The words you are searching are inside this book. To get more targeted content, please make full-text search by clicking here.
Discover the best professional documents and content resources in AnyFlip Document Base.
Search
Published by thanyanan.pjt, 2020-12-08 03:49:25

Proceeding AU ICESDE 2020

Proceeding AU ICESDE 2020

Au Virtual International Conference 2020
Entrepreneurship and Sustainability in the Digital Era

Assumption University of Thailand
October 30, 2020
Co-hosted by

Introduction Therefore, in this study, the researchers aimed to test
online shopping intention, which might be influenced
With many reliable e-commerce platforms appeared, by website adoption (perceived usefulness, perceived
more and more customers are changing their shopping ease of use, social influence, and facilitating
intention from physical stores to online platforms. Due conditions), trust, and perceived risk.
to Covid-19 Pandemic, the whole world's online selling
will decelerate to a 16.5% growth rate in 2020 (Ethan, Research Objectives
2020b). However, the world is facing various
quarantines and business closures; many customers 1. To test the statistically significant influence of
would like to purchase their essential products online, website adoption in terms of perceived usefulness,
which is safer than usual way of shopping. perceived ease of use, social influence, and facilitating
Simultaneously, 42.3% of online retail sales worldwide conditions on online shopping intention in China.
are occupied by Asia-Pacific. China has taken up the
most digital selling in the Asia-Pacific area, with 62.6% 2. To analyze the statistically significant influence of
(Ethan, 2020b). Therefore, China still has a large trust and perceived risk on online shopping intention in
potential market for e-commerce. Customers will spend China.
209 million U.S. dollars, and retail e-commerce
transactions in 2020 will be 208 billion U.S. dollars in Literature Review
China, an increase of 16.0% (Ethan, 2020a).
Perceived Usefulness

Website adoption strongly influences consumer’s Davis (1989) stated that perceived usefulness is to test
online shopping intentions. However, many consumers the person who trusts that using some technologies
are still worried about the risk of finishing their payment would help them get better performance. Park, Rhoads,
(Forsythe & Shi, 2003). Therefore, risk perception is Hou, & Lee (2014) implied that perceived usefulness is
seen as a critical obstacle to customers' acceptance of an immediate predictive analysis factor that is strongly
online shopping (Featherman & Pavlou, 2003). Online related to technical personal behavioral intention
shopping's perceived risks include low product quality, application (B.I.). Studies have shown that high-quality
poor after-sales maintenance services, and infringement perceived usefulness generally leads to a proactive
of privacy protection, inhibit consumers’ purchase model of effectiveness decision making (Ong & Lai,
intentions (Faqih, 2013). Keeping connected with 2006). If person feels that the learning the online system
customers is a fundamental problem for many can help to improve their work performance, they are
companies. Compared with traditional enterprises, more likely to participate in learning the electronic
online enterprises must spend a great deal to acquire device, which will lead to an active result of customer
new customers (Reichheld & Schefter, 2000). Many performance. Venkatesh & Davis (2000) found in their
scientific researchers tried to find the answers to this scientific research that perceived usefulness has a
problem and showed that trust is vital for developing proactive hazard to customers' intention to apply online
new customers and continuously staying connected learning, which shows that when customers feel that
with current customers (Reichheld & Schefter, 2000). online learning is an effective and meaningful method
are more likely to use online learning. The more
Taobao belongs to Alibaba Group, which is also the efficient learning, the higher practical knowledge and
most comprehensive online shopping platform in China. skills.
In 2019, Taobao had 755 million monthly active users
and 674 million annual active consumers. It reflects the Perceived Ease of Use
strong endogenous power and innovative vitality of the
Chinese market. From 2017 to 2020, Taobao users have Davis (1989) defined perceived ease of use as users
increased a lot by almost 42%, which means that more utilization of technology to get convenience without
and more people would like to register and start to use much effort. Many scholars find that it is another crucial
the Taobao website for online shopping. Taobao’s decision-making element of technical acceptance (Kim,
website is attractive to more consumers to spend their Ma, & Park, 2009). Perceived ease of use has also
money and time to look around the e-platform (Ma, received outstanding interest in scientific research.
2020). However, perceived ease of use is generally considered
to be less important than the perceived effectiveness for

350

Au Virtual International Conference 2020
Entrepreneurship and Sustainability in the Digital Era

Assumption University of Thailand
October 30, 2020
Co-hosted by

continuous intentions (Taylor & Strutton, 2010). On the Trust
one hand, perceived ease of use directly influenced on
the selected application or related to the perceived Trust is a quality of the person which commonly exists
effectiveness (Liu & Forsythe, 2011). The researchers between the buyers and sellers (Gefen, Karahanna, &
also discovered that perceived ease of use's structure can Straub, 2003). In terms of e-commerce, integrity means
mediate the effect of other elements. that online businesses value clear standards or keep their
promises. Workability is the confidence in professional
Social Influence skills and for online companies to present appropriate
famous products or services. Sellers feel that online
Goldsmith (2015) implied that social influence is to sales websites expect to obtain reasonable and
balance the person’s behavior and others. Kelman legitimate profits and produce good things.
(1958) revealed social influence theory, as confidence
and influence of others on subsequent personal behavior Excellent personalization is also the standard for
according to three processes: Obedience, identification, generating online trust (Briggs, Simpson, & De Angeli,
and internalization. Not all the decisions made by a 2004). But collecting customer information will also
person is voluntary in which most of them are harm the self-confidence of online customers (Beldad,
influenced by environment (Lucas & Spitler, 1999). De Jong, & Steehouder, 2010). The scientific research
of Park, Amendah, Lee, & Hyun (2019) also showed
This is relevant with Ajzen's (1988) definition of that cognitive secure payment channels in mobile
subjective standards. “Subjective standards are applications can improve the trust of customers. Ang,
perceived as social development work pressures that Dubelaar, & Lee (2001) clearly pointed out that the
stem from the implementation or non-implementation three levels of trust are particularly important for
of personal behavior by other people.” Social influence increasing confidence on the Internet.
presented that individuals have changed their concepts,
feelings, mentalities, or personal behaviors due to Perceived Risk
interactions with other individuals (Amblee & Bui,
2008). Perceived risk is defined as the damage that is likely to
be caused by unexpected outcomes when conducting
Facilitating Conditions online shopping (Ko, Jung, Kim, & Shim, 2004). Risk
plays a particularly important role in online shopping,
Venkatesh, Morris, & Davis (2003) stated that and it makes a pivotal contribution to express personal
facilitating conditions was using the necessary behavior. Regarding risk, there are two types which area
technologies to learn better. Similarly, the term performance of the products and financial risk (Barnes,
‘facilitating conditions’ is also one of the basic Bauer, Neumann, & Huber, 2007). Even customers feel
structures of the UTAUT entity model created by that the Internet offers many benefits, there are increase
Venkatesh, Morris, & Davis (2003). The creator concern of the risk of transaction process. Compared
emphasized that this structure means the level at which with traditional retail methods, customers are riskier to
consumers feel that a certain sense of organization and purchase on Internet (Lee & Tan, 2003).
the necessary technical system can be used in the
terminal software. Online Shopping Intention

Under such circumstances, customers feel that there is a The intention of online shopping refers to the
technical infrastructure to improve the level of e- development trend of customers buying goods. The
commerce applications. ‘Facilitating conditions’ has probability of taking a particular action of a customer
improved the organization and development of e- towards buying a specific thing. It is generally
commerce. Teo & Milutinovic (2015) chose convenient considered by the speed, orientation, and size at which
standards, subjective standards, and mathematical customers are likely to purchase goods (Chongde &
thinking training as external independent variables for Tsingan, 2003). Mullet & Gary (1983) stated that the
the technical acceptance model (TAM) to help the customer's attitude towards products or well-known
customers utilize the website. brands, coupled with the effects of external factors,

constitutes the customer's online shopping intention,

which can be regarded as the subjective tendency of

351

Au Virtual International Conference 2020
Entrepreneurship and Sustainability in the Digital Era

Assumption University of Thailand
October 30, 2020
Co-hosted by

customers to select superior products (Dodds, William, Social Influence and Online Shopping Intention
& Kent, 1984). Furthermore, other scientific researchers
believed that online shopping intention referred to Ariffin, Mohan & Goh (2018) studied consumers’ social
customers' subjective probability of buying unique influence on consumers’ online shopping intention. The
products. Some experts and scholars believed that researchers revealed that social influence towards
online shopping intention is a customer's purchase plan information content and standard branches has a
for superior products (Chongde & Tsingan, 2003). positive influence on online shopping intention. Chen &
Li (2019) studied the effects of Singles’ Day
Related Review Literature atmosphere on consumer purchase intention. The
researchers implied that online shopping festival
Perceived Usefulness and Online Shopping Intention atmosphere has a social influence by delivering the
values to affect purchase intention. The society is
In most e-commerce scientific research, it is found that defined as a kind of popularity of a content obtained
usefulness is directly related to continuous intention from another party as actual direct evidence which has
(Kim et al., 2009). Perceived usefulness is a crucial an influence on online shopping intention (Lord & Lee,
decision-making factor for the continuous intention of 2001). Therefore, many online customers would get
Taiwanese e-commerce companies (Liu & Forsythe, influenced by social media and others.
2011).
Facilitating Conditions and Online Shopping
Mohamed, Hussein, Zamzuri, Haghshenas (2014) Intention
studied about individual’s online shopping continuous
intention. The researchers found that online shopping Brown & Venkatesh (2005) defined the facilitating
intention has statistical significant moderate conditions as the happiness or enjoyment produced by
relationship with perceived usefulness of website and the application, and this kind of structure has been
also satisfaction in online shopping. Therefore, many proved to play a vital role in the acceptance and
customers would like to continue to purchase the application of decision-making technology to influence
products from online website. Furthermore, Al- online shopping. Venkatesh, Thong, & Xu (2012)
Maghrabi & Dennis (2011) learnt that consumers’ studied the subsequent scientific research and found the
continuous intention to e-shopping. The researchers activity of facilitating conditions in online purchasing.
also found that Perceived usefulness is a determinant of Venkatesh & Davis (2000) had already found the effect
online shopping continuance. of facilitating conditions to personal behavior
intentions.
Perceived Ease of Use and Online Shopping
Intention The more the customers perceive facilitating conditions,
the more they willing to buy products online. Also, for
According to the insights of Chiu, Lin, & Tang (2005), the luxury products from online shopping, more and
perceived ease of use referred to the level at which more customers consider that if there is a facilitating
customers felt that the purchasing products online was condition, consumers intend to buy the products rather
less time consuming and less effort. Customers than the cheaper products.
preferred to browse these websites with a simple and
easy-to-browse interface (Chiu, Lin, & Tang, 2005) Trust and Online Shopping Intention
because it can increase customer satisfaction and online
shopping willingness (Lee & Lin, 2005). Besides, it is Trust plays a crucial role in both offline purchases and
necessary to present comfortable, efficient, and online purchases. Trust is significant in improving
convenient service to customers from online retailers' customers’ shopping intention (Ghalandari, 2012).
perspectives to facilitate their application and create an Also, trust is an indicator that checks the personal
absolute advantage for their website (Cha, 2011). behavior of customers buying things (Mohan,
Convenience plays a crucial role in clarifying intentions Sivakumaran, & Sharma, 2013).
(Davis, 1989).
The development of trust in the online environment of
e-commerce is more complicated. In addition to
customers’ understanding of e-commerce dealers’
ability to work with privacy protection expectations, the

352

Au Virtual International Conference 2020
Entrepreneurship and Sustainability in the Digital Era

Assumption University of Thailand
October 30, 2020
Co-hosted by

development of trust is also related to many e- Figure 1: The Conceptual Framework
commerce dealers' characteristics, business scale and
website quality (Tirtayani & Sukaatmadja, 2018). It can Research Hypothesis
be seen that if buyers understand that sellers are
trustworthy and reliable, customers are more likely to H1O: There is no statistically significant influence of
trade online. Unlike physical stores, online stores website adoption in terms of perceived usefulness,
basically have nothing to ensure that products are perceived ease of use, social influence, and facilitating
precisely the same as what everyone sees on their conditions on online shopping intention in China.
website. Once the sellers got the trust from the
customers, they will develop the intention to purchase. H1a: There is a statistically significant influence of
website adoption in terms of perceived usefulness,
Perceived Risk and Online Shopping Intention perceived ease of use, social influence, and facilitating
conditions on online shopping intention in China
Martin & Camarero (2009) found that the risk of online
shopping is relatively higher than that of traditional H2O: There is no statistically significant influence of
shopping. Online purchases are likely to produce trust and perceived risk on online shopping intention in
negative information that are not discovered in China.
traditional business. For example, customers cannot
immediately assess product quality, lack personal H2a: There is a statistically significant influence of trust
contact with salespersons, and learn how to use Internet and perceived risk on online shopping intention in
technology or the cost of web sites. Electronic devices' China.
can cause the anxiety and pressure that customers feel
uncomfortable in using online shopping such as, the Methodology
lack of interaction and communication with others,
social development contact, payment, and personal Research Method Used
safety (Salo & Karjaluoto, 2007).
The purpose of this study is to test the influence of
In any case, the perceived risk could cause customers to website adoption (perceived usefulness, perceived ease
develop different mentality and experience of the of use, social influence, and facilitating conditions),
website. Forsythe & Shi (2003) pointed out that trust, and perceived risk on online shopping intention in
personal risk, commodity risk, and unknown risk will China. An essential part of scientific research activities
harm online shopping and express the obstacles to is to formulate reasonable scientific research strategies
online shopping intention. or design plans (Zikmund, Babin, Carr, & Griffin,
2009). The research design shows a structure for
Research Framework collecting data and information, accurate measurement,
and analysis (Saunders, Thornhill, & Lewis, 2009).
After studying the previous studies regarding online
shopping intention, the conceptual framework is
developed based on two theoretical frameworks. There
are many factors which might have influence on online
shopping intention. However, this study focuses to find
the influence of Taobao's website adoption's
relationship by perceived usefulness, perceived ease of
use, social influence, and facilitating conditions on
online shopping intention in China. Secondly, the
researcher finds the influence of trust towards online
shopping intention. At last, the study would like to find
the correlation between perceived risk and online
shopping intention. The conceptual framework of this
study is developed as follows:

353

Au Virtual International Conference 2020
Entrepreneurship and Sustainability in the Digital Era

Assumption University of Thailand
October 30, 2020
Co-hosted by

The dependent variable is online shopping intention, social influence, facilitating conditions, trust, and
and independent variables are website adoption in terms perceived risk and depend variable - online shopping
of perceived usefulness, perceived ease of use, social intention. All the questions are applied with five-point
influence, facilitating conditions, trust, and perceived Likert scale ranging from - 1 (strongly disagree) to 5
risk. (strongly agree), respectively.

The researchers applied two types of nom-probability Collecting Data
sampling which are purposive sampling and
The researchers collected 400 raw data as primary data
convenience sampling. According to the research, the from Sept 9 to Sept 25, 2020. The researchers used the
target group can be defined as a completed group that online survey to collect the data. The respondents are
the users of Taobao who have or had purchased the
has been scientifically researched (Zikmund, 2003). products or service online in China. The researchers
Burns & Bush (2005) presented that “a total of the used purposive sampling and convenience sampling to
population should mean of the entire population.” The collect the data.

sample of this research is chosen from the Chinese
online customers using Taobao.

Kotler & Keller (2009) defined the sample size as the Findings
total number that should be investigated. The accuracy
of the finding depends on the sample size of the study Based on the descriptive analysis, the researchers found
(Burns & Bush, 2005). To get a reliable sample size, the that the majority of gender is female with 205
researchers applied the previous studies as a reference respondents (51.3%). For age group, the majority of the
for the sample size. Mamoun & Mutaz (2015) studied respondents are within 31-40 (45.5%) years old with
trust in online shopping attitudes, in which they 182 people. Furthermore, the researchers also learned
surveyed 273 respondents. that majority of the respondents have income of
$20,001 - $30,000 (144, 36%). For educational status,
Similarly, Han & Li (2019) conducted the study of the majority are Graduate with 173 (43.3%). For
exploring the effect of an enhanced e-commerce employment categories, the majority group are student
institutional mechanism on online shopping intention with 94 (23.5%).
by using 1,000 respondents. Comfrey and Lee (1992)
advised that the sample size can be roughly evaluated Reliability Testing
on the following scale; 50- very poor; 100-poor; 200-
fair; 300-good; 500-very good; 1000 or more-excellent. Researchers used statistical software to test the
Therefore, the researchers collected 400 samples. reliability of each independent variable based on the
Coefficient alpha. Malhotra (2004) said that when the
The researchers developed the questionnaire based on alpha value was more than 0.6, which meant that the
the conceptual framework of the study. value can be used. Therefore, all the variables can be
used to analyze.
There are three parts in the questionnaire, which are as
follows:

The first part is that the researchers use the screening
question to filter appropriate respondents for the
questionnaire. There is only one screening question of
whether the respondents have used Taobao website to
purchase products.

The second part concludes the personal data. There are
a total of 9 questions; all the items applied with category
scale which include respondents’ gender, income,
children, employment, education status, age, marital
status, members, and residence.

The third part is for both independent variables which
include perceived usefulness, perceived ease of use,

354

Au Virtual International Conference 2020
Entrepreneurship and Sustainability in the Digital Era

Assumption University of Thailand
October 30, 2020
Co-hosted by

Table 1: The Summary of the Reliability Testing perceived ease of use, social influence, and facilitating
Results conditions, trust, and perceived risk on online shopping
intention.
Hypothesis Testing
According to the hypothesis testing, the researchers The researchers collected the data and information from
analyzed the influence of website adoption in terms of online shoppers who purchased goods/services on
perceived usefulness, ease of use, social influence, and Taobao website. The sample size of this scientific
facilitating conditions, trust, and perceived risk on research was 400 respondents. Non-probability
online shopping intention. sampling is used to collect data from the sampling units.
Table 2: The Summary of the Hypothesis Testing The five-point Likert scale is designed for
Results questionnaire. The research used descriptive analysis
and inferential analysis to test all hypotheses based on
multiple linear regression linear analysis. From the
findings, the researchers found that perceived
usefulness, ease of use, social influence, and facilitating
conditions significantly influenced online shopping
intention. Perceived risk and trust have a significant
influence on online shopping intention.

Recommendations

From the findings of influence of the website adoption
in terms of perceived usefulness, perceived ease of use,
social influence, and facilitating conditions, trust, and
perceived risk on online shopping intention in China,
the researchers would help the Taobao company to find
the most influential factor on the customer shopping
intention. which will be beneficial for Taobao website.
Based on the findings, the perceived ease of use has beta
value of .418 which is the highest among the other
factors of website adoption. Taobao should educate the
customers how to use the website effectively and
improve the website to be more convenient than
physical stores. At the same time, it is imperative to help
the customers to get the information quickly through the
Taobao website because it will gain the customer's
intention to purchase some products from the website.

What is more, the beta of the perceived risk is .524.
Taobao is supposed to guarantee the customers that if
customers paid the money after buying the products,
they could get the same and right quality products from
the website. Taobao website also needs to protect the
privacy of customer personal information.

Conclusions

The purpose of this research is to evaluate the influence
of website adoptions in terms of perceived usefulness,

355

Au Virtual International Conference 2020
Entrepreneurship and Sustainability in the Digital Era

Assumption University of Thailand
October 30, 2020
Co-hosted by

Further Study Beldad, A., De Jong, M., & Steehouder, M. (2010). A
literature review on the antecedents of online trust.
This research focused on an integrated model to find the Computers in Human Behavior, pp. 857-869.
influence of website adoption, perceived risk, and trust
on online shopping intention. The researchers would Briggs, P., Simpson, B., & De Angeli, A. (2004).
like to give some suggestions for further study. Personalisation and trust: A reciprocal relationship? In
C. Designing personalized user experiences in
First of all, the researchers applied six related variables eCommerce. Human Computer Interaction Series, pp.
to study online shopping intention. However, there are 39-55.
many other variables that might have an influence on
online shopping intention. Thus, the researchers should Brown, S., & Venkatesh, V. (2005). Model of Adoption
check more related variables to expand this the research of Technology in Households: A Baseline Model Test
model. and Extension Incorporating Household Life Cycle.
MIS Q., pp. 399–426.
Secondly, China has a vast population in different areas,
where the consumers may have different lifestyles, Burns, C.A., & Bush, F.R. (2005). Marketing Research:
buying behavior, personal values, and others. However, Online Research Applications. Prentice Hall.
in this research, the researchers only focus on the
customers who are using the Taobao website. Then, Cha, J. (2011). Exploring the Internet as a unique
other researches may focus on a particular area in China. shopping channel to sell both real and virtual items: A
comparison of factors affecting purchase intention and
Furthermore, other researchers may consider to apply consumer characteristics. Journal of Electronic
this conceptual framework to other websites. Commerce Research, pp. 115.

Reference Chen, C.H. & Li, X.Y. (2019). Effects of Singles’ Day
atmosphere
Ajzen, I. (1988). Attitudes, personality, and behavior.
Chicago: Dorsey Press. stimuli and Confucian values on

Al-Maghrabi, T. & Dennis, C. (2011). What drives consumer purchase intention. Asia Pacific Journal of
consumers’ continuance intention to e-shopping? Marketing and Logistics. pp. 1355-5855
International Journal of Retail & Distribution
Management. Vol. 39 Chiu, B.Y., Lin, P.C., & Tang, L.L. (2005). Gender
differs: Assessing a model of online purchase intentions
No. 12, pp. 899-926 in e-tail service. International Journal of Service
Industry Management, pp. 416–435.
Amblee, N., & Bui, T. (2008). Can brand reputation
improve the odds of being reviewed online? Chongde, L., & Tsingan, L. (2003). Multiple
International Journal of Electronic Commerce, pp. 11– Intelligence and the Structure of Thinking. Theory &
28. Psychology, pp. 829–845.

Ang, L., Dubelaar, C., & Lee, C.B. (2001). To trust or Comfrey, A. L. & Scott, D. (2004). Examining the
not to trust? A model of internet trust from the mediating role of experience quality in a model of
customer’s point of view. Proceedings of the 14th Bled tourist experiences. Journal of Travel and Tourism
Electronic Commerce Conference, pp.40–52. Marketing., 16, pp. 79-90.

Ariffin, K., Mohan, T. & Goh, Y. (2018). Influence of Davis, D.F. (1989). Perceived usefulness, perceived
consumers’ perceived risk on consumers’ online ease of use, and user acceptance of information
purchase intention. Journal of Research in Interactive technology. MIS Quarterly, pp. 319-340.
Marketing. Vol. 12 No. 3, pp. 309-327
Deutsch, M., & Gerard, B.H. (1955). A study of
Barnes, S., Bauer, H., Neumann, M., & Huber, F. normative and informational social influences upon
(2007). Segmenting cyberspace: a customer typology individual judgment. The Journal of Abnormal a Social
for the. European Journal of Marketing, pp.71-93. Psychology, pp. 629–636.

356

Au Virtual International Conference 2020
Entrepreneurship and Sustainability in the Digital Era

Assumption University of Thailand
October 30, 2020
Co-hosted by

Dodds , William, B., & Kent, B. M. (1984). The Effect Insight: http://www.emerald.com/insight/0959-
of Brand and Price Information on Subjective Product 3845.htm.
Evaluations. Advances in Consumer Research, pp. 85-
90. Kelman, C.H. (1958). Compliance, Identification, and
Internalization: Three Processes of Attitude Change.
Ethan, C. (2020a, Jun 10). Despite Decline, China Will Journal of Conflict Resolution, pp. 51-60.
Become the World’s Largest Retail Market This Year.
Kim J, Ma, J.Y., & Park, J. (2009). Are U.S. consumers
Retrieved from
ready to adopt mobile technology for fashion goods? An
https://www.emarketer.com/content/china-ecommerce-
integrated theoretical approach. Journal of Fashion
2020 Marketing and Management, pp. 215–230.

Ethan, C. (2020b, Jun 22). Ecommerce Decelerates Ko, H., Jung, J., Kim, J., & Shim, W.S. (2004). Cross-
amid Global Retail Contraction but Remains a Bright cultural differences in perceived risk of online
Spot. Retrieved from emarketer: shopping. Journal of Interactive Advertising, pp. 20-29.
https://www.emarketer.com/content/global-
ecommerce-2020 Kotler, P. & Keller, L.K. (2009). Marketing
management. New Jersey: Pearson Education Inc,
Faqih, M.K. (2013). Exploring the influence of Upper Saddle River.
perceived risk and internet self-efficacy on consumer
online shopping intentions: perspective of technology Lee, G.G, & Lin, F.H. (2005). Customer perceptions of
acceptance model. International Management Review,
pp.67-77. e-service quality in online shopping. International
Journal of Retail & Distribution Management, pp. 161–
Featherman, S.M, & Pavlou, A.P. (2003). Predicting e-
services adoption: a perceived risk facets perspective. 176.
International Journal of Human-Computer Studies, pp.
451-474. Lee, K. & Tan, S. (2003). E-retailing Versus Physical

Retailing: A Theoretical Model and Empirical Test of.
Journal of Business Research, pp. 877–885.

Forsythe, S.M., & Shi, B. (2003). Consumer patronage Liu, C., & Forsythe, S. (2011). Examining drivers of
and risk perceptions in Internet shopping. Journal of online purchase intensity: Moderating role of adoption
Business Research, pp. 867-875. duration in sustaining post-adoption online shopping.
Journal of Retailing and Consumer Service, pp. 101-10.
Forsythe, S. & Shi, B. (2003). Consumer Patronage and
Risk Perceptions in Internet Shopping. Journal of Lord, R.K, & Lee, S.M. (2001). Differences in
Business Research, 56(11), pp. 867-875. normative and informational social influence. Advances
in Consumer Research, pp. 280–285.
Gefen, D., Karahanna, E. & Straub, W.D. (2003). Trust
and TAM in online shopping: An integrated model. MIS Lucas, C.H, & Spitler, K.V. (1999). Technology Use
Quarterly, pp. 51-90. and Performance: A Field Study of Broker
Workstations. Decision Sciences Journal.
Ghalandari, K. (2012). The effect of e-service quality on
e-trust and e-satisfaction as key factors influencing Ma, H.Y. (2020). Number of mobile monthly active
creation of e-loyalty in e-business context: The users across Alibaba's online shopping properties from
moderating role of situational factors. Journal of Basic 2nd quarter 2017 to 2nd quarter 2020. Retrieved
and Applied Scientific Research, pp. 12847-12855. from:https://www.statista.com/statistics/663464/alibab
a-cumulative-active-mobile-users-taobao-tmall/
Goldsmith, E.B. (2015). Social Influence and
Sustainable Consumption. Springer International Malhotra, N.K. (2004), Marketing research: an applied
Publishing. orientation. (4th E.D.) New Jersay: Prentice Hall

Han, F. & Li, B. (2019, Dec 25). Exploring the effect of Mamoun, N. & Mutaz, M. (2015). An integrated model
an enhanced e-commerce institutional mechanism on of factors affecting consumer attitudes towards online
online shopping intention in the context of e-commerce shopping. Journal of Business Process Management,
poverty alleviation. Retrieved from Journal of Emerald pp. 1353-137.

357

Au Virtual International Conference 2020
Entrepreneurship and Sustainability in the Digital Era

Assumption University of Thailand
October 30, 2020
Co-hosted by

Martin, S. & Camarero, C. (2009). How perceived risk Saunders, M., Thornhill, A. & Lewis, P. (2009).
affects online buying. Online Information Review, pp. Research Methods for Business. New Jersey: Prentice
629-654. Hall.

Mohamed, N., Hussein, R., Zamzuri, A. & Haghshenas, Teo, T. & Milutinovic, V. (2015). Modelling the
H. (2014). Insights into individual’s online shopping intention to use technology for teaching mathematics
continuance intention. Industrial Management & Data among pre-service. Australasian Journal of
Educational Technology, pp. 363-380.
Systems. Vol. 114 No. 9, pp. 1453-1476.
Tirtayani, AI.G. & Sukaatmadja, GI.P. (2018). The
Mohan, G., Sivakumaran, B. & Sharma, P. (2013). effect of perceived website quality, e-satisfaction, and e
Impact of store environment on impulse buying -trust towards online repurchase intention. International
behavior. European Journal of Marketing, pp. 1711– Journal of Economics, Commerce and Management,
1732. pp. 262-287.

Mullet, & Gary, M. (1983). Itemized Rating Scales: Venkatesh, V. & Davis, D.F. (2000). A theoretical
Ordinal or Interval? European Research, pp. 49–52. extension of the technology acceptance. Management
Science, pp. 184-204.
Ong, H.C, & Lai, Y.J. (2006). Gender differences in
perceptions and relationships among. Computers in Venkatesh, V., Morris, G.M, & Davis, B.G. (2003).
Human Behavior, pp.816-829. User acceptance of information technology: toward a
unified view. MIS Quarterly, pp. 425-478.
Park, J., Amendah, E., Lee, Y. & Hyun, H. (2019). M‐
payment service: Interplay of perceived risk, benefit, Venkatesh, V., Thong, Y.J, & Xu, X. (2012). Consumer
and trust in service adoption. Human Factors and Acceptance and Use of Information Technology:
Ergonomics in Manufacturing & Service Industries, pp. Extending the Unified Theory. MIS Q., pp. 157–178.
31-43.
Zikmund. (2003). Business Research Methods. Mason
Park, N., Rhoads, M., Hou, J. & Lee, M.K. (2014). . OH: Dryden Press.
Understanding the acceptance of teleconferencing
systems among employees: An extension of the. Zikmund, G.W., Babin, J.B., Carr, C.J, & Griffin, M.
Computers in Human Behavior, pp. 118-127. (2009). Business Research Methods. USA: South-
Western College Publishing.
Reichheld, F.F. & Schefter, P. (2000). E-loyalty: your
secret weapon on the web. Harvard Business Review,
pp.105-13.

Salo, J. & Karjaluoto, H. (2007). A conceptual model of
trust in the online environment. Online Information
Review, pp. 604-21.

358

Au Virtual International Conference 2020
Entrepreneurship and Sustainability in the Digital Era

Assumption University of Thailand
October 30, 2020
Co-hosted by

A Study of Customer’s Satisfaction towards Boots Pharmacy

in Thailand

Na Shi1, Preecha Methavasaraphak2
Master of Business Administration,

Graduate School of Business Assumption University
E-mail: [email protected], E-mail: [email protected]

ABSTRACT
The research aims to identify the factors that affect customer's satisfaction with Boots Pharmacy
and increase the company's profits, customers, and market share. In Thailand, Retailpharmacies are
adapting to a competitive market as domestic and foreign competitors seek moremarket share, and
customers can easily switch between different pharmacies to buy drugs. Thisresearch will help Boots
pharmacy understand more about the factors that affect customer satisfaction, to improve their
business strategy planning and practice, gain more favorable comments and affection from
customers, and build customer loyalty. Besides, the study can serve as a suggestion to improve the
company's performance, beat competitors, and gain more market share. So, the quantitative
questionnaires were conducted and also distributed 400 setsof questionnaires to the people who
have purchased drugs in the Boots pharmacy chain in Thailand. The descriptive analysis and
multiple linear regression were used to confirm the results. A study of factors that affect customer's
satisfaction with Boots Pharmacy includes convenience, price, product quality, and service quality.
The result affirmed that all the factorsare an effect on customer's satisfaction with Boots Pharmacy,
among them, convenience is the highest effect and price is the lowest effect on customer's
satisfaction with Boots Pharmacy.

KEYWORDS: Boots Pharmacy, Customer's satisfaction, Convenience, Price, ProductQuality,
and Service quality.

359

Au Virtual International Conference 2020
Entrepreneurship and Sustainability in the Digital Era

Assumption University of Thailand
October 30, 2020
Co-hosted by

Introduction of-mouth publicity, thus affecting the business
According to a Commerce Ministry report, the strategy and interests of enterprises. Therefore,
number of registrations in Thailand's pharmacy customer satisfaction is the key to a successful
and medical supplies businesses has been growing business (Molina, Consuegra &Esteban,
steadily from 2015 to 2017. In 2017 alone, 1,171 2009:262)

new pharmacies and medical supplies businesses By 2019, Thailand has about 1,000 state
were registered. In 2016, the pharmacy and hospitals and at least 15,000 pharmacies—
medical supplies business in Thailand generated Bangkok has more than 48,000, in addition to
500 billion baht in total revenue. It representsan Boots, Watson,Fascino, Extra Plus Pharmacy,
increase of more than 70 percent over 2012 Tsuruta, LAB Pharmacy, and other large chain
revenues of about bt280bn. More than 50% of pharmacies, there are also many independent
pharmacies and medical supply businesses are pharmacies, as well as the pharmacy in most
located in Bangkok,equivalent to 4,598 businesses. supermarkets. Among them, Boots pharmacy

At present, to cope with the increasing economic was the first to obtain the ministry of public
cost and time cost of hospital treatment, more and health in Thailand 100% certified pharmacy
more people with non-critical diseases tend to go chains, currently in Thailand for a total of293
to local pharmacies for advice and medicines. Boots.

Retail pharmacies are an important segment of Walgreens Boots Alliance has evolved into a
healthcare services and target a wide range of global leader in retail and wholesale pharmacies
customers. In addition to their responsibility to with over 100 years of trusted medical tradition
distribute medicines to the general public, and innovation, with its unique businesssuccess,
pharmacies play an important role as a reliable the business in a single location
channel of health care for thecommunity. For Thai

pharmacists, it doesn't matter whether they work is a blend of pharmacy, retail andwholesale as well

in a franchise of an international retail brand or run as the unique product mix, Boots not only involves

their pharmacy. In addition to understanding the the dispensing medicines, healthcare involves

safety and effectiveness of drugs, professional providing expert advice to customers, and ensure

responsibilities also need to make judgments and that they are in a convenient place for them to

recommend the most appropriate drugs according obtain the highest quality of service, the goal of the

to the symptoms of patients, to meet the needs of Boots is to become the first choice for health care,

customers, and maximize sales. in a new way and real convenience for clients to

provide professional quality services.

Community pharmacy constitutes an important

member of the new medical Retail pharmacies in Thailand are adapting to a

and health service system. Among them, highly competitive market, with domestic and
pharmaceutical care is an important part of foreign competitors seeking more market share.
modern medical and health careworkers, so it is Boots needs to make sure that its business strategy
particularly necessary to determine customer is customer-centric and satisfy them. Repeat
satisfaction with the drug service, help the customers not only provide a steady stream of
pharmacy to develop marketing strategy revenue but also generate positive word of mouth
direction, improve quality management and and newcustomers. Good customer satisfactionand
long- term survival ability. Satisfaction is a constructive feedback can win word of mouth,
person's assessment of the degree to which a improve customer retention, and achieve customer
product or service provides consumption-related repurchase. Therefore, customer satisfaction and
pleasure. Satisfaction refers to the emotional loyalty play a key role in the long-term
reactions of customers, which are used to development of the pharmacy sales business. For
"evaluate" products or services. Customer Boots to become people's first choice, it is essential
satisfaction affects customerloyalty and word- to improve and maintain quality service and

360

Au Virtual International Conference 2020
Entrepreneurship and Sustainability in the Digital Era

Assumption University of Thailand
October 30, 2020
Co-hosted by

customer satisfaction, which will help ensure dissatisfaction are ends of a continuum whose
continued growth and attract them to thebusiness. positions are defined by a comparison between
Besides, due to the increasing number of studies on expectations and results. If the result of the service
patient satisfactionin recent years, relevant review is as expected, the customer will be satisfied. When
studies need to be updated to obtain a new service quality exceeds expectations, service
perspective on the relationship. between providers win satisfied customers (Dehghan,
professional and high-quality pharmacy services Zenouzi, and Albadvi, 2012:4). Dissatisfaction
and customer satisfaction. arises when the overallservice level is considered
to be below standards. Yi and La (2004:362) define
Objectives customer satisfaction as two general concepts:
cumulative satisfaction and transaction-specific
The objective of the research is to identify the
factors that affect customer's satisfaction with satisfaction. Cumulative
Boots Pharmacy and increase the company's satisfaction refers to the customer's cumulative
profits, customers,and market share. assessment of purchase experience to date.
Transaction-specific satisfaction is the measure of
Scope of the Research thecustomer's experience and response to a specific
service. Besides, customersatisfaction can also be
The target interviewees of this study willbe those seen as a continuous measurement of the capacity
who have purchased drugs in theBoots pharmacy of a business to offer the benefits that customers
chain in Thailand. The research is to investigate require. Satisfaction is likely to be
the customer’s satisfaction with the Boots multidimensional and dependent onall interactions
pharmacy in Thailand. and familiarity with a specific service provider.
Mainly, satisfaction is classified as the assessment
Literature Review of experience (Ekinci, 2004:202) Customer
satisfaction is basedon the cognitive and emotional
Customer satisfaction assessment of the customer's personal experience
of all services within the relationship. (Vibha,
Kotler and Armstrong (2010:33) put forward Ravichandran, and Jain, 2011:22).
that customer satisfaction refers to generating
value for clients, anticipating and managing In a word, customer satisfaction is the key to the
client desires,and representing the capacity and successful operation of an enterprise and affects
obligation to fulfill customer needs.Customers its business
need a satisfactory supply of goods and services.
What companies need to do is meet or surpass strategy. Customer satisfaction is the
the value expectations of their customers. To
achieve customer satisfaction, it is important to intermediary between customer loyalty,
identify and anticipate customer needs and to be
able to satisfy them. Can quickly understand and relationship interests, and word of mouth
meet customer needs, which can help enterprises
to obtain greater profits (Molina, Consuegra and publicity (Molina, Consuegra and Esteban,
Esteban, 2009:260). Valdani (2009:163) finds
outthat there are businesses and they have clients 2009:262). Retailers operate in a competitive
to represent. Service quality and customer
loyalty are crucial factors for customer retention climate, confronted with shifts in customer
and competitiveadvantage.
demand, demographics, technological

developments, and retail ownership through

mergers and acquisitions. Understanding and

predicting customer satisfaction is increasingly

becoming a competitive advantage in such an

environment. (Theoridis and Chatzipanagiotou,

Customer satisfaction is a pleasant satisfaction 2009: 725). The aim of business operations

reaction, while should therefore be to satisfy the needs of

dissatisfaction is an unpleasant satisfaction customers more efficiently than rivals.

reaction (Battelle, 2004:212). Satisfaction and

361

Au Virtual International Conference 2020
Entrepreneurship and Sustainability in the Digital Era

Assumption University of Thailand
October 30, 2020
Co-hosted by

SERVQUAL Model Marketing is a series of measures that offer value,
can be recognized by customers, can establish
SERVQUAL is by far the most widely used relationships with customers, and can bring
service quality measurement tool (Dehghan, benefits to the company. (Armstrong & Kotler,
Zenouzi, and Albadvi, 2012:5). The core of 2011). In 1965, Borden first proposed theconcept of
customer satisfaction theory is customer a marketing mix, whichconsists of 12 elements:
expectation or prediction of actually delivered product, pricing, promotion, planning, display,
value (Parasuraman, Zeithaml, and Berry, branding, distribution channels, personnel sales,
1993:141). This means that customer satisfaction packaging, physical processing, advertising,
should be measured. Carrillo, Jaramillo, and services, and fact-finding
Mulki(2009:97) propose that good service
quality can increase customer satisfaction, such and analysis. And then, Borden recombined
that the SERVQUAL model provides a these 12 elements into four elements, namely
framework for assessing customer satisfaction product, place, price, and Promotion, to reach the
with goods or services by analyzing and target market(Goi, 2009). The four elements of
comparing perceptions and expectations of the marketing mix are interrelated and affect
several different service characteristics. each other, and the marketing mix (4Ps) can
affect customer satisfaction. Moreover, Bay,
Parasuraman, Zeithaml, and Berry summarized Petrizzi, and Gill (2008)Confirmed that when a
97 factors affecting service quality into five company appliesa marketing mix to its business,
dimensions, namely, tangibles, reliability, it will greatly boost its revenue and profits, to
assurance, empathy,and responsiveness (Javadi reach its marketing level. A clear understanding
and Gol,2011:119). SERVQUAL consists of 22 and application of marketing mix elements affect
sets of questions: one for each set is to ask future and current customers to become loyal
customers to describe their expectations, the customers by increasing customer satisfaction.
other to ask for their opinions. SERVQUAL was In this context, the retail pharmacy industry can
used to delete the predicted score from the use marketing mix elements to gain competitive
perceived score and the result was used as one advantages in the same industry, thusincreasing
of the 22 measurement elements. (Zhao, Bai, profits and expanding the market share of chain
and Hui, 2002:243). The model can be used pharmacies.
three or four times a year in an organization to
measure its service quality over various periods. Convenience
andpredict the likely response by understanding
the difference between perceived and actual Convenience is referred to as the ability to
service. Sulieman(2013) found that the basic minimize non-monetary customer costs (i.e.
dimensions of the SERVQUAL model had an time, energy, and effort) whenbuying or using
impact on different levels of customer products and services (Chang & Polonsky,
satisfaction. The study suggeststhat we should 2012). Convenienceincludes location, hours of
conduct research on customer behavior, predict operation, speed of service, privacy, availability
customer expectations, and continuously of medications, etc. Convenience is seen asan
improve customer service to ensure better important prerequisite for increased customer
service delivery. The SERVQUAL model is flow, as a strategic location andlonger hours of
designed specifically for service and retail operation enable more customers to be the first
companies by understanding how customers choice when purchasing drugs. Convenience
evaluate the services offered to them. Thus, makes the customer feel at ease in the purchase
plays a vital role in profitability. process. The ability to provide customers with
everything they want will help buildan effective
Marketing Mix purchasing journey and improve customer
satisfaction in the

current and long-term running time (Ahmad,

362

Au Virtual International Conference 2020
Entrepreneurship and Sustainability in the Digital Era

Assumption University of Thailand
October 30, 2020
Co-hosted by

2012). Therefore, convenience has become one of The results of previous studies explained that
the most important factors affecting customer price is the main influencing factor when
satisfaction (Dennis et al., 2005; Kim et al., 2005). customers make a purchasing decision. And
Ayub and Mustafa (2017) defined that the most
The results from the research (Jayaprakash, Rajan significant considerations for customer
and Shivam, 2009) showed that convenient satisfaction with retail pharmacies include
location had a significant impact on overall convenient location and priceconcessions and
satisfaction with pharmacy services. While Ayub discounts Moreover, the results from the
and Mustafa (2017) defined that the most research (Keeratibumrungphong, 2016) showed
significant factors for customersatisfaction at retail that the factors of price and promotion have a
pharmacies include convenience convenient great impact on customer satisfaction. The
location and price concessions and discounts. pharmacy owners should compare prices with
Sholihatand Thavorncharoensap (2014) found that other stores and launch new promotions to
customer satisfaction with community pharmacy attract customers. Moreover, Bonnal(2014)
was mainly reflected in two aspects: convenience found that in terms of product quality andprice, it
and pharmacists. Moreover, the research is the most basic satisfaction for Bulgarian
(Shaharuddin, Zamaludin, Hashim, Ha, di and pharmacy customers.Therefore, the price factor
Ming, 2015) indicated that theprimary criteria for is an important factor to measure customer
selecting a pharmacywere the convenient location. satisfaction with the pharmacyProduct Quality
Hence, thefactors influencing the satisfaction of
customers to the pharmacy include convenience. Product quality means integrating features that can
fulfill customer expectations and to satisfy
Price customers by developing goods and making them
free from any deficiencies or defects. (Dr.Joseph
Price refers to the amount of payment or Juran, 2013). From the customer's perspective,
compensation received by one party to another in quality can be described as aperceived quality based
exchange for one unit of goods or services on the customer's judgment on the superiority or
(Schindler & Robert M., 2012). Prices are excellence of the product. (Zeithaml, 1988).
influenced by both the cost of production and the Companies should focus first on the products they
demand for the product. Prices can be set by a sell and their impact on customer satisfaction, and
monopolist or can be influenced by market then on their profits. Moreover, in the long run, the
conditions. From the customer's point of view, relationship between product quality andcustomer
customers do notnecessarily buy the best quality satisfaction positively affects the profitability of
productsor services, but by the products or services enterprises through the purchase of high-quality
that give them the best happiness products by customers (Cooil,2007). The above
definition shows that the degree to which
or health. From the perspective of possible requirements of customers over are met determines
demand, customer satisfactioncomes from the customer satisfaction, and the degree to which
price and the inherent consistency of the goods. requirements of the customer are met becomes
(Esaki, 2013). Quelch and Klein (1996) found product quality's degree. Every pharmacy should
that the Internet was easy to search and compare therefore strive to achieve its products' best quality
different prices, which would lead to price wars. level to meet the expectationsof customers. Based
Therefore, when comparing the two sellers, on the brand reputation of cooperative drug
customers will choose tobuy cheaper products. suppliers, drug quality supervision, including
Therefore,enterprises should cater to customers' regular channel purchase, strict control ofstorage
perception of price by providing reasonable, conditions, drug expirationperiod management, as
attractive, and low prices on the premise of not well asmaintaining the diversity of drug types, can
reducing quality, to exceed their expectations of meet the needs of most customers.
products and improve customer satisfaction
(Malik et al., 2012).

363

Au Virtual International Conference 2020
Entrepreneurship and Sustainability in the Digital Era

Assumption University of Thailand
October 30, 2020
Co-hosted by

The results from the research (Sholihat and extent to which the
Thavorncharoensap, 2014) found that significant
relationships betweencustomer satisfaction and the service meets their standards. with retail
product quality and convenient location of pharmacies. This means that pharmacies must
pharmacies. While Adat (2013) strive to be efficient and able to provide
competitive services to meet customer satisfaction
mentioned that Pharmacies should increase and customer value perception, to maintain long-
customer satisfaction by stocking high-quality term loyalty,and bring long-term benefits to the
products and service quality. Moreover, enterprise.
Bonnal(2014) found that in terms of product
quality andprice, it is the most basic satisfaction The results from the research (Wirth, Tabone,
for Bulgarian pharmacy customers. Thereby,the Azzopardi, Gauci, Adami, and Inglott, 2018)
factors influencing the satisfaction ofcustomers indicated that the customers prefer satisfaction
to the pharmacy include product quality. with the professional services provided by
pharmacists in pharmacies. Another research by
Service Quality Mináriková, Malovecká and Foltán (2014) showed
that Meeting customers' expectations on the
Service quality refers to the degree of being able servicequality of pharmacists will help improve
to meet the customers’ expectations and to customer satisfaction and eventually impact the
determine their needs and wants (Edvardsson, operation of community pharmacies and
1998). Chin (2010:32) defines the quality of healthcare systems. Also, Guhl, Blankart, and
service broadly as a global decision or mindset Stargardt(2019) claimed that customer satisfaction
referring to the superiority or excellence of is positively correlated with the
service. Service quality is defined as the
comparison of perceived expectations and professional service provided by pharmacists,
perceived performance. Parasuraman et al., which can effectively improve pharmacy
1988). Service quality affects customers at participation and customer loyalty. Moreover,
different levels through tangible, reliability, the research by Saini and Armour (2009)
responsiveness, assurance, empathy, and other indicated that customer satisfaction is related to
factors.Parasuraman, Zeitham,l, the quality of comprehensive service,
intervention service, and cognitive service of
and Berry(1988:17) pharmacy.as the same of the research by Bastos
identified the perceived quality of services as the (2008) found that the evidence in the study
degree and direction of difference between shows that Service quality influences
customer perception and expectation, and satisfaction, while satisfaction significantly
defined service quality as providing excellent or influences positive behavioral intention. while
excellent services related to customer Tien (2019) indicated that the empirical results
expectation. Service quality is the concept for show that professional and high-quality service
services products but this study was applied to of pharmacists will significantly affect customer
retail pharmacy stores which both the products satisfaction and trust, and thus affect customer
and services, So the Service quality will be loyalty to pharmacies. Therefore, it is proved
applied as one indicator toward customer that the factors of service quality have a great
satisfaction. From the above description of impact on customer satisfaction, and pharmacies
service quality, it can be inferred that the quality should pay more attention tothe professionalism
of the service is the customer'sestimation of the and humanization ofservices

Research Framework Boots Pharmacy

The conceptual framework of the factors
affecting on customer’s satisfaction towards

364

Au Virtual International Conference 2020
Entrepreneurship and Sustainability in the Digital Era

Assumption University of Thailand
October 30, 2020
Co-hosted by

Figure 1: The Research Framework

H4a: Service quality impacts on Customer’s

Research Hypotheses Satisfaction towards Boots Pharmacy in Thailand

A hypothesis is the researcher’s presumption Research Methodology

about the association between two or more In this study, non-probability sampling was

variables. There are four hypotheses which are used to study the satisfaction degreeof Thai

developed from the above conceptual framework customers to Boots Pharmacy. Convenience
and the objectives of this study are as follows: sampling is a form of non- probability

H1o: Convenience does not impact on sampling. Zikmund (2003) explores
Customer’s Satisfaction towards Boots Pharmacy "convenience sampling is theprocedure used
by the investigator to collect information to
in Thailand units or individualsaround him who are most

H1a: Convenience impacts on Customer’s helpful and accessible". Data can be obtained
Satisfaction towards Boots Pharmacy in Thailand quicklyby sampling 400 respondents who have
purchased medicine in Boots Pharmacy in

H2o: Price does not impact on Customer’s Thailand.

Satisfaction towards Boots Pharmacy in Thailand Also, quantitative methods are used to collect

H2a: Price impacts on Customer’s Satisfaction first-hand data. Firstly, the researcher
towards BootsPharmacy in Thailand developed a questionnaire, in the form of a
Google questionnaire, and then distributed it

H3o: Product quality does not impact on through the LINE and WeChat group for an
Customer’s Satisfaction towardsBoots Pharmacy online survey. In this study, a five-point Likert
scale was used to measure the survey. The
in Thailand scale ranged from very disagree to very agree:

H3a: Product quality impacts on Customer’s very disagree = 1, disagree = 2, neutral =3,
Satisfaction towardsBoots Pharmacy in agree = 4, strongly agree = 5.Cronbach's Alpha
Thailand was used for the SPSSreliability test. Secondly,
the demographic data of the respondents are

H4o: Service quality does not impact on analyzed and interpreted through descriptive
Customer’s Satisfaction towards Boots Pharmacy analysis. Thirdly, correlationanalysis is used to
study the causal relationship between
in Thailand dependent variablesand independent variables

and inferstatistics. Correlation analysis of two

365

Au Virtual International Conference 2020
Entrepreneurship and Sustainability in the Digital Era

Assumption University of Thailand
October 30, 2020
Co-hosted by

hypotheses and multiple linear regressionwere secondary data studies to support a large
used to determine whether independent amount of evidence
variables had a statistically significant effect on .
dependent variables.Besides, this study used

The Results of Reliability From the result, 117 respondents (29.3%)had a
Table 1: The value of the reliability analysis monthly individual income of 15,001-30,000
baht, followed by 107
From table 1, the result showed that the pretest (26.8%) respondents with 30,001-50,000baht a
analysis in each variable which consist of month. The monthly income of 83respondents
Customer’s satisfaction of Boots Pharmacy in (20.8%) was Less than 15,000 Baht and 71
Thailand, Convenience, Price, Product Quality, respondents (17.8%)was 50,001-100,000 baht.
andService Quality. Cronbach's Alpha was used The lowest proportion of respondents with a
to check the reliability of each variable before monthly income of More than 100,000 Baht
collecting the real 400 respondents. Therefore, was 22 (5.5%).
the 30 samples are to collect data for prediction
tests, identify errors, and assess the scale of Then, according to the statistics of the
questionnaire quality. The reliability testfor each frequency of visiting Boots pharmacy,most of
variable consists of 4 questions,testing a total of the customers visit Boots Pharmacy 1-3
20 questions. The relationship and significance of times a year, 110
all variables in this study Cronbach's Alpha respondents (27.5%), and 4-6 times a
exceeded 0.8, which makes it acceptable,and in year, 105 respondents (26.3%), followed
fact, they are acceptable excellentmeasures due to by 75 respondents (18.8%) of the
their range of 0.7 to 0.9 (Jiradilok, Malisuwan, customers 7-9 times a year, 57
Madan, &Sivaraks, 2014). Therefore, a thorough respondents (14.2%) and 53 respondents
investigation of these factors is reliable. (13.2%) for those less than once a year and
more than 10 times a year.In this study,
Results of the Study multiple linear regression (MLR) was used to
analyze the causal relationship between
The collected samples consist of 65.50% independent variables and dependent
(262) of females that is the highest percentage and variables. The independent variable is
34.50% (138) of males. In terms of education convenience,
level, 56.5% (226) of
price, product quality, and service quality,while
the respondents have a bachelor's degree,26% the dependent variable is customer’s
(104) has a master's degree or higher,and 17.5%
(70) have a high school degree or lower.

366

Au Virtual International Conference 2020
Entrepreneurship and Sustainability in the Digital Era

Assumption University of Thailand
October 30, 2020
Co-hosted by

satisfaction towards Boots Pharmacy.
Table 2: Model Summary from Multiple Regression Analysis

Based on table 2, the R at .80 was a positive correlation. If calculating the strength of the relationship (R
Square), itwas equal to .64. The adjusted R-
square’s value was equal to 0.64 which means 64% of customers’ satisfaction was influenced by service
quality, product quality, price, and convenience.
Table 3: Hypotheses Testing Result

367

Au Virtual International Conference 2020
Entrepreneurship and Sustainability in the Digital Era

Assumption University of Thailand
October 30, 2020
Co-hosted by

According to the result, the researcher found that money to get betterand faster remission of diseases.
the significant values of the four variables were all However, on the premise of ensuring product
less than 0.05, indicating that convenience, price, quality, reducing product price, and improving cost
product quality, and service quality all had performance through promotional activities will
statistically significant effects on customer’s still improve customer satisfaction. The result can
satisfaction with Boots Pharmacy. support the previous research of
(Keeratibumrungphong, 2016) which proved that
Conclusion the factors of price and promotion have a great
impact on customer satisfaction. And it is also
The basic aim of this research is to identify factors consistent with Ayub and Mustafa (2017) whose
that affect customer satisfaction with Boots study found that price promotion was positively
Pharmacy. and increase the company's profits, correlated with customers' satisfaction with retail
customers, and market share. The SERVQUAL pharmacies.Moreover, Bonnal(2014) found that in
model has been related to customer’s satisfaction terms of price, it is the most basic satisfaction for
towards Boots Pharmacy. Similar to the previous Bulgarian pharmacy customers.
review, referring to the result that there was
convenience, price, product quality, and service According to the analysis of the researchresults,
quality that had led to customer’s satisfaction product quality is regarded as a very important
towards Boots Pharmacy. factor affecting customer satisfaction, In the
customer's mind, pharmacy and pharmaceutical
From the analysis of the research results,it can be manufacturers brands also indirectly reflected the
seen that convenience is the most significant factor product quality assurance, because the drug is
affecting customer satisfaction at Boots Pharmacy. about life and health,so, first of all, make sure you
The distance traveled, the convenience ofparking, buy medicine is standard, effective and high safety.
and the hours of business are allfactors to consider. The result supports the previousresearchers such
However, this study does not further explore as Adat (2013) found that Pharmacies should
consumers' understanding of the convenience of increase customer satisfaction by stocking high-
geographical location, such as in theircommunities, quality products. And it is also consistent with
shopping centers, or hospitals. Analysis of Sholihat and Thavorncharoensap (2014) found that
previous studies has also been supported by the significant relationships between customer
corresponding conclusions. The researchby Ayub satisfaction and product quality. Moreover, Bonnal
and Mustafa (2017) which defined that the most (2014) found that product quality is the most basic
significant considerations for customer satisfaction satisfaction for Bulgarian pharmacy customers.
in retail pharmacies include conveniencelocation.
as well as the research by Sholihat and The operation of drugstores is a service industry, so
Thavorncharoensap (2014) as shown by the analysisresults of this study, service
quality is one of the factors affecting customer
which shows customer satisfaction with satisfaction. Customer satisfaction on the service
community pharmacy was mainly reflected in quality of drugstores is not only based on the
convenience. Moreover, the research professional ability of pharmacists but also depends
(Shaharuddin, Zamaludin, Hashim, Hadi, and on the communication skills of pharmacists. And the
Ming, 2015) suggested that the primary criteria care and patient service shown by the staff will also
for selecting a pharmacy were the convenient create a positive word of mouth for the pharmacy,
location. thus increasing customer loyalty. the research
supports the previous researchers by Saini and
Interestingly, the research shows that theprice of Armour(2009) indicated thatcustomer satisfaction is
a product ranks lasts among the four variables; It linked to the quality of comprehensive service,
shows that people are willing to spend more intervention service, and cognitive service of
pharmacy. Also, Guhl, Blankart, and Stargardt(2019)

368

Au Virtual International Conference 2020
Entrepreneurship and Sustainability in the Digital Era

Assumption University of Thailand
October 30, 2020
Co-hosted by

claimed that customer satisfaction is positively with guaranteed quality, strengthen safe storage
correlated with the professional service provided by management, prevent contamination of drug
pharmacists, which can effectively improve inventory, make sure the drug has a good expiration
pharmacy participation and customer loyalty. date, and the integrity of drug packaging. Increase
Moreover, the results from the research (Wirth, customer trust and enhance the brand value.
Tabone, Azzopardi, Gauci, Adami, and Inglott,
2018) indicated that the customers prefer The third factor is service quality, Boots Pharmacy
satisfaction with theprofessional services provided should focus on delivering professional customer
bypharmacists in pharmacies. support to build a better customer experience by
providing different and creative medical services to
Recommendation motivate customers to choose their pharmacy.
The results of this study will help Boots Especially drugstore pharmacist brings customers to
Pharmacy to identify the factors that affect buy medicine professional guidance service is
customer satisfaction, and help them develop especially important, therefore, Boots
new strategies that are suitable for customers,
improve their competitiveness, and win more Pharmacy should invest more in the recruitment of
customers and market share in the highly trained pharmacists able to provide excellent
competitive retail pharmacy market inThailand, pharmaceutical care; tothem regularly in the field
thus bringing more profits. It was found that of medicine and customer service training, reward
convenience, price, product quality, and service and promotion incentive to better service for
quality all affected customer’s satisfaction with customers, followed by all staff concern for
Boots Pharmacy. customer inquiries, patient answer, and humanized
service is neededto optimize the dimension.
Therefore, the first factor to be considered is
convenience, which can be optimized in many The fourth factor that needs to be paid attention to
aspects. First of all, the site selection for new is the price. The price ofBoots Pharmacy needs to
pharmacies must be easy to reach, have good be improved tosome extent, such as adjusting the
parkingfacilities, and have convenient business product price, increasing promotional activities for
hours, to minimize the consumption of customers' members, and improvingthe cost performance, to
time and energy in the purchasing process. The make Boots more competitive with other retail
second is to ensure that pharmacies sell a pharmacies.
complete variety of drugs, variety, convenient for
patients to buy the drugs they need for the first References
time, reduce the customer turnover rate. Thirdly,
the layout of drugstoresshould be improved. Drug Adat, N. (2013). Customer Satisfaction at A Selected
classification should be clear and reasonable so
that customers can quickly find the drugs they Retail Pharmacy Chain in The Greater Durban Area.
need. Finally, simplify the paymentprocess and
increase convenience. Retrieved from:

The second factor is product quality. Drugs are https://ir.dut.ac.za/bitstream/10321/
special products for curing diseases and saving
lives. Therefore, customers are particularly 994/1/ADAT_2013.pdf
concerned about the quality and safety of the
drugs they buy and tend to buy them from Ayub & Mustafa, M. (2017). Consumer Buying
pharmacies with guaranteed quality. Therefore, Behavior of Retail Pharmacy Industry with Special
Boots Pharmacy should pay References to Delhi and Ncr. Retrieved from:
http://researchersworld.com/ijms/vo
attention to drug quality supervision, including: l4/specialissue2/Paper_01.pdf
cooperate with brand pharmaceutical companies
Bastos, J.A.R. (2008). Pharmacies Customer
Satisfaction and Loyalty – A Framework Analysis.
Retrievedfrom:

https://www.researchgate.net/publication/24110573

369

Au Virtual International Conference 2020
Entrepreneurship and Sustainability in the Digital Era

Assumption University of Thailand
October 30, 2020
Co-hosted by

Bonnal, L. (2014). Elements ofPharmacy Service Vicente, T., Ribeiro, M.I.B.& Pinto, I.C.J.F.
and Satisfaction: Patient Versus Consumer. (2014).
Journal of Applied Business Research · March Users Satisfaction Regarding the
2014. DOI: 10.19030/jabr.v
30i2.8419 Service Provided in Community Pharmacies.
Pharmacology and Pharmacy 2(2): 18-29, 2014.
Guhl, D., Blankart, K.E. & Stargardt, T. (2019). DOI: 10.13189/app.2014.020202
Service quality and perceived customer value in
community pharmacies. Health Services Saini, B.& Armour, C.L. (2009). Measurement of
Management Research 2019, Vol. 32(1) 36–48. patient satisfaction with community pharmacy
DOI: services: a review. Pharm World Sci (2009)
10.1177/0951484818761730 31:525–537. DOI: 10.1007/s11096-
009-9311-2

Shaharuddin, S., Zamaludin, A., Hashim,R., Hadi,

Jayaprakash G., Rajan, M.L.& Shivam P.(2009) M.A. & Ming, L.C. (2015).
Consumer views ofcommunity pharmacy
services in Bangalore city, India. Pharmacy Assessing Consumer Preferenceusing Community
Practice (Internet) 2009 Jul- Sep;7(3):157-162.
PharmacyPreference Evaluation

Questionnaire, Tropical Journal of Pharmaceutical

Research July 2015;14 (7): 1299-1303

Keeratibumrungphong, P. (2016). Customers’ Sholihat, N.& Thavorncharoensap, M. (2014).

Satisfaction ofDrugstore’ Service in Muang District Patient Satisfaction Towards Community

of Rayong Province.Retrieved from: Pharmacy: A Systematic Review.

http://digital_collect.lib.buu.ac.th/d Retrieved from:

cms/files/56740017.pdf https://www.researchgate.net/public

Mináriková, D., Malovecká, I.& Foltán, ation/316470969

V. (2015). Consumer satisfaction with Tien, D.L. (2019). Pharmacist’s Interaction
pharmaceutical care in Slovak community Behavior and Consumer Loyalty: The Mediating
pharmacies Spokojnosť klientov lekární s Role of Consumer Trust and Satisfaction. The
lekárenskou starostlivosťou na Slovensku, Acta Journal of Behavioral Science 2019, Vol. 14, Issue
Fac. Pharm. Univ. Comen. LXII,2015 (1): 25-30. 3, 1-13
DOI: 10.2478/afpuc-2014-0015

Mináriková D., Malovecká I.& Foltán V. (2014). Wirth, F., Tabone, F., Azzopardi, L.M., Gauci,
M., Adami, M.Z. & Inglott,
Patient / Customer Satisfaction with A.S. (2018). Consumer perceptionof the
community pharmacist and community
Pharmaceutical Care in Community Pharmacies. pharmacy services in Maltajp, DOI
10.1111/j.1759- 8893.2010.00034.x ISSN 1759-
Retrieved from: 8885

https://www.researchgate.net/public

ation/274081068

Nitadpakorn, S., Farris, K.B.& Kittisopee, T.
(2017). Factors affecting pharmacy engagement
and pharmacy customer devotion in community
pharmacy: A structural equation modeling
approach. Pharmacy Practice 2017 Jul-
Sep;15(3):999.

Pinto, A.R., Machado, A., Gonçalves, E.,Salsas, L.,

370

Au Virtual International Conference 2020
Entrepreneurship and Sustainability in the Digital Era

Assumption University of Thailand
October 30, 2020
Co-hosted by

Perceived Impact of The Population on The Khlong Thai Project

Sujira Vuthisopon1, Amnuay Saengnoree2

King Mongkut's Institute of Technology Ladkrabang, Thailand
*Corresponding author. E-mail: [email protected]

Abstract

The objectives of this research were 1) to conduct the analysis of the needs of the Khlong Thai Excavation
in the five southern provinces involved in the operation. 2) to study the impact on various areas of the
Khlong Thai Excavation Project in the five southern provinces by collecting questionnaires from people,
measured by educational level, occupation, income and residential area. The sample group used in the
research was people domiciled in 5 southern provinces, namely Krabi, Phatthalung, Songkhla, Trang and
Nakhon Si Thammarat. The sample size in each province was 200 samples, totaling 1,000 samples. The
researcher used questionnaires for collecting and quantitative data. The results of the research found that
the study of the perceived impact of the population on the Khlong Thai excavation and various impacts
on the Khlong Thai project operation area in the five southern provinces were 1) The cognitive factor
had the highest Beta coefficient or equal to 0.1909, followed by 2) Income variables 3) Age variables
and 4) Environmental factors, respectively. All of them were statistically significant at a level of 0.01.
Moreover, 5) Social factors and 6) The economic factor was statistically significant at the 0.05 level and
the R square value of 0.078, with statistical significance at the 0.01 level. This showed that the
independent variables had 7.8% influence on project demand assessment.

Keywords: Khlong Thai, economy, politics, society

Introduction southern region directly, which will reduce the
problem of unemployment and solve the
The idea of digging a canal to connect the two problem of poverty. When the economic and
coasts of Thailand between the Andaman coast social status improves, it will increase the
and the Gulf of Thailand had been initiated for national security as well. Therefore, excavating
327 years from the Ayutthaya period during the the Khlong Thai should be a sustainable solution
reign of King Narai the Great. The main reason and benefit the country in every way. The
for this was to shorten the distance of both coasts obvious aspects are transport, trade, agriculture,
and to trade with foreign countries. From industry, port, tourism, etc., which will develop
summarizing the feasibility report of the Khlong the country to prosper in the long term and
Thai Project, if it is completed, it will benefit the forever (Extraordinary Commission to Study the
economy, society, politics, security and Feasibility of the Senate Isthmus Project, 2005).
technology, which will be the key for Thailand It was found that the people saw that Thailand
to play an important economic role at the global would be benefitted in terms of economy the
level and to be the new international shipping most, followed by a shorter period of sea
route of the world. This will help the transportation, resulting in the benefit of the
development of Thailand, especially as the boat tax via the Kra Isthmus and creating a new
economic and social development of the
371

Au Virtual International Conference 2020
Entrepreneurship and Sustainability in the Digital Era

Assumption University of Thailand
October 30, 2020
Co-hosted by

tourism area of the country (Wiwat disadvantages are environmental impacts,
Chankingthong et al, 2017). ecosystem changes, natural resources are
destroyed, water quality / soil quality / forest
Until 1970, the Interior Ministry hired the TAMS resources change. 3) Security: People on Route
9A believe that if the Khlong Thai takes place,
company (Tippetts-Abbett-McCarthy- the advantages are that it will provide increased
military security, and caring for the rivers,
Stratton:TAMS) to study the economic canals, water of the Navy will be more efficient
and convenient. On the other hand, the
feasibility of Kra isthmus mining and report the disadvantage is that it provides a means of
smuggling illegal things into the country and
study of the year 1973. It was found that the most may cause problems separating the territory. 4)
Social aspect: The people of Route 9A believe
suitable and possible canal line was Route 5A that if the Khlong Thai occurs, the advantage is
that it will make the people in the community
between Satun - Songkhla. But assessing the that the canal pass more jobs, improve their
livelihoods and quality of life, as well as make
feasibility of the relevant organizations and the country earn more income; while the
disadvantage is that the way of life of the
agencies, it was found that the project was not community and culture will change, there will be
immigration which affects the livelihood of the
worth to be operated. In 2001 an Extraordinary community. Tinno Kwandi (2015) wrote an
article on the topic "Kra Isthmus to the Khlong
Commission was established to study the Thai, the ASEAN Transport Center of
Thailand", by saying that the Khlong Thai will
feasibility of the project consisting of 12 routes: create more jobs for the people and make people
have a better quality of life because there will be
Routes 1, 2, 2A, 3, 3A, 3C, 4, 5, 5A, 6,7,7A. And ports, shipyards, services, tourism, hotels,
financial services and banks.
study one additional route, which is 9A
From the past study of the Khlong Thai (Kra
(Attaporn Boromsuk, 2010) and the Isthmus) excavation, many findings were made
including advantages, disadvantages of each
Extraordinary Commission approved the choice route and their impacts, and from the feasibility
assessment of the Office of the Economic
of route 9A as the most suitable route.

(Extraordinary Commission to Study the

Feasibility of the Senate Isthmus Project, 2005).

The impacts of digging the Khlong Thai are
divided into 4 areas: 1) overall economy: People
on Route 9A are of the view that if the Khlong
Thai is formed, the advantage is that it will make
Thailand a world trade center, creating a new
maritime economy in both domestic and
international maritime transport; while the
disadvantage is that digging the Khlong Thai
requires a large amount of capital, which may
result in a sluggish economy in Thailand. 2)
Environment: People on Route 9A believe that if
the Khlong Thai is formed, the advantage is that
it will improve coastal fisheries. While the

372

Au Virtual International Conference 2020
Entrepreneurship and Sustainability in the Digital Era

Assumption University of Thailand
October 30, 2020
Co-hosted by

Development Board and The National Society sources, such as shopping for newspapers,
and the Feasibility Review Committee of the choosing to listen to radio based on their
Khlong Thai concluded that there was no interests.
possibility. However, at present the situation has
changed and the Khlong Thai excavation has 2. Selective Attention: Exposure is more
been proposed again. In order to consider for likely to be interested in news from a specific
undertaking a large project, an in-depth study is source based on their interests to support the
needed, especially in the area that are Khlong existing attitude.
Thai routes by conducting surveys with people
living in the area to study public opinion on both 3. Selective Perception and Interpretation:
positive and negative impacts, pros and cons of When a person is exposed to information, not all
each route and feasibility analysis of the Khlong information is perceived by intent, experience,
Thai excavation Project. Therefore, the research belief.
team was interested in studying the impacts and
feasibility of the Khlong Thai excavation 4. Selective Retention: The person will
choose to remember the information in the part
Project. Research Objectives that is relevant to their own needs, attitudes, etc.,
and transfer them to the areas of their interest.
1. To study and analyze the needs of excavating
the Khlong Thai in the five southern provinces Impacts from the Khlong Thai excavation

2. To study the results of studies on various Various impacts of the Khlong Thai in
impacts on the implementation of the Khlong large-scale projects must be studied both positive
Thai Project in the five southern provinces. and negative. The implementation of the Khlong
Thai Project is a large project, and once it is
Literature Reviews implemented, it will have both positive and
negative impacts on Thailand. The results of
Theories of Media exposure studies on the impacts of excavation of the
Khlong Thai have been compiled in key areas
Klapper, J.T., 1960: 19-25, stated that the including environmental, economic, political,
process of choosing to receive or receive news is security, and social (Attaporn Boromsuk, 2010)
like a filter of information in human perception, with details as follows:
which consists of 4 steps of filtering in order as
follows 1) Environmental Impacts: The major
environmental impacts of the Khlong Thai are
1. Selective Exposure: It is the first step in impacts of marine ecosystems, which can be
choosing a communication channel. People are divided into 3 phases: pre-excavating phase,
exposed to media and news from a variety of excavating phase, and after-use. In addition, the

373

Au Virtual International Conference 2020
Entrepreneurship and Sustainability in the Digital Era

Assumption University of Thailand
October 30, 2020
Co-hosted by

impacts of sea water pollution when more people and opposition to the Khlong Thai project. The
live in the port area according to the full-step details are as follows
project of the Khlong Thai excavating, which is
to develop at both ends of the canal to be a port, 3.1) Politics and Support of the Khlong
community and large industrial city. It also has Thai Project: In politics, many governments in
effects on coastal marine fauna and flora, the past had different opinions about the Khlong
changes in tidal range, and the transfer of water Thai Project. Some agreed, some objected. As
masses through canals or can shorten maritime for the government that supported the Khlong
distances, saving time and money. Moreover, Thai project in the past, the project had been put
many countries will turn to the Khlong Thai. It forward to study the feasibility and impacts, but
is also a security benefit because it will give the no government had seriously supported the
Navy a higher maritime potential, the movement Khlong Thai Excavating Project because they
of the Navy will be more autonomous, reducing were not sure about the worth of investment and
patrols to prevent illegal entry along the the impact that would happen in both the short
boundaries of international waters. It also and long term.
empowers the Thai government to negotiate
economic, political and military negotiations 3.2) Politics and opposition to the
between world powers. Khlong Thai project: Most of the opposition to
the Khlong Thai Project is not from the
2) Economic Impact: A study of the government, it is mostly arose from
economic feasibility of the Khlong Thai Project organizations that believe that if the Khlong Thai
is very important because the excavating for Project is up, there will be many negative
international maritime canals requires a large impacts that are not worth the positive impacts
investment. Decisions to take any action must be that will happen. The government simply does
made prudently and in principle, taking into not support the proposal, or does not take it
account that: The Khlong Thai Project is an seriously. They are simply accepting proposals
economic infrastructure to raise the country's to study, which, in the past, the proposal for
economy from agricultural bases to modern excavating the Khlong Thai would be silent
industries. Although the project requires huge when the government was changed.
investment, but the use of capital to develop such
an economic infrastructure is a very rewarding 4) Impact on security: Most security
investment. impacts stem from racial, religious ideologies,
which can be remedied through governance,
3) Political implications: Domestic reaction administration and management. Although
by considering two political issues: Politics and separatist movements exist, secession into an
Support of the Khlong Thai Project, and politics

374

Au Virtual International Conference 2020
Entrepreneurship and Sustainability in the Digital Era

Assumption University of Thailand
October 30, 2020
Co-hosted by

internationally recognized independent state is required to be convenient, and must be in line
not easy because it is subject to international law. with the canal line to increase the capacity of the
Navy in moving the navy on both sides of the
Sathaporn Kheawimol (2005) said that Thai Sea.
in order to excavate the canal to have the best
results and to minimize the negative impact as 4) Society and environment: In order to
much as possible, it is necessary to consider 5 dig a canal, it is necessary to use an area along
key elements as follows: the two banks of the canal with a width of
approximately 4 kilometers (including reserve
1) Independence in the administration for future use). The length of the canal is
of the country's canals: When a sea boat come to approximately 120 kilometers, which inevitably
use the service through the Khlong Thai to be affects the source to make a living for people.
excavated, if it is going to pass through There will be a migration and change in the way
neighboring countries' waters, there will be an of life of people from rural society to new urban
opportunity to create problems about the benefits society. Various people from all over the
that will arise in the future. In order to prevent country will come together to form a large city
Thailand from having problems on international society. As well as the natural and cultural
waters with its neighbors, whether it is the environment will be adjusted so that the canal
Andaman coast with cooperation with Malaysia line to be excavated should avoid the density of
or Myanmar and the Gulf of Thailand with communities and important natural sites.
Cambodia and Vietnam; therefore, there should
be a canal line where boats to enter the service Materials and Methods
should have a distance of about 200 nautical
miles or 400 kilometers. Sampling and data
The sampling for interviewing this
2) The country's economy: Transport
routes, whether by land or water, when it cuts questionnaire was general citizens living in five
through, it will bring prosperity there, and the provinces where the Khlong Thai Project was
birth of businesses and communities will follow. located, namely Nakhon Si Thammarat, Krabi,
Because it is a route within the course of world Songkhla, Trang and Phatthalung. Due to limited
water transportation, it is not uncommon for budget and time, Accidental Sampling was
great benefits to follow. Therefore, the two chosen to complete the specified number of
banks of the canal must have an area large sample sizes in each province, which was 200
enough to support a large city in the future, samples, totaling 1,000 samples. Questionnaire
sufficient fresh water supply, located in a good collection period from June to August 2020.
geographic area to be the city plan of the future.
However, the questions set up in the
3) Military strategy: If the canal crosses questionnaire would reflect a positive opinion.
too close to one side, any military operation will Each question was given to respondents to
be limited, especially for the arrangement of the comment on a 5-level assessment, which was a
land forces of the country, where operations are semantic measure of data as follows: Level 1

375

Au Virtual International Conference 2020
Entrepreneurship and Sustainability in the Digital Era

Assumption University of Thailand
October 30, 2020
Co-hosted by

means Lowest, Level 2 means Low, Level 3 independent variables:(1) Basic variables of a
means Moderate, Level 4 means High, Level 5 person (2) Benefit assessment variables and(3)
means Highest. Information variables. These independent
variables had a direct influence or impact on the
The revised questionnaire was then tested demand for the Khlong Thai Project.
(Pre-Test) with the target sample group to find
the reliability of the evaluation form with Figure 1- Conceptual framework for
Cronbach's Alpha test, which was the value that Conceptual framework for Perceived Impact of
measures the Likert Rating Scale data (Kallqya
Wanitbancha, 2011) which had a criterion of The Population on The Khlong Thai Project
more than 0.70 and was considered to be highly
reliable. For the benefit evaluation variables of Results
the dimensions, the values ranged from 0.789 to
0.805, which had a very high level of reliability Analysis of benefits assessment scores
of the variables. from the Khlong Thai Excavation Project
The results from the assessment of the mean
Method of data analysis score were found to be between 3.36 and 4.34
For the analysis of primary data, with the highest level of 3 assessments as
follows:
descriptive analysis was used. For analyzing the The excavation of Khlong Thai will reduce the
data on the level of benefit assessment in various cost of sea transportation, The excavation of
dimensions, Factor Analysis was used to Khlong Thai will affect everyday life, and the
calculate the Factor Score. For the demand excavation of the Khlong Thai will create a new
analysis of the Khlong Thai project, the statistics marine economy. However, it was found that the
of multiple regression analysis were used. excavation of the Khlong Thai will result in a
reduction in the cost of transporting agricultural
Models and parameters determining the products, making it more competitive with a
needs of the Khlong Thai Project moderate level of assessment score. For the rest

From the initial conceptual framework
of the Khlong Thai Demand Assessment, it was
found that there were various independent
variables that were important and in-depth
analysis of their relationship and influence on
project requirements determination. The results
from relevant literature reviews provided a very
important basis for the creation of a framework
for analyzing the relationships of the variables
that influence the project requirements.

According to the study concept in
Figure 1, there were 3 main groups of

376

Au Virtual International Conference 2020
Entrepreneurship and Sustainability in the Digital Era

Assumption University of Thailand
October 30, 2020
Co-hosted by

of the assessments, they were at high scores for these questions.
(Table 1).

Table 1: the factors influencing the demand for Analysis of multiple regression equations
the Khlong Thai Excavation Project The results of the analysis of multiple

Benefit assessment score factor analysis regression equations showed that there were 4
The factors influencing the demand for variables that were statistically significant at
level 0.01 including, Age, Income, perceived
the Khlong Thai Excavation Project were Khlong Thai news source (Media) and
summarized into four factors using the principle Environmental Dimensional Factor Score
of element analysis(PEA) and variable axis (Factor2). The overall economic dimension
rotation method (Varimax with Kaiser factor score variable (Factor1) and the social
Normalization). The results of the analysis dimension factor score (Factor3) were
revealed that four factors could be prioritized as statistically significant at 0.05. For education
influencing the demand for the Khlong Thai variables (Educate) and the dimensional factor
Project, namely economic factors, social factors, score variables for security and politics (Factor4)
environmental factors, and security and political were not statistically significant.
factors. In addition, the Kaiser-Meyer-Olkin test
results (KMO = 0.885) and Bartlett's test at a When considering the direction of the
significance level <0.01 (sig - 0.001 rejected) variables, it was found that if the age increased
indicated that the factor analysis was appropriate by 1 year, the project demand decreased by
0.1003 points and the monthly income variable
increased by 1 baht, causing the project
requirement assessment score to be significantly
decreased by 0.1036 points with statistical
significance at level 0.01. On the other hand, one
more information awareness source variable
resulted in an increase in the requirement
Assessment score of 0.1909. For the 4 factor
score variables, there was a positive direction. In
summary, as the factor scores in each dimension
increase, the requirement assessment scores
increase.
Table 2: T-test coefficient and significance of
the signal quality evaluation equation (933
samples)

377

Au Virtual International Conference 2020
Entrepreneurship and Sustainability in the Digital Era

Assumption University of Thailand
October 30, 2020
Co-hosted by

The R square value of 0.078, which was (Factor2). The overall economic dimension
statistically significant at a level of 0.01, factor score variable (Factor1) and the social
indicating that the independent variables had a dimension factor score (Factor3) were
7.8% influence on the evaluation of project statistically significant at 0.05. For education
demand. variables (Educate) and the dimensional factor
score variables for security and politics (Factor4)
Conclusion were not statistically significant.

Analysis of benefit assessment scores from When considering the direction of the
the Khlong Thai Excavation Project variables, it was found that if the age increased
by 1 year, the project demand decreased by
The results from the assessment of the 0.1003 points and the monthly income variable
mean score were found to be between 3.36 and increased by 1 baht, causing the project
4.34 with the highest level of 3 assessments as requirement assessment score to be significantly
follows: 1) The excavation of Khlong Thai will decreased by 0.1036 points with statistical
reduce the cost of sea transportation, 2)The significance at level 0.01. On the other hand, one
excavation of Khlong Thai will affect everyday more information awareness source variable
life, and 3) the excavation of the Khlong Thai resulted in an increase in the requirement
will create a new marine economy. However, it Assessment score of 0.1909. For the 4-factor
was found that the excavation of the Khlong Thai score variables, there was a positive direction. In
will result in a reduction in the cost of summary, as the factor scores in each dimension
transporting agricultural products, making it increase, the requirement assessment scores
more competitive with a moderate level of increase.
assessment score. For the rest of the
assessments, they were at high scores. In addition, it was found that the most
important variable in the regression equation was
Analysis of multiple regression equations the information perception variable with a Beta
The results of the analysis of multiple coefficient of 0.1909, followed by the income
variable and the age variable, respectively. In
regression equations showed that there were 4 addition, the R square value of 0.078, which was
variables that were statistically significant at statistically significant at a level of 0.01,
level 0.01 including, Age, Income, perceived indicating that the independent variables had a
Khlong Thai news source (Media) and 7.8% influence on the evaluation of project
Environmental Dimensional Factor Score demand, which was very low value.

Discussion

From the results of the experiment, the study on
the level of impact of the population on the
Khlong Thai excavation and various impacts on
the area of the Khlong Thai excavation project in

378

Au Virtual International Conference 2020
Entrepreneurship and Sustainability in the Digital Era

Assumption University of Thailand
October 30, 2020
Co-hosted by

the five southern provinces found that : fishing system more competitive with foreign
countries, help reduce the cost of sea
1. The awareness of environmental transportation, result in the reduction of cost in
factors was at a high level with a Beta coefficient transporting agricultural products which will
of 0.0655 with a statistical significance of 0.01. make it able to be more competitive with the
The results of the research showed that the international market. This was consistent with
population thought that the Khlong Thai Sathaporn Keawimol (2005), who said that the
excavation had the highest environmental country's economic aspects, whether it is land or
impact. It would affect the livelihoods of marine water, where it cuts through, it will lead to
life and wildlife, and would also affect the prosperity there. The birth of businesses and
marine ecosystem of Thailand and air pollution. communities will follow, as these are the paths
This was in line with Wiwat Changingthong et al in the world's waterways, so it is not uncommon
(2017) who studied the disadvantages of for great benefits to follow. Therefore, the two
excavating this project as a route that cuts sides of the canal must have an area large enough
through the densely populated area. It would to support a large future city, sufficient fresh
also have an environmental impact on the water supply, and located in a good geographic
communities and important tourist attractions. area to be a future city plan.
And in accordance with Piamsak Menasawet et
al (1999). The study results were found to have 3. The social factor was at a high level
an environmental impact. From the with a Beta coefficient of 0.0670 with a
environmental impact assessment, it was found statistical significance of 0.05. The results of the
that the Andaman coast was negatively affected. research showed that the population thought that
government agencies should educate and
2. The overall economic factor was at a understand local residents about the social
high level, with Beta coefficient of 0.0919 with impact, and show that people in the area and
statistical significance of 0.05. The results of the outside the Khlong Thai excavation area would
research showed that the population thought that have more opportunities in having jobs.
the excavation of the Khlong Thai will bring Including people in the Khlong Thai excavation
prosperity and economic development in the areas affected to the migration stage, the state
southern region, creating a new marine economy will compensate the benefits of occupational
for both domestic and international maritime rights in the Khlong Thai area, including
transport, creating a center for Trade, additional benefits such as medical treatment,
investment, business and industry in the world, academic support, etc. As a result, the well-being
creating jobs and income throughout the South of the people in the area improves and the area
and the country. It will make Thailand a global will be a target for people all over the country to
trade center, attract tourists from all over the come to work, helping to develop the
world, help the Thai government have more infrastructure of Thailand, which affects their
economic bargaining power, help the Thai daily life. This was in line with Sathaporn

379

Au Virtual International Conference 2020
Entrepreneurship and Sustainability in the Digital Era

Assumption University of Thailand
October 30, 2020
Co-hosted by

Kheawimol (2005) who studied that In order to people as well as the opinions of local people on
dig a canal, it is necessary to use an area along the issue of digging the Thai Canal.
the two banks of the canal with a width of
approximately 4 kilometers (including reserve The indirect effects of investment have
for future use). The length of the canal is not been studied This will lead to more
approximately 120 kilometers, which inevitably economic expansion, including indirect effects
affects the source to make a living for people. such as environmental destruction, pollution,
There will be a migration and change in the way social problems from labor migration, etc. The
of life of people from rural society to new urban next study of interested parties may be studies in
society. Various people from all over the these areas that will enable a more complete and
country will come together to form a large city accurate study of the impacts of canalization.
society. As well as the natural and cultural
environment will be adjusted so that the canal Recommendations
line to be excavated should avoid the density of If a canal is dug to connect two sides of
communities and important natural sites.
the ocean as a route. The new global navigation
4. The security and political factors will generate economic growth for the country
were not statistically significant, which was in and local region, especially the provinces
line with Attaporn Boromsuk (2010), stating that surrounding the canal, although planning for the
in politics, many governments in the past had development of the maritime system is very
different opinions about the Khlong Thai necessary and inevitable. To prepare in terms of
Project. Some agreed, some objected. As for the service regarding future shipping. But maritime
government that supported the Khlong Thai trade is not the only thing that needs to be taken
project in the past, the project had been put into account, as the impacts of the opening of the
forward to study the feasibility and impacts, but new shipping route will extend to the industrial
no government had seriously supported the development and livelihood of local residents.
Khlong Thai Excavating Project because they The world is close to home, as if lifting the world
were not sure about the worth of investment and market closer to you, it means being able to more
the impact that would happen in both the short easily carry out their existing products while
and long term. being able to find raw materials for use in
production. Therefore, the provinces that are
Limitations of the study most affected by the canal are Krabi, Trang,
The limited time and budget made this Phatthalung and Nakhon Si Thammarat and
Songkhla
study based on secondary data collected from
institutions or offices and then recalculated and References
processed again, which would not allow the
study to visualize or steal. The self-study area of Attaporn Boromsuk. (2010). Khlong Thai
the locality will provide the students with a better excavation and Thai maritime security.
understanding of the living conditions of the Master's Thesis (Resource Management
for Security). Chonburi: Graduate
School, Burapha University.

380

Au Virtual International Conference 2020
Entrepreneurship and Sustainability in the Digital Era

Assumption University of Thailand
October 30, 2020
Co-hosted by

Extraordinary Commission to Study the http://tinno01042558.blogspot.com/2015
/04/blog-post.html.
Feasibility of the Senate Isthmus Project. Wiwat Chankingthong, Korkaew
Chankingthong, Chutima Wangbenmad,
(2005). The study results of the Khlong Maneerat Rattanaphan, Singhanat Iadjui.
(2018). People's opinions on the impact
Thai Excavation Project (Study report). of the Khlong Thai project. Journal of
the Faculty of Business Administration.
Bangkok: The Secretariat of the Senate. Hat Yai University, Thailand, 997-1005.
Wiwat Chankingthong, Phatarin, Rattanasuwan,
Klapper, J. T. (1960). The effects of mass Nathee Hemman, Wanna Wijit, Kanida
Kraisanti and Puchita Chucherd
communication. Parnrungsi. (2018). Impact on the
implementation of the Khlong Thai
Piamsak Menasawet, Pipat Phataphonphaiboon, Project, Route 5A (Satun Province -
Songkhla Province). Journal of Faculty
Sompop Rungsubha, Anupap of Business Administration, Hat Yai
University, Thailand, 260-285.
Phanichphol. (1999). A Feasibility Study Wiwat Chankingthong, Phatarin, Rattanasuwan,
Nathee Hemman, Wanna Wijit, Kanida
on the Commercial and Physical Aspects Kraisanti and Puchita Chucherd
Panrangsi. (2017). Impact on the
of Kra Isthmus Excavation. implementation of the Khlong Thai
Project, Route 7A (Trang - Songkhla).
Environmental education section. Journal of Faculty of Business
Administration, Hat Yai University,
Research report. Bangkok: Institute of Thailand, 1519-1528

Maritime Affairs. Chulalongkorn

University

Sathaporn Keawimol. (2005). Analysis of the

feasibility of the Khlong Thai Project. In

the study results of the Khlong Thai

Excavation Project (Study report).

Bangkok: The Secretariat of the Senate.

Thanit Sorat. (2018). The Khlong Thai

Excavation project for economic support.

Meeting documents, Transport

Commissioner, National Legislative

Assembly (Copied documents)

Tinno Kwandee (2015). Kra Isthmus to Khlong

Thai, Thailand's ASEAN transport hub.

Retrieved 6 August 2020, from

381

Au Virtual International Conference 2020
Entrepreneurship and Sustainability in the Digital Era

Assumption University of Thailand
October 30, 2020
Co-hosted by

An Empirical Investigation of Video Game Control Users: Examining

the influence of Social Media Advertising, Social Media Promotion,

E-WOM, and Brand Image on Purchase Intention in China

Ningqin Li
Sirion Chaipoopirutana
Graduate school of business, Assumption University, Bangkok, 10240, Thailand
E-mail: [email protected], [email protected]

Abstract
With the rapid development of technology in gaming, more and more consumers have accepted
electronic games, and major manufacturers are continually launching their new game consoles.
Playing games has gradually become the leading entertainment activities for people all over the
world. This research aims to study the influence of social media advertising content, social
media promotion content, E-WOM, and brand image on Chinese consumers' purchase intention
towards game console. In this research, the researchers collected the data from 300 Chinses
customers who use the game consoles through online platform. Simultaneously, this study uses
non-probability sampling including judgement and convenient sampling techniques, to collect
the data. The researchers also applied 5-point Likert scale for research instruments. Descriptive
and inferential analysis are used to analyze the data of demographics and linear regression is
also applied to test the hypotheses. The researchers found that social media advertising content,
social media promotion content, E-WOM, and brand image were positively influence purchase
intentions. Especially the brand image, it has the most significant influence on purchase
intention.

Keywords: Social media advertising, Social media promotion, E-WOM, Brand image,
Purchase intentions

Introduction their spending on games in 2019 totaled 152.1
billion US dollars (Tom, 2019). According to
Gaming becomes a major entertainment all over forecasts, the global video game market will
the world, and consumers' pursuit of gaming is continue to thrive. Data showed that spending on
continually changing. Statistics showed that there games will grow to US$196 billion. The upcoming
are more than 2.5 billion gamers worldwide, and next-generation consoles of Microsoft Xbox, Sony
PlayStation and Nintendo's new Switch models

382

Au Virtual International Conference 2020
Entrepreneurship and Sustainability in the Digital Era

Assumption University of Thailand
October 30, 2020
Co-hosted by

will contribute to the healthy growth of the market different marketing communications to consumers
(Tom, 2019). In recent years, with the overall (Rohm, Kaltcheva, & Milne, 2013). Moreover,
improvement of the living standards Chinese social media promotion containing unique content,
society has become more tolerant to games, can affect and stimulate the behavior and
leading the video game players to pay more intentions of consumers (Hilman, Hanaysha, &
attention to the high-quality gaming experience, Ghani, 2017). At the same time, most researchers
high family expectations, and increased spending believed that word-of-mouth communication has
power. It caused many families to buy game an essential influence to develop consumer
consoles. According to a report from China's attitudes and behavioral intentions (Chatterjee,
Xinhua net (2017), the sales revenue of China's 2001; Chevalier & Mayzlin, 2006; Herr, Kardes, &
home game consoles in 2017 was approximately Kim , 1991; Kiecker & Cowles, 2001; Sen &
3.88 billion yuan. The annual sales of home game Lerman, 2007; Smith & Vogt, 1995; Weinberger &
consoles were about 890,000 units. This showed Dillon, 1980; Xia & Bechwati, 2008). A good
that Chinese people's interests for gaming brand image can help increase the frequency of
experience, and demand for gaming consoles consumers’ purchases (Mohammad & Neda ,
increase tremendously, and the Chinese gaming 2012). Therefore, in this study the dependent
console market becomes a highly potential market. variable is purchase intentions, and the
Statistics also showed that 3 million Nintendo independent variables are social media advertising
Switch products are sold in China, including content, social media promotion content, e-WOM,
parallel imports and officially sold products (Iggy, and brand image.
2020). In December 2019, Nintendo and Tencent's
cooperated and the officially release the Chinese Research Objectives
version of Switch game consoles. This helps
consumers to purchase the console more 1. To study the influence of social media
conveniently. Therefore, in this study the advertising content on brand image.
researchers collected the data from Chinese
consumers of Switch game console to find the 2. To analysis the influence of social media
influence of social media advertising content, promotion content on brand image.
social media promotions content, E-WOM, and
brand image on purchase intentions of consumers. 3. To study the influence of E-WOM on brand
Due to rapid development of e-commerce, social image.
media advertising becomes more mainstream than
traditional advertising; it can provide consumers 4. To analysis the effect of social media
with suggestions, sharing experiences, and quick, advertising on purchase intention.
simple, and convenient information searches
(Patino, Pitta, & Quinones, 2012). Social platforms 5. To study the impact of social media
become an essential key for brands to convey promotion content on purchase intention.

6. To study the influence of E-WOM on
purchase intention.

7. To analysis the effect of brand image on
purchase intention.

383

Au Virtual International Conference 2020
Entrepreneurship and Sustainability in the Digital Era

Assumption University of Thailand
October 30, 2020
Co-hosted by

Literature Review purchase model, and the content includes
Social media advertising conducting transactions on social media to
Social media advertising is defined as all forms of stimulate consumers to purchase (Keller, 2009).
advertising provided through social networks,
whether explicit or implicit (Taylor, Lewin, & E-WOM
Strutton, 2011). More relevantly (Johannes, 2015) Henning-Thurau et al. (2004). defined E-WOM as
social media advertising content refers to positive or negative descriptions of various types
persuasive and planned content, such as pictures of customers including the active customers,
and videos, published by advertising planners or potential customers, actual customers, etc. about a
brand owners on websites and social media. Social company or product, and it is shared with more
media advertising is a constantly evolving field. people through the internet. Chevalier, Mayzlin
Social media advertising is more interesting than and Mohammad (2006) found that e-WOM is a
regular ads; it can provide consumers with crucial way for consumers to acquire product
suggestions, sharing experiences, and quick, information and service information. E-WOM can
simple, and convenient information searches create a space for brands that consumers can easily
(Patino, Pitta, & Quinones, 2012). Consumers will access and interact with (Lovett & Staelin, 2016;
deliberately look for advertising because it is a Stephen & Galak, 2012). Base on the e-WOM
kind of media that can provide personal or product information online reviews can help consumers
information (Dao, Le, Cheng, & Chen, 2014) reduce their cognitive burden, and consumers can
easily do decision-making and increase product
Social media promotion sales (Ye, Law , Gu, & Chen, 2011). Therefore, E-
Research showed that social media promotion WOM in social network marketing becomes an
becomes a more common and more effective essential part of the brand communication strategy
marketing communication method in social media (Chu & Kim, 2011).
platforms (Straker, Wrigley, & Roseman, 2015a;
2015b). Social media promotion is the information Brand image
about promotions posted on social media that can Dobni and Zinkhan (1990) defined the brand
help to build brand image and to generate sales image as consumers' impression of a product or
(Okazaki & Taylor, 2013). Social media promotion service. Padgett and Allen (1997) pointed out that
is used every day on social media (Straker, the brand image contains specific products and
Wrigley, & Roseman, 2015a; 2015b). The social services' symbolic meaning. Low and Lamb
media promotional messages including unique (2000) defined brand image as a particular brand
content, has a strong persuasive, attractive, and product preferred by consumers with perceived
positive impact on the brand image (Hilman, value. Mohammad and Neda (2012) found that
Hanaysha, & Ghani, 2017). Generally, social brand image can increase consumers' purchase
media promotion adopts the incentivizing frequency; the strong brand can increase

384

Au Virtual International Conference 2020
Entrepreneurship and Sustainability in the Digital Era

Assumption University of Thailand
October 30, 2020
Co-hosted by

consumers' trust with their products or services Mehmet et al. (2018) researched the effect of social
they buy and better help consumers understand and media guerrilla marketing advertising on the brand
form a brand image. The brand image will also image; the researchers found that guerrilla
affect the company's future profits, consumer marketing allows advertising to reach more
purchase intentions, merger and acquisition consumers through the internet. Guerrilla
decisions, stock prices, and sustainable marketing advertising has a positive impact on
competitive advantage and marketing success symbolic and functional brand images. A study of
(Yoo & Donthu, 2001). Therefore, brand image Facebook ads on brand image by Ismail, Mehmet,
can distinguish the company's quotation from its and Fulya (2018) confirmed that Facebook
competitors, making it unique (Webster & Keller, advertising plays an essential role in brand image.
2004). When the brand image conforms to the
consumer's self-concept, consumers like it more Social media promotion content and brand
(Martineau, 1957). image

Purchase intention Ridwan, Sabrina, and Sobhi (2019) studied the
Monroe (2003) pointed out that purchase intention mediating effect of brand image; the results
is people's willingness to buy something that adds showed a significant influence of social media
value to themselves. At the same time, purchase promotion content on brand image. Yusuf (2018)
intention is also the possibility of consumers studied the effect of social media marketing on
purchase or willing to buy a specific brand in the brand image; through analysis, it is found that
future (Huang, Wu, Wang, & Boulanger, 2011). social media promotion is a part of marketing
Purchase intentions can also become consumers' activities which has a practical impact on brand
recommendations for the next product repurchase image.
(Tariq, Nawaz , Nawaz, & Butt, 2013). At the same
time, purchase intention is the best explanations E-WOM and brand image
for consumers' expected behavior. (Cobb-Walgren,
Ruble , & Donthu, 1995; Buil, Martínez, & De, Md, Shamim, Abu, Ahmad, and Rosli (2018)
2013a; 2013b). High consumers’ purchase researched the impact of E-WOM on the brand
intention indicates that brand owners perform well image; the data analysis showed that e-word of
in brand image and brand communication, and mouth has a positive effect on brand image and
successfully elicited good consumer responses purchase intention. The study by Muslih, Ujang,
(Alford & Biswas, 2002), which will prompt and Netty (2019) about the impact of e-WOM and
consumers to evaluate the brand. brand image; the results showed that e-word of
mouth has a positive effect on brand image.

Related Review Literature Social media advertising content and purchase
Social media advertising content and brand intentions
image Rodney (2015) researched on Facebook
advertising's influence on intention-to-purchase

385

Au Virtual International Conference 2020
Entrepreneurship and Sustainability in the Digital Era

Assumption University of Thailand
October 30, 2020
Co-hosted by

and the result confirmed that social media word of mouth and purchase intention and the
advertising positively impacts purchase intention result showed that e-WOM is the most influential
and purchase behavior. Shu-Chuan, Sara, and factor affecting purchase intention. Chetna and
Yoojung (2013) studied on consumers' reactions to Amresh (2017) studied the effect of Social eWOM
social media advertisements leading to purchase on purchase intention; they found that the eWOM
intentions for luxury goods. The researchers found published by users on social networking sites has a
that users' responses to social media significant impact on the purchase intention of
advertisements promote consumer purchase electronic product consumption.
intentions. Ridwanz, Sabrina, and Sobhi's (2019) Brand image and purchase intentions
studied social media advertising and behavior A study of Jihyun and Yuri (2018) about the effect
intention and the result showed a significant of corporate and brand image on purchase
positive relationship between social media intention; the investigation showed that brand
advertising and purchase intention. image has a significant positive impact on
purchase intention. Ya-Hui, and Cing-Fen (2014)
Social media promotion content and purchase researched the relationship between brand image
intentions and purchase intention; the study used the
Ridwanz, Sabrina, and Sobhi (2019) researched structural equation model to conduct research. The
social media promotion and behavior intention and research results showed a positive and direct
found that social media promotion positively influence of brand image, perceived quality,
influences purchase intention. According to the perceived value, on purchase intention. And the
study of Muhammad, Pamadya, and Afif (2018), study by Chih-Ching, Pei-Jou, and Chun -Shou
social media is based on promotion and purchase (2013) about the influence of country of origin,
intention. They found social media-based brand image, and self-consistency on consumers'
promotion also has a significant impact on purchase intention. Found that country of origin
purchase intention. consistency, self-consistency, and brand image all
positively impact consumer's purchase intention.
E-WOM and purchase intentions
Muhammad, Pamadya, and Afif (2018) studied the Hypothesis
social media influence on promotion and purchase
intention; and found a significant relationship
between e-WOM and purchase intention. There is
a linear relationship between e-WOM and
purchase intention. And the study of Evmorfia
(2012) about the influence of e-WOM shows
Chinese customers’ consumption is more
susceptible to e-WOM comments. Mohammad and
Neda (2012) researched the effect of electronic

386

Au Virtual International Conference 2020
Entrepreneurship and Sustainability in the Digital Era

Assumption University of Thailand
October 30, 2020
Co-hosted by

Figure 1: Conceptual Framework H6a: There is a significant influence of social
Ridwan, Sabrina, Sobhi (2019) studied the media promotion content on purchase intention.
influence of brand image on social media H70: There is no significant influence of E-WOM
advertising, promotion, and behavioral intentions. on purchase intention.
Moreover, Mohammad, Neda (2012) studied on E- H7a: There is a significant influence of E-WOM
WOM's impact on brand image and purchase on purchase intention.
intention. Those previous research models and
research frameworks have provided researchers to Methodology
develop their conceptual framework. The Research Method
framework intends to find the relationship between Sekaran and Bougie (2013) defined the research as
social media advertising content, social media the search for specific problems and the search for
promotion content, E-WOM, and brand image. precise solutions. Based on the sharing of user
Secondly, it finds the relationship between social experience of "Switch" and the strengthening of
media advertising, social media promotion, E- official publicity on social media, the acceptance
WOM, brand image, and purchase intentions. of the brand and products has been raised to a new
H10: There is no significant influence of social level. In order to study the purchasing intentions of
media advertising content on brand image. Chinese customers towards "Switch" game
H1a: There is a significant influence of social console, this study uses descriptive analysis to
media advertising content on brand image. analyze the demographic characteristics. Zikmund
H20: There is no significant influence of E-WOM et al. (2013) believed that descriptive research will
on brand image. answer "how", "who", "what", and "where",
H2a: There is a significant influence of E-WOM on "When" and other issues, while describing the
brand image. characteristics of purpose, people, groups,
H30: There is no significant influence of social organizations, and the environment. The
media promotion content on brand image. researchers distributed the questionnaire surveys
H3a: There is a significant influence of social to collect the data from the respondents. This study
media promotion content on brand image. uses self-administered questionnaires. Zikmund et
H40: There is no significant influence of social al. (2010) defined self-administered questionnaire
media advertising content on purchase intention. as a questionnaire survey method that respondents
H4a: There is a significant influence of social are responsible for reading and answering. This
media advertising content on purchase intention. surveys method helps the researchers to collect
H50: There is no significant influence of brand accurate data from the respondents. The
image on purchase intention. questionnaire design base on the conceptual
H5a: There is a significant influence of brand framework, and is divided into four parts.
image on purchase intention.
H60: There is no significant influence of social The first part is to screen the question to ensure that
media promotion content on purchase intention. the questionnaire respondents are all consumers
who have experience using Switch game consoles.

387

Au Virtual International Conference 2020
Entrepreneurship and Sustainability in the Digital Era

Assumption University of Thailand
October 30, 2020
Co-hosted by

Next is the analysis of independent variables. Use the primary data collection comes from the target
the 5-point Likert scale as the evaluation standard, population. Due to the sample representing a
the influence of independent variables such as portion of the target group, a part must be carefully
social media advertising content, social media selected to define the target group (Cooper &
promotional content, E-WOM, brand image on Schindler, 2014). Therefore, the researchers chose
purchase intention will be analyzed. The third part Nintendo's Switch game console consumers in
is the analysis of purchase intention, which will be China as the target group which include users of all
the dependent variable for Switch game console models of Switch consoles. According to statistics
consumers. The last part is used for demographic from the statisticalwebsite
surveys, a total of 4 questions, including gender, https://www.gamesindustry.biz, Switch users
age, monthly income, and education level. include different gender and age groups (Valentine,
Simultaneously, previous researchers suggested 2019), which shows that consumers have a strong
that the sample size should be at least 300 interest in game consoles. Therefore, the
(Tabachnick & Fidell, 2001). Moreover, the researchers used the online questionnaire on
research by Chetna and Amresh (2017) studied the September, 2020, to collected from 300
influence of social eWOM on purchase intention respondents including both male and female
by using 300 to be the sample size. Therefore, this Switch users in China to investigate their purchase
study focuses consumers from China as the intentions.
respondents, and distribute 300 questionnaires and
collect the data through the Internet platforms such Research Findings
as WeChat, QQ Weibo, and LOFTE. In this study, The researchers distributed 300 questionnaires,
the researchers apply non-probability sampling and 278 valid questionnaires have returned. Based
methods, which are used in situations where it is on the descriptive analysis, the respondents are
difficult to define the population. Among non- 40.6% (113) female and 59.4% (165) male. The
probability sampling methods purposive sampling highest percentage of age group is between 18 to
can represent the entire population (Paul, 2008), 25 years, with 45.7% (127). The majority of level
convenience sampling can take samples from the of income is 4100-5000 yuan per month, with the
most accessible and accessible parts of the percentage of 28.1% (78). For the respondent’s
population (Michael, 2011). Thus, the researchers education level, the majority is undergraduate,
use purposive sampling and convenience sampling with 49.3% (137).
techniques to collect the data.
Table 1: The Findings of Descriptive Analysis
Data Collection
In this study, the primary data collected from data
collection. The primary data is defined as the
information collected by researchers or data
derived from sources (Zikmund G. W., 2003). So,

388

Au Virtual International Conference 2020
Entrepreneurship and Sustainability in the Digital Era

Assumption University of Thailand
October 30, 2020
Co-hosted by

Hypotheses Testing Conclusion
This research aims to find out the factors that The purpose of this research is to study the
influence the purchase intention of Chinese Switch influence of four independent variables including
consumers. The researchers analyzed four social media advertising, social media promotion,
independent variables: social media advertising E-WOM, and brand image on Chinese Switch
content, social media promotional content, E- consumers' purchasing behavior. Therefore, the
WOM, and brand image. Therefore, seven researchers use scientific methods for data
hypotheses are explored by statistical analysis collection. First of all, the researchers selected the
software. For hypotheses testing, the researchers study's target population in China who use Switch
applied Simple Linear Regression. The condition game consoles. Secondly, according to the
to reject or failed to reject null hypotheses (H0), the recommendations of previous researchers, this
researchers set the significant value at .05 on the study chose a sample size of 300. And applied non-
confidence interval 95% probability sampling methods including purposive
Table 2: Summary of Hypotheses Testing sampling and convenience sampling to collect the
data.

Regarding data collection, research uses primary
data from 278 valid questionnaires collected from
distributing 300 questionnaires. This questionnaire

389

Au Virtual International Conference 2020
Entrepreneurship and Sustainability in the Digital Era

Assumption University of Thailand
October 30, 2020
Co-hosted by

can be divided into five parts: social media Nintendo's famous IP (Intellectual Property),
advertising, social media promotion, E-WOM, Pokémon (1996), Mario (1981), and Zelda (2017)
brand image, and purchase intention. And 5 points have the highest commercial value and represent
Likert scale is applied as a research instrument. brand images. These IPs represent good memories
From the findings of hypotheses testing, four for consumers, which means that consumers will
independent variables; social media advertising, respond positively to these IPs through emotion.
social media promotion, E-WOM, and brand As a game console that can support consumers to
image, significantly influence the dependent play a series of exclusive IP games, the "Switch"
variable purchase intention. game console is undoubtedly an ideal purchase for
consumers. Therefore, the researchers suggest that
Recommendation brand managers can focus on using these valuable
Hypothesis analysis showed that social media IP (such as Pokémon, Mario, Zelda) to enhance
advertising content, social media promotional their brand image. Using relevant IP elements,
content, and E-WOM have a positive influence on organizing anniversaries, character birthday
brand image. In other words, if increase in social events, and related movie screening events are
media advertising content, social media promotion suitable methods. Brand managers should use
content, and E-WOM content brand image is social media to promote relevant advertising and
expected to increase by 56.8%, 59.9%, and 67.3%, promotional content actively. Simultaneously,
respectively. This result showed the importance of appropriate forums are organized to provide
posting advertising content on social media, consumers with space for communication of
providing discounts, gift information, and related content, which will help the formation of
encouraging consumers to leave product reviews new consumers and the continuous development of
and product experience in social forums, social old consumers.
media brand communities, and official forums.
The research results showed that social media Recommendation of Further Study
advertising content, social media promotional This research focuses on understanding the factors
content, E-WOM, and brand image positively that influence the purchase intention of Nintendo
impact purchase intention. Among them, brand game console Switch consumers in China. So, the
image has the most significant impact on purchase researchers would like to give some suggestions
intention. The increase in brand image content for future research. First, the researchers would
leads to 80.7% increase in purchase intention. like to provide recommendations for the research
Simultaneously, brand image plays an framework. This research considers four
intermediary role in social media advertising independent variables, social media advertising,
content, social media promotional content, and E- social media promotion, E-WOM, and brand
WOM. The researchers believe that enhancing the image. However, the researchers suggest that
brand image is the most important way to future studies, should consider other factors that
encourage consumer consumption. Based on may have effect on purchase intention, such as
trust, satisfaction, and other variables. In addition,

390

Au Virtual International Conference 2020
Entrepreneurship and Sustainability in the Digital Era

Assumption University of Thailand
October 30, 2020
Co-hosted by

this research is based on consumers in China, and mouth (eWOM) in social networking sites.
further research should be conducted to collect
data from different geographic areas. International Journal of Advertising, 30(1), 47-75.

Reference Cobb-Walgren, J. C., Ruble , A. C., & Donthu, N.

Alford, L. B., & Biswas, A. (2002). The effects of (1995). Brand equity, brand preference, and
discount level, price consciousness and sale
proneness on consumers’ price perception and purchase intent. Journal of Advertising, 24(3), 25-
behavioral intention. Journal of Business
Research, 55(9), 775-783. 40.
Buil , I., Martínez , E., & De, L. C. (2013b). The
influence of brand equity on consumer responses. Cooper, D. R., & Schindler, P. S. (2014). Business
JournalofConsumerMarketing, 30(1), 62-74.
Buil, I., Martínez, E., & De, C. L. (2013a). Research Methods.
Examining the role of advertising and sales
promotions in brand equity creation. Journal of Dao, T. W., Le, H. A., Cheng, S. J., & Chen, C. D.
Business Research, 66(1), 115-122.
Chatterjee, P. (2001). Online reviews: do (2014). Social media advertising value. the case of
consumers use them? Advances in Consumer
Research, 28(1), 129-33. transitional economies in Southeast Asia.
Chetna , K., & Amresh , K. (2017). Social eWOM:
does it affect the brand attitude and purchase International Journal of Advertising, 33(2), 271-
intention of brands. Management Research
Review, 40(3), 310-330. 294.
Chevalier, A. J., & Mayzlin, D. (2006). The effect
of word of mouth on sales: online book reviews. Dobni, D., & Zinkhan, M. G. (1990). In search of
Journal of Marketing Research, 43(3), 345-54.
Chih-Ching, Y., Pei-Jou, L., & Chun-Shuo, C. brand image: A foundation analysis. Advances in
(2013). How brand image, country of origin, and
self-congruity influence internet users' purchase Consumer Research, 17, 110-119.
intention. Social Behavior and Personality: an
international journal, 41(4), 599-611. Evmorfia , A. (2012). Cross-national differences in
doi:https://doi.org/10.2224/sbp.2013.41.4.599
Chu, S. C., & Kim, Y. (2011). Determinants of e-WOM influence. European Journal of
consumer engagement in electronic word-of-
Marketing, 46(11/12), 1689-1707.

Henning-Thurau, T., Gwinner, P. K., Walsh, G., &

Gremler, D. D. (2004). Electronicword-of-

mouthvia customer opinion platform: what

motivates consumers to articulate themselves on

the internet. Journal of Interactive Marketing,

18(1), 38-52.

Herr, M. P., Kardes, R. F., & Kim , J. (1991).

Effects of word-of-mouth and product-attribute

information on persuasion: an accessibility-

diagnosticity perspective. Journal of Consumer

Research, 17(4), 454-62.

Hilman, H., Hanaysha, J. M., & Ghani, N. A.

(2017). Analyzing the relationship between

advertising and sales promotion with brand equity.

Asian International Journal of Social Science,

17(2), 88-103.

doi:http://aijss.org/index.php/aijss20170204/

Huang, C. Y., Wu, J. Y., Wang, C. Y., & Boulanger,

391

Au Virtual International Conference 2020
Entrepreneurship and Sustainability in the Digital Era

Assumption University of Thailand
October 30, 2020
Co-hosted by

C. N. (2011). Decision making in online auctions. measurement and dimensionality of brand
Management Decision, 49(5), pp. 784-800. associations. The Journal of Product and Brand
Iggy. (2020, 1 31). NINTENDO ESTIMATES 3 Management, 9(6), 350.
MILLION SWITCH SYSTEMS HAVE BEEN SOLD Martineau, P. (1957). Motivation in Advertising.
IN CHINA. Retrieved from nintendosoup: Journal of Marketing Research, 35-40.
https://nintendosoup.com/nintendo-estimates-3- Md, R. A., Shamim, K. A., Abu, H. B., Ahmad, L.
million-switch-systems-have-been-sold-in-china/ S., & Rosli, M. (2018). Impact of Electronic Word
Ismail , E., Mehmet, G., & Fulya, A. (2018). The of Mouth (e-WOM) on Brand Image and Online
Impacts of Facebook Ads on Brand Image, Brand Purchase Intention: The Perspective of
Awareness, and Brand Equity. In C. C. Luísa , & I. Bangladesh. Proceedings of 3rd International
Pedro, Handbook of Research on Entrepreneurship Conference on Dynamic Innovation, 61-79.
and Marketing for Global Reach in the Digital Mehmet , G., Ahmet, G., Ismail , E., Emmanuel,
Economy (p. 21). M., & Serap, S. (2018). Surprise me with your ads!
Jihyun , L., & Yuri, L. (2018). Effects of multi- The impacts of guerrilla marketing in social media
brand company s CSR activities on purchase on brand image. Asia Pacific Journal of Marketing
intention through a mediating role of corporate and Logistics, 30(5), 1222-1238.
image and brand image. Journal of Fashion doi:10.1108/APJML-10-2017-0257
Marketing and Management, 22(3), 378-403. Michael, P. B. (2011). Non probability Sampling.
doi:10.1108/JFMM-08-2017-0087 Encyclopedia of survey research Methods.
Johannes, K. (2015). Advertising in social media: Mohammad , J. R., & Neda , S. (2012). The effect
a review of empirical evidence. Inernational of electronic word of mouth on brand image and
Journal of Advertising, pp. 266-300. purchase intention An empirical study in the
Keller, K. (2009). Building strong brands in a automobile industry in Iran. Marketing
modern marketing communications environment. Intelligence & Planning, 30(4), 460-476.
Journal of Marketing Communications, 15(2/3), Monroe, B. K. (2003). Pricing: Making Profitable
139-155. Decisions, 3rd ed. Mc Graw-Hill, New York, NY.
Kiecker, P., & Cowles, L. D. (2001). Interpersonal Muhammad , R. D., Pamadya , V., & Afif , R. N.
communication and personal influence on the (2018). The Influence of Testimonial, Social
internet: a framework for examining online word- Media-based Promotions and Electronic Word of
of-mouth. Internet Applications in Euromarketing, Mouth toward Purchase Intention. In Proceedings
11(2), 71-88. of the Annual Conference on Social Sciences and
Lovett, J. M., & Staelin, R. (2016). The Role of Humanities (ANCOSH 2018) - Revitalization of
Paid, Earned, and Owned Media in Building Local Wisdom in Global and Competitive Era, 78-
Entertainment Brands: Reminding, Informing, and 81.
Enhancing Enjoyment. Marketing Science, 35(1), Muslih , M., Ujang , S., & Netty , T. (2019). THE
142–157. EFFECT OF e-WOM AND BRAND IMAGE ON
Low, S. G., & Lamb, J. C. (2000). The THE INTEREST IN BUYING. Indonesian

392

Au Virtual International Conference 2020
Entrepreneurship and Sustainability in the Digital Era

Assumption University of Thailand
October 30, 2020
Co-hosted by

Journal of Business and Entrepreneurship, Vol. 5 Rohm, A., Kaltcheva, D. V., & Milne, R. G. (2013).
(No. 2). A mixed-method approach to examining brand-
Net, X. (2017, 11 29). "2017 China Game Industry consumer interactions driven by social media.
Development Report" released. Retrieved from Journal of Research in Interactive Marketing,
www.xinhuanet: 7(4), .295-311.
http://www.xinhuanet.com/info/2017- Sekaran, U., & Bougie, R. (2013). Research
11/29/c_136786870.htm Methods for Business, 6 th edition. John Willy &
Okazaki, S., & Taylor, R. C. (2013). Social media Sons Ltd.
and international advertising: theoretical Sen, S., & Lerman, D. (2007). Why are you telling
challenges andfuturedirections. International me this? An examination into negative consumer
Marketing Review, 30(1), 56-71. reviews on the web. Journal of Interactive
Padgett, D., & Allen, D. (1997). Communicating Marketing, 21(4), 76-94.
experiences: A narrative approach to creating Shu-Chuan, C., Sara, k., & Yoojung , K. (2013).
service brand image. Journal of Advertising, 26(4), Understanding consumers’ responses toward
49. social media advertising. Journal of Global
Patino, A., Pitta, A. D., & Quinones, R. (2012). Fashion Marketing, 4(3), 158–174.
Social media’s emerging importance in market Smith, E. R., & Vogt, A. C. (1995). The effect of
research. Journal of Consumer Marketing, 29(3), integrating advertising and negative word-of-
233-237. mouth communications on message processing
Paul, L. J. (2008). Encyclopedia of Survey and response. Journal of Consumer Psychology,
Research Methods. 4(2), 133-51.
Ridwan , R. A., Sabrina , R., & Sobhi Ish, I. (2019). Stephen, T. A., & Galak, J. (2012). The Effects of
The mediating effect of brand image on the traditional and social earned media on sales: A
relationships between social media advertising Study of a micro-lending Marketplace. Journal of
content, sales promotion content and behaviuoral Marketing Research, 49(5), 624-639.
intention. Journal of Research in Interactive Straker, K., Wrigley, C., & Roseman, M. (2015a).
Marketing, 13(3), 302-330. Typologies and touchpoints: designing
Ridwan , R. A., Sabrina , R., & Sobhi , I. (2019). multichannel digital strategies. Journal of
The mediating effect of brand image on the Research in Interactive Marketing, 9(2), 110-128.
relationships between social media advertising doi:https://doi.org/10.1108/JRIM-06-2014-0039
content, sales promotion content and behaviuoral Straker, K., Wrigley, C., & Rosemann, M. (2015b).
intention. Journal of Research in Interactive The role of design in the future of digital channels:
Marketing, Vol. 13 No. 3, pp. 302-330. conceptual insights and future research directions.
Rodney , D. G. (2015). Facebook advertising’s Journal of Retailing and Consumer Services, 26,
influence on intention-to-purchase and purchase 133-140.
amongst Millennials. Internet Research, 25(4), Tabachnick, G. B., & Fidell, S. L. (2001). Using
498-526. multivariate statistics (4th ed). Needham, MA:

393

Au Virtual International Conference 2020
Entrepreneurship and Sustainability in the Digital Era

Assumption University of Thailand
October 30, 2020
Co-hosted by

Allyn & Bacon. the role of cognitive personalization in online
Tariq, I. M., Nawaz , R. M., Nawaz, M. M., & Butt, consumer reviews. Journal of Interactive
H. (2013). Customer perceptions about branding Advertising, 9(1), 108-28.
and purchase intention: a study of FMCG in an Ya-Hui, W., & Cing-Fen, T. (2014). The
emerging market. Journal of Basic and Applied Relationship between Brand Image and Purchase
Scientific Research, 3(2), 340-347. Intention: Evidence from Award Winning Mutual
Taylor, G. D., Lewin, E. J., & Strutton, D. (2011). Funds. The International Journal of Business and
Friends, fans, and followers: do ads work on social. Finance Research, 8(2), 27-40.
Journal of Advertising Research, 51(1), 258-275. Ye, Q., Law , R., Gu, B., & Chen, W. (2011). The
Tom, W. (2019, 6 18). The Global Games Market influence of user-generated content on traveler
Will Generate $152.1 Billion in 2019 as the U.S. behavior: an empirical investigation on the effects
Overtakes China as the Biggest Market. Retrieved of e-word-of-mouth to hotel online bookings.
from newzoo: Computers in Human Behavior, 27(2), 634-639.
https://newzoo.com/insights/articles/the-global- Yoo, B., & Donthu, N. (2001). Developing and
games-market-will-generate-152-1-billion-in- validating a multidimensional consumer-based
2019-as-the-u-s-overtakes-china-as-the-biggest- brand equity scale. Journal of Business Research,
market/ 52(1), 1-14.
Valentine, R. (2019, 2 11). EEDAR: Nintendo Yusuf, B. (2018). The Effect of Social Media
Switch attracting more women, wider age ranges Marketing Activities on Brand Awareness, Brand
over time. Retrieved from gamesindustry: Image and Brand Loyalty. Business &
https://www.gamesindustry.biz/articles/2019-02- Management Studies: An International Journal ,
11-eedar-nintendo-switch-attracting-more- Vol. 6(No. 1).
women-wider-age-ranges-over-time Zikmund, G. W. (2003). Business Research
Webster, E. F., & Keller, K. L. (2004). A roadmap Methods. Florida: The Dryden Press Harcout
for branding in industrial markets. Brand Brace College Publishers.
Management, 11(5), 388-402. Zikmund, G. W., Babin, J. B., Carr, C. J., & Griffin,
Weinberger, G. M., & Dillon, R. W. (1980). The M. (2010). Business Research Methods 8 th ed.
effect of unfavorable product rating information. USA: South-Western.
Advances in Consumer Research, 7(1), 528-32. Zikmund, G. W., Babin, J. B., Carr, C. J., & Griffin,
Wilson, J. (2010). Essential of business M. (2013). Business Research Method 9th. South-
Research:A Guide to Doing Your Research Western Cengage Learning Limited.
Project. SAGE Publication, LA. USA.
Xia, L., & Bechwati, N. N. (2008). Word of mouth:

394

Au Virtual International Conference 2020
Entrepreneurship and Sustainability in the Digital Era

Assumption University of Thailand
October 30, 2020
Co-hosted by

Empirical Research on Online Repurchase Intention: An Assessment

of Ease of Use, Security, Private Concern, Trust, and E-satisfaction

towards Online Shoppers in China

Renyan Wang1, Sirion Chaipoopirutana2

Graduate School of Business, Assumption University, Bangkok, 10240, Thailand
E-mail: [email protected], [email protected]

ABSTRACT

Nowadays, e-commerce becomes more and more popular, and has become an indispensable
part of people's daily life. With the enormous growth of Chinese online users, the e-commerce
platform is also overgrowing. This study focuses on five factors (including security, ease of
use, privacy concern, trust and e- satisfaction) to find their effect on repurchase intention. In
addition, this study focuses on Chinese online shopping platform and online shopping users.
The researchers collected 389 questionnaires through online. Descriptive and inferential
analyses were applied to analyze the data, and the researchers applied five point Likert scales
for the research instrument. In this study, the researchers applied Simple Linear Regression and
Multiple Linear Regression to test all the hypotheses. The results of this study showed that
“security” and “privacy concern” have great influence on trust and e-satisfaction. Ease of use
has an important impact on customers' e-satisfaction. At the same time, online security, e-
satisfaction and trust have an important impact on customer repurchase intention.

Keywords: online shopping, online repurchase intention, online trust, e-satisfaction

Introduction satisfaction. The repurchase is essential and
extremely desirable because of the massive cost
Nowadays, the development of globalization of acquiring new customers and the economic
provides opportunities and challenges for an value of trusted, loyal customers (Reichheld and
online shopping e-commerce platform. All the Schefter , 2000). Mostly, companies should
online companies try to attract people's attention emphasize retaining existing customers or
to e-commerce platform and increase electronic

395

Au Virtual International Conference 2020
Entrepreneurship and Sustainability in the Digital Era

Assumption University of Thailand
October 30, 2020
Co-hosted by

triggering them to epurchase, rather than relying Literature review
on acquiring new customers and increasing Security
market share to win the market in competition
(Ajzen and Fishbein , 1977). Furthermore, most Security is one of the main factors consider
enterprises need to attract their customers in in online shopping. It is also one of the primary
order to successfully win competitive markets concerns of consumers because of the
worldwide (Cronin et al., 2000). Generally, fraudulent activities that are conducted online,
customers' repurchase intention is the main such as the interception of personal and
factor of defensive marketing strategy and financial information (Turban and Lee, 2001).
successful business (bartlett, 2007). Chinese e- As an important factor in online repurchase
commerce platform of pinduoduo has become intention, security concerns depend upon
one of the leading enterprises in a short time in various online technical components, including
China. Chinese e-commerce platform of cryptography, digital signatures, and certificates
Jingdong and Taobao have spent more than ten that aim to protect consumers from some of the
years to become industry leaders and market fraudulent activities they might experience
leaders, while pinduoduo has become the third online, such as hacking and phishing ( Kim et
largest e-commerce platform in China during al., 2008). In the process of online shopping, if
past three years. This study mainly analyzes the customer information are leaked or hacked,
influence of security, privacy concern, ease of customers would have a sense of self-
use, trust and e-satisfaction on repurchase protection, and stay away from that e-commerce
intention of pinduoduo e-commerce platform. platform shopping. In the process of online
shopping, consumers would not consider the
Research objectives objectivity of website security, but would
consider the subjectivity of safe consumption.
1. To test the influence of security, ease of use, Customers would stop trading when they are
privacy concern on trust. aware of insecurity. (Grabner-Krauter and
Kaluscha, 2003).
2. To analyze the influence of security, ease of
use, privacy concern on e-satisfaction. Ease of use

3. To analyze the influence of security, ease of Ease of use has a significant impact on
use, privacy concern on repurchase intention. customer behavior and attitude; this is the
mediating effect of perceived usefulness on
4. To study the influence of trust, e-satisfaction consumers repurchase intention (Davis et al.,
on repurchase intention. 1989). People will tend to solve problems in a
convenient and quick way, and yearn for high
5. To study the influence of trust on e- technology. Ease of use is defined as “the
satisfaction.

396

Au Virtual International Conference 2020
Entrepreneurship and Sustainability in the Digital Era

Assumption University of Thailand
October 30, 2020
Co-hosted by

degree to which an individual believes that by personal information about online shopping.
using a particular technology would be free of Therefore, in order to solve the privacy
effort” (Davis, 1989, p. 320). If the e-commerce problem, online retailers can formulate privacy
platform is convenient to use, people are more policies based on the concerns, disclosure and
likely to accept the e-commerce platform. At the preferences / consent of online consumers (Bart
same time, there is a significant relationship et al., 2005). Cronin et al. (2000) believed that
between perceived risk and online shopping. If some privacy issues, such as the requirements
perceived risk increases, consumers' demand for for secure authentication through a third party
online shopping would be increased (Liu et al., or the rules and regulations created by an
2004) effective e-commerce infrastructure, may win
the trust of consumers in the online market.
Privacy concern
Trust
Online consumers believe that personal
information is at risk because of improper Trust is the willingness of a party to be
information collection and illegal use of vulnerable to the act that the other party expects
personal information on e-commerce platforms that a particular operation that is important to
(Jarvenpaa and Todd, 1996). In the process of the principal, regardless of the ability to monitor
online shopping, due to the lack of transparency or control the other party (Mayer et al., 1995).
in the use of customer information in online Trust is considered to be a key element in the
shopping platforms, customers are reluctant to dynamics of buyers and sellers (Poon, 2007). It
disclose personal and financial information is understandable that people are reluctant to
(Lim and Benbasat, 2006). Online consumers buy goods online, and they lack confidence in
pay great attention to their personal privacy. E- the website (Chen and Lin, 2010). The Pavlou
commerce platforms need to protect consumers' and Chellappa (2001) explained that trust is to
privacy and improve consumers' trust in e- be confident and willing to accept with others.
commerce platforms. Cranor et al. (2000)
proposed that consumers should first pay E-satisfaction
attention to the data collection process of the
organization, and then pay attention to the Satisfaction is defined as a psychological
improper behavior in the use of information and state. Consumers get a subjective evaluation of
financial information. satisfaction or dissatisfaction by comparing
their expectations of products or services with
Privacy can be understood as "consumers their actual experience (Punyatoya, 2019).
are willing to share information through the Consumer satisfaction refers to consumer's
Internet to complete a purchase transaction" sense of achievement, therefore is a judgment of
(Belanger et al., 2002). Privacy usually involves satisfaction, involving at least two stimuli: a
result and a comparative reference (Oliver,

397

Au Virtual International Conference 2020
Entrepreneurship and Sustainability in the Digital Era

Assumption University of Thailand
October 30, 2020
Co-hosted by

1999). E-satisfaction is defined as "the and services from a specific store (Hellier et al.,
customer's satisfaction with his or her previous 2003). Creswell (1994) defined repurchase
purchasing experience with a given e- intention as the subjective tendency of
commerce company" (Anderson and consumers who prefer a particular service or
Srinivasan, 2003). The experience may come product. This tendency can be used to study and
from two sources: the website service and the predict the future purchase behavior of
website itself. And satisfaction can be defined consumers.
as the overall evaluation of the relationship
between website users and e-retailers (Smith, Related review literature
1998). E-satisfaction actually goes beyond the Ease of use and online repurchase intention
buyer's perception of products and services
(Van La, 2005). Chong (2013) found that the repurchase
intention of customers is closely related to the
Repurchase intention ease of use, which directly affects the
repurchase intention of online shopping
Repurchase intention is defined as the judgment customers. Taylor and Todd (1995) found that
that an individual purchases designated services it is easy to use and has the advantage that
from the same company again after considering customers decide how to buy. Bilgihan et al.
his current situation and possible situation (2016) believed that the ease of use of
(Marinkovic et al., 2014). Liu (2004) found out applications and websites is one of the factors
repurchase intention refers to the degree to directly related to online shopping and online
which customers are willing to purchase the customer experience. At the same time, Akhlaq
same service or product. It can be regarded as a and Ahmed (2015) studied the factors related to
simple, objective and observable prediction of Pakistan's online shopping intention, and
consumers' future purchase behavior (Sari and believed that ease of use provided support and
Kusuma, 2014). Customer online repurchase is had a positive impact on Pakistan's online
the key factor for the success of e-commerce shopping experience. Sekaran and Bougie
platform. Moreover, customers who complete (2010) pointed out that perceived ease of use
their shopping tasks in an effective way are also affects purchase intention of online
more likely to show strong repurchase intention shopping.
(Giovanis et al., 2013).
Privacy and online repurchase intention.
At the same time, Zeithaml (1996) pointed
out that there are two forms of repurchase Chiu et al. (2009) pointed out that
intention: repurchase intention and positive customers' perception of privacy has an
recommendation intention. In addition, buyback important impact on online shopping trust, and
is a repetitive process of purchasing products improving the protection of customer privacy

398

Au Virtual International Conference 2020
Entrepreneurship and Sustainability in the Digital Era

Assumption University of Thailand
October 30, 2020
Co-hosted by

can increase the trust of customers' online E-satisfaction and repurchase intention.
suppliers. Flavián and Guinalíu (2006)
proposed that protecting customer privacy is A large number of previous product and
one of the most concerned issues for online service studies support the positive impact of
buyers. They also propose that if customers are customer satisfaction on online repurchase
not sure that the supplier will not disclose or sell intention. These studies pointed out that
financial information and other privacy customer satisfaction will directly affect the
protection behaviors, they are not willing to repurchase intention of online shopping.
conduct online repurchase. However, if online Therefore, e-commerce platform can improve
providers can ensure privacy and provide clear customer repurchase intention by improving
privacy protection rules and policies to customer satisfaction. Many studies have
customers, customers will be more willing to verified the positive correlation between
repurchase. customer satisfactions and repurchase intention
of online shopping (Brady et al, 2001; Chanda
Security and online repurchase intention. et al, 2009; Johnson & Kaya, 2009). At the same
time, customers with high satisfaction may tend
Based on Shrawan Kumar Trivedi and to repeat purchase or recommend the same
Mohit Yadav (2019) found that the bias- brand to others (Zeithaml et al., 1996). In other
corrected estimate of the indirect effect of words, by increasing customer satisfaction the
security concerns on repurchase intention was likelihood of a brand re-purchase also would
found to be significant and the direct effect of increase. Current studies conducted in e-
security concerns on repurchase intention was retailing and online shopping has had similar
found to be positive. Like Liu et al. (2004), the results (Chung and Law,2003; Lee et al., 2011).
study identified that security and privacy issues
have an important impact on predicting the Trust and repurchase intention
repurchase intention of the sample population,
which confirms that secure and trusted websites Chang and Chen (2008) pointed out that
have successfully established trust with trust has an important impact on consumers
customers (Kuchinskas, 1999). These results online repurchase intention. The research
showed that online suppliers should provide results showed that customer trust is an
effective security mechanisms and user-friendly intermediate factor between website quality and
technical features to enable consumers to obtain website brand about purchase intention. Lee et
the best electronic satisfaction, so as to al. (2011) found that trust is the most important
encourage them to repurchase from their factor affecting consumers' decision-making
websites. and purchase intention in online shopping. At
the same time, when customers have trust in the

399


Click to View FlipBook Version