CASE STUDY: TAG HEUER CONNECTED AND APPLE WATCH
By
Denny Aprilyanto 11403009
BACHELOR’S DEGREE
in
BUSINESS ADMINISTRATION - HOTEL AND TOURISM MANAGEMENT Concentrations
FACULTY OF BUSINESS AND COMMUNICATION
SWISS GERMAN UNIVERSITY The Prominence Tower
Jalan Jalur Sutera Barat No.15, Alam Sutera Tangerang, Banten 15143, Indonesia
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 acknowledgment is made in the thesis.
Denny Aprilyanto
Student Date
Approved by:
Yudhistira Pratama, MBA
Thesis Advisor Date
Dr. Nila K. Hidayat, SE., MM.
Dean Date
ABSTRACT
THE EFFECT OF CUSTOMER PERCEPTION TOWARDS BUYING DECISION ON SMARTWATCHES
CASE STUDY: TAG HEUER CONNECTED AND APPLE WATCH
By
Denny Aprilyanto Yudhistira Pratama, MBA
SWISS GERMAN UNIVERSITY
Smartwatch has become a trend in current technological era, thus prominent watch companies are producing their own smartwatches in order to compete with tech companies’ smartwatches. The perception of the consumers has to be properly maintained in order to get positive perception from the consumers towards the company. The purpose of the research is to analyze the impact of customer perception towards buying decision on Smartwatch with the case study between TAG Heuer Connected and Apple watch. This research will take quantitative data which derive from distributing 100 questionnaires to respondents that uses Smartwatch. Data collection using non-probability judgement and snowball sampling to determine the respondents. The statistical analysis uses the simple regression analysis and the data is processed using SPSS software version 24 to generate the result. Before going to the result, this data required to process the validity test, reliability test, normality test, classical assumption test and hypothesis testing. The positive hypothesis of this research is accepted which as follow the result of this research clarifies that customer perception has significant influence to buying decision in Smartwatch. It is highly recommended for the company to maintain the dimension of perception in order to compete with other company.
© Copyright 2018 By Denny All rights reserved
DEDICATION
I dedicate this bachelor thesis to my parents, my brothers, lecturers, friends that have helped me and keep supporting me during my thesis writing.
ACKNOWLEDGEMENTS
This thesis might not completely have done without the supports and the prayer of the following people. I would like to express my sincere gratitude to the person who has helped, supported, and guided for me during the progression of this research from the beginning until the completion of this thesis.
First, I would like to thank God for the blessing and I feel very grateful that I am still able to live a grateful life until now and be able to finish this research.
I would like to thank my parents that endlessly guide me and supports me until this far, I don’t know if I could survive until now without them. Also, my brother for keep supporting me.
Sincerely my advisor Mr. Yudhistira Pratama that helped me this far from the beginning of searching topic until the end of chapter 5. Thank you for your kindness, patience, advise, guidance, encouragement, time, and capability to be as my advisor. Without Mr.
Yudhis I couldn’t finish my thesis completely well.
I would like to thank all lecturers of Hotel and Tourism Management for the knowledge that all of you had shared from the beginning of 2014 until 2018.
Thank you to my cousin, Fifi Darnita, Fifa Marita, Ria Pratiwi, Desy Ravita Sandy, Dewi Prawoto, Lia Prawoto. That also supporting me and advising me at making the thesis.
To Bagus Dwi Satrio Wicaksono, Christ Vincentius Halim, Falah Naufal, and Shirleen Kusnadi for always been there for me throughout these past years. For friendship, laughter, jokes, and being awesome in your own way. Hope be the best for the future ahead, be successful and able to overcome any obstacle that awaits us after graduation.
I would like to thank PPC group, Anthony Marwan, Christopher Artadi, Daru
Kevin, Welson Liauw. Thank you for all your support and laughter from high-school until current. Hope our relation still remain until our journey ends and we can be successful and healthy together in the future.
Last but not least, thank you my dear friends in the Hotel and Tourism management batch 2014 for sharing good and sad memories with me for these 4 years, hope we all can be successful and all of our wishes will come true. Good luck guys.
TABLE OF CONTENTS
STATEMENT BY THE AUTHOR ... 2
ABSTRACT ... 3
DEDICATION... 5
ACKNOWLEDGEMENT ... 6
TABLE OF CONTENTS ... 8
LIST OF FIGURES ... 11
LIST OF TABLES ... 12
CHAPTER 1 - INTRODUCTION ... 13
1.1 Background ... 13
1.2 Research Problems... 16
1.3 Research Questions ... 16
1.4 Research Objectives ... 16
1.5 Scope and Limitations ... 16
1.6 Significance of Study... 16
CHAPTER 2 – LITERATURE REVIEW ... 18
2.1 Conceptual Framework ... 18
2.2 Theoretical Fundamental ... 19
2.2.1 Technology ... 19
2.2.2 Luxury Goods ... 19
2.2.3 Smartwatches ... 20
2.2.4 Customers ... 21
2.2.5 Brand ... 21
2.2.6 Customer Perception ... 22
2.2.7 Customer Perception Factors ... 23
2.2.8 Purchase Intention ... 23
2.2.9 Consumer Buying Decision ... 24
2.2.10 Theory of Planned Behavior ... 26
2.2.11 Theory of Achievement Motivation... 27
2.3 Previous Study ... 28
2.4 Study Differences ... 35
2.5 Hypothesis ... 36
CHAPTER 3 – RESEARCH METHODS ... 37
3.2 Unit Analysis/ Unit Observation ... 37
3.3 Sampling Design ... 38
3.3.1 Population and Sample ... 38
3.3.2 Sampling Method ... 38
3.3.3 Sample Size ... 39
3.4 Location and Time Frame of Study ... 40
3.5 Data Source and Collection Method ... 40
3.5.1 Type of Data ... 40
3.5.2 Questionnaire Structure ... 40
3.6 Research Model ... 41
3.7 Variable Operationalization ... 42
3.8 Data Processing Procedures ... 44
3.8.1 Data Preparation... 44
3.8.2 Data Screening ... 45
3.8.3 Validity Test... 45
3.8.4 Reliability Test ... 45
3.9 Data Analysis Technique ... 46
3.9.1 Descriptive Statistic Analysis ... 46
3.9.2 Inferential Statistic Analysis ... 46
CHAPTER 4 – RESULTS AND DISCUSSION ... 47
4.1 Brief Company Background ... 47
4.1.1 TAG Heuer Background ... 47
4.1.1.1 TAG Heuer Connected ... 48
4.1.2 Apple Background ... 49
4.1.2.1 Apple Watch ... 50
4.2 Respondents’ Profiles ... 51
4.2.1 Gender ... 51
4.2.2 Age ... 52
4.2.3 Domiciles ... 53
4.2.4 Occupation ... 54
4.2.5 Income... 55
4.2.6 Respondents’ Smartwatch ... 56
4.3.1.3 Validity Result in Post-Test ... 62
4.3.1.4 Reliability Result in Pre-Test ... 68
4.3.1.5 Reliability Result in Post-Test ... 68
4.4 Classical Assumption Test ... 69
4.4.1 Normality Test Result ... 70
4.4.2 Simple Linear Regressions ... 71
4.5 Hypothesis Result ... 72
4.5.1 t-Test ... 72
4.5.2 F-Test (ANOVA) ... 73
4.5.3 Coefficient of Correlation and Determination Test ... 74
4.6 Discussion... 74
CHAPTER 5 – CONCLUSION AND RECOMMENDATION... 76
5.1 Conclusion ... 76
5.2 Recommendations ... 77
5.2.1 Recommendation for Company Based on Customer Perception 78 5.2.2 Recommendation for Academic ... 79
GLOSSARY... 80
REFERENCES ... 82
APPENDIX 1 ... 96
APPENDIX 2 ... 102
CURRICULUM VITAE ... 108