Word of Mouth as a Mediator between Ethnic Identification, Brand Image, and College Selection Decisions: An Empirical Investigation of Private Universities in Medan City, Indonesia

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Bambang Sutejo, Rosmala Dewi, Rusiadi, Salman Faris, Nasib

2024 Journal of Logistics, Informatics and Service Science Vol. 11 Issue 10 Article Cited by 0

Abstract

This study examines the mediating role of Word of Mouth (WOM) in the relationship between ethnic identification, brand image, and college selection decisions in the context of private universities in Medan City, Indonesia. Drawing on data collected from 313 students using a questionnaire, the authors employ structural equation modeling (SEM) with Smart PLS to test the hypothesized relationships. The findings reveal that ethnic identification and brand image have significant direct effects on WOM, which in turn has a strong influence on college selection decisions. Moreover, WOM mediates the relationships between ethnic identification, brand image, and college selection decisions. The study contributes to the literature by highlighting the importance of WOM in shaping college choice decisions and provides practical implications for private universities seeking to leverage ethnic identification and brand image to attract prospective students. The authors discuss the limitations of the study and suggest avenues for future research. © 2024, Success Culture Press. All rights reserved.

Affiliations

Student of the Management Doctoral Program, Universitas Prima Indonesia, Jl. Sampul No. 4, Medan, Indonesia; Universitas Negeri Medan, Jl. William Iskandar Ps. V, Kenangan Baru, Kec. Percut Sei Tuan, Kabupaten Deli Serdang, Sumatera Utara, 20221, Indonesia; Universitas Pembangunan Panca Budi, Jl. Gatot Subroto No.km, Simpang Tj., Kec. Medan Sunggal, Sumatera Utara, Kota Medan, 20122, Indonesia; Universitas Prima Indonesia, Jl. Sampul No. 4, Medan, Indonesia; Institut Bisnis Informasi Teknologi Dan Bisnis, Jalan Mahoni No 16, Gaharu Medan, Indonesia