• Asia pacific journal of information systems
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• v.23 no.2
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• pp.1-20
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• 2013

Social commerce has been gaining explosive popularity, with typical examples of the model such as Groupon and Level Up. Both local business owners and consumers can benefit from this new e-commerce model. Local business owners have a chance to access potential customers and promote their products in a way that could not have otherwise been easily possible, and consumers can enjoy discounted offerings. However, questions have been increasingly raised about the value and future of the social commerce model. A recent survey shows that about a third of 324 business owners who ran a daily-deal promotion in Groupon went behind. Furthermore, more than half of the surveyed merchants did not express enthusiasm about running the promotion again. The same goes for the case in Korea, where more than half of the surveyed clients reported no significant change or even decrease in profits compared to before the use of social commerce model. Why do local business owners fail to exploit the benefits from the promotions and advertisements through the social commerce model and to make profits? Without answering this question, the model would fall under suspicion and even its sustainability might be challenged. This study aims to look into problems in the current social commerce transactions and provide implications for the social commerce model, so that the model would get a foothold for next growth. Drawing on justice theory, this study develops theoretical arguments for the effects of transaction characteristics on consumers' distributive justice and purchase intention in the social commerce. Specifically, this study focuses on two characteristics of social commerce transactions-the discount rate and the purchase rate of products-and investigates their effects on consumers' perception of distributive justice for discounted transactions in the social commerce and their perception of distributive justice for regular-priced transactions. This study also examines the relationship between distributive justice and purchase intention. We conducted an online experiment and gathered data from 115 participants to test the hypotheses. Each participant was randomly assigned to one of nine manipulated scenarios of social commerce transactions, which were generated based on the combination of three levels of purchase rate (high, medium, and low) and three levels of discount rate (high, medium, and low). We conducted MANOVA and post-hoc ANOVA to test hypotheses about the relationships between the transaction characteristics (purchase rate and discount rate) and distributive justice for each of the discounted transaction and the regular-priced transaction. We also employed a PLS analysis to test relations between distributive justice and purchase intentions. Analysis results show that a higher discount rate increases distributive justice for the discounted transaction but decreases distributive justice for the regular-priced transaction. This, coupled with the result that distributive justice for each type of transaction has a positive effect on the corresponding purchase intention, implies that a large discount in the social commerce may be helpful for attracting consumers, but harmful to the business after the promotion. However, further examination reveals curvilinear effects of the discount rate on both types of distributive justice. Specifically, we find distributive justice for the discounted transaction increases concavely as the discount rate increases while distributive justice for the regular-priced transaction decreases concavely with the dscount rate. This implies that there exists an appropriate discount rate which could promote the discounted transaction while not hurting future business of regular-priced transactions. Next, the purchase rate is found to be a critical factor that facilitates the regular-priced transaction. It has a convexly positive influence on distributive justice for the transaction. Therefore, an increase of the rate beyond some threshold would lead to a substantial level of distributive justice for the regular-priced transaction, threrby boosting future transactions. This implies that social commerce firms and sellers should employ various non-price stimuli to promote the purchase rate. Finally, we find no significant relationship between the purchase rate and distributive justice for the discounted transaction. Based on the above results, we provide several implications with future research directions.

• The Journal of Industrial Distribution & Business
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• v.9 no.3
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• pp.81-87
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• 2018

Purpose - The perception of the quality of the consumer's distributor's brand(PBs) is generally perceived to be lower than that of the manufacturer's brand(NB), although it is a critical factor in determining the success of PBs. Accordingly, this study examines the characteristics of the convenience store PB products and their correlation with brand trust and purchase intent in the consumers who have had experience purchasing the convenience store PBs to expand the sales variables. Further, this research shows that the marketing strategy is to increase the share of PBs by providing an empirical analysis on the effect of the product attribute factors on the sales volume associated with brand trust, purchase intent, and others. Research design, data, and methodology - The survey period of this study was approximately three weeks from December 1, 2017 to December 21, 2017. The study samples that were taken from 100 random people extracted. The statistical analysis was carried out with multiple regression analysis using the SPSS statistical package. Results - The analysis shows that the brand credibility and purchasing intention were statistically significant differences between the private convenience store private brand products. Specifically, brand trust showed a statistically significant relationship the brand images and quality levels, but the perceived value was not affected statistically. Although the intent of the purchase showed a statistically significant relationship the quality level and the perceived value, the brand image was not statistically significant in its relationship. Conclusions - Overall, it has been established that the perception value does not statistically affect brand trust for convenience store PB products, and that the brand image has no statistically significant effect on the purchase intent. These results are analyzed to be due to the influence of brand in convenience stores themselves rather than brand trust and purchase intentions that affect sales performance, which is the property of private brand food and beverage products, the perceived value of their products. Accordingly, the study found that not only did the marketing performance of the convenience store PB products be improved statistically, but also the cause of the product attributes that were not statistically significant was identified.

• Journal of the Korea Academia-Industrial cooperation Society
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• v.15 no.6
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• pp.3478-3489
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• 2014

Because the increased number of Internet users and the common use of IT technology via the expansion of domestic IT infrastructure have increased the web site use of companies, Internet users have begun to experience a range of online websites. In a digital environment, entrepreneurial companies who have limited resources will require effective management by analyzing the critical factors of the website quality assessment and focusing their resources to seize the market because the website quality built in the company directly affects the satisfaction and purchase activity of the customers. In this study, a total of 523 surveys from the customers visiting online websites of the entrepreneurial companies were collected to analyze the factors between the influencing factors and satisfaction and purchase intention using the ServQual method in the AMOS 18.0 program. This analysis showed that the customers visiting the website are satisfied with the factors of tangibility, reliability and responsiveness of visited websites, and the factor of community, which indicates that the level of customer activity in the web sites is related significantly to the customers' purchase intentions.

• Journal of Digital Convergence
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• v.15 no.6
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• pp.121-132
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• 2017

In this study, there is a purpose of research to secure competitiveness through the effective utilization of intangible corporate resources of founded enterprises. For this research, we conducted a survey on the way the customers who used the products of the BI center and founders less than 7 years evaluated the founded company. Schmitt's empirical element was examined as a theoretical background, and it was examined whether these empirical factors and attitudes acted as a preprocess in the decision-making process as a repurchase intention. The Result of research is as follows. First, It clearly indicated that customer experience and search experience affected the degree of re-purchase. Second, customer's experience (use experience, search experience, contact experience) were grasped with significant influence on customer's attitude. Third, we discovered that customer's attitude had mediated between customer's experience (use experience, search experience) and re-purchase. This research suggests that if we manage empirical factors well, we can increase the degree of re-purchase and cope appropriately with the limitations of small and medium enterprises.

• Asia pacific journal of information systems
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• v.18 no.1
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• pp.117-144
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• 2008

Lots of virtual communities and online businesses presently derive their primary sources of revenues through advertising, but nevertheless are plagued with marginal profitability though they might possess a significant user base. In the light of the need for an efficacious business model, there have been recent insights of an online community in particular reaping profits through an innovative and lucrative revenue generation method that earns by selling digital items. There have been some obvious evidences (e.g., Cyworld, SecondLife, Habo Hotel, etc.) that online communities can be profitable through their unique business model of selling digital items. However, there is lack of understanding about the motivation of purchasing digital items. This study tries to identify the main motivators of digital item purchases based on social/individual identity theory and self-presentation theory. "Digital items", otherwise known as "virtual assets", may include online avatars, accessories for the avatars, decorative ornaments like furniture, digital wallpapers, skins, background music and virtual weapons used for Internet games. These digital items are employed by users for representation and articulation in the online space, especially to create and enhance their online profiles in web pages and games. Prices for digital items typically range from a few cents to a few dollars each. Based on the theoretical framework like social identity theory and self-presentation theory, we developed the research model and proposed seven hypotheses. An analysis of 225 members of Cyworld found that digital item purchase intention in virtual world is affected by both members' need for self-presentation and need for affiliation. We also found that the need for self-presentation is significantly increased by innovativeness of members, community group norm, and community involvement. We concluded that the need for self-presentation could be a key variable for profitable business model in online community service industry. However, neither individual self-efficacy nor the need for affiliation significantly influenced the need for self-presentation which triggers purchase intention of digital items. In term of the theoretical and practical contribution, this study can be a pioneering empirical research that investigates the purchase intention of digital items based on social identity theory and self-presentation theory in the online context. Also, the findings of our study are valuable and practical for practitioners in the market who wish to adopt or improve the business model of selling digital items in an online community. From the findings, it can be seen that innovativeness of users, community group norm, and community involvement are three significant factors that influence need for self-presentation of users which ultimately leads to their intentions to buy digital items. These findings put forth that virtual community providers and online businesses selling digital items should prioritize their efforts and focus on these three factors if they want to increase the sales of these digital items and generate greater revenues. This study provides important implications for academic researchers and practitioners to understand why the community members pay money for their digital items in virtual world and how the practitioners can increase the sales of digital items in an online community. A couple of limitations of the study and future research directions are also discussed.

• Information Systems Review
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• v.20 no.2
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• pp.209-226
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• 2018

Location-based services have distinctive service characteristics compared to the past online commerce used on the desktop. In any place, mobile communication devices can be used to access online and utilize online shopping, and it is more convenient for users. In addition, by providing shopping and service information specific to each location, it is possible to provide convenience to the consumers according to their locations. In addition, it provides scarcity of information as well as location, thereby increasing consumers' desire to purchase. In this study, we investigated the effect of scarcity on the Purchase intention of consumers in location-based services. The steps of scarcity are: first, a step without scarcity, Second, providing time limit information, Third, providing quantity limitation information, Fourth, the experiment was designed to provide time and quantity limitation, and 4 groups were analyzed through experimental stimuli The purpose of this study is to verify the moderating effect of the dependent variable on the degree of scarcity by adding 'ubiquity', 'interactivity' and 'privacy' which are characteristics of location-based service. As a result of the analysis, scarcity of time and scarcity of quantity limitation scarcity stimuli showed a moderating effect on ubiquity, interactivity and consumer's purchase intention, and these variables also directly or indirectly affected positively. Consumer confidence was found to have a negative effect on consumers' purchase intentions.

• Journal of Distribution Science
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• v.10 no.10
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• pp.35-43
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• 2012

Purpose - The current analysis has been done in order to verify the difference between consumer attitudes on the distributor's PB products in terms of practical shopping value and attitudes about the product according to its perceived quality. Research design, data, and methodology - The target respondents of this study were those who have bought PB products at large-scale discount stores within the past six months. We asked homemakers, office workers, and students who live in Seoul or Daejon to respond to a questionnaire by filling out self-evaluations, and collected the completed questionnaires. To test the hypothesis, a t-test was carried out by group for 25 percent of the high and low rankings, including a quarter of the total respondents, to verify attitudes toward products and brands, purchase satisfaction, and re-purchase intention according to the practical shopping value and recognized quality of PB products. A variance analysis was conducted to see if there were differences among groups in terms of practical shopping value and perceived quality. Scheffe's back testing was used to identify differences between groups. Results - The result of the investigation of consumer attitudes according to practical shopping value is as follows. First, it was verified that consumer attitudes about PB products increase as practical shopping value increases. Second, there was no significant. Third, it was verified that repurchase intentions for PB products get higher as the practical shopping value of the consumer increases. The following is the result of the investigation of consumer attitudes according to the perceived quality of PB products. First, it was verified that the product attitude improves as the perceived quality of PB products increases. Second, the research confirmed that the brand attitude improves as the perceived quality of PB products increases. Third, consumer satisfaction is higher when the perceived quality of PB products is high. Fourth, this study verified that repurchase intentions for PB products are higher as the perceived quality of the product increases. Finally, the results of identifying differences between groups for perceived quality and shopping value are as follows. It was identified that there were differences in shopping value according to the characteristics of the groups. However, perceived quality does not change according to the characteristics of groups. Conclusions - These results have practical implications for the marketing strategy of PB products in order to satisfy consumer demands and provide a differentiated service by the distributor. In addition, it is suggested that a communication strategy may be necessary to increase brand loyalty and ensure the continual growth and value creation of PB products as symbolic products for distributors.

• The Journal of the Korea Contents Association
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• v.13 no.11
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• pp.815-828
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• 2013

Recently internet shopping malls provide newer and more varied goods and services to meet the demand of their customers. And as new companies enter the on-line shopping mall business, competition in this specific market is getting stiffer. Therefore, to keep a more sustained relationship with their customers, internet shopping malls need to satisfy their customers with their goods and services and to make them loyal customers. Unlike bricks-and-mortar stores in real life, This study also aims to propose an on-line physical environment model, and to develop the existing on-line research into a physical environment. The physical environment is measured on the four dimensions and 4 measurement units and the on-line physical environment, trust, and purchasing decisions are also explained. This study makes contributions as follows. First, online physical environments contain theoretical syntheses and operational definition. Second, this study finds that trust is an important part of an on-line transaction. Third, this study provides an insight into some of the factors preceding purchasing decisions. Lastly, this study finds that the consumer's comprehension of the on-line environment has a considerable influence on trust and purchasing decisions.

• International Journal of Costume and Fashion
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• v.11 no.2
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• pp.13-24
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• 2011

This study explores the opportunities for new market of traditional Korean costumes, Hanbok, following not only the consumer's needs and wants, but marketing trends of fashion industry. This paper is the exploratory consumer research of fusion Hanbok, it aims at examining how consumers wear fusion Hanbok. Study participants were limited to mothers who wore Korean-fusion Hanbok to their baby's first birthday party once or more. A total of 221 respondents completed online questionnaires. The results of this study are as follows. First, regarding the reasons of wearing fusion Hanbok is a beautiful and traditional dress although traditional Hanbok is uncomfortable and inconvenient. Second, the most satisfactory aspect of fusion Hanbok was found to be its design. Satisfaction with the color, size and length was also high. Third, most female consumers in their 20s and 30s have stronger preferences for and intentions of purchasing fusion Hanbok. Some people criticize that as fusion Hanbok is westernized in its designs and materials, it has lost the classical beauty and impression of traditional Hanbok. However, if no one routinely wears Hanbok, Hanbok will never be popularized or globalized. This study suggest that traditional Hanbok should be improved by developing effective merchandising strategies based on consumer needs for traditional Hanbok such as various product assortment and promotion strategies using traditional Korean beauty. So, traditional Hanbok could be retained and succeeded in the future by improving consumers' dissatisfactions of traditional Hanbok and creating the new market of traditional Hanbok in which fusion Hanbok are produced focused on consumers' needs and market environments.

• Journal of the Korean Dietetic Association
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• v.13 no.2
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• pp.194-206
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• 2007

The purpose of this study was to identify dietitians' perception and purchasing pattern of fruits in elementary school lunch program. This study was conducted using mail survey from September 15 to October 30, 2006. Survey questionnaire was developed based on in-depth interview with three school food service dietitians. A total of 100 school food service dietitians in Seoul were participated. Based on the frequency analysis results, over half of respondents(69%) provides fruits every week, and 23% of respondents provides them twice a week. Strawberry, watermelon, apple, and mandarin were identified as the most frequently served fruits in Spring, Summer, Fall, and Winter, respectively. Sixty two percent of respondents indicated they offered imported fruits, such as banana and pineapple, less than 10% of total fruits. Ninety three percent of respondents selected private contract when they purchase fruits, and forty four percent of dietitians decided fruits purchasing procedure by themselves. Respondents addressed "Apples and Pears were appropriate for a dessert." and "Apples and Pears supply nutrition such as calorie and vitamin." as the advantages of offering apples and pears in school lunch menu. They also indicated difficulty in preparation work and many leftovers as the disadvantages of offering apples and pears. When purchasing apples and pears, dietitians considered taste as the first criteria and price as the second. Respondents perceived that elementary school students preferred apples and pears in a neutral level. Respondents also had higher preference for an-sim apples which can be eaten without peeling for school lunch menu and higher intentions to provide in school lunch menu. The survey results also found that respondents' intention to offer apples in school lunch menu was higher than intentions to offer pears. The implications to increase the chance of fruits offering in school lunch menu were discussed.