Verawati Onggowidjojo

Faculty of Business

Widya Mandala Catholic University Surabaya, Indonesia

Lena Ellitan

Faculty og Business

Widya Mandala Catholic University Surabaya, Indonesia

 

ABSTRACT

This article discusses the Amazon company’s efforts to achieve competitive advantage, especially in the field of technology. The development of technology has been very rapid lately, and continues to emerge, which has made many companies concentrate on businesses related to technology. With technological advances, companies have to immediately learn to implement, develop, analyze and modify and continuously innovate technology so that they can learn from the success of the Amazon business which is experiencing phenomenal success both in the United States and throughout the world. Online business has experienced a scientific cycle of evolution that we all know. Online business itself was born because it was triggered by the birth of the internet. One company that can continue to maintain its competitive advantage in the field of technology and become a giant in its online business is Amazon. It is very difficult to compete with the business created by Jeff Bezos, because Amazon is always updating its marketplace with superior technology, one of which is using drone technology which can speed up package delivery compared to other marketplaces. So that more and more people are interested in using the Amazon marketplace because delivery is precise, fast, accurate and trustworthy so that it can maintain its competitive advantage compared to other marketplaces. This article also discusses various comprehensive marketing strategies, especially discussing the competitive advantages of Amazon’s very well-known product, namely Amazon Prime Air. Jeff Bezos’ very strategic leadership style makes the company increasingly leading, and achieves optimal competitive advantage.

Keywords: Competitive advantage,  marketplace, Leadership, Marketing strategy.

INTRODUCTION

In the current era of the 4th industrial revolution, there are several countries that are heading towards the 5th industrial revolution. Almost all of them use technology to run their business, so they can reach levels of society in a region or country. Online business has experienced a scientific cycle of evolution that we have all felt recently. According to Shabazz, 2004; Coffman and Odlyzko, 2001) the resistance is gradual. Online business itself was born because it was triggered by the birth of the internet. One company that has continued to survive well during the growth, decline, and revival of online businesses is Amazon.com (Kha, 2000; Casey and Carroll, 2004).

            Amazon is a world-famous marketplace giant and is very famous and is number one in the world because of its prowess in the field of e-commerce. However, first we have to look at the background of its success story before it became the marketplace giant it is today. The strategy used by Amazon is based on very strategic thinking that is able to create and bring competitive advantage to the company, will increase the value of the company itself and will increase the quality of competition in the industry it operates in (Porter, 1994).

From a strategic point of view to achieve competitive advantage, according to Porter and Villar (1985), competitive advantage as a company’s ability to achieve economic profits above the profits that competitors in the same industrial market can achieve. Companies that have a competitive advantage always have the ability to understand changes in market structure and are able to choose effective marketing strategies (Porter, 1994). The marketing strategy is developed in several stages, namely: analyzing trends or tendencies based on patterns, environmental analysis (SWOT), making choices about the strategy to be chosen, choosing the strategy that is considered most appropriate, transforming the strategy into action (Pearce and Robinson, 2003). Salah One form of strategy to achieve competitive advantage is Value Chain Management (Porter, 1994), which is a collection of activities to design, manufacture, market and deliver products to consumers so that consumers can experience added value in addition to the products or services they purchase (Porter, 1994) . Strategy can provide sustainable competitive advantage so that companies can have an advantage in strategic resources. These strategic resources have the characteristics of value, rare, imperfectly immitable (difficult to imitate), and non-substitutable (irreplaceable) (Henry, 2008). And this is what Jeff Bezos implemented for his company called Amazon.

Jeff Bezos started Amazon for the first time on July 5, 1994 in his garage located in Bellevue, Washington DC, United States. The initial capital came from Jeff Bezos’ own personal money, which was worth 10,000 US Dollars because he saw the potential opportunity from growing internet usage by 2,300% per year by opening a business selling goods online (Kotha, 1998; Mc Carthy, 1999). Jeff Bezos’ initial goal in starting his own business was to create a small-scale bookstore, and his hope was that the bookstore he presented could be purchased by consumers throughout the world using an online system. The first book that was successfully sold through the Amazon site was a science book entitled Fluid Concepts and Creative Analogis by Doug Hofstadte, on April 3, 1995.

            At the beginning of its founding, Amazon succeeded in receiving orders from consumers in the United States in 50 states and 45 countries throughout the world. In 2011 Amazon became one of the eleven most expensive brands in the world of information technology with a brand value of US$ 18.6 BILLION (Interbrand in Business Insider, 2012). Amazon.com’s growth was achieved through four strategic pillars, namely: (1) service, (2) customer connection, (3) supply chain management, and (4) diversification (Amazon Watch, 2012). Customer service involving all existing employees without exception. Consumer connection involves building websites in various languages. Supply Chain Management involves building many Amazon.com warehouses in metropolitan areas and diversifying Amazon.com by expanding the business beyond just selling books and online retail stores.

Amazon is starting to spread its wings to become an octopus company by employing 341,400 employees with revenues of $136 billion dollars in 2016 with a profit margin of 1.74% (Pramisti, 2017). From initial capital worth 10,000 US dollars, Jeff Bezos has been very successful in developing Amazon into a company or organization with a capitalization value of 1,670 trillion US dollars in 2021.

             Amazon is a multinational marketplace company based in Washington DC, United States which has become the largest in the world because of its competitive prices and only adds small profits but plays a large number of consumers. Currently, Amazon has turned into an e-commerce giant whose products do not only offer books but have turned into a marketplace that provides daily necessities products such as Vesta (which sells household robots), Amazonetube (online videos that want competing with YouTube), providing entertainment content such as technology-based video games, compact discs, computer software, Amazon Prime Air (a membership service that offers fast delivery), Amazon Fresh (a form of delivery service for fresh products that has been available in various countries such as: Tokyo, London, and Germany), Amazon Web Services / AWA cloud services (services in the field of renting server space to companies and other individuals such as cloud services), Aexa (a digital assistant like Bixby), Kindle Tablet (service which was originally for electronic book readers, which functions completely as a tablet and more functional media equipment), Amazon TV Streaming (a form of service that competes with equipment from Google Chromecast and Apple TV, Amazon entered the television set system market which provides streaming facilities others), Speaker Echo (a search engine assistant in the form of a speaker called Echo), and development of other service products. This is a business strategy implemented by Amazon to continue to spread its wings so that it continues to achieve sustainability and be famous in the world (Collins Willis et al., 2022; Nunes et al., 2020; Gereffi, Gary and Wu, 2018; Zhu & Liu, 2018; Li, 2018, Majed et al., 2018).

Amazon’s main strategy is:

Product choice  price  convenience (Jeff Bazos’ version of Three Big Needle Movers. Meanwhile, Amazon’s business line in general can be divided into three forms, namely:

Online retail  Internet services  Kindle ecosystem

The strategies for various types of business in online retail are products sold by Amazon as a traditional retailer, which are products with low costs such as clothing, media, baby products, health goods, and many other variations. Another retail strategy is to become a platform for selling goods intended for other retailers and take a small profit, which is for Amazon’s own income. Furthermore, Amazon has become a long tail retailer which provides a wide variety of goods by selling used goods through sellers from Amazon’s own marketplace. Amazon’s development certainly applies its main focus to market intelligence such as: customers, creating its own market, and mastering the competitive environment optimally.

             Amazon’s main vision is to become a customer centric company in the world. In this way, Amazon creates a site that is customer friendly and linked to the needs of each type or characteristic of customers. This is in accordance with one of the principles of market intelligence which focuses on customers with its main elements such as measuring customer satisfaction in real time, this is to avoid losing customer loyalty and make customers as customers a source of innovative creative ideas (co-creation). In order to fulfill the principle of controlling a competitive environment, Amazon continues to develop product differentiation strategies while still paying close attention to its competitors. One way is to see the potential of big data, such as studying consumer behavior well, because it can gather all the information from consumers regarding their needs, can provide a service that consumers really need, consumers can absorb products from Amazon and an integrated distribution system (using artificial intelligence or continuous technological updates) making it difficult for Amazon’s competitors to beat it. In carrying out its mission, Amazon implements a dynamic pricing strategy. There are four types of dynamic pricing strategies for the marketplace, such as:

Time-based price purchasing strategy, dynamic marketing strategy, market segmentation strategy and limited supply, comprehensive use of the three types above. Dynamic pricing referred to in e-commerce can be defined as a dynamic modification of the price of a product which depends on the value given by customers to a product or service. This model can be achieved by combining data from customers and pre-programmed pricing with the aim that customers meet certain criteria (Cheng & Wang, 2009). This article reviews how Amazon achieves competitive advantage through marketing strategy, the leadership style of Amazon’s founders, and success analysis.

Literature review

Competitive advantage

                        According to Porter and Armstrong (2014) competitive advantage is an advantage over competitors that is obtained by offering consumers more value. Competitive advantage strategy is the most important thing in marketing. According to (Pakpahan, 2016) it is an advantage over existing competition that cannot be achieved by competitors and can be applied over a long period of time. Meanwhile, according to Sudaryono (2016), competitive avantage is a benefit that exists when a company has and produces a product or service that can be seen by its target market as better than its closest competitors. Meanwhile, according to Hill and Jones in Bunga Aditi and Sopi Pentana (2018) stated that competitive advantage is a company’s specific strength which can enable the company to make products that are different from the products offered by competitors and have lower prices than competitors.

E-Commerce

The definition of E-commerce according to Harmayani et al., (2020) is the distribution, sale, marketing, purchase of goods or services using electronic means such as computer networks, television, websites and other internet networks. Meanwhile, according to Kotler and Armstrong (2014) E-commerce is an online channel that can be reached by someone via a computer, which is used by business people in carrying out their business activities and used by consumers to obtain information using the help of computers, the process begins with providing information services to consumers in determining choice. Meanwhile, according to Wong (2010), e-commerce is the process of buying and selling and marketing goods and services through electronic systems, such as radio, television and computer networks or the internet. Meanwhile, according to Mc Leod Pearson (2008) e-commerce is the use of communication networks and computers to carry out business processes. The popular view of e-commerce is the use of the internet and computers with Web browsers to buy and sell products.

Marketplace

According to Opiida (2014) E-marketplace is an internet-based online media where business activities and transactions between buyers and sellers are carried out. Buyers can search for as many suppliers as possible with the desired criteria, so as to obtain market prices. Meanwhile, as a seller, you can find out what buyers want.

E-marketplace can be interpreted as a place where sellers and buyers meet virtually, where they can carry out buying and selling transactions through the platform. In Indonesia, the marketplace is regulated in article 1 paragraph 4 of the Regulation of the Minister of Finance of the Republic of Indonesia number 210/PMK.010/2018 concerning Tax Treatment of electronic trading transactions. It can be explained that the marketplace is an electronic means of communication used for transactions aimed at buying and selling activities via electronic (Minister of Finance Regulation, 210/PMK.010/2018).

The function of this electronic market is the same as traditional markets, namely a place where buyers’ demand and sellers’ supplies meet. The difference between the two is that electronic markets process buying and selling transactions using information technology devices online without face to face. According to Priorita, 2021, there are advantages or benefits compared to making payments in cash, including convenience and accessibility. And all information related to buying and selling transactions can be updated in real time between buyers and sellers, according to Yohanes Kurniawan and Wibowo Kosasi in their Relationship Commitment on E-Marketplace.

Leadership

Every organization of course requires cooperation between people and of course requires a leader. The most important component in an organization, whether small, medium or large, requires a very strategic leader, who can provide direction to his subordinates, so that the vision and mission of an organization can be achieved optimally.

According to Moejiono (2002) leadership is a one-way influence, because leaders can have certain qualities that differentiate themselves from their followers. Voluntary theorists (compliance induction theorists) tend to view leadership as coercion or exerting influence indirectly and as a means of forming a group in accordance with the wishes of the leader. Meanwhile, according to Wahjosumidjo (1999) states that a leader has intelligence, responsibility, is healthy and has characteristics including maturity, freedom of social relations, self-motivation, and a drive for achievement as well as an attitude towards humanitarian work relations. On the other hand, in modern social reality, charismatic leaders are also known, especially in social and political environments.

Marketing strategy

Strategy is a series of grand plans that can describe how a company must operate well to achieve the core of the company’s goals. Meanwhile, marketing is a very effective tool for companies that distribute products, both goods and services, in order to gain profits in accordance with all the sacrifices they have made, and in turn consumers have received satisfaction from the products they buy or use. According to David (2013), strategy can be defined as a shared means with long-term goals to be achieved. Strategy is a potential action that requires top management decisions and large amounts of company resources. So it can be said that strategy is an action or activity carried out by a person or company to achieve the targets or goals that have been set at the beginning of its founding. Marketing strategy according to (Kotler and Armstrong, 2014) is a marketing logic where the company hopes to create value for customers and achieve profitable relationships with customers.

A marketing strategy is a plan that outlines a company’s expectations of the impact of various marketing activities or programs on demand for its product or product line in a particular target market. Companies can use two or more marketing programs simultaneously, because each type of program such as advertising, sales promotion, sales personnel, customer service, or product development has a different influence on demand. Therefore, a mechanism is needed that can coordinate marketing programs so that the programs are in line and integrated synergistically. This mechanism is referred to as a marketing strategy. Generally, the best marketing opportunities are obtained from efforts to expand primary demand, while the best growth opportunities come from efforts to expand primary demand, while the best growth comes from efforts to expand selective demand (Kotler and Armstrong, 2014). Meanwhile, according to Assauri (2012), marketing strategy is a series of goals and objectives, policies and rules that provide direction to a company’s marketing efforts from time to time, at each level and its references and allocations, especially as a company’s response to the environment and ever-changing competitive conditions.

Amazon: Lesson Learned

Many people both in Indonesia and around the world have heard and seen the information available so far, based on Companies Market Cap data, Amazon is ranked first in the list of e-commerce companies with the largest market capitalization value up to now, namely 2023. Everyone understands that the e-commerce industry is currently developing very quickly both in Indonesia and throughout the world. Every day, transactions that occur in the e-commerce sector continue to emerge, both those that have existed for a long time, and even those that have just been initiated. This was triggered by a surge in the number of consumers accessing online shopping via e-commerce.

As stated by a report from eMarketer entitled Global E-Commerce Forecase 2022, spending incurred on transactions using retail and retail e-commerce throughout the world is expected to continue to stabilize in 2022 after the previous two years due to the Covid-19 pandemic that hit the whole world. As a result, online business is very popular, due to regulations limiting face-to-face meetings to carry out transaction activities. According to an eMarketer report, e-commerce sales transactions worldwide will exceed US$ 5 trillion for the first time in 2022. The growth of online businesses is caused by various factors, such as the increasing need for shopping, the popularity of social media (digital marketing), and the ever-expanding subscription services market.

According to the Companies Market Cap page, Amazon is ranked first in the world in the list based on its capitalization reaching US$ 971.91 billion or equivalent to Rp. 14,905 trillion as of January 13 2023. Meanwhile, this multinational technology company based in the United States is one of the companies largest in the world and is one of the top five technology companies in the world, along with Alphabet (Google), Apple, Meta (Facebook), and Microsoft.

Amazon has become synonymous with online shopping. And continuously develops new products, acquisitions, and provides various service offerings that are different compared to others, so that this is useful for expanding its customers. Amazon has expanded its segmentation by reaching as many customers as possible. Amazon’s popularity is undeniable, and the numbers can explain everything. The Amazon application is one of the most popular shopping applications in the United States, with 98.07 million users accessing it at least once a month (Statistics, 2021). Amazon app usage also outperformed targets by a mile. By shopping online it becomes very simple and free from the stress of shopping offline.

Customers trust Amazon and for good reason too. Based on a survey of over 2,000+ customers in the United States, approximately 87% of shoppers agree that they are more likely to purchase products from Amazon than from other e-commerce sites (Freedvisor, 2022). Many people cannot deny that Amazon is the center of e-commerce. The trust that Amazon builds with its customers is based on a consistent and transparent product experience. According to Forbes, Amazon earns trust by delivering products that customers want on time, intact, and accurately, thereby fostering maximum customer trust.Amazon’s Prime membership program continues to reach more and more online shoppers. There are 168 million Prime subscribers in the United States (CIRP Amazon, 2022).

Amazon Prime is a paid subscription service offered by Amazon. This program was launched in 2005 and is available internationally. The benefits provided to customers include free shipping for two days (or faster), music and video streaming, as well as exclusive access offers. Of all the product categories, home and kitchen are currently the most popular product categories for businesses selling on Amazon. Nearly a third (32%) of all small and medium businesses on Amazon list products in this category (Jungle Scout, 2022). The second most popular category is beauty and personal care. Products in this category are sold by 23% of small to medium-sized businesses (SMBs) on Amazon.

The threat from new competitors is very high in online titles. This can be seen from Amazon’s efforts to capture the existing market in India with new players such as: Flipkart, Snapdeal, Paytm, and so on. This has resulted in Amazon Overseas operating on paid services and free service differentiation, but in India they are forced to follow a free model due to stiff competition. India, a growing market, has many online retail stores with various differentiations. The bargaining power of buyers is very high, because buyers/consumers will switch to other e-commerce if the prices and services offered do not match consumer expectations. With the presence of price comparison sites, consumers can be directly influenced by price factors. The growing number of coupon code sites could pose a real challenge for Amazon itself. Therefore, Amazon must also adapt by following, adopting according to current market trends.

Amazon also emphasizes the power of suppliers which is low until now in the online retail market, there has been a periodic growth in commission rates by the online retail market, but suppliers have little choice to choose which ones save more and can make a profit even if the profit is small. The threat for Amazon is that there are very high substitute products, buyers/consumers can easily switch to other online markets and even other local stores too. This was identified by Amazon and other online retail stores, and they began competing to start offering free delivery of goods/products and fast delivery in big cities within minutes or hours (Amazon Prime Air), as well as continuing to provide discount coupons. which is almost always on Amazon.

Amazon Prime Air customers or consumers can receive personalized promotions, and this can be captured by Amazon in increasing total consumer decision-making engagement as well. Amazon has created a strong customer base for the company and has led to Amazon’s dominance of the e-commerce market, an online market for commercial transactions which can result in online purchasing decisions (Sheth, 2021; Welch, 2015; Jung, Sunghun & Kim Hyunsu , 2017; Rodrigue, 2020).

There are retailers and consumers who are still not too happy with waiting times (because the Amazon Prime Air service, which consists of a fleet of drones, is able to deliver small packages directly to consumers’ doorsteps within half an hour after making a purchase on Amazon.com) and when they are looking for information and shopping though. Most retailers and consumers are slowly turning their attention to Prime Air by claiming the most efficient time possible for goods or products to be brought to your table (tools related to shopping baskets) within 30 minutes of searching (Welch, 2015). Even though internet searches show that it is a global affair and there are more than 2 billion people online around the world, the use of Amazon Prime Air is very effective when compared to the use of internet searches and shopping. Consumers will be able to enjoy the ease and comfort of shopping in their own homes and very fast service from Amozon Prime Air. Amazon can also do this through various methods such as perceptual mapping, direct and indirect methods (Hawkins et al., 2013). This method can help in determining evaluative criteria. Perceptual mapping can enable consumers to first assess the similarity of alternative brands. This can give consumers the possibility to make decisions about the products they want to buy. While the evaluation method involves Amazon asking customers what criteria they used in a particular purchase and recording what consumers say about the product and its attributes.

With the launch of Amazon Prime Air it will be able to ensure delivery of packages to customers much faster and waiting time windows will be reduced more quickly. Because drones (unmanned aircraft) deliver packages to customers by flying to a predetermined delivery location, and descending to the consumer’s yard by releasing the package in a safe way, then flying at a safe height that has been agreed upon by the United States Government and other parties. Amazon itself. Amazon Prime Air really cuts down on time. This delivery drone is only capable of carrying packages weighing up to 3 kg to customers in half an hour. This tool can fly as far as 24 km. Amazon is investing heavily in artificial intelligence (Artificial Intelligence) which helps drones navigate very safely to their destination and deliver packages comfortably and safely. With AI, it will be able to detect telephone cables, people, property and even small animals on land, thus preventing the risk of drones from colliding (Singireddy & Daim, 2018; Kim, 2020; Ramadan, Farah, & Kassab, 2019; Shavarani, Nejad, Rismanchian, & Izbirak, 2018; Martinez-Sanchez, Nicolas-Sans, & Bustos Diaz, 2021).

The segment most widely adopted by Amazon is destination buyers (Hawkins et al., 2013). These are individuals who are motivated or driven by the anticipated benefits of acquiring brand names and image-enhancing products and not through other factors involving socializing. This is the segment that can be most widely adopted by Amazon Prime Air since individuals using the service prioritize fast delivery and not necessarily other businesses such as entertainment services. Apart from that, the other segment that is most widely adopted by Amazon Prime Air is the basic segment of consumers or buyers. These are people who are motivated by what they want least, such as time, recreation, entertainment, or social services. And since the launch of Amozon Prime Air is in order to increase delivery in the shortest possible time, it will be more effective and efficient for customers (consumer behavior regarding purchase intention and willingness to pay which is studied by Amazon Prime Air). (G. Schiffman, 2015).

Drones from Amazon Prime Air can also serve the military, for surveillance (wildlife), to assist in search and rescue processes, and in filmmaking because they can take pictures from above (for example: using Amazon Prime Air drones) and sports (Singireddy & Daim, 2018).

The temporal perspective forms the main situational perspective that will influence customers purchasing from Amazon. This characteristic is of course related primarily to the effect of time on consumer behavior. This explains the time available for purchasing which has a significant influence in the decision-making process among consumers. Time is the main factor that Amazon Prime Air wants to solve to improve fast delivery compared to others. An innovation that can have a broad impact in the future, because it turns out that the use of drones can reduce the amount of gas emissions in the world, and consumer behavior will be a form of excellent service that can be provided by Amazon Prime Air (Shavarani, Nejad, Rismanchian, & Izbirak , 2018).

             According to Phaal and Muller (2007) suggest that road maps and their derivatives have become one of the most widely used management techniques to support innovation and strategy, both at the company, sector and national levels. According to Rinne (2004) describes a roadmap as a tool for managing the future of technology, and Amazon Prime Air implements this.Amazon Prime Air can be described as a continuous innovation that falls into the dynamic category because it always follows technological developments on a regular basis, indicating that the technology used by Amazon Prime Air is contemporary technology/continuously updated. This is based on the type of innovation that requires moderate changes in consumer behavior that are significant or major changes in consumer behavior that are of low or moderate significance for the individual (Singireddy & Daim, 2018; Jung, Sunghun & Kim Hyunsu, 2017; Sheth, 2021; Welch, 2015).

            Amazon’s airbase was established to deliver packages safely to customers in 30 minutes rather than having to wait two hours as before (Welch, 2015). A number of customers are still getting deliveries, and Amazon Prime Air has brought a change in the time span between ordering and delivery to customers faster than other competitors (Sheth, 2021). Even though the world of technology is developing more rapidly, like it or not, many companies are required to quickly adapt optimally, so that their customers and consumers are not left behind. What happens with Amazon is that many online buyers still use desktop rather than mobile when they make purchases on Amazon. About 67% of Amazon shoppers prefer to shop using their desktop or laptop computer (CPC Strategy, 2018). Online buyers aged 35 years and under are clearly more likely to prefer mobile devices, while online buyers aged 55 years and over are more likely to prefer desktop or laptop devices.

There are many small and medium enterprises (SMEs) throughout the world, around millions of them, all collaborating with Amazon. On average, Small and Medium Enterprises (SMEs) located in the United States sell more than 4,000 types of items per unit (Amazon, 2019). It is interesting to note that more than half of the items sold on Amazon stores worldwide are sourced from Small and Medium Enterprises. This is one measure of success achieved by Small and Medium Enterprises that collaborate with Amazon. It can be said that Amazon has offered great opportunities for Small and Medium Enterprises to develop and collaborate with Amazon, so that they can create jobs which are not small, namely 1.6 million jobs throughout the world.

If we look at the marketing strategy carried out by Amazon so far, it still uses strategies in product selection, price and ease of use. Amazon greatly utilizes technology as a source of competitive advantage in gaining profits. Utilizing Supply Chain Management well, namely establishing logistics bases near ports, making it easier to move goods, using drone strategies to send packages faster with technological advances owned by Amazon, the next strategy becomes a top priority on search engines, making it easier for consumers to accessing it, Amazon’s strategy is based on increasing technological capabilities for business success and following a cost leadership strategy that aims to offer maximum value to its customers at the lowest prices, by making Amazon a place to get inspiration in making purchases. Recent Amazon statistics have shown that it’s not just businesses that are turning to the popular online marketplace. However, according to the results of existing surveys, it shows that more than half (56%) of consumers start their purchasing journey on Amazon (Feedvisor, 2022). Understanding the customer journey map on Amazon’s platform can help existing brands and online retailers develop their strategies. Amazon is the place most buyers go to. Nearly three weeks out of every week, shoppers choose to check customer reviews as a factor in shopping online.

As we all know, to date Amazon has become the largest online retailer in the world and has consistently been a leader in the market segment. Amazon’s marketing business strategy focuses on costs. There are strategic steps such as providing discounts for all Amazon Prime members. Amazon Prime is a membership-based service that offers free two-day shipping when orders meet all requirements. After getting the free trial, the customer’s credit card will automatically be charged around $99 for membership for one year. Amazon’s other marketing strategy does not focus solely on technology but rather actualizes the benefits of economies of scale by exploiting efficiencies between external and internal resources. The Amazon team also uses big data analysis as a tool to map consumer behavior. Amazon’s next marketing strategy is to provide convenience where customers don’t need to leave the house to buy the products they want. Simply by using or accessing e-commerce from Amazon, all existing needs will arrive at the customer’s destination.

If we analyze Jeff Bezos’ leadership style, this leadership style usually produces higher performance than transactional leadership (Bass and Avolio, 2000), and this has also been researched by (Garcia-Morales, Liorens-Montes, & Verdu-Jover, 2008) . The survival of an organization depends greatly on the effectiveness and efficiency of its leaders. Requiring business leaders to reassess their styles and tactics in line with the urgency (Jones, George, 2006; Kew & Stradwick, 2008). Because strategic leadership is recognized as one of the main research directions in mainstream strategic management (Malewska & Sajdak, 2014). And supported by internal organizational sources because it can encourage competitive advantage. Valuable, rare, inimitable and non-substitutable resources (Barney, 1991) enable a business to develop and maintain its competitive advantage, to utilize its resources and competitive advantages for superior performance (Collis and Montgomery, 1995; Grant, 1991 ; Wernerfelt, 1984). Amazon also continues to strive to make the company or organization a good learner, one form of which is by directly monitoring consumer needs, hopes and anxieties through a customer service program that all employees must follow without exception. Another program whose aim is to understand consumer behavior, one of which is developing a multilingual website.

Because innovation is a key process that allows us to create, exploit, renew, and apply knowledge flows in new ways to create critical competencies for improving organizational performance (Barret and Sexton, 2006; Grant, 1996); Hurley and Hult, 1998; Nonaka and Takeuchi, 1995). A strategic leadership style can influence innovation and knowledge (Nonaka and Takeuchi, 1995; Senge et al., 1994). This is based on research from (Swanson, Kim, Lee, Yang, & Lee, 2020) that employees who perform well can achieve assets and leaders play an important role in influencing employee performance and organizational success in the future. And Amazon’s organizational culture also really demands creativity, so that new ideas can be maintained that can bring gradual change to Jeff Bazos’ company.

Sharing knowledge has been recognized as an important social asset for organizations that can improve organizational performance and success (Masa’deh et al., 2016; Razmerita, Kirchner, & Nielsen, 2016). This is evident from the leadership style of Jeff Bezos, who often shares his creative ideas with interested parties. According to Wang and Ahmad (2003) suggest several ideal contexts regarding knowledge in which individual knowledge creation and sharing can encourage the characteristics of trust, and that is very helpful for organizational culture change.According to research (Babalola, 2016) more complex and sophisticated places require educated leadership to face global competitiveness, and be able to compete with similar industries, in maintaining business continuity. According to Robins (2005), the relationship between superiors and subordinates is very important, because the benefits return to the organization, organizational effectiveness, career development and employee welfare.

            Amazon collaborates with millions of Small and Medium Enterprises (SMEs) by holding various events to educate sellers (Amazon, 2021), this includes events such as Amazon Academy throughout Europe, a special Boost Conference for businesses that use FBA services, and selling partners New Summits in all states of the United States. Selling Partner Summits is a series of six conferences designed to help sellers grow their businesses on Amazon’s platform. This can be said to be an example of the implementation of a strategic leadership style. Amazon is actively and dynamically working to attract more sellers to join its platform. And this really proves that a strategic leadership style can make more than 3,000 seller courses available for Small and Medium Enterprises who collaborate with Amazon to take.

Conclusion

Amazon is an online marketplace (e-commerce) company with a very large capitalization, number one in the world, and this is based on Companies Market Cap data. Amazon has been the originator of e-commerce (online shopping. From a financial perspective, Amazon shows that the company has succeeded in generating revenue with sales of $ 125.6 billion (Amazon, 2021), and continues to grow rapidly every year. Almost all of the product categories on Amazon are the most popular. Because there is so much product diversification, customers can surf to choose the products offered so that customers feel at home and stay loyal to using e-commerce from Amazon. Existing survey results show that price is the most important factor in customers or consumers deciding to purchase on Amazon, with around 82% of Amazon buyers listing it as an important shopping consideration (Statista, 2019). This is also balanced by low shipping costs and positive product reviews, so it is considered to be the main trigger for purchases on Amazon. Many customers also really enjoy the flexibility offered so far in terms of product returns and the fast shopping times offered by Amazon. Nearly half of Amazon shoppers say this is a very crucial factor to think about when shopping on Amazon. The suitability of the prime air offered by Amazon is also a key factor for customers or consumers to consider when using Amazon’s services.

Analytical data referring to the latest Amazon statistical data shows that it is not only businesses that are turning to more popular online markets. Existing survey results show that more than half (around 56%) of consumers start their purchasing journey on Amazon (Freedvisor, 2022). By using Amazon e-commerce, customers and consumers can understand the customer journey map to help brands and online retailers know that most people look for inspiration online when customers or consumers have not yet thought about a particular product to buy, and they can potentially influence other buyers based on the results of previous consumer reviews. Amazon remains a very popular first point of contact for online shoppers who are not thinking about the product they are planning to purchase. Amazon is the most targeted top ranking compared to Google, the world’s largest search engine, stating that around 72% of online buyers always check product reviews on Amazon. With customer review ratings being one of the main reasons people shop online, Amazon is great at attracting potential buyers. This paper can be used as a reference for other research that has the same object regarding the Amazon. The competitive advantage of the business developed by Jeff Bazos is very inspiring for business people engaged in e-commerce which is related to technology. However, business developments related to technology are developing very rapidly and we are expected to quickly adapt to technological developments as well, so as not to be left behind. This research can also provide an example in terms of leadership, in order to bring progress to a business (strategic leadership).

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Veronica Bhonsle

Department of English

Mumbai University

Abstract:

The complicated and dynamic narrative of feminism in Canadian literature reflects the country’s greater social and cultural changes. Before the 1980s, expressive realism, a literary strategy that sought to portray reality in a vivid and emotional way, was the main characteristic of English-Canadian feminist writing. But literary critics and academics of the era frequently emphasised portraying women as passive objects of observation rather than active contributors to the formation of knowledge and discourse. This strategy did not address representation, gender, or language issues theoretically. In this setting, women were frequently portrayed as subjects of study rather than knowledge makers, which maintained their marginalised position. Women writers from England-Canada were encouraged to experiment with their writing techniques in order to subvert the country’s predominate expressive realist discourse. By deviating from accepted norms, these authors aimed to investigate topics and viewpoints that had previously been disregarded or repressed. This article looks into Canadian narratives, especially women’s contributions to literature.

Keywords: Canadian narrative, feminism, realism, women’s contributions, intellectual thinking, historical aspects etc. 

Introduction:

            It is crucial to remember that up until recently, women’s contributions to literature and intellectual thinking were routinely neglected or marginalised. Because women’s lives and opinions were not historically recorded, it was believed that they did not write or engage in significant intellectual pursuits. Women’s history was frequently considered as a subset of social history, distinct from more general intellectual or cultural history, which made the situation worse. Methodological issues have presented a barrier to academics and researchers interested in women’s history. They needed to figure out how to hear the voices and understand the experiences of women who were frequently shut out of formal education, illiterate, and restricted to private spaces. In order to shed light on the contributions that women made to society, culture, and intellectual thinking, this project attempted to shine light on the experiences of women who were mostly absent from the historical record. The representation and victimisation of women in Canadian history were significantly altered by Canadian feminists. Their work attempted to challenge the dominant narratives that had consigned women to the background by highlighting the experiences, views, and accomplishments of women. These feminists contributed to a more complete and accurate understanding of Canadian history and literature by highlighting the value of women’s perspectives and stories. As the feminist movement gained momentum, it prompted a re-evaluation of the canons of literature and history and increased understanding of the diversity of voices and experiences in Canadian literature. A more broad and nuanced approach to understanding literature, history, and culture in Canada was made possible by this revisiting of the past.

            Without a doubt, Canadian literature is rich and varied, covering a vast range of genres and themes that have been inspired by numerous elements, such as geography, history, and the particular Canadian experience. Early Canadian literary narratives were significantly shaped by the colonial period, and authors like Susanna Moodie and Catherine Parr Traill have had a lasting influence on the field. Sisters from England who came to Canada in the 1830s, Susanna Moodie and Catherine Parr Traill, wrote about their adventures as explorers in the Canadian wilderness. Their writings, like Parr Traill’s The Backwoods of Canada (1836) and Moodie’s Roughing It in the Bush (1852), offered first-person tales of living in the difficult and untamable Canadian environment. These stories emphasised the hardships, strategies for surviving, and fortitude needed to prosper in the new environment. Their writings included thoughts on how people interact with the natural world, a major theme in early Canadian literature, in addition to tales of their own experiences. The harsh Canadian environment, with its enormous forests and erratic weather, took on a key role in their tales. Throughout Canadian literature, the concepts of survival and the interaction between humans and nature persisted.

            It is interesting to note that these themes appeared in later works by well-known Canadian authors like Margaret Atwood. Atwood examined the idea of survival as a recurrent subject in Canadian literature in her book Survival: A Thematic Guide to Canadian Literature (1972). She looked at how Canadian authors, like Moodie and Parr Traill before them, struggled with survival—both literally and figuratively—as they dealt with the difficulties of a harsh environment and defended their cultural identity against outside influences. The way later generations of Canadian writers approached issues of survival, adaptation, and the complexity of the country’s geography is a good indication of Moodie and Parr Traill’s influence. Their contributions provided the groundwork for the literary study of distinctly Canadian experiences, and they still serve as an inspiration for authors today.

            Canadian poetry underwent a tremendous transition in the 1960s and 1970s, establishing itself as a vibrant and dynamic literary form. Poets like Margaret Atwood, Margaret Avison, Phyllis Webb, and Gwendolyn MacEwen, noted for their avant-garde and experimental approaches to poetry, became important players during this time. By embracing postmodernist methods, these poets gave Canadian verse a fresh new energy. Their poetry covered a wide range of subjects, reflecting the changing social and cultural climate of the time. Within their lyrics, political issues, analyses of popular culture, feminism, discussions of environment, and inquiries into scientific humanism all found a home. Particularly notable among the prolific poets was Margaret Atwood, who was also a renowned novelist and literary critic.

            Other notable Canadian writers rose to prominence during the 20th century as well. Among the eminent authors who significantly influenced Canadian writing were Margaret Laurence, Gabrielle Roy, and Carol Shields. Furthermore, Alice Munro has the distinction of being regarded as one of the best current short story authors in the English language thanks to her mastery of the short story genre. Collectively, they helped Canadian literature gain international recognition by showcasing its distinctive voices, viewpoints, and narratives. It is important to remember, though, that the Canadian literary scene wasn’t always as active. Few works with true literary worth were published in Canada during the post-war decades. The difficulty Canadian writing had in standing out from bigger international literary currents and creating its own unique voice is highlighted by this scarcity. The rise of the writers previously listed was a watershed event that contributed to making Canadian literature a major player on the world literary scene.

Victimization in Writing:

            The way victimisation and power dynamics are portrayed in fiction has been greatly influenced by Canadian women writers. They have offered nuanced and complex representations of women’s power and strength throughout their works. These representations cover a wide range of images that reflect both traditional and modern views on the agency and impact of women. Tradition-based representations of women’s power are among the many that Canadian women writers have examined. These include more complicated ideas like witchcraft and the maternal role as well as demonstrations of power through symbols like clothing and hairstyles. These authors also look at how women have historically taken on tasks that society typically assigns to men, such as using weapons like knives and guns and succeeding in fields that have historically been dominated by men. The investigation of women’s sexual liberation and their usage of male terminology push the boundaries of preconceived concepts of authority.

            New and innovative depictions of women’s power have also been made by contemporary women writers. Advocating for individual freedom of choice, embracing androgyny, and expressing and processing strong emotions are a few examples. The capacity to convey one’s distinct vision, frequently through artistic expression, has developed into a crucial means of making one’s power known. Women writers have been integral to the growth of Canadian literature from the beginning and are frequently undervalued for their contributions. Women’s diaries and memoirs from the early periods of settlement show that they were actively involved not just in home domains but also in family management and helping to meet the needs of the land. This historical event shows that women weren’t just restricted to parlours and drawing rooms. This heritage of active participation is still there today, with many women writers succeeding not only in literature but also in many other professions. Because they authentically convey tradition and explore the search for reality, the works of Canadian women authors are appealing. Their stories provided insight into the oppression that both individuals and groups experienced, bringing up these concerns for debate and analysis. In this sense, Canadian women writers have paved the way for writing that challenges power dynamics, celebrates resiliency, and elevates the voices of people who are frequently silenced or ignored.

Feminism by Reading:

            The study of women’s experiences and voices in literature is where feminism first emerged. Of Woman Born by Adrienne Rich is a key piece of feminist literature that is intricately woven into the very fabric of feminism. Women now have the space to think beyond their existing circumstances thanks to literature and the intellectual world. Early feminism raised questions about the future of the traditional family unit. The family has had tremendous power throughout history and is still a powerful force in modern society, so this worry was not unwarranted. Although there have been a few pieces on women’s issues included since 1940, the biggest addition was in 1979. The education of young girls from different social backgrounds is sometimes given only passing consideration in even current feminist analyses of ideology.

            It is interesting to note that intellectual historians have mostly focused on researching Canada’s conservative ideological characteristics. A constrained examination of the feminist movement and its contributions is the outcome of this perspective. Early English-Canadian feminists pursued political compromise, respectability, and the opportunity to vote rather than advocating for complete liberation. It is crucial to remember that these early feminists had a different viewpoint from radical nationalism. Although some authors, including Micheline Johnson, Yolande Pinard, and Jennifer Stoddart, have asserted that feminism and nationalism are incompatible, it is important to note that this is not a universally held opinion. The interaction between feminism and nationalism is complicated and varies based on the situation and the individual’s personal views. In Canada, there is a complex web of connections between feminism, literature, ideology, and nationalism. The study of these topics contributes to a better understanding of the historical and social forces that have influenced the women’s movement and its interactions with other sociopolitical currents.

            Feminists were searching for historical examples that supported their more extreme beliefs in the 1970s. But the agendas of intellectual historians may diverge from the specific objectives of the feminist movement. While historians must admit that both feminists and conventional authorities perceived women as engaging in similar activities, feminists may believe that historical narratives were shaped to fit with prevailing orthodoxies. These included self-help, moral growth, wifely and household obligations, as well as involvement in charitable and religious activities. Feminists should understand that, while suffrage was one aspect of a variety of initiatives that spurred feminist efforts in the early 20th century, it was only one part of the difficult battle for women’s suffrage in Quebec against conservative and ecclesiastical resistance.

The idea of “separate spheres” can irritate historians who are attempting to identify the intellectual and ideological foundations of the discrimination and oppression experienced by women. males and women should naturally belong in various social spheres, with males in the public sphere and women in the domestic sphere, according to the idea of separate spheres. This ideology supported gender-based disparities and was frequently used to defend women’s exclusion from public life. In light of this, historians’ dissatisfaction as they look into how certain beliefs persist is reasonable. The idea of “separate spheres” has been ingrained in historical accounts and has influenced society conventions. Historians can help us understand the causes of gender inequality and the challenging fight for women’s rights by closely examining the historical roots of women’s oppression and exclusion. Overall, this text emphasises the conflict between the historical study of gender roles and the developing feminist viewpoints that want to question and topple established customs and hierarchies of power.            

Intellectual History:

            Intellectual historians in Canada have frequently focused their research on nationalism, and their work started to garner attention during the Quiet Revolution. Their research has centred on how the country is portrayed. These historians have unintentionally neglected women’s existence and accomplishments due to their focus on nationalism. Women are frequently portrayed as flimsy reflections of what these historians might have wished them to be when they are mentioned. Feminism and nationalism’s meeting point could lead to a novel method of intellectual history. Researchers could dive into the genesis and transmission of ideas by examining the roles that women played in constructing ideology, potentially giving fresh light on how intellectual thought is formed. The danger of “presentism,” which entails putting contemporary ideals and viewpoints onto historical contexts, is another typical pitfalls in existing feminist studies that this strategy may help to avoid. To ensure a more accurate understanding of past ideologies, it is imperative to balance this risk.

            Notably, intellectual history has typically been followed without giving careful account to the contributions that women made to the development of the ideas of significant male thinkers. The influence of women on the intellectual landscape has frequently been underappreciated because males have made up the bulk of intellectual historians. In conclusion, historians can uncover hitherto unrecognised aspects of historical ideologies and the creation of ideas by including both feminism and nationalism into the study of intellectual history. A more nuanced and inclusive understanding of the intricate web of thought and ideology throughout history may be achieved by addressing the exclusion of women’s contributions and points of view from traditional intellectual history.

            The broader feminist movement that was taking place in Western cultures throughout the 1970s had a considerable influence on the rebirth of interest in women’s history, a development that was also clearly noticeable in Canada. Intellectual historians should take particular note of the fact that this feminist movement offered a theoretical framework that had a profound impact on women’s history. The ideals of patriarchy and the relationships between genders served as the driving forces behind the feminist movement and later shaped the narrative of women’s history. Both ideas posed a challenge to the dominant historical narrative, which frequently focused on class conflict and the dominance of one class over another. Instead, they highlighted how crucial gender dynamics were in determining the course of history. These connections were seen as significant historical factors, whether they were purely dominated by male dominance (patriarchy) or had more complex interactions involving different facets of society, including family, religion, politics, the economy, and ideas.

            According to this viewpoint, the status accorded to women at any particular time can be used to judge how far a society has come. In addition to economic, demographic, and political issues, the predominate views and representations of women in that society also had an impact on this status. As a result, the advancement of women’s standing and the acknowledgment of their historical agency were entwined with the greater backdrop of societal advancement. Women’s history is a rich and uncharted region for intellectual historians looking for fresh areas to explore. Historians can learn more about the intricate interaction of ideas, cultural norms, and historical changes that have impacted relationships between men and women across time by examining the theoretical foundations of gender dynamics. In short, intellectual historians now have a fascinating opportunity to delve into a hitherto uncharted area of human history thanks to the feminist movement’s influence on women’s history and the ensuing change in viewpoint regarding the importance of gender relations in historical narratives. Understanding historical processes and cultural change more thoroughly requires acknowledging the agency, viewpoints, and contributions of women.

Historians of Feminism:

            Intellectual historians might study the early 20th century feminist movements, particularly those that were prevalent in Western countries like Canada. This investigation might help historians comprehend the feminism’s fall in the 1920s by highlighting the intellectual contributions made by women to the movement. This area of research may also interact with feminist theorists who see the entire ideological superstructure as a further manifestation of patriarchy that upholds the inferior status of women. Studying these movements could also shed light on the processes through which ideas are passed down through the generations. Intellectual historians need to focus on the demise of feminism in the 1920s. Investigating this trend may aid women’s history scholars in explaining the circumstances that led to the waning of the feminist movement at that time. This investigation may shed light on the intricate interactions between societal, political, and intellectual advancements that shaped the course of feminist movements.

            The role women played in supplying intellectual sustenance for the broader feminist ideology is another significant component that intellectual historians should investigate. Historians can gain a wealth of knowledge about the philosophical underpinnings of feminism and the manner in which women interacted with and developed its ideas by examining the writings, speeches, and intellectual contributions of women within these movements. The idea that entire intellectual systems could be viewed as continuations of patriarchy, maintaining women’s subordination, is a source of debate. This viewpoint calls on intellectual historians to critically analyse feminist theory. While some feminist theorists suggest that ingrained conceptions support patriarchy, others assert that these systems may be overturned by changing these ideals. Intellectual historians have the chance to analyse and add to this discussion by participating in it. A historical analysis of the topic of idea transmission between generations would also be very beneficial. Feminist historians have identified the clergy, educational systems, and families as agents of transmission. It is interesting to note that modern feminists frequently view some of these agents as conservative and constrictive influences, especially the clergy and the family. This irony highlights the intricate interaction of historical elements that affects how people view and interact with these organisations.

            In the end, modern feminists of the 1970s acknowledged that one of their most important battles involved overcoming deeply ingrained stereotypes and attitudes about women, particularly those that are instilled from a young age. Investigating these facets can help us gain a thorough grasp of the connections between concepts, assumptions, and attitudes as well as broader cultural shifts and intellectual advancements.

Conclusion:

            In fact, the writings of female authors like Susan Howe and male avant-garde writers from movements like Tish and Open Letter have linkages with Canadian feminist writing. These connections highlight how feminist literature has several facets and engages with a variety of literary influences and strategies. Canadian feminist authors have been influenced by the Tish group, a Vancouver-based group of avant-garde poets, and Open Letter, a literary journal that published avant-garde and experimental work. Feminist writers were drawn to their experimental and cutting-edge work because it provided fresh viewpoints and literary techniques that they could use to communicate their own distinctive stories and struggles. Canadian feminist novelists have also benefited greatly from the inspiration of authors like Susan Howe. Howe’s writing frequently explores language, history, and the nuances of identity; these are topics that are central to feminist literature. Canadian feminist writers have discovered a way to investigate and articulate their own thoughts and experiences in novel and thought-provoking ways by relying on Howe’s writings and methods. The dynamic character of feminist literature, which aims to engage with a diverse variety of voices and viewpoints to form a more inclusive and nuanced discourse, is shown by this merging of influences. The complexity and diversity of the feminist literary scene in Canada is illustrated by the appropriation of concepts and methods from both male avant-garde writers and female literary pioneers like Susan Howe.

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1991.

LINK TO DOWNLOAD PDF

Julieta Natania Sukamto,

Faculty of Business, Widya Mandala Catholic University Surabaya

Indonesia

Lena Ellitan,

lena@ukwms.ac.id

Faculty of Business, Widya Mandala Catholic University Surabaya

Indonesia

Abstract

The brand image and corporate nature of your product is one of the secrets of business success. The accurate brand image of your product can increase the sales of your product and create a foundation for the success of your company. In view of many employees who want to buy formal, yet trendy, high quality and price in The Executive, this brand identity of a company may be the right option.  The principle of reciprocity is a very important component in the literature on consumer interest and is one of the most important steps to achieve competitive advantage. In a build, defined as the consumer behavior, all its consequences can be combined. They have a large store in Tunjungan Plaza Mall to enhance the customer’s purchasing intention to support the executive brand image. This research will analyze about: the impact of reciprocity on purchase intention, The impact of reciprocity on corporate image;  The reciprocity on brand image; The corporate image impact brand image; The impact of corporate image on purchase intention and the impact of image on purchase intention at The Executive Tunjungan Plaza Mall Surabaya.

Key words: reciprocity, brand images, corporate images, purchase intentions

Introduction

When discussing fashion trends in Indonesia, it is definitely impossible to separate the names of fashion designers and events that took place in here during the growth of fashion trends. Fashion trends are fashions that have been popular for a time, including clothing or jewellery. The word fashion is often used in a positive way, primarily as a synonym for glamour, beauty, and lifestyle or styling that has a tendency to change on occasion. Moreover, fashion trends also represent social and economic status, and these are positions in which visibility is taken into account. The rise of world-famous designers and fashion magazines is increasingly making style or design a lucrative industry within the country. 

Fashion trends are driven mostly by fashion designers who create and make clothes. In this case, the word Fashion Industry would be used as an innovative enterprise created and manufactured by fashion designers in the sense of a fashionable apparel or clothing industry. Given the growing trend in the fashion world, people are becoming more aware of their appearance and paying attention to it so that buying activities in the fashion sector are increasing. 

Fashion is the kind of items that men and women buy most often. Shopping trends data from the above graph, which began in 2019, shows that men or women are purchasing fashion products. 39.3 percent purchased fashion items and accessories for the general male customers, led by 36.8 percent electronics and 18 percent household appliances. While 55 percent of total female consumers bought fashion items and cosmetics, 41 percent bought health and beauty items.

Brand image is one of the main factors affecting the intentions of consumers in the field of fashion. Since this industry has been reported to be cost-sensitive and low labor standards, it has become a serious social issue in the global market (Cookeand He, 2010). Thus, fashion companies regard CSR as an essential part of their image and sales improvement.  

Fashion companies need to be scattered through a wide range of brands with regard to corporate businesses and maximize opportunities (Arrigo, 2013; Lopez and Fan, 2009). The fashion industry should therefore study how perceptions of reciprocity affect company photo, brand image and the buying intention of consumers. 

The Management is a company from Indonesia. It is obvious that South East Asian countries like Malaysia and Indonesia have been able to achieve this fashion business. Once it first appeared, male managers looked for its goods in Indonesia. Everyone who works in an office always looks luxury and has always been a favorite of the executive brand. 

On the basis of a 2014 survey of the Indonesian Original Brand (IOB), the management managed to transform into a dress that men wanted. Moreover, the brands available in several centers do not prevent contemporary fashion inventions by the time. The Management has created fashion items that are not less suitable for women. In Indonesian malls, this company also trades shoes , bags and wallets for managers. 

Revenue from the Executive is about 2 million. So for men and women approximately one million. Sales are more or less the same, so that we can’t protect anything else. For a month we sold approximately 200,000 parts. If it’s about 2.4 million for one year, it means growth. For men alone, the highest (shirts) are about 400,000, since 40 percent of men’s items compensate that top.

Regardless of the company, consumers base their purchasing decisions on product or service reciprocity. Therefore, it is critical that we know how to best emphasize the reciprocity of business. The greater the reciprocity, the greater the consumer’s intent to purchase the product. For The Executive to increase purchases, reciprocity is therefore necessary. 

The subject in this research is The Executive Tunjungan Plaza Mall Surabaya, because The Executive Tunjungan Plaza Mall Surabaya is the biggest store that opened in Surabaya. The Executive has competitive rates to compete with another company. Consumers can be drawn to the store at worthwhile prices.

The brand image and corporate nature of your product is one of the secrets of business success. The accurate brand image of your product can increase the sales of your product and create a foundation for the success of your company. In view of many employees who want to buy formal, yet trendy, high quality and price in The Executive, this brand identity of a company may be the right option. 

The principle of reciprocity is a very important component in the literature on consumer interest and is one of the most important steps to achieve competitive advantage. In a build, defined as the consumer behavior, all its consequences can be combined. They have a large store in Tunjungan Plaza Mall to enhance the customer’s purchasing intention to support the executive brand image.

Research Questions

This research will analyze about:

1. Does reciprocity impact purchase intention at The Executive Tunjungan Plaza Mall Surabaya?

2. Does reciprocity impact corporate image at The Executive Tunjungan 

Plaza Mall Surabaya?

3. Does reciprocity impact brand image at The Executive Tunjungan Plaza Mall Surabaya? 

4. Does corporate image impact brand image at The Executive Tunjungan Plaza Mall Surabaya?

5. Does corporate image impact purchase intention at The Executive Tunjungan Plaza Mall Surabaya?

6. Does brand image impact purchase intention at The Executive Tunjungan Plaza Mall Surabaya?

Hypothesis Development

Relationship Between Reciprocity And Purchase Intention

The course of an activity evolves through interactive dialog through the acquisition of information. This two-way dialog can help firms to learn from a customer or group (Sawhney et al . 2015). The wealth of an interaction grows because the virtual community of customers helps companies open themselves to social science in addition to the knowledge of customers. Fader & Winner (2012 ) states that content (ultrasound) generated by users is being developed.  Ultrasound not only helps advertisers encourage one-way, but also communicate with brands and consumers in two ways. The interaction between musicians and fans is also influencing one of the factors of the strength, namely reciprocity. The shared behavior and acts of artists are reflected by fans understood and valued. But the fans remembered and helped the singer, this always happened. In this context, reciprocity is not necessary if there is no successful interaction, which may help and promote a sense of reciprocity with a higher degree of interaction (Daellenbach et al. 2014). The hypothesis to be evaluated in the following research are based on these studies: 

H1 : Reciprocity give impact on purchase intention.

Relationships between Reciprocity And Corporate Image

According to Veljkovic (2011), Keller’s (2003) theory that suggests the dimensions of corporate image and reciprocity relationships can be shown as follows. Corporate names or brands can draw large customers together with a high level of marketing innovations. The company identity is evident in the workers’ attributes, such as customer relations.  The identity of the company can be found in the organization’s principles and services which do not relate to the goods sold, such as social welfare, environmental conservation. The identity of the company can be reflected in the form of views or decisions concerning the company and in its attitude of faith with respect to the company that is qualified to market goods and offer its services and in the like level and value of its clients. 

H2 : Reciprocity give impact on corporate image.

Relationships between Reciprocity And Brand Image

No work in the field of relationship marketing has so far been undertaken on the role of brand identity as a moderating influence on consumer loyalty. This work will also mask this vulnerability. The research followed the model used by Hsieh & Li (2018) to view brand identity as a moderating variable, which looked at the effects of brand image public reciprocity as a moderating variable in Taiwanese insurance firms.  Results from research by Hsieh & Li (2018) show that brand images are shown to moderate consumer loyalty impacts on PRP. Consumers with a positive brand identity tend to be more faithful to the product, and consumers with a poor brand image appear to be faithful to the product. Hanzaeen & Farsani (2011) have also published related work. They would like to learn how brand identity reduces the impact of perceived PPRs on LG model electronics’ market loyalty. The findings of this analysis find that brand identity has already been shown to serve as a moderating effect on PPR on customer loyalty. The following hypotheses is therefore proposed by this research: 

H3 : Reciprocity give impact on brand  image.

Relationship Between Corporate Image And Brand Image

Many previous studies have shown that the effect of company advertising on brand images is important. In fact, Write. J (2018) at Mudambi et al . ( 1997) proved that brand branding is an relevant precedent. Hyun and Kim (2011 ) find that Corporate Branding mediates brand recognition and brand recognition in marketing combination activities. Such previous research have clearly shown that client photos add to the brand’s image. This presumption will boost the public identity of CSR initiatives and have an important impact on the market value with a stronger corporate picture.  Their public identity is valued by businesses as it has a positive impact on promotions and business accomplishments; Lee and Kotler 2011; Brown and Dacin, 1997 Sen and Bhattacharya, 2001). Many experiments have found that company and advertising identities have a significant effect on success factors, for example buying intentions. The company image has an effect on consumer buying intentions and reinforces trust in corporate communication according to Lee. J(2018), Yoon et al . ( 1993). Bloom and Gundlach (2001 ) also found that the image of a company influences buying intent either directly or indirectly. Francis et al . ( 2010). 

H4 : Corporate Image give impact on brand  image.

Relationship Between Corporate Image And Purchase Intention

KurniaSih (2012) ‘s analysis “Effect of price and quality of service on consumer loyalty by satisfaction variables” (Astra Motor Siliwangi Semarang, study at AHASS 0002 workshop) further confirms this report, which is an significant corporate picture of transactions again. This shows that good standard of service allows consumers to continue the company. This is more likely that consumers who are disillusioned will not buy potential goods. To businesses, customer delivery may be a powerful tool. Results of Hellier et al (2003) analysis. Srivastava and Sharma ( 2013) have also verified this study, which has shown service efficiency. 

H5 : Corporate image give impact on purchase intention.

Relationship Between Brand Image And Purchase Intention

In Sugiharti (2012) Zeithml and Bitner note that consumers may be affected by consumer imaging ‘s interpretation of products and/or services offered. The hypothesis indicates that, with respect to lifestyle and social status, the markers in the customer photographs will affect people’s desire to purchase a product. So the customer identity is one of the considerations that consumers weigh when choosing the product they want to fulfill their requirements. Fahrian et al(2013), Rachman et al(2014) and Jotopurnomo et al(2014) affirm work findings that have a direct impact on the value in sales. 

H6 : Brand image give impact on purchase intention.

Research Framework

After the report, the reciprocity and the plan to buy from the management includes. Accorporate identity and brand value are determined by reciprocity and purchasing intention in the management process, this model shows that reciprocity and purchasing intention is deciding the organizational reputation and image. First and foremost. If the client thinks of the management, it will create an image of the company and brand. The reciprocity and purchase intent impacts from this consumer. Finally, the customer-executive relationship will be established.  The role of customer self mediation in the relationship between brand identity, corporate image and potential buying intentions is explored in this report. The hypothesis suggests that mutual reciprocity not only strengthens future purchasing intentions, but also offers an alternate path that integrates brand identity with corporate awareness and future buying intentions. Management believes that businesses can boost their efficiency in maintaining their current clients by leveraging the informal reciprocity of retailers in accordance with business relationships.

RESEARCH METHOD

Research Design

This study used the assumption that objects were identified. This work was developed in a sample format and was specifically dependent on the data collection and analysis. The data used were primary data in which the data were collected from the respondents directly. Researchers would demonstrate in this analysis that there was any impact on corporate image and brand image through reciprocity and purchase intentions. Quantitative research was used in this study. The exploratory research design would be used for this particular study at the beginning, in order to gather data for a deeper understanding of the problem involved.

The operational definitions of each variable are as follows in this study:

Reciprocity Perceptions ( RP)

Reciprocity measures the distance and social trust of the clients are the operating definition used in this research for perceptions of reciprocity. The customer’s confidence level and the close social distance from the employee can bring hope of reciprocity. In Luigino(2008), two factors have seen to have a major effect on the reciprocity, according to Zahidah (2015). There are two of them:

1. Contact and communication exists between one person and another in two ways, which are between staff and customers.
2. Customers benefit from being a trendsetter, since they use the company’s products as a reward.

Purchase Intention (PI)

The intention to buy is described as the possibility for consumers to buy products offered by the store, the possibility for consumers to consider buying products offered by the store, the possibility for consumers to propose this product to others and the possibility for consumers to buy the product. The metrics used were derived from the following: In & Kang in Tariq et al . ( 2013), which was :

1.  Expressly buy products.

Customers will buy product whenever they want or buy whatever goods are discount. 

•  Thinking of buying products in the future .

Customer decided to buy product in this store when there is a new arrival. 

•  Buying certain products in the future may not be in a hurry to decide to shop for a long time.

Customers will buy the product in this store when they need something.

Corporate Image ( CI)

The organizational definition used for corporate image in this research is a general summary of a business identified to customers on the basis of general knowledge circulated within the community, or the perception of the behavior of a business by the public. What can be measured from: indicators that, according to Mayer in Palupi, 2015, affect the image of the company are:

1. Products given to consumers are good.
2. Customers are interested with the products.
3. Customers are satisfied with the overall appearance and feel of the product.

Brand Image (BI)

Brand Image is an idea or definition of a brand when customers hear feelings about a brand. Additionally, if anyone thinks that The Executive Goods don’t ignore, it will always help us remember the brand in the consumer’s mind. The measure brand image indicators as per Jin et al . , 2012) are as follows: 

1. This retail brand has a trendy image.

2. This retail brand has a reputation for quality.

3. This retail brand is already well known.

In this study measurement of variables used a Likert scale of five points. Likert scale is a psychometric scale that is commonly used in questionnaires, and is the most widely used scale in survey research. Likert scale is widely used to measure one’s social phenomena attitudes, perceptions and perceptions (Sugiyono, 2017:158). 

Type and Source of the Data

A quantitative analysis is used in this study. Quantitative data are numerically measured data (Kuncoro, 2013: 124). Numerical scale or number. This study data uses numbers or numerics for the presentation of data. The primary data sources in this study are because they come from interviewees. In this study , the data source is data directly obtained from respondents. These data have also been directly collected and analyzed from the previous data. Customers and users of The Executive, Surabaya participated in this study.

Tools and Data Collection Methods

A questionnaire provided directly to respondents is the method used to collect data in this report. Questionnaires are techniques for collecting data to answer questions from respondents (Sugiyono, 2014: 199). The data collection method in this study is a survey, specifically by providing questionnaires in writing to the participants. The respondents, namely the executive customers, will answer these questions.

 Population, Sample, and Sampling Techniques

Population, Sample and Sampling Technique

People are all classes (objects or subjects) with unique properties selected to test and then draw conclusions (Sugiyono, 2014: 115). Population is a whole. The sample for this research is all who use the product.

The sample is part of the population number and features (Sugiyono, 2004: 116). The sample used for this study was 161 respondents using the executive product. In order to eliminate errors and invalidity of the questionnaire, the number of respondents is 161. A survey of 100–200 people (2006: 605) is adequate to represent a study, so this study employs a survey of 161 respondents, according to Hair , Babin, Anderson and Tatham.

The sampling technique used is non-probability purposive sampling which means that sampling is done randomly (Soewadji, 2012: 140). Where the sample characteristics that have been determined in this study are as follows: 
1. Age ≥ 17 years (that age is considered to have the ability to make choices).

2. Have used  The Executive’s product for at least the last 1 year.

3. Live in Surabaya.

3.6. Technical Data Analysis

Structural equation modeling ( SEM) is the data analysis methodology used in this particular study. SEM is a statistical technique according to Yamin and Kurniawan (2009), which can also directly assess the relationship model between the latent building and its indicators. The computational method used in the analysis using the SmartPLS 3.0 Software is the Partial Least Square (PLS). PLS-SEM is similar both conceptually and functionally to a multiple regression analysis. The key goal is the maximisation of the variance described in the dependent design and the measurement of data quality based on the measuring model. Here is the explanation for the SmartPLS model fit assessment: The hypothesis exams determine the pattern of structural relations between variables. Hypothesis evaluations can be calculated in two ways: p-value and T-value. When the p-value is 0.05 for each of two variables, the relation between two is essential and the hypothesis is accepted. Meanwhile, with a T-value of < 1.96 > the relationship between two variables is meaningful and hypotheses accepted.

Characteristic of Respondents

To collect research samples, this study uses Google Form as a tool. To be able to fill out the questionnaire, the respondent must meet the requirements. The requirements are at least 17 years old, lived in Surabaya, and have used The Executive in the past one year. The questionnaire was distributed via Line, What’s app, and also Instagram. Then filled in by 171 respondents and found 161 respondents who qualified to meet the requirements. The non-qualified answers will be removed and excluded from research. Table 4.1 below is a summary of the characteristics of respondents with the majority of the respondents’ age are 17-23 years old, female and student or college student.

Data Analysis

            In this study the effect is measured by partial least square (PLS) on reciprocity perceptions, corporate image, and brand image on purchase intention. There are four variables in this research that have been used: 

(1) Reciprocity Perceptions → RP (RP1, RP2, RP3, RP4)

(2) Purchase Intention → PI (PI1, PI2) 

(3) Corporate Image → CI (CI1, CI2, CI3, CI4) 

(4) Brand Image→ BI (BI1, BI2, BI3) 

The model for research is shown below :

Outer Model Evaluation (Measurement)

The goal of the outer model analysis is to gain a better understanding of the relationship between the variable layout and the indicator by examining the convergent validity, the composite’s discriminating validity and reliability.

 Convergent Validity

Convergent validity is the construction calculation should have a positive correlation with the other alternative construct (Hair et al., 2014:119). The convergent validity analysis can be calculated by looking at external loading with the 0.70 cutoff to validate the data. Table 4.7 includes the outer load data for each variable indicator and each indicator must meet the requirements in this research with the 0.70 cut off. It indicates that the predictor and its attribute match very well.

Table 4.7

Outer Loading

Variable	Indicator	Factor Loading	Cut Off	Output
RP	RP1	0.724	0.700	Valid
	RP2	0.808	0.700	Valid
	RP3	0.813	0.700	Valid
	RP4	0.844	0.700	Valid
PI	PI1	0.929	0.700	Valid
	PI2	0.877	0.700	Valid
CI	CI1	0.821	0.700	Valid
	CI2	0.805	0.700	Valid
	CI3	0.795	0.700	Valid
	CI4	0.712	0.700	Valid
BI	BI1	0.783	0.700	Valid
	BI2	0.927	0.700	Valid
	BI3	0.880	0.700	Valid

The Average Variance Extracted (AVE) evaluation is another method for calculating convergent validity with the 0.50 cut off. Table 4.8 shows appropriateness of the AVE value for this research.

Table 4.8 

Average Variance Extracted (AVE)

Variable	Average Variance Extracted (AVE)	Cut Off	Result
RP	0.637	0,500	Valid
PI	0.816	0,500	Valid
CI	0.615	0,500	Valid
BI	0.748	0,500	Valid

 Discriminant Validity

            Discriminatory validity differs from the other building by empirical standards (Hair et al., 2014:121). The convergent validity analysis can be calculated by looking at the cross-loading of each indicator marked bold, and the bold number from the same horizontal line must be higher than any other attribute. It can be seen from Table 4.9, that each indicator ‘s cross load is higher than any other variable. This data shows the indicator for each variable is distinct

Table 4.9

Cross Loading Discriminant Validity

	BI	CI	PI	RP
BI1	0.783	0.576	0.386	0.484
BI2	0.926	0.553	0.482	0.527
BI3	0.879	0.486	0.500	0.486
CI1	0.460	0.820	0.399	0.429
CI2	0.609	0.804	0.418	0.469
CI3	0.494	0.795	0.345	0.412
CI4	0.358	0.712	0.372	0.427
PI1	0.504	0.503	0.928	0.567
PI2	0.446	0.368	0.877	0.405
RP1	0.481	0.412	0.417	0.724
RP2	0.462	0.490	0.405	0.808

The Average Variance Extracted in Root Squares (AVE) is another way of calculating the discriminant validity. Increased correlation between the latent structure should be given to the square root AVE (Hair et al . 2014). Table 4.10 below shows the product of square root AVE. Due to the measurements of Square Root AVE in Table 4.10, the overall indicators for all variables produce AVE root values higher than those for correlation in other variables. These data illustrate the strong racial validity of the framework of this study.

Table 4.10

Root AVE Square

	RP	PI	CI	BI
RP		0.316	0.555	0.336
PI
CI		0.163		0.435
BI		0.244

Composite Reliability

            By examining Cronbach’s alpha and composite reliability, the composite reliability assessment provides an estimate of reliability based on the correlation between indicator variables. The alpha and composite reliability parameters of Cronbach in order to ensure precision of the data are measured by the cutoff = 0,70 for each component. The alpha and composite reliability evaluation in all Cronbach’s Table 4.11, indicates that all the component has a value from 0.738 to 0.811, indicating that all the variables are reliable and stable.

Table 4.11

Cronbach’s Alpha and Composite of Reliability

Variable	Cronbach’s Alpha	Composite of Reliability
RP	0.828	0.875
PI	0.771	0.898
CI	0.791	0.864
BI	0.828	0.898

Inner Structural Model Evaluation

            The internal model explained the latent variable ‘s relation. The estimation of the internal model can be determined with the help of R-square, F-square significance, statistical importance, the direction coefficient impact dimension and the testing of hypotheses.

R-Square (R2)

            The Determination Coefficient (R2) is used to determine the endogenous variables capability to explain the diversity of exogenous variables, that is, the exogenous variables’ contribution to endogenous variables. Table 4.12 shows that the reciprocity perceptions variable R-square value amounts to 0.560 or 56.0%. In addition words Reciprocity Perceptions, brand image and corporate image contributions to purchase intention can be explained through quality variable of 56.0%, while the remainder of 44.0% is added by other variables not listed in this study.

Table 4.12

Value of R-Square

	R Square	R Square Adjusted
RP	0.560	0.551

F-square (F2)

            In addition , in order to consider the effects of latent variables on positive simulations, the PLS model is often tested by looking at the F-square value (effect size). If F-square value is 0.35, medium if 0.15, and small if 0.02, latent varibles have a strong impact.

            The results on Table 4.13 show that the effect size value (F2) of the purchase intention has a medium impact on reciprocity perception, but brand image and purchase intention have large impact on reciprocity perceptions .

Table 4.13

Check Analysis of F-Square Impact Size

Independent Variable	Dependent Variable
	PI
BI	0.051
CI	0.245
RP	0.445

Path Coefficient

            Path coefficient is the estimated path relationship between -1 and +1 in the structural model. Estimated track coefficients close to +1 show a strong relationship with the track. If the path coefficient near the -1 means the path is negative and the coefficient near the 0 shows that the relationship is weaker (Hair et al., 2014). The following explanations are shown in Table 4.15, which shows that the path coefficient is from 0.163 to 0.555 :

1. Purchase intention has positive path coefficient of 0.244. This shows that if Purchase intention variable increase, then brand image variable also increased by 24.4%.

2. Brand image has positive path coefficient of 0.435. This shows that if brand image variable increase, then corporate image variable increase by 43.5%.

3. Purchase intention has positive path coefficient of 0.163. This shows that if purchase intention variable increase, then corporate image variable also increased by 16.3%. 

4. Brand image variable has positive path coefficient of 0.336. This shows that if brand image variable increase, then reciprocity perceptions variable increase by 33.6%. 

5. Corporate image variable has positive path coefficient of 0.555. This shows that if corporate image variable increase, then reciprocity perceptions variable also increased by 55.5%. 

6. Purchase intention has positive path coefficient of 0.316. This shows that if purchase intention variable increase, then reciprocity perceptions variable increase by 31.6%.

Table 4.15

Coefficient of Path

	RP	Relationship
BIPI	0.244	Positive
CIBI	0.435	Positive
CIPI	0.163	Positive
RPBI	0.336	Positive
RPCI	0.555	Positive
RPPI	0.316	Positive

Testing of Hypotheses

            The aim of hypothesis testing is to determine the hypothesis of the research in chapter 2. The hypothesis criteria are T-statistical as long as 1.96 and P-values as long as 0.005. The hypothesis check results for the analysis sample are shown in Table 4.16 below:

Table 4.16

Testing of Hypotheses

Hypothesis	Path	T Statistics	P Values	Result
H1	BI -> PI	2.194	0.0287	Accepted
H2	CI -> BI	4.845	0.0000	Accepted
H3	CI > PI	1.586	0.1133	Rejected
H4	RP -> BI	4.002	0.0001	Accepted
H5	RP -> CI	8.212	0.0000	Accepted
H6	RP -> PI	3.232	0.0013	Accepted

The explanation of the research hypothesis given in Table 4.16 can be seen as follows: 

1. Hypothesis 1 (Brand image has significant impact on purchase intention). Based on the test result in the table 4.16, it can be concluded that the T-statistics value is 2.194with P-value of 0.0287. This has exceeded the minimum requirements of both T-statistics and P-value, meaning that brand image has significant impact on purchase intention of The Executive, thus it can be interpreted that the better of brand image tends to increase purchase intention to The Executive. Therefore, hypothesis 1 is accepted.

2. Hypothesis 2 (corporate image has significant impact on brand image). Based on the test result in the table 4.16, it can be concluded that the T-statistics value is 4.845with P-value of 0.0000. This has exceeded the minimum requirements of both T-statistics and P-value, meaning that corporate image has significant impact on brand image of The Executive, thus it can be interpreted that the better of corporate image tends to increase brand image to The Executive. Therefore, hypothesis 2 is accepted.

3. Hypothesis 3 (Corporate image has significant impact on purchase intention). Based on the test result in the Table 4.16, it can be concluded that the      T-statistics value is 1.586 with P-value of 0.1133. It does not fulfill the T-statistics minimum requirement which is greater than 1.96 and P-value minimum requirement which is below than 0.005. Therefore, hypothesis 3 is rejected.

4. Hypothesis 4 (Reciprocity perceptions has significant impact on brand image. Based on the test result in the Table 4.16, it can be concluded that the      T-statistics value is 4.002with P-value of 0.0001. It fulfill the T-statistics minimum requirement which is greater than 1.96 and P-value minimum requirement which is below than 0.005. Therefore, hypothesis 4 is accepted . 

5. Hypothesis 5 Reciprocity perceptions has significant impact on corporate image). Based on the test result in the Table 4.16, it can be concluded that the      T-statistics value is 8.212 with P-value of  0.0000. It is fulfill the T-statistics minimum requirement which is greater than 1.96 and P-value minimum requirement which is below than 0.005. Therefore, hypothesis 5 is accepted. 

6. Hypothesis 6 (Reciprocity perceptions has significant impact on purchase intention).Based on the test result in the table 4.16, it can be concluded that the T-statistics value is 3.232 with P-value of 0.0013. This has exceeded the minimum requirements of both T-statistics and P-value, meaning that reciprocity perceptions has significant impact on purchase intention of The Executive, thus it can be interpreted that the better of reciprocity perceptions tends to increase purchase Intention to The Executive. Therefore, hypothesis 6 is accepted.

 Discussion

The Impact of Reciprocity Perceptions on Purchase Intention

                        Based on the result of hypothesis testing, Reciprocity perceptions has significantly impact on purchase intention at The Executive. This can be proven that positive customer’s assessment of high product reciprocity of brand will cause high purchase intention to the product. Descriptive statistics of the reciprocity perceptions variable have a mean value of 3.87. The average value proves that most respondents agreed to the measurement of the reciprocity perceptions variable that the costs they incur are in accordance with the quality of The Executive products.If consumers buy The Executive Product, The Executive products give the worth quality of product.

            The results of this research are consistent with research conducted by Sawhney et al., 2015which states that the customers helps companies to open up to social science in addition to knowledge from customers (individual customer knowledge).  It is important for organizations to be able to build strong reciprocity perceptions to the consumers, because reciprocity perceptions will be associated with the future of the company. The level of reciprocity perceptions  of The Executive is good, supported also by discounts and promotions conducted by The Executive, making The Executive well known in the minds of consumers.

            In this research, the reciprocity perception by most of the respondents are great, and resulting in customer. This result is in accordance with the research’s result from (Daellenbach et al. 2014).which prove that reciprocity perception has direct significant positive impact on customer purchase intention; and Fader & Winner (2012 ) which confirm that customer reciprocity perception significantly influence customer purchase intention on  shopping environment. 

The Impact of Corporate Image and Brand Image 

            Based on the results of testing the hypothesis in this research indicate that corporate image has a positive and significant effect on brand image. These findings can be explained that a positive consumer assessment of a good product image on a brand will create high corporate image also in the minds of consumers towards a product brand. Descriptive statistics of the brand image variable have a mean value of 4.08. The average value proves that most respondents agreed to the measurement of the Brand Image variable.

            This result is in accordance with the research’s result from Write. J (2018) at Mudambi et al . ( 1997)  which indicates that corporate image is positively related to brand image; and also from research conducted by Hyun and Kim (2011 )  which indicate that corporate image has significant impact on customer brand image. From this result, it can be concluded that corporate image not just affecting purchase intention, but also affecting the brand image. This shows the importance of maintaining image, meaning that they should maintain to monitor the image of their brand, and keep improve and check the development.

            The results of this study are consistent with research conducted by Kotler (2011) Companies are interested in their corporate image because it positively influences marketing activities and company. Which ultimately consumers will feel satisfied with what is offered by The Executive, thus affecting brand image for The Executive products. In other words, the results of this study are in accordance with research conducted by Du et al  (2010) that found that a company’s image either directly or indirectly influences brand image positively. 

The Impact of Reciprocity Perceptions on Corporate Image And Brand Image

            The results of testing the third hypothesis in this research indicate that reciprocity perceptions has a positive and significant impact on corporate image and brand image. These findings explain that customer who already have a good quality perception of a product, will cause remember to the product. Descriptive statistics of the variable corporate image and brand image has a mean value of 4.01 and 4.08. The average value proves that most respondents agreed with the measurement of the variables. While customer’s reciprocity perceptions was seen to have a significant impact on brand image, the researchers found that a high level of customer reciprocity perceptions still does not create high image in the brand. In other words, there were other variables that have increased image in the brand. The end result of the average brand image still indicates that average respondents respond that think the respondents rely on The Executive reciprocity, making customers feel comfortable with The Executive.

            The results of this study are consistent with research conducted by Zeithml and Bitner in Sugiharti (2012) state that consumers’ perceptions of goods or services sold can be influenced by Consumer Imagery. Referring to the theory, it can be concluded that the indicators contained in the Consumer Image include lifestyle and social status can influence the interest of individuals to make a purchase of a product. The finding in this research is consistent with the research findings from Fahrian et al(2013), Rachman et al(2014) and Jotopurnomo et al(2014), which confirm the positive effect of reciprocity perceptions on corporate image. This means that retailers like The Executive need to please the customer to build image in the brand.

CONCLUSION AND SUGGESTION

This research explores the effect of reciprocity, brand images and corporate images in the purchase intentions of The Executive. The results are derived from the hypothesis research results and the discussion in the last chapter. Based on the result of research analysis and discussion in accordance with the purpose of the research, the conclusion can be drawn as follows:

First, The Executive, which means that perceptions of reciprocity strongly affect the purchase intention, decides the buyer. Reciprocity is positive and significant. Customers can recognize and remember a brand more effectively and increase purchase intention. More reciprocity is shown. Second, The Executive’s reciprocity perception has a positive impact on the corporate image.  Further, it means in order to raise the corporate image by consumer that The Executive gather  more event, The Executive should increase the corporate image, it can be either with joint event or bazaar. Third, reciprocity perceptions positively and significantly influence brand image on The Executive, which means good assessment or perception of product in satisfying customer’s needs will able to increase brand image. This shows that the role brand image is said to be important. Fourth, Corporate image positively and significantly influence brand image on The Executive, which means good assessment or perception of corporate image influences consumer purchase and strengthens their trust in company’s image either directly or indirectly influences brand image. Fifth, Corporate image affects purchase intention positively and significantly on The Executive, which means that corporate image can be used to encourage customers to increase The Executive’s purchase intention. Therefore, the higher corporate image that The Executive has also means that it would eventually affected purchase intention to The Executive indirectly through the purchase intention of the consumer itself. Sixth, Brand image positively and significantly influence purchase intention on The Executive, which mean brand image has a strong effect on consumer needs to make the buyer decision. It means that having brand image are important in order to create customers purchase intention towards The Executive.

            One of the limitations of this research is the object too general. The goal is to ensure that all executive products are generated without relying on one type. And this study differs independently from the particular case of the individual consumer. Often a brand image goal can shift when other incentives such as advertising and discount affect it.

            The researcher makes a number of suggestions and guidelines based on the following hypothesis which must be taken into consideration: In potential studies, the study of a particular commodity form is proposed The Executive Report for further research, which may become more comprehensive and precise. In comparison to other factors and metrics, for example the real actions of respondents purchasing repurchases and word of mouth will also be included. First, on the basis of research results that perceptions of reciprocity have a favorable and important effect on the purpose of purchasing from the executive, it is recommended to try to work in favor of the executive by the use of a variety of goods in customers and prospects. Innovative and informative marketing advertising such as Instagram and Youtube must be maintained by management, truthful information must be given, product specifications fulfilled, the monthly open air balloon at Indonesian centers must be maintained and public activities organized. Second, the findings show that the corporate image and the brand image have a positive and significant influence on the executive. In order for it to improve its role and make a difference with other well-known and more specialized and exclusive retail brands, the business must retain a strong mark and improve its clothes production.  Third, on the basis of the results from the report, which found that the brand image has a significant and important effect on the Executive’s purchasing decision, it recommended that the company remain conscious of the consistency and the production of new ideas, and employ trustworthy people to improve the quality of goods and services and encourage loyalty to others.  Fourth, in order to gain wide variety business to reach any sector of the industry from low-class to high-class and to do it every generation or years, The executive should be recommended to continue to be creative and produce new products.

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Lena Ellitan

Faculty of Business Widya Mandala Catholic University Surabaya, Indonesia

lena@ukwms.ac.id

            Abstract

As the internet and digital technology advances, everything becomes limitless. Many claim that the industrial revolution era had an impact on several elements of society, including the economy. In order for the organization’s desires and goals to be achieved and developed, as well as to contain competition, businesses must decide on new marketing strategies that are in line with the evolution of the times. The exchange of information in the form of marketing, sales, and customer support is one example of how internet use is still growing. Additionally, businesses can use the internet to strengthen their brands, defend their products, and build production and marketing plans. In the 21st century, several aspects of customer behavior, including perception, information processing, information sharing, views, attitudes, purchases, and follow-up behavior, have been influenced by social media. With the availability of web-based entertainment, companies can engage with their customers and receive feedback from them, and consumers can communicate with other consumers and share information about products and companies. Brand trust and intention to repurchase certain company products influence. To provide deals, agreements and associations with their buyers, many brands are now turning to online entertainment. Information and opinions can be easily announced using communication platforms. Buyer’s trust in a brand (brand trust) according to Ngabiso et al (2021) is a brand limit that is trusted by customers when an item or administration can overcome problems that occur with the buyer’s brand both in terms of certainty and focus on the buyer’s needs, then that is seen by the company can trust and be responsible for customer needs and welfare. This article discusses the role of Experiential Marketing, Social Media Marketing, and Brand Trust in increasing Repurchase Intention. This article can be used as a reference for other research that has similar variables to this research, namely experiential marketing, social media marketing, repurchase retention, and brand trust. The author hopes that this research can further assess the variables of experiential marketing, social media marketing, and brand trust as factors that can damage repurchase interest.

Keywords: experiential marketing, social media marketing, repurchase intention,  brand trust.

Introduction

The 4th industrial revolution is now underway, where technology has been assimilated into everyday life. As the internet and digital technology advances, everything becomes limitless. Many claim that the industrial revolution era had an impact on several elements of society, including the economy. Even though this period provides benefits, many people also view it negatively. The Internet of Things (IoT), Big Data, Artificial Intelligence (AI), and Additive Manufacturing have all entered this revolution. Examples can be found all over the world, including Indonesia.

The changes brought by the fourth industrial revolution have increased competition in the Indonesian business sector as businesses continue to gain market share and new clients. For the sake of sustainability and organizational goals to achieve and develop, as well as outperform the competition, businesses must decide on new marketing strategies that are in line with the evolution of the times. The exchange of information in the form of marketing, sales, and customer support is one example of how internet use is still growing. Additionally, businesses can use the internet to strengthen their brands, defend their products, and build production and marketing plans.

People in Indonesia have felt the impact of advances in information technology through the use of platforms and devices. In Indonesia, there will be 210 million internet users in 2022. In Indonesia, there were 175 million internet users before the pandemic. In other words, the number of people using the internet rose by 35 million during the pandemic. According to the AAJI report, 77.02% of people had access to the internet at that time. For comparison, in 2018 the level of internet access was still 64.8% and in 2019-2020 it was around 73.7%.

Every year, the number of Indonesians who use social media continues to increase. According to the We Are Social report, the number of active social media users in Indonesia increased from 170 million in January 2021 to 191 million in January 2022 or 12.35%. WhatsApp is the application most widely used by Indonesian people. This figure reached 88.7% after Instagram which reached 84.8% and Facebook with a percentage of 81.3%. Meanwhile, 63.1% and 62.8% are Telegram and TikTok users. Companies use social media to promote their brands and get customers to buy from them again, due to the large number of social media users in Indonesia. Customers are also given the opportunity to interact directly with businesses through social media marketing. Social media marketing can also see how customers respond to the offer. Samsung is interested in utilizing social media as a means of promotion and communication with customers because of the close relationship between social media and consumer interest in making repeat purchases.

In the 21st century, several aspects of customer behavior, including perception, information processing, information sharing, views, attitudes, purchases, and follow-up behavior, have been influenced by social media. With the availability of web-based entertainment, companies can engage with their customers and receive feedback from them, and consumers can communicate with other consumers and share information about products and companies. According to a survey conducted in 2019 by content management service website HootSuit, revealed that there are 130 million mobile social media users in Indonesia, out of a total population of 268.2 million, which shows the growth of Instagram in the country. 80% of Indonesians, or more than 100 million people, are Instagram users. Indonesia ranks third on the list of countries that experience the most incidents of internet fraud, according to the findings of a 2016 examination conducted by Kaspersky Lab. As an illustration of fraud, Samsung Indonesia distributed free smartphones via WhatsApp.. 

Brand trust and intent to repurchase a particular company’s products are affected. To provide correspondence, deals and associations with their buyers, many brands are now turning to online entertainment. Information and opinions can be easily shared using this communication platform. Web-based entertainment is seen as truer to buyers because it conveys the brand. An important consideration to expand repurchase interest is to make buyers recall a brand again with the help of special media through online entertainment. Buyer trust in a brand (brand trust) according to Ngabiso et al (2021) is the limit of a brand that is trusted by customers when an item or administration can overcome problems that occur with the brand both in terms of buyer certainty and focusing on the buyer’s needs, then it is seen that the company trustworthy and responsible for customer needs and welfare. This article discusses the role of Experiential Marketing, Social Media Marketing and Brand Trust in Repurchase Intention

Experiential Marketing

A marketing method called experiential marketing aims to provide customers with more than just facts about goods or services. Experiential marketing is an effort that focuses on analyzing customers as emotional and selfish humans who utilize consumption as a method to create meaningful experiences, according to Skandalis et al (2019). Meanwhile, experiential marketing is defined by Andriani and Fatimah (2018) as adding value to a good or service by influencing consumers’ feelings when using the good or service.

Kustini in the journal Fahmi (2019) also said that something that is not much different is that experiential marketing is the practice of marketing products or services through positive experiences and emotional stimulation. From the definition above, it can be concluded that experiential marketing is a way that must be understood by companies in approaching and retaining consumers, from the experience gained and through products or services produced by the company by adding positive things and a sense of impression for consumers when carrying out the process of purchasing products or services. services, as well as presenting something unique and having characteristics that other products do not have.

According to Priansa (2017) experiential marketing includes five dimensions, namely as follows:

          a) Sense is an important and obvious part of a brand that is captured by the five human senses, including sight, sound, smell, taste and contact. The purpose of sense is to produce sensory experiences through touch, taste, smell, and sound. By attracting customers and providing positive value to products or services, sense can also be used as a competitive advantage for businesses and products.

          b) Feel, namely from a moderate mood to very strong sentiments of joy and pride, feelings and emotions are used to influence events. The purpose of feel is to attract consumers’ attention and emotions by creating an experience of positive mood and soul that can evoke happiness or sadness. The way feel works is by having a strong understanding of certain emotional stimuli that can move emotions and the willingness of consumers to take part in views and empathy.

          c) Think, namely encouraging someone to think innovatively and critically which has the potential to significantly increase the evaluation of company products. Think aims to create cognition by appealing to consumer intellectuals and solving problems that involve consumers creatively. The target of think is to bring consumers to think in a centered and different way through surprise, collaboration and provocation.

          d) Act is a person’s long-term effort to develop consumer experiences connected to their physical body, behavioral habits, and lifestyle based on contact with other people. Act has a target, namely improving consumer experience through physical experiences and real behavioral patterns in doing something.

e) Relate, namely the relationship experienced by consumers, whether with the company or with the community of people who use the company’s products or services. Relate contains aspects of sense, feel, think, and act. But relate develops quickly through the consumer’s personal abilities and feelings, thereby connecting the consumer’s personality with something outside themselves. Relate aims to increase individuals’ willingness to improve themselves. Companies interact with consumers through a wider social system.

Social Media Marketing

Social media marketing is a type of digital marketing that utilizes websites and social media to advertise products or services for businesses. This gives marketers an incredible opportunity to connect with customers in social groups and forge more intimate bonds with them. With social media marketing, it is easier for manufacturers or company owners to communicate with clients or customers online. Additionally, there are few costs involved and no time limits as long as they have access to the internet. Social media marketing according to Gunelius in the journal Mileva and Dh (2018) is all direct and indirect marketing that is used to increase awareness, recognize, remember and take action on using social media, such as managing blogs, writing ideas, social media, social bookmarks , providing information, companies, businesses, goods, and individuals can communicate. According to Mileva and Fauzi (2018), social media marketing is a method involved in empowering individuals to advertise their sites, works and products through friendly channels on the web and convey it using a much larger local area that has greater opportunities for promotion rather than through regular advertising channels.

According to Nunik et al (2019), social media marketing is an interactive marketing communication activity between businesses and customers, and vice versa, which helps these businesses generate sales of their goods and services. According to the definition given above, the practice of encouraging individuals to market their websites, products or consumer services through online social media channels and to communicate with each other is known as social media marketing. It taps into a much larger community with more opportunities for marketing than traditional advertising channels.

According to Afifah (2016), social media marketing has several indicators, namely as follows:

1. Online Communities, namely a business must create a community to offer its products to that community and encourage customer loyalty. Local area souls to build resilience, support conversations, and contribute data that is helpful in the turn of events and business progress.

2. Interaction, namely the company must engage with customers by responding to their comments, direct messages and broadcasts to make it easier for customers to obtain information from the business. Through continuously updated and relevant information from users, social media enables increased participation from online communities.

3. Sharing of Content, which is a dimension that utilizes social media marketing as a way for individuals to trade, distribute and receive material in situations that allow content to take the form of photos, videos or status updates.

4. Accessibility, namely enabling consumers who have internet access to engage in social media conversations, accessibility emphasizes ease of access and low operating costs in social media marketing.

5. Credibility, namely the company must be able to show its credibility by providing information, helping customers in resolving problems, and responding to customer suggestions or criticism. The term “credibility” refers to sending a clear message to a brand that encourages it to establish credibility through actions or statements that have an emotional connection with the intended audience.

Repurchase Intention

According to Pham et al (2018) Repurchase is described as the client’s real activity in purchasing or reusing the item. When customers purchase a particular item, they can make subsequent purchases. This indicates that customers frequently purchase similar services or goods from the same vendor. While repurchase is an actual action, repurchase intention indicates a customer’s decision to engage in future activities with the seller. Repurchase intention, as defined by Hellier et al in the journal Christine R (2018), is a cycle in which an individual plans to repurchase comparable services and products based on past experiences. If the value of a product or service is great, customers will be more inclined to buy it again because it makes them feel good and is interesting. Due to emotional desire, consumers often intend to repurchase, which increases repurchase intentions even further.

Repurchase intention according to Ali Hasan (2018) is the intention to make a purchase based on previous history. High repurchase interest reflects a high level of consumer satisfaction with the decision to use or obtain a product. Once a consumer tries a product and determines whether they like it or not after doing so, they decide whether to buy it or not. When customers believe that the goods they use are of high quality and able to satisfy their needs and expectations, liking for the product will develop. Based on this definition, it can be concluded that repurchase intention is a customer’s desire to repurchase goods or services in the future because they are happy with the brand previously used. The degree to which consumers are committed to obtaining a good or service influences how likely they are to repurchase. The better opportunities consumers have to make further purchases, the more they want or are interested in a product. The likelihood that consumers will repurchase a used good or service decreases in proportion to the level of interest they have in it. Consumer desires arise from the experience of using a product or service by having a positive experience that makes the product or service the main choice in the future. Apart from that, consumers also provide recommendations for products or services to other people because consumers have had positive experiences, so consumer recommendations to other people do not make other people feel disappointed.

According to Saraswati et al (2021) there are 4 types of repurchase intention indicators, namely:

1. Transactional Interest is an individual’s tendency to carry out product transactions.

2. Referral Interest is where the customer’s action recommends goods to other individuals.

3. Preferential Interest is that customers can cause things that have been used as primary decisions.

4. Explorative Interest is the interest of someone who carries out a constant search for product-related information.

Brand Trust

Brand trust is consumers’ belief that the company or brand they choose can solve their problems and deserves respect and provides more value. According to Murthy in the journal Anang Firmansyah (2019), brand trust is a business that successfully builds a long-lasting customer brand experience based on the principles of politeness, honesty and integrity. According to Munuera in the journal Ngabiso et al (2021) defines brand trust as when a product or service can meet the needs implemented in the brand based on consumer trust and prioritizing or prioritizing consumer needs, then it has a brand capacity that is trusted by consumers.

Brand trust is a type of buyer’s desire to depend on a brand that is in danger because of the assumption that the brand will provide profitable results, according to Lau and Lee in the journal Putu et al (2018). Customer loyalty to a brand is influenced by customer trust in it. According to relationship marketing theory, brand trust will be a major factor in determining initial brand loyalty. According to the description given above, brand trust can be defined as a customer’s willingness to believe that a brand will provide favorable outcomes for them, which leads to loyalty and trust in a brand.

According to Delgado in the journal Anang Firmansyah (2019), brand trust indicators are divided into 2 elements, namely:

1. Brand reliability, namely the buyer’s certainty that the goods can fulfill what is guaranteed with the view that the brand can solve problems and can also provide satisfaction. As a result, consumers develop trust in a brand when it is able to deliver on its promises and ensure that they will continue to receive the same level of satisfaction. Honesty, convenience, service procedures and services offered to ensure customer satisfaction are all aspects of brand reliability.

2. Brand intention, namely customer assurance that the product can prioritize their needs when unexpected problems with product use develop. Therefore, intentionality refers to the idea that brands will pay attention to what customers need and will not take advantage of their gullibility by offering compensation for problems using the product.

Relationship between Experiential Marketing, Social Media Marketing, Brand Trust and Repurchase Intention

Someone will be willing to make a repeat purchase because the consumer has experienced, felt, and provided experience by purchasing a product that suits their desires and needs as a consumer. Thus, the higher the consumer’s experiential marketing, the higher the consumer’s repurchase interest in the product they have purchased. Based on research by Yanto (2018) on “The Effect of Experiential Marketing on Repurchase Intention through Experiential Value among Pasa Rame Restaurant Consumers in Surabaya” and research by Khoirunnisa, et al (2021) on “The Effects of Experiential Marketing and Social Media Marketing on Repurchase Intention with Brand Trust as Variable Mediation for Wearing Klamby Hijab Fashion Products” proves that experiential marketing has a significant effect on repurchase intention.

Many companies use social media as a way to connect, sell, and build connections with their consumers. This communication channel is ideal for exchanging knowledge and ideas. Because social media conveys the brand, customers perceive it as more authentic. The purpose of advertising is to inform customers about the company brand, so this will have an impact on their decision to make a repeat purchase. There are various ways to promote, but Instagram is one of them. Making customers remember a brand or product by using promotional advertising on social media is very important to increase repurchase interest. Based on research by Bawono, et al (2020) on “Analysis of the Effect of Social Media Marketing on Repurchase Intention Through Brand Trust as a Mediating Variable on Instagram Adidas Indonesia in Surabaya” and on research by Khoirunnisa, et al (2021) on “The Effects of Experiential Marketing and Social Media Marketing on Repurchase Intention with Brand Trust as Variable Mediation for Wearing Klamby Hijab Fashion Products” proves that social media marketing has a significant effect on repurchase intention.

Experiential marketing is a marketing effort carried out by a company to focus on creating impressive experiences for consumers. Consumer confidence in the product’s ability to fulfill the brand’s promises of value and goodwill based on consumer confidence in the brand’s ability to prioritize consumer interests is the basis of brand trust. It can be concluded that the relationship between experiential marketing and brand trust is that consumers will be willing to make repeat purchases because these consumers have a sense of trust and feel comfortable with the fulfillment of their desires and needs in purchasing products, because the better the brand experience, the higher the level of consumer trust in the brand. . Based on Oktafia’s (2016) research on “Analysis of the Effect of Experiential Marketing on Brand Trust and Customer Loyalty by Mediating Customer Satisfaction (Case Study on Garuda Indonesia Airline Customers in the West Jakarta Region)” and Andriny’s (2015) research on “The Effect of Experiential Marketing on Brand Trust and J.CO Donuts & Coffee Customer Loyalty in Pontianak City (Survey of J.CO Donuts & Coffee Customers in Pontianak City)” proves that experiential marketing has a significant effect on brand trust.

One of the keys to establishing a better relationship with a brand is trust, which can also be used to build relationships with future customers. Social media marketing is a new medium for transaction processes when it comes to sharing information and promoting items of business. Using social media as a tool because this marketing tactic has the ability to help businesses achieve their goals, especially through increasing brand trust. Based on research from Irawan et al (2020) on “The Influence of Social Media Marketing Activities on Brand Trust, Brand Equity and Brand Loyalty on the Instagram Social Media Platform” and research by Zulfikar (2017) on “The Effect of Social Media Marketing on Brand Trust on Instagram Followers Dompet Dhuafa Yogyakarta Branch” shows the extraordinary impact of social media marketing on brand trust.

According to Ngabiso et al (2021), brand trust is the capability of a product that is believed by customers when a product or service can meet the demands made on the brand, both based on consumer trust and prioritizing consumer needs. Because it directly influences repurchase intention, building and maintaining brand trust is very important (Dharmayana & Rahanatha, 2018). Based on research by Juwairiyah (2019) on “The Influence of Brand Image, Brand Trust, and Perceived Value on Repurchase Intention on Lion Air Airplane Tickets (Study on Undergraduate Students at Universitas Brawijaya Malang)” and Dellasari (2020) on “The Influence of Customer Experience and Brand Trust on Repurchase Intention in the Erigo Fashion Brand” has a fairly large impact on brand trust on intention to repurchase.

Consumers believe that with positive feedback from experiential marketing, consumers are willing to make repeat purchases. If someone uses an item repeatedly, then it can be said that the consumer is experienced in using the item and can be judged by trusting the product, so that the consumer has the intention to buy the product repeatedly, and vice versa. This means that the better and increased customer trust that results from experiential marketing, the more likely consumers are to increase their repurchase intentions.

It is recognized that one of the keys to strengthening consumer bonds with a particular brand is trust, which is a factor in long-term bonds with customers. Social media is used as a marketing tool because this approach provides several options to meet company goals, one of which is increasing brand trust. A trusted brand is a brand that succeeds in providing consumers with a memorable brand experience that is built on honesty, politeness and integrity (Murthy in the journal Anang Firmansyah, 2019). Building and maintaining brand trust is very important because orders directly influence a customer’s tendency to make more repeat purchases (Dharmayana & Rahanatha, 2018). Based on research by Bawono, et al (2020), it is proven that social media marketing has a significant effect on repurchase intention through brand trust.

Conclusion

Experiential marketing and social media marketing can significantly influence consumers’ repurchase intentions through brand trust because marketing through experience and social media is an effective marketing method in helping consumers more easily and efficiently find out consumer beliefs that arise from repeated consumer views that arise. arises from the product purchased, so that if consumers have a good view of a product, it is more likely that consumers will repurchase the product. This article can be used as a reference for other research that has similar variables to this research, namely experiential marketing, social media marketing, repurchase intention, and brand trust. The author hopes that this research can further assess the variables of experiential marketing, social media marketing, and brand trust as factors that can experience repeat purchase interest.

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