A Study of online Shopping Behaviors of Consumers in Yangon

A STUDY OF ONLINE SHOPPING BEHAVIORS OF CONSUMERS IN YANGON

                                                    PREPARED BY

                Dr. Sai Lohng Yee, Dr. Han Lynn Aung, Dr. Soe Zaw Paing

The Abstract

The aim of this study is to investigate the factors that affect online purchasing behaviour of consumer groups from Yangon, Myanmar. Customer behaviours are influenced by different factors such as culture, social class, references group relation, family, salary level and salary independency, age, gender etc. and so they show different customer behaviours.

A questionnaire was designed online, since the research was an online consumer behaviour study, online data collection method is used. The link of the questionnaire has been sent online between May 7 and May 15, 2016. 45 were responded and 39 were used for analysis (six incomplete responses have been eliminated). The sample consisted of individuals from Yangon only.

Key Words: Online Shopping, Online Shopping Behaviour,e-Commerce

Add Headings (Format > Paragraph styles) and they will appear in your table of contents.

CHAPTER 1. INTRODUCTION

This introduction section covers the background research, the problem statement and the aim and the purpose of the research.

Online shopping is a rapidly growing e-commerce area. The Internet has changed the way consumers purchase products or services. 

Online shopping basically provides the way consumers go shopping and purchase services and goods with reasonable price on the Internet. For some consumers, shopping online have become part of their daily lives, while others may not even care about it.

With online shopping, different types of businesses have gained an opportunity to increase their sale and can maintain a direct relationship with its customers. Online shopping has helped a lot in the globalization of businesses throughout the world. Companies can easily market their product in the whole world and can create great market of their product.

An internet negotiate incarnation applies to the psychological state of our customers, in terms of online shopping. Some consumers are reluctant to buy products online and it has many reasons for this phenomenon because they consider that they do not believe in the process of online purchases for the insecurity of credit or debit cards, the passwords, the process of hacking information, less time to devote, unreliable, untrustworthy, a breach of privacy and social risks.

At this point, we would figure out which factors influence online purchasing behavior and explain the difference in online buying behavior among online users.

CHAPTER 2. LITERATURE REVIEW

This study combines factors that will influence the consumer's purchasing decision in online stores.

It includes

1.     Purchase Intention

2.     Price attractiveness,

3.     Time saving,

4.     Perceived risk,

5.     Tangibility and

All of these factors will contribute to the study of customer's purchasing intention (eagerness of purchasing the product) on online shopping.

In online shopping, it is expected that shoppers are more likely to associate price attractiveness and time saving with their intention to shop while in offline shopping, consumers are more likely to associate tangibility, high interactivity and enjoyment with their intention to shop. As a result, online marketers or retailers should be aware of the problems faced by the consumers and their perceived risk to increase their intention to shop in online.

1.Purchase Intention

 According to Pan (2007), "Purchasing Decision Process" is when the relevant information is searched by the consumers that are motivated by the fulfillment of demands according to personal experience and the external environment; then after accumulating a certain amount of information, they begin to evaluate and consider; and finally after comparison and judgement, they make the decision on certain products.

There are five external factors to understand consumer's intention to purchase online which is the

1.     consumer personality

2.     situational factors

3.     product characteristics

4.     previous online shopping experiences and

5.     the trust in online shopping

Consumer's trait includes their demographic factors such as age, income, gender and educational level will lead them to have the intention to shop online.

Situational factors will also lead a consumer to have the intention to shop online such as time pressure, lack of mobility, geographical distance, need for special items and attractiveness of alternatives.

Product characteristic can be tangible or intangible; standardized or customized.

Another factor that influences the consumer's intention to purchase online is the previous online shopping experiences. Consumers will continue to shop in the internet in the future is because they are satisfied with the online shopping experience and it was evaluated positively Consumer's perceived risk will tend to reduce when they are satisfied from the shopping experiences .

The last factor that will influence consumer's intention purchase in online is the trust in online shopping. Consumer's trust towards online shopping is based on the level of security and privacy.

2.Price Attractiveness

It is predicted that price of a product differs in online and offline shopping. Consumers will save in monetary when there are price promotions on specific products. When there is promotional offers, consumers will have higher intention to purchase online; purchasing decisions and choice making from alternative evaluations can be made easily when there is the presence of promotional offers.

Price promotion have several benefits such as to increase demand, adjust fluctuations in supply and demand, and increasing consumers' purchasing over time.