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Library's collection Library's IT development CancelTo grab the opportunity in the smartphone industry, companies can
increase customer's perceived value by increasing its product's benefits (quality)
or reducing its product's costs (price). Scholars argue that reducing perceived
price could increase perceived value but also reduce perceived quality. This is
because perceived quality may mediate the relationship between perceived price
and perceived value. Therefore, this research's objective is to understand the
mediation effect in perceived price and perceived value relationship in
smartphone industry.
This research has collected the data from 70 respondents in Indonesia.
The data has passed validity & reliability test and processed using multiple
regression analysis with Sobel test. The result of this research finds an
insignificant relationship between perceive price and perceived value and a
significant relationship between perceived price and perceived quality. Thus, there
is no mediation of perceived quality in the relationship between perceived price
and perceived value. Furthermore, this research finds a significant relationship
between perceived quality and perceived value.