THE EFFECT OF ACCULTURATION TO GLOBAL CONSUMER CULTURE TOWARDS PURCHASE DECISION OF SOUTH KOREAN SKINCARE AND COSMETIC PRODUCT

The development of the globalization era encouraged the dissemination of information and beauty trends from South Korea to Indonesia. To be accepted by the Indonesian market, South Korean beauty companies need to consider the acculturation aspects, because it is one of the primary determinant fac...

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Bibliographic Details
Main Author: Indira Putri, Alya
Format: Final Project
Language:Indonesia
Online Access:https://digilib.itb.ac.id/gdl/view/61134
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Institution: Institut Teknologi Bandung
Language: Indonesia
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Summary:The development of the globalization era encouraged the dissemination of information and beauty trends from South Korea to Indonesia. To be accepted by the Indonesian market, South Korean beauty companies need to consider the acculturation aspects, because it is one of the primary determinant factors of consumer purchase decisions in a foreign country. The purpose of this study is to analyze the effect of acculturation on global consumer culture towards brand attitudes with global consumption orientation, perceived value, and materialism as mediating variables, then study the influence of brand attitudes on purchase decisions with purchase intention as a mediating variable, identify the factors that influence the purchase decisions of South Korean skincare and cosmetic products in Indonesia, and develop marketing recommendations for South Korean beauty companies to affect consumers’ purchase decisions. To validate the hypotheses from previous studies and answer the research questions, a quantitative approach was taken. An online survey was conducted by 250 respondents from Indonesia from generations x, y, and z who had purchased South Korean skincare and cosmetic products for a minimum of six months, and PLS-SEM was used to analyze the relationship between the variables. The findings indicate that acculturation influences consumers’ purchase decisions towards South Korean skincare and cosmetic products through several variables. It is found that cosmopolitanism has a significant influence on global consumption orientation and perceived value. Similarly, global mass exposure and self-identification with the global consumer culture have a significant impact on materialism. Materialism then has a significant impact on perceived value, which in turn has a significant impact on brand attitude. Brand attitudes then have a significant influence on purchase intentions, which in turn has a significant influence on the purchase decision. The results suggested that South Korean beauty companies should maintain their product quality, referral systems, including price information, emphasize the benefits and functions of products, enhance their advertising competitive advantage, provide beauty steps, recommend a product based on their age group, enhance their brand presence in mass media and add a wider range of product options. This study is expected to enhance marketers' understanding of how companies could improve purchase decisions through understanding the acculturation between these two countries.