Abstract

The purpose of this research is to investigate factors impacting internet buying in three cultures: USA, India, and Jordan. While several consumer characteristics impacting internet buying have been studied in previous research, there has been relatively little research which studies the factors across national cultures. Internet buying and commerce has a global reach and several corporations count on global markets for expansion and growth. As a result, it is critical to understand the particular nature of differences in consumer characteristics impacting internet buying in different countries and cultures. This paper reports on an empirical study, which tests the impact of consumer characteristics uncertainty avoidance and perceived risk on internet buying. Data was collected and analyzed from USA, Jordan, and India. Results indicate that in cultures where uncertainty avoidance is high, perceived risk with internet, buying is also high, and this impacts internet buying negatively. Cultures where perceived risk is high, it impacts internet buying negatively. Results provide practical implications to web based vendors on consumer characterize that should be taken into account when marketing online in different cultures. Results also provide valuable insights into the nature of internet buying and the factors that limit internet-buying acceptance across cultures.

Highlights

  • The World Wide Web (WWW) and the internet have been two of the most important developments of information technology since the 1990s, and these have provided companies with the ability to expand business reach through electronic commerce (e-commerce) (Aitchison & Stone, 2002)

  • While several consumer characteristics impacting internet buying have been studied in previous research, there has been relatively little research which studies the factors across national cultures

  • This paper reports on an empirical study, which tests the impact of consumer characteristics uncertainty avoidance and perceived risk on internet buying

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Summary

Introduction

The World Wide Web (WWW) and the internet have been two of the most important developments of information technology since the 1990s, and these have provided companies with the ability to expand business reach through electronic commerce (e-commerce) (Aitchison & Stone, 2002). E-commerce success, especially in the business-to-consumer area, is determined in part, by whether consumers trust sellers and the products they cannot see or touch, and whether they trust the electronic systems with which they have no previous experience (Lee & Turban, 2001). Factors such as self-confidence and amount of information processed and accessible play an important role in determining the amount of uncertainty faced by consumers when buying from a traditional store (Taylor, 1974). Other factors studied in the context of online buyers includes concerns about product quality, inability to touch and see the product, un-trusted vendors, and problems with receiving ordered products (Schneider, 2010)

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