100% Love Indonesia: Role of Government Campaign to Promote Local Products in Indonesia

ASEAN Marketing Journal, 8(1), 1-17, 2016

18 Pages Posted: 1 Jan 2016 Last revised: 10 May 2017

See all articles by Imam Salehudin

Imam Salehudin

University of Indonesia (UI) - Department of Management; University of Queensland, Business School, Students; University of Indonesia (UI) - Faculty of Economics and Business

Date Written: June 1, 2016

Abstract

English Abstract: This research aims to investigate the role of government buy local campaign to increase domestic consumer preference toward local products in Indonesia. This paper also aims to identify relevant mediating variables between exposure to “buy local” campaign and willingness to purchase local products. This research use questionnaire data from 394 respondents selected using purposive sampling method. Product specific constructs are asked and analyzed separately on four different product categories (e.g. Produce, Leather, Culinary and Creative products). Data was analyzed using Structural Equation Model and further compared across product category. The study finds that exposure to the buy local promotion campaign does increase consumer ethnocentrism, consumer attitude toward the campaign and toward domestic products. Consumer ethnocentrism does increase attitude toward domestic product and willingness to purchase local products.

Indonesian Abstract: Penelitian ini bertujuan untuk menyelidiki peran kampanye pemerintah untuk membeli produk lokal dalam meningkatkan preferensi konsumen terhadap produk lokal di Indonesia. Tulisan ini juga bertujuan untuk mengidentifikasi variabel mediasi yang relevan dalam menjembatani antara paparan terhadap kampanye “beli lokal” dan kesediaan untuk membeli produk lokal. Penelitian ini menggunakan data kuesioner dari 394 responden yang dipilih menggunakan metode pemilihan sampel “purposive”. Penelitian ini juga mengukur dan menganalisis secara terpisah empat kategori produk yang berbeda (antara lain: Hasil Bumi, Produk Kulit, Kuliner dan Kerajinan). Analisis data dilakukan menggunakan pemodelan persamaan struktural dan dibandingkan lintas kategori. Studi ini menemukan bahwa paparan terhadap kampanye “beli lokal” meningkatkan etnosentrisme konsumen, sikap terhadap kampanye dan terhadap produk lokal. Etnosentrisme konsumen meningkatkan sikap terhadap produk lokal dan kesediaan membeli produk lokal.

Keywords: Buy Local Campaign, Consumer Ethnocentrism, Willingness to Purchase Local Products, Consumer Attitude, Indonesia

JEL Classification: M31

Suggested Citation

Salehudin, Imam, 100% Love Indonesia: Role of Government Campaign to Promote Local Products in Indonesia (June 1, 2016). ASEAN Marketing Journal, 8(1), 1-17, 2016, Available at SSRN: https://ssrn.com/abstract=2709912 or http://dx.doi.org/10.2139/ssrn.2709912

Imam Salehudin (Contact Author)

University of Indonesia (UI) - Department of Management ( email )

Campus UI Depok
Depok, West Java 16424
Indonesia

University of Queensland, Business School, Students ( email )

St Lucia
Australia

University of Indonesia (UI) - Faculty of Economics and Business ( email )

Kampus Baru
Depok, West Java 16424
Indonesia

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