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The Influence of Brand Equity Towards Purchasing Decision for Toys

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The Influence of Brand Equity Towards Purchasing Decision for Toys THE INFLUENCE OF BRAND EQUITY TOWARDS PURCHASING DECISION FOR TOYS (A Case Study of MATTEL.INC Toys in Jakarta) By Li Yi Nan International Business ID no. 014201200168 A Skripsi presented to the Faculty of Business President University in partial fulfillment of the requirements for Bachelor Degree in Economics Major of Management April 2016 i PANEL OF EXAMINERS APPROVAL SHEET The Panel of Examiners declares that the skripsi entitled “THE INFLUENCE OF BRAND EQUITY TOWARDS PURCHASING DECISION FOR TOYS (A Case Study of MATTEL.INC In Jakarta)” that was submitted by Li Yi Nan majoring in Management from the Faculty of Business was assessed and approved to have passed the Oral Examinations on April 13th 2016. Ir. Erny E. Hutabarat, MBA Chair – Panel of Examiners Filda Rahmiati, BBA, MBA Examiner 1 JhanghizSyahrivar,SE,MM Examiner 2 ii SKRIPSI ADVISER RECOMMENDATION LETTER This skripsi entitled “THE INFLUENCE OF BRAND EQUITY TOWARDS PURCHASING DECISION FOR TOYS (A Case Study of MATTEL.INC In Jakarta) ” prepared and submitted by Li Yi Nan in partial fulfillment of the requirements for the degree of Bachelor in the Faculty of Business has been reviewed and found to have satisfied the requirements for a skripsi fit to be examined. I therefore recommend this Skripsi for Oral Defense. Cikarang, Indonesia, January 28th, 2016 Acknowledged by, Recommended by, VinsensiusJajat K., MM, MBA JhanghizSyahrivar,SE,MM Head of Management Study Program Skripsi Adviser iii DECLARATION OF ORIGINALITY I declare that this skripsi, entitled “THE INFLUENCE OF BRAND EQUITY TOWARDS PURCHASING DECISION FOR TOYS (A Case Study of MATTEL.INC In Jakarta)” is, to the best of my knowledge and beliefs, an original piece of work that has not been submitted, either in a whole or in a part, to another university to obtain a degree. Cikarang, Indonesia, January 28th, 2016 LI YI NAN iv ABSTRACT This study was about the Perceived Quality, Brand Awareness, Brand Association, Brand Loyalty factors influencing customers’ purchasing decision of Mattel toys. MATTEL.INC is one of the big and famous toy company in Indonesia. They offering a lot of toy products, they have a very old brand and good brand value product. So they must be prepared good staff and skillful leadership of perform the best brand equity to the customers. It is important to find out the factors that influence the customer purchasing decision of MATTEL.INC.In recent years Mattel sales has been decrease from 2013 till 2015.Base on the theory the sample size should be at least ten times as large as the number of questions in the study. In determining the sample size will be 183. In this thesis the researcher used questionnaires with Likert scales and Bimominal logistic to analyze and collected data statistical software was used. The variables used in this study are Perceived Quality, Brand Awareness, Brand Association, and Brand Loyalty as dependent variables and Purchasing Decision as independent variable. The respondents of this research were people who are Mattel’s customers In Jakarta (Mall Kelapa Gading, Plaza Indonesia, Senayan City).Based on the result, perceived quality and brand loyalty as success factors influencing customer purchasing decision. So, in the future, Mattel should focus on improving the perceived quality, enhance brand loyaltyfor better and greater of customer purchase decision making. Key Words:Brand Equity,PerceivedQuality, Brand Awareness, Brand Association, Brand Loyalty, Purchasing Decision,Mattel, JakartaIndonesia. v ACKNOWLEDGEMENT I would like to thank President University for giving me the opportunity to study in Indonesia and pursue my bachelor degree. I would like to show my deepest gratitude to my skripsi advisor, Mr. JhanghizSyahrivar,SE., MM, a respectable, responsible and resourceful scholar, who has provided me with valuable guidance of thisskripsi. Without his enlightening instruction, impressive kindness and patience, i could not have completed myskripsi. I would also like to thank all my lectures who have helped me to develop the fundamental and essential academic competence. I also want to thank my dear parents and my family always support and encourage me until now. Thanks for supporting me whenever I met difficulty in my life, thanks for the guide and motivation in my life. I am very thankful to all my respondents for their help in collecting relevant information used in this research. Last but not least, I would like to thank all my friends, and our lovely seniors for their encouragement and support. Especially for all Management brothers and sisters, all my classmates, thanks for them help. Thanks for all the people who care, support, and help me. Thanks to all! Cikarang, Indonesia, January2016 Li Yi Nan vi FIGURE OF CONTENTS PANEL OF EXAMINERS APPROVAL SHEET .............................................. ii SKRIPSI ADVISER RECOMMENDATION LETTER .................................. iii DECLARATION OF ORIGINALITY ................................................................ iv ABSTRACT ............................................................................................................ v ACKNOWLEDGEMENT .................................................................................... vi FIGURE OF CONTENTS .................................................................................. vii LIST OF TABLES ................................................................................................ xi LIST OF FIGURES ............................................................................................. xii APPENDIX ......................................................................................................... xiii CHAPTER I ........................................................................................................... 1 INTRODUCTION.................................................................................................. 1 1.1 Background of the Study ................................................................................ 1 1.2 Problem Identification .................................................................................... 3 1.3 Statement of the Problem ............................................................................... 4 1.4 Research Objectives ....................................................................................... 4 1.5 Significance of study…………………………………………………………..5 1.6 Definition of Terms ........................................................................................ 5 1.7 Scope and Limitations .................................................................................... 6 CHAPTER II .......................................................................................................... 7 REVIEW OF LITERATURE ............................................................................... 7 2.1 Theoretical Review......................................................................................... 7 2.1.1Brand…………………………………………………………………….……7 2.1.2Brand Equity ............................................................................................. 7 2.1.3Brand Awareness ...................................................................................... 8 2.1.4Brand Association..................................................................................... 9 vii 2.1.5 Brand Loyalty .......................................................................................... 9 2.1.6Perceived Quality ................................................................................... 10 2.1.7Purchase Decision................................................................................... 11 2.2 Previous Research ........................................................................................ 11 2.3 Theoretical Framework ................................................................................ 13 2.4 Hypothesis .................................................................................................... 14 2.5Operational Definition of Variables .............................................................. 15 CHAPTER III ...................................................................................................... 25 METHODOLOGY .............................................................................................. 25 3.1 Research Method .......................................................................................... 25 3.1.1 Quantitative Method .............................................................................. 25 3.2 Research Instrument ..................................................................................... 26 3.2.1Likert Scale Rating ................................................................................. 26 3.2.2 Data Analysis ......................................................................................... 27 3.3 Sampling Design .......................................................................................... 27 3.3.1 Respondent Profile ................................................................................ 27 3.3.2 Sampling Data ....................................................................................... 28 3.3.3Population ............................................................................................... 28 3.3.4Sample .................................................................................................... 28 3.4 Validity, Reliability, Correlation and Multicollinearity Test ......................
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