Analysis of Disparities in Internet Purchases by Individuals at the EU State Level

Abstract

In recent years, the trend of digital transformation of commerce has been extremely dynamic, and the COVID-19 pandemic has generated a strong impetus for the development of digitalization. However, there is a large difference in the use of e-commerce in European Union (EU) countries. The objective of this article is to explain the complex evolution of e-commerce in terms of B2C using econometric methods, especially regarding Internet purchases made by individuals according to six social and technological factors considered basic factors in purchase decisions. Thus, we propose a conceptual model for the analysis of disparities in Internet purchases, taking into account both factors related to demand (consumer) and factors related to supply (supplier). Based on the data provided by Eurostat for all 27 EU countries for the period 2012–2021, the empirical findings of cluster analysis suggest changes in the grouping of countries at the beginning and end of the analysed period. Socioeconomic factors that can explain the transition of EU states from one group to another in terms of development level of Internet purchases by individuals were identified. The results of this study can serve as a starting point for future adaptation strategies of e-commerce in the context of global economic development with a focus on increasing digitisation, the existence of for which a digital convergence in the process of digital transformation is essential.