Examining the Effects of Decomposed Perceived Risk on Consumer's Online Shopping Behavior: A Field Study in China

  • Yue Chen Harbin Institute of Technology
  • Xiangbin Yan Harbin Institute of Technology
  • Weiguo Fan Department of Accounting and Information Systems, Virginia Polytechnic Institute and State University (Virginia Tech)
Keywords: decomposed perceived risk, satisfaction, re-purchase intention, online shopping, consumer behavior

Abstract

Perceived risk research has drawn much attention in recent years. In investigating the roles that perceived risk plays in consumers’ online purchasing behavior, most of the studies viewed perceived risk as high-level surrogate construct, and a few focused on one or several risk facets. Few research, however, distinguished how different sources of perceived risk influence consumers’ purchase behavior. In this research, we propose to decompose online purchase perceived risk into three major source components: uncertainty of transaction cost, product performance and consumer’s individual anxiety. Empirical results from a field survey in China shows that different sources of perceived risk bring distinct effects to purchase behavior. Perceived risks from individual anxiety were found to have significant influences on consumers’ satisfaction and re-purchase intention, while risks from transaction cost affect only satisfaction. Moreover, risks perceived from product performance were even found to have positive impact on re-purchase intention. Our study provides insights into how different sources of perceived risk influence consumers’ purchase behavior

DOI: http://dx.doi.org/10.5755/j01.ee.26.3.8420

Author Biographies

Yue Chen, Harbin Institute of Technology
Yue Chen is now a Ph.D. student in School of Management, Harbin Institute of Technology, China. Her research focuses on consumer behavior in e-commerce, user behavior analysis in social network, etc.
Xiangbin Yan, Harbin Institute of Technology
Dr. Xiangbin Yan is now a full professor in School of Management, Harbin Institute of Technology, China. His research includes online consumer behavior , social network analysis, cooperation network analysis, business intelligence, etc.
Weiguo Fan, Department of Accounting and Information Systems, Virginia Polytechnic Institute and State University (Virginia Tech)
Dr. Weiguo (Patrick) Fan is a Full Professor of Accounting and Information Systems, Full Professor of Computer Science (courtesy) and Director of the Center for Business Intelligence and Analytics at Virginia Tech. His research interests focus on the design and development of novel information technologies --- information retrieval, data mining, text/web mining, business intelligence techniques --- to support better business information management and decision making. He has published more than 130 refereed journal and conference papers.
Published
2015-06-29
Section
COMMERCE OF ENGINEERING DECISIONS