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Consumers ’ Adoption of B2C E-commerce in Macao. ICEB2005 Conference. Patrick Lee, Desmond Yuen, and Ken Lee Faculty of Business Administration University of Macau. Agenda. Research Objective Literature Review and Hypotheses Development Research Method Analyses and Results

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consumers adoption of b2c e commerce in macao

Consumers’ Adoption of B2C E-commerce in Macao

ICEB2005 Conference

Patrick Lee, Desmond Yuen, and Ken Lee

Faculty of Business Administration University of Macau

agenda
Agenda
  • Research Objective
  • Literature Review and Hypotheses Development
  • Research Method
  • Analyses and Results
  • Discussion and Conclusion
research objective
Research objective
  • Develop a model that underlies people’s adoption of E-commerce
  • Dependent variable
    • People’s intention to adopt E-commerce
  • Two independent variables
    • Perception of trust in electronic transaction
    • Willingness to use credit card in electronic transaction
  • Interaction effect
    • between the two independent variables
h 3 interaction effect
Trust and E-commerce

Willingness to use credit card and E-commerce

H(3) Interaction effect
research method
Research Method
  • Quantitative approach
    • Sample sizes: 250
    • Chinese and English versions together
  • Qualitative approach
    • Semi-structured interviews
    • Interviewees are chosen based on the researcher’s contacts
analyses and results
Analyses and Results
  • Descriptive statistics for survey data
    • Response rate was 71.2%
results of qualitative analysis
Results of qualitative analysis
  • Not many interviewees trust E-commerce
  • Trust is “very important” in E-commerce
    • One worried money to be stolen in online trade
    • Lack of face to face interaction
  • Credit cards are very popular
    • Mainly offline use
    • Not many used cards online
    • One used “10 to 20 times a month” used her card for only two times online
results of qualitative analysis1
Results of qualitative analysis
  • E-commerce is very new in Macau
  • There is no need to use E-commerce in Macau
  • E-commerce is advantageous because of its convenience
  • Western countries are large and people cannot buy things easily so they are more willing to use E-commerce
  • Macau is a small place and people can buy things easily
results of qualitative analysis2
Results of qualitative analysis
  • Interviewees feel that it is easy to disguise over the Internet
  • Interviewees feel that it is easy to use others’ credit card on the Internet
    • Credit card information is very easily known by others
      • Credit card receipt
        • Credit card number
        • Name
        • Expiry date
    • Difficult to detect identity theft
summary of research results
Summary of research results
  • Low trust in E-commerce in Macau
  • Low willingness to use credit card for E-commerce transactions
  • Perception of trust and willingness to use credit card are positively related to intention to adopt E-commerce
  • There exists an interaction effect between trust and willingness to use credit card to influence intention to adopt E-commerce
managerial implications
Managerial implications
  • Provide a trustworthy environment
  • Increase E-commerce security by having updated computer equipment
  • Building good reputation and good image
  • Improve the security transmission of credit card information over the Internet
  • Launching digital signatures
  • Electronic certificates can increase trust
limitations
Limitations
  • Interpreted in the context of the research setting
  • Applicable only to E-commerce in Macau
  • Translation bias in interviews
  • Sampling bias
  • Internet development will affect the results
    • Download speed improvement
    • Reduce in system downtime
direction for future research
Direction for future research

Other factors may influence B2C E-commerce:

  • Advertisement
  • Government regulations
  • Pricing strategies
  • After sales services
  • New payment methods
  • Mobile commerce

Thank You