BUSINESS INNOVATION AND DEVELOPMENT IN EMERGING ECONOMIES Edited by Irwan Trinugroho and Evan Lau (Pe aaa &)PROCEEDINGS OF THE 5™ SEBELAS MARET INTERNATIONAL CONFERENCE ON BUSINESS, ECONOMICS AND SOCIAL SCIENCES (SMICBES 2018), BALI, INDONESIA, 17-19 JULY 2018 Business Innovation and Development in Emerging Economies Edited by Irwan Trinugroho Universitas Sebelas Maret (U Indonesia Evan Lau Universiti Malaysia Sarawak, Malaysia 3) ‘CRC Press Tylor Francis Group Soea Raton London Mew Yexk Leen CRE Presi ot ol the Taylor & Francs Crop, an lforrna business A BALKEMA BOOKCRC Press/ Balkema is an imprint of the Taylor & Francis Group, an informa business ‘© 2019 Taylor & Francis Group, London, UK. ‘Typeset by V Publishing Solutions Pvt Ltd., Chennai, India All rights reserved, No part of this publication or the information contained herein may be reproduced, stored in a retrieval system, or transmitted in any form or by any means, electronic, mechanical, by photocopying, recording or otherwise, without written prior permission from the publisher, Although all care is taken to ensure integrity and the quality of this publication and the information herein, no responsibility is assumed by the publishers nor the author for any damage to the property or persons as a result of operation or usc of this publication and/or the information contained herein. Library of Congress Cataloging-in- Publication Data Names: Trinugroho, Irwan, editor, | Lau, Evan, editor. Title: Business innovation and development in emerging economies / edited by Trwan Trinugraho, Universitas Sebelas Maret (UNS), Indonesia, Evan Lau, Universiti Malaysia Serawak, Malaysia. Description: Leiden, The Netherlands : CRC Press/Balkema, [2019] | Includes bibliographical references and index. Identifiers; LCN 2019015377 (print) | LCCN 2019018078 (ebook) | ISBN 9780429433382 (ebook) | ISBN 9781138359963 (hardcover : alk. paper) Subjects: LCSH: Industries-Developing countries, | Management-Developing countries, | Economic development-Developing countries. Classification: LCC HC39.7 (ebook) | LOC HC39.7 .B8636 2019 (print) | DDC 338.7091 72/4-de23 LC record available at https:/flecn.loe.gov/2019015377 Published by: CRC Press/Balkema Schipholweg 107C, 2316 XC Leiden, The Netherlands e-mail: Pub. NL@laylorandfranciscom wiww.crepress.com — www.taylorandfrancis com ISBN: 978-1-138-35996-3 (Hk) ISBN: 978-0-429-43338-2 (eBook) DOI: https://doi.org/10.1201/9780429433382Business innovation and Development in Emerging Economies ~ Tinugroho & Lau (Eds) © 2019 Taylor & Francis Group, London, ISBN 978-1-138-35996-3 Self-monitoring in impulse buying: Effect of religiosity ‘W. Maryati Pesaniren Tinggi Darul Ulum University, Airlangga University, Indonesia S. Hartini & G.C. Premananto Airlangga University, Indonesia ABSTRACT: Purpose: An examination of the effect of religiosity on impulse buying by considering the mediating role of self-monitoring. Research Design: This study quantita- tively investigated 270 undergraduate students in East Java using a path analysis approach, Findings: The results showed that religiosity had both direct and indirect effects on impulse buying, The extent of the direct effect of religiosity on impulse buying was 0.113, while that of the indirect one effect mediated by self-monitoring was 0.113 (-0.243) = -0,0275, Thi indicated that although an individual was religious and had a good level of self-monite this did not immediately lead to the alleviation of impulse buying. Implications: Business players who understand that religious individuals with good self-monitoring might still impulse buy may take these findings as providing opportunities to reach a specific targeted market by offering products which corresponded to the needs of their religiosity. Keywords: religiosity, self-monitoring, impulse buying | INTRODUCTION The buying behavior of consumers is subject to both internal and external stimul, including impulse buying. Which is defined as a sudden and spontaneous decision to buy specific products (Zeb et al,, 2016), The mapping of theories on impulse buying has been mentioned in psychology, economic behavior, sociology, social psychology, and other consumer and marketing literatures (Xiao & Nicholson, 2011). Some researchers have studied impulse buying by taking individual and personal aspects into account (Scinauskiene et al., 2015; Mathai & Hari 2014), Other researchers have examined impulse buying from the perspective of external stimuli (Akram ct al., 2016; Dameyasani & Abraham, 2013) and the impulsivity of consumption (Podoshen & Andrzejewski, 2014) While some have combined the individual and external stimuli and impulsivity. perspectives (Khan et al., 2016; Moran & Kowak, 2015; Sharma et al., 2010a, 2010b, 2014). It is evidence from the existing research that until now, impulse buying had been analyzed based on the three perspectives, of the individual, external stimuli, and the impulsivity of consumption (Xiao & Nicholson, 2011). Previous studies examining the relationship between religiosity and consumer's behavior have been restricted to purchasing behavior in general (Alam, et al, 2011; Fianto et al., 2014) related both to purchasing (Mokhlis, 2009) and consumption (Karaduman, 2016) orienta- tions. The relevance of religiosity as an individual factor had been conceptually examined in relation to impulse buying, but not from an empirical point of view (Salwaa, et al, 2017). This article therefore atiempis to build to build on existing research by examining impulse buying through a focus on religiosity from the perspective of the individual. Religiosity in the behavior of consumers has been studied existing research using a variety of measurements. Karaduman (2016) studied religiosity in a spi manner by referring to one religion only, while Mokhlis (2009) studied religiosity in general asumes by considering 395the commitment to religiosity in various religious affiliations, Another researcher studied the connection between religiosity and consumer's behavior from the aspects of muamalh (Khraim, 2010), building a good relationship with God and others (Fianto et al., 2014; Mathras ct al,, 2016), and the aspects of rel and contextual factors (Alam, et al,, 2011). In this present study, religiosity in general was examined by considering the commitment of each religious affiliation and involving individual's self-monitoring activity as a mediating variable for the connection between religiosity and impulse buying. As previously described, the phenomenon of impulse buying is a common buying behavior which people may possess due to individual ts such as emotion, personality, ty, and situational aspects such as store environment and promotion. From the aspect, the impact of individuals strong faith and commitment to religious tenets (that is, ) on impulse buying can be questioned and investigated. This study assumes that religiosity might alleviate the drive toward impulse buying because it would lead to positive self-monitoring and thus help individual to bring their impulse buying under control. It can be suggested that the higher the religiosity of individuals, the stronger their self-monitor- ing will be and that is may alleviate the tendency toward impulse buying. In contrast there- fore, the lower the religiosity of individuals, the lower their self-monitoring, thus increasing impulse buying. The research questions of this study are: a. does religiosity affect individuals’ self-monitoring? b. does self-monitoring affect impulse buying? And c. does religiosity with self-monitoring alleviate individuals’ impulse buying? 2 RESEARCH MODEL The research model and hypotheses of the research are presented in Figure el f-mon: Impulse buying Figure research model ,: Religiosity has a positive effect on self-monitoring. : Self-monitoring has a negative effect on impulse buying. 5; Religiosity combined with self-monitoring has a negative effect on impulse buying. BoE 3. RESEARCH METHODS The research approach of this study is quantitative with causality. The population undergraduate students in East Java, particularly those studying management at any higher education institution classified asa university. In order to represent this very large population, particular universities in East Java were chosen and from these 270 students were enrolled as respondents. Religiosity was designated as an exogenous variable coded by X, while two endogenous variables were designated self-monitoring, defined as an intervening variable coded by Z and impulse buying, defined as a dependent variable coded by Y. Religiosity (X) was measured using the indicators of RCI-10 (Religious Commitment Inventory-10) which relate to cognitive and behavioral aspects, as argued by Worthington, et al. (2003). Sclf-monitoring (Z) was measured using three factors as suggested by Carter, ct al. (2012), while impulse buy- ing (Y) was measured by indicators taken from Hausman (2000), 306A Likert scale with interval options from “strongly disagree” to “strongly agree” was used to measure the variables. Data collection was through library and field researches and the analysis was conducted using procedures including (1) classifying the data into a table (tabulation) and (2) analyzing the data through calculations based on quantitative research with a path analysis technique using SPSS software. 4 FINDINGS AND DISCUSSION 4.1 Respondents From among the 300 respondents who received questionnaires, 270 and from these the respondents was gathered as detailed below. a. Respondents’ university As presented in Table 1, it can be seen that seven universities were considered as the research object, Universitas Negeri Surabaya being the largest of these (51 respondents or 18.9% of the sample). Table I shows the number and percentage of respondents from each university. b. Respondents’ study program and semester Table 2 shows the respondents’ study programs and semesters. From Table 2 it can be seen that the largest group (120 students, [44.4%]) were in their sixth semester of study. 4.2. Test of validity and reliability The test of validity showed that the instruments used to measure religiosity (X), self-monitor- ing (Z), and impulse buying (Y) were all valid, as the r count value at 0.138 was greater than ble 1. Respondents Number of University respondents % ‘Universitas Islam Negeri Malang 3 14.4% Universitas Muhammadiyah Malang 35 13.0% ‘Universitas Negeri Surabaya SI 18.9% Universitas Nahdatul Ulama Surabaya 36 13.3% ‘Universitas Hasyim Asy"ari 35 13.0% ‘Universitas Wahab Hasbullah 40 14.8% Universitas Wiraraja M 12.6% Total 270 100% Source: Questionnaire data, 2018 Table 2, Respondents’ study program and semester, Study program Number of and semester respondents % Management, semester 6 120 Management, semester 2 15. Management, semester 4 3 Management, semester 8 a Management, semester 2 36 Management, semester 2 35 Management, semester 4 40 Total 270 Source: Questionnaire data, 2018. 397r table with a level of significance of 0,000 < a (0.05). Similarly, the value of Cronbach for all the items of statement in the instruments was > 0.6, making them all sufficiently reliable to be reused in different periods of time as they had strong consistency. Table 3. Validity of test results. Variable Ticm = Reount = Ritable Result Religiosity (X) XI 0.586 0.138 Valid X2 0.652 0.138 Valid x3 0.650 0.138 Valid x4 0.724 0.138 Valid XS 0.708 0.138 Valid X6 0.669 0.138 Valid XT 0.653 0.138 Valid X8 0.619 0,138 Valid xo 0.631 0.138 Valid X10 0.608 0.138 Valid Self-monitoring (2) Zi 0.868 0.138 Valid 22 0.929 0.138 Valid Z 0.882 0.138 Valid Impulse buying(Y) YI 0.759 0.138 Valid y2 0.365 0.138 Valid ¥3 0.845 0.138 Valid Y4 0.788 0.138 Valid YS 0.845 0.138 Valid Y6 0.757 0.138 Valid Y7 0.710 0.138 Valid Source; Managed SPSS Data, 2018, Table 4. Results of reli test. Variable Alpha value Result sity 0.846 Valid Self-monitoring 0.872 Valid Impulse buying 0.887 Valid Source: Questionnaire data, 2018. 4.3. Test of causality According to Table 5, religiosity (X) has a positive and significant effect on self-monitoring (Z). This is indicated by a value of 1 of 7.519 with a standard coefficient of 0.417 and sig- nificance value of 0.000. This value is smaller than the specified significance level [a] of 0.05. Thus the research hypothesis which states that religiosity has a positive effect on self-moni- toring has been proven. The support a previous study by Carter, et al. (2012) which find that ‘the more religious a person is, the more they will tend to monitor their existence according to their goals (self-monitoring), resulting in higher levels of self-control The results presented in Table 6 for hypothesis 2 and 3 explain the direct influence of self-monitoring and religiosity on impulse purchasing (H, and H,, respectively). In proof of hypothesis 2, it can be seen that self-monitoring (Z) has a negative and signifi- cant effect on impulse purchasing (Y). This can be seen from the negative value of 1 of —3.695 with standard coefficient of -0,243 and obtained value of significance Of 0.000, This value is smaller than the speci cance level [a] of 0.05, Thus the researchThe characteristics of the sample of this study are general and not focused on indi- viduals in one specific religious group/organization in that it measure the general rather than specific religiosity of individuals. It is expected, therefore, that future studies will use more specific sampling. Furthermore, it is also suggested that experimental testing for data analysis to reach more specific measurement of the level of individuals’ religiosity could be employed. 6 CONCLUSIONS The findings and discussion reveal several conclusions. First, religiosity has a positive and significant effects on self-monito This finding also shows that re! might make individuals control themselves as they believe that anything do is always being watched by God. 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