FOSTERING THE CITY BRANDING EFFECTIVENESS TO BOOST THE ECONOMIC GROWTH IN INDONESIA

Abstract

The goal of the study is to analyze the effectiveness of both city branding and city image in resulting one of strategy to improve the economic growth in Samarinda reflected in the Gross Domestic Product (GDP). GDP is such a clear reflection of the economic growth in any area. In Samarinda, particularly, the growth level in both service and trade sectors are provide significant contribution to its PDRB. Those sectors could reach this level since the ability of local government in creating conducive condition reflected in city branding that in the end will have a significant effect on city image. The effectiveness of city branding is very essential since its ability to counter the increasing competition in obtaining resources, investments and tourisms. Methodologies used in the study are Structural Equation Modeling Partial Least Square (SEM-PLS) and t-test. Data was collected using accidental sampling technique by giving a questionnaire to 100 visitors of Mesra International Hotel Samarinda. The findings shown that perception of those respondents on the effectiveness of city branding is significantly affecting the city image. Studied indicators have not showing the effectiveness of city branding, yet those respondents states that as a business city, Samarinda is attractive and has a great potential in economy.