Analysis of “Element” Folding Bike Purchase Decision with Motivation as Intervening Variable

Most companies are experiencing difficulties due to the decline in market demand due to the reduced buying ability of the people. On the other hand, this is surprising for the bicycle industry. The demand for bicycles has increased significantly, especially for folding bike. Based on this phenomenon, the authors conducted further research on how the relationship between product variables, price variables and motivation variables as an intervening variable on the Purchase Decision of the Element Folding Bike. This study uses a quantitative descriptive method. The sampling technique in this research is purposive sampling and the sample is taken using a questionnaire. Respondents in this study were 132 respondents from people who lived in Jakarta and had bought and used Element folding bicycles. Data were analyzed using descriptive statistics and Structural Equation Model Partial Least Square (SEM-PLS) analysis with SmartPLS software. The results showed that the product variable and the motivation variable had a positive and significant direct influence on purchasing decisions. And the price variable has a negative and significant direct influence on purchase motivation and purchase decisions. Furthermore, the motivation variable which acts as an intervening variable has an effect as an intermediary variable in the relationship between Product variables, Price variables on Purchase Decisions.