an analysis of push and pull factors towards purchase

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INTENTION TO SHOP AT BATIK TRUSMI CIREBON

By

Agatha Putri Wisastra 11703011

BACHELOR’S DEGREE In

Business Administration - Hotel and Tourism Management Concentration Faculty of Business and Communication

SWISS GERMAN UNIVERSITY The Prominence Tower

Tangerang 15143 Indonesia June, 2021

Revision after Thesis Defense on July 14^th, 2021

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Agatha Putri Wisastra STATEMENT BY THE AUTHOR

I hereby declare that this submission is my own work, and that it contains no material that has been previously published or written by another person, and neither material that has been accepted for a substantial portion of any other degree or diploma at any educational institution, except where due acknowledgement is made in the thesis.

Agatha Putri Wisastra

___________________________ __________________

Student Date

Approved by:

Munawaroh, S.E., M.M.

____________________________ _________________

Thesis Advisor Date

Dr. Nila Krisnawati Hidayat, S.E., M.M.

_____________________________ ________________

Dean Date

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ABSTRACT

AN ANALYSIS OF PUSH AND PULL FACTORS

TOWARDS PURCHASE INTENTION TO SHOP AT BATIK TRUSMI CIREBON

By

Agatha Putri Wisastra Munawaroh, S.E., M.M., Advisor

SWISS GERMAN UNIVERSITY

This research is design to analyze how the concept of push-and-pull factors positively impact the purchase intention at Batik Trusmi Cirebon. The research models are made to measure the impact between push factors and pull factors towards purchase intention. The research subject in this research is the customers who have shopped at Batik Trusmi Cirebon. 160 respondents are taken as samples and the data have been analyzed with multiple linear regression method. The result shows that push factors and pull factors are positively impact purchase intention. This means, both of the hypothesis are accepted. Batik Trusmi Cirebon could improve their marketing strategy such as promotion and quality consistency in order to attract more customers and other recommendation are made based on this research finding which is concluded in the last chapter.

Keyword: Push Factor, Pull Factor, Purchase Intention, Marketing

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DEDICATION

I dedicate this thesis for my parents and colleagues, to fulfil my curiosity and for contributing for the literature of push and pull factors.

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ACKNOWLEDGEMENTS

First of all, I am grateful to The Almighty God for giving me enough power and strength to complete this whole thesis process from the beginning until the end. Thank you, God, for guiding me through this entire journey of self-development, the endless hours, every step, and every decision I make.

I would like to express my sincere gratitude to my family, thank you so much for assisting me and supporting me when I was struggling with my thesis so that I could graduate from one of the greatest campuses in the Tangerang area, Swiss German University.

I wish to express my sincere thanks to my lecturers from Swiss German University who I cannot mention one by one. Special thanks to Ms. Munawaroh, my best advisor, for all the input and advice that you had given me throughout my thesis journey.

Thank you also for Mr. Esa, although you do not contribute directly as my advisor, I am deeply thankful for all the motivation and constructive criticisms that you gave to me.

I would like to say thank you to my friends from Hotel and Tourism Management faculty who helped me to finished my whole thesis process from the beginning. Especially, special thanks to Arianne, Nathania, Rocky and Samudra. You guys are THE BEST!!

I also place on record, my sense of gratitude to one and all who, directly or indirectly, have lend their helping hand in this thesis. Thank you all for the support, I appreciate it greatly, and God Bless us all.

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Agatha Putri Wisastra TABLE OF CONTENTS

STATEMENT BY THE AUTHOR ... 2

ABSTRACT ... 3

DEDICATION ... 5

ACKNOWLEDGMENTS ... 6

TABLE OF CONTENT ... 7

LIST OF FIGURES ... 11

LIST OF TABLES ... 12

CHAPTER 1 – INTRODUCTION ... 13

1.1 Background ... 13

1.2 Research Problem ... 15

1.3 Research Objective ... 16

1.4 Significance of Study ... 16

1.5 Research Questions ... 16

1.6 Scope and Limitation ... 16

CHAPTER 2 – LITERATURE REVIEW ... 17

2.1 Framework of Thinking ... 17

2.2 Shopping Tourism ... 18

2.2.1 Souvenir and Merchandise ... 19

2.2.2 Shopping Destination ... 20

2.3 Marketing ... 21

2.3.1 Definition ... 21

2.3.2 Push and Pull Factors ... 22

2.3.3 Push Factor ... 25

2.3.4 Pull Factor ... 26

2.4 Consumer Behavior ... 26

2.4.1 Purchase Intention ... 27

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2.5 Previous Study ... 29

2.6 Study Differences ... 34

2.7 Research Model ... 35

2.8 Hypothesis ... 35

CHAPTER 3 – RESEARCH METHODS ... 36

3.1 Type of Study ... 36

3.1.1 Qualitative Research ... 36

3.1.2 Quantitative Research ... 36

3.2 Unit Analysis ... 37

3.3 Population and Sampling ... 37

3.3.1 Population Target ... 37

3.3.2 Sampling Strategies ... 38

3.4 Data Resources and Collection Method ... 39

3.4.1 Type of Data ... 39

3.4.1.1 Primary Data ... 39

3.4.1.2 Secondary Data ... 39

3.4.2 Data Collection Method ... 40

3.5 Questionnaires Structure ... 41

3.6 Time Frame of Study ... 42

3.7 Variable Operationalization ... 43

3.8 Data Testing Procedure ... 45

3.8.1 Data Preparation ... 45

3.8.2 Pre-test ... 45

3.8.3 Validity Test ... 46

3.8.4 Reliability Test ... 46

3.8.5 Post-test ... 47

3.9 Data Analysis Technique ... 47

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3.9.1 Descriptive Statistical Analysis ... 47

3.9.2 Normality Test ... 47

3.9.3 Heteroscedasticity Test ... 48

3.9.4 Multicollinearity Test ... 48

3.10 Multiple Linear Regression Test ... 49

3.10.1 T-Test ... 49

3.10.2 F-Test ... 49

CHAPTER 4 – RESULTS AND DISCUSSIONS ... 50

4.1 Company Profile ... 50

4.2 Pre-test Results ... 51

4.2.1 Validity Pre-test Results ... 51

4.2.2 Reliability Pre-test Results ... 53

4.3 Respondents Profile ... 53

4.3.1 Gender ... 53

4.3.2 Age Group ... 54

4.3.3 Living Area ... 54

4.3.4 Employment Status ... 55

4.3.5 Monthly Income ... 55

4.3.6 Shopping Frequency ... 56

4.3.7 Batik Shopping Frequency ... 56

4.4 Post-test Results ... 57

4.4.1 Validity Post-test Results ... 57

4.4.2 Reliability Post-test Results ... 57

4.5 Classical Assumption Test ... 59

4.5.1 Normality Test ... 59

4.5.2 Heteroscedasticity Test ... 61

4.5.3 Multicollinearity Test ... 62

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4.5.4 Descriptive Statistic Analysis ... 62

4.6 Multiple Linear Regression Test ... 65

4.6.1 F-Test ... 66

4.6.2 T-Test ... 66

4.7 Hypothesis Test Discussion ... 69

4.7.1 Hypothesis 1 ... 69

4.7.2 Hypothesis 2 ... 70

4.7.3 Discussion of Respondents Profile ... 70

CHAPTER 5 – CONCLUSIONS AND RECOMMENDATIONS ... 71

5.1 Conclusion ... 71

5.2 Recommendations ... 71

5.2.1 Recommendation for Managerial ... 72

5.2.2 Recommendation for Further Research ... 73

GLOSSARY ... 74

REFERENCES ... 75

APPENDIXES ... 80

CURRICULUM VITAE ... 88

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LIST OF FIGURES

Figure 1.1-1 Indonesia Tourism Revenue ... 13

Figure 2.3-1 Crompton’s Push and Pull Model ... 24

Figure 2.4-1 Five stages buying decision process ... 27

Figure 2.7-1 The Research Model Proposed by the Author ... 35

Figure 4.3-1 Respondents Profile (Gender) ... 53

Figure 4.3-2 Respondents Profile (Age Group) ... 54

Figure 4.3-3 Respondent Profile (Living Area) ... 54

Figure 4.3-4 Respondents Profile (Employment Status) ... 55

Figure 4.3-5 Respondents Profile (Monthly Income) ... 55

Figure 4.3-6 Respondents Profile (Shopping Frequency) ... 56

Figure 4.3-7 Respondents Profile (Batik Shopping Frequency) ... 56

Figure 4.5-1 Normality Test Results (Kolmogorov-Smirnov) ... 60

Figure 4.5-2 Normality Test Results (P-Plot) ... 60

Figure 4.5-3 Heteroscedasticity Test Results (Spearman’s Rho) ... 61

Figure 4.5-4 Multicollinearity Test Results ... 62

Figure 4.6-1 Variable Entered for Multiple Linear Regression ... 66

Figure 4.6-2 Model Summary for Multiple Linear Regression ... 66

Figure 4.6-3 F-Test Results for Multiple Linear Regression ... 67

Figure 4.6-4 T-Test Results for Multiple Linear Regression ... 68

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LIST OF TABLES

Table 1.1-1 Sales Growth Batik Trusmi Cirebon ... 14

Table 2.5-1 Previous Study ... 34

Table 3.5-1. Questionnaire Structure ... 41

Table 3.6-1. Time Frame of the Thesis Writing ... 42

Table 3.7-1 Variable Operationalization ... 45

Table 3.8-1. Cronbach’s Alpha Value ... 46

Table 4.2.1-1 Push Factor Validity Pre-Test Results ... 51

Table 4.2.1-2 Pull Factor Validity Pre-Test Results ... 52

Table 4.2.1-3 Purchase Intention Validity Pre-test Results ... 52

Table 4.2.2-1 Purchase Intention Reliability Pre-test Result ... 53

Table 4.4-1 Pearson’s R Correlation Coefficient Table (111-114) ... 57

Table 4.4-2 Push Factor Items Validity Post-test Results ... 57

Table 4.4-3 Pull Factor Items Validity Post-test Results ... 58

Table 4.4-4 Purchase Intention Validity Post-test Results ... 58

Table 4.4-5 Reliability Post-test Results ... 59

Table 4.5-1 Push Factors Items Mean Results ... 62

Table 4.5-2 Pull Factors Items Mean Results ... 64

Table 4.5-3 Purchase Intention Items Mean Results ... 65

Table 4.6-1 F-Table Value (112-114) ... 67

Table 4.6-2 T-Table Value (112-114) ... 68