Work

The influence of risk tolerance and brand trust on investment decision and customer engagement behavior

Year: 2024

Type: article

Abstract: Understanding the impact of Risk Tolerance and Brand Trust on Investment Decisions and Customer Engagement Behavior is imperative in today's competitive financial environment. This study investigates the direct and mediating effects of Risk Tolerance and Brand Trust on Investment Decisions and Customer Engagement Behavior. Utilizing a quantitative approach with a survey method, data were collected from 144 private customers of Bank BRI in East Java through random sampling techniques. Structural Equation Modeling (SEM) was employed for data analysis. The research reveals significant direct effects of Risk Tolerance and Brand Trust on Investment Decisions. Likewise, the direct effects of brand trust and investment decision on customer engagement behavior are significant. However, the influence of risk tolerance on customer engagement behavior is not significant. These findings underscore the intricate dynamics of consumer behavior in the financial sector. This study contributes to a deeper understanding of how risk perception and trust in the brand affect investment decisions and customer engagement behavior, offering insights for strategic decision-making in the banking industry.

Source: International Journal of Research in Business and Social Science (2147-4478)

DOI: 10.20525/ijrbs.v13i5.3469

Authors: Ainur Rofiq, Evifana Santi Wijayanti

Institution: University of Brawijaya

Language: English

Topic: Consumer Behavior and Marketing Influence

Subfield: Marketing

Field: Business, Management and Accounting

Domain: Social Sciences

Open Access status: gold

Estimated APC paid: $129

Funder: Universitas Brawijaya