‘Surviving factors’ of traditional markets—Study in Ternate City, North Maluku, Indonesia
Vol 9, Issue 8, 2024, Article identifier:
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Abstract
Consumer behavior nowadays is founded on market developments, one of which is the existence of the modern market, which has become idolized by the populace and causes customers’ desire to continue to be spoilt. Therefore, consumers may now shop in modern marketplaces that offer a safer, more pleasant environment and choose products that fulfill their wants and preferences instead of going to stinky, hot markets to meet their needs. These conditions highlight the different situational contexts on how people intend to buy goods. This research examines and explores factors leading to buying decisions in traditional markets. This model was retested in traditional markets since two national retail brands opened in Ternate City, North Maluku Province, Indonesia. Mixed methods were used in this research, by firstly emplyoying a multiple regression analysis that was used for the quantitative approach; and then followed by using grounded theory method to explore the variables perceived by the shoppers. The findings show that while service quality, brand image, and product quality are found to significantly impact buying decisions, price and store atmosphere show a contrasting pattern, indicating a negative and insignificant influence. The qualitative analysis emphasizes the unique characteristics of traditional markets, highlighting their reputation for offering fresher products at lower prices despite being less convenient. It is suggested for traditional markets to focus on improving service quality, brand image, and product quality while addressing perceptions of price and store atmosphere. Highlight unique selling points like fresher products and a vibrant market experience to stay competitive is also necessary. Due to a limited number of the studied traditional markets, more ones should included in future research.
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DOI: https://doi.org/10.59429/esp.v9i8.2797
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