Planned Behavior And Technology For Online Consumers

1741 words - 7 pages

E-commerce offers significant opportunity for retailers in emerging markets like India due to the growing Internet popularity and rising incomes. But the Internet penetration growth does not commensurate with the online retail sales. This necessitates unraveling and understanding the online buying behavior. This paper employs ‘Theory of planned behavior (TPB)’, ‘Technology acceptance model (TAM)’ and self-image to unfold the online consumer behavior. It proffers an integrated model of online consumer behavior by integrating the self-image variable with the TPB and TAM models. The study tests the various components of integrated model and find that attitudes, subjective norms, self-image, and self-efficacy significantly impact online purchase intentions. The study makes significant theoretical contributions and provides valuable insights into the consumers’ online purchase behavior.
1. Introduction
Internet provides a significant opportunity to marketers to reach Indian consumers. It has emerged to be a significant retail channel for almost all the business firms in the country (Dash and Saji, 2008; Khare and Rakesh, 2011). Consumers’ growing buying power coupled with rising Internet penetration provides a significant alternative to international retailers. The country currently has the third largest Internet user base in the world and it is expected to be the second largest consumer base by 2015 (McKinsey, 2012). The consumers are willing to try the new retail format due to its convenience, affordability and accessibility (PWC, 2012). The digital consumers spend more than their non-connected peers (BCG, 2013). With the rise in consumer demand, the B2C sales are expected to grow 57% annually between 2012-2016 (Forrester, 2012). It is predicted that India’s Internet users will swell five fold by 2015 (McKinsey, 2011). The country is going to be the biggest e-commerce market in the Asia Pacific as it is expected to reach $ 8.8 billion by 2016 (Forrester, 2012). The increased Internet diffusion has augmented its acceptability but it has failed to gain acceptance as an alternate retail channel (Khare, Singh and Khare, 2010). Although online sales are restricted to few urban Indian youth who purchase small-value items (Gupta, Handa and Gupta, 2008) but the Internet has sizeable influence on offline buying (BCG, 2013). Despite the widespread research, there is a gap in understanding of Indian online shopping behavior (Beldona, Racherla and Mundhra, 2011). This mandates understanding the online consumer behavior.
There is growth of e commerce research (Chen and Holsapple, 2013; Wang and Chen, 2010) and key research point in ecommerce is modeling the online consumer behavior (Cag ̆il and Erdem, 2012). Two models namely Theory of planned behavior (TPB) and Technology acceptance model (TAM) have been considerably replicated, extended, updated and purified to understand online consumer behavior. The research aims to develop and empirically test an...

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