Proceedings of ICLT 2012
ANALYSIS OF THE DYNAMIC RELATION BETWEEN LOGISTICS DEVELOPMENT AND ECONOMIC GROWTH IN INDONESIA
Mohamad Reza
Department of Logistics Management, National Kaohsiung University of Science &Technology, Taiwan
International Conference on Logistics & Transport 2012, Chiang Mai, Thailand, pp. 127-134
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Abstract
Purpose: This study proposed a causality model in the context of Short Sea Shipping (SSS) services to investigate the influence of purchase intention through the buyers’ service preference and perceived value. Approach: This study applies the structure equation modeling (SEM) approach to assess the empirical strength of the relationships in the proposed model. The model has been validated through empirical test that the extent of preference matching between services delivered and customer needs in each attribute influence the perceived value of customers and therefore affects the final purchase intentions. Findings: The attributes of a service can commonly be categorized into service quality and service preference where the former represents an attitude that the more the better but the latter pertains to each one's preferred selection. The findings show that timing related services, pricing related services, warehousing services, sales services, door-to-door services, information services and advertising services have positively impact on customer preference. Practical implications: In addition to the conventional satisfaction indicator in which the quality is perceived after using the service, we show that the perceived value can be an effective criterion for evaluating the procurement decision before the consumption of transportation service Originality/value: Although existing studies have addressed the importance of service quality and perceived value, the service preference of customers and its relationship to perceived value and Purchase Intentions remain unexplored.
Keywords
service preference; perceived value; purchase intention; Short Sea Shipping (SSS)
Citation
Mohamad Reza (2012). ANALYSIS OF THE DYNAMIC RELATION BETWEEN LOGISTICS DEVELOPMENT AND ECONOMIC GROWTH IN INDONESIA. Proceedings of the International Conference on Logistics & Transport (ICLT 2012), Chiang Mai, Thailand, pp. 127-134.