Analysis of Willingness To Buy South Korean Skincare Products in Relation to Ethnocentric Tendencies and Customer Worldmindedness

Luke, Angela Vania (2021) Analysis of Willingness To Buy South Korean Skincare Products in Relation to Ethnocentric Tendencies and Customer Worldmindedness. Bachelor thesis, Universitas Pelita Harapan.

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Abstract

Since 2019, skin care brands from South Korea have begun to take market share in Indonesia along with the development of K-Beauty in the global industry. Although, many international skin care brands, especially South Korea are used in Indonesia, local brands are still the choice of many Indonesians, this is because of their good quality and affordable prices. This study examine the influence of customer ethnocentrism and worldmindedness moderated by domestic products judgment on willingness to buy South Korean skincare. This study uses a quantitative approach with data collection methods using electronic questionnaires through Google Form. In this study, 125 respondents were Generation Z skincare users aged 17-24 years with a minimum time of use of 6 months. Measurement of the inner model and outer model data using the SmartPLS 3.0 application. Structural Equation Modeling (SEM) was conducted to examine the relationship between constructs within the theoretical framework of this research. The findings of this study are that customer ethnocentrism does not have a negative effect on willingness to buy South Korean skincare products. And domestic products judgment does not moderate the relationship between customer ethnocentrism and worldmindedness on willingness to buy foreign products. But worldmindedness has a positive effect on willingness to buy foreign products. The results of this study are expected to help the skin care industry from both importers and local companies in improving their performance and excellence in competing in this industry.

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