The Modeling Approach: Understanding Customer Intention in Purchasing Batik Geblek Renteng

Abstract

In line with the sustainability issues, the Geblek Renteng Batik innovation has developed at Kulon Progo. To understand the purchase intention, the study involves social welfare and marketing mix. It is carried out on second-order modeling where the marketing mix is developed as a formative model while social welfare and purchase intention are reflective. This modeling places 31 indicators, 11 dimensions, and 3 constructs with developing 13 hypotheses. The study involves 70 respondents using the convenience sampling method. Results show marketing mix and social welfare have a significant impact on purchase intention. In the dimension level, price and promotion make a significant contribution to the marketing mix, however, product and place are not significant. Other results show the social welfare contributes significantly to the goal of ecology, economic, and social culture. Lastly, purchase intention makes a significant contribution to the intention on the transaction, preferences, references, and exploration of the Geblek Renteng motif. This study is an initial study in capturing the potential associated with purchase intention so further studies will develop a larger sample size. The result is expected to support the development of local innovation sustainably.