Finding determinants of e-commerce success: a PLS-SEM approach

2019 ◽  
Vol 16 (4) ◽  
pp. 453-471 ◽  
Author(s):  
Himanshu Sharma ◽  
Anu G. Aggarwal

Purpose With the growth in internet technology, the competition between the e-commerce firms has become fierce. This has forced these online vendors to consider customer-centric strategies apart from the retail strategies for generating revenue. The purpose of this paper is to propose a structural model to study the interrelationship between a formative endogenous latent variable (LV), i.e. e-commerce success, and other LVs representing the customer-oriented success factors such as website service quality (WSQ), customer support system (CSS), personalization and electronic word-of-mouth (EWOM). Design/methodology/approach The authors develop a structural model to validate the determinants of electronic commerce success. Survey-based data obtained from 265 respondents are used to validate the model hypotheses. To analyze the data, partial least squares-structural equation modeling (PLS-SEM) is performed using smartPLS 2.0 software. The results on the interrelationships between the constructs are determined using path analysis. Findings The data analysis results infer the impact of these success factors on e-commerce success systems. After applying bootstrapping technique, the authors observed that WSQ, CSS, personalization and EWOM have a significant positive effect on e-commerce system success (ESS). Further studies can be performed considering mobile commerce and their critical success factors. Practical implications The findings of the study emphasize on the importance of these four exogenous variables for e-businesses in order to achieve a competitive edge over their competitors. The study provides a detailed managerial implication with respect to each causal relationship, so as to suggest some remedial measures to gain customer market. Originality/value Here, the authors consider an empirical model which shows the determinants of ESS. To the best of the authors’ knowledge, a distinctive system success framework is modeled considering a unique combination of exogenous variables not considered by previous studies.

2017 ◽  
Vol 28 (5) ◽  
pp. 631-654 ◽  
Author(s):  
Ibrahim M. Awad ◽  
Alaa A. Amro

Purpose The purpose of this paper is to map the cluster in the leather and shoes sector for improving the competitiveness of the firms. Toward this end, the study is organized to examine the impact of clustering on competitiveness improvement. The influence of competitive elements and performance (Porter’s diamond) and balanced score card was utilized. Design/methodology/approach A random sample of 131 respondents was chosen during the period from May 2016 to July 2016. A structural equation modeling (SEM) analysis was applied to investigate the research model. This approach was chosen because of its ability to test casual relationships between constructs with multiple measurement items. Researchers proposed a two-stage model-building process for applying SEM. The measurement model was first examined for instrument validation, followed by an analysis of the structural model for testing associations hypothesized by the research model. Findings The main findings show that there is a unidirectional causal relationship between improvements of performance and achieve competitiveness and also reveal that the Palestinian shoes and leather cluster sector is vital and strong, and conclude that clustering can achieve competitiveness for small- and medium-sized enterprises. Research limitations/implications Future research can examine the relationship between clustering and innovation. The effect of clustering using other clustering models other than Porter’s model is advised to be used for future research. Practical implications The relationships among clustering and competitiveness may provide a practical clue to both, policymakers and researchers on how cluster enhances economic firms such as a skilled workforce, research, development capacity, and infrastructure. This is likely to create assets such as trust, synergy, collaboration and cooperation for improved competitiveness. Originality/value The findings of this study provide background information that can simultaneously be used to analyze relationships among factors of innovation, customer’s satisfaction, internal business and financial performance. This study also identified several essential factors in successful firms, and discussed the implications of these factors for developing organizational strategies to encourage and foster competitiveness.


2018 ◽  
Vol 29 (1) ◽  
pp. 25-40 ◽  
Author(s):  
Raman Kumar ◽  
Harwinder Singh ◽  
Rohit Chandel

Purpose The purpose of this paper is twofold: first, to explore the relationship between success parameters and implementation of advanced manufacturing technology (AMT); and second, to examine the changes required in manufacturing system as a result of AMT implementation. Design/methodology/approach The first order confirmatory factor analysis was performed to validate the presence of observed variables on their respective latent variable. Structural equation modeling is used to test the considered eight hypotheses. Findings The finding indicates that all five success factors are positively related to the AMT implementation. The redesign in the production system and organization strategy is directly related to the AMT implementation. The notable finding is the AMT implementation has no direct impact on the redesign of human resource, but it has mediated impact through the production system. Research limitations/implications The originality and reliability of data collected for research purpose merely depends upon information and the accessible resources. Originality/value The outcome of the present work gives rise to meaningful implications for researchers and practitioners as well.


2019 ◽  
Vol 30 (2) ◽  
pp. 186-208 ◽  
Author(s):  
Aku Valtakoski ◽  
Javier Reynoso ◽  
Daniel Maranto ◽  
Bo Edvardsson ◽  
Egren Maravillo Cabrera

Purpose The purpose of this paper is to test how national culture may help to explain cross-country differences in new service development (NSD) by comparing the impact of NSD success factors between Mexico and Sweden. Design/methodology/approach Eight hypotheses based on prior literature on NSD and national culture were tested using covariance-based structural equation modeling and survey data from 210 Mexican and 173 Swedish firms. Findings Launch proficiency and customer interaction had a positive impact on NSD performance with no difference between the two cultures. NSD process formalization did not have clear positive impact on NSD performance but had a statistically significantly stronger impact in the structured culture (Mexico). Team empowerment affected NSD performance positively, but the difference between cultures was non-significant. Research limitations/implications The impact of national culture depends on the type of NSD success factor. Some factors are unaffected by the cultural context, while factors congruent with the national culture enhance performance. Factors incongruent with national culture may even hurt NSD performance. Practical implications When choosing priorities in NSD improvement, managers need to consider the national culture environment. Originality/value Paper directly tests how national culture moderates NSD performance using primary data. Findings suggest that the effects of NSD success factors are contingent on congruence with national culture.


2019 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Chih-Chin Liang

Purpose The rapid growth of the solo economy in the Asia-Pacific area indicates an economic transition. In East Asia, solitary households are growing along with low marital rates and birth rates under high economic pressure. Because of these population changes, malls must provide good quality service to meet the specific needs of solitary households and social households. The paper aims to discuss this issue. Design/methodology/approach In this study, relationships among service quality, customer satisfaction (CS), perceived value, corporate image and customer loyalty were compared between social and solitary customers of Taiwan click-and-mortar malls. The effects of five service quality dimensions on CS and customer loyalty were investigated by structural equation modeling. Findings The analytical results show that all hypothesized relationships among factors were supported with the exception of the impact of perceived value on satisfaction and the impact of the corporate image on satisfaction. Additionally, the comparison between solitary and social customers showed that service quality, corporate image and customer loyalty have strong relationships without differences between both kinds of customers. Solitary and social customers only differed in the impact of perceived value on loyalty. Practical implications The managerial implication of this study is that, to satisfy both social and solitary customers and to increase their loyalty, Click-and-mortar malls (CAM malls) should apply different service quality strategies for social and solitary customers. To satisfy both types of customers, a strategy for increasing visible cares should be applied in social customers, and a strategy for increasing the perception of reliability, assurance and visible cares should be applied in solitary customers. To enhance the loyalty of solitary customers, a CAM mall should enhance the value perceived by solitary customers, which can help CAM malls increase the loyalty of solitary customers in the solo economy. Originality/value The solo economy is a hot topic in East Asia because the issue of solo economy impacts the market. A CAM mall must evolve its business to attract solitary customers. However, no studies compared perceived quality, satisfaction, perceived value, corporate image and loyalty between solitary customers and social customers. This study is the first study investigated the business model of CAM malls.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Shivani Agrawal ◽  
Vinay Singh ◽  
Yogesh Upadhyay

PurposeDue to wider acceptance of information technology (IT) and e-commerce among the consumers, firms belonging to agri businesses are rapidly redefining IT-driven stakeholders' centric completive strategy for their supply chain. This has forced the firms to understand the stakeholders' information needs and quality they expect from the electronic supply chains. Thus, the present study focusses on developing an information quality framework that ensures the success of stakeholders' centric e-agri supply chain. The study also attempts to investigate the interrelationship between formative endogenous latent variables, i.e. value of information (VoI), e-platform responsiveness (RESP), e-platform aesthetics (SAE), e-platform ease of use (EoU) and fulfillment of expectation (FoE) used in the developing the proposed framework.Design/methodology/approachSurvey based data are obtained from 280 respondents using semistructured questionnaire to validate the proposed theoretical framework. The structural equation modeling is performed using IBM Statistical Product and Service Solutions (SPSS) 16.0 and Analysis of Moment Structures (AMOS) 24.0 package to establish structural model by accommodating determinants of information quality framework identified from extent literature. Confirmatory factor analysis (CFA) is employed to examine the robustness of manifesting variables that define the latent constructs. The robustness measuring items of constructs are also ensured through specified criteria of reliability, convergent validity and discriminant validity. At last the one-way ANOVA and post-hoc analysis are employed to investigate the stakeholders’ group difference on each study construct.FindingsThe results infer the impact RESP, VoI, SAE and EoU on the fulfillment of expectation (FoE). After applying the bootstrapping technique, it was observed that all causal relationships as proposed in hypotheses H1, H1a, H1b, H2, H3 and H4 have gained significant empirical support, thus verify the framework applicable to e-agri supply chain as the study outcome. Addition to this, SAE mediates relationship of RESP and VoI. The RESP and SAE have an indirect positive effect on “EoU.” Findings also suggest that the intermediaries expect better e-platform responsiveness and value of information from e-agri supply chain as compared to farmers and end consumers.Practical implicationsThe findings of the study emphasized on the importance of five exogenous variables for e-agri supply chain in order to achieve stakeholders' expectation fulfillment on the information delivered through e-agri supply chain. The study is of great significance to the practitioners and management professionals by aiding strategic worth of market expansion by maximizing users' base by developing, deploying and facilitating a responsive and resilient stakeholders' centric e-agri supply chains. The study provides insights to the cross-domain researchers, firms, managers and policymakers to capture detailed and deeper understanding on the system design, stakeholders' behavior and in policy formulation so as to suggest remedial measures to strengthen the stakeholders' belief on relying e-agri supply chain.Originality/valueThe study considers the empirical model that shows the determinants and their relationship in the “information quality framework” as unique and novel contribution in the context of e-agri supply chain. The framework determines the quality and efficacious use of information that regulates the effectiveness of e-platform from stakeholders' perspective. The investigated constructs and their relationship depict their importance in creating systematic value chain of information across the supply chain.


2019 ◽  
Vol 21 (1) ◽  
pp. 91-105 ◽  
Author(s):  
Yi Xiao ◽  
Xiaoling Ren ◽  
Pei Zhang ◽  
Antonnette Ketlhoafetse

Purpose The purpose of this paper is to examine foreign participants’ service quality, satisfaction and behavioral intention during the 2016 Shanghai International Marathon, and to gain a better understanding of the impact of service quality on their satisfaction and behavioral intention. Design/methodology/approach An English questionnaire was originally designed on the basis of the literature review of service quality, overall satisfaction and re-participation intention to assess the purpose of the study. Data were collected from 308 foreign runners including 61.7 percent (n=190) of male and 38.3 percent (n=118) of the female. Structural equation modeling was employed to check the proposed model and to test the impact of service quality on foreign participants’ overall satisfaction and behavioral intention. Findings A positive correlation was captured between the following: service quality and overall satisfaction (r=0.752, p<0.01), overall satisfaction and behavioral intention (r=0.876, p<0.01), and between service quality and participants’ behavioral intention (r=0.760, p<0.01). Furthermore, the service quality of Shanghai International Marathon had an indirect effect on foreign participants’ behavioral intention. The structural model fits the data well (R2=0.823). Research limitations/implications First, the sample size was small and was just drawn from one event, which can be taken with caution in the context of the generalization of findings. Second, the results are specific to 2016 Shanghai International Marathon participants and cannot be generalized with other events in China or around the world. Practical implications The results are practical for the marathon event organizers to better understand foreign participants’ needs and improve their services. This study has a significant importance to the sports events organizers, especially the organizers of the Shanghai International Marathon in terms of a better understanding the level of their service. This study will also help the event organizers to adapt their strategies and their efforts to increase Shanghai International Marathon foreign participants’ satisfaction and intention to repurchase or to share with others. Social implications This study contributes to the foreign participant’s satisfaction literature. In fact, many studies were carried on event spectators’ satisfaction while rare studies were carried on event participants’ satisfaction, especially marathon foreign participants’ satisfaction, and this study will supplement studies related to sport events participation. This will be convenient for sports managers and scholars to better understand the impact of service quality on participants’ satisfaction and behavioral intention in the field of sports events management. Meanwhile, the results were extremely useful to Shanghai during the process of constructing a “world-famous sports city” and “modern international metropolis”. Originality/value Little literature focus on foreign participants of Shanghai International Marathon, which is important in the process of shaping city image and building world-famous city. Are foreign participants satisfied with the Shanghai International Marathon? Which aspect of the service quality is of greater value for them? What are the influencing factors of their behavioral intention and word-of-mouth communication? What are the specific impact paths among the service quality, overall satisfaction and behavioral intention variables? To examine the objectives, the study was designed to target foreign participants’ service quality, satisfaction and behavioral intention. Besides, structural equation model was applied in this study to explore the path relationship between service quality, satisfaction and behavioral intention specifically.


2020 ◽  
Vol 43 (9) ◽  
pp. 1135-1155
Author(s):  
Christie Hough ◽  
Cameron Sumlin ◽  
Kenneth Wilburn Green

Purpose The purpose of this paper is to empirically assess the combined impact of the ethical environment, organizational trust and workplace optimism on individual performance. Design/methodology/approach A structural model is theorized and data from 250 individuals working for private organizations were analyzed using partial-least-squares structural equation modeling. Findings Both the ethical environment and organizational trust positively impact workplace optimism. Of the ethical environment, organizational trust and workplace optimism, only workplace optimism directly impacts individual performance. The impact of the ethical environment and organizational trust on individual performance is indirect through workplace optimism. Research limitations/implications To the authors’ knowledge, this is the first empirical study to assess the combined impact of the ethical environment, organizational trust and workplace optimism on individual performance. It is important to conduct similar studies to verify these findings. Practical implications An ethical environment and organizational trust foster high levels of workplace optimism that in turn lead to improved employee performance. Originality/value The important role that workplace optimism plays within the ethical climate of organizations is theorized and assessed. This is the first empirical assessment of the mediational role of workplace optimism on the established relationships between ethical environment and individual performance, and organizational trust and individual performance.


2019 ◽  
Vol 12 (3) ◽  
pp. 389-410
Author(s):  
Nitin Soni ◽  
Jagrook Dawra

Purpose An open question of behavioral pricing literature is: What are the factors which influence consumers’ judgments of acquisition value and transaction value? An important framework to explain consumers’ shopping and purchase decisions is their decision-making styles. This paper aims to examine the influence of consumers’ decision-making styles, that is, perfectionistic high-quality conscious, brand conscious-price equals quality, novelty-fashion conscious, recreational-hedonistic, price conscious-value for money, impulsive-careless, habitual-brand loyal and confused by overchoice on their judgments of acquisition value and transaction value. Design/methodology/approach From the literature, a conceptual framework was formulated. Data was collected from a survey of 304 respondents. The measurement model was tested using exploratory factor analysis and confirmatory factor analysis. The structural model was tested using structural equation modeling. Findings The consumers’ judgments of acquisition value and transaction value vary with their decision-making styles. The measurement and structural models exhibited good fit, and 12 of the 16 proposed hypotheses were found to be significant. Research limitations/implications The respondents for this research study were urban and postgraduate students. Practical implications The results of this study can help managers personalize their promotional offers and market offerings targeted at consumers with different decision-making styles. Originality/value Behavioral pricing literature has not convincingly shown that consumers make the judgments of the two values, acquisition value and transaction value, in a purchase scenario. There is limited literature on the impact of decision-making styles on the marketing variables. The results of this study contribute to the literature by showing that consumers make the judgments of these two values, and these judgments vary with their decision-making styles. Also, this is one of only a few studies to examine the two components of the purchase value in an Indian context.


2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Hendy Mustiko Aji ◽  
Albari Albari ◽  
Muchsin Muthohar ◽  
Sumadi Sumadi ◽  
Murwanto Sigit ◽  
...  

Purpose This study aims to investigate Muslims’ online infaq intention during COVID-19 deadly outbreak. This study examined the model comprising two major theories, namely, the theory of reasoned action (TRA) with additional Muslim intrinsic religiosity and social presence theory (SPT). Design/methodology/approach A structural equation modeling (SEM) approach is used to test the measurement and structural model. In the structural model, SEM is chosen due to its effectivity in estimating direct and indirect effects in a single model. An online questionnaire is distributed to respondents who are purposively selected all over Indonesia regions comprising all major islands. In total, there are 571 respondents collected; however, only 560 of them are usable. Findings This study shows that all hypotheses generated from the TRA and SPT significantly affect online infaq intention. Surprisingly, Muslim intrinsic religiosity does not affect both attitude toward online infaq and online infaq intention. To further explain the result, a post hoc analysis is conducted. Accordingly, it is found that Muslim intrinsic religiosity has an indirect significant effect on online infaq intention through social presence. Research limitations/implications This study has several limitations. First, even though the sample already represented all parts of Indonesia, the sample is distributed mainly to those live in Java Island. Second, due to its difficulty in pursuing proportional distribution of the sample, the results are more subjective to more dominant respondent demographics. Third, this study captures cross-sectioned phenomena of an online infaq intention during COVID-19 pandemic. Fourth, as the topic of this study is concerned about Islamic charity, the Qur’an- and sunnah-based research framework will make this study more valuable. However, such a framework has not been widely developed. Practical implications This study provides a managerial implication for online infaq fundraisers in Indonesia, in which trustworthiness and “social touch” are important to drive the Muslims in making a monetary donation. The online infaq can be an efficient Islamic philanthropic tool to solve social problems during the COVID-19 outbreak. Therefore, the central authority should encourage profit and non-profit social organizations in Indonesia to make a strategic collaboration in providing online infaq service and its distribution. Collaboration may increase perceived trust and social presence. Originality/value Due to a limited study on the topic of online infaq behavioral intention during COVID-19 situation, therefore, this study provides added value to the literature by examining factors determining online infaq intention during COVID-19 pandemic in Indonesia. This study combines the extended TRA and SPT in a single model.


2016 ◽  
Vol 118 (12) ◽  
pp. 2893-2910 ◽  
Author(s):  
Norazah Mohd Suki

Purpose The purpose of this paper is threefold: to assess the impact of green brand positioning, consumers’ attitude toward green brands, and green brand knowledge on green product purchase intention; to investigate the influence of green brand knowledge on consumers’ attitude toward green brands; and to examine the moderating effect of green brand knowledge on the relationship between green brand positioning and green product purchase intention. Design/methodology/approach A questionnaire was utilized to gather the data (n=300) for this study. The purposive sampling technique was used, involving respondents who practice a green lifestyle and have had green product purchasing experience. The partial least squares (PLS) method, which is a variance-based technique for the analysis of structural equation modeling, was used to analyze the data, with the assistance of the SmartPLS computer program version 2.0. Findings Based on the standardized path coefficients of the structural model from the PLS results, green brand knowledge was found to be the most significant determinant of green product purchase intention. Knowledge of green brands has caused consumers to develop positive green marketing awareness and has bolstered their interest in fortifying the environment whilst preventing its degradation. Furthermore, green brand knowledge also impacted consumers’ attitude toward green brands. However, this factor was an insignificant moderator of the impact between green brand positioning and green product purchase intention. Practical implications Green brand positioning can be used by firms and businesses to better market their products and improve consumers’ green brand knowledge and attitude toward green brands, as well as increase green brand purchase intentions. Successful green brand positioning is seen as an advantage for marketers that can be used to differentiate their products from the available competitors, giving the impression that their products are distinguishable, and thus creating more demand and generating increased intention to purchase more green products. Originality/value The empirical results of this study address the gap in the prevailing body of literature in reference to the impact of green brand positioning and consumer attitude toward green brands, as well as the effect of green brand knowledge on green product purchase intention. This study found that green brand knowledge does not moderate the relationship between green brand positioning and green product purchase intention, thus providing insight into this subject matter, which has not been clearly examined in previous studies.


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