An Empirical analysis of online shopping adoption in China

Abstract

The Internet is a global communication medium that is increasingly being used as an innovative tool for marketing goods and services. The Internet has added a new dimension to the traditional nature of retail shopping. The internet offers many advantages over traditional shopping channels and the medium is a competitive threat to traditional retail outlets. Globally, consumers are rapidly adopting Internet shopping and shopping online is becoming popular in China. If online marketers and retailers know and understand the factors affecting consumers’ buying behaviour, they can further develop their marketing strategies to attract and retain customers.

There is a conceptual gap in the marketing literature as there has been very limited published research on the factors influencing consumers’ choices between online shopping and traditional shopping in China. This study seeks to fill this conceptual gap in the context of online shopping by identifying the key factors influencing Chinese consumers’ online shopping behaviour.

A self-administered questionnaire was used to gather information from 435 respondents from Beijing, China. The findings of this study identify seven important decision factors: Perceived Risk, Consumer Resources, Service Quality, Subjective Norms, Product Variety, Convenience, and Website Factors. All of these factors impact on Chinese consumers’ decisions to adopt online shopping.

This research offers some insights into the links between e-shopping and consumers’ decisions to shop or not shop online. This information can help online marketers and retailers to develop appropriate market strategies, make technological advancements, and make the correct marketing decisions in order to retain current customers and attract new customers. Moreover, managerial implications and recommendations are also presented.