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Saudi Journal of Business and Management Studies (SJBMS)
Volume-4 | Issue-06 | 508-515
Original Research Article
The Influence of Brand Association and Perceived Quality through Customer Satisfaction on Repurchase decision of Oil Palm Seed (Case Study at Oil Palm Research Center)
Irma Zulhana Koto, Isfenti Sadalia, Endang Sulistya Rini
Published : June 30, 2019
DOI : 10.36348/sjbms.2019.v04i06.005
Abstract
Oil palm is a strategic commodity in the Indonesian national economy. The condition of the oil palm seed industry in Indonesia has continued to change as a result of the increase of new domestic seed producers, thus affecting consumer behaviour and the direction of corporate strategy. PPKS itself as one of Indonesia's oil palm seed producers has been impacted by the changes occurring both from the instability of Crude Palm Oil prices, moratorium, regulation, increased competition and economic shifts. In the current era of distraction, PPKS must move quickly, precisely and responsibly to survive from the competition is increasingly competitive. At this moment, competitive conditions are too tight that PPKS management is aware of exploiting assets in the context of brands that are owned to maximize corporate performance. The most potential market for exploitation is the people's plantation market. Specifically, that directly touches the consumer mind generated based on the latest information on consumer behaviour. The research is conducted on the people's plantation segment as its population. The respondents' sampling of ninety-nine oil palm farmers. By applying the Partial Least Squares-Structural Equation Model (PLS-SEM) with the SmartPLS V3.2.8 tool, the conclusion of the research result is that there is a positive and insignificant influence between the brand associations of PPKS on the repurchase decision of oil palm seeds. There is a positive and significant influence between perceived quality of PPKS on repurchase decision of oil palm seeds, the customer satisfaction of PPKS on repurchase decision of oil palm seeds, brand association on customer satisfaction, and perceived quality towards customer satisfaction of PPKS. Also, demonstrating positive and significant influence between the brand association of PPKS and perceived quality of PPKS on repurchase decision of oil palm seed through customer satisfaction of PPKS
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