Brand Trust 0.835 7.059 trust1 <--- Brand Trust 0.984 6.344 fam4 <--- Product Familiarity 0.712 - fam3 <--- Product Familiarity 0.764 10.935 fam2 <--- Product Familiarity 0.807 11.454 fam1 <--- Product Familiarity 0.811 11.500 reci4 <--- Personal Reciprocity 0.869 12.085 reci3 <--- Personal Reciprocity 0.853 11.912 reci2 <--- Personal Reciprocity 0.870 12.102 reci1 <--- Personal Reciprocity 0.676 - att4 <--- Attitude Toward Buying Behavior 0.825 -
  14. Paper Presented at UNISBANK International Conference “On Social Welfare-Based Investment Policy in Anticipation of ASEAN Economic Community: a Study of Economy, Law and Information Technology”, Semarang, 29-30 August 2013 att3 <--- Attitude Toward Buying Behavior 0.799 14.353 att2 <--- Attitude Toward Buying Behavior 0.853 15.701 att1 <--- Attitude Toward Buying Behavior 0.839 15.362 int4 <--- Purchase Intention 0.902 18.196 int2 <--- Purchase Intention 0.885 17.810 int1 <--- Purchase Intention 0.855 - behav2 <--- Purchase Behavior 0.935 8.928 behav1 <--- Purchase Behavior 0.840 - Source: analysis of field data The hypothesized structural equation model was tested using AMOS 18.0. The results are reported in Table 6. The fit of the model is acceptable because the goodness of fit indices is satisfactory (GFI = 0.856, AGFI = 0.824, CMIN/DF = 1.931, RMSEA = 0.061) indicated the acceptable level of fit between the hypothesized model and the data. The first hypothesis predicted a positive relationship between brand loyalty and personal reciprocity. The results substantiated the hypothesis (p-value less than 0.005). The second hypothesis predicted a positive relationship between brand trust and personal reciprocity. However, the results did not substantiated the hypothesis (p-value = 0.402). This research proposed that there was a positive relationship between product familiarity and personal reciprocity (hypothesis three). The results supported the hypothesis (p-value = 0.001). Then, the fourth hypothesis proposed a positive relationship between attitude toward buying and personal reciprocity. The results did support the hypothesis (p-value less than 0.005). The fifth hypothesis stated a positive relationship between personal reciprocity and purchase intention. Contrary to expectations, the result did not substantiated hypothesis fifth (p-value = 0.286). The first hypothesis predicted the positive relationship between brand loyalty and personal reciprocity. The result of the hypothesis (p-value ≤ 0.05) is supported. The second hypothesis predicted the positive relationship between brand trust and personal reciprocity. The result of the hypothesis (p-value = 0.402) is not supported. The third hypothesis, predicted the positive relationship between product familiarity and personal reciprocity. This hypothesis has supported because of the result (p-value = 0.001). The sixth hypothesis proposed that the positive relationship between attitude toward buying behavior and purchase intention. It is supported with the p-value less than 0.05. Finally, the seventh hypothesis proposed the positive relationship between purchase intention and purchase behavior. The result of the hypothesis is substantiated (p-value less than 0.05). Table 6 summarizes the hypothesis analysis. Table 6. Structural equation model
  15. Paper Presented at UNISBANK International Conference “On Social Welfare-Based Investment Policy in Anticipation of ASEAN Economic Community: a Study of Economy, Law and Information Technology”, Semarang, 29-30 August 2013 Hypothesized Relationship Estimate p-value Conclusion H1 Personal Reciprocity <--- Brand Loyalty 0.520 *** Supported H2 Personal Reciprocity <--- Brand Trust 0.048 0.402 Not Supported H3 Personal Reciprocity <--- Product Familiarity 0.200 0.001 Supported H4 Personal Reciprocity <--- Attitude Toward Buying Behavior 0.341 *** Supported H5 Purchase Intention <--- Personal Reciprocity -0.079 0.286 Not Supported H6 Purchase Intention <--- Attitude Toward Buying Behavior 0.264 *** Supported H7 Purchase Behavior <--- Purchase Intention 0.430 *** Supported *** p-value ≤ 0.005 Source: analysis of field data DISCUSSION The objective of this research is to identify antecedent factors that influence consumer purchasing behavior of BlackBerry smart phone. The results show that brand loyalty, product familiarity, and attitude toward buying have a positive impact on personal reciprocity. This research also confirms attitude-intention-behavior hierarchy. However, two hypotheses were not supported: the relationship between brand trust and personal reciprocity (H2) and the relationship between personal reciprocity and purchase intention (H5). The relationship between brand loyalty and consumer’s personal reciprocity was supported in this research (H1). It can be stated that consumers who are loyal in using BlackBerry smart phones ensure that they have developed the reciprocal relationship with the brand. In other words, consumers who are loyal are more likely to reciprocate the benefits offered by the brand company by giving their personal information as an input. Another reason for the significant relationship between brand loyalty and consumer’s personal reciprocity is regarding with gender. Mittal and Kamakura (2001) pointed out that the probability of repurchasing a specific brand is uniformly higher
  16. Paper Presented at UNISBANK International Conference “On Social Welfare-Based Investment Policy in Anticipation of ASEAN Economic Community: a Study of Economy, Law and Information Technology”, Semarang, 29-30 August 2013 among women than among men, with the same level of satisfaction. Thus, because of 57.9% of this study respondents are women, the result hypothesis one is confirmed. The hypothesized relationship between brand trust and consumer’s personal reciprocity turned out to be non significant in this research (H2). Brand trust refers to consumer’s confidence that the brand can perform well. Trust also refers to rational choice (Riegelsberger et al., 2005; Johnson and Grayson, 2003, cited by Matzler, Grabner-Krauter and Bidmon, 2006). When consumer has trust toward specific brand, then it is likely that consumer will develop some form of positive purchase intention towards that brand. According to Matzler et al. (2006), brand loyalty is a consequence of brand trust because brand loyalty involves purchase intention towards the brand and actual pattern of purchase behavior. In short, brand trust leads to brand loyalty. Therefore, it can be stated for the insignificance relationship between brand trust and consumer personal reciprocity as a result that brand trust is an antecedent for brand loyalty and not for personal reciprocity. This study found that product familiarity has positive effect on consumer’s personal reciprocity (H3). Many Indonesian people familiar with BlackBerry brand and products since Indonesia is the largest Blackberry market outside Canada (Rao, 2012). Furthermore, BlackBerry is one smart phone that many Indonesian including young people love so much (Safitri, 2011). The positive relationship between attitude toward buying behavior and consumer’s personal reciprocity was found significant in this research (H4). Attitude is one main predictor of consumer behavior. In the specific, a consumer with positive attitude toward a brand will have tendency to buy that brand. Thus, it can be stated that a consumer with positive attitude toward buying will have tendency to have relationship with a brand provider, including reciprocal relationship (such as consumer gives personal data and have new product information as reciprocity). On the other hand, the positive relationship between consumer’s personal reciprocity and purchase intention was found not significant in this study (H5). One possible reason for this insignificant result is regarding with culture. In the specific, the concept of reciprocity is mainly based on Chinese culture which reflected in a Chinese word, Renqin (Wu et al., 2008). Wu et al. further pointed out that Renqin is the heart of Chinese people in order to maintain harmony and relationship. In other words, it is a must for Chinese people to pay back debt of gratitude to specific person when they have given something from that specific person. However, although reciprocity is a universal principle (Morales, 2005 cited by Wu et al., 2008), it is not deeply rooted in Indonesian culture. The results also show that attitude toward buying behavior has positive effect on purchase intention (H6). Furthermore, the results also support the relationship between purchase intention and purchase behavior (H7). Based on the well-known attitude theory (i.e., the Theory of Reasoned Action), one main predictor of behavioral intention is attitude. Furthermore, intention is one main factor that leads to behavior (Ajzen and Fishbein, 1975). Thus, consumers who have a good attitude toward brand will likely to have intention to purchase the brand in the future. Moreover, consumers who have intention to buy a product will have a positive behavior of purchasing the brand.
  17. Paper Presented at UNISBANK International Conference “On Social Welfare-Based Investment Policy in Anticipation of ASEAN Economic Community: a Study of Economy, Law and Information Technology”, Semarang, 29-30 August 2013 CONCLUSION, LIMITATIONS AND FUTURE RESEARCH The purpose of this research is to investigate antecedent variables of purchase behavior of BlackBerry smart phone. Figure 1 shows a summary of the proposed relationship among research variables. The results indicate that brand loyalty, consumer attitude, and product familiarity are significant predictors of consumer personal reciprocity. The results also support the attitude-intention-behavior hierarchy. However, the findings in this research are subject to at least three limitations. First, this study used university students that represent non-probability sampling of judgmental sampling that limits the generalisability of the results. However, students represent an important of targeted customers for many business including smart phones (Burns & Bowling, 2010, p.105). Future research should include other respondents that could represent the whole BlackBerry users in Indonesia. Second, these findings are limited by the use of a cross sectional design research. In other words, the directions of causality implied in the model cannot be drawn. Specifically, the examination of the research model by using structural equation modeling (SEM) is also not proof of causality. However, SEM was applied to examine all of the proposed relationships simultaneously. In other words, how research variables work together can be assessed as a representative of the real world (Burns & Bowling, 2010, p.105). Finally, this current study has only examined one product that is BlackBerry smart phone. Thus, future research may replicate the research model and use other products or brands in order to enhance the generalizability of the research model. REFERENCES Ammi, C. (2013). Global Consumer Behavior. California: John Wiley & Sons. Aniza, C., Alam, S.S. and Nor, S. M. (2011). Factors affecting brand loyalty: An empirical study in Malaysia. Australian Journal of Basic and Applied Sciences, 5(12), 777-783. Anwar, A., Gulzar, A., Sohail, F. and Akram,S.N.. (2011). Impact of Brand Image, Trust and Affect on Consumer Brand Extension Attitude: The Mediating Role of Brand Loyalty. International Journal of Economics and Management Sciences. Vol. 1 No. 5, 73-79. Baker, R. (2009). Brands need social values to win trust of teenagers. Retrieved from: http://www.marketingweek.co.uk/brands-need-social-values-to-win-trust-of- teenagers/3005779.article
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  24. Paper Presented at UNISBANK International Conference “On Social Welfare-Based Investment Policy in Anticipation of ASEAN Economic Community: a Study of Economy, Law and Information Technology”, Semarang, 29-30 August 2013 Yen, Yung-Shen (2011). How does perceived risks complement switching costs in e- commerce?. African Journal of Business Management, 5(7), p. 2919-2929. Zarrad, Houda and Debabi, Mohsen (2012). Online purchasing intention: Factors and effects. International Business and Management, 4(1), p. 37-47. Zikmund, W.G., Babin, B.J., Carr, J.C. and Griffin, M. (2010). Business Research Methods. Canada: South-Western. Appendix A. Tabel Variabel dan Indikator Variabel Indikator Sumber Brand Loyalty 4 item: 1. Saya menyukai smartphone BlackBerry. 2. Smartphone BlackBerry adalah merek favorit saya. 3. Smartphone BlackBerry menjadi pilihan pertama saya. 4. Saya akan merekomendasikan smartphone BlackBerry ke orang lain. Chang dan Chen (2009); Ha dan Park (2012); Wu et al. (2008); Yen (2011). Brand Trust 4 item: 1. Smartphone BlackBerry dapat dipercaya. 2. Kualitas smartphone BlackBerry baik. 3. Perusahaan BlackBerry tidak dapat diandalkan dalam melakukan tugasnya. 4. Saya merasa aman bertransaksi dengan perusahaan BlackBerry. Nadi dan Ghahremani (2011); Wen et al. (2010); Wu et al. (2008). Product Familiarity 4 item: 1. Saya memiliki pengetahuan mengenai Siğirci dan Yalçin (2010); Wu et al. (2008).
  25. Paper Presented at UNISBANK International Conference “On Social Welfare-Based Investment Policy in Anticipation of ASEAN Economic Community: a Study of Economy, Law and Information Technology”, Semarang, 29-30 August 2013 smartphone BlackBerry. 2. Saya merasa familiar dengan smartphone BlackBerry. 3. Saya dapat dengan mudah mengenali smartphone BlackBerry dari merek smartphone lainnya. 4. Ketika saya berpikir tentang produk smartphone, saya teringat dengan merek BlackBerry. Personal Reciprocity 4 item: 1. Saya berharap perusahaan BlackBerry dapat menawarkan beberapa layanan secara individual. 2. Saya bersedia untuk memberikan informasi pribadi saya kepada perusahaan BlackBerry. 3. Saya tertarik untuk bergabung dalam komunitas smartphone BlackBerry. 4. Saya bersedia untuk berkontribusi dengan perusahaan BlackBerry. Pi et al. (2011); Wu et al. (2008). Attitude Toward Buying Behavior 4 item: 1. Saya suka untuk menggunakan smartphone BlackBerry dibandingkan smartphone merek lainnya. 2. Saya merasa percaya diri pada saat menggunakan smartphone BlackBerry. 3. Menggunakan smartphone BlackBerry Ferdousi dan Levy (2010); Javadi et al. (2012); Lim et al. (2011).
  26. Paper Presented at UNISBANK International Conference “On Social Welfare-Based Investment Policy in Anticipation of ASEAN Economic Community: a Study of Economy, Law and Information Technology”, Semarang, 29-30 August 2013 membuat saya merasa nyaman. 4. Saya memiliki sikap yang positif terhadap smartphone BlackBerry. Purchase Intention 4 item: 1. Saya memiliki keinginan untuk membeli smartphone BlackBerry. 2. Saya akan membeli smartphone BlackBerry di masa yang akan datang. 3. Saya serius untuk mempertimbangkan membeli smartphone BlackBerry. 4. Smartphone BlackBerry menjadi pertimbangan pertama saya untuk pembelian di masa yang akan datang. Hanzaee dan Taghipourian (2012); Wu et al. (2008); Wu et al. (2012). Purchase Behavior 4 item: 1. Saya perlu menghabiskan banyak waktu untuk memutuskan membeli smartphone BlackBerry. 2. Saya mempertimbangkan berapa banyak uang yang saya keluarkan untuk membeli smartphone BlackBerry. 3. Promosi yang ditawarkan oleh smartphone BlackBerry mempengaruhi keputusan pembelian saya. 4. Begitu saya menemukan tipe yang menarik dari smartphone BlackBerry, saya akan membeli Osman et al. (2011); Sanlier et al. (2011).
  27. Paper Presented at UNISBANK International Conference “On Social Welfare-Based Investment Policy in Anticipation of ASEAN Economic Community: a Study of Economy, Law and Information Technology”, Semarang, 29-30 August 2013 smartphone tersebut.
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