THE STUDY OF FACTORS IN COMMUNICATION BETWEEN FRIENDS ON SOCIAL MEDIA AND ITS INFLUENCE TOWARDS PURCHASE INTENTION (STUDY CASE: COMPANIES IN ENTREPRENEURSHIP PROJECT OF PRESIDENT UNIVERSITY)

Abstract

This study investigates how several factors in social media peer communication affecting the purchase intention of Companies in Entrepreneurship Project’ product. in two ways: directly through peer communication moderated by need for uniqueness and indirectly through product involvement. This research is quantitative descriptive, with total 140 respondents researcher did some test, questionnaire analysis and data analysis. researcher found out several results. Pretest on validity and reliability analysis has been done using SPSS 18 software. The results indicates supported by the data. Descriptive analysis also has been done by calculating the results from obtained questionnaires, using Likert method in interpreting the scale of value. After that, researcher did Structural Equation Modeling (SEM) and Confirmatory Factor Analysis. SEM used when in research model there are numbers of variable with numbers of relationship, and CFA use to find whether the research model valid&reliable. The results, the research model were valid and reliable and could be used for further analysis. Then, researcher did analysis causality model to test the hypotheses. All of these test and analysis using Lisrel 8 software. The result revealed that direct effect of peer communication did affect the product attitude significantly either did need for uniqueness with its moderating role between two variables. Some recommendations was given for future development of entrepreneurship especially in President University.