FACTORS AFFECT PURCHASE INTENTION IN MALAYSIA’S DEPARTMENT STORE

Abstract

With the rise of online shopping services by some of the big e-commerce companies, namely Taobao and Lazada by Alibaba Group, Shoppe by Sea Group and Zalora by Global Fashion Group SA, it affecting the department stores as more and more customers shopping online instead of shopping at department stores.

The raise of online stores caused the competition increase intensively, it forcing department stores to re-strategize and identify the factors that influence consumer purchase behaviour including store atmosphere, sales promotion and social cues to sustain competitive advantage and generate more sales. Nowadays department stores are concern about store atmosphere, sales promotion and social cues, especially store atmosphere because this is the advantage that online stores not able to provide, and it influences consumer purchase behaviour.

Therefore, this study intends to determine the factors in department store that influence on consumer purchase intention in Malaysia. The framework is designed to study department store in Wilayah Persekutuan, Malaysia by investigating three main factors which are store atmosphere, store design and store social cues. The research also aims to show which factor has a higher influence on purchase intention in department store Malaysia. The unit analysis of this research is at the individual level of each consumer.