• Title/Summary/Keyword: Online business

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Why Do People Spread Online Rumors? An Empirical Study

  • Jong-Hyun Kim;Gee-Woo Bock;Rajiv Sabherwal;Han-Min Kim
    • Asia pacific journal of information systems
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    • v.29 no.4
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    • pp.591-614
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    • 2019
  • With the proliferation of social media, it has become easier for people to spread rumors online, which can aggravate the issues arising from online rumors. There are many individuals and organizations that are adversely affected by malicious online rumors. Despite their importance, there has been little research into why and how people spread rumors online, thus inhibiting the understanding of factors that affect the spreading of online rumors. With attention seeking to address this gap, this paper draws upon the dual process theory and the de-individuation theory to develop a theoretical model of factors affecting the spreading of an online rumor, and then empirically tests it using survey data from 211 individuals about a specific rumor. The results indicate that the perceived credibility of the rumor affects the individuals' attitudes toward spreading it, which consequently affects the rumor spreading behavior. Vividness, confirmation of prior beliefs, argument strength, and source credibility positively influence the perceived credibility of online rumors. Finally, anonymity moderates the relationship between attitude toward spreading online rumors and the spreading behavior.

Effect of Online Word of Mouth on Product Sales: Focusing on Communication-Channel Characteristics

  • Jeon, Jaihyun;Lim, Taewook;Kim, Byung-Do;Seok, Junhee
    • Asia Marketing Journal
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    • v.21 no.2
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    • pp.73-98
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    • 2019
  • As information and communication technology continue its remarkable development, the exchange of information online becomes as prevalent and frequent as face-to-face communication in daily life. Therefore, the management and application of WOM (word of mouth) practices will become more important than ever to companies. Currently, there are various types of communication channels for online WOM, and each channel has its own unique traits. Most of the previous research studies online WOM by examining the information inside a single communication channel, but this research chooses two different communication channels and analyzes the effects of online WOM with each channel's unique characteristics. More specifically, this research focuses on the expectation that the effects of information from Twitter and blogs on product sales may differ because Twitter and blogs, two different communication channels for online WOM, have their own unique traits. Our particular aim is to perform an in-depth examination on the effects of communication channel's volume and valence on product sales, two important attributes of online WOM. Furthermore, while most of the empirical research focuses on online WOM and analyzes its effect on markets of temporary experience goods, such as movies and books, this research highlights focuses on the automobile market, a durable goods market. The results of our analysis are as follows: First, regarding blogs, a positive valence significantly and positively affects the sales of products, and this result indicates that consumers are influenced more by the emotional aspect of a product presented in a post than by the number of blog posts. Second, regarding Twitter, the volume of online WOM significantly and positively affects sales, an indication that as the number of posts increase, the sales increase. Through this research, we suggest that even those firms that sell durable goods can increase sales through the management and application of online WOM. Moreover, according to the characteristics of communication channels, the effects of online WOM on sales differ. As a practical implication of this research, we suggest that companies can and should create marketing strategies appropriate to their targeted communication channels.

Mapping Emerging Business Models in Massively Multiplayer Online Games (다중이용자 온라인 게임에서 신규 비즈니스 모델의 도식화에 관하여)

  • Joung, Yoon-Ho;Kwon, Hyeog-In
    • Journal of Information Technology Services
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    • v.5 no.3
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    • pp.137-150
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    • 2006
  • The authors map some of the current Business Models in the Massively Multiplayer Online Player scenario. These maps represent Value Creation Systems by resorting to Value Net constructs and notations, and are offered here as a proof of concept and utility. The authors claim that these mappings can enable readers, managers and IT experts, to build new insights onto such Business Models and develop requirements for Information System infrastructure. When approaching the Value Creation System as a Value Net the goal is to think outside the conceptual box of Value Chains and understand how the different activities interact, by exposing the multiplicity of value types and flows. In doing this study the authors are attempting to synthesize a new Business Model proposal that could underlie the development of an infrastructure for the collaborative creation, distribution and exploration of online massively multiplayer games, beyond the traditional producer-consumer roles.

Segmentation of Online Game Market Using a Two-Phase Approach

  • Lee, Sang-Chul;Kim, Jae-Kyeong;Suh, Yung-Ho
    • Proceedings of the Korean Operations and Management Science Society Conference
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    • 2004.05a
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    • pp.343-346
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    • 2004
  • The purpose of our research is to identify the critical variables and to develop a new methodology for market segmentation of online game market. Our research tested the model with Korean online game users because Korean online game industry is the frontier of global online game industries. Conclusively, the critical variables are the suitability of feedback, the reality of design, the precision of information and the involvement of virtual community. The analysis of segmentation shows that the primary target audiences are positively influenced by the reality of design and the involvement of virtual community. To attract the primary target audiences, online game companies should develop strategies depending on the effectiveness of the variables and the demographic and behavioral characteristics of target audiences.

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The Effects of Country-Of-Online Retailer on Consumer's Purchase Decision-Making in a Foreign Internet Shopping Mall

  • Hong, Sungjun;Park, Jongchul;Jeon, Seungwon
    • Journal of Korea Trade
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    • v.25 no.6
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    • pp.20-33
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    • 2021
  • Purpose - The growth in consumers' online shopping has even been accelerated by the COVID-19 pandemic. While the purchase can be made from any countries online, the purpose is to examine the effect of the country of the online retailer (COOR) on consumers' perceived risk and purchase motivation, focusing on the retailer not on the brand. Design/methodology - Survey data from online shoppers are analized using the structural equation model. Findings - COOR, like COO of the brand manufacturer, positively affect consumer's purchase intension. First, the images and the perceived psychic distances of the COOR affects both perceived risk and purchase confidence. Secondly, this perceived risk and confidence they put on the transaction then affect the purchase intension of the consumer. Originality/value - We show that the quality of the signal comes not only from the manufacturer-branded product item itself with a certain COO, but also from the retailer who carries it.

A Study on the Business Investment and Operation of O2O (Online-To-Offline) Combined Services by Industry (산업별 O2O 결합 서비스의 비즈니스 투자 및 운영에 관한 연구)

  • Jung, Byoungho;Joo, Hyungkun
    • Journal of Korea Society of Digital Industry and Information Management
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    • v.18 no.2
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    • pp.93-110
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    • 2022
  • The purpose of this study is to explore business investment and operation of O2O (Online-To-Offline) combined service. The study will analyze the necessary factors for growing the business by dividing the O2O service by industry. The Online-to-Offline is a method of inducing purchases of products and services by connecting between online and offline This research methodology organized the four stages of the analysis process. The analysis of all stages was performed with association rules in big data techniques. It is divided into the start-up period, growth period, maturity period, and decline period, and analysis is conducted on the business investment, expenditure cost, business operation, and conflict factors. As the research result, the first analysis has shown commonality with government subsidies, bank loans, and personal funds in all industries. The second analysis showed a lot of expenditure on labor costs of internal employees, marketing/sales, facility facilities, equipment, and equipment purchase costs. The third analysis showed difficulty in raising the investment resources necessary for business operations in all industries. The last analysis showed conflicts in the industry, businesses license, legal systems, and small business owners in all industries. This study contributed to the abundance and diversity of research methodologies in management information systems using association rules. In addition, the description of organizational development theory was updated while explaining the business investment and operation of O2O combined services. In practical implication, the O2O services include environmental factors that cause convergence between industries. Accordingly, this is required for new O2O services through new laws and systems and reorganization of existing laws and regulations.

Analysis of Price Charge Strategies in Online Content Markets (온라인 컨텐츠 시장에서의 유료화 전략에 관한 분석)

  • Cheon, Se-Hak
    • 한국산학경영학회:학술대회논문집
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    • 2004.11a
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    • pp.4-22
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    • 2004
  • The Internet provides a new distribution channel of digital contents for conventional media firms such as newspaper, magazine and encyclopedia publishers and broadcasting companies with very low marginal production and distribution cost. In comparison to traditional offline channel, there have been various revenue models in online content markets such as advertising model, subscription model, affiliation fee model, etc. In the earlier of the Internet era, most of online content firms provided their services free in order to boost offline revenue or they depend on advertising revenue sources in lieu of attaining revenue from their contents. However, as many online content firms are confronted with many difficulties in attaining revenues from online advertising model, they began to charge their contents. This paper shows why they charge their contents and explores entry conditions when conventional firms enter online content markets. And also this paper discusses managerial implications related to pricing strategies in online content markets.

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The influence of the perceived value of product pages information of online tea shop on consumers' purchase intention

  • Dongxu ZHANG;Wenyuan HU;Na ZHENG;Zhi QIAO
    • The Korean Journal of Food & Health Convergence
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    • v.9 no.3
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    • pp.1-9
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    • 2023
  • Nowadays, with the development of the internet and e-commerce, opening tea shops online has become an increasing choice for selling tea. However, the product page information of many online tea shops cannot effectively attract consumers, resulting in their profits being compromised. To investigate this, we conducted this paper and hope to provide effective suggestions. This paper is based on 229 questionnaires and selects the product page information of online tea shops as the research object. Using the four dimensions of perceived value theory as independent variables with consumer purchase intention as the dependent variable. A structural equation model was constructed to analyze the role of the perceived value of product page information in online tea shops how influencing consumers' purchase intentions. It was found that information on the perceived functional value of online tea shops did not have a significant positive effect on consumer purchase intentions. However, information on the perceived monetary value, perceived social value, and perceived emotional value of online tea shops had a significant positive impact on consumers' purchase intentions. Based on the above conclusions, online tea shops should focus on the expression of product page information to enhance the level of consumers' perceived value of tea products, thereby enhancing their intention to purchase tea products.

Analyzing the Determinants of Online Seafood Purchasing Using Heckman's Ordered Probit Sample-Selection Model (Heckman 순서형 프로빗 모형을 이용한 소비자의 온라인 수산물 구매 결정요인 분석)

  • Heon-Dong Lee
    • The Journal of Fisheries Business Administration
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    • v.55 no.1
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    • pp.37-53
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    • 2024
  • In the post-COVID-19, the food industry is rapidly reshaping its market structure toward online distribution. Rapid delivery system driven by large distribution platforms has ushered in an era of online distribution of fresh seafood that was previously limited. This study surveyed 1,000 consumers nationwide to determine their online seafood purchasing behaviors. The research methodology used factor analysis of consumer lifestyle and Heckman's ordered probit sample-selection model. The main results of the analysis are as follows. First, quality, freshness, selling price, product reviews from other buyers, and convenience are particularly important considerations when consumers purchase seafood from online shopping. Second, online retailers and the government must prepare measures to expand seafood consumption by considering household characteristics and consumer lifestyles. Third, it was analyzed that consumers trust the quality and safety of seafood distributed online platforms. It is not possible to provide purchase incentives to consumers who consider value consumption important, so improvement measures are needed. The results of this study are expected to provide implications on consumer preferences to online platforms, seafood companies, and producers, and can be used to establish future marketing strategies.

Extended Technology Acceptance Model for Enhanced Distribution Strategies to Online Learning: Application of Phantom Approach

  • Izzat ISMAIL;Asyraf AFTHANORHAN;Noor Aina Amirah MOHAMAD NOOR;Nurul Aisyah Awanis A RAHIM;Sheikh Ahmad Faiz Sheikh Ahmad TAJUDDIN;Muhammad Takiyuddin Abdul GHANI
    • Journal of Distribution Science
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    • v.22 no.4
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    • pp.1-10
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    • 2024
  • Purpose: This study is aimed to introduce the application of phantom approach with structural equation modelling method for online learning. By integrating these innovative methodologies, the research seeks to advance the understanding of how the phantom approach can effectively complement and augment structural equation modeling techniques. Research design, data and methodology: A theoretical framework of Technology Acceptance Model (TAM) was modified and updated. A questionnaire was developed and used to extract information from 189 instructors who used online learning as their primary medium. The Covariance Based Structural Equation Modelling (CBSEM) was applied to test the direct effects and the phantom approach is used to handle the 2 mediators in the model. Results:social influence, perceived usefulness, and perceived ease of use exerted discernible impacts on instructors' intentionsto engage in online learning. These findings illuminate the intricate dynamics influencing instructor behavior within the realm of online education, underscoring the significance of various factors in shaping their intentions. Conclusions: In additions, the perceived usefulness and perceived ease of use had mediated the effect of social influence and instructor intention using phantom approach. Therefore, one can have concluded that this modified model was also confirmed, thereby reinforcing distribution strategies to online learning and overall education presence.