The Relationship among Product Risk, Perceived Satisfaction and Purchase Intentions for Online Shopping

• Published in: The Journal of Asian finance, economics, and business Vol. 7; no. 6; pp. 221 - 231
• Main Author: TRAN, Van Dat
• Format: Journal Article
• Language: English
• Published: 한국유통과학회 30.06.2020
• Subjects: 경제학; Security Risk; Privacy Risk; Purchase Intentions; Financial Risk; Product Risk
• ISSN: 2288-4637; 2288-4645
• DOI: 10.13106/jafeb.2020.vol7.no6.221

This research investigates the relationship among product risk, financial risk, security risk, privacy risk, perceived satisfaction, and purchase intention. Validated measurements were identified from a literature review. The measurement model and the conceptual model depicting hypothesized relationships were evaluated based on responses from 306 customers using confirmatory factor analysis and structural equation modeling. The results showed that product risk, financial risk, security risk, and privacy risk impacted on perceived satisfaction. Besides, product risk, privacy risk, and perceived satisfaction influenced purchase intentions. Thus, this study focused on the influences of product risk, financial risk, security risk, and privacy risk on their cognitive attitudes toward websites. That means the more consumer perceive security, the more they avoid shopping online. The study is important to show how perceived risk affects online shopping behaviors, and it invites marketers to make necessary adjustments to prevent perceived risks to increase and online shopping to decrease. The findings of this study suggest the creation of a framework on the effect of perceived risk types on online shopping. Managers need to take perceived risks into account when designing their electronic marketing channels. In addition, shopping websites should strengthen their transaction security by appropriately using various available resources and new information technologies.