IMPACT OF BRAND SWITCHING IN THE TELECOMMUNICATION INDUSTRY (A CASE STUDY OF XL AXIATA IN JAKARTA)

Abstract

This research entitled “Impact of Brand Switching in The Telecommunication Industry – A Study Case of XL Axiata in Jakarta” was conducted with 100 respondents who were a user of XL Axiata cellular network in Jakarta Area. There were three independent variables being studied, these are price, inconvenience, and service failure, and the dependent variable is brand switching towards XL Axiata. Data analysis technique used were multiple linear regression with least squares equation and test hypothesis using t-statistic for testing the regression coefficients and F-statistic testing to test the impact together with a significance level of 5%. It also tested the classical assumptions that included tests of normality, multicollinearity test, test of heteroscedasticity and autocorrelation test. This shows the available data has been qualified using multiple linear regression equation model. The result indicates that Inconvenience (X2) has no significant impact on brand switching towards XL Axiata in Jakarta. The variables Price (X1) and Service failure (X3) have significant impact on brand switching towards XL Axiata in Jakarta. Predictive ability of three variables Brand Switching towards XL Axiata in Jakarta area in this study was 42.5% while the remaining 57.5% were affected by other factors not included in the research model being studied.