THE INFLUENCE OF MARKETING MIX AND SERVICE QUALITY ON CORPORATE REPUTATION AND ITS IMPACT ON REPURCHASE DECISION

Abstract

Abstract. Retail business is a growing Industry in Indonesia. Among others there are
two important variables in retail business: Marketing mix and service quality. This
research are aimed first to know and to analysis the influence of marketing mix and
service quality on corporate reputation and its impact on repurchase decision directly
and indirectly. Secondly, to analysis which variables affect mostly on corporate
reputation and on repurchase decision. The research approaches using quantitative
approach with survey method. Tool for the statistical test used structural equation
modeling (SEM) with LISREL 8.7 software. There are 200 respondents involved,
mostly are middle income people. Method of sampling used non probability sampling
method in particular by accidental sampling. The results: Marketing mix directly
influenced corporate reputation and repurchase decision directly and indirectly mediated
by corporate reputation. In the other hand, service quality directly did not influence
corporate reputation it also did not influence decision to repurchase directly and
indirectly through corporate reputation. Lastly, corporate reputation directly influenced
repurchases decision. Implication of the research it is obvious in retail industry
customer decision on repurchase is highly based on and influenced by marketing mix,
especially pricing policy and decision.