Research of Economics and Business
Vol. 4 No. 1 (2026): MARCH 2026

The Effect of Pricing Strategy, Promotion, and Online Reviews on Consumer Purchasing Decisions: An Empirical Study

Amanah, Anik Sofiatun (Unknown)
Simon, Zainal Zawir (Unknown)



Article Info

Publish Date
19 Mar 2026

Abstract

The rapid growth of digital commerce has intensified competition among online sellers, requiring businesses to understand the factors that influence consumer purchasing decisions in digital marketplaces. However, empirical evidence on how price, promotion, and electronic word of mouth particularly online customer reviews and ratings shape purchasing decisions in the TikTok Shop ecosystem remains limited. Therefore, this study aims to examine the effects of price, promotion, online customer reviews, and online customer ratings on purchasing decisions, and to review these relationships from an Islamic perspective. This study uses an explanatory research design with a population consisting of TikTok Shop consumers in North Jakarta and a sample of 125 respondents. Data were analyzed using Partial Least Squares–Structural Equation Modeling (PLS-SEM). The results show that price, promotion, and online customer reviews have a positive and significant effect on purchasing decisions, whereas online customer ratings do not. These findings provide empirical evidence on consumer behavior in the TikTok Shop marketplace and highlight the importance of pricing strategies, promotional activities, and credible online reviews in influencing purchasing decisions in digital commerce environments.

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Journal Info

Abbrev

reb

Publisher

Subject

Economics, Econometrics & Finance

Description

The Research of Economics and Business (REB) is an open-access and peer-review journal that publishes high-quality and original research articles, review papers, and case studies. This journal covers a wide range of topics in economics and business and offers new scientific perspectives, and ...