Success Factors in Creating Consumer Trust of Standardized Herbal Medicine in East Java, Indonesia

  • Authors

    • Nanang Suryadi
    • Yuyus Suryana
    • Rita Komaladewi
    • Diana Sari
    2018-05-22
    https://doi.org/10.14419/ijet.v7i2.29.14315
  • Perceived Valu, Consumer Trust, Herbal Medicine, Indonesia, Jamu

  • The development of Herbal Medicines in various countries of the World has been a discussion of researchers. Indonesia is one of the countries that uses and produces herbal medicine, which is believed to have enormous natural resources to support the development of this plant-based medicine. Consumer Trust becomes an interesting phenomenon to be examined more deeply, because the use of herbal medicine [traditional] is still less by modern medicine [chemical] when consumers buy for their own treatment. Several studies in various contexts show that Perceived Value has an impact on Consumer Trust. Nevertheless whether in the context of herbal medicine consumer perceptions of the value of herbal medicinal products will affect the trust of taking the herbal medicine. This study uses the design of Structural Equational Modeling analysis, and involving 357 respondents. In this article was revealed the influence of dimensions of Perceived Value to Consumer Trust of Herbal Medicines with Emotional Value, Functional Value, and Price Value Significantly Positive effect Consumer Trust, only one dimension has no significant effect that is Social Value.

     

  • References

    1. [1] Chen Y-S. Towards green loyalty: driving from green perceived value, green satisfaction, and green trust. Sustainable Development. 2013;21[5]:294-308.

      [2] Chen YS, Chang CH, Yuâ€Shan C, Chingâ€Hsun C. Enhance green purchase intentions: The roles of green perceived value, green perceived risk, and green trust. Management Decision. 2012;50[3]:502-20.

      [3] Kwok M-LJ, Wong M-CM, Lau MM. Examining How Environmental Concern Affects Purchase Intention: Mediating Role of Perceived Trust and Moderating Role of Perceived Risk. Contemporary Management Research. 2015;11[2]:143-52.

      [4] Chang K-C, Kuo N-T, Hsu C-L, Cheng Y-S. The Impact of Website Quality and Perceived Trust on Customer Purchase Intention in the Hotel Sector: Website Brand and Perceived Value as Moderators. International Journal of Innovation, Management and Technology. 2014;5[4]:255-60.

      [5] Kim C, Zhao W, Yang KH. An Empirical Study on the Integrated Framework of e-CRM in Online Shopping: Evaluating the Relationships Among Perceived Value, Satisfaction, and Trust Based on Customers' Perspectives. Journal of Electronic Commerce in Organizations. 2008;6[3]:1-19.

      [6] Torri MC. Traditional jamu versus industrial jamu: perceptions and beliefs of consumers in the city of Yogyakarta: what future for traditional herbal medicine in urban Indonesia? International Journal of Entrepreneurship and Small Business. 2013;19[1]:1-20.

      [7] Kemenkes. Riset Kesehatan Dasar. Jakarta, Badan Penelitian dan Pengembangan Kesehatan,Kementerian Kesehatan Repubilk Indonesia. 2010.

      [8] Bps. No Title. 2015.

      [9] Muslimin L, Wicaksena B, Setiyawan B, Subekti NA, Sukesi H, Surachman H, et al. Kajian potensi pengembangan pasar jamu. Pusat Penelitian dan Pengembangan Perdagangan Dalam Negeri Badan Penelitian dan Pengembangan Perdagangan Kementerian Perdagangan. 2009:215-.

      [10] Zeithaml VA. Consumer Perceptions Of Price, Quality, And Value: A Means. Journal of Marketing. 1988;52[3]:2-.

      [11] Cronin JJ, Brady MK, Brand RR, Hightower Jr R, Shemwell DJ. A cross-sectional test of the effect and conceptualization of service value. The Journal of Services Marketing. 1997;11[6]:375-91.

      [12] Hallowell R. Southwest Airlines: A Case Study Linking Employee Needs Satisfaction and Organizational Capabilities to Competitive Advantage. Human Resource Management [1986-1998]. 1996;35[4]:513-.

      [13] Heskett J. Creating economic value by design. International Journal of Design. 2009;3[1].

      [14] Woodruff RB. Customer value: The next source for competitive advantage. Academy of Marketing Science Journal. 1997;25[2]:139-53.

      [15] Sirdeshmukh D, Singh J, Sabol B. Consumer trust, value, and loyalty in relational exchanges. Journal of Marketing. 2002;66[1]:15-37.

      [16] Flint DJ, Woodruff RB, Gardial SF. Customer value change in industrial marketing relationships: A call for new strategies and research. Industrial Marketing Management. 1997;26[2]:163-75.

      [17] Slater SF, Narver JC. Intelligence generation and superior customer value. Academy of Marketing Science Journal. 2000;28[1]:120-7.

      [18] Hansen H, Samuelsen BM, Silseth PR. Customer perceived value in B-t-B service relationships: Investigating the importance of corporate reputation. Industrial Marketing Management. 2008;37[2]:206-17.

      [19] Butz Jr HE, Goodstein LD. Measuring customer value: Gaining the strategic advantage. Organizational Dynamics. 1996;24[3]:63-77.

      [20] Holbrook MB. Consumer value: a framework for analysis and research: Psychology Press; 1999.

      [21] Vranesevic T, Vignali C, Vignali D. Consumer Perception of Perceived Value and Satisfaction in Marketing Management. Journal of Food Products Marketing. 2004;10[3]:61-89.

      [22] Vargo SL, Lusch RF. Service-dominant logic: continuing the evolution. Journal of the Academy of marketing Science. 2008;36[1]:1-10.

      [23] Sheth JN, Newman BI, Gross BL. Why we buy what we buy: A theory of consumption values. Journal of Business Research. 1991;22[2]:159-70.

      [24] Sweeney JC, Soutar GN. Consumer perceived value: The development of a multiple item scale. Journal of Retailing. 2001;77[2]:203-20.

      [25] Chai JCY, Malhotra NK, Alpert F. A two-dimensional model of trust–value–loyalty in service relationships. Journal of Retailing and Consumer Services. 2015;26:23-31.

      [26] Morgan RM, Hunt SD. The commitment-trust theory of relationship marketing. Journal of Marketing. 1994;58[3]:20-.

      [27] Delgadoâ€Ballester E. Applicability of a brand trust scale across product categories: A multigroup invariance analysis. European Journal of Marketing. 2004;38[5/6]:573-92.

      [28] Wang L, Law R, Hung K, Guillet BD. Consumer trust in tourism and hospitality: A review of the literature. Journal of Hospitality and Tourism Management. 2014;21:1-9.

      [29] Chaudhuri A, Holbrook MB. The chain of effects from brand trust and brand affect to brand performance: the role of brand loyalty. Journal of Marketing. 2001;65[2]:81-93.

      [30] Gefen D. E-commerce: the role of familiarity and trust. Omega. 2000;28[6]:725-37.

      [31] Oktora K, Achyar A. The Effect Of Post-Purchased Perceived-Value Towards The Relationship Quality Of Hajj And Umrah Travel Agencies In Indonesia. The South East Asian Journal of Management. 2014;8[1]:29-.

      [32] Marcel P, Raphael R, Sina W, Paulssen M, Roulet R, Wilke S. Risk as moderator of the trust-loyalty relationship. European Journal of Marketing. 2014;48[5/6]:964-81.

      [33] Hair Jr JF, Hult GTM, Ringle C, Sarstedt M. A primer on partial least squares structural equation modeling [PLS-SEM]: Sage Publications; 2016.

  • Downloads

  • How to Cite

    Suryadi, N., Suryana, Y., Komaladewi, R., & Sari, D. (2018). Success Factors in Creating Consumer Trust of Standardized Herbal Medicine in East Java, Indonesia. International Journal of Engineering & Technology, 7(2.29), 1072-1075. https://doi.org/10.14419/ijet.v7i2.29.14315