THE INFLUENCE OF REFERENCE GROUP ON BUYING DECISION IT MEDIATING BY CONSUMPTIVE BEHAVIOUR

Abstract

iPhone is the object of this research because the iPhone's market share is still in 5th place in Indonesia, still below other smartphone brands. The dependent variable analyzed in this research is Buying Decision, the independent variable analyzed in this research is Reference Group. The sample used in this research was iPhone users consisting of 100 respondents. Sampling was carried out using the accidental sampling method. This research uses the Structural Equation Modeling (SEM) analysis method. Data analysis in this study used discriminant validity tests, reliability tests, model quality tests, multicollinearity tests and hypothesis tests with the help of SmartPLS 3 data processing software. The results of this research show that the Reference Group does not have a significant positive effect on Buying Decision. Reference Group has a positive and significant effect on Consumptive Behavior. Consumptive Behavior has a positive and significant effect on Buying Decisions. The results of the indirect influence from this research are that Reference Group has a positive and significant influence on Buying Decision through Consumptive Behavior as an intervining variable.