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JAM
J u r n a l A p l i k a s i M a n a j e m e n J o u r n a l o f A p p l i e d M a n a g e m e n t
V o l u m e 2 1 I s s u e 2 J u n e 2 0 2 3
2 1 | 2 | 2 0 2 3
R e c e i v e d N o v e m b e r ‘ 2 2 R e v i s e d N o v e m b e r ‘ 2 2 D e c e m b e r ‘ 2 2 J a n u a r y ‘ 2 3 A c c e p t e d M a rc h ‘ 2 3
THE IMPACT OF CONSUMER DECISIONS IN PURCHASING FOODS BASED ON PRICE, PRODUCT DESIGN, LOCATION, AND STORE
ATMOSPHERE
Totok Hendarto
Universitas Dr Soetomo Surabaya, Indonesia Ermaini
Universitas Muhammadiyah Jambi, Indonesia Endang Fatmawati
Universitas Diponegoro, Semarang, Indonesia Widodo Ismanto
Universitas Riau Kepulauan, Indonesia Teguh Setiawan Wibowo STIE Mahardhika Surabaya, Indonesia
Chia Han Tsai
Global Master Tourism and Management, National Chiayi University, Taiwan
Abstract: In the world of business competition, entrepreneurs are demanded to be able to respond and act quickly to face increasingly fierce business com- petition within the scope of one location. Entrepreneurs are expected to be able to compete healthily and competitively to create the most exciting innovations to maintain their loyalty. Each entrepreneur will make every effort to influence the buyer's decision by consumers so that they are interested in the products they market. This explanatory research uses primary data collected from re- spondents to be processed through SPSS, data and statistical application. In this study, the objects are the relationship between price, product design, loca- tion, store atmosphere, and consumer decisions. The subject of this research is a Culinary Cafe located in Malang City. The sampling technique used is pur- posive sampling, and the sample obtained is 100 respondents. The data analy- sis used is descriptive statistics, and multiple regression is used to test the hy- pothesis in this study. The results show that the variables of price, product design, and location significantly affect purchase decisions, while store atmos- phere has no significant effect on purchase decisions. And from the simulta- neous test results, the four independent variables together affect purchase de- cisions at Culinary Cafes in Malang City. Companies can use the implications of this research to make decisions to attract consumers to make purchases.
Keywords: Price, Product Design, Location, Store Atmosphere, Consumer Decision
CITATION
Hendarto, T., Ermaini, Fatmawati, E., Ismanto, W., Wibowo, T. S., and Tsai, C. H. 2023. The Impact of Consumer Decisions in Purchasing Foods Based on Price, Product Design, Location, and Store Atmosphere. Jurnal Aplikasi Manajemen, Volume 21, Issue 2, Pages 296–307. Malang: Universi- tas Brawijaya. DOI: http://dx.doi.org/10.21776/ub.jam.2023.021.02.02.
I N D E X E D I N
D O A J - D i r e c t o r y o f O p e n A c c e s s J o u r n a l s
A C I - A S E A N C i t a t i o n I n d e x S I N T A - S c i e n c e a n d T e c h n o l o g y I n d e x
D i m e n s i o n s G o o g l e S c h o l a r R e s e a c h G a t e G a r u d a
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OPEN ACCESS
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Copyright (c) 2023 Jurnal Aplikasi Manajemen
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INTRODUCTION
Lately, the culinary business has shown rel- atively rapid growth. Various factors, such as the growing economic needs, demographics and life- style of each, influence this growth. The culinary referred to is food, whether light or heavy and can also be in the form of drinks. What is being dis- cussed here is that there are more and more food vendors in Indonesia, whether in the form of cafes or taverns. Cafes are more in demand because they offer food or drink menus and provide comforta- ble places and facilities for their visitors. For ex- ample, a worker or a group of employees visits a cafe to meet clients or other visitors, namely stu- dents and students visiting the cafe while doing as- signments because wifi facilities support it. Every businessman competes to compete in beautifying his cafe to attract the attention of visitors to be able to win market orientation. In the world of business competition, entrepreneurs are demanded to be ab- le to respond and act quickly to face increasingly fierce business competition within the scope of one location. Entrepreneurs are expected to be ab- le to compete healthily and competitively to create the most interesting innovations to maintain their loyalty. Each entrepreneur will make every effort to influence the buyer's decision by consumers so that they are interested in the products they mar- ket. The growth and development in Malang City, which is very rapid, has attracted residents to mig- rate to Malang City to study or work, so the numb- er of immigrants continues to grow. Another nick- name for the city of Malang is usually called the city of students, consisting of various public and private universities. It is an opportunity for busi- ness actors to meet the needs of migrants, especi- ally college students. It can be seen from every str- eet corner around the campus that the food offered is practically monotonous, so consumers are forc- ed to choose the same menu every day due to the small variety of food provided. The primary pur- pose of creating this shop is because of the owner's love for spicy food and chicken. Because, accord- ing to him, food tastes bland if there is no spicy taste. So the founder showed the surrounding com- munity that food with a spicy taste is quite challe- nging and delicious when combined with a secret recipe made from selected spices.
Competition in the business world requires entrepreneurs to be able to respond and take action
quickly to face increasingly fierce business com- petition within a narrow scope of locations (Hum- mam et al., 2021). Entrepreneurs are expected to compete in a healthy and competitive manner to create the most interesting innovations to maintain customer loyalty. Every entrepreneur must try the- ir best to influence purchasing decisions by consu- mers so that they are interested in the products th- ey are promoting and selling (Sembhodo and Her- mawati, 2021). One of the influential ways to per- suade consumers to buy a product is to use mar- keting tools. Marketing can consist of product, pri- ce, distribution and promotion because it is impor- tant in determining targets and goals. Kotler and Armstrong (2008) suggest that there is a concept of a marketing tool that can be trusted enough only to get a response from consumers. If the custom- er's decision can be reached, it can be called a suc- cessful activity. Cravens et al. (2003) concluded that purchasing decisions are made to meet con- sumers' needs and desires. Namely, by evaluating several alternatives influenced by the first reason, how can a purchase occur by looking at the situa- tion, product and others? Meanwhile, Kotler and Armstrong (2008) said purchasing decisions could be interpreted as making decisions from potential customers before buying a product. Purchasing a product is one of all stages in the buying process by consumers. Consumer purchasing decisions are determined by opinions about the products they buy. The best companies will research their pro- duct purchasing decision process. It is done to de- termine how consumers respond to the products they are interested in.
Cafe Culinary is a business engaged in the culinary field. Providing new menus with unique and interesting offerings that do not yet exist in Malang at affordable prices for students. Cafe Cul- inary is committed to opening many branches, both in Malang and in other cities. This cafe was created because of the owner's love for spicy food.
According to him, food tastes bland if there is no spicy taste, but not many people think so. There- fore, the founder wants to show the public that spi- cy food is still delicious but challenging if made from a secret recipe from selected spices. One po- werful way to get consumers to buy products is to use marketing tools (Astuti et al., 2020). Market- ing combines product, price, distribution and pro- motion because they are important factors in set-
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298 ting targets and goals. Kotler and Keller (2021)
suggested that there is a concept of a marketing tool that can be trusted only by getting a response from consumers. Deciding to buy a product is one of the stages in the consumer buying process. Ac- cording to Kotler (2002), consumer decisions are consumer actions to buy a product. Of the several factors influencing purchasing decisions, most consumers always compare prices, product quality and locations that are well-known to the wider community. While the purchase decision referred to by Schiffman et al. (2004) is "the selection of an option from two or choices". Namely, the pur- chase decision is by a potential consumer to choo- se from several choices. Consumers consider ma- ny factors before deciding to buy an item. There- fore, entrepreneurs must understand the factors consumers consider to attract buying interest. The conclusion from the various opinions above can be drawn that purchasing decisions are an activity carried out by consumers to buy a product with se- veral available choices that are selected according to the capabilities of each consumer.
Price is the main factor influencing consu- mer purchasing decisions. Before deciding to buy, consumers will find out information about their buying ability. Price is the total money paid to pur- chase a product or service that consumers ex- change for the benefits they get. Kotler (2005), in a narrow sense, argues that price can be interpreted as the amount of money billed for a service or pro- duct, while the broad meaning is the amount of va- lue exchanged by consumers to obtain benefits for using a product or service. After setting the price, entrepreneurs will usually face conditions that re- quire them to make price changes in response to what their competitors have raised. Alma (2007) argued that price is the value of an item expressed in money. From some of the definitions above, the nature of prices is only temporary. Entrepreneurs adjust to price changes in the market and know th- eir business position in overall market conditions.
Furthermore, the consideration of potential consumers to purchase is the quality of service.
Service quality is carried out to fulfill consumer desires and the accuracy of delivery to match the expectations of consumers (Tjiptono, 2000). The quality of service provided by a business is helpful to consumers. Every time you do business, both goods and services, consumers must be given the
best service because the quality of service has an influence on purchasing decisions. A business can maintain its business and win the competition if it provides the best service compared to other busi- nesses. Excellent and satisfying service quality must be the primary mission for a business, where customer satisfaction is the main goal for a busi- ness in deciding a strategy to win the competition.
Widodo (2006) said that service quality variables have an important effect on purchasing decisions.
The better the quality provided, the higher the lev- el of buying decisions. Next is location. According to Raharjani (2005), location or place strategy is one of the influences determining consumer beha- vior. Before opening a business, the entrepreneurs will choose a strategic location such as nearby shops, housing, offices, campuses or something else, depending on the business they will open.
Because the location factor that is easy to reach by consumers also influences the sustainability of the business. Especially for businesses just starting out or just about to open. After that, the influence of the atmosphere of the place of business is not far from the location. The atmosphere of a busi- ness is usually closely related to the site's discus- sion. You could say that the atmosphere of the pla- ce of business is a mix with an essential meaning for opening a business. With a comfortable atmos- phere, it will attract visitors to make purchases.
The business atmosphere is an atmosphere that has been planned and adapted to the target market and can attract consumers to buy Kotler (2005). The factors above can affect a company's survival be- cause they relate to purchasing decisions made by consumers based on price, service quality and lo- cation.
The factors found in previous research are the basis for digging deeper into matters that can affect a company's survival because they relate to purchasing decisions made by consumers based on price, service quality and location. This research is also expected to provide information and data on the effect of price, service quality, location, and store atmosphere. Consumer buying interest, na- mely attitudes, interests, and actions taken by con- sumers in making decisions and planning purcha- ses of several brands. Consumer interest is strong- ly influenced by product characteristics, selection of product benefits, and prices determined by mar- keters. Purchase intention is the tendency to buy a
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food product. It is generally based on the suitabili- ty between purchase motives and the attributes or characteristics of the food that can be considered.
Store atmosphere needs to be studied as part of consumer purchasing decisions. It is often not stu- died in depth, so it can impact the failure of start- ing a business. This research can provide useful data for developing research knowledge in the fi- eld of Marketing Management, especially regard- ing price, service quality, location, and useful ben- efits for future management studies. The purpose of this research is to provide useful data for devel- oping research science in the management field. It is expected to provide information related to the business world to be used as input for the busi- ness's good.
LITERATURE REVIEW Price
Price means the amount of money paid for goods and services. Price is often used as an indi- cator of value if the price is related to the benefits consumers feel for an item or service (Lestari and Yusuf, 2019). From a marketing point of view, price is a measure exchanged to obtain ownership rights or use of an item or service (Puspitasari and Hidayat, 2020). At the same time, other research- ers define price as the amount of money billed for a product or service. In addition, the price can also be interpreted as the sum of the values exchanged in the selling value of the product set by the com- pany (Ariella, 2018). The objectives of pricing, ac- cording to (Hery, 2019), are as follows: objectives for profit, objectives for volume, objectives for image, objectives for price stability, and other ob- jectives. The role of price in the decision-making process of buyers (Hery, 2019) is the role of allo- cation and the part of information and prices. Ac- cording to (Hery, 2019), price indicators are as fol- lows: affordable prices for consumers' purchase power, competitive prices with other brands, and giving discounts or discounts.
Product Design
Productdesignisamanagementtooltotran- slate the results of research and development acti- vities to become an actual design that will be pro- duced and sold at a profit (Suari et al., 2019). It is also the tool for one of the essential management functions in all organizations, which is to ensure
that the inputs of various organizational resources produce products or services that are designed ap- propriately or produce outputs that can satisfy the desires of customers (Erlyana, 2018). The stages in product design activities (Sudarsono, 2020) are structured as follows: formulating the results of marketing research, considering the capabilities of the company's facilities, making product sketches, and making work drawings.
Location
Location can show the company's various activities to make its products acceptable to con- sumers (Yusra and Nanda, 2020). Meanwhile, ac- cording to Prayogi (2019), several principles must be considered in choosing a location for business, such as an area that has sufficient potential, a place that is easily accessible, has potential for growth, is located in a business environment, has a strong appeal, and is located in low competitive traffic. It needs to be considered because an error in choos- ing a location will have a major impact on the company's survival, even causing a failure, espe- cially one that has just started (Setyawan, 2019).
In this case, it is divided into three types of inter- actions that affect the choice of location (Idrawati, 2018): consumers visit the company, the company visits consumers, and companies and consumers do not meet face-to-face. A good location will also ensure the availability of fast, easy access, can at- tract many consumers, and can change the shopp- ing and purchasing patterns of consumers (Sudar- sono, 2020).
Store Atmosphere
The store atmosphere is an atmosphere that has been planned and adapted to the target market and can attract consumers to buy (Finthariasari et al., 2020). The business atmosphere affects the emotional state of the buyer, which causes a pur- chase (Zainuddin, 2021). The dominant emotional state, such as feeling happy and comfortable, arou- ses the desire to buy. Store atmosphere includes status of affection and cognition that consumers pay attention to, even though they are not fully re- alized when visiting the location (Yuliana, 2018).
According to (Kotler and Keller, 2021), the influ- ential elements consist of four things: the outside of the place of business, the inside of business, the layout of the business, and the information sign.
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300 Consumer Decision
Consumer decisions are a series of process- es experienced by consumers to make decisions in purchasing a product. At the same time, the purch- ase decision process is a step-by-step process that consumers have planned when buying goods or services (Tj, 2020). Another opinion expressed by Kotler and Keller (2021) stated that the purchase decision is the stage in the consumer decision-ma- king process in which a consumer buys the prod- uct to meet his needs. From some of the opinions above, it can be concluded that purchase decisions are part of the stages in the decision-making pro- cess carried out by consumers because before ma- king a purchase, consumers will identify several stages before making a decision (Santosa, 2019).
Consumer decisions have four indicators in mak- ing purchase decisions (Kotler and Keller, 2021):
suitability for a product, habits in buying products, influence from other people to buy, and repurcha- se the same item.
HYPOTHESIS DEVELOPMENT
The hypothesis is a temporary answer from a summary of the research. Therefore, research is usuallyreviewedwithfivesentencesorstatements.
The hypotheses that can be found are as follow.
Baktietal.(2020)priceisaconsiderationfor con- sumers because if the price offered is affordable, it is likely that the consumer will return. If the pri- ce is varied, the consumer can make purchase de- cision.Whenmakingapurchasedecision,aconsu- mer will pay attention to the product's price, whe- ther it is in accordance with financial capabilities or not. The price paid by the consumer for a prod- uct purchased is comparable to the benefits to be received. Therefore the price can influence a con- sumer's purchasing decision.
H1 : Price has a positive effect on purchasing de- cisions.
Patmala and Fatihah (2021) customer-cen- tric company must consider what customers want, need, and like in terms of service because this will influence them to decide to buy the company's ser- vices or products that customers need. Purchasing decision is a critical process to influence market- ers through marketing strategy. A successful mar- keting strategy requires an understanding of cus- tomer behavior to make purchasing decisions be-
cause customer actions influence the company's sustainability, which is an institution trying to ful- fill customer wants and needs.
H2 : Service quality has a positive effect on pur- chasing decisions.
Hardiansyah et al. (2019), in a study entitled The Influence of Location and Price on Purchas- ing Decisions at Singapore Restaurants in Makas- sar City, based on the t-test results, the location va- riable is negative and insignificant for the purchas- ing decision variable.
H3 : Location has a positive effect on purchasing decisions.
Levy and Weitz (2001: 491) state that store atmosphere aims to attract the attention of consu- mers to visit, make it easier for them to find the items needed, keep them lingering in the cafe, mo- tivate them to make sudden plans, influence them to make the purchases, and provide satisfaction in shopping
H4 : Store atmosphere has a positive effect on pur- chasing decisions.
Andanawari's (2014) Analysis using the T- test shows that price, location, and product quality significantly influence purchasing decisions. This equation model has an F value of 34,791 with a significance level 0,000. The analysis using the coefficient of determination shows that around 50.6% of purchasing decisions can be explained by price, location, and product quality variables.
In comparison, 49.4% are explained by other var- iables not explained in this study.
H5 : Price, service quality, location and store at- mosphere have a joint effect on purchasing decisions.
METHOD
This explanatory research examines the re- lationship between one variable and another and tests the hypothesis that has been formulated (Un- aradjan, 2019). Primary data collected from res- pondents will be processed through an application for statistical data processing, SPSS. The subject of this research is Cafe Kuliner which provides fo- od with a unique and exciting delicacy in Malang and has an affordable price for students. Data so- urces come from internal and external data, while
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the types of data are primary and secondary. The dataarecollectedusingquestionnaires,interviews, and observations. The population in this study are consumers of Cafe Kuliner. The sampling techni-
que was purposive with the specific characteristics (Santoso, 2018). Analysis of the data used is des- criptive statistics, and multiple regression is used to test the hypothesis in this study.
Table 1. Variable Operational Definitions
Variable Indicator Item
Price Price
affordability There are various price options
(Kotler and Armstrong, 2006) Affordable prices according to the ability of the buyer Compatibility
of price with quantity and quality
Price according to the quantity (portions served)
The price offered is in accordance with the quality (taste) of the food
Price
competitiveness Relatively low price compared to competitors Promos offered are more attractive than competitors Service quality Responsiveness Waiters are responsive in providing services
(Kotler, 2005) Tangible Waiters are able to understand the needs and desires of customers
Reliability Waiters wear neat uniforms Empathy The existing facilities are adequate Location Access The location is in a strategic place
(Kotler, 1997) The location is traversed by many means of transportation Store Atmosphere Parking area There is a spacious and neat parking lot
Levy and Weitz (2001) The parking lot has a parking guard Interior
decoration
Interior decoration arrangement makes customers feel comfortable and at home.
Dining facilities such as tables, chairs, clean floors Buying decision
Desire to repurchase after purchase
Customers are satisfied with the quality of service and quality of food served.
(Kotler, 2007) Customers are interested in recommending it to others.
The food served is as expected.
Interested in buying again because the taste of the food is appropriate
Interested in buying again because of the comfortable and
clean atmosphere of the place to eat
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RESULTS
Based on the results of research conducted on 100 respondents through questionnaires filled out via Google form, it can be concluded some de- scriptions of Cafe Kuliner consumers based on gender, age, occupation, domicile and frequency
of visiting Culinary Cafes, as in table 2. Descrip- tive statistics are used to describe the variables in this study. The analytical tools used are mean, ma- ximum, minimum, and standard deviation to defi- ne the research variables (Santoso, 2018). The re- sults of descriptive analysis are shown in table 3.
Table 2. Descriptions of Respondents
The Description Detail Percentage
Sex Male
Female
54%
46%
Age
10-20 21-30 31-40
> 50
18%
58%
20%
4%
Occupancy
Student College Student Civil servant Private employee
14%
40%
14%
42%
Domicile Malang
Outside Malang
76%
24%
Frequency of visit
1-5 times 6-10 times 11-15 times
> 16 times
55%
33%
9%
3%
Source: Processed Questionnaire Data (2022)
Product Design (X2) Price (X1)
Location (X3)
Purchase Decision (Y)
Store Atmosphere (X4)
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This study has gone through the validity test stage, and each item is declared valid because the corrected item-total correlation value is more than 0.1966. The next stage is the reliability test, which shows the stability, constancy, and accuracy of a measuring instrument. The test is also used to de- termine how much the measurements are relative- ly consistent when repeated measures are made.
More concretely, this test is used to determine the extent to which a person's answers are consistent or stable over time. The data requirements are said to be reliable if the Cronbach Alpha value is > 0.6,
then this study conducted a reliability test on each variable with the results are shown in table 4.
Multiple linear regression tests should be performed if the number of independent variables is more than one. Commonly used equations used in multiple linear regression tests are as follows:
Y= a + b1X1 + b1X2 + b1X3 + b1X4 + e
Theresultsof themultiplelinearregression analysis in this study using SPSS are listed in table 5.
Table 3. Descriptive Statistic Analysis
N Minimum Maximum Mean Std. Deviation
Price
Product Design Location
Store Atmosphere Purchase Decision Valid N (listwise)
100 100 100 100 100 100
16 16 2 9 11
30 40 10 20 20
24,16 32,85 8,08 16,09 16,20
3,589 4,951 1,529 2,778 2,252 Source: Processed Questionnaire Data (2022)
Table 4. Reliability Test
Nilai Cronbach Alpha Standard Score Notes
Price (X1) 0,811 0,06 Reliable
Product Design (X2) 0,850 0,06 Reliable
Location (X3) 0,604 0,06 Reliable
Store Atmosphere (X4) 0,757 0,06 Reliable
Purchase Decision (Y) 0,695 0,06 Reliable
Source: Processed Questionnaire Data (2022)
Table 5. Multiple Linear Regression Tests
Model Unstandardized Coefficients Standardized
Coefficients
T Sig.
B Std. Error Beta
(Constant) Price
Product Design Location
Store Atmosphere
4,311 ,163 ,118 ,277 ,114
1,215 ,070 ,051 ,131 ,081
,260 ,260 ,188 ,140
3,548 2,328 2,329 2,109 1,402
,001 ,022 ,022 ,038 ,164 Source: Processed Questionnaire Data (2022)
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304 DISCUSSION
Price Has a Positive Effect on Purchasing Deci- sions
The results of the study show that there is a positive and significant effect of price on purchas- ing decisions. So it can be said that price is the ba- sis for purchasing decisions by consumers. Accor- ding to Ramli (2013), price is the relative value of a product, and this value is not a definite indicator that shows the amount of resources needed to pro- duce the product. So it can be interpreted that the price has an impact on increasing purchase decisi- ons at Cafe Kuliner. According to Yusra and Nan- da (2020), price is the relative value possessed by a product. The value is not a definite indicator sho- wing the resources needed to produce the product.
Service Quality Has a Positive Effect on Pur- chasing Decisions
The study's results indicate a positive and significant influence of service quality on purchas- ing decisions. So it can be said that a better quality of service can increase consumer purchasing deci- sions. According to Tjiptono (2000), service qual- ity is a situation closely related to products, servi- ces, human resources, processes, and the environ- ment that may be able to meet or even exceed the qualityimaginedbycustomers.Thatway,itcanbe interpreted that product design has an impact on purchase decisions at Cafe Kuliner.
Location Has a Positive Effect on Purchasing Decisions
The results of the study indicate that there is a positive and significant influence of location on purchasing decisions. So it can be said that the mo- re strategic the location can increase the purchas- ing decision. Swatha (2007: 187) argued that loca- tion could show various activities carried out by companies to make their products acceptable to consumers. Several principles must be considered in choosing a location for business: a potential tra- ding area, an easy-to-reach place with potential for growth, is located in a business environment, has a strong attractiveness, and is in low competition traffic. Because if there is an error in the selection of the location, then it will significantly affect the company's survival. Assuming other variables are considered constant, it can be interpreted that the location will impact purchase decisions at the Cul-
inary Cafe. Puspitasari and Hidayat (2020) stated that location could show various activities carried out by companies to make their products accepta- ble to consumers. Meanwhile, according to Yusra and Nanda (2020), several principles must be con- sidered in choosing a location for a business, nam- ely a trade area that is quite potential, an easily ac- cessible place, has growth potential, is located in a business environment, has a strong appeal, and are in little competitive traffic.
Store Atmosphere Has a Positive Effect on Pur- chasing Decisions
The results of the study show that there is a positive and significant influence of store atmos- phere on purchasing decisions. So it can be said that a good store atmosphere can improve purcha- sing decisions. Kotler (2005) the business atmos- phere influences the emotional state of the buyer, which causes the purchase. The dominant emotio- nal state is feeling happy and arousing the desire to buy. The business atmosphere can also be im- portant for doing business. With a good and com- fortable business atmosphere, visitors will feel in- terested and produce a buying process. Assuming other variables are held constant, it can be interpr- eted that store atmosphere impacts the decrease in purchase decisions at the Cafe Kuliner. Store at- mosphere or business atmosphere is an atmosphe- re that has been planned and adapted to the target market and can attract consumerstobuy(Kotler and Keller, 2021). The business atmosphere af- fects the emotional state of the buyer, which caus- es the purchase to occur. When the dominant emo- tional state is happy and positive, it will arouse the desire to buy.
Price, Service Quality, Location and Store At- mosphere Have a Joint Effect on Purchasing Decisions
The results of the study show that price, ser- vice quality, location, and store atmosphere have an effect on the purchasing decisions. Ghanimata (2012) the price, product quality, and location var- iables are appropriate for testing the dependent va- riable of the purchasing decisions. The Adjusted R Square figure shows that 62.3% of the variation in purchasing decisions can be explained by the three independent variables in the multiple regression equation. In contrast, the remaining 37.7% is ex-
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plained by other variables outside the three varia- bles used in this study.
Antari et al. (2014) partially, the location variable has a positive and significant effect on shopping decisions at the Mas Tabanan literary mini market by 66.8%. The price variable has a positive and significant effect on shopping deci- sions by 59.1%. The effect of location and price simultaneously have a positive and significant ef- fect on shopping decisions at the Mas Tabanan Literary Mini Market by 76.8%
IMPLICATIONS
Companies can use the implications of this research to make decisions to attract consumers to make purchases. It can be done by looking at all the factors influencing the dependent variable test- ed in this study.
RECOMMENDATIONS
From the results obtained from the research, some variables influence the purchase decisions.
The store atmosphere variable has the most positi- ve but insignificant effect on the decision. It requi- res the company to consider all variables, especial- ly the store atmosphere influencing purchase deci- sions, to make it easier to achieve company goals.
This research is very limited by the time is too short, and the number of respondents reached is only 100 respondents, which causes it not fully to describe the situation.
CONCLUSIONS
Better prices can improve purchase decisi- ons. The definition of a good price consists of an affordable price, suitability of price with afforda- ble price, suitability of price with quality and qu- antity, and also competitiveness related to price.
Attractive product design can improve purchase decisions. A better location can improve purchase decisions. The definition of a good location inclu- des a location that is easily accessible. On the oth- er hand, the store atmosphere can reduce purchase decisions. In actual conditions, it can be seen from the few customers interested in eating at the loca- tion, and customers prefer to bring the food.
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