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All Journal Business and Applied Management Journal
Muhamad Patriansyah
Universitas Sriwijaya, Indonesia
Humanities Economics, Econometrics & Finance Education Environmental Science Social Sciences

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Promotion, Price, and Customer Decisions to Upgrade Electricity Capacity: A Value-Based Decision Approach Muhamad Patriansyah; Diah Natalisa; Ahmad Maulana
Business and Applied Management Journal Vol. 4 No. 2 (2026)
Publisher : Al-Qalam Institute

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.61987/bamj.v4i2.2411

Abstract

This study examined the influence of promotion and price on customers’ decisions to upgrade electricity capacity from a value-based decision perspective. The study focused on consumer decision-making behavior in public electricity utility services, particularly in the context of electricity capacity upgrades. A quantitative approach was employed using survey data collected from 100 customers who had experienced electricity capacity upgrade services. The data were analyzed using multiple linear regression analysis. The results showed that both promotion and price had significant positive effects on customer purchase decisions. However, price was identified as the more dominant factor influencing customer behavior. Promotion and price simultaneously explained 83.6% of the variance in customer purchase decisions. These findings indicate that customers in public utility services tend to make rational, value-oriented decisions, in which affordability and perceived economic benefits play a stronger role than promotional communication. This study contributes to marketing and consumer behavior literature by extending the value-based decision framework to public electricity utility services. The findings also provide managerial implications for developing customer-oriented pricing policies and effective digital promotion strategies in the electricity sector.
Co-Authors Ahmad Maulana Diah Natalisa