19 CHAPTER III METHODOLOGY 3.1 Research Design This research was conducted from Mei-July 2016. Below is the step by step in completing the research. 3.1.1Textual Analysis Before designing the research framework (Figure3), it began with identifying and understanding the problem through literature study and observation. This research focuses on assessing the factors influencing Indonesian market purchase intention and Figure 4 Research Framework 20 actual purchase of halal product. There are 3 main problems underlying this assessment: high number of Halal market population, the high diversity of Indonesian as a whole and the broad selection of product available on the market. This result of this step is presented in the first chapter. 3.1.2 Model and Hypothesis Development After having a comprehensive understanding on the theories regarding Halal purchase intention, the next step is to develop the research model and define the hypotheses. The variables arrangement on the model was constructed based on previous studies. Then, the data collected through online questionnaire, which questions were develop in accordance with the model construct. The basic theories and list of studies review are provided in the second chapter, while the data collection method and questionnaire design are provided in the third chapter. 3.1.3 Analysis and Recommendation As the data has been collected, the statistical analysis is conducted to validate the hypotheses. The psychometric analysis was performed to assess measurement scales prior to the hypotheses testing using Structural Equation Model. These analyses used excel, SPSS 20.0 and AMOS 23.0in analyzing the data. The result will be discussed in the fourth chapter. On the other hand, the further recommendation and impact of this research will be explained in the last chapter of this research. 3.2 Research Methodology This study is an empirical study, which is conducted to test the hypotheses regarding factors influencing Halal product purchase intention and actual purchase. The findings from previous related studies have been the foundation to develop model and support the hypotheses tested in this study as well. The primary data gathered through online questionnaire, which distributed among the targeted population. 3.2.1 Population The targeted population of this research is Indonesian Muslim over the age of 17 years old who currently live in Indonesia.Based on those criteria, the population of this 21 research is less than 169,044,606 people according the survey conducted by BPS in 2010. 3.2.2 Sampling The minimum sample required for SEM analysis is ten times the indicator variables (Jackson, 2003). Based on Jackson, with the 13 indicators in this study, it requires 130 sample data. However, the sample used in the study using SEM is at least 200cases (Kline, 2011). The sampling technique used in this study was non-probability convenience sampling method, due to the constraint of time, speed, costs, and conveniences in order to obtain enough respondents. Since the demographic characteristics are also considered, this research also used snowball sampling to reach the inaccessible population. From the total data of 924 responds, there were 823 usable questionnaires to be further assessed using statistical analysis. Comparing the data used in this study with the overall population, it may be relatively small. Nonetheless, it has passed the required sample for SEM analysis. This study has also tried to cover a broader area of data collection from 24 out of 33 provinces in Indonesia. 3.3 Data Collection Method The data were gathered by primary data collection method through self- administrated questionnaires with closes-ended questions. The survey was distributed online in Bahasa from May 30 th to June 9 th 2016. Meanwhile, the secondary data was gathered from web sources, academic journals and book to support the statistical analysis interpretation. 3.4 Research Measurements and Variable 3.4.1Research Measurement All the questions used a five- point Likert scale in which 1 indicated “strongly disagree,” 2 indicated “disagree,” 3 indicated “neutral,” 4 indicated “agree,” 5 indicated “strongly agree.” The research measurement in Table 2 consists of 5 variables, which are Attitude, Subjective Norms, Perceive Behavioral Control, Purchasing Intention and Actual Purchase. Each variable consists of several measurement items, which each also 22 consists of 3-5 relevant questions. The item’s questions intended to measure the variables in this study are adapted from previously validated instruments with some modification so that the focus was on the halal product purchase. Table 2 Research Measurement Variable Measurem ent Item Author Label Statement Scale Method Attitude Trust Rahman, et al. (2015); Teng and Wang (2015) TR_1 I trust the institutions certifying Halal products Likert Scale TR_2 I trust the quality of product with Halal label or logo TR_3 I trust brand who sell certified Halal product indeed sell good quality product TR_4 I have knowledge to differentiate between permissible and forbidden stuffs TR_5 I know about the current issues regarding ingredients Likert Scale TR_6 I know the difference between Halal certification for products and Halal certification for premises Beliefs Khan and Azam (2016); Teng and Wang (2015) BL_1 Halal products have better quality than non- Halal products Likert Scale BL_2 Halal provide good benefits for health BL_3 By consuming Halal products, I get a peace of mind BL_4 I consider that information provided on media related to halal product has been sufficient BL_5 I consider that government has provided information on media or web which help me improve my understanding of halal products Subjective Norm Family Teng and Wang (2015) FA_1 My family has provided an understanding of Halal since childhood Likert Scale FA_2 My family requires me to buy Halal products FA_3 I feel guilty to my family if I buy non Halal products Local Community Teng and Wang (2015) LC_1 My Friends/neighbors thought I should buy Halal products Likert Scale LC_2 My friends/neighbors love buying Halal products LC_3 I feel guilty to my friends/neighbors if I buy non-Halal products Social Teng and Wang (2015) SC_1 Social media affects my purchase decisions of halal products Likert Scale SC_2 News and magazines affect my purchase decisions of halal products SC_3 Government supports for halal products affect my decisions to buy halal products Likert Scale Perceive Behavioral Control Product Attribute Rahman, et al. (2015) PA_1 I can afford to buy halal-certified product even though it slightly expensive. Likert Scale PA_2 I do not mind to buy halal-certified products despite of the unattractive packaging 23 Variable Measurem ent Item Author Label Statement Scale Method Perceive Behavioral Control Product Attribute Rahman, et al. (2015) PA_3 I do not mind to buy halal-certified products despite the unfamiliar brand Likert Scale Self- Efficacy Rahman, et al. (2015) SE_1 I do not mind to buy halal-certified products even though it takes longer time to obtain Likert Scale SE_2 I do not mind to buy halal-certified products even though I have to travel long distance to obtain SE_3 If halal-certified brands are available in stores, I am sure that I will only buy halal-certified brands Likert Scale Purchasing Intention Food Product Khan and Azam (2016) FP_1 I intend to purchase Halal-certified food products in the future/in near future Likert Scale FP_2 I intend to purchase Halal-certified food products frequently if available FP_3 For daily food consumption, I prefer Halal- certified food products Non-Food Product Khan and Azam (2016) NF_1 I intend to purchase Halal-certified non-food products in the future/in near future Likert Scale NF_2 I intend to purchase Halal-certified non-food products frequently if available NF_3 For daily non-food consumption, I prefer Halal-certified products Actual Purchase Frequency Tarkiainen and Sundqvist (2005) FR_1 My frequency in purchasing Halal-certified food product Likert Scale FR_2 My frequency in purchasing Halal-certified cosmetics product FR_3 My frequency in purchasing Halal-certified medicine product FR_4 My frequency in purchasing Halal-certified clothing product 3.4.2 Research Variable Table 3 provides the breakdown of questions used to represent each measurement item as well as its version in Bahasa.