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Proceedings the 4 Th I-Come 4th - International Conference on Management & Entrepreneurship PROCEEDINGS DIGITALIZATION & BUSINESS EMPOWERMENT Swinburne University of Tecthnology, Sarawak Campus, Malaysia, 22-24 July 2021 Editors : Eddy Madiono Sutanto, Halimin Herjanto, Jashim Khan, Jati Kusuma Ali, Evan Lau, Annie Stephanie Banikema, John Francis Diaz Co-Host : Proceedings DIGITALIZATION AND BUSINESS EMPOWERMENT Swinburne University of Technology, Sarawak Campus, Malaysia 22nd – 24th July 2021 Editors: Eddy Madiono Sutanto Halimin Herjanto Jashim Khan Jati Kusuma Ali Evan Lau Annie Stephanie Banikema John Francis Diaz Published: Institute for Research and Community Outreach PETRA PRESS Petra Christian University Surabaya – Indonesia i Proceedings ISBN: 978-602-5446-15-3 Scientific Committee: Chairman : Prof. Dr. Eddy Madiono Sutanto (Indonesia) Member : Assoc. Prof. Annie Stephanie Banikema, Ph.D. (France) Prof. Pável Reyes Mercado, Ph.D. (Mexico) Assoc. Prof. Jashim Khan, Ph.D. (UK) Assoc. Prof. Jati Kasuma Ali, Ph.D. (Malaysia) Assoc. Prof. Evan Lau, Ph.D. (Malaysia) Assoc. Prof. Richard Von Llewelyn, Ph.D. (USA) Prof. Dr. Hitesh Shukla (India) Prof. Christantius Dwiatmadja, Ph.D. (Indonesia) Prof. Dr. Sri Wahjuni Astuti (Indonesia) Assoc. Prof. Dr. Sony Kusumasondjaja (Indonesia) Dr. Elia Ardyan (Indonesia) Prof. Dr. Dody Hapsoro (Indonesia) Asst. Prof. Dr. Halimin Herjanto (USA) Joint Organizing Committee: Conference Chair I : Dr. Jee Teck Weng (Swinburne University of Technology, Sarawak, Malaysia) Conference Chair II : Prof. Dr. Eddy Madiono Sutanto (Petra Christian University, Indonesia) Secretary : Dr. Komathi Wasudawan (Swinburne University of Technology, Sarawak, Malaysia) Dr. Maggie Tang (Swinburne University of Technology, Sarawak, Malaysia) Treasurer : Dr. Haji Keria bin Kontot (Swinburne University of Technology, Sarawak, Malaysia) Marketing Communication : Dr. Carolina Sandra Giang (Swinburne University of Technology, Sarawak, Malaysia) Programs : Dr. Bertha Chin Lu Phin (Swinburne University of Technology, Sarawak, Malaysia) Dr. Yii Kwang Jing (Swinburne University of Technology, Sarawak, Malaysia) Mr. Hugh John Leong Yik Kuan (Swinburne University of Technology, Sarawak, Malaysia) Technical : SWIM Sdn Bhd ii PREFACE Digitalization in the 21st century continues to influence how organizations and businesses function and process. However, success in digitalization requires continuous co-operation, empowerment, and planning. Over the years, we have seen changes in digitalizing and empowerment in not just businesses, but also in the workplace. Such digitalization and empowerment are becoming more important where it continues to drive businesses to go global. It also increased the speed of business innovation and transformation, while offering new knowledge and stronger insights into how businesses function and operate in a globalized market. The Business Management Program and Jurnal Manajemen dan Kewirausahaan – JMK (Journal of Management and Entrepreneurship) of Petra Christian University, Surabaya Indonesia in cooperation with the School of Business of Faculty of Business, Design and Arts, Swinburne University of Technology Sarawak Campus, Sarawak Malaysia host the Fourth International Conference on Management and Entrepreneurship (4th i-CoME) 2021. This conference is made possible with the support of several accredited journals (SCOPUS, ESCI, among many). The conference present seven keynote speakers from five different countries: Australia, USA, Malaysia, Indonesia, and New Zealand. This conference also calls for research articles and papers from scholars, researchers, and students from all over the world. There are six sub-themes with various topics covering management and entrepreneurships topics. The conference is a forum where fellow academics share experiences, exchange knowledge, work hand-in-hand, and find managerial and entrepreneurial solutions for a better business world. The detailed information is available in the 4th i-CoME 2021 website: http://i-come.petra.ac.id The objectives of the 4th i-CoME 2021 are to become scholar’s forum to discuss a recent scholarly work, to become scholars’ forum where scholars from all over the world can gather and network, and to discover new findings that can benefit the business management and entrepreneurship world. Surabaya, Indonesia, 1 August 2021 Editor iii TABLE OF CONTENTS Preface iii Table of Content v List of Papers THE EFFECT OF BRAND REPUTATION, BRAND RELATIONSHIP QUALITY 1–5 AND SWITCHING COST TO BRAND LOYALTY Andrew Soeryohadi, Michael Adiwijaya, Hartono Subagio, Halimin Herjanto THE EFFECTS OF OWNERSHIP STRUCTURE AND BOARD OF DIRECTORS’ 6–21 CHARACTERISTICS ON EARNINGS MANAGEMENT Dahlia Gunawan, Indra Arifin Djashan FACTORS AFFECTING THE USE OF DIGITAL INFORMATION SOURCES 22–30 AMONG RURAL ENTREPRENEURS Hui Hui Yeo, Fidella Nga Huong Tiew, Ching Seng Yap EMPLOYEE PERSONAL BRANDING AND CORPORATE BRAND EQUITY: 31–37 A REVIEW Dianne Tsen Shoon Cheen, Weng Marc Lim, Rodney Thiam Hock Lim, Vie Ming Tan THE ROBUSTNESS OF BRAND PASSION AND BRAND LOYALTY IN SOCIAL MEDIA 38–45 AND CONSUMER PURCHASE INTENTION TOWARDS LUXURY BRANDS Md. Julhaz Hossain, Shamima Easmin Shanta, Md. Abdul Alim ENTREPRENEURIAL INTENTION OF STUDENTS OF THE FACULTY OF 46–52 INDUSTRIAL TECHNOLOGY, PETRA CHRISTIAN UNIVERSITY Kriswanto Widiawan, Fanny Lulyanto DETERMINING THE TOURISM AREA LIFE CYCLE (TALC) OF BANGLADESH: 53–56 AN APPLICATION OF BUTLER’S TALC MODEL Sazu Sardar, Md. Burhan Uddin, Md. Mazharul Islam OPERATIONAL RESILIENCE of SMEs in OVERCOMING CRISES: CASE STUDIES 57–64 IN PALU-INDONESIA Elimawaty Rombe, Suryadi Hadi, Harifuddin Thahir, Femilia Zahra, Irdinal Arif, Roy Irawan Mendi HOW THE COVID 19 PANDEMIC AFFECTS THE ENTREPRENEURIAL SPIRIT OF 65–78 STUDENTS Meylani Tuti iv IMPROVING E-SERVICE QUALITY THROUGH QUALITY FUNCTION 79–86 DEPLOYMENT IN FMCG COMPANY Brata Wibawa Djoyo, Paquitta Rachma Dheniar, Nugroho Juli Setiadi GAMIFICATION OF AIRLINE LOYALTY PROGRAM: GARUDAMILES CASE 87–97 Kemal Argha Yuwana, Neneng Nurlaela Arief THE EFFECT OF INDONESIAN DOMESTIC EVENTS TOWARDS STOCK PRICE 98–104 VOLATILITY BY USING THE REALIZED VOLATILITY METHOD Rizky Aprianbudi, Zuliani Dalimunthe CONSTRUCTING A COGNITIVE ISLAMIC RELIGIOSITY MEASUREMENT SCALE IN 105–113 THE WORKPLACE: AN EMPIRICAL STUDY IN INDONESIAN LOCAL COMPANIES Syarifuddin Lakasse IMPORTANCE OF COMMUNICATION RELATED TO GSCM IN GAS STATION’S 114–129 COMPETITIVE ADVANTAGE Hari Purnomo, Ina Primiana Syinar, Fani Cahyandito, Diana Sari THE FUTURE OF STRATEGY IMPLEMENTATION RESEARCH: STRATEGY 130–133 COMMUNICATION Jarrah Al-Mansour v The 4th International Conference on Management and Entrepreneurship (i-CoME) ISBN 978-602-5446-15-3 Sarawak, Malaysia, 22nd – 24th July 2021 THE EFFECT OF BRAND REPUTATION, BRAND RELATIONSHIP QUALITY AND SWITCHING COST TO BRAND LOYALTY Andrew Soeryohadi1, Michael Adiwijaya2*, Hartono Subagio3, Halimin Herjanto 1Petra Christian University, Indonesia, [email protected] 2*Petra Christian University, Indonesia, [email protected] 3Petra Christian University, Indonesia, [email protected] 4University of the Incarnate Word, USA, [email protected] ABSTRACT In the current global era, progress is happening very fast, companies all over the world are competing to continue to survive and win in increasingly fierce business competition. One way for companies to win in the competition is to win the hearts of consumers, which will lead to customer loyalty to the brand of the company. This research was conducted to determine the effect of brand reputation, brand relationship quality, and switching costs on brand loyalty in Nike brand basketball shoes. The data collection technique in this study was using purposive sampling. While the data processing method was done using validity, reliability, and descriptive statistical analysis. For the data analysis method used was PLS-SEM which was a multivariate analysis technique consisting of analysis of outer model, inner model, and hypothesis testing. From the results of this study, it was known that brand reputation and brand relationship quality significantly influence brand loyalty in Nike brand basketball shoes. While switching costs proved to be able to moderate the relationship between brand reputation to brand loyalty and the relationship of brand relationship quality to brand loyalty significantly. Keywords: Brand reputation, brand relationship quality, switching cost, brand loyalty. INTRODUCTION The main goal for every company is not only to survive but also to win the intense competition through focusing into what customer needs and wants (Chadhiq, 2007). These type of company hope to provide customer convenience and stimulate repeat purchase behavior. This kind of customer behavior will lead to brand loyalty and will lead to the creation of revenue for company sustainability (Istijanto, 2009). Dick and Basu (1994) argued that the company must adopt certain unique strategy and approach for instance by emphasizing on brand reputation, utilizing customer relationship, and directing the entire company resources to improve customer loyalty. A reputable brand plays significant role in determining consumer behavior in terms of product selection and it will lead to brand loyalty. Therefore, whenever the customers had received the product benefits or values then the customers tend to be loyal to the particular brand and tend to be less price sensitive (Wibisono, 2015). Nevertheless, several research findings showed the influences of brand reputation towards customer loyalty,
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