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Article
Publication date: 29 March 2013

Matthew Tingchi Liu, James L. Brock, Gui Cheng Shi, Rongwei Chu and Ting‐Hsiang Tseng

The purpose of this paper is to investigate how perceived benefits, perceived risk, and trust influence Chinese consumers' online group buying organized by institutional…

Abstract

Purpose

The purpose of this paper is to investigate how perceived benefits, perceived risk, and trust influence Chinese consumers' online group buying organized by institutional initiators.

Design/methodology/approach

In total, 578 valid samples were collected via an online survey. Multiple regressions were used to test the research model.

Findings

The results show that three perceived benefits (price benefit, convenience benefit, and recreational benefit) and three factors that together represent trust of the initiator (perceived reputation, structural assurance, and website trustworthiness) significantly positively influence consumers' attitudes toward online group buying.

Originality/value

This study is the first one to specifically focus on how perceived benefits and perceived risks influence consumers' attitudes toward online group buying.

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Article
Publication date: 30 October 2018

Weiwei Li and Yang Yuan

The paper aims to explore the factors that influence the risk perception. The moderating roles of purchase experience and purchase involvement are also investigated.

Abstract

Purpose

The paper aims to explore the factors that influence the risk perception. The moderating roles of purchase experience and purchase involvement are also investigated.

Design/methodology/approach

The conceptual model is framed into the SOR (stimulus-organism-response) model, which was tested using data collected from the users of a leading group buying platform in China, with the help of LISREL.

Findings

The result indicates that both vendor- and intermediary-related factors exert negative yet significant influences on perceived risk. The relationships between vendor-related attributes and perceived risk are contingent on purchase involvement. The relationships between intermediary-related attributes and perceived risk are subject to purchase experience.

Originality/value

This study explores the moderating effects of purchase experience and purchase involvement based on the characteristics of group buying, demonstrating the differences from traditional online shopping.

Details

Nankai Business Review International, vol. 9 no. 4
Type: Research Article
ISSN: 2040-8749

Keywords

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Article
Publication date: 26 April 2011

Simon Lee, Abdou Illia and Assion Lawson‐Body

This study aims to adopt illusion of control and lateral consumer relationship in order to investigate their effects on price fairness in online auction and group buying

Abstract

Purpose

This study aims to adopt illusion of control and lateral consumer relationship in order to investigate their effects on price fairness in online auction and group buying context. These two variables have been known to have strong influences in fairness perception on consumers' decision‐making processes and outcomes.

Design/methodology/approach

The authors draw their conceptual foundations from previous studies, supplement this from the electronic commerce literature, and test the model through laboratory experiments.

Findings

The study demonstrates that consumers' perception on illusion control in price determination and advantageous lateral consumer relationship significantly affect price fairness perception in both the online auction and group buying environments.

Research limitations/implications

The findings are expected to provide researchers with useful insights to conduct future studies on uncovering the nomological networks associated with price fairness perception.

Practical implications

The findings are expected to help managers develop better pricing strategies and design effective dynamic pricing mechanisms.

Originality/value

The paper provides the first integrated perspective on the human decision processes in the dynamic pricing environment in electronic markets.

Details

Industrial Management & Data Systems, vol. 111 no. 4
Type: Research Article
ISSN: 0263-5577

Keywords

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Article
Publication date: 5 October 2015

Hong Zhang, Yaobin Lu, Sumeet Gupta and Ping Gao

Sustainable success of group-buying web sites implies that consumers not only accept them initially but also use them continuously. Most group-buying web sites, however…

Abstract

Purpose

Sustainable success of group-buying web sites implies that consumers not only accept them initially but also use them continuously. Most group-buying web sites, however, are unable to achieve such sustainable success. Drawing on expectation-confirmation model (ECM), the purpose of this paper is to examine the factors that influence group-buying web sites continuance.

Design/methodology/approach

In total, 605 valid responses were collected via a survey of a leading group-buying web site in China. Structural equation modeling was used to test the research model. This study also compared the three competing models of continued use behavior, namely, ECM, the research model and the integrated model.

Findings

The results show that perceived web site quality, perceived price advantage and confirmation are important determinants of consumer satisfaction, while perceived web site quality, perceived reputation, satisfaction and perceived critical mass significantly influence consumers’ continuance intention. The research model accounts for more variance in satisfaction and continuance intention than ECM and is the best-fitting model among the competing models.

Originality/value

Drawing on ECM, this research proposes a model by incorporating three online group-buying characteristics (perceived price advantage, perceived reputation and perceived web site quality) and two social influence factors (subjective norm and perceived critical mass). Specially, this study uses these three online group-buying characteristics to represent perceived usefulness in ECM. These constructs are found to influence consumer satisfaction and continuance intention. This study extends ECM and provides a better explanation of consumers’ post-purchase behavior in the online group-buying context.

Details

Internet Research, vol. 25 no. 5
Type: Research Article
ISSN: 1066-2243

Keywords

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Article
Publication date: 27 May 2014

Meng-Hsiang Hsu, Li-Wen Chuang and Cheng-Se Hsu

The purpose of this paper is to provide a better picture of factors influencing behavioral decisions in online shopping by identifying different targets of trust and…

Abstract

Purpose

The purpose of this paper is to provide a better picture of factors influencing behavioral decisions in online shopping by identifying different targets of trust and discussing their antecedents and outcomes.

Design/methodology/approach

Online survey data from 242 ihergo members were used to test the proposed model, and structural equation modeling with partial least squares was performed to analyze the measurement and structural models.

Findings

The findings show that the four types of trust identified in this study are critical determinants of perceived risk and attitude. In addition, the majority of the antecedents are found to be associated with their respective types of trust.

Research limitations/implications

The research extends the theory of reasoned action and prior research to discuss four types of consumer trust, as well as their respective antecedents and subsequent consequences. The result is a more descriptive model that better explicates consumers’ decision-making processes in online shopping.

Practical implications

Given the intense competition between online shopping sites, web site managers should strive to provide a safe and user-friendly shopping environment. In addition, the vendor can enhance trust by encouraging satisfied customers to provide positive endorsements.

Originality/value

This study is possibly the first of its kind, in identifying the four types of trust and their respective antecedents in the context of an online group-buying auction, and thus serves to enrich the existing literature concerning trust-building factors.

Details

Internet Research, vol. 24 no. 3
Type: Research Article
ISSN: 1066-2243

Keywords

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Article
Publication date: 1 June 2012

Keith S. Coulter and Anne Roggeveen

Information typically posted on group buying websites includes number of previous buyers, whether a limit has been placed on purchase number, and the time remaining until…

Abstract

Purpose

Information typically posted on group buying websites includes number of previous buyers, whether a limit has been placed on purchase number, and the time remaining until the deal expires. The purpose of this paper is to demonstrate that these factors may interact such that, under certain circumstances, purchase likelihood is reduced.

Design/methodology/approach

The paper first examines actual online data; the authors then follow this with a 2×2×2 experiment in which they demonstrate psychological process.

Findings

Providing previous‐buyer‐number information can have a positive effect on a consumer's decision to purchase at an online group buying website (e.g. Groupon). Imposing a purchase limit can increase these positive effects, but providing information on time‐to‐expiration (if it is relatively long) can negate the effects. Both perceived value and anticipated regret are found to be mediating factors.

Research limitations/implications

It is possible that effects may be attenuated as a result of product familiarity.

Practical implications

Retailers should pay particular attention to the timing or pattern of purchases on group buying websites, and provide information accordingly.

Originality/value

This paper is the first to show how the three factors noted previously may interact to reduce purchase intentions.

Details

Journal of Research in Interactive Marketing, vol. 6 no. 2
Type: Research Article
ISSN: 2040-7122

Keywords

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Article
Publication date: 12 October 2012

Edward C.S. Ku

The purpose of this paper is to investigate how online trust affects group shopping intention in the Ihergo web site.

Abstract

Purpose

The purpose of this paper is to investigate how online trust affects group shopping intention in the Ihergo web site.

Design/methodology/approach

Samples from the Ihergo web site were collected by mailing a questionnaire survey to those who agreed to participate.

Findings

Group‐buying operators need to understand their consumers and the scheduling shopping rules between internet shoppers and firms. Moreover, word‐of‐mouth (WOM) can be created online by offering web visitors the ability to access the opinions of satisfied customers.

Practical implications

An online business may adopt different methods to enhance its customer satisfaction level. When people enter a significant amount of personal data at a web site, they are typically reluctant to change vendors and enter the data again.

Social implications

Customers view a group‐buying operator as a shopping expert, and expect that the group‐buying operator can handle shopping problems before a dispute occurs.

Originality/value

The findings of this study provide interesting insights for group‐buying operators interested in group‐buying commerce; consumers having a high level of interest in shopping possess a strong motivation and desire to interact with the group‐buying operator.

Details

Internet Research, vol. 22 no. 5
Type: Research Article
ISSN: 1066-2243

Keywords

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Article
Publication date: 11 July 2016

Yong-Ki Lee, Sally Y. Kim, Namho Chung, Kwanghoon Ahn and Jong-Won Lee

Social commerce using social media has been on the rapid increase. Among various social commerce models, group-buying has become the mainstream. There is a paucity of…

Abstract

Purpose

Social commerce using social media has been on the rapid increase. Among various social commerce models, group-buying has become the mainstream. There is a paucity of research related to how customers perceive value in group-buying situations. This paper aims to examine and analyze various factors that influence perceived customer value in group-buying.

Design/methodology/approach

Data were collected using a survey on customers who had purchased a restaurant service deal on a group-buying site. A partial least squares technique was used to estimate the model.

Findings

Results show that perceived customer value affects customers’ group buying intentions and that all four antecedents of perceived value (low price, valence of experience, trust in social media and reputation of the group-buying site) have a significant influence. Implications and further research directions are discussed at the end of the paper.

Originality/value

This study provides valuable strategic implications for social commerce firms.

Details

Journal of Services Marketing, vol. 30 no. 4
Type: Research Article
ISSN: 0887-6045

Keywords

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Article
Publication date: 14 May 2018

Mohammad Alamgir Hossain, Shams Rahman, Tamgid Ahmed Chowdhury, Caroline Chan, Xiaoyan Yang and Qingxin Su

A major transformation in retail logistics over the few years is backed by enormous improvements in internet technologies. It is now easy for e-retailers to entertain…

Abstract

Purpose

A major transformation in retail logistics over the few years is backed by enormous improvements in internet technologies. It is now easy for e-retailers to entertain delivery progression, or consumers can share use-experience with future customers and thereby reducing information asymmetry. The purpose of this paper is to investigate the effect of different signals on consumer behavior in the presence of information asymmetry, in the context of online group buying (OGB) markets in China.

Design/methodology/approach

Based on the lemon market theory (LMT) and signaling theory, the study develops a research model of the OGB consumers’ context in China, which is validated using data from an online survey. A total of 528 responses are used for data analysis applying structural equation modeling technique.

Findings

The findings of the study show that perceived vendor quality (PVQ) and perceived product quality (PPQ) have significantly positive effects on intention to purchase from OGB websites. PVQ is associated with perceived reputation and perceived trustworthiness (PT) of vendor, and the determinants of PPQ are quality assurance information of products, and information about mer-chants. Further, PT has a mediating effect, while asymmetry of information has a moderating effect.

Research limitations/implications

The research model is valid as a generic OGB model that can be investigated in other contexts to understand the generalizability of the findings. Future research is needed to incorporate additional relevant factors (e.g. price, advertising activity/investments) that may help increase the acceptability of the model to a wide range of e-commerce contexts. Two of the control variables (gender and prior internet experience) were found to be significant; this could be further examined in future studies to determine the relative impact on each causal relationship.

Originality/value

Whereas prior studies in the domain of consumer service proposed different signaling mechanisms that were believed to eliminate information asymmetry from a market, the study sheds light on the effectiveness of the signals in the OGB context. This is a unique effort that applies and extends LMT and signaling theory in OGB context by theorizing the associated dimensions and their causal effects.

Details

International Journal of Physical Distribution & Logistics Management, vol. 48 no. 7
Type: Research Article
ISSN: 0960-0035

Keywords

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Article
Publication date: 6 August 2018

Hsin-Hui Lin, Wan-Chu Yen, Yi-Shun Wang and Yen-Min Yeh

The purpose of this paper is to explore the effects of consumer role (involved vs observing) on consumer responses in the context of online group buying (OGB) service failures.

Abstract

Purpose

The purpose of this paper is to explore the effects of consumer role (involved vs observing) on consumer responses in the context of online group buying (OGB) service failures.

Design/methodology/approach

A scenario simulation method with a 2×3 factorial design was used to investigate the impact of consumer role (i.e. involved consumers and observing consumers) on consumer responses (i.e. perceived quality, negative electronic word-of-mouth (eWOM), and switching intention). The moderating role of seller offering type (i.e. physical products, true services, and pseudo services) on the relationship between the consumer role and responses was also tested.

Findings

The differences in perceived quality, negative eWOM, and switching intention between involved consumers and observing consumers were significant. Further, seller offering type moderated the relationship between consumer role and consumer response.

Practical implications

These findings provide several important theoretical and practical implications in regard to OGB service failure and recovery.

Originality/value

This study enriches OGB and service failure literature by a pioneering investigation of how consumer roles respond to OGB service failures and how different seller offering types influence the relationship between consumer role and consumer response. The results will help service providers of OGB benefit from enhancing their service recovery strategies to cope with OGB service failures.

Details

Internet Research, vol. 28 no. 4
Type: Research Article
ISSN: 1066-2243

Keywords

1 – 10 of 81