We-commerce: Exploring factors influencing online group-buying intention in Taiwan from a conformity perspective

Abstract

Group buying is a relatively new online consumption practice. Consumers negotiate product or service prices with businesses to obtain low prices or an increased number of products. This study investigates factors influencing online group-buying intention from a conformity perspective. An online survey is used to sample 650 online group buyers in Taiwan. Structural Equation Modelling (SEM) is applied to examine the hypotheses within the theoretical framework. Analytical results indicate that social factors (online recommendations, media recommendations, and personal recommendations) positively affect social influence and online group-buying intention. Individual factors (compliance and attention-to-social-comparison-information) positively affect social influence and conformity. Psychological factors (financial risk, performance risk, and social risk) negatively affect online group-buying intention, and are positively correlated with social influence and conformity. Furthermore, social influence (informational influence and normative influence) are positively correlated with conformity and online group-buying intention. Social influence and conformity are positively correlated with online group-buying intention. Finally, implications of analytical findings are discussed.