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A STUDY ON CHARACTERISTICS THAT AFFECT PURCHASE INTENTION IN E-COMMERCE

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Nguyễn Gia Hào

Academic year: 2023

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Their unconditional love, patience and encouragement made this research and my Bachelor of International Business course possible. This research enables multiple industries to gain an in-depth understanding of consumer-preferred features offered by e-commerce platforms. The findings of this research showed that trust has a positive influence on purchase intentions in e-commerce platforms among Generation Z.

RESEARCH OVERVIEW

  • Introduction
  • Research Background
  • Research Problem
  • Research Objectives
    • General Objective
    • Specific Objectives
  • Research Questions
  • Research Significant
  • Conclusion

To investigate the relationship between subjective norms and purchase intention in e-commerce platforms among Generation Z. To investigate the relationship between perceived ease of use and purchase intention in e-commerce platforms among Generation Z. Is there a relationship between perceived ease of use and koopvoorneme in e-handelsplatforms onder Generasie Z.

Figure 1.1: Retail E-commerce Sales Worldwide from 2014 to 2024.
Figure 1.1: Retail E-commerce Sales Worldwide from 2014 to 2024.

LITERATURE REVIEW

  • Introduction
  • Underlying Theories
    • Extended Technology Acceptance Model (TAM2)
  • Review of Variable
    • Purchase Intention
    • Trust
    • Subjective norms
    • Perceived Ease of Use
    • Perceived Usefulness
    • Perceived Enjoyment
  • Conceptual Framework
  • Hypothesis Development
    • Relationship Between Trust and Purchase Intention
    • Relationship Between Subjective Norms and Purchase
    • Relationship Between Perceived Ease of Use and Purchase
    • Relationship Between Perceived Usefulness and Purchase
    • Relationship Between Perceived Enjoyment and Purchase
  • Conclusion

Another previous study showed that perceived ease of use has a positive association with purchase intention (Moslehpour et al, 2018). H3: There is a positive significant relationship between perceived ease of use and purchase intention among Generation Z. Another study showed that perceived enjoyment has a statistically significant effect on purchase intention among Generation Z (Mohammed, 2018).

Figure 2.1: Extension of Technology Acceptance Model (TAM2)
Figure 2.1: Extension of Technology Acceptance Model (TAM2)

METHODOLOGY

  • Introduction
  • Research Design
    • Quantitative Research
    • Descriptive Research
  • Sampling Design
    • Target Population
    • Sampling Location
    • Sampling Elements
    • Sampling Technique
    • Sample Size
  • Data Collection Method
    • Primary Data
    • Secondary Data
  • Research Instrument
    • Questionnaire Design
    • Operational Definition
  • Construct Measurement
    • Nominal Scale
    • Ordinal Scale
    • Likert Scale
  • Pilot Test
  • Data Collection Procedures
  • Data Processing
    • Questionnaire Checking
    • Data Editing
    • Data Coding
    • Data Transcribing
    • Data Cleaning
  • Analysis Method
    • Descriptive Analysis
    • Scale Measurement
    • Inferential statistic
  • Conclusion

In this research, it tries to find out the variables that will influence Generation Z's purchase intention in e-commerce platforms. In this research, descriptive research is used because it can illustrate the characteristics of purchase intention in e-commerce platforms among Generation Z. Apart from demographic profiles, factors influencing Generation Z's purchase intention in e-commerce platforms, including trust, subjective norms, perceived ease of use, perceived usefulness and perceived enjoyment are defined in section B of the questionnaire.

The targeted population in this study is consumers remaining in Malaysia with previous or current experience purchasing goods and services through e-commerce platforms. Generation Z consumers residing in Malaysia with previous or current experience of purchasing goods and services through e-commerce platforms are considered the population in this study. In addition, general surveys of consumers' experiences when buying products and services through e-commerce platforms are also designed in Part B.

While questionnaires on independent variables are included in Section C such as trust, subjective norms, perceived ease of use, perceived usefulness, perceived enjoyment factors influencing Generation Z's purchase intention in e-commerce platforms. SN2 Most people important to me want me to buy products on e-commerce platforms for consumption. SN3 People whose opinions I value would prefer me to buy products on e-commerce platforms for consumption.

PEOU4 I find it easy to find the data I need from these e-commerce platforms.

Table 3.1: Operational Construct
Table 3.1: Operational Construct

DATA ANALYSIS

Introduction

Data Collection Process and Respond Rates

Data Processing

  • Data Cleaning

Descriptive Analysis

  • Respondent’s Demographic
    • Gender
    • Age
    • Education
    • Race
    • Employment Status
    • Monthly Income / Allowance
    • Identification of online buyers and non-online buyers
    • Duration of time that consumers have been making online
    • Frequency of online purchases in the last year
  • Central Tendencies of Measurement
    • Mean and Standard Deviation of Trust
    • Mean and Standard Deviation of Subjective Norms
    • Mean and Standard Deviation of Perceived Ease of Use 50
    • Mean and Standard Deviation of Perceived Enjoyment
    • Mean and Standard Deviation of Purchase Intention

The mean and standard deviation of each construct, including TR, SN, PEOU, PU, ​​PE, and PI, will be described in this section. SN2 My friends, who are important to me, think I should buy products on e-commerce platforms for consumption. SN4 Most of the people who are important to me think that I should buy products on e-commerce platforms for consumption.

SN5 People whose opinions I value prefer that I buy products on e-commerce platforms for consumption. PEOU3 I find it easy to find the data I need from these e-commerce platforms. P12 I am likely to make another purchase from e-commerce platforms if I need the products I want to buy.

Figure 4.1: Gender
Figure 4.1: Gender

Reliability Test

Inferential Analysis

  • Multiple Linear Regression Analysis
  • Test of Significant
  • Multicollinearity

H1: There is a significant positive relationship between trust and purchase intention on e-commerce platforms among Generation Z. This indicates that there is a significant positive relationship between trust and purchase intention on e-commerce platforms among Generation Z. H0: There is a Negative relationship between subjective norms and purchase intention on e-commerce platforms among Generation Z.

H1: There is a positive significant relationship between subjective norms and purchase intention on e-commerce platforms among Generation Z. H1: There is a positive significant relationship between perceived ease of use and purchase intention on e-commerce platforms among Generation Z. H0: Among Generation Z there is a negative the relationship between perceived usefulness and purchase intention in e-commerce platforms.

H1: There is a positive significant relationship between perceived usability and purchase intention in e-commerce platforms among Generation Z. It shows that there is a positive significant relationship between perceived usability and purchase intention in e-commerce platforms among Generation Z. H0: There is a negative relationship between perceived enjoyment and purchase intention in e-commerce platforms among Generation Z.

H1: There is a positively significant relationship between perceived pleasure and purchase intent in ecommerce platforms among Generation Z.

Table 4.10: Regression Analysis for Predicting towards Purchase Intention
Table 4.10: Regression Analysis for Predicting towards Purchase Intention

DISCUSSION, CONCLUSION AND IMPLICATIONS

Introduction

Discussion of Findings

  • Relationship between Trust and Purchase Intention
  • Relationship between Subjective Norms and Purchase
  • Relationship between Perceived Ease of Use and Purchase
  • Relationship between Perceived Usefulness and Purchase
  • Relationship between Perceived Enjoyment and Purchase

The result indicates that trust is positively and significantly related to purchase intention in e-commerce platforms among Generation Z (β = 0.251; p = 0.000 < 0.001). H2 suggests that the subjective norms have a positive influence on purchase intention in e-commerce platforms among Generation Z. The result indicates that the subjective norms are positively and significantly related to purchase intention in e-commerce platforms among Generation Z (β p = 0.001 < 0 ,01).

The positive relationship between perceived ease of use and purchase intention towards e-commerce platforms among Generation Z is stated in H3. However, the findings show that there is no relationship between subjective norms and purchase intention in e-commerce platforms among Generation Z (β = 0.035; p = 0.572 > 0.10). The positive role of perceived usability on purchase intention towards e-commerce platforms among Generation Z is formulated in H4.

As a result, one of the primary important drivers of purchase intent in e-commerce platforms among Gen Z is perceived usefulness. H5 states that perceived enjoyment has a positive influence on purchase intentions in e-commerce platforms among Generation Z. However, the result shows that there is no relationship between perceived enjoyment and purchase intention in e-commerce platforms among Generation Z (β = 0.009; p = 0.865 > 0.10).

Therefore, this implies that perceived enjoyment does not really influence purchase intentions in e-commerce platforms among Generation Z.

Figure 5.1: Structural Equation Model Results
Figure 5.1: Structural Equation Model Results

Implications of Findings

  • Theoretical Implications
  • Practical Implications

This is because some consumers are more concerned about perceived utility rather than perceived pleasure. The findings in this study suggest that increasing trust, subjective norms and perceived usability can consequently increase purchase intent in e-commerce platforms. Companies should be honest and try to be as transparent as possible in terms of products, information and regulations of e-commerce platforms.

In this context, the administrator of e-commerce platforms must provide sufficient information and instructions to allow sellers to create a legally binding contract outlining the terms of a sale between a buyer and a seller. In addition, e-commerce platforms can focus on protecting personal data to increase trust among customers. Therefore, maintaining and increasing the level of trust among customers is important to increase purchase intention on e-commerce platforms.

Consideration of subjective norms can be useful, in turn, contributing to the intention to purchase in e-commerce platforms. Consequently, customers with high subjective norms are those most likely to make online purchases via e-commerce platforms. Identifying perceived usability is essential for business practitioners to increase purchase intent in e-commerce platforms among Generation Z.

As a result, e-commerce companies must consider the important role of trust, subjective norms and perceived usefulness in motivating their sales on e-commerce platforms.

Limitation of Study

  • No Target Group Can Be Compared
  • Insufficient Sample Size
  • Geographical Bias
  • Non-specific E-commerce Platform

This is because the perceived usefulness of an e-commerce system is related to the productivity and efficiency of the system. For example, a company can provide globally recognized secure and fast payment channels and out-of-the-box shipping services to increase consumers' perceived utility. In addition, it is recommended that companies provide accurate information that leads to customer-perceived product information, price perception, convenience perception, and service and product quality perception, as Generation Z preferred to search for information on their own (Schwieger & Ladwig, 2018). . .

First, the demographic data for this study only focuses on Generation Z consumers, the researcher cannot further understand the preferences and opinions of the other generation group, so it cannot be compared with other generations in this study. First, this survey covers only a relatively small number of respondents, around 260 respondents, which does not reach the number of respondents that can represent the population. A limitation of this study is that the data was collected and obtained from consumer samples in one country which is Malaysia.

Although the survey data was collected through several social media applications, the results of this survey may not represent the overview of online users. Apart from limited sample size, the respondent in this study was asked about their purchase intentions towards e-commerce platforms in general rather than focusing on a particular e-commerce platform individually.

Suggestion and Recommendation for Future Studies

  • Create Cross-Generational Study
  • Increase Amount of Sample Size
  • Narrow Down the E-commerce Platform

By concentrating on a specific e-commerce platform, the research will be able to elicit more specific responses and draw on personal experiences, rather than providing broad explanations based on generalizations. Therefore, it is suggested that researchers in future studies practice refining the following general questions into more specific questions that elicit people's personal experiences.

Conclusion

Understand factors that influence consumers' online purchase intent through a mobile app: perceived ease of use, perceived usability, system quality, information quality, and service quality. Investigating purchase intent of green skincare products using the theory of planned behavior: testing the moderating effects of country of origin and price sensitivity. Assessing the Moderating Effect of Subjective Norm on Intention to Buy Luxury: A Study of Gen Y Consumers in India.

The potential impact of service quality uncertainty and retail pricing strategies on consumer purchase intention. The moderating role of trust and commitment between consumer purchase intention and online shopping behavior in the context of Pakistan. Factors influencing consumer purchase intention for environmentally friendly products: a case of generation Z studying at universities in Phnom Penh.

Comparing generation x and y: Perceived usefulness, perceived ease of use, and subjective norms on purchase intention in e-commerce. FACULTY OF ACCOUNTING AND BACHELOR OF INTERNATIONAL BUSINESS MANAGEMENT (HONS) Characteristics influencing purchase intention on e-commerce platforms. I am currently conducting research on "Characteristics Influencing Purchase Intention on E-Commerce Platforms Among Generation Z".

This section will provide independent variable questions regarding trust, subjective norms, perceived ease of use, perceived usefulness, perceived enjoyment and dependent variable questions regarding purchase intention in e-commerce platforms.

Table 3.1: Table for Determining Sample Sizes for a Given Population
Table 3.1: Table for Determining Sample Sizes for a Given Population

Gambar

Figure 1.1: Retail E-commerce Sales Worldwide from 2014 to 2024.
Figure 1.2: Top 10 e-commerce sites in Malaysia as of 2nd quarter 2021
Figure 2.1: Extension of Technology Acceptance Model (TAM2)
Figure 2.2: Conceptual framework proposed for this research
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