The Effect of Country of Origin on Purchase Intentions: A Study of Indonesian Generation Z Customers
Lukmanul Hakim (a*), Leli Deswindi (a), Danang Indrajaya (a)
a) Sekolah Tinggi Ilmu Manajemen dan Ilmu Komputer ESQ Jalan TB Simatupang Kav. 1 Menara 165 Lantai 19, Cilandak, Jakarta Selatan 12560, Indonesia
*lukmanul.hakim[at]esqbs.ac.id
Abstract
Prior studies show that the use of country of origin is commonly used by global companies to show the level of good reputation and product quality. However, there is a shift perspective in the eyes of consumers from certain generations compared to previous generations. The purpose of this study is to determine the effects of country of origin on the purchase intention of Indonesian Generation Z customers. And also, it is conducted to know what key factors of Indonesian generation Z customers are looking when they see a smartphone. Data collection method is determined using a questionnaire to be distributed to 116 Gen Z customers from two major cities in Indonesia, namely Jakarta and Surabaya. A quantitative method is conducted using some classical assumptions tests to obtain the relationship value of the variables observed. The results indicate that the relationship between country of origin in smartphone manufacturers on purchase intention of generation Z customers has a positive effect on the customer purchase intention, but relatively small. They preferred product that have durability and also comfort for them. Finally, it can be indicated that the approach of country of origin is no longer relevant to be used for Z generation customers.
Keywords: Country of origin; Purchase intention; Gen Z
Topic: International Conference of Islamic Economic and Financial Inclusion