A Conceptual Model of Predictors in Decision Making

The purpose of the paper is to present a conceptual model of linking the perceptions of reference group, perceived value and students' decision making in selecting a vocational institution for their study. A set of Propositions is developed based on a review of conceptual and empirical works. the model developed in this study different from its predecessors as this paper includes reference group perception as one of the predictor in decision making process. In addition, the model integrates variables from extant study not only the perceptions of the reference group but also perceived value in decision making process. This paper presents propositions that discuss variables identified that are unique to an education industry, particulary in the vocational education. Model variables and relationships among them are elaborated later. The paper examines two variables which is integrated into the conceptual model as predictors in decision making. the first variable is the role of two types of reference group based on the theory of Khan and Kadir (2011 : 7063); namely functional value and relational value. Based on the aforementioned two-variable, the model is developed, which proposed that the consumer decision making is shaped by the reference group and the perceived value. Practical implications of the proposition developed in this paper are the influence of reference group as well as perceived value implies importance in any industries. The paper introduces new context relevant concepts and develops propotitions as reflection from the conceptual model of decision making predictors in education industry. Furthe research is encouraged to test the proposition developed and to generalize the results globally.