BACHELOR OF BUSINESS ADMINISTRATION (HONS) MARKETING
FACULTY OF BUSINESS MANAGEMENT
ATTRIBUTES INFLUENCING HOME BUYERS’ PURCHASE INTENTION IN PERAK
AHMED MUAZZAM BIN ZAINUL ARIFFIN
KBM 240 6A
First and foremost, I would like to express my deep gratitude to the Almighty God, Allah for giving me knowledge and strength to complete for this Research. Without Allah power I cannot strive to success.
Besides that, I would like to express also my deep gratitude to Mr Syahmi Harudin and Mr Hadzli Ishak, my research advisor and examiner which has been giving me a lot of advices during the research process with their patient guidance, enthusiastic encouragement and useful critiques of this research work. I am grateful to receive his support and guidance during the research. The coordinator, Madam Wan Shahrul Aziah also provided the best and sincere to achieve the study objective by advice and assistance so it can keep my process on schedule.
Secondly, I would like to extend my thank to my supervisor at Perbadanan Kemajuan Negeri Perak (PKNP) Madam Faridah Abdul Hamid The Director of Sales and Marketing Division and other colleges for their help in offering me resources’ in running the program.
Thirdly, I also want to thank my family and friends who have been giving me support and strength while completing my research. I am thankful to have supportive family members and friends, which inspired me and keep me going. Without their support, I may not be able to complete the dissertation. My sharing the ideas during the assessment process.
Last but not least, I would like to show my appreciation to the previous researchers who have contributed in relevant topics which are helpful in this research. By producing a journal and article I able to gain idea for further understanding.
CHAPTER 1 – INTRODUCTION
This Chapter one will provides the view of the research. First, we will examine about the research background, secondly problem statement, the research objective and lastly the research question. later, the researcher will also review about the hypothesis of the study followed by the significant of study and finally the chapter layout. By adding of all of the item, the reader can understand more deeply well on the focus of the research which about the dimensions of customer attributes
1.1 BACKGROUND TO THE STUDY
The property field in Malaysia is still in a promising escalade quickly. The government is taking some edge to revamp the image of the sectors and it is taking on new dimensions, for example, the Ninth Plan, which remark for remarkable new provision for the country infrastructure. In the Ninth Malaysia idea, together with the taglines ‘Malaysia My Second Home’, which is namely for Visit Malaysia Year, the Government set out on a noteworthy number of arrangements, including the evacuation of limitations to build the foreign investment in the property market. A decade ago, the Malaysian property market became more fundamentally alluring when the legislature dispensed with capital gains tax on all property deals (Cheah, 2012).
According to Foster (2000), Housing has been significant influence to the wellbeing of the society and it is a major economic asset for all nations in Malaysia. Besides that, safety factor and social inclusion start with quality housing is also important. But, it is common for any residential buildings to have to overcame with the problems of building decay and deterioration, which are inevitable through the effects of usage, wear and tear. During the extinction the life of the building, it is vital to have proper maintenance so that all problem that occur can be solved and eliminated. Therefore, it is not shocking that one of the most important matter in the term of property housing relates with maintenance management.
Past study has admitted there is some strong relationships between economic deprivation, poor housing and lack of maintenance as one of the major accommodate of maintenance action, the developer cannot let the house project lack of awareness on maintenance work will critically lead to them living in disrepair and poor condition. This is the developer one main responsibilities of a resident is to inform relevant departments on the defects observed at their homes. (Chew et al., 2004).
It is Important to explain here is the role played by different level of government, namely Federal, State and local especially in low cost housing development in Malaysia. The government of Malaysia generally responsible establish the policy, laws and regulations governing housing especially for the private sector. But, for low cost housing the Federal government participate directly in housing production and allocation system with the cooperation of the State governments such as Perumahan 1 Malaysia (Pr1ma) project. Funding for public low-cost housing programmed usually come from Federal government as well the State governments and Government linked company (GLC) are responsible to identify the available state’s land for housing construction and selection of eligible low-cost house buyers and also, they identify the preferences that home buyer see when purchasing a house. The sales and purchase agreement also important. The local government generally did are involve directly in housing production such as the government of Perak, except allowing the planning permission and building plans for housing construction by both public and private developers. However, in major cities the local governments are also involved in management, administration and maintenance of public low-cost housing with the Federal and state funding. Meanwhile private developer generally operated with managed to achieve the number of sales unit although they need to obey the control and regulations imposed by the government (Shuib, 2011)
Housing Affordability is one of the main interest for the State Government of Perak. Low cost property is crucial as it has become an absolute requirement of residents, especially for B40 income households’ population in this state. In Perak, the increase rapidly in-house prices have made it almost impossible for the middle-income group to own a home. The extreme transformation in housing prices has influence the affordability levels in Perak. This study Attributes Influencing Home Buyers’ Purchase Decision in Perak. Reasonableness Index was in this way produced. In light of the Index, it is discovered that lodging moderateness for each locale in Perak at extremely unreasonably expensive level. The verdict of this research can be used to support the state government in their attempt to produce quality affordable housing for Perakian (Azmi et al., 2013).
Housing development in Perak can be reckoning as one of the major activities that support the stability and encourage human being lifestyle. Questions regarding environment-behavior transactions are becoming so important element such as behavioral issues such as safety and security, maintenance, privacy and personal control, communication and imageability, psychological comfort, expected lifestyle and social change should be treated with more relevance and validity in design practice (Horayangkura, 2012).
(Zinas ; Jusan 2012) stated that the increase number of the population in Perak had impact to the large number of demand in the housing. The house that is produce of diverse and consumer feature requires that other element of the housing attributes need to be identify into, and the attendant motivations for the housing user in choosing a set of housing preference over and above alternative sets of housing attributes. The residential subsector is by high household formation in Perak. By having this dynamic action, the flat areas of land have been exploited to meet the request of human needs. Housing on this place has higher demand and the property price is higher. Due to the shortage supply of flat area, housing developers has started to develop housing in another area such as hilly area.
More Over, the regulations and guidelines applied to the development at Perak are different from others. Which means that the developer must obey with these regulations to ensure safety and security for the residents and properties. Developing a housing are at the hilly area has a hidden risk, not just towards the property developer but also towards their buyer and investor. Among the hidden risks are landslide tragedies and soil erosion phenomenon. These matters can make a profit loss, death, sales decline and investment loss. These situations create phenomenon whether the developers and property buyers are alert on the subsequences of developing or buying the housing property at hilly area. Therefore, residents at landslide prone area could have considered more influential factors apart from all the threats from landslides in their decision making of buying a property. The intensity of impacts from landslide hazard can be minimized if the hazard zones can be predicted and mapped before any development activity takes place. (Yakob et al., 2012).
Housing serves one of people’s psychological needs. Thus, housing quality positively relates to human well-being. This paper explores factors influencing housing demand in Perak. Issue: In Perak, the housing supply has yet to respond to the increasing housing demand with regards to the rising population. Aim: The aims of this research is to assess the current demand and supply of low-cost housing stock in Perak. Method: Content analysis was conducted based on secondary data gathered from government agencies such as National Property Information Centre (NAPIC), Department of Statistics Malaysia and Perak Land and Mineral Office. Findings: According to previous studies, nine factors were influencing the demand for low-cost housing.
1.2 PROBLEM STATEMENT
The problem statement of this research is to investigate the attributes influencing home buyers’ purchase decision in the state of Perak. There is no denying that the housing or property is developing fast as mushroom and it also became a national choice and investment as it has a high demand. Normally, there are a plenty of element people taking into consideration when making determination to buy property as it involves a huge amount of Ringgit and long-term commitments. There are many housing developers in the market such as Pr1ma, Kinta Properties, Insan Dinamik, Mah Sing, and IJM, due to that the contribution of the residential houses increased rapidly. Developers were striving against with each other’s in terms of sales, branding, marketing and market shares (Tan, 2011). Hence, the developers need to find some solutions and answer what the purchaser is will look through into when they intended to buy a residential house
According to (Tan, 2011) Perak has a numerous of developers that provide a wide range of properties, namely from residential, offices, small town, commercial property. Due to numerous developers in this industry, consumers have a selection of choices to choose because developers may find it is tough to sell their products due to high completeness. This is happened because of the property, location, amenities, reputation of the developers and price. Besides that, the consumer would prefer other element in purchase intention such as demographic, property attribute, property view and property surrounding. Saying that, there will be a new born and more supply in the market and the market will be more competitive and intense among the competitor When there are a lot of options in the market, buyer will have more benchmark to look into it such as price of the house, design of the house, location, bumiputra discount house specifications and house warranty such as free maintenance.
1.3 RESEARCH OBJECTIVE
the main objective of this study is to identify the element that influence the purchaser requirements when there were purchasing a property in Perak which is that was stated in the problem statement by providing some general objectives then scoped down further more to a specific objective.
1.3.1 SPECIFIC OBJECTIVE
The primary of this objective of this study is to examine and find out more regarding the caused and factor that contribute home buyer’s intention when buying a residential property in Perak. Furthermore, this study gave a lot of benefit and can also assist the buyer to identify the property specifications which have been most desire by buyers when purchasing a residential property in Perak.
1) To identify the relationships between Demographic towards purchase intention
2) To identify the relationships between Property Attribute towards purchase intention
3) To identify the relationships between Property Surrounding towards purchase intention
4) To identify the relationships between Property View towards purchase intention
1.3.2 RESEARCH QUESTIONS
In this research the researcher wants to identify the elements that influence home buyers purchase decision in Perak. So, there are a few questions that will be formulate by the researcher in order to handle this researcher.
RQ1: Is there any relation between Demographic and purchase intention?
RQ2: Is there any relation between Property Attribute and purchase intention?
RQ3: Is there any relation between Property Surrounding and purchase intention?
RQ4: Is there any relation between Property View and Purchase intention?
H1: Demographic Factor influence purchase intention of home buyer
H2: Property Attribute influence purchase intention of home buyer
H3: Property Surrounding influence purchase intention of home buyer
H4: Property View influence purchase intention of home buyer
1.5 SCOPE OF STUDY
This Research is important because its apparently one of the attempts to identify the factor that affect the purchase intention of home buyer in Perak. Hence, this research may provide a useful information to all the property company so that they can improve their business thus the consumer will satisfy with them. This study also will provide some form of empirical data for future research in this sector. Besides that, the significant of this study is to figure out the main reason that navigate people to buy a property in Perak. It concentrates on home buyers purchase purpose towards residential property in Perak. These research studies contribute a level of knowledge to developer and create awareness on the consumer preferences before buying a house.
1.6 RESEREACH LIMITATIOANS
This research is based on only location focusing the purchase intention of home buyer in the state of Perak. The small sample size does not have the statistical support for a greater outcome or for generalizing the studies. This research will explore the consumers home buying preferences only by distributing a questionnaire. Although a lot of attempt is made to ensure that the respondent gave an accurate and believable feedback, unfortunately the validity of their opinion cannot be established. It is hard to decide whether each of the respondents provided socially-acceptable Reponses or were able to verbalize and articulate their feelings honestly and accurately.
CHAPTER 2 – LITERATURE REVIEW
In this chapter, the literature review will discuss, followed by review of relevant theoretical model and proposed conceptual frameworks. The readers can gain a lot of information including theory and methodology regarding the topic. All the content is from the secondary data which the researcher makes an analysis in the academic journals, books, website and others sources. This literature reviews can make a better understanding for the reader to deep understanding about the topic of research that was discuss. It is worth remembering that a rich of information can be obtained through an electronic search to generate updated references.
2.1 PURCHASE INTENTION (DEPENDENT VARIABLES)
Traditionally, the term intention is defined as the antecedents that stimulate and drive consumers’ purchases of products and services. It is the most favorites method done by marketers in gaining an understanding and relationships about consumers’ actual behavior by discover their intentions have demonstrated the existence of a strong connection between these two respective constructs. Thus, the buyer claim that purchase intention serves as some options for evaluating consumers’ purchase behavior. Therefore, consumers’ intention toward a particular behavior has remained the central focus of well-known theories like theory of reasoned action. This statement is also supported by who stated that intention is the element that persuade consumers and in turn influences their behavior. To a greater extent, it demonstrates how strong consumers are readily given to try, same goes to the total number of effort they intend to exert for performing a respective behavior. According to them, the changes that a certain behavior will actually be carry out by individuals largely count on the strength of their intentions. When the intentions of doing certain behavior are strong, there are higher likelihoods that the respective behavior will be performed. (Hawkins ; Mothersbaugh, 2010)
Purchase intention of a customer has positive effect on customers actual purchase behavior on a residential property. Thus, if a customer’s wish to spend money to purchase some properties, he or she more prefer to have higher intention and expectation to purchase it. Therefore, customer with strong intention to buy the residential properties, he or she will be more likely to transfer the intention into actual buying behavior (Zawawi et al, 2004).
Purchase intention is the preference desire of consumer to buy the product or service. (property). In another word point of view, purchase intention has another aspect that the consumer will purchase a product house after evaluation. Making a comparison. Many factors affect the factors that influence the consumer’s intention while choosing the product and the ultimate solution depends on consumers’ intention with large external factors (Keller, 2001). Decision making about buying a house is affected by the group in selection procedure of a brand of developer for known products. The selection of a brand based on group cohesiveness of the brand (Witt & Bruce, 1972). The information about the brand have been used by the other group members also affect the solution to skip the existing brand and to move on to the purchase those brand that is using by other group members (Keller,2001).
Besides that, purchase intention has a great orientation to members of the buyer impact to other members to buy particular house used by the other group member. A lot of elements intended to purchase intention which is customer knowledge, perception of consumers, house design and more. The studies explain that knowledge about the house product by the consumer plays an important role during product purchase decision. No doubt that knowledge of the product is the main factor in product purchasing decision. (Satish and Peter,2004)
Fung et al (2004) stated purchase intention is very important elements and gave a huge impact on consumer purchase intention. This is shown by the study revealed that consumers attract with property characteristic or instance location, safety and so on. Moreover, in developer point of view design and facility of the house which provided by the developer shows the quality of the product. But the bottom line is it should be relevant to the product with reasonable logic about the product. Another element of purchase intention is the benefit which involve the relationship with product and buyer. It is an ending that higher the benefit resulting higher the intention of purchase. Benefit or Perceived value of the product has different feature that are tangible and intangible elaborates that the higher perceived value improvement to purchase decision. But, on the basis of knowledge of product, consumers assess the product and make decision because that purchase intention has positive affect with perceived value.
2.2 DEMOGRAPHIC (INDEPENDENT VARIBLES)
The terms demographics and population studies define in the minds of the marketer the image of aggregate characteristics or descriptions of population subgroups. Which means many marketers view demographics as a framework of information to be used in an applied manner. Much of what marketers know of demography involve the use of age, income, education, and other characteristics in a static form to identify along which dimensions to segment a larger market and to solve the same problems. Besides the results of immediate problems is certainly significant, the art of demography and the demographic perspective which produce deep understanding of marketing opportunities and problems-particularly what makes population factors exert considerable influence on the environment in which businesses compete. But, in order to maximize the function what are called demographics, marketers must begin to view demography as the study of population dynamics (Louis, 1985).
According to Nayyab et al, (2011), demographics changes will usually be represented by certain criteria to make them more functional and important and according to this benchmark particularly can influence the behavior of buyers in the decision-making process to select the exact unit as their home. Additionally, dissimilarity in buyer behavior will persuade the buyers to purchase different units which meet their demands and needs. Therefore, economists and policymakers have mention that the demographic criterion, namely the distribution of age, gender, employment, marital status, qualifications, education level, number of households and annual income implement and as the main factor that have a high influence probability on property purchase activity. It is noted that all demographic standard actually does not affected the activity of the housing market and purchase of property. Thus, it is crucial for researchers to recognize the meaning and function of each demographic criterion, which has a relationship with the housing market.
Livette (2007) mentioned that males and females may have different purchase decision when purchasing a house. Males focus more on several criteria or tasks unlike females which they focus more on their activities. Females’ brain is most likely influence by the emotional while males’ brain is most likely influence by understanding. Therefore, other people are less dominant than males in purchasing the product. When males think that the product is tempted enough to purchase then he is willing to pay for that product.
Next, the expert has claim that the demographic criterion which it’s called the distribution of age, gender, marital status, qualifications, employment, number of households, annual income implement and education level as the main reason that affected the property purchase activity. However, all demographic criteria actually do not affect the activity of the housing market and purchase of property. Thus, it is necessary or urgent for researchers to identify the meaning and function of each demographic criterion, which has a relationship with the property industry (Bujang et al, 2010).
2.3 PROPERTY ATTRIBUTE.
The words attribute can best describe as a characteristic of an object. Attributes are those dimensions of a product that define a given consumption experience. its demonstrate the building blocks that consumers use to make product judgments and form purchase decision. Property attribute shows the quality improvement and customer satisfaction. Accordingly, attribute-related research holds the interest of both practitioners and theoreticians. As a practical concern, managers wish to make inspections regarding consumer’s product or service experience by assessing attribute performance and prioritizing efforts to improve them according to each one’s relative significance. It is suggested that we consider both attribute performance and importance in defining the contribution an attribute makes toward one’s satisfaction. Although the company seems to have a problem in defining and measuring attribute performance, we have yet to develop an answer regarding how to best conceptualize attribute importance. Property attribute can define as importance as the extent to which an attribute is able to impact one’s sense of satisfaction. However, describing the means by which these perceptions are produce. For instance, a property company establishes the limit of one’s consumption experience in the study described below. Accordingly, we identify attributes as those variables that are relevant to the buyer in their formation of a satisfaction judgment, e.g. friendly salesman and company image. (Russell and Brant, 2009)
Cupchik & Gicnac, (2003) mentioned that housing attributes have discover in many information ranging from intrinsic housing attributes such as house architecture, living spaces, security, gated, extrinsic attributes such as exterior space. Besides that, neighborhood and location, environmental qualities also make the property attribute more effective. Most people, especially families prefer residential houses than other types of homes. Terrace houses in Perak including semi-detached houses and single detached houses. They come into 1, 2 or 3 stores.
The debate about issue of the housing markets differ from one researcher to another since housing is a complicated good made up of several attributes such as space of the house, location and security. Under normal market conditions, houses, unlike any other goods and services, house value will increase years by years. The study also identifies the value households place on housing attributes such as floor space, number of bedrooms as well as the bathroom, garage, location, type of unit, the type of street in which the unit is situated and the amount of open space in the neighborhood. Moreover, locations, areas and markets with same speciation’s are also considered by households (Barlow, 2003).
Nowadays, buyers obviously want to live in the neighborhood with freehold title. The freehold land title for property is a lifetime where the owners own the land, building and anything that is on the land. There is no time limit for the owner as the freehold land lies with the title holder until the land owner convey to third party. It is totally difference between leasehold and freehold. For the leasehold land, the land is to be returned to the government after the end of the duration which stand for 99 years. When the agreement is end, the government are liable to take back the land or lease it further. The decrease the number of year left on the lease, the less valuable the land becomes. It is widely known that freehold properties, as compared to leasehold properties, freehold has a lot advantage compare to leasehold because it tends to perform better in terms of long-term capital appreciation. Moreover, home owners who own a freehold property can stay in their land for life. (Tan,2010)
2.5 PROPERTY VIEW
The Property View is about the house exterior features such as house façade. it has an impact to me when buying house in Perak. Built-up area has an impact to me when buying a house in Peral because of Land area Topography such as location area has an impact to View of the housing area (e.g. North, South direction) The property industry law in Malaysia is strengthen by the government. All properties activities, except individual and group housing, are subject to get approval from the relevant state and federal authorities. This consent procedure including land conversion for housing development, building and structure plans, planning of infrastructure, layout plans and assessment on environmental impact that relate with government agencies, both at federal and local levels. (Choguill ,2008)
Fontella (2009) figure out that contentment involves three elements such as the look of the house including space organization, layout and facilities provided, the management practices (such as security or community) and the surrounding of the property blooming. Households have to determine between looking for a high rise or a landed house. In some urban areas that have high density populations and to live in a house (or single-family unit) is consider a luxury and where not all people can afford to buy that. Because of that, situations when households who want to live in a house might have to locate in certain or specific area such suburban areas, which yielding high density factors. The determination to esteem a personal housing stock is also based on the willingness of the buyer or household to live near green spaces and on the desire to benefit from a garden such as park or playground. For instance, families with young children often tend to choose landed just because of it luxury and has some large spaces. On the contrary, it is more likely that singles and young couples demand apartment or condominium in urban areas.
Green et al (2005) suggest that the land size, floor area, the number of rooms as well as bathrooms is clearly an aspect that is taken into reflection. It is obviously that a household improvement from one to three persons will mostly esteem the bigger space property, large size of the rooms, larger families will rather prefer a lot of rooms that each person has its own privacy the study also mentioned that the condition, status and design of the housing also a main factor in the decision-making criteria. Unfortunately, these are usually secondary attributes in comparison with built-up or cost considerations and they are moreover hard to quantify. For instance, views of the architectural design or open space are difficult to measure.
2.6 PROPERTY SUROUNDING
Other feature of a house such as the house location, facility like public transportation, will have an impact on property location choice. It is an evident that in some urban areas, the closer to high quality green public spaces will provide more gorgeous to the property. Location of the house plays a most significant influence on the success of a property development. Good property in safe location will give a high profit return to the company. (Jansen et al., 2011)
The geographic of the area can encourage the architect to construct a magnificent architecture work. Other variables that would have an impact on the location are its’ local economy and activities around the property. Such as shopping mall, supermarket shop lot and petrol station. Unfortunately, these elements are more towards social status and income. Moreover, other variables that can affect the options of location for the buyers are the status and values of investments. Some business person see property as a good investment, while others buy a property just to gain a status. These factors are quite significant because the population in housing area more prestige (Majid, 2015).
According to Miron, (2004), the factors that the buyer should alert before buying a house are location, geographic area and secure place. It is shows that the pressure of the location on a sense of community as people living in homes with elevators or in the gated community has more value and appreciation. Similar design and location of the house will give different values in terms of social class, social status, the presence of public goods, job opportunities, and the use of personal items. Which means the location is the main factors that increase to quality housing and welfare homes
Buyer should take a note about the surroundings of the property before making any decisions to buy a property. The surroundings are where the residents have been living in and arranged by mutual and beneficial. Therefore, good surroundings will affect the residential price. There are many types of surroundings concept which can be used by developers in particular to attract people to buy their property. The best way to determine the type of surroundings is by looking at the properties of the environment and facilities. (Hong, 2011)
2.6 THEORETICAL FRAMEWORK
The theoretical framework provides the relationship between two variables which are independent variables and dependent variable. Figure 222 shows the theoretical framework of this research.
2.7 HYPOTHESIS STATEMENTS
This research study is based on inductive techniques which is hypothesis are developed and tested by using research and the hypotheses are follows:
H0: there is no significant relationships between demographic and purchase intention.
H1: there is a positive significant relationship between property demographic and purchase intention.
H0: there is no significant relationships between property attribute and purchase intention.
H1: there is a positive significant relationship between property attribute and purchase intention.
H0: there is no significant relationships between property view and purchase intention.
H1: there is a positive significant relationship between property view and purchase intention.
H0: there is no significant relationships between property surrounding and purchase intention.
H1: there is a positive significant relationship between property surrounding and purchase intention.
CHAPTER 3: METHADOLOGY
Chapter 3 will discover the quantitative technique to recognize which element result in successful purchase intention and how the factor affected it. A sample establish was selected, and data were obtained from the house buyer in the state of Perak. The sample of the study consist of the consumer that intend to purchase a house. The research chooses to analyze the property buyer in order to obtain details of the consumer demand and need when they want to buy a house. The written assessment will be provided in quantitative data about the variables that persuade home buyer to purchase a house in Perak such as demographic, property attribute, property view and property surrounding.
3.1 RESEARCH DESIGN
This study practices a quantitative research, which will be design to identify the criteria that the home buyer prefers when they want to buy a house which can influence their purchase decision making. It attempts to ascertain the relationship between demographic, property attribute, property surrounding and property view in relation with the purchase intention.
This design will allow the researcher to make a demonstration about the description of data and capable to identify the possibility between those variables. This quantitative study also can be considered as descriptive research design. This is because as mentioned the term of research that contain the collection and gathering data where consist of mean, standard deviation and term of frequency. Other than that, the characteristic of individual, situations or event can be explained by the descriptive research and inferential research.
Descriptive research design has been practicing in this research as it was the most fit with this research design to be used. Descriptive research describes something which could be a phenomenon, a current condition or feature of a group of organization, people, and so on. The purpose of descriptive research is to describe things such as market potential, acceptance of new business concept or the demographics and attitudes of customers. The reason to adopt this descriptive research design is it best describes the characters of specific relevant groups such as customers and market areas. It also suitable to answer the question of who, what, where, when and how of a particular issue or situation. This type of data was very functional in this study as it provided the prior knowledge and to identify the factors that influence buyer decisions to purchase a residential property in Perak (Kumar et al, 2013)
For more valuable and significant of the research the primary and secondary data will be use to get the further information about the issues discussed in this study. The details for primary data can be refer to the information received by the researcher first in hand where the primary data acquired by the researcher through the distribution of close ended questionnaire. Then after all respondent already done respond all the enquiry that has been provide, the researcher collects all the questionnaire and will analyst it (Sekaran & Bougie, 2013).
Therefore, besides than primary data, the secondary data also used by the researcher to assist the primary data. The information of secondary data acquires by the researcher through university database, Google scholar, Emerald Insight, science direct, journals, academic books, articles and related web.
3.2 POPULTAION AND SAMPLE
The population is referring to group of potential people to be selected as participant in order to get a proper result. The group of people who in one place of living that need to investigate by the researcher. The target population of this study are all the home buyer who live in Perak.
3.2.2 Sample Frame
The sampling frame can be described as a physical that will present as volunteer for overall variables in the population where the sample is set up and form in order to achieve the target. There is a lot variable in the sampling frame that need to consider while choosing the target of population to ensure that sample is suitable to the title that was discuss in this research.
In this research will use a sampling frame which is include the home buyer that visit to the property expo to be as respondent. There a about 100 customer that came to the booth and make a purchase a buy a house. Simple random sampling will be use to select the samples as to overcame biased samples.
3.2.3 Sample Size
This refer to the number of variables that have been issue and include in this research study. The researcher used simple random sampling technique that show simplest member to be chosen as a respondent. In this research, 150 sets of questionnaires were distributed to public and household in Perak. The feedback received from the respondents is to improve the quality of the questionnaire and make correction of the mistake before a formal survey start.
3.3 Data Collection Method
The respondent will fill out the self-administered questionnaire which is distributed randomly during the time at the property expo. The questionnaire is to be filled out and give in straight away as it completion. Data from the questionnaire illustrate the primary data of the study. The results will show the four factor which are demographic, property attribute, property surrounding and property view which all of them have the most statically significant influence on the dependent variables which is purchase intention. Thus, the hypotheses can be measured either be accepted or rejected.
Self-administered questionnaires will be used to collect the data. The reason is the more cost-effective than other comparable technique such as personal interview. The respondent is capable to give a respond to the questionnaire easily because it is clear and interesting writing. The questionnaire format used is Likert scale which the respondent has to choose the level that the respondent prefers according to the point value.
3.3.1 Questionnaire Design
The questionnaire is divided by their section including Section A (Respondent Profile), Section B (Independent Variables) and Section C (Independent Variables).
Respondents are asked to evaluate all the independent variables by using 7- points Likert Scales from 1 which indicates “strongly disagree” and 7 which indicates “strongly agree”. All the scale items are coded so that the higher score reflects higher levels of the measured construct.
In this section, respondents are requested to provide their demographic information including: gender, age range, marital status, ethnic group, property owned and household income.
This section examines the dependent variables which are factors that will influence residential home buyer when buying a residential property in Perak
This section will examine the independent variables where the questionnaire in this section includes items for Property Attribute, Property View and Property Surrounding. For this research, there were 150 sets of questionnaires has been distributed to the samples in Perak Welcome Centre. During this process, all the questionnaire was collected back immediately after the respondents completed the questionnaire. The respondents were brief about the purpose and objective of this research and the respondents has been assured that all the information’s for this research will be kept private and confidential.
3.4 DATA ANALYSIS
In measurement analysis, the researcher will use SPSS statistics. The measurement was run to identify the constancy of the self-administered questionnaires that distribute to the respondents. A reliability coefficient of indicates a high level of internal firmness. Descriptive analysis was used as to measure a high level of interval consistency. Descriptive analysis was used as to describe the sociodemographic information such as age, educational background, age and income level. Category data were summarized in an arranged table which include the number of samples and also percentage of home buyer purchase intention when buying a house in Perak.
3.4.1 Frequency Analysis
The frequency analysis is synonyms with the descriptive statistical method where refer to the number of amount the respondent response. The amount of times that the rate occur from the data is called frequency. The result and solution for the data can be seen through mean, median and mode that has been examine by using SPSS.
3.4.2 Reliability Analysis
The definition of reliability is the action of decision of items then classified it by supported by the reason of infective inventory, environment and the economic result. To produce a counter, measure the researcher will use a right system and verification to solve the ineffective item. From that point of view this will support the measure for consistent in order to defining the scale. Later, the researcher will obtain sample size, reliability coefficients and the number of items.
3.4.3 Pearson Correlation Coefficient Analysis
Correlation is a technique to investigate the relationship between the two variables which is dependent variable (Y) and the independent variable (X) whereby Pearson’s correlation coefficient (r) is a measure of the strength of the association between the two variables. The coefficient ranges from -1 to +1, where -1 means perfect negative relationship, +1 mean perfect positive relationship and 0 means no linear relationship. In general, the closer the value is to -1 or +1, the stronger the linear correlation. Besides that, in this study, Pearson Correlation Coefficient is used to analyze correlation between independent variables such as Demographic, Property Attribute, Property View and Property Surrounding and dependent variable (Attributes influencing home buyers purchase intention: A quantitative study of residential property in Perak). If r is positive, the element that influencing home buyers purchase intention: A quantitative study of residential property in Perak is directly related whereby if r is negative, they are conversely related. The larger the value of r, the stronger the linear relationship between Y and X (Zikmund, Babin, Carr and Griffin, 2010).
188.8.131.52 Multiple Regression Analysis
Multiple linear regressions are used by the researcher because it can identify the relationship between a single dependent variable (DV) ad two or more independent variable (IV). Purpose of multiple regressions is to learn more about the relationship between several independent or predictor variables and dependent variables. This is to determine the relationship between these two variables. The relationship between two or more elements is hypothesized and estimation will be made in order to see the parameter value then used to construct regression equation. It is also very functional because it can identify the most significant predictor of the factors that influencing home buyers purchase decision: A quantitative study of residential property in Perak The equations of the multiple regressions analysis are as follow:
Y = a + b1X1 + b2X2 + b3X3 +… Where Y = dependent variable X = independent variables a = constant value / Y-intercept b = unstandardized coefficient
The positive or negative relationship between the dependent variable and independent variable is based on the result of the multiple regressions analysis. In this research, the significant level in Pearson Correlation test is 0.05 which mean that confidence level of 95% is being set. Therefore, if p-value is less than 0.05, the hypothesis (H1) will be accepted whereas H0 will be rejected which mean H1 there was a positive relationship between independent variables and dependent variable (Sekaran and Bougie,2013).
Azmi, A.S.M., Salleh, W.A.R.W.M & Nawawi, A.H. (2013). Cognitive Behaviour of Residents Toward Living in Landslide Prone Area: Ulu Klang. Procedia-Social and Behavioral Sciences,101(0), 379-393
Barlow, J.; Ozaki, R. (2003). Achieving ‘Customer Focus’ In Private House Building: Current Practice And Lessons From Other Industries. Housing Studies.Volume 18 Number 1 (Jan). Pp. 87-101.
C H Williams Talhar & Wong. (2015). Property Market 2014. C H Williams Talhar & Wong Sdn Bhd: Kuala Lumpur, Malaysia. Assessed on 07082016 http://www.wtwy.com/files/reports/WTWPMR2014.pdfChew, M. Y. L., Tan, S. S., & Kang, K. H. (2004). Building Maintainability Review of State of the Art. Journal of Architectural Engineering, 10(3), 80-87
Cheah Y. Y., & Tan, T. H. (2012). Locational, neighborhood, structural and sociocultural attributes of housing in homeownership decisions. Proceeding for 6th International Real estate ResearchSymposium (IRERS) 2012, Globalization of Real Estate: Transformation and Opportunities,National Institute of Valuation (INSPEN). Selangor, Malaysia: Ministry of Finance.
Cupchik, G. C., & Gignac, A. (2003).Finding meaning and expressing emotion in response to property. Visual Arts Research, 33(1), 56–71
Choguill, C.L. (2008). Developing sustainable neighborhoods.Habitat International, 32, 41-8.
Fontenla, M.; Gonzalez, F. (2009).Housing Demand in Mexico.Journal of Housing Economics.Volume 18 Issue 1. Pp. 1-12.
Foster, A. (2000). Putting Your House in Order: Evaluating Tenant Satisfaction with The Improvement To Social Housing.
Fung, RYK. , Chong, SPY. And Wang, Y. (2004), A Framework of Product Styling Platform Approach: styling as intangible modules. Concurr. Eng., 12 (2)
Green, R. K.; Malpezzi, S.; Mayo, S.K. (2005).Metropolitan-Specific Estimates of the Price Elasticity of Supply of Housing and Their Sources’ American Economic Review.American Economic Association.Volume 95 Issue 2. Pp. 334-339.
Hong, T. T. (2011). Neighborhood preferences of house buyers: the case of Klang Valley, Malaysia. International Journal of Housing Markets and Analysis, 58 – 69
Jansen, S. J., Coolen, H. C., ; Goetgeluk, R. W. (2011). Housing preferences.The Measurement and Analysis of Housing 1.
Kumar, Abdul Talib and Ramayah,Business Research Methods, (2013).
Maclennan, D. (2002). The Review of Scotland’s Cities. Edinburgh: Her Majesty’s Stationery Office.
Majid.R.A., (2015). Faktor-faktor yang Mempengaruhi Permintaan Harta Tanah kediaman di Malaysia, unpublished manuscript thesis. University of Malaya, Kuala Lumpur.
Mills, T. (2000). Customer care – are you doing enough? Housebuilder, October
Miron, J. R. (2004). Housing Demand, Coping Strategy and Selection Bias.Growth and Change. Volume 35 Issue 2 (Spring). Pp. 220-261.
Russell Smith, Brant Deppa, (2009) “Two dimensions of attribute importance”, Journal of Consumer Marketing, Vol. 26 Issue: 1, pp.28-38
Satish, J. And Peter, K. (2004), Customer Response Capability in a Sense-And-Respond Era The role of customer knowledge process. J. Acad. Mark. Sci., 32 (3): 219-233.
Sekaran, Uma; Bougie, Roger. (2013). Research Methods for Business: A Skill-Building Approach, 6th Edition. United Kingdom: Wiley.
Swartz, T. ; Brown, S. (1989). A Gap analysis of professional service quality. Journal of Marketing, 53(2), 92-98.
Shuid, S. (2011). Role of the state and market in low cost housing provision in malaysia: The case study of open registration system for low cost house buyers (Unpublished PhD thesis Cardiff University Wales).
Keller, K. L. (2001), Building customer-based brand equity: creating brand resonance requires carefully sequenced brand-building efforts, Marketing Management, Vol. 10, No. 2, pp. 15-19
Louis G. Pol, (1986) “MARKETING AND THE DEMOGRAPHIC PERSPECTIVE”, Journal of Consumer Marketing, Vol. 3 Issue: 1, pp.57-65
Tan, T. H. (2010). The effect of housing characteristics on neighborhood stability of homeownership.International Journal of Business and Emerging Market, 2(3), 286 – 304.
Tan, T. H. (2011). Determinants of Housing Satisfaction in Klang Valley, Malaysia. School of Business Occasional Paper Series, 2. http://eprints.sunway.edu.my/117/Yakob, H., Yusof, F.; Hamdan, H. (2012). Land use Regulations Towards a Sustainable Urban Housing: Klang Valley Conurbation. Procedia – Social and Behavioral Science, 68(0),578-589
Zinas, B.Z. ; Jusan, M.M. (2012). Housing Choice and Preference: Theory and Measurement. Procedia – Social and Behavioral Sciences, 49(0), 282-292.
Zikmund, W. G., Babin, B. J., Carr, J. C., ; Griffin, M. (2010). Business research methods (8th ed.). Mason, HO: Cengage Learning.