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CASE STUDY OF ARUMDALU FARM

By Jessica 11603020

BACHELOR’S DEGREE in

BUSINESS ADMINISTRATION

HOTEL AND TOURISM MANAGEMENT CONCENTRATION FACULTY OF BUSINESS AND COMMUNICATION

SWISS GERMAN UNIVERSITY The Prominence Tower

Jalan Jalur Sutera Barat No. 15, Alam Sutera Tangerang, Banten 15143 - Indonesia

July 2020

Revision After Thesis Defense on 16 July 2020

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Jessica STATEMENT BY THE AUTHOR

I hereby declare that this submission is my own work and to the best of my knowledge, it contains no material previously published or written by another person, nor material which to a substantial extent has been accepted for the award of any other degree or diploma at any educational institution, except where due acknowledgement is made in the thesis.

Jessica

_____________________________________________

Student Date

Approved by:

Esa Theodore Mbouw, BBA, M.Sc

_____________________________________________

Thesis Advisor Date

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

_____________________________________________

Dean Date

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Jessica ABSTRACT

THE INFLUENCE OF DESTINATION IMAGE AND SELF-CONGRUITY TOWARDS CUSTOMERS’ REVISIT INTENTION CASE STUDY OF

ARUMDALU FARM

By Jessica

Esa Theodore Mbouw, BBA, M.Sc, Advisor

SWISS GERMAN UNIVERSITY

Trends in sustainability issues are leading many companies to follow green marketing practices through the development of services and products, and one of those is restaurants. Arumdalu Farm is an example of a café that uses green practices through a farm-to-table concept. As the destination image is the predictor in capturing visitor attention, this study will explore the relation between functional and affective destination image as well as self-congruity, which in effect predicts the intention to revisit the Arumdalu Farm. A total of 104 data were collected from the respondents who visited Arumdalu Farm. The finding shows both functional and affective destination image and self-congruity contributes 47,3% on the revisit intention.

However, the result of the hypothesis indicates the functional destination image has no effect on revisit intention, while the affective destination image and self-congruity have a significant relationship to the dependent variable. This study provided implications and recommendations to enhance the implementation process.

Keywords: Functional and Affective Destination Image, Self-congruity, Revisit Intention, Seasonality, Millennial

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Jessica

© Copyright 2020 by Jessica All rights reserved

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Jessica DEDICATION

I dedicate this works to myself, my family, and my beloved country: Indonesia.

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Jessica ACKNOWLEDGEMENTS

First and foremost, I would like to thank God Almighty for giving me the strength, knowledge, ability and opportunity to undertake this research study.

I’d also like to thank my family, for all the support and help you have shown me through this research. I am sorry for being grumpier than normal while I wrote this thesis.

Thank you to my supervisor, Esa Theodore Mbouw, BBA, M.Si, for his encouragement, patience, guidance, and feedback for this past 4 months.

To my significant other, Yosafat Arsetya Dwi Putra, for his support, patience, and who always made me feel confident in my abilities.

To my only best friends: Mikoro, Jessie Jessieca Laura Laurensia and Sheren Atmajaya, who always listen to all my complaint or my random talks.

My sincere thanks also go to HTM 2016 and SGU lecturers. I am lucky to know you all. Thank you for this past four years.

Moreover, I thank my fellow campus mates, Nipongpeng: Alexander Patrick Pantoro, Alicia Anggana, Aurellia Widjaja, Gissella Nadya, Kresna Ajidharma Sentosa, Nathaniel Engelbert Chandra, Yosafat Arsetya Dwi Putra, for all the fun and sleepless night we have had in the last four years. Furthermore, thank you Isabella Nicole for being a good friend who does not hesitate to help me in everything.

To my dear online friends, who’s always been there for me, Jay, Rei, Hideo, Gav, Jun, Bi, Risma, Freya, Valen, Dee, Q, Mina, Danell, Clara, Zy, Sanghun, Sadewa, Won, Rama, Kori, Keyji, Hyemi, Arka, Alicia, Silla, Hide, El, Max, K, etc.

Last but not least, to everyone whose name is not mentioned here and my respondents who help me to fill the questionnaire, thank you guys.

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Jessica TABLE OF CONTENTS

Page

STATEMENT BY THE AUTHOR ... 2

ABSTRACT... 3

DEDICATION ... 5

ACKNOWLEDGEMEN TS ... 6

TABLE OF CONTENTS ... 7

LIST OF FIGURES ... 11

LIST OF TABLES ... 12

CHAPTER 1 - INTRODUCTION ... 14

1.1Background... 14

1.2Research Problem ... 16

1.3Research Q uestions... 17

1.4Research Objectives... 17

1.5Scope and Limitations ... 18

1.6 Significance of Study ... 18

CHAPTER 2 - LITERATURE REVIEW ... 19

2.1 Seasonality... 19

2.2 Destination Image... 19

2.3 Functional and Affective Destination Image ... 20

2.4 Self-congruity ... 21

2.5 Revisit Intention ... 22

2.6 Millennial ... 23

2.7 Previous Study ... 23

2.8 Study Differences ... 31

2.9 Research Model ... 32

2.10 Hypothesis ... 32

CHAPTER 3 – RESEARCH METHODS ... 34

3.1 Type of Study ... 34

3.2 Unit of Analysis/Unit of Observation... 34

3.3 Population and Sampling... 35

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Jessica

3.3.3 Sampling Size ... 35

3.4 Time Frame of Study ... 36

3.5 Type of Data and Collection Method ... 37

3.5.1 Type of Data ... 37

3.5.2 Data Collection Method ... 38

3.5.3 Questionnaire Structure ... 38

3.6 Variable Operationalization... 38

3.7 Data Analysis Technique... 41

3.7.1Pre – Test ... 41

3.7.2 Post – Test ... 41

3.7.3 Validity ... 41

3.7.4 Reliability ... 42

3.7.5 Classical Assumption Test ... 43

3.7.5.1 Normality Test ... 43

3.7.5.2 Linearity Test ... 43

3.7.5.3 Heteroscedasticity Test ... 44

3.7.5.4 Multicollinearity Test... 44

3.7.6 Multiple Linear Regression Test ... 44

3.7.7 Hypothesis Test ... 45

3.7.7.1 T – Test ... 45

3.7.7.2 F – Test... 45

CHAPTER 4 – RESULTS AND DISCUSSIONS... 47

4.1 Company Background ... 47

4.2 Pre – Test Results ... 47

4.2.1 Validity Test ... 48

4.2.1.1 Functional Destination Image ... 48

4.2.1.2 Affective Destination Image ... 48

4.2.1.3 Self-congruity... 49

4.2.1.4 Intention to Revisit... 49

4.2.2 Reliability Test ... 49

4.2.2.1 Functional Destination Image ... 50

4.2.2.2 Affective Destination Image ... 50

4.2.2.3 Self-congruity... 50

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Jessica

4.3.1 Respondent Profile ... 51

4.3.1.1 Gender ... 51

4.3.1.2 Age ... 52

4.3.1.3 Occupation ... 53

4.3.1.4 Monthly Income ... 54

4.3.1.5 Frequency of visiting Arumdalu Farm per Year ... 55

4.3.2 Validity Test ... 56

4.3.2.1Functional Destination Image ... 56

4.3.2.2 Affective Destination Image ... 56

4.3.2.3 Self-congruity... 57

4.3.2.4 Intention to Revisit... 57

4.3.3 Reliability Test ... 57

4.3.3.1 Functional Destination Image ... 58

4.3.3.2 Affective Destination Image ... 58

4.3.3.3 Self-congruity... 58

4.3.3.4 Intention to Revisit... 59

4.3.4 Classical Assumption Test ... 59

4.3.4.1 Normality Test ... 60

4.3.4.2 Linearity Test ... 62

4.3.4.3 Heteroscedasticity Test ... 63

4.3.4.4 Multicollinearity Test... 64

4.3.5 Multiple Linear Regressions Analysis... 64

4.3.6 Hypothesis Test ... 65

4.3.6.1 T – Test ... 65

4.3.6.2 F – Test... 66

4.3.7 Hypothesis Result and Discussions ... 66

4.3.7.1 First Hypothesis ... 66

4.3.7.2 Second Hypothesis ... 67

4.3.7.3 Third Hypothesis... 68

CHAPTER 5 – CONCLUSIONS AND RECCOMENDATIONS ... 69

5.1Conclusions... 69

5.2Managerial Implications ... 70

5.3 Recommendations for Future Research... 71

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Jessica

APPENDICES ... 83

Appendix 1 – Q uestionnaire ... 83

Appendix 2 – Data Tabulation Pre – Test ... 92

Appendix 3 – Data Tabulation Post – Test... 93

Appendix 4 – R Table for Validity Pre – Test and Post – Test ... 96

Appendix 5 – T Table for Hypothesis Test ... 97

Appendix 6 – F Table for Hypothesis Test ... 98

CURRICULUM VITAE ... 99

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Jessica LIST OF FIGURES

Figures Page

Figure 1. Arumdalu's Farm Logo ... 15

Figure 2. Research Model... 32

Figure 3. Respondents' Gender... 51

Figure 4. Respondents’ Age ... 52

Figure 5. Respondents’ Occupation ... 53

Figure 6. Respondents’ Monthly Income ... 54

Figure 7. Respondents’ Frequency of Visiting Arumdalu Farm per Year... 55

Figure 8. Normality Test Result (Histogram) ... 60

Figure 9. Normality Test Result (P –P Plot)... 60

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Jessica LIST OF TABLES

Table Page

Table 1. Previous Study ... 23

Table 2. Time Frame of Study ... 36

Table 3. Variable Operationalization ... 39

Table 4. Cronbach's Alpha Rule of Thumb ... 42

Table 5. Validity Pre – Test result for Functional Destination Image ... 48

Table 6. Validity Pre – Test result for Affective Destination Image ... 48

Table 7. Validity Pre – Test result for Self-congruity ... 49

Table 8. Validity Pre – Test result for Intention to Revisit ... 49

Table 9. Reliability Pre – Test for Functional Destination Image ... 50

Table 10. Reliability Pre – Test for Affective Destination Image ... 50

Table 11. Reliability Pre – Test for Self-congruity ... 50

Table 12. Reliability Pre – Test for Intention to Revisit ... 51

Table 13. Validity Post – Test result for Functional Destination Image ... 56

Table 14. Validity Post – Test result for Affective Destination Image... 56

Table 15. Validity Post – Test result for Self-congruity... 57

Table 16. Validity Post – Test result for Intention to Revisit ... 57

Table 17. Reliability Post – Test for Functional Destination Image ... 58

Table 18. Reliability Post – Test for Affective Destination Image... 58

Table 19. Reliability Post – Test for Self-congruity... 58

Table 20. Reliability Post – Test for Intention to Revisit ... 59

Table 21. Normality Test Result (Kolmogorov-Smirnov) ... 61

Table 22. Linearity Test Result – Functional Destination Image (X1) and Intention to Revisit (Y1) ... 62

Table 23. Linearity Test Result – Affective Destination Image (X2) and Intention to Revisit (Y1) ... 62

Table 24. Linearity Test Result– Self-congruity (X3) and Intention to Revisit (Y1) .... 63

Table 25. Heteroscedasticity Test Result (Glejser)... 63

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Jessica Table 28. T – Test Result... 65 Table 29. T – Test Result Analysis ... 65 Table 30. F – Test Result ... 66

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