THE ROLE OF LOCATION AND WORD OF MOUTH IN INFLUENCING STUDENT CHOICE OF PRIVATE UNIVERSITIES IN MEDAN

Abstract

This study aims to examine the influence of location and word of mouth on students’ decisions to choose private universities (PTS) in Medan. The research was motivated by the increasing competition among higher education institutions in the city, which requires a deeper understanding of the factors shaping students’ preferences. Using a quantitative approach, primary data were collected from 100 respondents through structured questionnaires. The data were analyzed using multiple linear regression to measure the effect of location and word of mouth on decision-making. The findings reveal that both location and word of mouth have a significant and positive impact on students’ decisions. Location was found to play a stronger role, indicating that accessibility, campus environment, and proximity remain decisive factors. Meanwhile, word of mouth, particularly from peers, family, and alumni, also proved influential by shaping perceptions of credibility and quality. The results highlight that decision-making in higher education is not only determined by academic reputation but also by practical and social considerations. These findings suggest that universities must prioritize infrastructure development and student satisfaction to strengthen their image and enhance positive recommendations. Future research is recommended to explore other potential variables such as tuition fees, digital marketing, and accreditation status to provide a more comprehensive understanding of student choice behavior.