Abstract

The goal of the research is to know the effect of the consumer behavior and perceived risk on, the consumers’ buying decision. This research employs a quantitative approach, descriptive and verified design. As much as 100 consumers are selected as respondents using a purposive method. The instrument of data collection is questionnaire. The data analysis used is Structural Equation Modeling. The research results show that the consumer behavior and perceived risk affects the consumer buying decision significantly. The biggest effect of the consumer behavior dimension on the buying decision variable is a personal factor and the biggest effect of the consumer behavior variable is on payment method dimension. The perceived risk contributes to the consumer buying decision significantly. It also proves that that the emerging of the online shops contributes shifting of the consumer behavior from a conventional business transaction into a digital one among the consumers.

Highlights

  • As we know, at present in the digital economy era, the trend of business models has shifted from conventional business models to the digital ones globally

  • Various online businesses ranging from news, transportation, online stores, online malls, online bookstores, online ticket businesses, online food and so on have emerged through their web sites

  • Problems of this research are: what factors emerge from consumer behavior and consumer perceived risk variables that affect purchasing decisions among the consumers studied? The purpose of this research is to find out significant factors of consumer behavior and consumer perceived risk affecting purchasing decisions on Shopee online store consumers

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Summary

Introduction

At present in the digital economy era, the trend of business models has shifted from conventional business models to the digital ones globally. One of the potential chances is that we can make online business transactions more through the medium of the Internet, that has been changed conventional buying process into the online one (Snowwaney & Chincholkar, 2019), where we can sell and buy products using only a computer or cell phone as a means of business transactions This is called as telepresence as the antecedent of the online consumer behavior (Lee & Chen, 2010). According to the research conducted by Comegys, et al (2006) buying decision process consists of several process This fact shows that there is a shift in consumer behavior from conventional behavior to digital one. In Indonesia, various online businesses have sprung up, ranging from news, transportation, online stores, online malls, online bookstores, online ticket businesses, online food and so on, faster than ever This phenomena are called as the digital platform (Dahiya & Gayatri, 2017)

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