EFFECTS OF ELECTRONIC COMMERCE ON CONSUMER BEHAVIOR

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 Research Proposal    

LSC UoS BA in Business

 RM Assignment Brief

Course/Programme:

BA Business

Level:

5

Module Title:

Research Methodologies

Module Leader:

Dr. Uma Mohan

Assignment titles:

Research Proposal

Assignment number:

1

Weighting:

100%

Date given out:

April 2021

Submission date:

21st June 2021

Eligible for late submission (3 working days, with penalty)?

Yes

Method of submission:

X

Online only

 

Online and paper copy

Special instructions for submission (if any):

 

Date for results and feedback:

Not known yet

Employability skills assessed:

C1:            Reading, selecting, analysing and synthesising information from a range of sources

C2:            Producing different types of document

C3:            Participating in discussions

IT1:           Preparing information

N3:            Presenting your findings

S1:             Plan personal work schedules

WWO2:    Working towards identified targets

 

 

 

 

Learning outcomes assessed:

LO1: Understand the scientific process, its application in economics and business, and its utilization in the problem-solving approach to business and management challenges.

LO2: Demonstrate the skills necessary to assess and interpret existing research as a prelude to carrying out further investigation

LO3: Critically describe, comprehend and discuss the role, principles, function and application of research design within both academic and/or applied business contexts

LO4: Understand, critically comprehend different research strategies and be able to apply with insight appropriate research methodologies to differing types of research problems, hypotheses, or fields of investigation

LO5: Conceptualise and formulate a research project, including the formation of a hypothesis; the identification of field and evidence; the identification of research methodological approaches; the carrying out of a sustained piece of research, and the forming of conclusions while evaluating and applying the outcomes of research to a context/problem or issue

LO6: Demonstrate and apply the researching skills and project management skills which are required and which are necessary to carrying out a successful and sustained piece of individual work which may be applicable to academic and/or business contexts

 

 

 

 

 

 

TASK DESCRIPTION –

 

TASK

 

Select a research topic of your choice based on a business issue and design a research proposal for this topic. The topic may be discussed  with your Lecturer or the Teaching Assistant at the start of the term in order to facilitate a smooth development of the research proposal . This proposal should not exceed 3000 words. (+/- 10%)

Based on the selected topic, you are required to:

  • Select and develop a research topic with  an appropriate set of research aim and 
  • Justify the choice of research topic including the background and context of the research.
  • Develop a critical literature review of the research topic.
  • Design a research methodology based on the topic selected. This would, in turn, require you to develop a research design and justify your methodological choices.

Your research design should include the following:

  • Research Philosophy (e.g., positivism, interpretivism, realism and/or pragmatism)
  • Research Approach (inductive or deductive)
  • Research strategy
  • Research methods
  • Discuss and justify the data collection methods – type of data, sampling method and target group.
  • Discuss the data analysis procedure to be adopted.
  • Discuss the possible ethical issues that need to be considered in this research
  • Discuss the methods by which you would ensure that the research is both valid and reliable
  • Discuss any possible limitations to this research
  • Provide a research plan for time management (timescale)
  • Support with relevant references (Harvard format)

In your data collection and data analysis section, if appropriate, discuss how you would collect primary data through the use of one or a combination of methods of data collection methods e.g. questionnaire, interview, focus groups, observation, etc., and how you would analyse this data.

 The above requirements are indicated as the required areas of focus for you to articulate your individual responses. The submission of your work for assessment should be organised and clearly structured in the order outlined below.

 LENGTH REQUIRED

 

3000 words +/- 10%

FORMATTING  AND LAYOUT

 

Please note the following when completing your written assignment:

  • Writing: Written in English in an appropriate business/academic style
  • Focus: Focus only on the tasks set in the assignment.
  • Document format: Report
  • Ensure a clear title, course, and name or ID number is on a cover sheet and the referencing conforms to the Harvard system.
  • Research: Research should use reliable and relevant sources of information e.g. academic books and journals that have been peer reviewed. The research should be extensive.

 

The use of a range of information sources is expected – academic books, peer reviewed journal articles, professional articles, press releases and newspaper articles, reliable statistics, company annual reports and other company information. All referencing should be in Harvard style.

 

 The instructions below will provide you with some more, hopefully helpful, advice

Research Proposal Title: The title is to create interest and reflect seriousness and relevance. Avoid vague and sweeping phrases covering broad areas of subjects. Endeavour to be clear, specific and precise. Remember that a title, brief as it may be, needs to be faithful to the contents of the research.

Abstract: This is a brief statement of what you are intending to research. It should be no more than 1-2 paragraphs. This needs to describe the proposal content. Think of this as an executive summary.

Introduction: You need to define the problem. Evidence of analytical thinking, argument analysis, theory application, and data management analysis is required as part of research. Remember to emphasis:

  • Relevance of the Proposed Research to Business Research
  • Place the proposed study in context
  • Justification of the chosen topic
  • Value of this research

Research question and objectives: This is to form the heart of the research proposal, creating interest and raising queries while serving to discipline and monitor thinking. Good research questions should be clear, specific, and answerable. The research objectives will comprise a general statement on the purpose, intention, or desire outcome of your research project. Please remember:

  • There must be 1 Research Aim and an appropriate set of Research objectives
  • The research questions and objectives are linked to your Literature review.

Literature review: This is designed to situate your research project in a scholarly tradition, acknowledging the contributions made by other scholars and/or practitioners while highlighting the innovative approach of your project, which is expected to shed a new light on the subject or fill a gap in the available literature on it. A critical survey (or critique) of the literature in the research area will also help you define or single out a major work, theory or school of thought you could use or build. (A conceptual or theoretical framework)

Research method(s) used: This is to inform the reader how you intend to proceed regarding data (based on what you need, where the data are located, how to get them, what to do with them). The two main methodologies in this connection are Qualitative and Quantitative.

Your method consists of two parts:

  1. Research design – relates to the “research onion” (philosophies, approaches, strategies, choices, time horizon). You are expected to make strong justifications in support of your chosen research design. The “Onion” framework, designed by Saunders at al (2015) will be introduced during the course lectures.
  2. Data collection and analysis – relates to the last phase of the research (techniques and procedures). Identify how specifically the data will be collected (i.e. questionnaire, focus group, etc...). You are expected to provide the advantages and disadvantages of the various data collection methods and select the most appropriate data collection method(s). For data analysis, you need to discuss whether or not you will use descriptive or inferential statistics….or both. Also you need to consider which software might be used for the analysis.

 Note that aspects of ethics, validity and reliability must be addressed, either in the course of your writing or in a separate headed section. Also, your research proposal must include a time plan for the actual research to be undertaken.

 It is also likely that your work will have its limitations. It is necessary for you to identify and briefly discuss this aspect.

More general advice on approaching the assignment:

  • Identify the key terms and requirements for a Research Proposal
  • Use the Marking Criteria to understand the expectations of the reader.
  • Create an outline of your assignment.
  • Use your Research and Referencing to support and justify all your points
  • Use Evidence to support your proposed research design and methodology
  • Use of Academic English and appropriate research terminologies required

Your assignment should include in-text citations and be supported with a full List of References. You are expected to use the Harvard Referencing Style.

Please remember that when you submit your assignment, you need to include your name, student ID (also as a footer) and the title of your assignment.

 

 

 

 MARKING CRITERIA AND STUDENT FEEDBACK

This section details the assessment criteria. The extent to which these are demonstrated by you determines your mark. The marks available for each criterion are shown. Lecturers use a similar format to comment on the achievement of the task(s), including those areas in which you have performed well and areas that would benefit from development/improvement.

Common Assessment Criteria Applied

Marks available

Marks

Awarded

1. Research-informed Literature

Extent of research and/or own reading, selection of credible sources, application of appropriate referencing conventions.

20

 

Students are expected to critically review the relevant literature pertaining to their selected research topic and specific research question. This Literature should be derived from credible and current sources. Harvard Referencing conventions are expected to be followed.

Similarly the Research Methodologies and methods aspects of the work should be supported by appropriate literature.

 

 

 

2. Knowledge and Understanding of Subject

Extent of knowledge and understanding of concepts and underlying principles associated with the discipline.

30

 

Students are expected to demonstrate an understanding of the main models and theories pertaining to the selected research topic.

Similarly, the Research Methodologies and methods aspects of the work will demonstrate a knowledge and understanding of its main academic features.

 

 

 

3. Analysis

Analysis, evaluation and synthesis; logic, argument and judgement; analytical reflection; organisation of ideas and evidence

25

 

Students are expected to organise the material in the Research proposal such that it contains analysis, synthesis and evaluation. In this context, in the Literature Review, schools of thought may be identified, key themes outlined, and other means of demonstrating good organisation of the material demonstrated. Throughout the work, justification for choices made will be apparent.

 

 

 

4. Practical Application and Deployment

Deployment of methods, materials, tools and techniques; application of concepts; formulation of innovative and creative solutions to solve problems.

15

 

Students are expected, in this aspect of the work, to relate what has been learned in the Literature Review to the actual undertaking of the forthcoming research, primarily through the development of a conceptual (or theoretical) framework.

Practical and justifiable recommendations relating to methodology and method should be evident.

 

 

 

5. Skills for Professional Practice

Attributes in professional practice: individual and collaborative working; deployment of appropriate media; presentation and organisation.

10

 

Students are expected to communicate and present the Proposal effectively, understandable to both specialists and non-specialists alike. This criterion includes the structure of the work and the standard of English used. It also includes an ability to work at an individual level.

 

 

1.       TOTAL

     100

 

 

Assignment Mark (Assessment marks are subject to ratification at the UoS Assessment Board.  These comments and marks are to give feedback on module work and are for guidance only until they are confirmed. )

72 Hour Late Submission Penalties (tick if appropriate)

%

 

 

 

GENERIC ASSESSMENT CRITERIA

 

Level 5

In accordance with the Framework for Higher Education Qualifications, at the end of Level 5 students will be expected to have developed sound knowledge and critical understanding of the well-established concepts and principles in their field of study, and of the way in which those principles have developed.  They will have learned to apply those concepts and principles more widely outside the context in which they were first studied, including, where appropriate, the application of those principles in an employment context. They will have knowledge of the main methods of enquiry in the subject area, and ability to evaluate critically different approaches to problem solving. They will possess an understanding of the limits of their knowledge, and how this influences their analyses and interpretations.  They will be able to use a range of established techniques to initiate and undertake critical analysis of information, and to propose solutions to problems arising from that analysis. They will be able to effectively communicate information, arguments and analysis in a variety of forms to specialist and non-specialist audiences, and deploy key techniques of the discipline effectively. They will be able to undertake further training, develop existing skills and acquire new competences that will enable them to assume significant responsibility within organisations.  They will have the qualities and transferable skills necessary for employment requiring the exercise of personal responsibility and decision-making.

 

Level 5

FAIL

MARGINAL FAIL

SATISFACTORY

(3rd / Pass)

GOOD

(2.2 / Pass)

VERY GOOD

(2.1 / Merit)

EXCELLENT

(1st / Distinction)

EXCEPTIONAL

(1st / Distinction)

Category

0-29%

30-39%

40-49%

50-59%

60-69%

70-84%

85-100%

Engagement with literature (including reading, referencing,

academic conventions and

academic honesty)

Little or no evidence of reading and/or reliance on inappropriate sources.

Views and findings mostly unsupported and non-authoritative.

Referencing conventions used incoherently or largely absent.

Poor engagement with essential reading. No evidence of wider reading. Reliance on inappropriate sources, and/or indiscriminate use of sources. Heavily reliant on information gained through class contact. Inconsistent and weak use of referencing.

Engagement with a limited range of mostly relevant and credible sources. Some omissions and minor errors.

Referencing conventions evident though not always applied accurately or consistently.

Engagement with an appropriate range of literature, including sources retrieved independently. Some over-reliance on texts. Referencing may show minor inaccuracies or inconsistencies.

Engagement with a wide range of literature, including sources retrieved independently.

Selection of relevant and credible sources.  Very good use of referencing, with no/very few inaccuracies or inconsistencies.

Engagement with an extensive range of relevant and credible literature. Consistently accurate application of referencing.

Exceptional engagement with an extensive range of relevant and credible literature. High-level referencing skills consistently applied.

Knowledge and understanding (Sound knowledge and critical understanding of the well-established concepts and principles in their field of study; knowledge of the main methods of enquiry in the discipline.)

Major gaps in knowledge withunsatisfactory, uncriticalunderstanding of the subject matter. Much irrelevant material.  Substantial inaccuracies. Significantly flawed understanding of the main methods of enquiry in the discipline.

Fragmentary knowledge, with only superficial critical understanding. Some significant inaccuracies and/or irrelevant material.  Incomplete or partially flawed understanding of the main methods of enquiry in the discipline.

Limitedbut adequate knowledge and critical understanding of the well-established concepts and principles within the subject area, with a few gaps in the selection of material. A narrow critical understanding of the main methods of enquiry.

Knowledge is reasonably detailed and accurate .A good critical understanding of the well-established concepts and principles and the main methods of enquiry, with minor gaps in the selection of material.

Knowledge is reasonably extensive.  Exhibits very competent critical understanding of the well-established concepts and principles of the subject and the main methods of enquiry.  Breadth and depth of knowledge.

Excellent, detailed knowledge and highly critical understanding of thewell-established concepts and principles of the subject and the main methods of enquiry.

Exceptionally detailed knowledge and outstanding critical understanding of the well-established concepts and principles of the subject and the main methods of enquiry. May go beyond established theories.

Cognitiveand intellectual skills

(Critical evaluation and analysis of concepts and principles;argument and judgement; the limits of their knowledge, and how this influences their analyses and interpretations.)

Wholly or almost wholly descriptive work. Little or no critical evaluation and analysis of concepts and principles.

Failure to develop arguments, leading to illogical or invalidjudgements. Unsubstantiated generalisations or opinion, made without use of any credible evidence.

 

Largely descriptive work, with superficial use of critical evaluation and analysis of concepts and principles. Weak development of arguments and judgements. Information accepted uncritically, uses generalised statements made with scant evidenceand unsubstantiated opinions. Ideas sometimes illogical and contradictory.

Limited attempt at critical evaluation and analysis of concepts and principles, tending towards description.

Some evidence to supportarguments and judgements but these may be underdeveloped, with a little inconsistency / mis-interpretation or failure to fully recognise limits of knowledge.

 

 

Some critical evaluation and analysis of concepts and principles, though descriptive in parts.

An emerging awareness the limits of their knowledge and ability to use evidence to support the argument though with some tendency to assert/state opinion rather than argue on the basis of reason and evidence.

Mostly valid arguments and logical judgements.

Sound critical evaluation and analysis of concepts. Is selective in the range of evidence used and synthesises rather than describes. Ability to devise arguments that show awareness of different stances, and use evidence convincingly, to support appropriate and valid judgements.

Excellent critical evaluation and analysis of concepts and principles leading to logical, evidence-based, reasoned arguments and judgements. Explicit recognition of other stances and a strong awareness of the limits of their knowledge.

A capacity for independent thought and ability to ‘see beyond the question’, suggesting some grasp of the broader field and wider concepts.

Outstanding critical evaluation and analysis of concepts and principles.  Uses evidence exceptionally well to connect ideas, and support highly logical and persuasive, arguments and judgements. Evidence of independent thought and ability to ‘see beyond the question’, suggesting a clear grasp of the broader field and wider concepts. Perceptive recognition of the limits of their knowledge, and how this influences their analyses and interpretations.

Practical skills

(Apply underlying concepts and principles more widely outside the context in which they were first studied; use a range of established techniques; propose solutions to problems arising from analysis.)

Limited or no use of established methods, materials, tools and/or techniques.

Little or no appreciation of the context of the application.

Limited understanding of the application of theory to practice or making appropriate links between the two.

Very weak problem-solving skills outside the context in which they were first studied.

Rudimentary application of established methods, materials, tools and/or techniques but without consideration and competence. Flawed appreciation of the context of the application.

Weak understanding of the application of theory to practice, with only occasional evidence of making appropriate links between the two. Weak problem-solving skills outside the context in which they were first studied.

 

 

An adequate awareness and mostly appropriate application of established methods, materials, tools and/or techniques.

Basic appreciation of the context of the application. Theoretical knowledge and understanding applied in practice, but not always making logical links between the two.

Can identify problems and propose basic solutions outside the context in which they were first studied.

A good and appropriate application of established methods, materials, tools and/or techniques.

Clear appreciation of the context of the application. Mainly consistent, accurate and logical application of theory to practice, making appropriate links between the two.

Can identify problems and propose mostly appropriate solutions outside the context in which they were first studied.

A very good application of a range of established methods, materials, tools and/or techniques.

Very good consideration of the context of the application, with perceptive insights. Consistent, accurate and logical application of theory to practice, making appropriate links between the two.Can identify problems and propose appropriate solutions outside the context in which they were first studied.

Evidence of some creativity.

An advanced application of a range of established methods, materials, tools and/or techniques.

The context of the application is well considered, and insightful.

Consistent, accurate and logical application of theory to practice, making well-developed links between the two.Can identify problems and propose excellent, creative solutions outside the context in which they were first studied.

Exceptional levels of application and deployment skills using established methods, materials, tools and/or techniques.  Consistent, accurate and logical application of theory to practice, making highly developed links between the two.Can identify routine and non-routine problems and propose quite sophisticated, creative solutions outside the context in which they were first studied.

Transferable skills for life and professional practice

(Effectively communicate in a variety of forms

to specialist and non-specialist audiences;  the qualities and transferable skills necessary for employment requiring the exercise of personal responsibility and decision-making.)

Communication medium is inappropriate or misapplied.

Work is poorly structured, disorganised and/or confusingly expressed. Very weak use of language and/or very inappropriate style. Failure to work effectively as part of a group.Little or no evidence of the skills for employment requiring the exercise of personal responsibility and decision-making.

 

 

Communication medium is poorly designed and/or not suitable for the audience.

Work is poorly presented in a disjointed manner. It is loosely, and at times incoherently, structured, with information and ideas often poorly expressed. Weak use of language and/or inappropriate style. Flawed approach to group work, meeting only partial obligations to others. Limited evidenceof the skills for employment requiring the exercise of personal responsibility and decision-making.

Can communicate in a suitable medium for the audience but with some room for improvement.

Mostly ordered presentation and structure in which relevant ideas / concepts are reasonably expressed. Work may lack coherence in places. Can work as part of a group, meeting most obligations to others but perhaps with limited involvement in group activities.

Demonstrates the basic skills for employment requiring the exercise of personal responsibility and decision-making, with some areas of minor weakness.

Can communicate effectively in a suitable medium for the audience, but may have minor errors.

Mostly coherent, organised work,in a suitable structure and is for the most part clearly expressed.Can work effectively independently and/or as part of a team, with clear contribution to group activities.

Demonstrates the skills for employment requiring the exercise of personal responsibility and decision-making, with some areas of strength and some of minor weakness.

Can communicate well, confidently and consistently in a suitable medium for the audience.

Work is coherent, fluent, well-structured and organised. Can work very well autonomously and/or as part of a team, with very good contribution to group activities.

Demonstrates very good skills for employment requiring the exercise of personal responsibility and decision-making, with just occasional minor weakness.

Can communicate professionally confidently and consistently in a suitable medium for the audience.

Work is coherent, very fluent and is presented proficiently. Can work autonomously with initiative. Where relevant can work professionally within a team, showing leadership skills as appropriate, and meeting obligations.Demonstrates excellentskills for employment requiring the exercise of personal responsibility and decision-making and an appetite for further development.

 

Can communicate with an exceptionally high level of professionalism, highly suitable for the audience.

Work is exceptionally coherent, very fluent and is presented professionally.Can work exceptionally well within a team, showing leadership skills.Demonstrates exceptional skills for employment requiring the exercise of personal responsibility and decision-making and an appetite for further development.

 

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Subject Business Pages 18 Style APA
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Answer

  • EFFECTS OF ELECTRONIC COMMERCE ON CONSUMER BEHAVIOR

    Abstract

                The unprecedented growth and widespread of internet in the recent past has led to the emergence of online buying of services and products. Therefore, this study will investigate the effect of electronic commerce on consumer purchasing behavior. The study will be guided by three objectives including the perceived risks, perceived benefits and, as well as, impact of electronic commerce on consumer buying behavior. The study will adopt a descriptive research design to describe the factors, benefits and perceived risk factors of electronic commerce on consumer purchasing behaviors. Descriptive design will be selected for this study to enable the researcher to describe the factors influencing online consumer purchase behavior. The study targets online customers who are technologically savvy and prefer purchasing things online. Random sampling technique will be used to select the participants for the study. The data for this study will be collected through closed ended questionnaires that will be administered to the respondents. Descriptive analysis will be used to analyze the data using Microsoft Excel package, as well as, SPSS version 25. Similarly, the reliability of the data will be tested using Cronbach’s alpha that will inform the researcher on whether the data is reliable or not.

     

    Effects of Electronic Commerce on Consumer Behavior

    CHAPTER ONE: INTRODUCTION

    1.1 Introduction  

    Internet is transforming how consumers shop and purchase goods and services and has gradually evolved into a worldwide phenomenon. Various companies across the world have begun using internet purposefully to reduce marketing costs thus lowering the prices of services and products to gain competitive advantage over their rivals. Moreover, firms use the internet to communicate and convey information, to sell their products, take feedback and carry out satisfaction surveys with clients. Reportedly, customers use the internet to purchase products online, compare product features, prices, as well as, after sale service facilities that they are likely to get when they buy products from a given store. Most experts are hopeful about the prospect of online business.

                In addition to the significant potential of the electronic commerce market, the internet offers a distinct opportunity for firms to effectively contact existing and potential customers. While a large proportion of revenue from online transactions originates from business-to-business commerce, the practitioners of business to consumer commerce need to keep their confidence high. It has been years since business to consumer electronic commerce first emerged. Scholars and practitioners of e-commerce constantly strive to gain better understanding of consumer behavior in the internet (Adnan, 2014). In addition to the growth of- electronic retailing, researchers continue to explain the behaviors of electronic consumers from various perspectives. Most of these studies have examined various assumptions or factors related to consumer behavior and e-commerce. Therefore, this research proposal seeks to unravel ways in which electronic commerce influence the behaviors of consumers.

    1.2 Problem Statement

                 The use of internet across companies has grown unprecedentedly in the recent past. A report by Armağan and Çetin (2013) showed that the value of e-commerce across the world is high and the figure is expected to increase considerably in the near future. Bell, Bryman and Harley (2018) also posited that online shopping has been growing steadily across the world but the trend has not been adopted widely by international companies. This is a potential niche for global incorporations to invest in making their presence online. Nonetheless, most companies are still hesitant as they continue to question the benefits of online presence because there is stiff competition to attract the attention of consumers online. As a fact, most of consumers have become part time marketers. Apparently, they understand marketing and want brands to be honest. Worst still, most consumers are afraid of money lost through crooked deals, as well as debit or credit card fraud. Moreover, consumers have various perceived risks that influence their attitude and their previous experiences continue to influence their purchasing behavior. Despite all these, no studies have been conducted to investigate the influence of electronic commerce on consumer purchase behavior. Therefore, this research seeks to fill this gap by investigating and assessing the changes that have occurred in consumer purchasing behaviors because of electronic commerce by focusing on Amazon Incorporation as subject area.

    1.3 Significance of the Study

    Chen, Hsu and Lin (2010) contended that there are millions of internet users across the world thereby contributing globalization and trade. Moreover, researchers including Katawetawaraks and Wang (2011) have maintained that this significant increase in the worldwide users enable consumer sophistication and empowerment. Similarly, the rise in online buying has been reported by Keisidou, Sarigiannidis and Maditinos (2011) that revealed that South Korea’s 99% internet users are making online buying closely followed by countries such as Japan, UK and Germany. Nations across the globe have been incorporating electronic business approaches in their business models and every organization regardless of the industry or sector they belong to designs their electronic commerce enabled official website. This according to Keisidou, Sarigiannidis and Maditinos (2011) enables them to increase their sales volume but also facilitate their customers for buying.

    In the recent past, several investigations have been done on the influence of electronic commerce and electronic business on the overall organizational performance such as on the brand development, intellectual property rights, natural environment and employee development and rights among others (Lee, Shi, Cheung, Lim, & Sia, 2011). Nonetheless, little studies have been conducted on various ways through which consumer purchasing behaviors have changed. This implies that there is a gap present in empirical study on how behaviors of consumers have changed because of incorporating electronic commerce in organizations’ business models. Therefore, the significance of this study is that it will fill the gap in the literature and offers a foundation for future research with regards to electronic commerce.

    1.4: Research Aim

    This paper aims at examining the effect of electronic commerce on consumer behavior.

    1.5 Research Objectives

    1. To examine the effect of electronic commerce on consumer purchasing behavior
    2. To investigate the effect of perceived benefits of electronic commerce on consumer purchasing behavior
    3. To examine the effect of perceived risks of electronic commerce on consumer purchasing behavior

    1.6 Research Questions

    The specific research questions include;

    1. What is the effect of electronic commerce on consumer purchasing behavior?
    2. What is the effect of perceived benefits of electronic commerce on consumer purchasing behavior?
    3. What is the influence of the perceived risks of electronic commerce on consumer purchasing behavior?

     

     

    2.0 CHAPTER TWO: LITERATURE REVIEW

    2.1 Introduction

    This section reviews the past studies conducted to obtain necessary information to answer the research questions.

    2.2: Impacts of Electronic Commerce on Consumer Behavior

    Electronic commerce influences consumers buying behaviors in various ways. Lee, Shi, Cheung, Lim and Sia (2011) noted that e-commerce has a major effect on consumer behavior. The study further revealed that electronic commerce has increased the shopping opportunities and customers currently have more convenient alternatives Lee, Shi, Cheung, Lim, & Sia, 2011). According to this study, the trend of selling online has increased significantly and many people prefer purchasing services and goods online because of lack of time. The study contributed to this proposal by revealing that through electronic commerce, people have shifted their ways of doing purchases. In particular, they have changed from traditional brick and moto buying to online buying. Nonetheless, the study failed to highlight the specific internal and external factors that influence the consumers purchasing behaviors.

    Time saving and convenience are major factors making consumers to shop online (Lima, Osmanb, Salahuddinc, Romled, & Abdullah, 2016). Convenience implies shopping practices using internet that can minimize effort and time for the consumers in the purchasing process. In another study, M and Chahar (2013) revealed that online buying has enabled consumers to find merchants easily thereby minimizing on time and effort. According to this study, online buying is better as compared to traditional buying because of convenience and ease of use. This study also revealed that attitude towards online buying depends on consumers’ perceptions about the activities carried out on the internet as opposed to traditional buying environments (M, & Chahar, 2013). Therefore, a consumer who views online buying as beneficial is more motivated to make online buying.

    In their study, Mittal (2013) revealed that perceived product awareness and advantages had a positive influence on consumer views and purchasing behaviors in Pakistan. Similarly, a research performed by P & E, (2013) reported that the major reasons for embracing online shopping encompass time saving, fairer prices of online products, easy comparison of alternative products, as well as, user review of goods and services. Similarly, Prashar, Vijay and Parsad (2017) maintained that the attitude towards online purchase especially their behavioral beliefs had a considerable impact on their purchasing behavior. Further, it was revealed that control behavior had a stronger impact than that of consumer purchasing attitude on their buying intentions and that subjective norms had impact on the consumers intention to shop online.

    2.3: Perceived Benefits of Electronic Commerce

    Saving time is among the leading influential factors in online buying. Time is a major resource that consumers spend when doing online buying or when in traditional stores. A study by () revealed that going through the online catalog during online buying saves time and minimizes stress as opposed to traditional shopping. The study reported that e-commerce eliminates the need to travel physically to the store. However, Suki (1970) contradicted this position and argues that time saving does not motivate consumers to engage in online buying because it takes time for the goods purchased online to be delivered to consumers. According to customer perception, benefits of online buying are linked to buying simplicity and reduced time spent on shopping (Bucko, Kakalejčík, & Ferencová, 2018).

    Empirical studies have described pricing as major factor in customer satisfaction since consumers often direct their attention to pricing when evaluating service and product value Lee and Huddleston, 2010). Many researchers have been done to establish the relationship between pricing and consumer satisfaction. Precisely, Adnan (2014) revealed that pricing directly influence the attitude on the transactions delivered usability and value and consequently customer satisfaction. The findings further revealed that more than 50% of e customers who have engaged in electronic commerce have done so because of pricing (Adnan, 2014). Precisely, e-commerce offers better buying conditions that enable consumers to purchase products at a relatively cheaper price as compared to the stores. Moreover, Vasić,  Kilibarda and Kaurin (2019) maintained that  online stores provide customers with myriad of services and products, buyers can easily compare product prices from various websites and find the product at a relatively lower price as compared to those offered in stores.

    2.4: The Perceived Risks Of-Ecommerce and Consumer Buying Behaviors

    Numerous studies have reported that perceived risks detrimentally affect the attitude or intention of consumers towards buying online. Precisely, Katawetawaraks and Wang (2011) noted that perceived risks may minimize consumers’ perception of environmental and behavioral control and this will detrimentally affect behavioral intentions. Further, it was reported that decrease in perceived risk is a control belief, which is expected to affect behavioral intentions and behavioral control. Moreover, Keisidou, Sarigiannidis and Maditinos (2011) posited that reduced risk linked with online buying would likely increase the possibility of a consumer buying online. According to this study, fears that a web retailer has not instituted proper steps to minimize infrastructure related risks will detrimentally influence control beliefs, transaction intentions, as well as, perceived behavioral controls, the consumers are likely to transact.

    The open nature of the internet as a transaction system and its global nature have made trust a critical component of electronic commerce (Lima, Osmanb, Salahuddinc,  Romled, & Abdullah, 2016). Precisely, Mittal (2013) posited that maybe the most critical elements of consumer marketer transactions are the concept of trust. Lack of trust has been regarded as a major reason for consumers not participating in electronic commerce (Mittal, 2013). Principally, trust is one of critical factors that affect consumer behavior and therefore, developing consumer trust in online retailers is essential for continued growth of electronic commerce (Mittal, 2013).

     Prashar, Vijay and Parsad (2017) reported that there is no correlation between the frequency of online buying, as well as, perceived risk although satisfaction with the past internet buying was detrimentally linked to the perceived risk of internet buying but only for low involvement products. Essentially, differences in perceived risk were linked to whether the targeted purchase was a service or a good and whether it is a low or high involvement product. The findings revealed that the perceived risk of buying goods through the internet was relatively higher than for services. The findings further revealed that perceived risk is relatively higher for high involvement than for low involvement products, regardless of whether they are goods or services.

    Different forms of risk are perceived in the buying decisions including security risk, product, risk, as well as, privacy risk. Product risk as posited by Suki (1970) refers to the risk of formulating inappropriate or poor buying decision. The aspects involving product risks can be the inability to compare prices, lacking the chance to return a product, not receiving a given product they have paid for, as well as not performing as required. With this, findings of a study by Lee and Huddleston (2010) revealed that the possibility of buying on the internet reduces with increase in the product risk.

    Other aspects of perceived risk linked to consumers’ perceptions on the internet as a reliable purchasing medium. For instance, a major perception among buyers is that communicating credit card details over the internet is intrinsically risky because of the possibility of credit card fraud (Lee, & Huddleston, 2010). A study by Vasić, Kilibarda and Kaurin (2019) revealed that beliefs regarding trustworthiness of the internet were linked to positive attitudes towards online buying.

    Moreover, privacy risks encompass illegal access of personal information during the internet use or the ability of companies to provider third parties with the personal information they have collected from the online users. Studies have revealed that privacy risk makes consumers to become hesitant in exchanging personal data with web providers (Vasić, Kilibarda, & Kaurin, 2019). Bucko, Kakalejčík and Ferencová (2018) maintained that with the growing privacy concerns, the possibility of buying online reduces. On the same note, Adnan (2014) established that a belief in the privacy of personal data was linked to negative attitudes towards online purchase.

                                                     

     

    CHAPTER THREE: RESEARCH METHODOLOGY

    3.1 Research Design

                 The research design refers to the blueprint for achieving objectives and answering the research questions. Precisely, it condenses the essentials of research design as actions and time-based plan. Quinlan, Babin, Carr and Griffin (2019) posited that research design offers a framework for specifying the correlation among the study variables. In this research, descriptive research design will be adopted because descriptive research design assists portray a correct profile of an event, situations, or persons. This research design will also be adopted for this study to help create a succinct picture of the phenomena that will be used to gather data.

    3.2 Target Population

                 In this study, the population will comprise of individuals who are online on various social networking sites for the purchases of services and products. In terms of gender and age, the study targets youths aged 20-35 years because this group is internet savvy and working as well.

    3.3 Sampling Method and Sample Size

                 For this study, the sample size that will be selected will comprise of 100 online customers. This sample size will be selected because this number of consumers is appropriate and can be handled easily thereby enabling the investigator to collect the objectives of the study (Bell, Bryman, & Harley, 2018). Moreover, the researcher will adopt random sampling technique to achieve the authentic research findings since the consumer online buying behavior through examining electronic commerce can be known.

    3.4 Research Instruments and Data Collection

                A closed ended survey questionnaire will be administered to gather primary data. The questionnaire will be used for this study because it is an effective means of gathering information from large samples within a short period of time and a cheaper cost. Moreover, a questionnaire expedites easier coding and analysis of gathered data because they will be standardized. All the variables will be measured on a five-point Likert scale.

    3.5. Pilot Study

                 A pilot study will be conducted to minimize obscurity of interview guide and questionnaire items, and improve data integrity. Moreover, it will assist in assessing the feasibility of procedures and methods that will be used in the final research. This process will entail the selection of participants through simple random sampling. intuitively, recommendation by Kumar (2010) of 5% and 10% of the principal sample size will be used to recruit participants for this pilot study. Precisely, the research instruments will be administered to nine participants who will participate in the pilot study.

    3.6 Reliability and Validity of the Research Instrument

                During this research, the validity will be ensured by going through each question in the questionnaire with the help of a supervisor appropriate revisions and adjustments will be made before administering the designed questionnaires to the target participants. Similarly, internal consistency will be measured using Cronbach’s alpha test because it is considered the most popular technique for estimating reliability.

    3.7 Data Analysis and Presentation

                 In this study, the data collected will be analyzed using the Statistical Package for Social Science (SPSS) version 25 software. The analysis will comprise of inferential statistics and descriptive statistics. Descriptive statistics will comprise of median, frequency, and variance, as well as, mean standard deviation. Similarly, inferential statistics encompass Pearson’s Product Moment Correlation (PPMC), as well as, regression analysis. The findings of the study will be presented in form of statistical tables and graphs.

    3.8 Research Ethics

                The first ethical concern to be experienced in this study relates to study participants or respondents. The participants are likely to fear sharing their personal information during the interview. The second ethical concern likely to be experienced during the study is safeguarding the respondents’ data. Another ethical concern is data storage and security. Nonetheless, to address these ethical concerns, the researcher will restrain from asking participants personal information and will adhere to Data Protection Act (1998) to maintain and safeguard the security and privacy. More importantly, the researcher will use SPSS to record participants’ data. However, to keep the privacy of the respondents, the researcher will store the gathered information on his or her personal laptop. More importantly, the researcher will limit the access for data to only the researcher and the lecturer.

    4.0 Conclusion

                 While concluding this study, it can be argued that examining the aspect of electronic commerce and consumer behavior has revealed that consumers across the globe, as well as, those for Amazon have adopted the use of technology and this have led to their satisfaction. By focusing on the literature review, the study will reveal that electronic commerce has a considerable effect on the consumers’ behavior. The proposal has also focused on the effect of electronic commerce on the consumers’ buying behavior and therefore uses the explanatory approaches and it is carried out through social media websites using simple random sampling approach with the help of questionnaire. This will not only ensure better examination of the customers’ behaviors but also consumers’ purchase intentions surrounding electronic commerce.

     

     

     

References

Adnan, H., 2014. An analysis of the factors affecting online purchasing behavior of Pakistani consumers. International Journal of Marketing Studies, 6(5), p.133.

Armağan, E. and Çetin, A., 2013. Peer communication and impacts on purchasing decisions: An application on teenagers. International Journal of Social Sciences and Humanity Studies, 5(2), pp.60-72.

Alan, B. and Emma, B., 2003. Business Research Methods, Oxford University Press.

Bucko, J., Kakalejčík, L. and Ferencová, M., 2018. Online shopping: Factors that affect consumer purchasing behaviour. Cogent Business & Management, 5(1), p.1535751.

Chen, Y.H., Hsu, I.C. and Lin, C.C., 2010. Website attributes that increase consumer purchase intention: A conjoint analysis. Journal of business research, 63(9-10), pp.1007-1014.

Katawetawaraks, C. and Wang, C., 2011. Online shopper behavior: Influences of online shopping decision. Asian journal of business research, 1(2).

Keisidou, E., Sarigiannidis, L. and Maditinos, D., 2011. Consumer characteristics and their effect on accepting online shopping, in the context of different product types. International Journal of Business Science & Applied Management (IJBSAM), 6(2), pp.31-51.

Kumar, R., 2018. Research methodology: A step-by-step guide for beginners. Sage.

Lee, H.J. and Huddleston, P.T., 2010. An investigation of the relationships among domain-specific innovativeness, overall perceived risk and online purchase behaviour. International Journal of Electronic Marketing and Retailing, 3(1), pp.1-4.

Lee, M.K., Shi, N., Cheung, C.M., Lim, K.H. and Sia, C.L., 2011. Consumer's decision to shop online: The moderating role of positive informational social influence. Information & management, 48(6), pp.185-191.

Lim, Y.J., Osman, A., Salahuddin, S.N., Romle, A.R. and Abdullah, S., 2016. Factors influencing online shopping behavior: the mediating role of purchase intention. Procedia economics and finance, 35, pp.401-410.

Niranjanamurthy, M., Kavyashree, N., Jagannath, S. and Chahar, D., 2013. Analysis of e-commerce and m-commerce: advantages, limitations and security issues. International Journal of Advanced Research in Computer and Communication Engineering, 2(6), pp.2360-2370.

Mittal, A., E-commerce: It’s Impact on consumer Behavior Global Journal of Management and Business Studies. ISSN 2248-9878 Volume 3, Number 2 (2013).

Freathy, P. and Calderwood, E., 2013. The impact of internet adoption upon the shopping behaviour of island residents. Journal of Retailing and Consumer Services, 20(1), pp.111-119.

Prashar, S., Sai Vijay, T. and Parsad, C., 2017. Effects of online shopping values and website cues on purchase behaviour: A study using S–O–R framework. Vikalpa, 42(1), pp.1-18.

Quinlan, C., Babin, B., Carr, J. and Griffin, M., 2019. Business research methods. South Western Cengage.

Suki, N.M., 1970. Examining factors influencing customer satisfaction and trust towards vendors on the mobile internet. The Journal of Internet Banking and Commerce, 17(1), pp.1-12.

Vasić, N., Kilibarda, M. and Kaurin, T., 2019. The influence of online shopping determinants on customer satisfaction in the Serbian market. Journal of theoretical and applied electronic commerce research, 14(2), pp.70-89.

 

 

 

 

Vasić, N., Kilibarda, M., & Kaurin, T. (2019). The influence of online shopping determinants on customer satisfaction in the Serbian market. Journal of theoretical and applied electronic commerce research, 14(2), 70-89.

 

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