• Title/Summary/Keyword: Consumer's Risk

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A study of consumer's innovativeness and the trust in other domain affecting the intention to use mobile payment services (소비자 혁신성과 이전 서비스에 대한 신뢰에 따른 모바일결제 사용의도에 관한 연구)

  • Jung, Seung-Min
    • Management & Information Systems Review
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    • v.36 no.2
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    • pp.113-132
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    • 2017
  • This research focuses on the effect of consumer's innovativeness and the trust in other domain affecting the intention to use mobile payment services. The result of this paper reveals that consumer's innovativeness has both a direct impact on the intention to use mobile payment services and a indirect impact. Relative advantage and image play a mediating role between consumer's innovativeness and the intention to use mobile payment services. Moreover, the study reveals that the trust in other domain not only directly affects on the intention to use mobile payment services but also indirectly affects by mediating relative advantage, image, and perceived risk. This study indicated that a customer's established trust in other domain influences his or her trust in mobile payment services. Electronic payment service providers should consider that the trust-building process encompasses other domain as well as mobile relationships. And electronic payment firms should do their best to reduce customers' perceptions of risk.

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The Effect of Fashion Consumer's Browsing Motives and Risk Perception on Purchase Intention in Social Commerce (소셜커머스에서 패션제품 소비자의 브라우징 동기, 위험지각이 구매의도에 미치는 영향)

  • Woo, Seung Hyun;Hwang, Jin Sook
    • Journal of the Korean Society of Clothing and Textiles
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    • v.37 no.6
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    • pp.772-785
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    • 2013
  • This study investigated the effects of fashion consumer's browsing motives and risk perception on impulse buying and purchase intention in social commerce. The online survey results of 317 customers who experienced using fashion products via social commerce were used for the final analysis. Exploratory factor analysis, reliability analysis, and frequency analysis were conducted using SPSS 18.0, and confirmatory factor analysis and path analysis were performed with AMOS 18.0. Three browsing motives (hedonic motive, rational motive, and informational motive) and three risk perceptions (products-related risk, customer service risk, and opportunity loss risk) were identified. The results from the structure equation model were as follows. 1) It was deducted that the browsing motive did not have a significant effect on risk perception due to the rejection of most of the hypotheses in regards to the browsing motive influence on risk perception. 2) Product-related risk and customer service risk had a significantly negative effect on purchase intention. Opportunity loss risk had significantly positive effect on impulse buying and purchase intention. 3) Hedonic browsing motive had a significant effect on impulse buying, and rational motive had a significant effect on impulse buying and purchase intention. The informational browsing motive had a significant effect only on purchase intention.

Brand License Effects on Consumer's Preception - Focus on Perceived Risk and Congruence between Product and Brand type - (브랜드 라이센싱이 소비자지각에 미치는 연구 - 상품유형과의 적합성이 지각된 위험에 미치는 영향을 중심으로 -)

  • Kim, Sang-Jo
    • Management & Information Systems Review
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    • v.34 no.2
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    • pp.79-95
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    • 2015
  • The purpose of this paper is to evaluate the effects of perceived risk and brand attitude on licensing brands comparing with non-licensed brands(virtual brand). Data was collected through a self-administered questionnaire in quasi-experimental design setting. I designed the experimental setting that there were two virtual companies to sell the luxury bags(symbolic goods) or cruise tour(experiential goods) and to launch their goods with own brand or licensed brand. The experimental groups were composed of women consumers who were familiar with consuming experiential goods and symbolic goods. Results from the experiment suggest that consumer's perceived risk on brands gives a negative impact on brand attitude. And congruence in goods types and licensed brand values leads to difference in the level of perceived risk. In experiential goods, brand licensing from famous and experiential brands can reduce perceived risk. But in symbolic goods, brand licensing effect which reduces the perceived risk is less effective than in experiential goods. This findings suggest that brand licensing may lower the level of consumer's perceived risk, but incongruity in goods type and brand value may result in strategic failure.

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IoT Makes Life Simpler: How to Improve the Chinese Consumer's Intention to Use of LG HomNet Smart Home

  • Xiangdong Shen;Xi Chen;Yuting Jiang;Haixin Ji
    • Journal of Korea Trade
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    • v.26 no.8
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    • pp.1-20
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    • 2022
  • Purpose - The paper aims to develop the theory of TAM and perceived risk through a more comprehensive and rigorous understanding of the influencing factors of the consumer's adoption of LG HomNet smart home from the perspective of trade-offs. Design/methodology - Based on the TAM and perceived risk theory, combined with the individual characteristics of consumers in the context of information technology as the external factors of the technology acceptance model, this paper constructs a theoretical model of the factors affecting the use intention of the consumer. It was empirically tested by using SEM, and survey data was collected from 458 respondents. Findings - The research results show that 9 hypotheses of the research model are supported and have reliable prediction accuracy. Consumers' perceived interest, perceived connectivity and perceived controllability have a significant positive impact on their intention to use. In addition, this paper also confirmed the mediating effect of perceived usefulness and perceived ease of use. Originality/value - Consumers are very concerned about gains and losses. Low-level performance risks, security risks, and financial risks will drive the consumer to have a stronger intention to use, and financial risks have the strongest impact. This research provides a useful implication and guidance for smart home equipment manufacturers and service providers in product and service innovation and marketing and promotion strategies.

Effect of Perceived Risk, Perceived Benefit, and Korea Wave to Crowdfunding Participation in China (중국 소비자의 크라우드 펀딩 참여에 있어 지각된 위험, 지각된 이익, 한류문화콘텐츠의 영향에 관한 연구)

  • Lee, Han-Suk
    • The Journal of the Korea Contents Association
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    • v.16 no.1
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    • pp.204-213
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    • 2016
  • Crowd funding can be understood that consumers are participated in production process before real commercialization. These days there are some expectancy and worry about foreign capital influence to Korea Wave. This study is to find out the possibility that Korea Wave can lead to investment to make new cultural contents and find possibility as new investment funding source. Expecially this research did survey at Gwangjou in China with 20s and find their possibility to invest money for crowd funding related to Korea Wave and we evaluate consumer's Korea Wave preference. The results showed that with more preference of Korea Wave decrease consumer's perceived risk and increase consumer's perceived benefit. With this research we can find some possibility of motive for consumer's direct investment to Korea Wave project in Korea.

Does CSR moderate the service outcome failures of a hotel?

  • CHOI, Jinkyung
    • Journal of Distribution Science
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    • v.18 no.8
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    • pp.15-22
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    • 2020
  • Purpose: The purpose of this study is to measure the effectiveness of corporate social responsibility and service on consumers' risk perception, which ultimately influences satisfaction. Research design, data, and methodology: This study adopted experimental scenario questionnaires: 2 CSR conditions (with and without CSR) and 2 service outcomes (successful and unsuccessful). Multiple regressions were conducted to examine hypotheses. A total of 217 responses were gathered for research analysis. Results: The results of this study found that the performance risk perception and satisfaction of consumers were affected by both CSR and service. CSR was not found, however, to have a moderating effect on performance risk perception or satisfaction. Additionally, performance risk perception affected consumer satisfaction. Conclusion: The results of this study indicate that consumers respond to the conditions of company's CSR and service outcomes when they stay at hotels. Findings of this study suggest service outcomes and CSR had an effect on performance risk perception and satisfaction, although CSR did not moderate the effect of service outcomes for both performance risk perception or satisfaction. Therefore, providing satisfactory customer service and undertaking CSR activities are critical to achieving consumers' overall satisfaction.

How Enduring Product Involvement and Perceived Risk Affect Consumers' Online Merchant Selection Process: The 'Required Trust Level' Perspective (지속적 관여도 및 인지된 위험이 소비자의 온라인 상인선택 프로세스에 미치는 영향에 관한 연구: 요구신뢰 수준 개념을 중심으로)

  • Hong, Il-Yoo B.;Lee, Jung-Min;Cho, Hwi-Hyung
    • Asia pacific journal of information systems
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    • v.22 no.1
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    • pp.29-52
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    • 2012
  • Consumers differ in the way they make a purchase. An audio mania would willingly make a bold, yet serious, decision to buy a top-of-the-line home theater system, while he is not interested in replacing his two-decade-old shabby car. On the contrary, an automobile enthusiast wouldn't mind spending forty thousand dollars to buy a new Jaguar convertible, yet cares little about his junky component system. It is product involvement that helps us explain such differences among individuals in the purchase style. Product involvement refers to the extent to which a product is perceived to be important to a consumer (Zaichkowsky, 2001). Product involvement is an important factor that strongly influences consumer's purchase decision-making process, and thus has been of prime interest to consumer behavior researchers. Furthermore, researchers found that involvement is closely related to perceived risk (Dholakia, 2001). While abundant research exists addressing how product involvement relates to overall perceived risk, little attention has been paid to the relationship between involvement and different types of perceived risk in an electronic commerce setting. Given that perceived risk can be a substantial barrier to the online purchase (Jarvenpaa, 2000), research addressing such an issue will offer useful implications on what specific types of perceived risk an online firm should focus on mitigating if it is to increase sales to a fullest potential. Meanwhile, past research has focused on such consumer responses as information search and dissemination as a consequence of involvement, neglecting other behavioral responses like online merchant selection. For one example, will a consumer seriously considering the purchase of a pricey Guzzi bag perceive a great degree of risk associated with online buying and therefore choose to buy it from a digital storefront rather than from an online marketplace to mitigate risk? Will a consumer require greater trust on the part of the online merchant when the perceived risk of online buying is rather high? We intend to find answers to these research questions through an empirical study. This paper explores the impact of enduring product involvement and perceived risks on required trust level, and further on online merchant choice. For the purpose of the research, five types or components of perceived risk are taken into consideration, including financial, performance, delivery, psychological, and social risks. A research model has been built around the constructs under consideration, and 12 hypotheses have been developed based on the research model to examine the relationships between enduring involvement and five components of perceived risk, between five components of perceived risk and required trust level, between enduring involvement and required trust level, and finally between required trust level and preference toward an e-tailer. To attain our research objectives, we conducted an empirical analysis consisting of two phases of data collection: a pilot test and main survey. The pilot test was conducted using 25 college students to ensure that the questionnaire items are clear and straightforward. Then the main survey was conducted using 295 college students at a major university for nine days between December 13, 2010 and December 21, 2010. The measures employed to test the model included eight constructs: (1) enduring involvement, (2) financial risk, (3) performance risk, (4) delivery risk, (5) psychological risk, (6) social risk, (7) required trust level, (8) preference toward an e-tailer. The statistical package, SPSS 17.0, was used to test the internal consistency among the items within the individual measures. Based on the Cronbach's ${\alpha}$ coefficients of the individual measure, the reliability of all the variables is supported. Meanwhile, the Amos 18.0 package was employed to perform a confirmatory factor analysis designed to assess the unidimensionality of the measures. The goodness of fit for the measurement model was satisfied. Unidimensionality was tested using convergent, discriminant, and nomological validity. The statistical evidences proved that the three types of validity were all satisfied. Now the structured equation modeling technique was used to analyze the individual paths along the relationships among the research constructs. The results indicated that enduring involvement has significant positive relationships with all the five components of perceived risk, while only performance risk is significantly related to trust level required by consumers for purchase. It can be inferred from the findings that product performance problems are mostly likely to occur when a merchant behaves in an opportunistic manner. Positive relationships were also found between involvement and required trust level and between required trust level and online merchant choice. Enduring involvement is concerned with the pleasure a consumer derives from a product class and/or with the desire for knowledge for the product class, and thus is likely to motivate the consumer to look for ways of mitigating perceived risk by requiring a higher level of trust on the part of the online merchant. Likewise, a consumer requiring a high level of trust on the merchant will choose a digital storefront rather than an e-marketplace, since a digital storefront is believed to be trustworthier than an e-marketplace, as it fulfills orders by itself rather than acting as an intermediary. The findings of the present research provide both academic and practical implications. The first academic implication is that enduring product involvement is a strong motivator of consumer responses, especially the selection of a merchant, in the context of electronic shopping. Secondly, academicians are advised to pay attention to the finding that an individual component or type of perceived risk can be used as an important research construct, since it would allow one to pinpoint the specific types of risk that are influenced by antecedents or that influence consequents. Meanwhile, our research provides implications useful for online merchants (both online storefronts and e-marketplaces). Merchants may develop strategies to attract consumers by managing perceived performance risk involved in purchase decisions, since it was found to have significant positive relationship with the level of trust required by a consumer on the part of the merchant. One way to manage performance risk would be to thoroughly examine the product before shipping to ensure that it has no deficiencies or flaws. Secondly, digital storefronts are advised to focus on symbolic goods (e.g., cars, cell phones, fashion outfits, and handbags) in which consumers are relatively more involved than others, whereas e- marketplaces should put their emphasis on non-symbolic goods (e.g., drinks, books, MP3 players, and bike accessories).

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The Effects of Internet Shoppers' Trust on Purchasing Intention in China

  • Rong, Li;Kim, Jae-Jon
    • 한국경영정보학회:학술대회논문집
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    • 2007.06a
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    • pp.494-499
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    • 2007
  • Recently, owing to the rapid development of Internet and information technology in China, the growth of consumers' purchasing activities in the Internet Shopping Mall has been truly phenomenal. Thus, it is considered essential to understand what affects Chinese consumer's intention to purchase in the Internet Shopping Mall. Based on prior studies, trust is thought as a key factor affecting on Chinese consumers' purchasing intention. Hence, the purpose of the study is to investigate the effects of Chinese consumer's trust on purchasing intention of Internet Shopping Mall. In order to accomplish the purpose of this study, a research model has been established and it suggests that there are significant relationships between trust and purchasing intention, e-commerce knowledge and trust, perceived reputation and trust, perceived risk and trust, perceived ease of use and purchasing intention. The results of the study show that the relationships between these variables are all significant. This research confirms the important effect of Chinese consumer's trust on purchasing intention. Implications of these findings are discussed for researchers and practitioners.

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Consumer을s Information Search and Satisfaction for Elderly related Goods on the Internet Shopping (실버용품 구매시 인터넷을 활용한 소비자 정보탐색 및 만족도에 관한 연구)

  • 정현정;계선자
    • Journal of Family Resource Management and Policy Review
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    • v.6 no.1
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    • pp.149-165
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    • 2002
  • This study is to understand consumer's information search activity and satisfaction. When they buy the elderly related goods through internet market and to get some ideas for silver industry on internet shopping. The 382 subjects by online banner formatted Questionnaires were analyzed by frequency, percentage, standard deviation, Person's relation and regression analysis by SPSS PC program. The major findings are summarized as follows. (1) The most respondents were young and well-educated. In terms of psychological variables, the degree of the consumer's perception for internet usefulness and using capability were relatively high. (2) Information search amount of the group who have experienced purchasing elderly related goods through internet shopping and had low perception of internet risk is higher than other group. (3) The variables influenced mostly on consumer satisfaction were the age, the sex, the purchasing experience from Internet shopping, the Internet using capacity and the perception of internee usefulness as well as of the perception of internet risk.

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The Influence of Perceived Value and Perceived Risk on Consumer Purchasing Behavior for Imported Apparel in Internet Shopping Malls (지각된 가치와 위험이 인터넷 패션 쇼핑몰의 수입패션제품 구매행동에 미치는 영향 - 공식딜러와 비공식딜러의 비교분석을 중심으로 -)

  • Kim, Hyo-Jung;Hwang, Sun-Jin
    • Journal of the Korean Society of Costume
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    • v.61 no.4
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    • pp.63-75
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    • 2011
  • The purpose of this study were to investigate influences of perceived value and perceived risk on purchasing behavior for imported apparel from official dealer and unofficial dealer in internet shopping mall. A total of 363 female subjects with ages ranging between 20's and 30's completed the questionnaire. The results of this study were as follows. 1) Imported apparel through official dealer had no influence by impulse buying for convenience and efficiency value, information value, after-purchasing value. On the other hand, imported apparel through unofficial dealer had a negative influence by impulse buying for convenience and efficiency value. 2) Imported apparel through official dealer had a negative influence by impulse buying for function and service risk. But for imported apparel through unofficial dealer, not only function and service risk but also private information risk were influenced by impulse buying. 3) All of imported apparel through official dealer and unofficial dealer had no influence by flow for convenience and efficiency value, information value, after-purchasing value. 4) All of imported apparel through official dealer and unofficial dealer were influenced by flow for function and service risk. That is to say, when consumer find satisfaction about quality of products, whether real thing or not, guarantee of quality, consumer's purchasing behavior will be enhance.