• Title/Summary/Keyword: Purchase decision process

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Study on the Preferred Store Type and Store Choice Properties of Clothing Shopping Consumers Based on the AHP Method (AHP 기법을 이용한 의류쇼핑 소비자의 선호점포 유형과 점포선택 속성에 관한 연구)

  • Park, Jin-Je;Lee, Jin-Hwa
    • Journal of the Korean Society of Clothing and Textiles
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    • v.36 no.2
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    • pp.138-151
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    • 2012
  • This study determines a consumer retail store choice by applying the Analytic Hierarchy Process (AHP) method for multi-criteria decision-making in the fashion retail industry. The study provides detailed and relevant information for management, marketers of fashion retail stores, and to improve competition between suppliers. Data was collected in February 2011 from questionnaires completed by 319 university students in Busan, South Korea. One of the major findings of this study was that consumer store preference was affected by the following factors in order of importance: product, image, service quality, and purchase facilitation. Brand image was assessed to be the most important of the evaluation elements, followed by individuality, style, and price. The results of rating the relative importance and priority of fashion retailers showed that department stores ranked most highly, followed by outlet malls, Internet shopping malls, brand malls, and discount stores.

A Factors Effecting Online Social Decisions in Online Consumer Behavior

  • HAN, Sang-Seol
    • Journal of Distribution Science
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    • v.18 no.3
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    • pp.67-76
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    • 2020
  • Purpose: Consumers are affected by the purchase of a large number of opinions or support during the online purchasing process. This can be defined as the term of 'social decisions' on line. This paper seeks to explore the factors of influence on social decisions in on-line environment and to study in depth. Methodology: The purpose of this paper is to empirically examine the impact of factors on online social decisions. To verify the hypothesis of study, This study collected 256 from Seoul City, Gyeonggi Province and Chungcheong Province through Survey. Results: According to the research results, First, eWOM information usefulness have a positive impact on online social decisions, Second, online network connectedness have a positive impact on online social decisions. Third, innovative product have a positive impact on online social decisions. and the lower the category of knowledge, the more inclined it is to make online social decisions. Finally, social decisions have a positive impact on purchasing decisions about product. It is most significant that academic research has advanced consumer behavior in response to recent changes in the consumption environment. It is meaningful that we have studied in depth the changing consumer decision process in online channel environment.

An Analysis of ICT-Retail Convergence(IRC) and Consumer Value Creation (소비자 구매단계별 기술-유통 통합(IRC)과 가치에 대한 연구)

  • Park, Sunny;Cho, Eunsun;Rha, Jong-Youn;Lee, Yuri;Kim, Suyoun
    • Journal of Digital Convergence
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    • v.15 no.7
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    • pp.147-157
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    • 2017
  • Recently, ICT Retail Convergence(IRC) has been rapidly increasing to improve consumer satisfaction and consumer experience. In this paper, we aim to diagnose IRC from consumers' point of view by reviewing the present status and value of IRC according to consumer purchase decision making process. Based on the previous studies in retail industry, we classified IRC into 4 types: Experience-specific tech(Virtual Reality and Augmented Reality); Information-specific tech(Artificial Intelligence and Big Data); Location-based tech(Radio Frequency Identification and Beacon); Payment-related tech(Fin-tech and Biometrics). Next, we found that there is a difference in value provided to consumers according to the type of technology, analysing the value by consumer purchase decision making process. This study can be useful to introduce IRC for improving consumer satisfaction as well as ICT and Retail. Also, it can be basic data for future technology studies with a consumer perspective.

A Study on Product Design Process in Digital Environment A Comparative Analysis of Image Evaluation and Design Factors in Internet Environment and Reality Environment (디지털 환경 하에 제품디자인 프로세스 연구 -인터넷 환경과 현실 환경에서의 제품디자인 이미지 평가 및 디자인 요소 비교분석-)

  • 윤형건
    • Archives of design research
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    • v.13 no.3
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    • pp.123-134
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    • 2000
  • Electronic commerce in digital environment is greatly different from the commerce in physical environment in the past (reality environment) in terms of marketing, distribution structure and, above an, comsumers'purchase pattern. The Old purchase pattern is that a consumer buys a product after s/he touches, tests, and feels it physically, while the purchase pattern in electronic commerce enables the comsumer to make a decision about whether to buy it or not through the information gleaned from the computer monitor screen. A number of products which appears in the market now are designed to use the reality environment setup without consideration of the digital environment, of which the intention is to appeal to consumers with a series of design process. However, taking under consideration the present situation in which lots of electronic commerce are made in the cyber space or digital environment, we are required to forward the product design which can gains the positive attraction for consumers in this environment. Factor analysis is made in order to understand how the subjects perceive the image of the design of the product both in reality situation and in digital environment. The result shows the first factor has different images in those environments. In the background of this conclusion rests the fact that the difference of the transfer of formative factors to consumers is made in the images which show themselves in those different environments.

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Multiagent Enabled Modeling and Implementation of SCM (멀티에이전트 기반 SCM 모델링 및 구현)

  • Kim Tae Woon;Yang Seong Min;Seo Dae Hee
    • The Journal of Information Systems
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    • v.12 no.2
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    • pp.57-72
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    • 2003
  • The purpose of this paper is to propose the modeling of multiagent based SCM and implement the prototype in the Internet environment. SCM process follows the supply chain operations reference (SCOR) model which has been suggested by Supply Chain Counsil. SCOR model has been positioned to become the industry standard for describing and improving operational process in SCM. Five basic processes, plan, source, matte, deliver and return are defined in the SCOR model, through which a company establishes its supply chain competitive objectives. A supply chain is a world wide network of suppliers, factories, warehouses, distribution centers and retailers through which raw materials are acquired, transformed or manufactured and delivered to customers by autonomous or semiautonomous process. With the pressure from the higher standard of customer compliance, a frequent model change, product complexity and globalization, the combination of supply chain process with an advanced infrastructure in terms of multiagent systems have been highly required. Since SCM is fundamentally concerned with coherence among multiple decision makers, a multiagent framework based on explicit communication between constituent agents such as suppliers, manufacturers, and distributors is a natural choice. Multiagent framework is defined to perform different activities within a supply chain. Dynamic and changing functions of supply chain can be dealt with multi-agent by cooperating with other agents. In the areas of inventory management, remote diagnostics, communications with field workers, order fulfillment including tracking and monitoring, stock visibility, real-time shop floor data collection, asset tracking and warehousing, customer-centric supply chain can be applied and implemented utilizing multiagent. In this paper, for the order processing event between the buyer and seller relationship, multiagent were defined corresponding to the SCOR process. A prototype system was developed and implemented on the actual TCP/IP environment for the purchase order processing event. The implementation result assures that multiagent based SCM enhances the speed, visibility, proactiveness and responsiveness of activities in the supply chain.

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The Influence of School Consumer Education on Cellular Phone Consumption Behaviors of Middle School Students (학교 소비자교육이 중학생의 휴대전화 소비행동에 미치는 영향)

  • Lee, Jin-Hwa;Oh, Kyung-Wha;Chae, Jin-Mie
    • Journal of Korean Home Economics Education Association
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    • v.24 no.2
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    • pp.87-99
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    • 2012
  • The purpose of this study is to investigate the relation among adolescents' school consumer education, cell phone consumption behavior and satisfaction with cell phone consumption life. Finally, this study aims to find right ways for leading to adolescents' reasonable consumption life and improving the school consumer education. A survey was conducted to the second grade students 430 of middle school residing in Seoul and the Capital area. As the result of examining the relation among school consumer education, consumption behavior, and consumption life satisfaction, the learning of 'information analysis and decision making process' has a positive effect on 'reasonable purchase and active problem-solving' behavior, and the learning of 'consumption culture' on 'active problem-solving and ethic use' behavior, the learning of 'problem-solving and rights and responsibilities' on 'ethic use' behavior. In addition, it shows that 'ethic usage behavior' in consumption behavior has a positive influence on 'relation satisfaction', and 'reasonable purchase' behavior and 'active problem-solving' behavior on 'practical usage satisfaction'.

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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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Investigating the Influence of Perceived Usefulness and Self-Efficacy on Online WOM Adoption Based on Cognitive Dissonance Theory: Stick to Your Own Preference VS. Follow What Others Said (온라인 구전정보 수용자의 지각된 정보유용성과 자기효능감이 구전정보 수용의도에 미치는 영향에 관한 연구: 의견고수와 구전수용의 비교)

  • Lee, Jung Hyun;Park, Joo Seok;Kim, Hyun Mo;Park, Jae Hong
    • Asia pacific journal of information systems
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    • v.23 no.3
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    • pp.131-154
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    • 2013
  • New internet technologies have created a revolutionary new platform which allows consumers to make decision about product price and quality quickly and provides information about themselves through the transcript of online reviews. By expressing their feelings toward products or services on virtual opinion platforms, users extend their influence into cyberspace as electronic word-of-mouth (e-WOM). Existing research indicates that an impact of eWOM on the consumer decision process is influential. For both academic researchers and practitioners, investigating this phenomenon of information sharing in online website is essential given the increasing number of consumers using them as sources of purchase decisions. It is worthwhile to examine the extent to which opinion seekers are willing to accept and adopt online reviews and which factors encourage adoption. Discerning the most motivating aspects of information adoption in particular, could help electronic marketers better promote their brand and presence on the internet. The objectives of this study are to investigate how online WOM influences a persons' purchase decision by discovering which factors encourage information adoption. Especially focused on the self-efficacy, this research investigates how self-efficacy affects on information usefulness and adoption of online information. Although people are exposed to same review or comment about product or service, some accept the reviews while others do not. We notice that accepting online reviews mainly depends on the person's preference or personal characteristics. This study empirically examines this issue by using cognitive dissonance theory. Specifically, in the movie industry, we address few questions-is always positive WOM generating positive effect? What if the movie isn't the person's favorite genre? What if the person who is very self-assertive so doesn't take other's opinion easily? In these cases of cognitive dissonance, is always WOM generating same result? While many studies have focused on one direct of WOM which indicates positive (or negative) informative reviews or comments generate positive (or negative) results and more (or less) profits, this study investigates not only directional properties of WOM but also how people change their opinion towards product or service positive to negative, negative to positive through the online WOM. An experiment was conducted quantitatively by using a sample of 168 users who have experience within the online movie review site, 'Naver Movie'. Users were required to complete a survey regarding reviews and comments taken from the real movie page. The data reflected user's perceptions of online WOM information that determined users' adoption level. Analysis results provide empirical support for the proposed theoretical perspective. When user can't agree with the opinion of online WOM information, in other words, when cognitive dissonance between online WOM information and users' preference occurs, perceived self-efficacy significantly decreases customers' perception of usefulness. And this perception of usefulness plays an important role in determining users' intention to adopt online WOM information. Most of researches have been concentrated on characteristics of online WOM itself such as quality or vividness of information, credibility of source and direction of online WOM, etc. for describing effect of online WOM, but our results suggest that users' personal character (e.g., self-efficacy) plays decisive role for acceptance of online WOM information. Higher self-efficacy means lower possibility to accept the information that represents counter opinion because of cognitive dissonance, whereas the people that have lower self-efficacy are willing to accept the online WOM information as true and refer to purchase decision. This study suggests a model for understanding role of direction of online WOM information. Also, our result implicates the importance of online review supervision and personalized information service by confirming switching opinion negative to positive is more difficult than positive to negative through the online WOM information. This implication would help marketers to manage online reviews of their products or services.

A Study on Supplier Relationship Management System for National Public Procurement (국가 공공조달을 위한 조달업체 평가관리 시스템에 대한 연구)

  • Lee, Ig-Hoon
    • The Journal of Society for e-Business Studies
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    • v.16 no.1
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    • pp.101-116
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    • 2011
  • As e-Commerce and national public procurement have been enabled, needs of supplier management and evaluation system for national public procurement has been growing. Enterprises have constructed and operated supplier relationship management system, in order to automate and increase their supply chain processes by managing the strategic assessment of relationships with external partners. Recently, PPS(Public Procurement Service) in Korea is introducing the concept of SRM to ensure the fairness of public procurement and to strengthen the competitiveness of the national public procurement and public procurement. For this purpose, it is necessary to establish supplier evaluation management and decision support process to allow a transparent supplier selection. In this paper, we present an evaluation method for transparent and objective public procurement. We also present a method for purchase decision support.

The Effect of Advertisement Vividness and Regulatory Focus on Consumer Choice

  • Park, Kikyoung
    • Journal of Distribution Science
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    • v.15 no.7
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    • pp.25-33
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    • 2017
  • Purpose - This study aims to explore how a combination of the advertisement presentation vividness and consumers' regulatory focus affects choice. In addition, it seeks to the understanding for the psychological process by using consumers' response with experimental designs. Research design, data, and methodology - This research conducted two experiments based on the scenario. Specifically, Experiment 1 used a 2 (vividness of advertisement presentation: picture vs. word) × 2 (regulatory focus: prevention focus vs. promotion focus) between-subjects design. Experiment 2 used a 2 (vividness of advertisement presentation: detailed description vs. less detailed description) × 2 (regulatory focus: prevention focus vs. promotion focus) between-subjects design. Results - Two studies showed that prevention-focused individuals, when presented with a vivid presentation, were more likely to choose the advertised option compared with advertisements presented less vividly appearance. In contrast, promotion-focused individuals showed no difference in choice shares regardless of advertisement presentation vividness. In addition, these effects were mediated by the imagery toward the advertised information. Conclusions - The current research found how consumers' inherent motivation affects the extent of imagery in a purchase decision and a new perspective to previous studies with regards to regulatory focus. Further, this research suggested new advertisement strategies to corporations.