THE INFLUENCE OF BRAND EQUITY TOWARDS PURCHASING DECISION FOR TOYS

(A Case Study of .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 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 ...... 29

3.4.1 Validity Test ...... 29

3.4.2 Reliability Test ...... 29

3.4.3 Correlation ...... 30

3.4.4 Multicollinearity ...... 30

3.5 Data Collection ...... 31

3.5.1Primary Data ...... 32

3.5.1Secondary Data ...... 32

viii

3.6 Hypothesis Testing ...... 33

3.6.1 Binomial logistic regression ...... 33

3.6.1.1 Classification Table…………………………………………...………….33 3.6.1.2 Hosmer and Lemeshow Test ...... 33

3.6.1.3Model Summary ...... 34

3.6.1.4Omnibus Test ...... 34

3.6.1.5 Partial Test ...... 34

3.7Limitations ...... 34

CHAPTER IV...... 37

ANALYSIS AND INTERPRETATION ...... 37

4.1 Company Profile ...... 37

4.1.1 Vision and Mission ...... 37

4.1.2Corporate Values ...... 37

4.1.3Corporate Product ...... 38

4.2 Data Result and Analysis ...... 42

4.2.1 Pilot Testing ...... 42

4.2.2 Validity Test ...... 42

4.2.3Reliability Test ...... 43

4.2.4 Respondent’s Profile...... 43

4.2.4.1 Gender ...... 44

4.2.4.2 Age...... 44

4.2.4.3Marital Status ...... 45

4.2.4.4Education ...... 46

4.2.4.5 Purpose of Purchase...... 47

4.2.4.6 Willing to spend for Mattel Product ...... 48

4.2.4.7What kind of product from Mattel that you like the most ...... 49

4.2.5 Respondent Responses ...... 49

ix

4.2.5.1Perceived Quality(X1) ...... 50

4.2.5.2 Brand Awareness (X2) ...... 55

4.2.5.3 Brand Association (X3) ...... 60

4.2.5.4Brand Loyalty(X4) ...... 65

4.2.5.5Purchase Decision(Y) ...... 70

4.2.6Descriptive Statistics ...... 75

4.2.6.1 Correlation Analysis ...... 75

4.2.6.2Multicollinearity Analysis ...... 77

4.3. Binomial Regression Logistic Analysis ...... 77

4.3.1 Output: Overall Percentage ...... 77

4.3.2Hosmer and Lemeshow Test ...... 79

4.3.3 Pesudo R Square ...... 80

4.3.4 Omnibus Test ...... 80

4.3.5 OutPut(All Variables)………………………………………………….81

4.4 Interpretation of Result ………………………………………………….…82

4.4.1 Perceived Quality toward Purchase Decision of Mattel in Jakarta .. ….82

4.4.2Brand Awareness toward Purchase Decision of Mattel in Jakarta…………..82

4.4.3Brand Association toward Purchase Decision of Mattel in Jakarta………….82

4.4.4Brand Loyalty toward Purchase Decision of Mattel in Jakarta…….……….82

CHAPTER V ...... …83

CONCLUSION AND RECOMMENDATION ...... 83

5.1 Conclusion ...... 83

5.2 Recommendation ...... 84

LIST OF REFERENCE ...... 85

x

LIST OF TABLES

Table 1.1Net Sales of Mattel for the Year 2013 and 2014 ...... 1

Table1.2Net Sales of Mattel for the Year 2015 First Quarter ...... 2

Table1.3Net Sales of Mattel for the Year 2015 Second Quarter ...... 2

Table1.4Net Sales of Mattel for the Year 2015 Third Quarter ...... 2

Table 2.1 Operational Definition of Variables…………………… ..…………..………..14 Table 3.1 Likert Scale ...... 26

Table 3.2Likert Scale Questionnaire...... 26

Table 4.1Mattel Product List………………………………………………………….….37 Table 4.2 Validity Test Result ...... 42

Table 4.3Reliability Test Result ...... 43

Table 4.4 Spearman Rank Order Correlations ...... …..52

Table 4.5Classification Table Step 0……………………………………………..77

Table 4.6 Classificiation Table adding 1 Independent Variable……………….....78

Table 4.7 Classificiation Table adding all Independent Variable………………...78

Table 4.8Hosmer and Lemeshow Test...... …..79

Table 4.9 Pesudo R Square……………………………………………………….79 Table 4.10Omnibus Tests ...... 80

Table 4.11 Variables in the Equation ...... 80

xi

LIST OF FIGURES

Figure 2.1Theoretical Framework ...... 12

Figure 4.1 Distribution of Gender ...... 44

Figure 4.2 Distribution of Age ...... 44

Figure 4.3 Distribution of Marital Status ...... 45

Figure 4.4 Distribution of Education ...... 46

Figure 4.5 Distribution of Purpose of Purchase ...... 47

Figure 4.6 Distribution of willing to spend for Mattel Product ...... ……….48

Figure 4.7 Distribution of what kind of product from Mattel that you like most .. 49

Figure 4.8: Variable 1 Description ······················································ 50

Figure 4.9: Variable 2 Description ······················································ 51

Figure 4.10: Variable 3 Description ···················································· 52

Figure 4.11: Variable 4 Description ···················································· 53

Figure 4.12: Variable 5 Description ···················································· 54

Figure 4.13: Variable 6 Description ···················································· 55

Figure 4.14: Variable 7 Description ···················································· 56

Figure 4.15: Variable 8 Description ···················································· 57

Figure 4.16: Variable 9 Description ···················································· 58

Figure 4.17: Variable 10 Description ··················································· 59

Figure 4.18: Variable 11 Description ··················································· 60

Figure 4.19: Variable 12 Description ··················································· 61

Figure 4.20: Variable 13 Description ··················································· 62

Figure 4.21: Variable 14 Description ··················································· 63

xii

Figure4.22: Variable 15 Description······················································· 64

Figure 4.23: Variable 16 Description ······················································ 65

Figure 4.24: Variable 17 Description ······················································ 66

Figure 4.25: Variable 18 Description ······················································ 67

Figure 4.26: Variable 19 Description ······················································ 68

Figure 4.27: Variable 20 Description ······················································ 69

Figure 4.28: Variable 21 Description ······················································ 70

Figure 4.29: Variable 22 Description ······················································ 71

Figure 4.30: Variable 23 Description ······················································ 72

Figure 4.31: Variable 24 Description ······················································ 73

Figure 4.32: Variable 25 Description ······················································ 74

Figure 4.33: Variable 26 Description ······················································ 75

xiii

APPENDIX APPENDIX 1:RAW DATA MATERIAL...... 87

APPENDIX 2: QUESTIONNAIRE ...... 96

APPENDIX 3: SPSS OUTPUT ...... 102

xiv

Chapter I INTRODUCTION

1.1 Background of the Study Now a days, toy market is develop fast and mature. From the global toy market distribution, toy consumption in recent years in Europe and America from mature gradually extending to emerging markets in Asia, South America, Australia and other places toy consumption is growing rapidly. Because of the labor cost advantage and due to resource conditions, the global toy manufacturing center gradually shifted from the United States and Europe to the developing world 1(International toy market report 2015).

The Mattel companies is the worldwide leader in the design, manufacture and marketing of toys and family products. Mattel's portfolio of best-selling brands includes , the most popular fashion doll ever produced, , , , Thomas & Friends and Fisher-Price brands, including Little People and Power Wheels, , including MEGA BLOKS and Rose Art, as well as a wide array of entertainment-inspired toy lines 2 ( www.mattel.com 2015 ).

Table 1.1: Net Sales of Mattel for the Year 2013 and 2014

(source: Mattel Annual report 2014)

1 International toy market report 2015, http://www.chyxx.com/research/201501/302113.html

2 www.Mattel.com http://corporate.mattel.com/about-us/default.aspx

1

Table 1.2: Net Sales of Mattel for the Year 2015 First Quarter

For the Three Months Ended

March 31, (In millions, 2015 2014 Yr / Yr except per % % share and % $ Amt Net $ Amt Net percentage Change information) Sales Sales Net Sales $ 922.7 $ 946.2 -2 % (source: www. Mattel newsroom.com 2015) 3

Table 1.3: Net Sales of Mattel for the Year 2015 Second Quarter

For the six Months Ended June 31, (In millions, 2015 2014 Yr / Yr except per % % share and % $ Amt Net $ Amt Net percentage Change information) Sales Sales Net Sales $ 1,910.9 $ 2,008.4 -5 % (source: www.Mattel newsroom.com 2015)

Table 1.4: Net Sales of Mattel for the Year 2015 Third Quarter

For the Nine Months Ended

September 31, (In millions, 2015 2014 Yr / Yr except per % % share and % $ Amt Net $ Amt Net percentage Change information) Sales Sales Net Sales $ 3,702.9 $ 4,029.9 -8 % (source: www.Mattel newsroom.com 2015)

3 www.Mattel newsroom.com 2015 http://news.mattel.com/

2

Base on the table 1.1 we can see Mattel net sales fell down 7% from 2013 to 2014. Base on the table 1.2 ,table 1.3 and table 1.4 Mattel net sales keep goes down. From first quarter fell down 2%, second quarter fell down 5%, third quarter fell down 8%. Mattel also faces the loss of Disney Princess license to smaller rival toy maker in 2016, where the princesses will join Hasbro’s Transformer range and G.I. Joe. The deal will end a nearly 20-year-old partnership between the entertainment giant and current rights holder, Mattel. The license gives the company the rights to produce all of Disney heroines – from first princess Snow White, to new characters such as Anna and Elsa from Frozen. Mattel face a big drop in market 4 (www. seeking alpha.com). Mattel has to building a stronger brand, expanding the market, especially in many developing countries, have a big market.

Indonesia as a developing country. More traditional toys and games stores are looking to compete and increase sales through expanding their outlet networks, with a number of outlets being added in neighborhood shopping malls. Backed up by strong retailing experience, companies such as Mattel. In Jakarta, the capital city of Indonesia have a lot of malls that have Mattel product.5 (Toys and Games in Indonesia report 2015).

Brand Equity dimensions into major subcategories which are perceived quality, brand awareness, brand associations, and brand loyalty. Brand awareness is the extent to which a brand is known among the public, brand associations is associations triggered by a brand, and brand loyalty is the extent to which people are loyal to a brand. Perceived quality is the extent to which a brand is considered to provide good quality product they might have an impact to consumer purchasing decision. Consumers will compare their information that they already know before about different products and brands with what they consider before finally deciding which one to buy. (Aaker, 2010)

Perceived quality, brand awareness, brand associations and brand loyalty are added to this study as factors that impacts the purchasing decision for Mattel toys in Jakarta, as

4 www. seeking alpha.com http://seekingalpha.com/article/3261325-toy-wars-mattel-vs-hasbro?page=2

5 Toys and Games in Indonesia report 2015 http://www.euromonitor.com/toys-and-games-in-indonesia/report

3

the result of the international trade. Therefore, this study is titled “THE INFLUENCE OF BRAND EQUITY TOWARDS PURCHASING DECISION FOR TOYS (A Case Study of MATTEL,INC In Jakarta)”.

1.2 Problem Identification

Base on the table 1.1,table 1.2 ,table 1.3 and table 1.4 showing In recent year Mattel sales keep fell down from year 2013 till 2015 in International Market. Base on the table 1.1 we can see Mattel net sales fell down 7% from 2013 to 2014. Base on the table 1.2 ,table 1.3 and table 1.4 Mattel net sales keep goes down. From first quarter fell down 2%, second quarter fell down 5%, third quarter fell down 8%. Mattel keep lose the customer. Thus, the customer will move to another brand if the Mattel cannot get a good brand awareness ,brand association, brand loyal from customer and cannot get the customer trust of their perceived quality. So, Mattel has to find out how strong the Mattel brand of toys’ value in this city and in what specific of brand equity dimensions that Mattel weak of. If not Mattel will lose the competition in toys market.

1.3 Statement of Problem

As shown in the table 1.1 ,table 1.2, table 1.3, table 1.4,from 2013 to 2015, Mattel company sales keep goes down. It means Mattel company keep lose customer in recent years.

Based on the abovementioned problem, the statement of problem as follows:

1.To what extent does Perceived Quality influence Purchasing Decision?

2.To what extent does Brand Awareness influence Purchasing Decision?

3.To what extent does Brand Associations influence Purchasing Decision?

4.To what extent does Brand Loyalty influence Purchasing Decision?

1.4 Research Objectives

Based on the preceding research questions, the research objectives of the study can be translated as follows: 4

1.To find out if Perceived Quality influence Purchasing Decision.

2.To find out if Brand Awareness influence Purchasing Decision.

3.To find out if Brand Associations influence Purchasing Decision.

4.To find out if Brand Loyalty influence Purchasing Decision.

1.5 Significance of Study

Through this research hopefully could expand knowledge, information, and suggestion for:

1. Mattel: The output of the research would become reference for Mattel to increase its brand loyalty, brand awareness, brand association, perceived quality and the sales of Mattel brand product in Jakarta. 2. Government: As reference for Central government and Jakarta government to put more attention with local product and gain better ideas through this research to solve the Mattel product sales problem in Jakarta. 3. Researcher: To find out how strong brand equity of Mattel product in Jakarta and gain more understanding on brand awareness, brand associations, brand loyalty and perceived quality also their impact on the consumer purchasing decision. 4. The Future Researcher: The output of the research would become a baseline and additional knowledge to enhance the needs of people who would do future research about the Brand awareness, Brand Association, Brand Loyalty and Perceived Quality and their impact on the purchasing decision. 5. The University: to increase the literatures and studies in field of brand awareness, brand associations, brand loyalty, perceived quality and purchasing decision.

1.6 Definition of Terms

Some terms used in this research are as follows according to Cambridge Advanced Learner’s Dictionary (2008) and Aaker (2010): 5

1. Brand Association: associations triggered by a brand 2. Brand Awareness: the extent to which a brand is known among the public 3. Brand Equity: the set of brand assets and liabilities linked to the brand – its name and symbols – that add value to, or subtract value form, a product or service. 4. Brand Loyalty: the extent to which people are loyal to a brand 5. Perceived Quality: the extent to which a brand is considered to provide good quality product.

1.7 Scope and Limitation

Scope

The Study is conducted to “THE INFLUENCE OF BRAND EQUITY TOWARDS PURCHASING DECISION FOR TOYS (A Case Study of MATTEL.INC In Jakarta)”.

Limitation

This study is focused on Indonesian citizen in Jakarta as Mattel customers. Questionnaires are distributed to 200 Mattel product consumers in Jakarta. The Study will limit on toys and this Study only analyzes the impact of this Brand Equity through Aaker Model of Brand Equity (brand awareness, brand associations, brand loyalty and Perceived Quality) on purchasing decision for Mattel outlets in Jakarta: Mall Kelapa Gading, Plaza Indonesia, Senayan City.

6

Chapter II REVIEW OF LITERATURE

2.1 Theoretical Review

2.1.1Brand

The term ‘Brand’ and it’s early definition comes from the activity that usually done by cattle raiser in Wild West of the United States through giving mark on their cattle for easy identification reason of its ownership or origin from one ranch to another ranchland also to ensure that the cattle is not stolen(Kapferer, 2012).

During its development, Brand has got lots of definitions since there are lots of various marketing observers and experts’ perspectives. Alamgir, Nasir, Shamsuddoha, and Nedelea (2010) described Brand as a combination of name, symbol and design; it represents customer’s perception and opinion about performance of the product.American Marketing Association as quoted by Kotler and Keller (2012) defined Brand as a name, term, sign, symbol, or design or a combination of them intended to identify the goods and services of one seller or group of sellers and to differentiate them from those of competitors. Brand is an asset that creates value for consumers by increasing the satisfaction and respect the quality (Kartajaya, 2010).

2.1.2 Brand Equity

Brand equity can be evaluated through, Brand loyalty, Brand awareness, Perceived quality, Brand association and other proprietary brand assets in five different dimensions. The implications of model help in managing brand equity and consider sensitive value to make informed decisions about brand-building activities. Brand equity is important at purchasing time as it influence customers and complete with the competitor’s attraction (Nisal Rochana Gunawardane 2015). Brand equity “should be defined in terms of marketing effects uniquely attributable to a brand”. That is to say, in reality Brand Equity relates to the fact that diverse outcomes result in the marketing efforts of a certain product and service owing to its brand, as

7

judged or compared with the consequences of marketing if the same product and service was not recognized by that brand (Ashkan Pakseresht 2010). Brand Equity is a set of assets and liabilities linked to a brand’s name and symbol that adds to, or subtracts from, the value provided by a product or service to a firm and/or the firm’s customers. The major asset categories are brand name awareness, brand associations, and brand loyalty.(Aaker, 2010, pp. 7,8)

Brand Equity can be understood as the results of some major dimensions:

1. Brand Awareness 2. Brand Association 3. Brand Loyalty 4. Perceived Quality

Brand equity is a valuable asset for a company, which they want to, put in their brands. A power full brand enjoys a high level of customer brand awareness and loyalty. Company can have a competitive advantage through high brand equity. Brand equity also involves the value added of product through customer relations and perceptions for the specific brand name. (Alamgir, Nasir, Shamsuddoha, and Nedelea 2010)

2.1.3 Brand Awareness

Brand Awareness is a brand with strong brand recall (unaided awareness) and top of mind can affect customers’ perceptions, which lead to different customer choice inside a product category (Kimpakorn and Tocquer, 2010). Brand Awareness is the second category of the brand equity. Brand name awareness plays vital role in consumer decision making process; if customer had already heard the brand name, the customer would feel more comfortable at the time of making decision. (Alamgir, Nasir, Shamsuddoha, and Nedelea 2010) “Awareness refers to the strength of a brand’s presence in the consumer’s mind. If consumers’ minds were full of mental billboards–each one depicting a single brand–then a brand’s awareness would be reflected in the size of its billboard.”(Aaker, 2010, pp.10)

There are 4 stages of Brand Awareness according to the Aaker (2010):

8

1. Unaware of Brand In this stage, customers have doubts or are not sure if mentioned already familiar with the brand or not. 2. Brand Recognition At this stage the customer is able to identify the brands mentioned. 3. Brand Recall At this stage the customer is able to recall the brand without a given stimulus. 4. Top of Mind At this stage of the customer as a brand that first comes to mind when talking about a specific product category.

At the time of the purchase decision made, brand awareness plays an important role. Customers tend to buy brands that are well known because they feels a few it has something that is known and thought well-known brands are reliable and quality can be accounted for (Lee & Leh, 2011).

2.1.4 Brand Associations

Brand associations as anything relate to the preference of a brand. It is the element of brand equity that helps a brand to be remembered( Aaker 2010). Different brands have different associations to their prospective customers. Brand associations are driven by the brand identity, which is what the company wants the brand to stand for in the customer’s mind. Thus, the development and implementation of a brand identity, is a key to build strong brands. (Aaker, 2010, pp.25)

2.1.5 Brand Loyalty

Brand loyalty is the repeated purchase behavior. It is indirect undertaking to purchase the particular brand again. Moreover attitudinal and behavioral loyalties are two main antecedents, initial show purchase intention and later show the comparative liking over other brands (Tariq, Humayon, Bhutta and Danish 2014). Customer loyalty gives large contribution to a brand’s value to a firm, a loyal customers is absolutely important, it is expected to predict the number of sales and finally generate profits, it is important not to ignore the existing loyal customers, because it is much more cheap to retain them than to attract new customers, Focusing 9

on loyalty segmentation provides strategic and tactical insights that will assist in building strong brands (Aaker, 2010, pp.21-22).

David Aaker then divided the brand loyalty into five levels namely:

1. Switchers/Price sensitive At this level customer is not loyal to the brand or not having a strong brand equity 2. Satisfied/Habitual Buyer Customers are satisfied with the product or at least don’t feel not satisfied with the company's products. 3. Satisfied buyer with switching cost Customers are satisfied with the product and they are willing to spend a certain fee if they want to switch brands. 4. Likes the Brand Consumers are enthusiast with the brand and consider it a friend, their brand preference are influenced by their experience along with price, time and quality. 5. Committed Buyer At this level of customer have the pride in using the products offered by a company.

2.1.6 Perceived Quality

Perceived quality is the extent to which a brand is brilliant and considered to provide good quality of product and service in comparing with the rivalry products, Perceived quality is at the heart of what customers purchase and in order to generate high quality, an understanding of what quality means to various customer segments is required. Creating a quality product or service is only a partial victory; perceptions must be created as well (Aaker, 2010, pp.19-20). Perceived quality is the continuous improvement process which always keeps on changing and stimulates product performance to satisfy contemporary needs and wants of the customers. Perceived quality is the consumer's findings about the products as a whole fineness or superiority (Tariq, Humayon, Bhutta and Danish 2014). Perceived quality

10

of the brand described over all customer response to the quality and benefits offered by the brand(Lee &Leh, 2011).

2.1.7 Purchase Decision

Customer follows the sequence of steps in the decision-making process to purchase a particular product. They begin to realize the product requirements, obtain information, identify and evaluate alternative products and finally decided to buy a product from a certain brand (Alamgir, Nasir, Shamsuddoha, and Nedelea , 2010).

Operational definition of the purchase decision can be defined that every consumer has stages of decision making (Doostar, et al., 2012). According to Kotler, et al (2008), there are 5 stages in Consumer Purchase Decision Process, namely:

1. Need Recognition The buying process starts with need recognition. At this stage, the buyer recognizes a problem or need. 2. Information Search Consumers start to collect information about the planned purchase. 3. Evaluation of Alternatives Consumers will start to evaluate different alternatives and weigh the advantages and disadvantages of each choice. 4. Purchase Decision Consumer taking decision to purchase 5. Post –Purchase Behavior After buying a product, the consumer compares it with expectations and is either satisfied or dissatisfied.

2.2 Previous Research

The previous research has been conducted regarding to the Brand Equity, Perceived Quality and Purchase decision, namely:

1. Goi Chai Lee and Fayrene Chieng Yew Leh (2011) accomplished a research about Dimensions of Customer-Based Brand Equity: A Study on Malaysian

11

Brands. Quantitative analysis with factor analysis and correlation was applied on this study, 500 questionnaires were sent to all parts of Malaysia, especially major cities like Kuching, Miri, the area around the Klang Valley, Kota Kinabalu, Johor Bahru. Brand Awareness and Association are considered important. Two important points emerge from this conceptualization. First, marketers should take a broad view of marketing activity for a brand and recognize the various effects it has on brand knowledge, as well as how changes in brand knowledge affect more traditional outcome measures such as sales. Second, markets must realize that the long-term success of all future marketing programs for a brand is greatly affected by the knowledge about the brand in memory that has been established by the firm’s short-term marketing efforts. 2. Mohammad Doostar, Maryam Kazemi Iman Abadi, Reza Kazemi Iman Abadi (2012) performed a study in order to find out the impact of brand awareness, brand associations and perceived quality on purchase decision of final consumer focusing on products with low mental conflict. In this study, based on descriptive -survey research design and random sampling, Quantitative method was applied in this study, information needed 400 buyers of food products daily consumption in Iran. Results indicate that brand equity has a direct impact on consumer purchase decision with brand awareness as the highest significant to purchase decision followed by brand association and perceived quality. 3. Stephen Riggs and Jeanie Brown (2013) conducted a research about Consumer purchasing decision as the impact of brand loyalty, brand awareness, brand associations and perceived quality. This study conducted on Multi-utility vehicles in Uttar Pradesh, India. This study aimed that Brand equity and perceived quality as important tool for associating a brand and influencing customers in making purchase decisions for particular brand. Quantitative method is used in this study. In all 130 respondents were selected who owns of Maruti, Hyundai, Fiat, Tata, Chevrolet and other brands. The study was conducted among the car owners residing at Noida, Ghaziabad, Agra and Meerut. Customers Factor analysis has been adopted to identify the factors of brand equity which are influencing customer purchase decisions. The study

12

concluded that dimensions of brand equity and perceived quality influence the customer purchase decisions with brand loyalty as the highest significant to customer purchase decision followed by brand awareness, brand association and perceived quality.

2.3 Theoretical Framework

Figure 2.1: Theoretical Framework

applied from Nisal Rochana Gunawardane (2015)

The Figure 2.3 illustrates the process of Brand Equity Conceptual Framework , Brand Equity can be understood as the results of some major dimensions: Brand Awareness, Brand Association, Brand Loyalty, Perceived Quality (Nisal Rochana Gunawardane 2015). The Researcher uses five variables which consist of independent and dependent variables. Perceived quality, brand awareness, brand association, and brand loyalty act as independent variable influences the purchase decision as dependent

13

variable. Perceived Quality(H1), Brand Awareness(H2), Brand Association(H3), Brand Loyalty(H4), have partial influence to purchasing decision(Y), brand equity has simultaneous Influence(H5) to purchasing decision(Y).

2.4 Hypothesis

Ha1 There is a significant influence between Perceived Quality and Purchasing Decision. Ho1 There is no significant influence between Perceived Quality and Purchasing Decision.

Ha2 There is a significant influence between Brand Awareness and Purchasing Decision. Ho2 There is no significant influence between Brand Awareness and Purchasing Decision.

Ha3 There is a significant influence between Brand Association and Purchasing Decision. Ho3 There is no significant influence between Brand Association and Purchasing Decision.

Ha4 There is a significant influence between Brand Loyalty and Purchasing Decision. Ho4 There is no significant influence between Brand Loyalty and Purchasing Decision.

Ha5 There is a significant influence between Brand Equity and Purchasing Decision. Ho5 There is no significant influence between Brand Equity and Purchasing Decision.

14

2.5 Operational Definition of Variables

Table 2.1: Operational Definition of Variables

NO Variable Definition Indicators Question

1 Brand 1. Brand Awareness is refers 1. Recall power. a) I can recall Awareness to the ability of a potential the Mattel (Nisal Rochana consumer to recall and brand (X1) Gunawardane recognize the brand, easily when 2015) linking the brand with its I am going corresponding product 2. Brand to purchase class. Consumers recognition. toys. remember brands in (Arif Nugraha (Nisal different ways, the ways Ruswidyo, Rochana started from the Herry Gunawarda recognition: consumers Hudrasyah ne 2015) have seen the brand before, 2012) recall: consumers b) I can remember the brands, to 3. Knowledge recognize ‘top of mind’; the first about the Mattel brand comes to mind, and brand. brand finally become dominant; among the 4. Position of this is the only brand other choice set. recalled. Brand equity can competing thus remarkably be 5. Recall of brands. enhanced by creating competitive (Arif awareness for the brand. brands. Nugraha (Aaker 2010, pp.10-17) (Nisal Rochana Ruswidyo, 2. “Awareness refers Gunawardane Herry to the strength of a 2015) Hudrasyah brand’s presence in 2012) the consumer’s mind. If consumers’ c) I do have

15

NO Variable Definition Indicators Question

minds were full of adequate mental billboards– knowledge each one depicting of the a single brand–then Mattel a brand’s awareness brand than would be reflected other toy in the size of its brands in billboard.” (Aaker, the market 2010, pp.10) d) The position of

the choice set is extremely high towards Mattel brand when I am going to make a purchase decision.

e) I can recall competitive brands easily when I am going to purchase Mattel toy. (Nisal Rochana Gunawarda ne 2015)

16

NO Variable Definition Indicators Question

2 Brand 1. Brand Loyalty as “theory 1. Motivate to a) I would Loyalty and guidance leadership recommend to recommend and positive behavior others. others to (X2) including, repurchase, purchase 2. Motivate to support and offer to Mattel purchase purchase which may brand what I alternative control a new potential use since I products. customer”. (Chegini 2010) also repeat 2. Customer loyalty gives 3. Usage rate. the same large contribution to a brand if 4. Motivation to brand’s value to a firm, a needed. switch. loyal customers is

absolutely important, it is (Nisal Rochana expected to predict the Gunawardane b) I do number of sales and finally 2015) positively generate profits, it is respond important not to ignore the &purchase existing loyal customers, the because it is much more alternative cheap to retain them than to product attract new customers. promoted by competitive brands.

c) I am a heavy user of Mattel product

17

NO Variable Definition Indicators Question

3. Focusing on loyalty even though segmentation provides other low strategic and tactical price insights that will assist in product are building strong brands available. (Aaker, 2010, pp.21-22). d) I will

definitely buy Mattel brand of product although its price is higher than the other brand of the product that offer similar benefits.

e) I will not buy other brands, when Mattel brand is available at the store.

(Goi Chai Lee & Leh2011)

18

NO Variable Definition Indicators Question

3 Brand 1. Brand associations as 1. Closeness to a) Mattel Associatio anything relate to the life. brand n(X3) preference of a brand. It is offerings 2. Social image the element of brand equity which are

that helps a brand to be 3. Personality close to my remembered. (Aaker 2010) feelings life style which 2. Brand association is 4. Value or motivate me anything which related to recognition. to purchase. brand in memory (Nisal Rochana (Hosseini, et al., 2013) (Nisal Gunawardane Rochana 3. A brand is a shared desirable 2015) Gunawarda and exclusive idea ne 2015) embodied in products, services, places, and or

experiences. The more this b) Mattel idea is shared by a larger brand is number of people, the more well power the brand has.” regarded by Thus, Brand Association my friends. will lead to favorable purchasing decisions for (Goi Chai the brand, and in turn, Lee & increased brand equity. Leh2011)

(Kapferer 2012) c) I purchase Mattel brand as it reflects my personal feelings.

19

NO Variable Definition Indicators Question

d) I purchase Mattel brand as it reflects my social status.

e) Brand association aspect toward Mattel brand did impact me to purchase it irrespective of other brand values is far.

(Nisal Rochana Gunawarda ne 2015)

20

NO Variable Definition Indicators Question

4 Perceived 1. Perceived quality is the 1. Product a) Functional extent to which a brand is performance features of Quality brilliant and considered to Mattel 2. Value added (X4) provide good quality of brand are features product and service in extremely comparing with the rivalry 3. Service quality good and products, Perceived quality have a 4. Quality is at the heart of what positive perception customers purchase and in impact order to generate high 5. Innovation towards quality, an understanding purchase (Nisal Rochana of what quality means to Mattel Gunawardane various customer segments brand. 2015) is required. Creating a b) Value added quality product or service is features of only a partial victory; Mattel perceptions must be created brand give a as well (Aaker, 2010, positive pp.19-20). impact

towards to purchase 2. Perceived quality is Mattel attached to consumers; a brand. perception that describes c) The the total quality of product customer (Hajipour, et al., 2013). services of Mattel brand is appreciable.

21

NO Variable Definition Indicators Question

d) Quality perception towards

Mattel brand is important factor for me to purchase a toy.

e) Technologic al innovation of Mattel brand is compelling me to purchase the brand.

(Nisal Rochana Gunawarda ne 2015)

22

NO Variable Definition Indicators Question

5 Purchasin 1. Operational definition of the 1. Problem a) The internal g Decision purchase decision can be identification and external defined that every needs and (Y) consumer has 5 stages of motivations decision making, especially 2. Search for lead that I in complex decision information think about situations: recognizing the purchase problem, research to gather Mattel brand information, evaluate 3. Evaluate product. options, and make decision options about purchases, behavior b) I use after purchase. different (Mohammad Doostar, information 4. Make purchase Maryam Kazemi Iman al resources decision Abadi, Reza Kezami Iman (such as Abadi 2012) friends)

5. Behavior after before puschase. purchase Mattel brand (Mohammad product. Doostar, Maryam c) I evaluate Kazemi Iman different Abadi, Reza brands of a Kezami Iman product. Abadi 2012) d) I consider other people’s viewpoints during my

23

NO Variable Definition Indicators Question

purchase

time.

e) It may that some unpredicted situational factors influence my purchase decision and I cancel my purchase.

f) I think about product satisfaction after purchase.

(Seyed Fathollah Amiri Aghdaie;Far had sanaei & Ali Akbar Abedi sharabiany 2014)

24

Chapter III

METHODOLOGY

3.1 Research Method

3.1.1 Quantitative method

There are two methods in doing scientific research those are qualitative and quantitative research. The differences between qualitative and quantitative research are the type of data, research process, instrument in collecting data and the purpose of research.

Qualitative method usually gathered by observations, interviews or focus groups and the data also is gathered from written documents and through case studies, it less emphasis on counting numbers of people who think or behave in certain ways and more emphasis on explaining why people think and behave in certain ways.

Quantitative method involves smaller numbers of respondents, Utilizes open-ended questionnaires or protocols, Best used to answer how and why questions. (Civicpartnership.org ,2013) 6

Quantitative observations are made using scientific tools and measurements. The results can be measured or counted, and any other person trying to quantitatively assess the same situation should end up with the same results. In Quantitative method pieces of information that can be counted mathematically, it usually gathered by surveys from large numbers of respondents selected randomly and it is analyzed using statistical methods Best used to answer what, when and who questions (Civicpartnership.org,2013). The researcher use quantitative method in conducting research.

6 Civicpartnership.org ,2013 http://www.civicpartnerships.org/docs/tools_resources/Quan_Qual%20M thods209.07.htm

25

3.2 Research Instrument

Research Instrument is the tool that used to answer the research questions that stated in the previous chapter. The Researcher intention is to gather the information from as much various sources. Data can be obtained from primary or secondary data, primary data refers to information obtained first-hand by the researcher on the variables of interest for specific purpose of the study and secondary data refer to information gathered from sources that already exist (Sekaran, Bougie, 2010).

3.2.1 Likert Scale Rating

The Likert scale is designed to examine how strongly subjects agree or disagree with statements on a five-point scale with the following anchors (Sekaran, Bougie, 2010):

Table 3.1: Likert Scale (Source: Sekaran, Bougie, 2010) The Questionnaire uses Likert Scale and all statements that express either a favorable and unfavorable attitude will be scaled through Strongly Disagree, Disagree, Neither Agree Nor Disagree, Agree, and Strongly Agree.

The figure of the questionnaire is shown below:

No. Statements 1 2 3 4 5

1

2

3

4

5

Table 3.2 : Likert Scale Questionnaire (Source: Self Developed) 26

Note: 1. For Strongly Disagree 2. For Disagree 3. For Neutral 4. For Agree 5. For Strongly Agree

Each of the five responses would have a numerical value which would be used to measure the attitude under investigation.

Likert Scales have the advantage that they do not expect a simple yes / no answer from the respondent, but rather allow for degrees of opinion, and even no opinion at all. Therefore quantitative data is obtained, which means that the data can be analyzed with relative ease.

The Validity and Reliability testing must be done before the questionnaire spreads to the respondents. Pre testing is conducted to check if the statements are proper as research instrument.

3.2.2 Data Analysis

In analyzing the data obtained, the researcher uses two major programs that are statistic-related. The first program that the researcher uses is Microsoft Excel. The employment of this program is intended to tabulate the data obtained from questionnaires distribution. It simplifies the researcher to analyze the data.

The second program is Statistical Package for Social Science (SPSS). SPSS is commonly utilized by researchers to quantitatively examine the data obtained from questionnaires distribution. It has been recognized to be helpful to investigate statistical data. 3.3 Sampling Design

3.3.1 Respondent Profile

The criteria of the respondents are the customer of Mattel toys in Jakarta. (Mall Kelapa Gading, Plaza Indonesia, Senayan City)

27

3.3.2 Sampling Data

Sampling Design is part of statistical methodology that related in taking a portion of the population. If a sampling is done correctly, statistical analysis can be used to generalize a whole population. There are two major types of sampling design: probability and non-probability sampling. In probability sampling, the elements in the population have some known non-zero chance or probability of being selected as sample subjects. In non-probability sampling, the elements do not have a known or predetermined chance of being selected as subjects (Sekaran, Bougie, 2010).In order to minimize the error of the results’ respondent, researcher used non-probability sampling technique. Base on the judgment of the researcher, the respondents are customers of Mattel toys. With this purposive sampling technique, the researcher believes that they are appropriate of the population.

3.3.3 Population

Population is all elements, individuals, or units that meet the selection criteria for a group to be studied 7 (businessdictionary.com, 2013). The Population refers to the entire group of people, events, or things of interest that the researcher wishes to investigate (Sekaran, Bougie, 2010, pp. 262). In this study, research population is focused on people in Jakarta who are Mattel consumers and had ever purchase the Mattel toys.

3.3.4 Sample

Sample is a subset of population (Sekaran, Bougie, 2010, pp. 263). In determining the sample size, the researcher refers to the theory for unknown population the sample size must be at least 4 or 5 times of the total questions used in the research. Whereas, Sekaran & Bougie (2010) suggest that sample size which are larger than 30 and less than 500 normally applicable for most research. Therefore, the researcher chooses 200 respondents as the sample for this research. Thus, researcher takes 200 samples in this

7 businessdictionary.com,2013 http://www.businessdictionary.com/definition/population.html#ixzz2ioUhBb

28

research by using the method of simple random sampling. Questionnaires then are distributed to 200 Mattel consumers in Jakarta. (Mall Kelapa Gading, Plaza Indonesia, Senayan City).There are 30 questionnaires as pre-test, 17 questionnaires are not qualified. So, the sample size is n=183.

3.4 Validity, Reliability, Correlation and Multicollinearity Test

3.4.1 Validity Test

The purpose of validity testing is to eliminate the proper question that will answer the research objectives. The Spearman rank-order correlation coefficient (Spearman’s correlation, for short) is a nonparametric measure of the strength and direction of association that exists between two variables measured on at least an ordinal scale. It is denoted by the symbol rs (or the Greek letter ρ, pronounced rho). each question of the questionnaire can be said valid if the significance level is ≤ α (0.05). df =n-Independent Variable

(df = Degree of Freedom;N=number of pretest respondents)

3.4.2 Reliability Test

The first requirement of a good instrument was reliability. The Reliability test of a measure indicates the extent to which it is without bias (error free) and hence ensures consistent measurement across the time and across the various items in the instrument. In other words, the reliability of a measure is an indication of the stability and consistency with which the instruments measures the concept and helps to assess the goodness of measure (Sekaran, Bougie, 2010). Accurate questionnaire may deflect the right question which is means when the question is asked for several times, the interpretation would be the same from one respondent to another.

Measurement of Reliability (Internal-Consistency) in this research will use the Cronbach’s Alpha Coefficient; the equation is 8 (Janzengroup.net, 2013):

8 Janzengroup.net, 2013

29

Where, k = number of items r = average correlation between any two items α = reliability of the average or sum

Cronbach's alpha Internal consistency α ≥ 0.9 Excellent 0.8 ≤ α < 0.9 Good 0.7 ≤ α < 0.8 Acceptable 0.6 ≤ α < 0.7 Questionable 0.5 ≤ α < 0.6 Poor α < 0.5 Unacceptable

Reliability can be assessed by internal consistency. This is degree to which the items that make up the scale are measuring the same underlying attribute (i.e. the extent to which the items “hang together”). Internal consistency can be measured in a number of ways. The most commonly used statistic is cronbach’s coefficient alpha. This statistic provides an indication of the average correlation among all of the items that make up the scale. Values range from 0 to 1, which higher values indicating greater reliability. While different levels of reliability are required, depend on the nature and purpose of the scale, recommends a minimum level of 0.7. (Sekaran, Bougie, 2010).

To test the reliability, we use this formula. The formula is written as:

http://www.janzengroup.net/stats/lessons/scalevar.html

30

N. r α = 1 + (N − 1)r

Where:

α=instrument reliability’s coefficient r= mean correlation coefficient between variables

N=number of question

3.4.3 Correlation

In this research, the researcher uses Spearman’s rank correlation coefficient because the nature of the data is ordered categorical data. According to Hauke (2011), Spearman’s rank correlation coefficient is used to measure the strength of the association between two variables that are nonparametric (ordinal data).

Based on statstutor.ac.uk, the interpretation of correlation strength for Spearman are “0.00-0.19” is very weak, “0.20-0.39” is weak. “0.40-0.59” is moderate, “0.60-0.79” is strong and “0.80-1.00” is very strong.

3.4.4 Multicollinearity

Multicollinearity defines as existence of nearly linear dependency among columns of the design matrix X in linear prediction model. Dekker cited in the multicollinearity can be check through correlation from the correlation table. If the data greater than 0.8 it means that it has multicollinearity, if the data is smaller than 0.8, the data does not have multicollinearity and it’s fine to be further used in this research. (Sekaran, Bougie, 2010)

3.5 Data Collection

In this research the researcher will use both primary data and secondary data . For the primary data will distributing questionnaires to 200 respondents. For the secondary data, the researcher collected it from journals, books, websites, and other sources.

31

Step 1: Determine the research time and place.

This research is surveys, data resources are from the customer of Mattel in Jarkata.

Step 2: Determine the dependent and independent variables.

As explained earlier there are one dependent variable and four independent variables in this research. The dependent variable is purchase decision , and the independent variables are perceived quality, brand awareness, brand association, brand loyalty.

Step 3: Determine the questions of every variables.

In this research, the researcher need to make 5 questions for each variable, but for purchase decision have 6 questions. It has 5 variables and the total of questions is 16.

Step 4: Determine the limitation of this research.

1) The researcher will distribute manually the questionnaire in Jakarta the mall has sale Mattel product.

2) This study is only focused on sample consist of Jakarta, Indonesia. So the result may not applicable to the other areas in Indonesia and the other country.

Step 5: Determine this research’s data are primary data.

The questionnaire is distributed manually one by one, wait for the respondents finish the questionnaire and takes the questionnaire back from the respondents.

32

3.5.1 Primary Data

Primary data is the specific information collected by the person who is doing the research. It can be obtained through clinical trials, case studies, true experiments and randomized controlled studies. This information can be analyzed by other experts who may decide to test the validity of the data by repeating the same experiments 9 (Ehow.com, 2013).

Primary data in this research of “The Impact of Brand Equity towards Purchasing Decision for Mattel company in Jakarta” is obtained directly from the questionnaires that used for survey. Questionnaires are a technique of data collection done by giving series of written statements that are consists of research variables. These questionnaires will be spread to the numbers of samples.

3.5.2 Secondary Data

Secondary data is information gathered for purposes other than the completion of a research project and Secondary data is also used to gain initial insight into the research problem 10 (steppingstones.ca, 2013). Secondary data is the data that have been already collected by and readily available from other sources. Such data are cheaper and more quickly obtainable than the primary data and also may be available when primary data cannot be obtained at all 11 (managementstudyguide.com, 2013).

Secondary data on this research is the literature studies. A literature studies is a technique of data collection based on information gathered from books and journals related to the research discussion. Data collected by learning and selecting from previous literature studies, books, journals and related websites.

9 Ehow.com (2013). http://www.ehow.com/about_4685513_primarydata_.html

10 Steppingstones.ca(2013).http://www.steppingstones.ca/artman/publish/article_60.shtml

11 Managementstudyguide.com(2013).http://www.managementstudyguide.com/secondary_data.htm

33

3.6 Hypothesis Testing

3.6.1 Binomial logistic regression

A binomial logistic regression (often referred to simply as logistic regression), predicts the probability that an observation falls into one of two categories of a dichotomous dependent variable based on one or more independent variables that can be either continuous or categorical 12 (statistics.laerd.com, 2015). A fundamental issue with the use of Likert scale items is the problematic measurement Properties of multi-choice response categories per item. Differing assumptions about measurement properties determine conflicting rules of thumb for analysing such data which the average score for the ‘disagree’ (code 2) was more positive than for the ‘undecided’ (Code 3) or ‘Agree’ (Code 4) response categories. It appears that participants found it as easy to tick ‘disagree’as ‘strongly agree’ for this item, and found it more difficult to tick ‘undecided’ or ‘agree’, whereas normally one would expect the ‘agree’ response to be more difficult to tick than ‘undecided’ or ‘disagree’. Based on such an examination, the two upmost-response categoriesof the 5-point scale were collapsed to form a 4-point scale. A subset of five items that continued to display disorderly response categories were excluded at this point, and the remaining items re-entered in an iterative sequence of exploratory and confirmatory factor analyses. Finally, WINSTEPS was utilised to re-examine both the difficulty level and level of fit (via Infit and Outfit statistics) for items forming partof the refined factor structure. (Grimbeek, Bryer, Beamish, & D’Netto, 2005).

3.6.1.1 Classification Table Binomial logistic regression estimates the probability of an event occurring. If the estimated probability of the event occurring is greater than or equal to 0.5 (better than even chance), SPSS Statistics classifies the event as occurring. If the probability is less than 0.5, SPSS Statistics classifies the event as not occurring. It is very common to use binomial logistic regression to predict whether cases can be correctly classified from the independent variables. Therefore, it becomes necessary to have a method to assess the effectiveness of the predicted classification against the actual classification.

12 statistics.laerd.com, 2015 https://statistics.laerd.com/spss-tutorials/binomial-logistic-regression-using-spss- statistics.php

34

There are many methods to assess this with their usefulness often depending on the nature of the study conducted. 13 (statistics.laerd.com, 2015).

3.6.1.2 Hosmer and Lemeshow Test

The recommended test for overall fit of a binary logistic regression model is the Hosmer and Lemeshow test, also called chi-square test. This test is considered more robust than the traditional chi-square test, particularly if continuous covariates are in the model or sample size is small (David Garson 2016).

3.6.1.3 Model Summary

In order to understand how much variation in the dependent variable can be explained by the model (the equivalent of R2 in multiple regression), called Model Summary.The Cox & Snell R Square and Nagelkerke R Square values, which are both methods of calculating the explained variation. These values are sometimes referred to as pseudo R2 values (and will have lower values than in multiple regression). However, they are interpreted in the same manner, but with more caution. (statistics.laerd.com, 2015).

3.6.1.4 Omnibus Test

The omnibus test may be interpreted as a test of the capability of all predictors in the model jointly to predict the response (dependent) variable. A finding of significance when the value is below than 0.05, meaning all independent variable has simultaneous significant to the dependent variable. (David Garson 2016)

3.6.1.5 Partial Test

This test aims to find out if there is partial significant impact of each independent variable on dependent variable. A finding of significance if the value of sig. below than 0.05, and Exp(B) shows the nature of impact whether positive or negative. (David Garson 2016)

13 statistics.laerd.com, 2015 https://statistics.laerd.com/spss-tutorials/binomial-logistic-regression-using-spss- statistics.php

35

3.7 Limitations

Researcher makes some limitations because of several reasons related to this study, such as:

1. The researcher finds it difficult to manage the questionnaires distribution. Some of them respond really fast; but in some cases, they become so ignorant and never return the questionnaires. In the end, the researcher has to find other respondents which activity has wasted lots of time already.

2. The Researcher finds it is hard to gathering data of total sales of Mattel in Jakarta, majority of Mattel product is usually doesn’t have a shop, the product sale in mall, like Kids Station, and also the ignorant from some shop owners to give data make researcher has to find other shops.

3. Another problem also arises in this study when it is time to gather the secondary data in terms of literature review. Even though Adam Kurniawan Library of President University has a wide-range collection of books, it is quite tough for the researcher to find good and updated management literatures. Consequently, the researcher has to find them in other universities’ library to support the references.

36

Chapter IV ANALYSIS AND INTERPRETATION

4.1 Corporate Profile

MATTEL, INC., incorporated on March 6, 1968, designs, manufactures, and markets a variety of toy products around the world, which are sold to its customers and directly to consumers. The Company operates through three segments: North America, which consists of the United States and Canada, International, and American Girl. The North America and International segments sells products in the Mattel Girls & Boys Brands, Fisher-Price Brands, and Construction and Arts & Crafts Brands categories. 14 (www.Mattel.com 2015)

4.1.1 Vision and Mission

Vision: Creating the Future of Play

Mission: Play Responsibility.

Mattel’s Corporate Responsibility mission is to act with integrity in all we do to bring the world safe toys that grown-ups trust and children love. We are committed to positively impacting our people, our products and our world by, playing responsibly. (Source: www.Mattel.com 2015)

4.1.2 Corporate Values

Mattel’s play values resonate through our Corporate Responsibility objectives.

Mattel’s corporate play values:

14 www.mattel.com 2015 http://corporate.mattel.com/

37

1. Play to grow: By committing to a sustainable future through efforts to work smarter and reduce our impact on the environment. 2. Play with passion: By volunteering in our communities and helping underserved children experience the joy of play. 3. Play fair: By continually encouraging the Mattel organization to align decision- making with the company’s values. 4. Play together: By working with employees, partners, vendors and regulators to bring the world safe toys that grown-ups trust and children love.

4.1.3 Corporate Product

Type Name

Infants & Preschool Blue's Clues™ Disney

Disney Games Fisher Price® Thomas & Friends™ Fisher-Price® Baby Gear Fisher-Price® Infant Toys Fisher-Price® Preschool Toys Geo Trax® Grow to Pro® Laugh & Learn™ Little People® ® Mickey Mouse Miracles & Milestones ® Power Wheels® See 'n Say® ®

38

Type Name

Girls American Girl® American Girl® Books American Girl® Magazine American Girls Collection® Barbie Doll of the World Barbie Girls® Barbie.com™ Barbie® Collector Barbie® Shop Barbie™ Pink Ticket Party Barbie™ Style ® ® Disney Games Diva Starz™ Dora Links ello™ Kitchen Play Little Mommy Loving Family™ Doll House Magic 8 Ball® Mattel Games and Puzzles Matty Collector™ My First Dollhouse™ My Meebas™ ™ Othello® Outburst® Pixel Chix®

39

Type Name

Rebound® Scene It?® ® (International) Shining Stars® Snap n' Style Snorta!® So In Style™ by Barbie® Thumbelina® Tip-It® ® Tumblin' Monkeys® UNO® View-Master®

Boys ® Batman: The Brave and the Bold™ Battle Force 5™ Blokus® DC Universe™ ESPN Toys Hot Wheels® HotWheelsCollectors.com™ HotWheelsShop.com James Cameron's Avatar™ Magic 8 Ball® ® Matchbox® Mattel Games and Puzzles Max Steel® ® Othello®

40

Type Name

Prehistoric Pets™ Rebound® Scene It?® Scrabble® (International) Shake 'n Go® Snorta!® SpongeBob SquarePants™ Tip-It® Toss Across® Tumblin' Monkeys® Tyco® R/C UNO

Grow ups & Parents Barbie® Collector Barbie® Shop Barbie™ Style Batman: The Brave and the Bold™ Blokus® DC Universe™ Fisher-Price® Fisher-Price® Baby Gear HotWheelsCollectors.com™ HotWheelsShop.com Magic 8 Ball® Masters of the Universe® Matchbox® Mattel Games and Puzzles Matty Collector™ Othello® Outburst® Rebound®

41

Type Name

Scrabble® (International) Snorta!® UNO® View-Master®

Table 4.1 Mattel Product List

(source: www.mattel.com 2015)

4.2 Data Result Analysis

The researcher spread 200 questionnaires and determines all the result of questionnaire and classifies the questionnaire whether qualified or not qualified. The researcher found outliers such as the profile and the questionnaire is filled incomplete. 183 questionnaires are qualified and 17 questionnaires are not qualified.

4.2.1 Pilot test

Before the questionnaire is distributed to the respondent, researcher conducts pilot test to 30 respondents which the results of this test will be used for validity and reliability test.

4.2.2 Validity Test

Validity test was conducted by employing SPSS to tabulate Spearman correlation matrix of the 30 questionnaires. According to the r table value by using Spearman’s r table and the degree of freedom is 26 from the difference of total pilot test and independent variable. So the value is 0.398 . Data was first arranged in Microsoft Excel and then analyzed in SPSS. The results are as followed.

df = n- independent variable

df =30-4 =26

42

Table 4.2 Validity Test Result

No. Statement Corrected R- Table Validity Item Total Value

1 Perceived Quality 1 .719 0.398 Valid 2 Perceived Quality 2 .558 0.398 Valid 3 Perceived Quality3 .483 0.398 Valid 4 Perceived Quality 4 .535 0.398 Valid 5 Perceived Quality 5 .812 0.398 Valid 6 Brand Awareness 1 .732 0.398 Valid 7 Brand Awareness 2 .405 0.398 Valid 8 Brand Awareness 3 .405 0.398 Valid 9 Brand Awareness 4 .440 0.398 Valid 10 Brand Awareness 5 .678 0.398 Valid 11 Brand Association 1 .548 0.398 Valid 12 Brand Association 2 .704 0.398 Valid 13 Brand Association 3 .734 0.398 Valid 14 Brand Association 4 .688 0.398 Valid 15 Brand Association 5 .634 0.398 Valid 16 Brand Loyalty 1 .706 0.398 Valid 17 Brand Loyalty 2 .692 0.398 Valid 18 Brand Loyalty 3 .688 0.398 Valid 19 Brand Loyalty 4 .629 0.398 Valid 20 Brand Loyalty 5 .734 0.398 Valid 21 Purchasing Decision 1 .674 0.398 Valid 22 Purchasing Decision 2 .681 0.398 Valid 23 Purchasing Decision 3 .649 0.398 Valid 24 Purchasing Decision 4 .715 0.398 Valid 25 Purchasing Decision 5 .689 0.398 Valid 26 Purchasing Decision 6 .717 0.398 Valid Source: Constructed by researcher SPSS 16

43

According to the table, all the 26 valid variables as the result of r computation did exceed the r table value which is 0.398.

4.2.3 Reliability Test Reliability test was conducted by employing SPSS and arranged data from Microsoft Excel to tabulate Cronbach’s Alpha of the research instruments. The results are as followed.

Table 4.3 Reliability Test Result

Reliability Statistics

Cronbach's Alpha N of Items

.947 26

Source: Constructed by researcher SPSS 16

Table 4.3 shows the reliability coefficient of Cronbach’s Alpha of .947 on all variables, perceived quality, brand awareness, brand association, brand loyalty and purchase decision. Which means that this parameter had a good reliability rate (over 0.9).

4.2.4 Respondent Profiles The Respondent profiles data gathered to gain insight about the characteristics of respondents in this study through the questionnaires. Data obtained were recorded as follows:

44

4.2.4.1 Gender

Gender 98 97 96 94 92 90 88 86 86 84 82 80 Male Female

Figure: 4. 1 Respondent Profiles: Gender Constructed by researcher

As it is shown in figure4.1 about respondent profiles of gender in this research, 86 people (47%) were male respondents and 97 people (53%) were female respondents. Therefore, the most respondents were female. This disparity was caused female are more tend to shop dolls and toys.

4.2.4.2 Age

Age 70 60 60 55 50 40 29 30 19 20 20 10 0 <19 years old 19 – 25 years 26 – 45 years 46 – 55 years > 55 years old old old old

Figure4.2 Respondent Profiles: Age Constructed by researcher

45

As it is described in figure 4.2 about respondent profiles of age in this research, 19 respondents (10%) were below 19 years old; 29 respondents (16%) were between 19 - 25 years old; 60 respondents (33%) were between 26 – 45 years old; 55 respondents (30%) were between 46 – 55 years old; and only 20 respondents (11%) were more than 55 years old. All in all, the group age of 26 – 45 years old and 46 – 55 years old dominate the respondent profiles in this research. The most customers are adult from 26-55 years old and more than 55 years old have 63%, they mostly buy the toys as a gift for their children, the young adult 19-25 years old and teenagers mostly for personal use or as a gift for their friends.

4.2.4.3 Marital Status

Marital Status 160 140 140 120 100 80 60 43 40 20 0 Single Married

Figure 4.3 Respondent Profiles: Marital Status Constructed by researcher

Figure 4.3 show the respondent profiles of marital status in this research, 43 respondents (23%) were single; the married status consists of 140 respondents(77%). Thus, the majority respondents were married in terms of marital status. The respondents already married usually buy toy for their children, some single respondents buy toys for personal use like hobby or collection. 46

4.2.4.4 Education

Education

100 91 90 80 70 60 50 39 40 35 30 20 16 10 2 0 Elementary Junior High Senior High Bachelor Graduate Study School School School Degree

Figure 4.4 Respondent Profiles: Education

Constructed by researcher

Table 4.4 show the respondent profiles of education background in this research, 16 respondents (9%) came from elementary school education background; 39 respondents (21%) came from junior high school education background; the senior high school education background comprises of 91 respondents (50%); 35 respondents (19%) had bachelor degree of their educational background; and only 2 respondents (1%) came from graduate study educational background. Thus, most respondents came from senior high school education background. Because of the parents of the children mostly are senior high school, bachelor degree and graduate study, some of them are only junior high school education background, some teenagers still younger than 19 years old they are only elementary school education background or junior high school education background.

47

4.2.4.5 Purpose of Purchase

Purpose of Purchase 160 149 140 120 100 80 60 40 32 20 2 0 As a gift or present for Personal use Others someone

Figure 4.5 Respondent Profiles: Purpose of Purchase

Constructed by Researcher

As it is shown in table 4.5 about the respondent profiles of purpose of purchase.149 respondents (81%) answered as a gift or present for someone; 32 respondents (17%)answered for personal use; 2 respondents (1%) answered for other use. So, as a gift or present for someone were the majority in purpose of purchase category of respondent profiles. Usually the parents are willing to buy the toys as a gift for the children. Some of the people like to buy it for personal collection and hobby.

48

4.2.4.6 Willing to spend for Mattel Product

Willing to spend for Mattel Product 140 116 120 100 80 60 37 40 27 20 1 2 0 ≤ Rp. 50,000 > Rp. 50,001 – > Rp. 200,001 –> Rp. 600,001 –> Rp. 1,000,001 200,000 600,000 1,000,000

Figure4.6 Respondent Profiles: Willing to spend for Mattel product

Constructed by researcher

As it is shown in table 4.6 about the respondent profiles of. 1 respondents (1%) answered they willing to spend less or equal Rp.50,000 for Mattel product; 27 respondents (15%)answered they willing to spend more than Rp.50,001 till Rp.200,000 for Mattel product; 116 respondents (63%) answered they willing to spend more than Rp.200,001 till Rp.600,000 for Mattel product; 37 respondents (20%) answered they willing to spend more than Rp.600,001 till Rp.1,000,000 for Mattel product; only 2 respondents (1%) answered they willing to spend more than Rp.1,000,001 for Mattel product. So, willing to spend more than Rp.200,001 till Rp.600,000 for Mattel product were the majority in purpose of purchase category of respondent profiles. Mattel toys mostly around Rp.200,000 till Rp.600,000,have some very expensive can from Rp.600,000 till Rp.1,000,000, the limited edition can over than Rp.1,000,000, the cheap one that sale less than Rp.200,000, the parents willing to spend around Rp.200,000 till Rp.600,000 for the toys ,some willing to buy better or new edition for the children willing to spend from Rp.600,000 till Rp.1,000,000,the people who for personal use willing to buy the better edition more than Rp.600,000 or more than Rp.1,000,000.

49

4.2.4.7 What kind of product from Mattel that you like the most

What kind of product from Mattel that you like the most 120 97 100

80

60 56

40

20 12 12 6 0 Barbie Hot Wheels Match Box Scrabble Others

Figure 4.7 Respondent Profiles:

What kind of product from Mattel that you like the most

Constructed by researcher

As it is shown in figure 4.2.4.7 about the respondent profiles of.97 respondents (53%) answered they like the Barbie doll most from Mattel; 56 respondents (31%) answered they like the Hot Wheels most from Mattel; 12 respondents (7%) answered they like the Match Box most from Mattel; 6 respondents (3%) answered they like the Scrabble most from Mattel; 12 respondents (7%) answered they like the others product from Mattel. So, people like the Barbie dolls from Mattel were the majority in purpose of purchase category of respondent profiles. The most famous products from Mattel is Barbie and Hot Wheels, people also like to buy the Barbie and the Hot Wheels for their children.

4.2.5 Respondent Responses Based on the questionnaires, the respondent’s assessment refers to the Perceived Quality, Brand Awareness, Brand Association, Brand Loyalty and Purchase Decision. To facilitate the assessment of the respondents, answers will be based on the Likert scales as followed:

Strongly Agree 5

50

Agree 4

Neither Agree or Disagree 3

Disagree 2

Strongly Disagree 1

4.2.5.1 Respondent Responses Assessing Perceived Quality (X1)

Perceived Quality (X1):Variable 1, Functional features of Mattel brand are extremely good and have a positive impact towards purchase Mattel brand. 90 80 80

70

60

50 45 43 40

30

20 8 10 7

0 SD D N A SA

Figure 4.8 Variable 1 Description Constructed by researcher

The distribution frequency of Variable 1 (Functional features of Mattel brand are extremely good and have a positive impact towards purchase Mattel brand.) is presented in figure 4.8 above. From the total of 183 respondents, 7 respondents (3.83%) strongly disagree with the statement; 8 respondents (4.37%) disagree with the statement; 45 respondents (24.59%) are neutral; 80 respondents (43.72%) agree with the statement; and the rest 43 respondents (23.50%) strongly agree with the statement. From the percentage, it can be summarized that most respondents (43.72%) agree and 23.50% strongly agree)have tendency to agree with the statement that Functional features of Mattel brand are extremely good and have a positive impact towards purchase Mattel brand. 51

Perceived Quality (X1):Variable 2, Value added features of Mattel brand give a positive impact towards to purchase Mattel brand. 100 83 80 66 60

40

20 15 15 4 0 SD D N A SA

Figure 4.9 Variable 2 Description Constructed by researcher

The distribution frequency of Variable 2 (Value added features of Mattel brand give a positive impact towards to purchase Mattel brand.) is presented in figure 4.9 above. From the total of 183 respondents, 4 respondents (2.19%) strongly disagree with the statement; 15 respondents (8.20%) disagree with the statement; 66 respondents (36.07%) are neutral; 83 respondents (45.36%) agree with the statement; and the rest 15 respondents (8.20%) strongly agree with the statement.

From the percentage, it can be summarized that most respondents (45.36% agree and 8.20% strongly agree)have tendency to agree with the statement that Value added features of Mattel brand give a positive impact towards to purchase Mattel brand.

52

Perceived Quality (X1):Variable 3, The customer services of Mattel brand is appreciable. 80 74 70 60 50 46 40 33 30 25 20 10 5 0 SD D N A SA

Figure 4.10 Variable 3 Description Constructed by researcher

The distribution frequency of Variable 3 (The customer services of Mattel brand is appreciable.) is presented in figure4.10 above. From the total of 183 respondents, 5 respondents (2.73%) strongly disagree with the statement; 33 respondents (18.03%) disagree with the statement; 74 respondents (40.44%) are neutral; 46respondents (25.14%) agree with the statement; and the rest 25 respondents (13.66%) strongly agree with the statement.

From the percentage, it can be summarized that most respondents (40.44% neuter ,18.03% disagree and 2.73% strongly disagree)have tendency to disagree with the statement that The customer services of Mattel brand is appreciable.

53

Perceived Quality (X1):Variable 4, Quality perception towards Mattel brand is important factor for me to purchase a toy. 80 69 70 65 60 50 40 30 25 18 20 10 6 0 SD D N A SA

Figure 4.11Variable 4 Description Constructed by researcher

The distribution frequency of Variable 4 (Quality perception towards Mattel brand is important factor for me to purchase a toy.) is presented in figure 4.11 above. From the total of 183 respondents, 6 respondents (3.28%) strongly disagree with the statement; 25 respondents (13.66%) disagree with the statement; 65 respondents (35.52%) are neutral; 69 respondents (37.70%) agree with the statement; and the rest 18 respondents (9.84%) strongly agree with the statement.

From the percentage, it can be summarized that most respondents (35.52% neuter ,13.66% disagree and 3.28% strongly disagree)have tendency to disagree with the statement that Quality perception towards Mattel brand is important factor for me to purchase a toy.

54

Perceived Quality (X1):Variable 5,Technological innovation of Mattel brand is compelling me to purchase Mattel brand., 120 97 100

80 61 60

40

20 12 11 2 0 SD D N A SA

Figure 4.12 Variable 5 Description Constructed by researcher

The distribution frequency of Variable 5 (Technological innovation of Mattel brand is compelling me to purchase Mattel brand).is presented in figure 4.12 above. From the total of 183 respondents, 2 respondents (1.09%) strongly disagree with the statement; 12 respondents (6.56%) disagree with the statement; 61 respondents (33.33%) are neutral; 97 respondents (53.01%) agree with the statement; and the rest 11 respondents (6.01%) strongly agree with the statement.

From the percentage, it can be summarized that most respondents (53.01% agree and 6.01% strongly agree)have tendency to agree with the statement that Technological innovation of Mattel brand is compelling me to purchase Mattel brand.

55

4.2.5.2 Respondent Responses Assessing Brand Awareness (X2)

Brand Awareness(X2):Variable 6, I can recall the Mattel brand easily when I am going to purchase toys. 120 99 100

80

60 43 40 25 20 11 5 0 SD D N A SA

Figure 4.13 Variable 6 Description Constructed by researcher

The distribution frequency of Variable 6 (I can recall the Mattel brand easily when I am going to purchase toys.).is presented in figure 4.13 above. From the total of 183 respondents, 5 respondents (2.73%) strongly disagree with the statement; 11 respondents (6.01%) disagree with the statement; 99 respondents (54.01%) are neutral; 43 respondents (23.50%) agree with the statement; and the rest 25 respondents (13.66%) strongly agree with the statement.

From the percentage, it can be summarized that most respondents (54.01% neutral ,6.01% disagree and 2.73% strongly disagree)have tendency to disagree with the statement that I can recall the Mattel brand easily when I am going to purchase toys.

56

Brand Awareness(X2):Variable 7, I can recognize Mattel brand among the other competing brands. 100 83 80

60 48

40 34

20 8 10

0 SD D N A SA

Figure 4.14 Variable 7 Description Constructed by researcher

The distribution frequency of Variable 7 (I can recognize Mattel brand among the other competing brands.).is presented in figure 4.14 and figure 4.2.4.14 above. From the total of 183 respondents, 8 respondents (4.37%) strongly disagree with the statement; 34 respondents (18.58%) disagree with the statement; 83 respondents (45.36%) are neutral; 48 respondents (26.23%) agree with the statement; and the rest 10 respondents (5.46%) strongly agree with the statement.

From the percentage, it can be summarized that most respondents (45.36% neutral ,18.58% disagree and 4.37% strongly disagree)have tendency to disagree with the statement that I can recognize Mattel brand among the other competing brands.

57

Brand Awareness(X2):Variable 8,I do have adequate knowledge of the Mattel brand than other toy brands in the market.

100 89 90 80 70 60 50 43 40 40 30 20 9 10 2 0 SD D N A SA

Figure 4.15Variable 8 Description Constructed by researcher

The distribution frequency of Variable 8. (I do have adequate knowledge of the Mattel brand than other toy brands in the market.).is presented in figure 4.15 above. From the total of 183 respondents, 2 respondents (1.09%) strongly disagree with the statement; 43 respondents (23.05%) disagree with the statement; 89 respondents (48.63%) are neutral; 40 respondents (21.86%) agree with the statement; and the rest 9 respondents (4.92%) strongly agree with the statement.

From the percentage, it can be summarized that most respondents (48.63% neutral ,23.50% disagree and 1.09% strongly disagree)have tendency to disagree with the statement that I do have adequate knowledge of the Mattel brand than other toy brands in the market.

58

Brand Awareness:Variable 9 ,The position of the choice set is extremely high towards Mattel brand when I am going to make a purchase decision. 120 99 100

80

60 42 40 29 20 11 2 0 SD D N A SA

Figure 4.16 Variable 9 Description Constructed by researcher

The distribution frequency of Variable 9 (The position of the choice set is extremely high towards Mattel brand when I am going to make a purchase decision.).is presented in figure 4.16 above. From the total of 183 respondents, 11 respondents (6.01%) strongly disagree with the statement; 29 respondents (15.85%) disagree with the statement; 99 respondents (54.01%) are neutral; 42 respondents (22.95%) agree with the statement; and the rest 2 respondents (1.09%) strongly agree with the statement.

From the percentage, it can be summarized that most respondents (54.10% neutral ,15.85% disagree and 6.01% strongly disagree)have tendency to disagree with the statement that The position of the choice set is extremely high towards Mattel brand when I am going to make a purchase decision.

59

Brand Awareness(X2):Variable 10, I can recall competitive brands easily when I am going to purchase Mattel toy.

80 76 70 59 60 50 40 27 30 20 9 12 10 0 SD D N A SA

Figure 4.17 Variable 10 Description Constructed by researcher

The distribution frequency of Variable 10 (I can recall competitive brands easily when I am going to purchase Mattel toy.) is presented in figure 4.17 above. From the total of 183 respondents, 9 respondents (4.92%) strongly disagree with the statement; 27 respondents (14.75%) disagree with the statement; 76 respondents (41.53%) are neutral; 59 respondents (32.24%) agree with the statement; and the rest 12 respondents (6.56%) strongly agree with the statement.

From the percentage, it can be summarized that most respondents (41.53% neutral ,14.75% disagree and 4.92% strongly disagree)have tendency to disagree with the statement that I can recall competitive brands easily when I am going to purchase Mattel toy.

60

4.2.5.3 Respondent Responses Assessing Brand Association (X3)

Brand Association(X3):Variable 11, Mattel brand offerings which are close to my life style which motivate me to purchase. 80 76 70 63 60 50

40 31 30 20 10 10 3 0 SD D N A SA

Figure 4.18 Variable 11 Description Constructed by researcher

The distribution frequency of Variable 11 (Mattel brand offerings which are close to my life style which motivate me to purchase.) is presented in figure 4.18 above. From the total of 183 respondents, 3 respondents (1.64%) strongly disagree with the statement; 10 respondents (5.46%) disagree with the statement; 63 respondents (34.43%) are neutral; 76 respondents (41.53%) agree with the statement; and the rest 31 respondents (16.94%) strongly agree with the statement.

From the percentage, it can be summarized that most respondents (41.53% agree and 16.94% strongly agree)have tendency to agree with the statement that Mattel brand offerings which are close to my life style which motivate me to purchase.

61

Brand Association (X3) :Variable 12, Mattel brand is well regarded by my friends. 80 75

70 62 60 50 40 30 24 19 20

10 3 0 SD D N A SA

Figure 4.19 Variable 12 Description Constructed by researcher

The distribution frequency of Variable 12 (I do positively respond &purchase the alternative product promoted by competitive brands.) is presented in figure 4.19 above. From the total of 183 respondents, 8 respondents (4.37%) strongly disagree with the statement; 38 respondents (20.77%) disagree with the statement; 91respondents (49.73%) are neutral; 41 respondents (22.40%) agree with the statement; and the rest 5 respondents (2.73%) strongly agree with the statement.

From the percentage, it can be summarized that most respondents (49.73% neutral ,20.77% disagree and 4.37% strongly disagree)have tendency to disagree with the statement that I do positively respond &purchase the alternative product promoted by competitive brands.

62

Brand Association(X3):Variable 13, I purchase Mattel brand as it reflects my personal feelings.

100 91

80

60 38 41 40

20 8 5 0 SD D N A SA

Figure 4.20 Variable 13 Description Constructed by researcher

The distribution frequency of Variable 13 (I purchase Mattel brand as it reflects my personal feelings.) is presented in figure 4.20 above. From the total of 183 respondents, 8 respondents (4.37%) strongly disagree with the statement; 38 respondents (20.77%) disagree with the statement; 91 respondents (49.73%) are neutral; 41 respondents (22.40%) agree with the statement; and the rest 5 respondents (2.73%) strongly agree with the statement.

From the percentage, it can be summarized that most respondents (49.73% neutral ,20.77% disagree and 4.37% strongly disagree)have tendency to disagree with the statement that I purchase Mattel brand as it reflects my personal feelings.

63

Brand Association(X): Variable 14, I purchase Mattel brand as it reflects my social status. 120 105 100

80

60 38 40 24 20 9 7 0 SD D N A SA

Figure 4.21Variable 14 Description Constructed by researcher

The distribution frequency of Variable 14 (I purchase Mattel brand as it reflects my social status.) is presented in figure 4.21above. From the total of 183 respondents, 9 respondents (4.92%) strongly disagree with the statement; 38 respondents (20.77%) disagree with the statement; 105 respondents (57.38%) are neutral; 24 respondents (13.11%) agree with the statement; and the rest 7 respondents (3.83%) strongly agree with the statement.

From the percentage, it can be summarized that most respondents (57.38% neutral ,20.77% disagree and 4.92 % strongly disagree)have tendency to disagree with the statement that I purchase Mattel brand as it reflects my social status.

64

Brand Association(X3):Variable15, Brand association aspect toward Mattel brand did impact me to purchase it irrespective of other brand values is far. 120 96 100

80

60 39 40 32

20 7 9 0 SD D N A SA

Figure 4.22 Variable 15 Description Constructed by researcher

The distribution frequency of Variable 15 (Brand association aspect toward Mattel brand did impact me to purchase it irrespective of other brand values is far.) is presented in figure 4.22 above. From the total of 183 respondents, 7 respondents (3.83%) strongly disagree with the statement; 32 respondents (17.49%) disagree with the statement; 96 respondents (52.46%) are neutral; 39 respondents (21.31%) agree with the statement; and the rest 9 respondents (4.91%) strongly agree with the statement.

From the percentage, it can be summarized that most respondents (52.46% neutral ,21.31% disagree and 4.91 % strongly disagree)have tendency to disagree with the statement that Brand association aspect toward Mattel brand did impact me to purchase it irrespective of other brand values is far.

65

4.2.5.4 Respondent Responses Assessing Brand Loyalty (X4)

Brand Loylty (X4):Variable 16, I would recommend others to purchase Mattel brand what I use since I also repeat the same brand if needed. 90 77 80 70 57 60 50 40 28 30 20 14 7 10 0 SD D N A SA

Figure 4.23 Variable 16 Description Constructed by researcher

The distribution frequency of Variable 16 (I would recommend others to purchase Mattel brand what I use since I also repeat the same brand if needed.) is presented in figure 4.23 above. From the total of 183 respondents, 7 respondents (3.83%) strongly disagree with the statement; 14 respondents (7.65%) disagree with the statement; 57 respondents (31.15%) are neutral; 77 respondents (42.08%) agree with the statement; and the rest 28 respondents (15.30%) strongly agree with the statement.

From the percentage, it can be summarized that most respondents (42.08% agree and 15.30% strongly agree)have tendency to agree with the statement that I would recommend others to purchase Mattel brand what I use since I also repeat the same brand if needed.

66

Brand Loyalty(X4):Variable 17, I do positively respond &purchase the alternative product promoted by competitive brands.

80 73 70 66 60 50 40

30 23 20 17 10 4 0 SD D N A SA

Figure 4.24 Variable 17 Description Constructed by researcher

The distribution frequency of Variable 17 (I do positively respond &purchase the alternative product promoted by competitive brands.) is presented in figure 4.2.4.17 above. From the total of 183 respondents, 4 respondents (2.19%) strongly disagree with the statement; 17 respondents (9.29%) disagree with the statement; 66 respondents (36.07%) are neutral; 73 respondents (39.89%) agree with the statement; and the rest 23 respondents (12.57%) strongly agree with the statement.

From the percentage, it can be summarized that most respondents(39.89% agree and 12.57% strongly agree)have tendency to agree with the statement that I do positively respond &purchase the alternative product promoted by competitive brands.

67

Brand Loyalty(X4): Variable 18, I am a heavy user of Mattel product even though other low price product are available. 80 74 70 60 56 50

40 33 30 20 17

10 3 0 SD D N A SA

Figure 4.25 Variable 18 Description Constructed by researcher

The distribution frequency of Variable 18 (I am a heavy user of Mattel product even though other low price product are available.) is presented in figure 4.25 above. From the total of 183 respondents, 3 respondents (1.64%) strongly disagree with the statement; 17 respondents (9.29%) disagree with the statement; 56 respondents (30.60%) are neutral; 74 respondents (40.44%) agree with the statement; and the rest 33 respondents (18.03%) strongly agree with the statement.

From the percentage, it can be summarized that most respondents(40.44% agree and 18.03% strongly agree)have tendency to agree with the statement that I am a heavy user of Mattel product even though other low price product are available.

68

Brand Loylaty(X4):Variable 19,I will definitely buy Mattel brand of product although its price is higher than the other brand of the product that offer similar benefits. 90 78 80 70 60 50 50 39 40 30 20 13 10 3 0 SD D N A SA

Figure 4.26 Variable 19 Description Constructed by researcher

The distribution frequency of Variable 19 (I will definitely buy Mattel brand of product although its price is higher than the other brand of the product that offer similar benefits.) is presented in figure 4.26 above. From the total of 183 respondents, 3 respondents (1.64%) strongly disagree with the statement; 13 respondents (7.10%) disagree with the statement; 50 respondents (27.32%) are neutral; 78 respondents (42.62%) agree with the statement; and the rest 39 respondents (21.31%) strongly agree with the statement.

From the percentage, it can be summarized that most respondents(42.62% agree and 21.31% strongly agree)have tendency to agree with the statement that I will definitely buy Mattel brand of product although its price is higher than the other brand of the product that offer similar benefits.

69

Brand Loylaty(X4):Variable 20, I will not buy other brands, when Mattel brand is available at the store. 80 74 70

60 53 50 42 40 30

20 12 10 2 0 SD D N A SA

Figure 4.27 Variable 20 Description Constructed by researcher

The distribution frequency of Variable 20 (I will not buy other brands, when Mattel brand is available at the store.) is presented in figure 4.27 above. From the total of 183 respondents, 2 respondents (1.09%) strongly disagree with the statement; 12 respondents (6.56%) disagree with the statement; 42 respondents (22.95%) are neutral; 74 respondents (40.44%) agree with the statement; and the rest 53 respondents (28.96%) strongly agree with the statement.

From the percentage, it can be summarized that most respondents(40.44% agree and 28.96% strongly agree)have tendency to agree with the statement that I will not buy other brands, when Mattel brand is available at the store.

70

4.2.5.5 Respondent Responses Assessing Purchase Decision (Y)

Purchase decision(Y):Variable 21, The internal and external needs and motivations lead that I think about purchase Mattel brand product. 80 76 70 60 50 46 40 30 30 26 20 10 5 0 SD D N A SA

Figure 4.28 Variable 21 Description Constructed by researcher

The distribution frequency of Variable 21 (The internal and external needs and motivations lead that I think about purchase Mattel brand product.) is presented in figure 4.27 above. From the total of 183 respondents, 5 respondents (2.73%) strongly disagree with the statement; 26 respondents (14.21%) disagree with the statement; 46 respondents (25.14%) are neutral; 76 respondents (41.53%) agree with the statement; and the rest 30 respondents (16.39%) strongly agree with the statement.

From the percentage, it can be summarized that most respondents(41.53% agree and 16.39% strongly agree)have tendency to agree with the statement that The internal and external needs and motivations lead that I think about purchase Mattel brand product.

71

Purchasing Decision(Y2):Variable 22, I use different informational resources (such as friends) before purchase Mattel brand product. 90 78 80 70 60 50 44 37 40 30 18 20 10 6 0 SD D N A SA

Figure 4.29 Variable 22 Description Constructed by researcher

The distribution frequency of Variable 22 (I use different informational resources (such as friends) before purchase Mattel brand product.) is presented in figure 4.28 above. From the total of 183 respondents, 6 respondents (3.28%) strongly disagree with the statement; 18 respondents (9.84%) disagree with the statement; 44 respondents (24.04%) are neutral; 78 respondents (42.62%) agree with the statement; and the rest 37 respondents (20.22%) strongly agree with the statement.

From the percentage, it can be summarized that most respondents(42.62% agree and 20.22% strongly agree)have tendency to agree with the statement that I use different informational resources (such as friends) before purchase Mattel brand product.

72

Purchase Decision(Y3):Variable23 ,I evaluate different brands of a product. 70 65 60 57 50 40 37

30 22 20

10 2 0 SD D N A SA

Figure 4.30 Variable 23 Description Constructed by researcher

The distribution frequency of Variable 23 (I evaluate different brands of a product.) is presented in figure 4.29 above. From the total of 183 respondents, 2 respondents (1.09%) strongly disagree with the statement; 22 respondents (12.02%) disagree with the statement; 57 respondents (31.15%) are neutral; 65 respondents (35.52%) agree with the statement; and the rest 37 respondents (20.22%) strongly agree with the statement.

From the percentage, it can be summarized that most respondents(35.52% agree and 20.22% strongly agree)have tendency to agree with the statement that I evaluate different brands of a product.

73

Purchasing Decision(Y4):Variable 24, I consider other people’s viewpoints during my purchase time. 80 68 70 66 60 50 40 29 30 20 15 10 5 0 SD D N A SA

Figure 4.31 Variable 24 Description Constructed by researcher

The distribution frequency of Variable 24 (I consider other people’s viewpoints during my purchase time.) is presented in figure 4.30 above. From the total of 183 respondents, 5 respondents (2.73%) strongly disagree with the statement; 15 respondents (8.20%) disagree with the statement; 66 respondents (36.07%) are neutral; 68 respondents (37.16%) agree with the statement; and the rest 29 respondents (15.85%) strongly agree with the statement.

From the percentage, it can be summarized that most respondents(37.16% agree and 15.85% strongly agree)have tendency to agree with the statement that I consider other people’s viewpoints during my purchase time.

74

Purchasing Decision(Y5):Variable 25, It may that some unpredicted situational factors influence my purchase decision and I cancel my purchase. 90 77 80 70 60 47 50 43 40 30 20 14 10 2 0 SD D N A SA

Figure 4.32 Variable 25 Description Constructed by researcher

The distribution frequency of Variable 24 (It may that some unpredicted situational factors influence my purchase decision and I cancel my purchase.) is presented in figure 4.2.4.49 and figure 4.31 above. From the total of 183 respondents, 2 respondents (1.09%) strongly disagree with the statement; 14 respondents (7.65%) disagree with the statement; 47 respondents (25.68%) are neutral; 77 respondents (42.08%) agree with the statement; and the rest 43 respondents (23.50%) strongly agree with the statement.

From the percentage, it can be summarized that most respondents(42.08% agree and 23.50% strongly agree)have tendency to agree with the statement that It may that some unpredicted situational factors influence my purchase decision and I cancel my purchase.

75

Purchasing Decision(Y6):Variable 26, I think about product satisfaction after purchase.

120 104 100

80 60 60

40

20 9 7 2 0 SD D N A SA

Figure 4.33 Variable 26 Description Constructed by researcher

The distribution frequency of Variable 26 (I think about product satisfaction after purchase.) is presented in figure 4.32 above. From the total of 183 respondents, 2 respondents (1.09%) strongly disagree with the statement; 9 respondents (4.95%) disagree with the statement; 60 respondents (32.97%) are neutral; 104 respondents (57.14%) agree with the statement; and the rest 7 respondents (3.85%) strongly agree with the statement.

From the percentage, it can be summarized that most respondents(57.14% agree and 3.85% strongly agree)have tendency to agree with the statement that I think about product satisfaction after purchase.

4.2.6 Descriptive Statistics

4.2.6.1 Correlation Analysis

In this correlation analysis, researcher would like to discuss about correlation of each variable using Spearman Rank Order Correlation.

76

Table 4.4 Spearman Rank Order Correlations

Correlations

PQL BAW BAS BLY PDC

Spearman's rho PQL Correlation Coefficient 1.000 .530** .660** .658** .680**

Sig. (2-tailed) . .000 .000 .000 .000

N 183 183 183 183 183

BAW Correlation Coefficient .530** 1.000 .518** .745** .505**

Sig. (2-tailed) .000 . .000 .000 .000

N 183 183 183 183 183

BAS Correlation Coefficient .660** .518** 1.000 .663** .577**

Sig. (2-tailed) .000 .000 . .000 .000

N 183 183 183 183 183

BLY Correlation Coefficient .658** .745** .663** 1.000 .762**

Sig. (2-tailed) .000 .000 .000 . .000

N 183 183 183 183 183

PDC Correlation Coefficient .680** .505** .577** .762** 1.000

Sig. (2-tailed) .000 .000 .000 .000 .

N 183 183 183 183 183

**. Correlation is significant at the 0.01 level (2-tailed). (Source: Constructed Using SPSS 16)

The correlation between each variable from the table 4.4 above shows:

1. The correlation between variable perceived quality and purchase decision is significant. The strength of correlation is 0.680 indicated as strong. The nature of the correlation is positive, meaning when the variable perceived quality increases, the purchase decision variable will also increase. Applies also when the purchase decision variable increase, then the perceived quality will also increase. 2. The correlation between variable brand awareness and variable purchase decision is significant. The strength of correlation is 0.505 indicated as strong. The nature of the correlation is positive, meaning when the variable brand awareness 77

increases, the purchase decision variable will also increase. Applies also when the variable increase, then the brand awareness variable will also increase. 3. The correlation between variable brand association and variable purchase decision is significant. The strength of correlation is 0.577 indicated as strong. The nature of the correlation is positive, meaning when the variable brand association increases, the purchase decision variable will also increase. Applies also when the variable increase, then the brand association variable will also increase. 4. The correlation between variable brand loyalty and variable purchase decision is significant. The strength of correlation is 0.762 indicated as strong. The nature of the correlation is positive, meaning when the variable brand loyalty increases, the purchase decision variable will also increase. Applies also when the variable increase, then the brand loyalty variable will also increase.

4.2.6.2 Multicollinearity 1. There is no multicollinearity between perceived quality and purchasing decision since the strength of the correlation is 0.680. Multicolinearity occurs when the correlation is above 0.80. It means the data is valid. 2. There is no multicollinearity between those variables since the strength of the correlation from each variables are below 0.80 which means the data are valid to be used for further research. The variable that has strongest correlation toward purchasing decision is brand loyalty with 0.762 strength.

78

4.3. Binomial Regression Logistic Analysis

4.3.1 Output: Overall Percentage

Table 4.5 Classification Table Step 0

Classification Tablea,b

Predicted

PDC1 Percentage Observed Disagree Agree Correct

Step 0 PDC1 Disagree 0 38 .0

Agree 0 145 100.0

Overall Percentage 79.2

a. Constant is included in the model.

b. The cut value is .500 (Source: Constructed Using SPSS 16)

The table 4.5 shows the empirical dependent variable data where the amount of sample “disagree” 38 people and “agree” 145 people. The amount of sample is 183 people. Therefore the overall percentage before independent variable is included into the model is 145/183 = 79.2%

Table 4.6 Classificiation table adding 1 Independent Variable

Classification Tablea

Predicted

PDC1 Percentage Observed Disagree Agree Correct

Step 1 PDC1 Disagree 26 12 68.4

Agree 16 129 89.0

Overall Percentage 84.7

a. The cut value is .500

(Source: Constructed Using SPSS 16)

79

The table 4.3.1.2 shows the empirical dependent variable after adding 1 independent variable which is perceived quality. The amount of sample is 183, therefore the overall percentage after adding 1 variable perceived quality into the model (26+129)/183 = 84.7% it means the model improve 5.5%.

Table 4.7 Classificiation table adding all Independent Variable

Classification Tablea

Predicted

PDC1 Percentage Observed Disagree Agree Correct

Step 1 PDC1 Disagree 27 11 71.1

Agree 5 140 96.6

Overall Percentage 91.3

a. The cut value is .500 (Source: Constructed Using SPSS 16)

The table 4.7 shows the overall percentage after adding all independent variable (27+140)/183 = 91.3%. It increased 12.1% from before adding independent variable. Therefore the precision of the model is 91.3%.

4.3.2 Hosmer and Lemeshow Test

Table 4.8 Hosmer and Lemeshow test

Hosmer and Lemeshow Test

Step Chi-square Df Sig.

1 3.896 4 .420

(Source: Constructed Using SPSS 16)

According to the Hosmer and Lemeshow indicates the extent to which the model provides better fit than a null model with no predictions, or, in a different interpretation, how well the model fits the data, as in log-linear modeling. The value

80

of significance has to be above 0.05 to be adequate. In here the significance value is 0.420. So the model of this research is adequate.

4.3.3 Pesudo R Square

Table 4.9 Pesudo R Square

Model Summary

Cox & Snell R Nagelkerke R Step -2 Log likelihood Square Square

1 93.117a .401 .627

a. Estimation terminated at iteration number 6 because parameter estimates changed by less than .001. (Source: Constructed Using SPSS 16)

In table 4.9 Cox & Snell R Square shows 0.401 Nagelkerke R Square shows 0.627 which indicates the ability of independent variables in explaining the dependent variable is suggesting between 40.1% and 62.7% and there is 100% - 62.7% = 37.3% other factors exclude in this model which could explain the dependent variable.

4.3.4 Omnibus Test

Table 4.10 Omnibus Test

Omnibus Tests of Model Coefficients

Chi-square Df Sig.

Step 1 Step 93.846 4 .000

Block 93.846 4 .000

Model 93.846 4 .000

(Source: Constructed Using SPSS 16)

In Ominbus table 4.10, the Chi-square shows 93.846 on 4 degree of freedom. This Chi-square, 93.864 > Chi-square distribution table on 4 degree of freedom (9.488) or with a significance of 0.00 (< 0.05) to reject H05. It indicates that the addition of independent variables could impact significantly to dependent variable. Therefore

81

there is simultaneous significant impact of perceived quality, brand awareness, brand association, and brand loyalty toward purchasing decision.

4.3.5 Output (Perceived Quality, Brand Awareness, Brand Association, Brand Loyalty)

Table 4.11 Variables in the Equation

Variables in the Equation

B S.E. Wald Df Sig. Exp(B)

Step 1a PQL1 1.622 .634 6.543 1 .011 5.063

BAW1 .940 .660 2.027 1 .155 2.559

BAS1 .536 .654 .672 1 .412 1.710

BLY1 2.861 .722 15.689 1 .000 17.476

Constant -2.432 .604 16.224 1 .000 .088 a. Variable(s) entered on step 1: PQL1, BAW1, BAS1, BLY1.

(Source: Constructed Using SPSS 16)

1. The significant value of perceived quality is 0.011 below 0.05, shows that perceived quality has partial significant impact toward purchasing decision. 2. The significant value of brand awareness is 0.155 above 0.05, shows that brand awareness doesn’t has significant impact toward purchasing decision. 3. The significant value of brand association is 0.412 above 0.05, shows that brand association doesn’t has significant impact toward purchasing decision. 4. The significant value of brand loyalty is 0.000 below 0.05, shows that brand loyalty has significant impact toward purchasing decision.

From table above result analysis can be conclude that:

1. The Exp(B) of perceived quality is 5.063 which is >1. It means perceived quality has positive impact toward dependent variable, purchasing decision. Therefore in every agreement from respondent in perceived quality will increase the probability of the respondent to purchase by approximately 5.063 times more than who choose disagree. 2. The Exp(B) of brand loyalty is 17.476 which is >1. It means brand loyalty has positive impact toward dependent variable, purchasing decision. Therefore in 82

every agreement from respondent in brand loyalty will increase the probability of the respondent to purchase by approximately 17.476 times more than who choose disagree.

4.4 Interpretation of Result

4.4.1 Perceived Quality toward Purchase Decision of Mattel in Jakarta

Based on findings in Variables in the Equation table, the perceived quality has a significant impact towards purchase decision of Mattel which is .011. While every agreement of respondents in perceived quality will increase probability for respondent to purchase Mattel product by approximately 5.063 times more than who disagree. It means that when respondents choose to agree, there are possibilities around 5.063 times for them to purchase Mattel product. So researcher believes the higher the perceived quality of Mattel, it will increase the customer purchase from Mattel.

4.4.2 Brand Awareness toward Purchase Decision of Mattel in Jakarta

Based on findings in Variables in the Equation table, the brand awareness doesn’t has a significant impact towards purchase decision of Mattel which is .155.

4.4.3Brand Association toward Purchase Decision of Mattel In Jakarta

Based on findings in Variables in the Equation table, the brand association doesn’t has a significant impact towards purchase decision of Mattel which is .412.

4.4.4 Brand loyalty toward Purchase Decision of Mattel Jakarta

Based on findings in Variables in the Equation table, the brand loyalty has a significant impact towards purchase decision of Mattel which is .000. While every agreement of respondents in brand loyalty will increase probability for respondent to purchase Mattel product by approximately 17.476 times more than who disagree. It means that when respondents choose to agree, there are possibilities around 17.476 times for them to purchase Mattel product. So researcher believes the higher the brand loyalty of Mattel, it will increase the customer purchase from Mattel.

83

Chapter V CONCLUSIONS AND RECOMMENDATIONS

In this end chapter of the research, the researcher will make conclusion and recommendation developed from the analysis, specifically about the impact of brand equity on purchase decision for Mattel in Jakarta. The analysis is conducted to discover the specifically impact of perceived quality, brand awareness, brand associations and brand loyalty on consumer purchase decision. 5.1 Conclusions

Based on the research about the impact of perceived quality, brand awareness, brand associations and brand loyalty on consumer purchase decision of Mattel in Jakarta, the conclusions are obtained as follows:

From the results shows that two of the regression coefficient is significant and two of the regression coefficient is not significant. The conclusion is as follows:

1. The significant value of perceived quality is 0.011 which is the proof that it is less than 0.05. It makes the null hypothesis is rejected thus can be concluded that the perceived quality variable has a significant impact on purchase decision . 2. The significant value of brand awareness is 0.155 which is the proof that it is more than 0.05. It makes the null hypothesis is accepted thus can be concluded that the brand awareness variable doesn’t has a significant impact on purchase decision . 3. The significant value of brand association is 0.412 which is the proof that it is more than 0.05. It makes the null hypothesis is accepted thus can be concluded that the brand association variable doesn’t has a significant impact on purchase decision . 4. The significant value of brand loyalty is 0.000 which is the proof that it is less than 0.05. It makes the null hypothesis is rejected thus can be concluded that the brand loyalty variable has a significant impact on purchase decision .

84

5.2 Recommendations

Based on the conclusions obtained in this study, the recommendations proposed as a complement to the results of the study as follows:

5.2.1 For Mattel

Base on the research in chapter 4 , the population willing to spend Rp200,000 till Rp600,000 or less than Rp200,000 for Mattel product are 144. Mattel’s toy is always have a high price. Mattel with the competitors almost have the same level price, Mattel should improve their technology, while keep a good quality also have lower a price, there will be more people to spend money for their product.

5.2.2 For Future Research

For future studies it is advisable to look for another different populations and the wider population this study. The sample used should also be much more than the sample in this study, thus further research can further provide a more specific on the effect of perceived quality, brand awareness, brand associations, and brand loyalty on purchase decision.

85

REFERENCES

Books

Aaker, D. A. (2010).Building Strong Brands. London, Great Britain: Simon & Schuster UK Ltd. Kapferer, Jean-Noel (2012).The New Strategic Brand Management: Advanced Insights and Strategic Thinking 5th edition. London: Kogan Page.

Kotler, Philip; Armstrong, Gary; Wong Veronica. 2008. Principles of Marketing. Prenctice Hall International: 5th European edition: Essex

Sekaran,Uma (2010). Research Method for Business: Uma Sekaran & Roger Bougie. 5thedition: Springer G. David Garson (2016). Statistical Associates Publishing: Partial least squares (PLS-SEM) ISBN-10: 1626380392 ISBN-13: 978-1-62638-039-4

Journals Alamgir, Nasir, Shamsuddoha, and Nedelea (2010).Influence of Brand Name on Consumer Decision Making Process- An Empirical Study on Car Buyers. The Journal of The "Ştefan cel Mare" University of Suceava.Vol. 10, No. 2(12), 2010 Ashkan Pakseresht(2010) Brand equity and corporate responsibility - A review of brand valuation methods Degree thesis No 629 · ISSN 1401-4084 Chegini, Mehrdad Goudarzvand (2010). Customer loyalty and value key dimensions interaction in organization, China-USA Business Review, Vol. 9, Iss. 8, pp. 8-14. Grimbeek, P., Bryer, F., Beamish, W., & D’Netto, M. (2005). Use of data collapsing strategies to identify latent variables in questionnaire data: Strategic management of Junior and Middle School data on the CHP questionnaire.

Hajipour, Bavarsad, Zarei (2013). Effect of Marketing Factors on Brand RelationshipEquity and Affects the Customers’ Purchase Intention. Journal of Management Research. 2013, Vol. 5, No. 1 Hosseini, Mohemi, Abazari, Nikanloo (2013). The Evaluation of Effects Factors on Brand Equity of Binalood Company From the consumer's perspective Advances in Environmental Biology, 7(9): 2054-2058, 2013

86

Kimpakorn N. and Tocquer G. (2010). Service brand equity and employee brand commitment. Journal of Services Marketing, 24/5 ,378–388

Lee, G. C & Leh, F. C. Y. 2011. Dimensions of Customer -Based Brand Equity: A Study on Malaysian Brands. Jounal of Marketing Research and Case Study. Mohammad Doostar, Maryam Kazemi Iman Abadi, Reza Kazemi Iman Abadi (2012) Impact of Brand Equity on Purchase Decision of Final Consumer Focusing on Products with Low Mental Conflict J. Basic Appl. Sci. Res. 2012 2(10): 10137-10144 Nisal Rochana Gunawardane (2015)Impact of Brand Equity towards Purchasing Desition: A Situation on Mobile Telecommunication Services of Sri Lanka Journal of Marketing Management June 2015, Vol. 3, No. 1 Seyed Fathollah Amiri Aghdaie, Farhad sanaei, Ali Akbar Abedi sharabiany(2014) Investigating the Effects of Involvement on Consumer Decision Process Vol 10, No 22 (2014)

Tariq M.I. Humayon A.A. Bhutta M.H. and Danish R.Q.2014 Impact of Effective Advertisement on Brand Equity and Brand Switching Behavior; Study of Food and Beverages Industry in Emerging Market Research Journal of Recent Sciences ISSN 2277-2502 Vol. 3(6), 40-45, June (2014)

Internet Articles

Businessdictionary.com (2013).Population. From http://www.businessdictionary.com/definition/population.html#ixzz2io UhBb Civicpartnership.org (2013).Quantitative and Qualitative Method. From http://www.civicpartnerships.org/docs/tools_resources/Quan_Qual%20M thods209.07.htm

Ehow.com (2013).Primary Data. From http://www.ehow.com/about_4685513_primarydata_.html

International toy market report (2015),Background. From

http://www.chyxx.com/research/201501/302113.html

Janzengroup.net (2013).Reliability. From http://www.janzengroup.net/stats/lessons/scalevar.html

Mattel.com (2015).Company profile .From

87

http://corporate.mattel.com/ Qualtrics.com (2013).Sample Size. From http://www.qualtrics.com/blog/determining sample-size/ Seeking alpha.com(2015) Background. From http://seekingalpha.com/article/3261325-toy-wars-mattel-vs-hasbro?page=2 Statistics.laerd.com (2013).Binomial logistic regression.From

https://statistics.laerd.com/spss-tutorials/binomial-logistic-regression-using- spss- statistics.php Steppingstones.ca (2013).Secondary data. From http://www.steppingstones.ca/artman/publish/article_60.shtml

Toys and Games in Indonesia report 2015 From http://www.euromonitor.com/toys-and-games-in-indonesia/report

88

APPENDIX 1 : Raw Data Material

Questions PQ PQ PQL PQL PQL BAW BAW BAW BAW BAW BAS BAS BAS BAS BAS R L1 L2 3 4 5 1 2 3 4 5 1 2 3 4 5 1 4 4 3 3 5 4 3 3 3 2 5 5 3 3 3 2 5 4 3 3 4 4 2 3 3 3 4 3 3 3 3 3 5 4 3 3 4 4 3 2 3 3 4 3 4 3 4 4 4 5 2 4 4 3 4 3 3 3 3 3 3 3 4 5 4 3 3 3 4 3 3 3 3 3 3 2 3 3 4 6 4 3 3 5 4 4 3 3 3 4 3 3 3 3 4 7 3 3 2 1 2 3 2 2 1 1 3 2 2 3 2 8 5 4 4 4 4 3 2 3 3 3 3 5 4 3 5 9 4 4 4 3 4 3 3 2 4 3 4 3 3 2 3 10 3 3 4 4 4 3 3 3 3 4 2 3 2 2 2 11 4 4 2 3 3 3 3 3 4 3 4 3 2 2 2 12 2 1 1 2 1 1 1 2 1 1 2 1 1 1 1 13 2 4 3 3 3 3 2 2 2 2 3 2 2 2 2 14 5 3 1 3 4 3 3 2 2 4 4 4 3 3 3 15 3 4 4 4 4 3 1 3 2 3 5 4 3 3 4 16 3 4 5 3 4 2 2 3 3 3 4 4 3 3 3 17 3 3 4 2 4 3 3 3 4 2 4 3 3 3 3 18 4 4 4 3 4 3 3 3 2 2 4 3 2 3 4 19 3 2 3 2 3 2 3 2 2 2 3 3 2 3 3 20 4 4 3 4 3 4 2 3 4 3 4 3 3 3 3 21 3 3 2 4 3 1 2 3 3 2 3 2 3 2 2 22 4 3 5 4 4 3 3 3 3 3 3 3 2 3 3 23 3 3 3 2 3 3 2 3 3 3 3 4 2 3 3 24 3 3 3 3 3 3 2 3 2 2 3 3 2 3 4 25 4 4 2 3 4 2 3 2 1 2 4 3 3 2 3 26 5 4 5 4 4 3 3 2 1 2 4 4 3 3 4 27 3 2 4 4 4 3 3 3 3 3 2 2 2 3 2 28 5 3 5 5 5 4 4 3 4 5 5 4 5 5 3 29 3 2 3 4 4 3 3 3 4 3 3 3 2 2 3 30 5 4 5 5 5 3 3 3 3 4 5 4 3 4 4 31 4 4 3 3 4 3 4 4 3 4 4 3 4 3 3 32 3 4 4 4 4 3 4 4 4 4 4 4 3 4 3 33 5 4 5 3 3 3 3 3 5 4 3 3 3 3 4 34 5 4 4 4 4 4 4 5 4 4 4 4 3 3 3 35 3 4 2 4 4 2 3 4 4 3 4 3 3 3 3 36 1 3 5 2 3 3 2 4 3 3 3 3 2 3 2 37 5 4 4 2 4 3 3 4 3 4 3 3 1 3 2 38 1 4 2 3 3 2 2 3 3 3 3 2 1 2 2 39 1 2 1 2 2 1 1 2 2 2 2 1 1 1 1 40 4 2 3 4 4 3 2 4 4 3 3 3 2 3 3 41 4 4 4 2 4 4 2 3 4 3 3 3 2 3 3 42 3 3 4 4 3 3 2 4 3 2 3 3 3 3 3

89

43 4 4 3 3 4 3 3 4 3 3 4 3 3 3 3 44 4 3 3 3 4 4 2 4 3 3 4 3 3 4 3 45 5 4 4 4 4 4 3 3 3 3 5 4 3 3 3 46 5 3 5 3 4 4 3 3 3 5 4 4 4 3 3 47 4 4 4 3 4 3 2 3 3 4 3 4 3 3 3 48 4 2 5 3 3 2 2 4 2 1 4 3 3 3 3 49 3 3 4 3 3 3 2 4 4 3 3 3 2 2 3 50 5 4 3 4 4 5 4 4 4 4 5 4 3 3 4 51 4 4 3 4 3 4 3 5 4 4 5 5 3 3 4 52 5 4 4 4 5 5 4 4 4 4 4 5 4 3 4 53 4 3 4 4 4 3 3 3 3 4 4 3 2 2 2 54 4 2 2 2 3 4 3 3 4 4 3 3 3 2 3 55 4 3 2 3 3 3 3 3 3 3 4 3 4 3 3 56 4 3 3 4 4 3 4 3 4 3 3 3 4 2 3 57 3 3 2 3 3 4 3 2 3 4 3 3 2 3 3 58 4 4 2 4 4 3 4 2 3 3 3 2 2 3 3 59 3 4 3 5 4 4 3 3 4 3 3 3 3 2 2 60 3 3 2 1 3 3 1 1 3 2 2 2 2 2 2 61 4 4 2 2 4 3 3 2 3 4 3 3 4 4 3 62 4 4 2 1 3 3 3 4 4 4 5 4 3 2 4 63 4 3 2 4 4 3 3 3 2 4 3 3 3 2 3 64 4 2 2 3 1 3 3 3 3 3 3 2 2 1 2 65 5 3 4 3 4 3 3 3 3 3 4 3 4 3 3 66 5 3 4 5 4 4 4 5 3 5 5 4 4 3 3 67 4 2 2 2 3 3 3 3 1 2 3 3 2 3 3 68 5 4 3 3 4 3 3 3 3 4 3 2 3 3 3 69 4 4 3 3 4 3 3 2 2 3 4 4 3 3 3 70 1 5 4 4 4 4 4 2 1 2 4 4 3 3 3 71 3 4 4 4 4 4 4 4 2 3 5 3 3 3 3 72 4 4 3 2 4 2 3 2 2 2 4 3 3 2 3 73 4 3 3 3 4 4 4 3 2 3 4 4 3 3 3 74 4 4 3 4 4 4 5 4 3 4 3 3 3 3 3 75 4 4 4 4 3 5 3 3 2 3 3 3 3 2 3 76 4 3 3 3 4 3 3 3 2 3 3 4 2 3 3 77 1 1 2 2 2 2 1 1 1 1 1 2 2 1 1 78 5 4 5 3 4 3 4 3 4 4 4 4 3 3 4 79 5 3 4 5 5 5 3 4 3 4 4 3 4 3 3 80 3 4 4 3 5 5 3 4 3 4 5 5 4 4 4 81 5 5 4 3 4 3 2 3 3 5 3 3 4 3 3 82 4 4 3 5 4 4 2 2 3 3 4 4 3 3 5 83 4 4 3 4 4 4 2 2 3 4 3 5 3 3 4 84 4 3 3 1 3 3 2 2 3 4 3 4 4 2 3 85 5 3 4 4 2 3 2 4 3 4 4 4 3 3 3 86 5 1 2 4 3 3 2 3 3 3 4 3 3 2 3 87 5 4 4 2 4 3 2 2 4 4 4 4 4 3 3 88 4 3 3 2 4 4 2 2 3 3 4 3 3 3 3

90

89 2 3 2 3 2 3 1 2 2 2 4 3 2 2 2 90 5 4 3 3 4 5 3 2 3 3 5 4 3 4 4 91 3 3 3 4 4 4 2 3 4 3 4 4 5 5 5 92 4 3 3 3 3 2 3 2 1 1 3 3 4 3 3 93 4 3 2 2 3 3 3 2 2 2 3 3 2 2 2 94 4 3 3 3 3 4 3 3 3 3 4 4 3 3 3 95 4 4 3 4 4 3 3 2 2 4 4 5 3 3 5 96 3 4 3 4 4 3 4 3 3 2 4 5 3 4 4 97 2 3 2 1 2 1 1 2 1 1 1 1 1 1 1 98 3 3 3 3 3 3 3 2 3 2 2 2 2 2 2 99 3 3 3 3 3 3 3 2 2 3 2 2 2 2 3 100 4 4 3 4 4 3 3 3 3 4 4 4 4 3 4 101 5 4 5 5 5 4 4 4 3 4 5 5 4 4 5 102 4 3 3 3 3 5 5 4 3 4 4 4 3 3 3 103 4 3 3 3 4 4 3 3 3 3 4 3 2 2 3 104 5 4 4 5 5 3 3 3 3 2 4 4 4 3 3 105 4 4 3 2 4 3 3 3 3 3 4 5 3 3 3 106 2 1 3 3 3 4 4 3 4 3 4 4 3 3 3 107 4 5 3 3 4 3 4 3 3 4 3 4 3 2 3 108 2 2 1 2 2 3 3 2 2 2 3 2 2 2 2 109 5 4 5 3 4 5 5 4 3 5 4 4 5 4 4 110 4 4 3 4 4 4 4 5 3 4 3 3 4 3 3 111 3 3 2 3 3 3 2 3 3 2 2 3 2 2 2 112 5 4 5 3 4 5 4 5 3 5 4 4 4 4 5 113 4 2 4 3 4 3 3 4 3 3 3 3 3 3 4 114 4 3 5 4 4 3 4 2 4 4 4 4 3 3 3 115 3 4 3 3 4 3 3 3 3 4 3 4 3 3 3 116 4 3 3 2 3 3 2 3 3 4 3 3 2 2 1 117 4 3 3 5 4 4 4 3 3 4 4 3 4 3 3 118 3 4 2 3 3 3 4 3 3 3 3 3 2 2 2 119 5 4 3 4 4 3 3 3 3 3 4 3 2 1 2 120 2 3 3 3 3 3 3 4 3 3 3 4 3 1 2 121 5 5 5 4 4 5 5 5 4 5 5 5 4 5 5 122 4 4 3 4 4 4 3 3 3 4 3 3 3 3 3 123 5 4 3 3 4 5 5 4 4 4 5 5 4 5 4 124 3 3 4 4 4 3 3 3 4 4 4 3 3 3 2 125 5 5 3 3 4 3 4 3 3 3 5 5 4 4 5 126 5 5 5 5 5 5 3 4 3 4 5 5 4 4 3 127 4 3 3 4 4 3 4 2 3 4 2 2 2 2 2 128 3 4 3 4 4 2 3 3 2 3 3 3 3 3 3 129 4 5 3 4 4 3 3 4 4 5 5 4 4 4 4 130 5 4 4 4 3 3 3 3 3 3 4 3 3 3 4 131 4 2 4 3 4 3 4 2 3 4 4 3 3 3 4 132 4 5 3 2 3 3 4 3 4 3 4 3 3 2 3 133 3 4 3 3 4 3 4 3 3 3 3 4 4 3 3 134 5 5 3 3 4 3 3 3 2 2 5 4 3 3 3

91

135 1 2 2 2 3 1 1 2 2 1 1 2 1 1 2 136 3 3 2 3 3 3 2 3 3 3 3 3 2 2 3 137 4 3 2 4 3 3 2 3 3 3 3 4 3 3 4 138 3 5 5 4 3 3 3 2 4 4 4 5 4 4 4 139 3 4 4 4 3 5 4 4 3 4 5 4 3 3 3 140 4 4 4 4 3 3 2 2 1 1 2 3 3 3 2 141 3 3 3 4 2 3 3 4 3 3 3 2 1 3 3 142 4 4 4 2 2 5 4 3 3 4 3 4 3 2 1 143 4 4 5 5 3 5 5 4 4 4 5 5 5 3 4 144 3 4 5 4 3 3 4 3 4 5 3 4 3 3 3 145 4 3 5 4 3 3 4 4 4 3 4 3 3 3 3 146 4 4 5 4 3 3 3 4 2 3 5 5 4 3 3 147 4 4 4 4 3 3 4 3 3 4 4 4 3 3 3 148 5 4 4 5 4 4 4 5 4 4 4 5 4 4 4 149 4 5 5 4 4 4 3 3 3 4 4 3 3 3 3 150 4 3 4 3 4 4 3 3 3 4 4 3 3 3 3 151 2 3 3 4 3 4 3 3 3 3 3 4 2 2 2 152 3 4 3 4 4 4 3 2 3 3 4 4 3 4 3 153 5 4 3 4 4 4 3 3 3 3 4 4 3 3 3 154 4 3 2 4 4 3 4 3 4 5 4 3 3 3 3 155 4 4 3 4 4 4 4 3 3 3 4 4 3 3 3 156 4 4 3 4 4 2 2 2 3 2 3 3 2 3 2 157 4 5 4 5 5 5 5 4 4 5 5 4 3 4 4 158 5 4 5 5 4 5 4 4 4 4 4 5 4 5 5 159 3 4 4 4 4 5 4 3 3 3 4 4 4 4 2 160 3 3 3 3 3 3 4 2 2 3 3 2 3 3 3 161 5 3 3 5 4 5 4 3 3 3 4 4 4 4 3 162 4 4 4 4 3 5 4 3 4 2 4 4 3 4 4 163 4 3 4 5 5 5 4 4 4 3 5 3 3 4 4 164 4 4 3 3 4 3 5 4 3 4 5 5 3 3 3 165 4 4 2 3 3 4 3 2 3 3 4 4 3 3 3 166 4 3 3 4 3 4 3 3 3 3 4 4 3 3 3 167 3 3 2 2 3 3 3 3 2 2 3 2 3 2 2 168 3 2 3 2 2 3 2 2 1 1 3 3 1 1 1 169 4 3 4 3 3 3 3 4 3 3 4 4 3 3 3 170 3 3 3 4 3 3 4 2 3 3 4 4 3 3 3 171 3 4 3 4 3 3 3 3 2 3 4 4 3 4 2 172 1 2 1 1 2 3 3 2 2 2 3 3 3 3 3 173 3 3 2 2 2 3 3 3 3 4 4 3 3 2 3 174 5 3 3 4 4 5 5 4 3 3 4 4 4 3 2 175 4 4 4 3 3 4 4 3 3 4 5 3 4 3 3 176 3 3 2 3 3 3 4 3 3 3 4 4 4 3 4 177 3 3 4 3 3 5 4 3 3 4 3 3 2 2 2 178 4 4 3 4 4 4 3 3 2 3 5 5 3 3 3 179 5 4 5 5 4 3 3 4 4 3 5 4 4 5 4 180 5 5 5 4 4 5 4 5 4 5 5 5 5 4 4

92

181 4 3 2 3 3 3 4 3 3 4 3 4 4 3 4 182 4 4 4 3 3 4 3 5 5 3 5 5 4 4 4 183 5 5 3 4 4 5 5 4 4 4 5 5 4 5 4

Questions R BLY1 BLY2 BLY3 BLY4 BLY5 PDC1 PDC2 PDC3 PDC4 PDC5 PDC6 1 5 5 4 4 5 5 5 4 4 4 4 2 3 3 4 5 4 4 5 5 4 5 4 3 4 4 5 5 5 4 4 5 5 5 4 4 5 3 4 5 3 3 5 3 4 5 4 5 4 5 5 4 3 4 4 3 5 4 4 6 4 4 4 4 4 4 4 5 4 4 4 7 2 1 3 5 4 3 2 4 4 5 4 8 5 5 4 5 5 4 5 4 4 5 4 9 4 3 3 3 4 4 3 4 3 3 3 10 3 3 4 5 5 5 5 5 2 4 3 11 3 4 3 3 3 4 3 4 4 4 3 12 2 1 2 1 2 2 1 1 1 1 1 13 1 3 3 4 3 2 3 4 2 3 3 14 4 4 3 4 4 5 3 4 4 5 4 15 4 4 4 4 4 4 4 5 4 4 4 16 4 3 4 5 4 4 4 4 5 4 4 17 4 3 4 3 4 4 3 3 4 3 3 18 4 2 2 3 4 4 2 2 3 4 3 19 2 2 3 3 3 3 3 2 3 2 2 20 4 5 4 4 5 4 5 5 5 5 5 21 3 2 1 2 3 2 3 2 2 4 2 22 3 3 4 4 5 3 4 4 4 4 4 23 3 2 4 4 4 3 4 5 3 4 4 24 3 3 3 3 4 4 4 3 3 4 4 25 3 3 3 3 3 3 4 4 4 4 4 26 3 4 4 3 4 4 4 5 4 4 4 27 3 5 2 3 4 3 4 2 3 5 4 28 4 5 4 4 5 4 4 5 4 5 4 29 3 3 4 3 4 3 4 4 3 3 3 30 4 3 5 4 5 4 3 4 4 5 3 31 4 4 5 4 5 3 4 3 3 4 4 32 4 4 4 4 4 4 4 5 4 4 4 33 4 4 3 4 5 3 4 3 3 5 4 34 5 4 5 4 4 5 5 3 4 4 4 35 3 3 3 3 5 4 4 4 3 3 3 36 4 3 4 2 3 2 4 4 2 2 4 37 3 4 4 5 3 5 5 4 3 5 4 38 3 4 2 3 3 2 4 2 2 3 3

93

39 2 1 1 2 4 1 1 2 1 2 2 40 4 3 4 3 4 4 3 5 3 3 3 41 4 3 4 4 3 4 4 4 4 4 4 42 1 3 4 3 4 5 1 2 2 3 3 43 3 4 4 4 3 2 3 3 3 4 3 44 4 3 3 4 4 2 3 4 3 4 3 45 4 4 4 5 3 5 4 4 4 5 4 46 4 4 5 4 4 4 4 5 4 4 4 47 3 4 4 3 4 4 5 5 1 3 3 48 2 3 2 1 5 4 4 1 3 1 2 49 4 3 4 3 3 4 3 4 4 3 3 50 5 5 3 5 5 4 5 3 4 5 4 51 4 4 5 5 4 5 4 4 3 5 4 52 5 4 5 5 4 4 5 4 5 5 4 53 4 3 4 3 4 5 3 3 4 3 4 54 5 4 3 4 5 4 4 5 3 4 4 55 4 5 3 4 4 4 5 2 3 4 4 56 4 5 4 3 4 5 4 4 5 3 4 57 3 3 3 4 5 4 4 3 3 4 3 58 2 3 4 4 4 2 2 3 4 4 3 59 3 4 4 5 4 5 4 4 5 3 4 60 3 3 3 2 2 3 2 3 3 2 3 61 4 5 4 3 4 4 4 4 3 3 4 62 4 4 5 4 4 4 3 3 5 4 4 63 4 4 4 3 2 2 3 3 4 3 3 64 3 4 3 3 3 2 3 2 3 3 3 65 4 3 4 4 5 3 4 3 3 4 4 66 4 5 5 4 5 3 5 5 5 5 5 67 1 2 3 3 4 2 4 2 2 3 3 68 4 4 4 4 3 4 4 5 5 4 4 69 5 4 4 5 1 4 5 3 3 5 4 70 5 4 3 5 3 5 3 4 5 5 4 71 4 5 4 4 4 5 4 4 4 4 4 72 1 3 2 4 4 4 3 2 3 4 3 73 5 3 5 5 3 3 5 3 3 5 4 74 4 5 4 4 4 3 2 3 5 4 4 75 3 4 4 4 5 5 4 3 5 4 4 76 4 4 3 2 4 3 3 2 4 2 3 77 1 2 3 2 1 2 2 2 3 2 2 78 5 5 3 5 4 4 5 3 4 5 4 79 4 4 5 5 5 4 5 4 5 5 4 80 3 4 5 5 5 4 3 4 3 5 4 81 4 4 5 4 4 4 5 2 4 4 4 82 5 4 5 4 3 4 5 5 5 4 4 83 3 4 5 4 5 4 5 4 4 4 4 84 4 3 5 4 3 5 3 3 4 4 4

94

85 5 4 5 5 2 4 4 3 5 5 3 86 4 2 5 3 4 1 3 3 3 3 3 87 3 4 4 5 5 4 4 5 4 5 4 88 5 3 3 3 4 3 5 4 4 3 4 89 4 3 2 3 2 3 2 3 3 3 3 90 3 4 5 4 5 5 4 4 4 4 4 91 3 4 4 4 4 4 1 2 4 2 3 92 3 3 1 3 2 2 3 2 4 3 3 93 2 2 3 3 3 2 3 2 2 4 3 94 4 4 3 4 4 3 4 4 2 3 3 95 4 3 2 4 3 5 4 4 5 3 4 96 4 5 4 3 4 3 4 4 5 3 4 97 1 2 2 1 2 2 1 2 1 2 1 98 3 3 4 3 4 3 4 4 3 3 3 99 3 3 3 2 3 3 2 3 2 3 3 100 4 3 4 4 3 4 4 3 3 3 3 101 5 4 5 5 5 5 4 5 3 5 4 102 4 3 3 3 5 3 4 4 3 3 3 103 4 4 3 3 3 3 3 4 4 3 3 104 3 3 3 5 3 2 5 4 5 5 4 105 4 3 4 3 4 3 3 3 4 3 3 106 4 4 3 4 4 3 4 3 4 4 4 107 4 3 4 4 5 4 4 4 5 4 0 108 2 3 2 2 3 2 2 3 2 2 2 109 5 5 4 5 5 4 5 4 4 5 4 110 4 4 5 4 4 4 3 4 4 4 4 111 3 2 3 3 3 2 3 3 3 3 3 112 5 4 5 5 5 5 5 5 5 5 5 113 3 3 3 4 4 5 5 4 4 4 4 114 4 4 4 4 5 4 2 4 4 4 4 115 3 3 3 4 3 3 4 4 4 4 4 116 3 4 2 4 2 2 2 3 3 4 3 117 4 3 4 4 5 4 4 4 5 4 4 118 4 3 3 4 4 3 4 3 3 4 4 119 4 4 4 4 2 4 4 5 3 4 4 120 3 3 3 4 5 3 4 3 4 4 4 121 5 5 5 5 5 5 5 5 4 5 4 122 4 4 3 3 3 4 4 4 4 3 4 123 5 5 5 5 3 4 4 5 5 5 4 124 4 3 4 3 5 2 4 4 4 3 4 125 5 5 3 4 5 5 5 5 4 4 4 126 5 4 4 5 4 5 4 5 4 5 4 127 3 3 3 4 4 2 3 3 3 4 3 128 3 2 3 3 3 4 3 4 3 3 4 129 5 5 4 4 5 4 5 5 4 4 5 130 3 3 3 4 3 3 4 4 3 4 3

95

131 4 4 3 4 4 4 4 4 4 4 4 132 4 4 3 3 4 4 5 3 4 4 4 133 4 3 4 3 4 3 4 3 4 3 3 134 2 4 3 5 4 5 3 5 3 5 4 135 2 1 2 2 2 1 2 2 2 2 2 136 3 3 3 3 3 3 3 3 3 3 3 137 4 4 3 2 3 4 4 4 3 2 3 138 3 3 4 4 5 4 5 3 3 4 4 139 4 5 4 4 5 5 4 5 4 4 4 140 2 2 2 2 2 4 4 2 3 2 3 141 3 4 4 4 4 3 3 3 4 4 4 142 5 4 4 5 5 4 4 3 3 5 4 143 5 4 5 5 5 5 5 5 4 5 5 144 3 4 4 4 5 3 4 4 3 4 4 145 4 4 3 4 4 5 4 5 2 4 4 146 3 4 4 5 3 4 5 4 5 5 4 147 4 3 4 4 4 4 2 5 2 4 3 148 5 4 5 5 4 5 5 4 3 5 4 149 4 4 3 4 4 4 3 4 4 4 4 150 5 3 4 3 4 3 2 3 3 3 3 151 4 3 4 3 3 4 3 3 4 3 3 152 4 3 4 4 4 3 3 4 4 4 3 153 3 3 3 4 4 4 4 5 3 4 4 154 4 4 4 4 5 4 4 5 3 4 4 155 4 4 3 4 4 3 4 3 3 4 3 156 2 4 2 4 2 4 4 3 4 4 4 157 4 4 4 5 5 4 4 5 5 5 5 158 5 4 5 4 5 4 4 5 4 4 4 159 3 3 4 3 5 3 4 4 3 3 3 160 3 2 3 3 4 2 2 4 3 3 3 161 4 4 5 3 4 3 4 4 3 3 3 162 3 3 4 4 5 4 5 3 3 4 4 163 4 4 3 4 5 3 3 3 5 4 4 164 3 4 3 4 5 3 4 3 4 4 4 165 4 3 3 3 4 4 3 3 4 3 4 166 4 3 3 3 3 4 5 4 3 3 4 167 3 2 2 2 4 3 2 3 3 2 3 168 3 2 2 2 3 2 2 2 3 2 2 169 3 3 4 3 4 4 3 4 3 3 3 170 1 4 4 4 4 2 3 3 5 4 4 171 3 3 3 4 4 4 3 4 5 4 4 172 2 2 2 3 4 1 1 2 1 3 2 173 3 3 3 4 5 2 4 3 4 4 3 174 4 5 5 5 3 2 4 4 4 5 4 175 2 4 4 4 4 5 3 3 3 4 4 176 3 3 4 4 4 3 3 3 4 4 3

96

177 4 5 4 5 5 3 5 3 4 5 4 178 3 3 4 3 5 3 4 3 3 3 3 179 4 4 5 4 3 5 5 4 3 4 4 180 4 4 5 5 5 4 4 5 5 5 5 181 3 2 4 3 5 4 3 3 2 3 3 182 3 3 4 5 5 3 4 4 3 5 4 183 5 4 5 5 3 1 2 5 3 5 3

APPENDIX 2: QUESTIONNAIRE

Introduction to Questionnaire

Dear Sir or Madam,

I am the student from President University. I’m a final year student of International Business. I need your help to fill this questionnaire for my research in conducting thesis with the topic of the Brand Equity and Purchase Decision of Mattel product in Jakarta. The purpose of this research is to determine how brand equity impacts on purchasing decision for Mattel product in Jakarta. Thank you very much for your attention and cooperation acknowledged. Best Regard, Li Yi Nan

Before we start the questionnaire please answer the question first: Have you ever bought Mattel brand product? a. Yes b. No If your answer is No please stop in here, Thank you. Part I In this section, you are asked to fill your profile, please cross (X) or circle the statement below.

Respondent Profile Name (Optional) Gender: a. Male b. Marital Status: a. Single b. Female Married Age: a. <19 years old Education: a. Elementary School b. 19 – 25 years old b. Junior High School c. 26 – 45 years old c. Senior High School d. 46 – 55 years old d. Bachelor Degree e. > 55 years old e. Graduate Study Purpose of purchase: Willing to spend for Mattel Product: a. As a gift or present for a. ≤ Rp. 50,000 someone b. > Rp. 50,001 – 200,000 b. Personal use c. > Rp. 200,001 – 600,000 d. > Rp. 600,001 – 97

c. Others:______1,000,000 e. > Rp. 1,000,001 What kind of product from Mattel that you like the most: a. Barbie b. Hot Wheels c. Match Box d. Scrabble e. Others:______

Part II Instruction for filling In this section you are asked to give an opinion on how much the following statement in accordance to the brand equity and purchase decision.

You should rank each statement as follow:

1 = Strongly Disagree 2 = Disagree 3 = Neutral

4 = Agree 5 = Strongly Agree

Part III MATTEL PRODUCT PERCEIVED QUALITY No. Statements 1 2 3 4 5 1 Functional features of Mattel brand are extremely good and have a positive impact towards purchase Mattel brand. 2 Value added features of Mattel brand give a positive impact towards to purchase Mattel brand. 3 The customer services of Mattel brand is appreciable. 4 Quality perception towards Mattel brand is important factor for me to purchase a toy. 5 Technological innovation of Mattel brand is compelling me to purchase Mattel brand. BRAND AWARENESS No. Statements 1 2 3 4 5 1 I can recall the Mattel brand easily when I am going to purchase toys. 2 I can recognize Mattel brand among the other competing brands. 98

3 I do have adequate knowledge of the Mattel brand than other toy brands in the market. 4 The position of the choice set is extremely high towards Mattel brand when I am going to make a purchase decision. 5 I can recall competitive brands easily when I am going to purchase Mattel toy.

BRAND ASSOCIATION No. Statements 1 2 3 4 5 1 Mattel brand offerings which are close to my life style which motivate me to purchase. 2 Mattel brand is well regarded by my friends. 3 I purchase Mattel brand as it reflects my personal feelings. 4 I purchase Mattel brand as it reflects my social status. 5 Brand association aspect toward Mattel brand did impact me to purchase it irrespective of other brand values is far. BRAND LOYALTY No. Statements 1 2 3 4 5 1 I would recommend others to purchase Mattel brand what I use since I also repeat the same brand if needed. 2 I do positively respond &purchase the alternative product promoted by competitive brands. 3 I am a heavy user of Mattel product even though other low price product are available. 4 I will definitely buy Mattel brand of product although its price is higher than the other brand of the product that offer similar benefits. 5 I will not buy other brands, when Mattel brand is available at the store. PURCHASE DECISION No. Statements 1 2 3 4 5 1 The internal and external needs and motivations lead that I think about purchase Mattel brand product. 2 I use different informational resources 99

(such as friends) before purchase Mattel brand product. 3 I evaluate different brands of a product. 4 I consider other people’s viewpoints during my purchase time. 5 It may that some unpredicted situational factors influence my purchase decision and I cancel my purchase. 6 I think about product satisfaction after purchase. Questioner Pembukaan Questioner

Yth. Bapak atau Ibu, Saya adalah seorang mahasiswa President University. Saat ini sedang menjalani tahun pengajaran terakhir saya sebagai mahasiswa bisnis internasional. Saya membutuhkan bantuan bapak atau ibu untuk mengisi questionner unutuk memenuhi riset thesis saya dengan topik Ekuitas Merek dan Keputusan Pembelian produk Mattel di Jakarta. Tujuan riset ini adalah untuk mengetahui bagaimana Ekuitas Merek mempengaruhi keputusan pembelian produk Mattel di Jakarta. Terima kasih atas perhatian dan kerjasama Anda. Dengan Hormat, Li Yi Nan Sebelum kita memulai questioner, mohon menjawab beberap pertanyaan: Apakah Anda pernah membeli produk Mattel? b. Ya b. Tidak Jika jawaban Anda adalah tidak mohon berhenti membaca, Terima Kasih. Bagian I Dalam seksi ini, Anda diminta untuk mengisi profil Anda, mohon menyilang (X) atau melingkari pernyataan dibawah ini.

Profil Responden Nama (Opsional) Jenis Kelamin: a. Laki-Laki Status Pernikahan: a. Lajang b. Perempuan b. Sudah Menikah Umur: a. <19 tahun Pendidikan: a. SD b. 19 – 25 tahun b. SMP c. 26 – 45 tahun c. SMA d. 46 – 55 tahun d. S1 e. > 55 tahun e. S2 Tujuan membeli: Ketersediaan membeli produk Mattel d. Hadiah untuk seseorang dengan kisaran harga: e. Digunakan sendiri f. ≤ Rp. 50,000 g. > Rp. 50,001 – 200,000

100

f. Lainnya:______h. > Rp. 200,001 – 600,000 i. > Rp. 600,001 – 1,000,000 j. > Rp. 1,000,001 Jenis produk mattel yang paling diinginkan: f. Barbie g. Hot Wheels h. Match Box i. Scrabble j. Lainnya:______Bagian II Instruksi Pengisian Dalam seksi ini Anda dimintakan untuk memberi pendapat dalam seberapa besarkah pernyataan dibawah ini mempengaruhi ekuitas merek dan keputusan pembelian.

Anda diwajibkan untuk memberi penilaian dengan menggunakan:

1 = Sangat Tidak Setuju 2 = Tidak Setuju 3 = Netral 4 = Setuju 5 = Sangat Setuju

Bagian III PRODUK MATTEL PERSEPSI KUALITAS No. Pernyataan 1 2 3 4 5 1 Fitur fungsional dari merek mattel sangat bagus dan memiliki pengaruh yang positif terhadap merek Mattel. 2 Fitur nilai tambah dari merek Mattel memberikan pengaruh positif terhadap pembelian Merek Mattel. 3 Pelayanan konsumen dari merek Mattel sangat memuaskan 4 Persepsi kualitas merek mattel adalah suatu factor penting bagi saya dalam membeli suatu mainan. 5 Inovasi teknologi merek Mattel sangat memengaruhi saua untuk membeli merek mattel. PENGETAHUAN MEREK No. Pernyataan 1 2 3 4 5 1 Saya dapat mengingat merek Mattel dengan mudah ketika saya akan membeli mainan. 2 Saya dapat mengenali merek Mattel

diantara mereka saingannya. 3 Saya memiliki pengetahun yang cukup

mengenai merek Mattel dibandingkan

101

dengan merek mainan lainnya di pasaran. 4 Posisi merek Mattel dalam rangkaian pilihan saya adalah sangat tinggi ketika

saya akan mengambil keputusan pembelian. 5 Saya dapat mengenali merek pesaing dengan mudah ketika akan membeli produk mainan Mattel. PENGARUH MEREK No. Pernyataan 1 2 3 4 5 1 Pemberian merek Mattel Mattel yang sangat dekat dengan gaya hidup saya yang memotivasi saya untuk membelinya. 2 Merek mattel sangat dikenali oleh teman saya. 3 Saya membeli produk merek Mattel karena produk merek Mattel melambangkan perasaan pribadi saya. 4 Saya membeli produk merek Mattel karena produk merek Mattel melambangkan status social saya. 5 Aspek Pengaruh merek terhadap merek Mattel mempengaruhi saya untuk membelinya ketimbang dari nilai merek lainnya. LOYALITAS MEREK No. Pernyataan 1 2 3 4 5 1 Saya sangat menyarankan kerabat saya untuk membeli produk merek Mattel karena saya juga akan membelinya kembali jika diperlukan. 2 Saya menyambut dengan positif dan membeli juga alternative produk yang dipromosikan oleh merek lain. 3 Saya adalah pengguna setia produk merek Mattel bahkan jikalau ada produk dengan harga lebih murah yang tersedia. 4 Saya pasti akan membeli produk merek Mattel bahkan jika harganya lebih tinggi dari merek lain yang memberikan keuntungan yang sama. 5 Saya tidak akan membeli merek lain jika merek Mattel tersedia di toko. KEPUTUSAN PEMBELIAN No. Pernyataan 1 2 3 4 5 1 Kebutuhan internal dan eksternal dan arahan motivasi ketika membayangkan membeli produk merek Mattel. 2 Saya mengandalkan informasi dari asal 102

yang berbeda (seperti teman) sebelum membeli produk merek Mattel. 3 Saya mengevaluasi beberapa merek yang berbeda dari suatu produk. 4 Saya mempertimbangkan sudut pandang orang lain ketika saya membeli sesuatu. 5 Adalah mungkin jika ada faktor yang diluar dugaan mempengaruhi keputusan pembelian saya dan saya membatalkan pembelian saya. 6 Saya memikirkan tentang kepuasan produk setelah pembelian.

103

APPENDIX 3: SPSS OUTPUT

Validity Test

Perceived Quality Item-Total Statistics

Cronbach's Scale Mean if Scale Variance if Corrected Item- Alpha if Item Item Deleted Item Deleted Total Correlation Deleted

PQL1 13.7158 6.941 .526 .720

PQL2 14.0109 7.648 .482 .734

PQL3 14.2131 6.872 .519 .723

PQL4 14.1311 7.115 .511 .725

PQL5 13.9399 7.419 .641 .689

Brand Awareness

Item-Total Statistics

Cronbach's Scale Mean if Scale Variance if Corrected Item- Alpha if Item Item Deleted Item Deleted Total Correlation Deleted

BAW1 12.3388 7.357 .590 .772

BAW2 12.6339 7.310 .581 .775

BAW3 12.6721 7.705 .567 .779

BAW4 12.7596 7.744 .569 .779

BAW5 12.5246 6.844 .666 .748 Brand Association

Item-Total Statistics

Cronbach's Scale Mean if Scale Variance if Corrected Item- Alpha if Item Item Deleted Item Deleted Total Correlation Deleted

BAS1 12.4098 8.342 .705 .860

BAS2 12.6120 8.096 .733 .854

BAS3 13.0929 8.469 .711 .859

BAS4 13.1749 8.464 .739 .853

BAS5 13.0164 8.456 .701 .861

104

Brand Loyalty

Item-Total Statistics

Cronbach's Scale Mean if Scale Variance if Corrected Item- Alpha if Item Item Deleted Item Deleted Total Correlation Deleted

BLY1 14.7978 7.514 .549 .724

BLY2 14.8579 7.595 .590 .710

BLY3 14.7322 7.406 .603 .704

BLY4 14.6230 7.434 .608 .703

BLY5 14.4754 8.525 .360 .786

Purchase Decision

Item-Total Statistics

Cronbach's Scale Mean if Scale Variance if Corrected Item- Alpha if Item Item Deleted Item Deleted Total Correlation Deleted

PDC1 18.1858 12.174 .542 .810

PDC2 18.0656 11.842 .599 .797

PDC3 18.1148 12.223 .567 .804

PDC4 18.1803 12.643 .520 .813

PDC5 17.9399 12.123 .630 .790

PDC6 18.1749 12.486 .760 .773 Perceived Quality

Reliability Statistics

Cronbach's Alpha N of Items

.761 5 Brand Awareness

Reliability Statistics

Cronbach's Alpha N of Items

.808 5

105

Brand Association Reliability Statistics

Cronbach's Alpha N of Items

.882 5

Brand Loyalty

Reliability Statistics

Cronbach's Alpha N of Items

.769 5

Purchase Decision

Reliability Statistics

Cronbach's Alpha N of Items

.826 6

106

Correlation

Correlations

PQL BAW BAS BLY PDC

Spearman's rho PQL Correlation Coefficient 1.000 .530** .660** .658** .680**

Sig. (2-tailed) . .000 .000 .000 .000

N 183 183 183 183 183

BAW Correlation Coefficient .530** 1.000 .518** .745** .505**

Sig. (2-tailed) .000 . .000 .000 .000

N 183 183 183 183 183

BAS Correlation Coefficient .660** .518** 1.000 .663** .577**

Sig. (2-tailed) .000 .000 . .000 .000

N 183 183 183 183 183

BLY Correlation Coefficient .658** .745** .663** 1.000 .762**

Sig. (2-tailed) .000 .000 .000 . .000

N 183 183 183 183 183

PDC Correlation Coefficient .680** .505** .577** .762** 1.000

Sig. (2-tailed) .000 .000 .000 .000 .

N 183 183 183 183 183

**. Correlation is significant at the 0.01 level (2-tailed).

Binomial regression logistic Block 0

Classification Tablea,b

Predicted

PDC1 Percentage Observed 0 1 Correct

Step 0 PDC1 0 0 38 .0

1 0 145 100.0

Overall Percentage 79.2 a. Constant is included in the model. b. The cut value is .500

107

Block 1

Classification Tablea

Predicted

PDC1 Percentage Observed 0 1 Correct

Step 1 PDC1 0 26 12 68.4

1 16 129 89.0

Overall Percentage 84.7 a. The cut value is .500 Block 2

Omnibus Tests of Model Coefficients

Chi-square df Sig.

Step 1 Step 49.061 1 .000

Block 49.061 1 .000

Model 49.061 1 .000

Model Summary

Cox & Snell R Nagelkerke R Step -2 Log likelihood Square Square

1 93.117a .401 .627

a. Estimation terminated at iteration number 6 because parameter estimates changed by less than .001.

Classification Tablea

Predicted

PDC1 Percentage Observed 0 1 Correct

108

Step 1 PDC1 0 27 11 71.1

1 5 140 96.6

Overall Percentage 91.3 a. The cut value is .500

Variables in the Equation

B S.E. Wald df Sig. Exp(B)

Step 1a PQL1 1.622 .634 6.543 1 .011 5.063

BAW1 .940 .660 2.027 1 .155 2.559

BAS1 .536 .654 .672 1 .412 1.710

BLY1 2.861 .722 15.689 1 .000 17.476

Constant -2.432 .604 16.224 1 .000 .088

a. Variable(s) entered on step 1: PQL1, BAW1, BAS1, BLY1.

109