Consumer Behavior

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An Empirical Study of Consumer Switching from Traditional to Electronic Channel: A Purchase Decision Process Perspective Alok Gupta* (agupta@csom.umn.edu) Bo-chiuan Su (bsu@mgt.ncu.edu.tw) Zhiping Walter (Zhiping.Walter@cudenver.edu) ALOK GUPTA (agupta@csom.umn.edu) is an Associate Professor of the Department of Information and Decision Sciences, Carlson School of Management, University of Minnesota, USA. He received his PhD in Management Science and Information Systems from the University of Texas at Austin in 1996. His research has been published in various information systems, economics, and computer science journals such as Management Science, ISR, CACM, JMIS, Decision Sciences, Journal of Economics Dynamics and Control, Computational Economics, Decision Support Systems, IEEE Internet Computing, International Journal of Flexible Manufacturing Systems, Information Technology Management, and Journal of Organizational Computing and Electronic Commerce. He received prestigious NSF CAREER award for his research in Online Auction in 2001. His current and teaching interest are in the area of economic modeling and analysis of electronic commerce. He serves on the editorial board of ISR, DSS, and Brazilian Electronic Journal of Economics. BO-CHIUAN SU (bsu@mgt.ncu.edu.tw) is an Assistant Professor of the Department of Information Management at the National Central University, Taiwan (R.O.C.). He received the Ph.D. degree in Business Administration, specialized in information systems, from the School of Business, University of Connecticut, U.S.A. Dr. Su’s research interests include economic issues in electronic commerce, Internet marketing, and Enterprise Resources Planning (ERP). His research will appear in Decision Support Systems. Zhiping Walter (Zhiping.Walter@cudenver.edu) received the Ph.D. degree in Business Administration, specializing in Management Information System from the Simon School of Business, University of Rochester. She is currently an Assistant Professor of Management Information System at the School of Business, University of Colorado at Denver, USA. Dr. Walter’s research interests are in the areas of economics of information systems, Internet marketing, and Information Technology in Healthcare. Her research has been published or has been accepted to publish in Communications of the ACM, European Journal of Operational Research, Decision Support Systems, International Journal of Healthcare Technology Management, Technology Analysis and Strategic Management, ICIS proceedings and HICSS proceedings.

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Author names in alphabetical order.

An Empirical Study of Consumer Switching from Traditional to Electronic Channel: A Purchase Decision Process Perspective Abstract This paper examines the relationships between the operating characteristics of the consumer purchase decision process and the channel switching intentions of consumers. A theoretical model that explains consumer channel switching intentions is constructed and tested based on a sample of 337 actual consumers. The analysis indicates that the overall channel-switching tendency from offline to online is approximately 52% across four product categories, including books, flight tickets, wine, and stereo systems. The order of switching tendency (flight tickets, books, stereo systems, wine) is consistent with their search and experience attributes: flight tickets and books are search goods whereas wine and stereo systems are experience goods. The logistic regression analysis across product categories shows that consumers’ differences in channel risk perceptions, price search intentions, evaluation effort, and waiting time between online and offline channels have significant impacts on their tendency of switching from offline to online shopping. The results also indicate that those attracted to purchase online perceive significantly lower channel risk, search effort, evaluation effort, and waiting (delivery) time online than offline and express...
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