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Monetary and Image Influences on the Purchase Decision of Private Label Products in Malaysia

Stany Wee Lian Fong 1, Tan Pei Kian 1, Yeo Sook Fern 1, and Woo Vincent 2
1. Faculty of Business, Multimedia University, Melaka, Malaysia
2. College of Business, University Utara Malaysia, Kedah, Malaysia
Abstract—Private label is known as store brand which retailers name on products that can only be found in their stores. In Malaysia, the retail industry is dominated by international hypermarket retailers which focus on discount-oriented image. Due to high cost of living, the sales of private label products are expected to increase as they are priced comparatively lower compared to national brand goods. However, statistics show that the acceptance rates of private label among Malaysians are still relatively low compared to other countries in Asia. Thus, this study serves to examine the monetary and image influences on the purchase decision of a selected global hypermarket in Malaysia. 300 survey responses were gathered in this study via convenience sampling method. The result of this study empirically proves that brand image has full mediation effects on mediating price perceived and promotion to purchase decision of private label products in Malaysia. The result contributes in justifying the low acceptance rate of private label products among consumers in Malaysia.

Index Terms—brand image, price perceived, private label, promotion

Cite: Stany Wee Lian Fong, Tan Pei Kian, Yeo Sook Fern, and Woo Vincent, "Monetary and Image Influences on the Purchase Decision of Private Label Products in Malaysia," Journal of Advanced Management Science, Vol. 3, No. 4, pp. 312-318, December 2015. doi: 10.12720/joams.3.4.312-318
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