Factors Influencing the Intention to Purchase BYD Electric Cars in Indonesia using the Stimulus-Organism-Response (S-O-R) Theory Approach

Abstract

The objective of this study is to examine the impact of brand identity, country of origin, perceived risk, and brand image on purchase intention among prospective BYD electric car consumers in Indonesia. The accelerated adoption of electric vehicles (EVs) and the preeminence of emerging brands such as BYD underscore the imperative for a comprehensive understanding of consumer psychological factors within the transformative automotive market. A quantitative approach was employed through an online survey involving 200 respondents across Indonesia who expressed interest in electric vehicles. The data collection period spanned from February to May of 2025. The analysis was conducted using Structural Equation Modeling (SEM) with SmartPLS 4 software. The findings of the study suggest that brand image is the most substantial positive predictor of purchase intention. The brand identity of the aforementioned brand is a critical component in the establishment of its strong brand image, a factor that has been demonstrated to effectively mitigate perceived risk. Contrary to the hypothesis, the study found that neither country of origin nor perceived risk had a significant direct influence on purchase intention. These findings underscore the significance of strategies that prioritize the cultivation of internal brand strength, encompassing identity and image, as the most efficacious approach to stimulate purchase intention within the competitive Indonesian EV market.